sales process

Understanding the Sales Ecosystem, and Why That Matters

by Karen Jackson | on Feb 16, 2016 | 6 Comments

We live within ecosystems, macro and micro, in our private lives and at work. The health of these ecosystems directly correlates to the quality of our experience and opportunity for impact. That’s true at both a personal level (think: relationships, family, community) and at a corporate level (think: people, process & systems.)

When we’re experiencing dysfunction, there’s a tendency to isolate the problem to a single source of culpability. The trouble with that approach is we’re more likely to address a symptom without ever discovering the root cause. While we may alleviate the symptom in the short term, it’s frequently a temporary fix. Instead, if we look at the entire ecosystem wherein the problem exists, we can better identify the multiple adjustments required to return us to high function, and keep us there.

Which brings me to the “sales ecosystem.” It’s comprised of the people, process & systems responsible for revenue generation. When it’s not functioning well – translate: “We have a sales problem” – there’s a strong tendency to blame the sales people and to question their competency and commitment. More often its breakdowns in the sales ecosystem that are causing the sales people to struggle. When that ecosystem is not well understood, we attempt to fix the problem through micro-management, discipline and churning personnel. New team members get hired, but the results don’t change. The only way to a lasting solution is to analyze the ecosystem they work in. It’s there you will find the root causes of dysfunction.

I’m a visual person and prefer to categorize the elements into key “buckets”:

• Target Market Strategy (Customer set, problems they face, how we solve, why they should buy)
• Sales Force Effectiveness (Sales process, playbooks, coaching, messaging, account management, performance management)
• Sales Operations (CRM systems, analytics, tech enablement)
• Talent Management (Comp plans, on-boarding, training, professional development)
• Marketing (Product & pricing, collateral, content marketing, campaigns, lead gen, social media)

Each of these elements is necessary for a sales person’s success, irrespective of the size of the company. The level of sophistication may differ, but the need does not. Once we take this holistic view, we can better interrogate where the breakdowns are occurring. For example, the problem might lay in the lack of sales process, or archaic CRM systems. It could be misaligned marketing, poorly articulated value proposition, lack of training, or comp plans at odds with corporate goals. Most often it’s a combination of issues. Rather than simply hanging poor results on our sales people, we must look at all the elements of the sales ecosystem that are broken and impeding success. If we repair those, we can now fairly assess the competency of individual team members. It’s possible some can’t cut it; they must go. But in my experience, fully 78% of existing sales teams are perfectly capable of achieving quota were the sales ecosystem healthy.

But wait, our micro-ecosystems exist in the context of macro-ecosystems. In other words, there may well be other forces at work causing the “sales problem.” If you’ve dispassionately examined the sales ecosystem and consensus exists that it’s sound, these are the usual culprits:

• Dysfunctional corporate culture
• Lack of vision & values
• Wrong person managing sales
• Sales people performing non-sales related activity
• Breakdowns in hand-offs between sales & operations

If you’re experiencing a sales problem, look to the ecosystem. Start with the premise that it’s not the fault of the team members but the context they are operating within. Shine a bright light on these buckets. It will greatly improve your ability to find solutions to what ails the top line.

Does this ring true in your experience? Weigh in and keep the conversation going.

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Dragging Your Feet on Process Stymies Sales Success

by Karen Jackson | on Nov 12, 2014 | No Comments

I’ve wondered why so many CEO’s of small and lower middle market B2B companies insist on buttoned-down processes throughout their businesses, but not in the sales department. They’d never dream of running finance or operations without process. How would they know if their P&L is accurate, receivables contained, billing error-free, service delivery optimized, or cost of goods under control? But when it comes to sales process, there’s a tendency to abdicate control and allow sales personnel to approach their jobs in an ad hoc way. “Go forth and sell” is the strategy.

So, I decided to ask. Three rationales CEO’s repeatedly shared with me were:

  • “I pay these people lots of money; they should know how to do their job.”
  • “We’re struggling right now so how would we know what process to use?”
  •  “Each sales person has a personal style; I don’t want them to read scripts.”

Let’s debunk these arguments and get clarity around the opportunities presented when sales process is implemented and subscribed to.

Truths

At its most basic level, sales process is a methodology for sales people to organize themselves, manage their prospect & customer pipelines, and follow best practices that take a prospect through the sales cycle to deal close.  The old adage “what doesn’t get measured doesn’t get managed” also applies. Even the most senior sales person benefits – process streamlines their work, provides a set of best practices to leverage, and ensures they don’t forget any steps known to secure deals. Equally important, it prevents folks from spending their time on the wrong things. The idea that a successful, highly paid sales person can do without process is as erroneous as the idea that a CFO can govern finance on the fly. What’s true is that successful sales people rigorously follow their own process, but it’s a usually a well-kept secret and not capitalized on by the entire organization.

Second, when organizations are struggling to drive revenue, it doesn’t necessarily mean they don’t know the ingredients for sales success; more often it means there is a highly ad hoc approach to execution. I’ve yet to work with a company where the best practices of how to successfully move through the sales cycle, the “playbook” if you will, don’t already exist. It’s just that they’ve not been identified, articulated, and institutionalized.

The most fruitful approach is to build your sales process internally, with all sales personnel (including sales support & leadership) participating in its development. If you have a marketing department, include them as well. You’ll harness everyone’s knowledge and perspective, gain buy in for execution, and identify what tools are missing for successful implementation. An experienced sales consultant can facilitate, bringing form and efficiency to the process along with insights from how other companies attack the problem. Just beware the consultant who wants to bolt on a process they’ve invented externally. It likely won’t fit your business model and you’ll never get buy in from the team to execute. Wisdom exists on the front line.  It’s just too infrequently tapped.

As for the argument about personal style, process in no way inhibits individuals from showing up as their most authentic selves. Think instead of sales process as a toolkit. It provides a proven methodology for moving through the sales cycle along with the supporting tools needed to make it happen: email templates, case studies, prospect scoring matrices, deal evaluation criteria, etc. Scripts should be included for training purposes, though not to follow word for word when talking with a customer.

Your process shouldn’t be rigid or pedantic, but rather a set of guidelines flexible enough to stray from when a situation warrants. Instead of fumbling around and searching for the way forward with each new prospect, your reps are free to express their personalities, develop relationships, collaborate with customers, and earn trust.

Big Pay-offs

It takes energy and discipline to build, implement and adhere to process. But the pay-offs are many and big. Here are my top 5:

  • Accelerated on-boarding, training and ramping of new sales people
  • Best practices employed by everyone, not just your “A” reps
  • Spotlight shines on where in the sales cycle your reps struggle, making diagnosis and solution possible
  • Individual training needs are identified
  • Improved alignment between sales, support, management and marketing

The sum of these benefits is what every CEO covets: scaled revenue growth.

Top-performing sales organizations utilize well-structured and repeatable sales processes. Not to stifle individualism nor to baby-sit, though it’s true process helps each of us stay focused, disciplined and accountable. Rather, it’s because process identifies, codifies and institutionalizes best practices for sales success, elevating the performance of not just one sales person but the entire sales organization.

What rationales are you falling back on? Take a hard look; they’re standing in the way of scaled revenue growth.

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