The Key to Finding Sales Talent in Tight Markets

A sub-4% unemployment rate leads to a difficult sales hiring market.  So what can you do when you need to expand, or upgrade, your existing sales team?  Here is a unique approach to finding the strongest salespeople in the tightest labor markets.

Hire Talent Over Experience

I know, it sounds cliche, but it is fundamental to successful sales hiring in any market. This approach is counter-intuitive to most CROs. The stereotypical approach is to find someone from your industry and hire them away from your competition.  Bad approach.  Sure, there are strong salespeople in your industry, but you won't know, for certain, what makes them successful in their current position.  It may be the company, the culture, the support, the leads...a distinct difference that could preclude them from being successful in your company.

Talent will outperform experience.  Guaranteed.  You can teach them about your "stuff", your market and your solution.  You probably have scores of people who can train them on those previous topics in a relatively short time period.  What you can't teach them quickly is how to sell.  A certain irony exists in sales hiring in that many (most?) CROs hire salespeople without looking at their sales ability.  Industry experience becomes the preeminent criteria for hiring even before sales ability/talent.

Many CROs are unaware that you can measure sales ability.  We have assessments that will tell you about the candidates talent, skills and drive to sell in your role.  If you can withdraw from the intoxicating appeal of experience, you can broaden your talent pool.  This expansive view allows you to look into other industries to find sales talent with transferable skills.

DISC Styles Defined - Compliance

Today we conclude our DISC series with the final style - Compliance. Here is more on the High C.

Compliance
This factor describes people that follow the rules, or comply.  C's are precise and exact in that they enjoy complex tasks and absolute answers.  C's are the least common style in the general population.  Their drive to comply leads them to be perfectionists, at times, and the "traffic cops" for any team.  They prefer to have an orderly life free of mistakes and errors.  The precise nature of the High C's work product often leads them into roles like finance, quality control and law enforcement.

Observable Behavior
Buy:  Very slow buyers; proven products.
Change:  Concerned of the effects of change.
Conflict response:  Avoidance.
Drive:  Careful, follow rules. Best drivers.
Decorate an office:  Graphs, charts, functional.
Gesture:  Very reserved, little or no gestures.
Goal Setting:  Good at setting safe goals, probably in many areas. Goals are safe with little risk.
Organization:  Everything in its place. Perfectly organized.
Read:  Nonfiction, technical journals.
Risk Factor:  Very low.
Rules:  "By the book." Knows and follows rules.
Stand:  Arms folded, one hand on chin.
Stress Relief:  Alone time.
Talk on the Phone:  Little chitchat. To the point. May be short or long depending on data needed.
Talk to others:  Direct. Questioning, clarifying.
Walk:  Straight line.
Writing:  Direct, to the point, with appropriate data.
Color noticed first:  Yellow.
 

Communicating with the High C

• Prepare your case in advance.  Don't be disorganized or messy.
• Approach them in a straightforward, direct way.  Don't be casual, informal or personal.
• Use a thoughtful approach. Build credibility by looking at all sides of each issue.  Don't force a quick decision.
• Present specifics, and do what you say you can do.  Don't be vague about expectations or fail to follow through.
• Allow them their space.  Don't touch them.
   

Managing the High C

• Involve them in defining standards that are undefined.
• Clearly define requirements of the job and expectations.
• Set goals that have "reach" in them.
• Involve them in long-term planning.
• Train them in people skills and negotiating.
   

Potential Limitations of the High C

• Hesitant to act without precedent.
• Overanalyze; Analysis Paralysis.
• Be too critical of others.
• Get bogged down in details.
• Be too hard on themselves.

The High C is an uncommon style that can thrive in a highly technical, detailed sale.  The C enjoys the data-driven processes of most positions - they tend to love Excel.  You can expect the High C to know the rules and eagerly apply them to people who are breaking the rules.  They are task-oriented and can struggle, at times, with personal interactions within a team setting.  Their precision provides them with a breadth of knowledge about the solution they are selling.  Expect them to be accurate to a fault and driven to close the perfect sale.

Source: Target Training International

DISC Styles Defined - Steadiness

Today we continue with our DISC series and the third style - Steadiness. Here is more on the High S.

Steadiness
This factor describes people that crave consistency, repetition and few surprises.  S's are drawn to routine and predictability which gives them the innate ability to excel at consistency.  High S's are loyal workers who bring a peacemaking ability to any team.  Their desire to find closure drives them to finish what they started.

Observable Behavior
Buy:  Slow decision maker; traditional products.
Change:  Does not like change. Needs much preparation.
Conflict response:  Tolerate, put up with it.
Drive:  Relaxed pace, no hurry.
Decorate an office:  Family snapshots, "homey" atmosphere.
Gesture:  Will gesture with hands, not large sweeping gestures.
Goal Setting:  Goals are short-term, low risk. May use daily to-do lists.
Organization:  Usually some type of system. A little on the sloppy side.
Read:  People stories, fiction and nonfiction.
Risk Factor:  Moderately low risk-taker.
Rules:  Will usually follow time-tested, proven rules.
Stand:  Leaning back, hand in pocket.
Stress Relief:  Rest time/sleep. Hot baths.
Talk on the Phone:  Warm conversationalist, friendly and concerned.
Talk to others:  Warm, not pushy. Will listen before talking.
Walk:  Steady, easy pace.
Writing:  Long form giving lots of information.
Color noticed first:  Blue.
 

Communicating with the High S

• Start with personal comments. Break the ice.  Don't rush headlong into business or agenda.
• Show sincere interest in them as people.  Don't stick coldly or harshly to business.
• Patiently draw out their personal goals and ideas. Listen and be responsive.  Don't force a quick response to your objectives.
• Move casually, informally.  Don't be abrupt and rapid.
• Provide personal assurances and guarantees.  Don't promise something you can't deliver.
   

Managing the High S

• Clearly explain upcoming changes in order to prepare them.
• Make an effort to get to know them and their needs.
• Assign them fewer, larger projects.
• Encourage their contribution in meetings.
• Work to stretch them carefully to new heights.
   

Potential Limitations of the High S

• Take criticism of work as personal affront.
• Resist change just for change sake.
• Need help getting started on new assignment.
• Have difficulty establishing priorities.
• Not project a sense of urgency.

The High S is a strong selling style for extended, relationship sales.  The S has a natural ability to hang in there even during long periods of time.  They are people-oriented like the High I, but they are quieter in dealing with others.  High S's are introverted and enjoy predictable days and established routines.  Leading the High S requires a boss who can see the strengths they bring to the team, and the realization that there are times when you will have to put the spurs to them.

Source: Target Training International

DISC Styles Defined - Influence

Today we continue with our DISC series and the second style - Influencing. Here is more on the High I.

Influencing
This factor describes people that prefer to influence others with their words.  High I's enjoy the opportunity to talk to new people, experience new things...anything new.  I's tend to trust other people implicitly and have a naturally optimistic approach to most things.

Observable Behavior
Buy:  Quick decision makers; showy  products; impulse buyer.
Change:  May not notice change.
Conflict response:  Flight, run.
Drive:  Visual, looking around, radio on.
Decorate an office:  Contemporary, memorabilia of experiences.
Gesture:  A lot of big gestures and facial expressions when talking.
Goal Setting:  Not good at setting goals. Intention is present, planning is not.
Organization:  Disorganized. A lot of piles.
Read:  Fiction, self-improvement books.
Risk Factor:  Moderate risk-taker.
Rules:  May not be aware of rules and break them unintentionally.
Stand:  Feet spread. Two hands in pockets.
Stress Relief:  Interaction with people.
Talk on the Phone:  Long conversations. A great deal of tone variation in voice.
Talk to others:  Verbal, at length. Personal with others.
Walk:  Weave, people focus, may run into things.
Writing:  More wordy, warm people focus.
Color noticed first:  Red.
 

Communicating with the High I

• Plan interaction that supports their dreams and intentions.  Don't legislate or muffle.
• Allow time for relating and socializing.  Don't curt, cold or tight-lipped.
• Talk about people and their goals.  Don't drive to facts, figures and alternatives.
• Focus on people and action items. Put details in writing.  Don't leave decisions up in the air.
• Ask for their opinion.  Don't be impersonal or task-oriented.
   

Managing the High I

• Assist in setting realistic goals.
• Work with on-time management.
• Develop a friendship and make time for interaction daily.
• Open door policy for High I to discuss any issues.
• Look for opportunities for them to utilize their verbal skills.
   

Potential Limitations of the High I

• Oversell.
• Act impulsively, heart over mind.
• Trust people indiscriminately.
• Be inattentive to detail.
• Tend to listen only situationally.

The High I is a somewhat common style in sales.  This style is the most appreciative of people interactions so sales is a natural draw.  They are chatty, personal, outgoing and always eager for a new experience.  The High I does require a patient leader as the High I will be in your office frequently to discuss their most recent discovery/success/question.  Be patient and know that the High I will cover a lot of ground and talk to more people than any other style.

Source: Target Training International

DISC Styles Defined - Dominance

There are four primary DISC styles - D, I, S, C.  We're going to start a series on each style to help you better understand people through their preferred communication channel.  We begin with the High D.

Dominance
This factor describes people that tend to favor a direct, assertive communication style and tend to focus on problems and challenges.  High Ds love to stick to business, get to the point and not waste time.  Ds tend not to immerse themselves in minutiae or specific details.

Observable Behavior
Buy:  Quick decision makers; new and unique products.
Change:  Love change.
Conflict response:  Fight back.
Drive:  Fast, always somewhere to get to in a hurry.
Decorate an office:  Status conscious, large desk, efficiency.
Gesture:  A lot of hand movement when talking, big gestures.
Goal Setting:  Sets many goals, usually high risk and not written down.
Organization:  Efficient, not neat.
Read:  Cliffs notes, executive book summaries.
Risk Factor:  High risk-taker.
Rules:  May tend to break the rules. The end justifies the means.
Stand:  Forward leaning. Hand in pocket.
Stress Relief:  Physical activity, preferably of a competitive nature.
Talk on the Phone:  Little chitchat. To the point. Results.
Talk to others:  Direct. While others are talking may do other activities, as well as interrupt or jump to their next response.
Walk:  Fast, always going somewhere.
Writing:  Direct, to the point. Results-oriented.
Color noticed first:  Green.
 

Communicating with the High D

• Be clear, specific and to the point.
  Don't ramble on, or waste their time.
• Stick to business.  Don't try to build personal relationships, or chitchat.
• Present the facts logically; plan your presentation efficiently.  Don't leave loopholes or cloudy issues if you don't want to be zapped.
• Ask specific (preferably "What?" questions).  Don't ask rhetorical questions, or useless ones.
• Provide a win/win opportunity.  Don't force the High D into a losing situation.
   

Managing the High D

• Clearly explain results expected.
• Negotiate commitments one-on-one.
• Define rules.
• Confront face-to-face in all disagreements.
• Provide challenging assignments.
   

Potential Limitations of the High D

• Overstep authority.
• Be too directive.
• Be impatient with others.
• Be argumentative.
• Push people rather than lead them.

Overall, the High D style is the easiest to observe and maybe the most difficult to manage.  They beauty of the High D is that they will often achieve victories that you may have thought too difficult to pursue...or win.  The D will provide drive and competitiveness to any team, just be prepared to lead them in a unique way.

Source: Target Training International

4 Steps to a Bankable Forecast

Forecasts are a true management challenge for almost every Chief Revenue Officer.

One reason is that salespeople know that their lives are more enjoyable when the forecast dollars are increasing…whether that is an accurate forecast or not.  This deceptive approach creates forecast bloat.  This bloat can be a actual loss to manufacturing companies that build their products based on the sales department’s forecast.

So how to fix this issue?  I provide 4 steps that will transform your data into a bankable forecast in this classic article in Upsize Magazine.  Briefly, the 4 steps:

1. Define what CAN go on the forecast.
2. Build an audit trail.
3. Use an up or out model.
4. Give Incentives for forecast accuracy.

Each of the 4 items is built out in more detail within the article.  As they say, I recommend you read the entire thing.

How To Keep Your Forecast On Track

Everybody wants a sure thing. They want to kick back and let the money roll in.

But sure as Lucy is going to pull that football away when Charlie Brown comes running, your “prospects” are going to come back with reasons not to buy your product or service. It’s time to put an end to that.

If you’re experiencing fluctuating quarterly revenues, your business may have landed itself a seat on the revenue rollercoaster. Structure is your key to success here. You know that well-run production boils down to thoroughly developed and managed systems; it works the same way with revenue. Accurately predict and generate revenue by operating under the four interrelated core processes that constitute a complete revenue system.

But before we discuss the four core processes, let’s clear the air on prospects…

It’s great when your sales team envisions endless prospects as they gaze upon the world of business. Don’t ever let them lose that sense of the market being theirs to win. But help them keep their feet on the ground while they’re reaching upward. There are ways to identify a lead as a true prospect, or a potential waste of time. Your salespeople should be shaking the money trees, not chasing down tumbleweeds.  Teach them to focus on the Differentiating Value that your offering brings, and to also ask Critical Qualifying Questions (CQQs) to uncover problems, frustrations, gaps, losses, and challenges that the potential prospect is experiencing.

Once you’ve got your people going after the true prospects, set them up to lock in realistic sales forecasts. Here’s a quick rundown of the four interrelated core processes:

5 M’s Sales Process:  Message, Motivation, Money, Methodology and Market

It’s likely that you already give major consideration to the power behind these words. When all five are achieved, you have the foundation for an objective, measurable sales process. Put them to work for you based on your business today – not hypothetical models.

Bankable Forecast Process: Build your forecast objectively, rather than as a conglomeration of the unique forecasts created by your reps, using the four qualifying elements of the 5Ms above: Motivation, Money, Methodology and Market. These are called the Four Aces, and should be incorporated into your forecast math. If your selling system is well defined and connected to a direct audit trail, you will be able to extract the objective data to report and determine accurately where you are in the qualifying/sales process for each revenue opportunity.

Results-Driven Incentive Process:

If the incentive system isn’t structured correctly, companies typically wind up losing their strongest performers. Focus on improving these seven aspects of your incentive process.

1. Structure your incentives. It is important to keep your company strong and growing, and new business is the best way to accomplish this. So why would you offer the same incentive for both new and existing accounts?

2. Remove the caps. If your salespeople bring value and profits to your company, why shouldn’t they be appropriately compensated for it? If you put a cap on your salespeople’s earnings, you put a cap on your company’s earnings, and may ultimately lose your best salespeople along the way.

3. Create an incentive based on your company’s desired sales outcome. If you want your team to sell to volume, make sure they’re incentivized toward it.

4. Define your sales cycle. Having an understanding of how long a piece of business takes to go from an initial contact to payment for goods/services delivered is critical for both business planning and incentive structuring.

5. Integrate the incentive plan into the business model; don’t allow it to be designed by other groups, such as finance. It’s important that the incentive process supports and rewards a salesperson’s measurable level of contribution.

6. Make incentive payments at customer payment, not based on orders written.  Clarify that incentives are earned only upon timely payment of the complete transaction amount. You can pay incentives at any time, but waiting until the payment has been received can save your company money, and legal risk.

7. Help out the low and non-performing reps. Address their performance issues and create a plan for their revival. Leave top leads for high performers to help ensure the business can be closed.

Skills-Based Staffing Process:

If you hire people who fit your core sales force profile, you have better odds for success. The skills and characteristics that best fit your sales positions will be defined by selling process, forecast process, and incentive process metrics.

Not every hire will be successful, but the odds are significantly better when an objective, more structured process is in place.

—

Once you have built these processes into your business structure, forecasting will move from hazy and hopeful guesswork to a clear component of your operation. And remember to update your revenue forecast with changes on a quarterly, if not monthly, basis. Your forecast is a living document that should be constantly reviewed and updated to reflect the changes in your business. Set it up correctly and it will serve your business’ success.

The Asynchronous Sales World

Sales is morphing into an asynchronous world.  Communication is based more on written words shared via email or text.  Training is migrating to an on-demand model that is available at the moment of need.  Face-to-face conversations are becoming less frequent.  Everything has changed.

How are you handling it?  Are you providing your team with the right tools to compete in this changing market?  As the Chief Revenue Officer, the responsibility to stay ahead of the curve is mission critical for success.

Saleshacker provides some definitive tools for your consideration.  Just to point out a few:

Outreach

Get your email campaigns in order. Outreach helps you track, pace, analyze and automate your email and voice messages to your customers. By integrating Outreach into your CRM, you’ll never have to manually log your messaging activities and outcomes, freeing more time for you to book more meetings, close deals and make better-informed decisions.

6sense

Accelerate your account management process with market-leading analytics. 6sense  adds a data-driven layer to your sales cycle, unlocking and prioritizing new prospects across your pipeline. Use 6sense’ predictive intelligence to accurately forecast your customers’ purchasing behavior in a specific context.

ClearSlide

ClearSlide is a full-stack sales engagement service covering content management, analytics and smart messaging. Use ClearSlide to ramp up the quality and impact of your emails, conferences, presentations and other engagements. Persuade your customers and prospects with the most compelling content. Motivate and train your team with the most effective and inspirational learning modules.

Of course there are many more found in their comprehensive list.  As a CRO, you owe it to yourself to check out the list and see what tools could help your team be more effective in this asynchronous sales world.

Chicago Briefing - June 27

Learn about the RoundTable at our upcoming briefing on June 27.

Does your business have more upside than current performance exhibits?
Are you locked-in on the rapidly changing sales world?
Who is your go-to person for sales leadership questions?

The RoundTable provides answers to these questions and so much more.  You can learn about the RoundTable at one of our upcoming briefings in Wheaton, IL.  We will be hosting a 1 hour briefing on Wednesday, June 27th at the Arrowhead Golf Club.  If you would like to attend, please register today.

2 Key Traits for Managing Millennials

This list could be much, much longer in dealing with this generation. However, let's focus on two traits that we are seeing consistently in successful leaders of Millennials.

1. Empathy - a quick, paraphrased definition from Merriam-Webster:  the action of understanding, being aware of, being sensitive to, and vicariously experiencing the feelings, thoughts, and experience of another without having those things fully communicated in an objectively explicit manner.

Now to be clear, empathy has always been a valuable leadership trait through the generations.  Leadership is associated with power which allows leaders to operate, potentially, with a heavy hand.  They need not worry about reading their direct reports.  The leader provides the direction and expects the reports to execute it.

Empathy is a critical component of emotional intelligence.  The ability to read the nonverbal cues of people provides access to the largest channel of communication.  7% of communication is verbal (i.e. words) while 93% of communication is nonverbal (e.g. tone, body position, inflection, posture, etc.).  Nonverbal communication is the universal language and if the leader can read it effectively, he or she has an advantage in leading Millennials.

2. Patience - This trait appears to be more uncommon by the day.  Millennials have matured in a microwave world.  Data, entertainment, communication has always been at their fingertips primarily through their cell phone.  Patience has not been a common point in their collective lives.

The ingrained lack of patience means the leader of this impatient generation needs...patience.  Saint Augustine famously stated, "Patience is the companion of wisdom." How true.  The Millennial generation often pushes for expediency in their careers to the point where they leave companies after short tenures.  They believe they have acquired all of the skills they can from that company and their path to the CEO suite is unclear.

The modern-day leader has to maintain a steady hand with the Millennials.  The leader must manage the Millennials expectations and provide a growth path focused on skill development.  The key is to coach them to take measured steps forward.  Patience will provide progress.

Keep this in mind, by the year 2020, Millennials will make up approximately 75% of the workforce.  Their generation requires an evolving leadership style better suited to the Millennial mindset.  Two traits, empathy and patience, will be in growing demand each year.  The leaders with the ability to adapt will successfully harness the energy of this new generation.