Elements Of A Successful Sales Performance Management System

The components of a successful sales performance				Another foundation of good sales management, of
management system include first of all having well				course, is coaching your people to success. There is
defined revenue plans and revenue and margin				all sorts of schools of thoughts out there about how
objectives. Often times, this includes having bookings				to best work with people but in this day and age,
objectives for your individual sales people. Having well				which is one of empowerment, people want to feel
defined sales territories relating to those targets. And				like they're involved in the decision making processes
of course, having a strong, well documented plan, in				of their job. They want to feel like their opinion is
terms of who your target markets and customers				heard by management. So a more enlightened
are within your territories.				approach to coaching your people today in today's
In addition to having a revenue plan, other				management environment is really working with sales
components of the sales performance management				people to help them to understand and reach their
system include a job description that is expectation				own conclusions about how they can improve their
based where the outcomes are clearly defined are				sales performance.
very important in terms of overall requirements for				Coaching requires active engagement which requires
success in the job.				in turn, time spent seriously involved in a sales
The next component of successful sales				person's day to day, week to week routine activities.
performance management system is actually having				There's a number of different ways to do this, of
individual revenue margin and booking objectives for				course. The most effective way is spending one on
each of your people. Typically, this is done an				one time with your sales people in the field actually
annualize basis with your people going through a				visiting accounts, strategizing them, talking about and
planning cycle once you've defined your overall				preparing for sales calls, going on those sales calls and
company's revenue plans. You should put together				then debriefing after those sales calls to talk about
targets, annual revenue and bookings goals for each				what happened, what was learned and how could
of your salespeople that are tied to that overall				the sales call have been improved. Most sales people
revenue plan. And often times you'll be doing a				learn by doing, and so the active coaching is the art
measuring and monitoring of performance relative to				of getting out with your people into the field and
those actual revenue goals systematically on a				then actually working with them to help them to
monthly or quarterly basis in addition to that.				understand how they can enhance their sales
The next element of a successful sales performance				performance and their sales technique.
management system is having an annual territory plan				Another element, in addition to regular sales visits, is
that your salespeople are working towards. This				frequent phone contact with your sales people just
territory plan should be developed in concert with				to check in with them to find out how things are
sales management in your sales people and it should				going, and frequent informal discussions with sales
list not only your major objects but also key				people to just show them that you care and also
accounts that you're targeting, the strategies to get				giving them feedback on problems and challenges
into those accounts, should probably have a section				that they are facing on specific accounts as they
about both new business development as well as				raise those issues to you. Knowing which accounts
account maintenance or account management and				your sales people are working on is the foundation
also have a section related to actual channel				for asking them questions on a regular basis about
management strategies that your sales people are				how things are going on those accounts and showing
going to be carrying out. This is a once page				your sales people that you are actually engaged with
document that can be put together in a template and				them in an active relationship and are interested in
passed out to your sales people and used as a tool				helping them to find ways to win. When your sales
for them to conduct annual sales planning.				people win, your company wins.
Again, having a plan in place allows you to use that				Yet another element is holding regular sales meetings.
plan as a tool for measuring and monitoring				Some companies only do this on a very infrequent
performance against that plan and having ongoing				basis and the sales meeting should be a primary
discussions with your sales people related to how				component of your sales performance management
they're progressing against the objectives and the				system. By formalizing sales meetings and holding
overall plan that they've set at the outset of the				them on a regular basis, you're showing your sales
year.				team that you're creating an environment of
The next element of a successful sales performance				accountability and information exchange. Sales
management system has nothing to do with actual				meetings can be used for a number of purposes
goals objectives or plans, but everything to do with				including information gathering, finding out how your
sales management's role in working with individuals on				sales team members are performing.
the sales team. This is the most critical element. Sales				Providing training for your sales people which is very
people are only as good as they are being managed				important. Providing ongoing sales training is a way to
by sales management. A lot of companies expect				make sure that your sales people are always
sales people to be left at their own devices, but just				sharpening their saw and that you're giving them the
like any other team, sales people need to be				latest tools in order to improve their sales
managed and the foundation for that, of course, is				performance. So typically, we work on sales
having somebody in place in your sales management				technique training as well as product training and
function who is willing to work closely with their				customer and market training as well. Other things to
people.				do in sales meetings include providing recognition
The role of sales management in developing and				incentives and rewards, taking time in your sales
using a sales performance management system is				meetings to praise and celebrate the successes of
probably most principally based upon the notion of				your people is a great way of showing them that
sales management working closely with sales team				you really do care about their performance and
members on an on going basis and establishing a				you're willing to celebrate those success and give
relationship of trust, confidence, and mentorship. And				them recognition and rewards as appropriate for the
that relationship built between sales management and				successes that they have. So holding sales meetings
its team is fundamental to empowering sales people				is an important part of making sure that you have a
to be successful in their jobs.				motivated, high performance sales team that's
The role of sales management is to track sales				working together and is accountable for its activities.
activity and measure and monitor performance and				The more that sales people understand that they are
to coach sales people to success. Tracking activity				accountable for producing themselves and are held
can be done very easily when your company has a				accountable through these different vehicles that
successful CRM implementation. We use to develop				we've talked about the better your sales
customized dashboards that give management a				performance is going to be from your people. So
quick snapshot of each of their sales people's activity				building and deploying a successful sales performance
in terms of amount of prospecting, amount of actual				management system is something that a company
account qualification and actually being able to				cannot live without and needs to be taken very
measure and track the activity of the sales people as				seriously.
it relates to moving deals through the actual sales				Of course the best sales performance system is only
process towards close.				as good as the people who are running it and when it
Measuring and monitoring performance isn't just				comes right down to it, running a high performance
about really tracking activity but in a deeper sense,				sales team is all about good leadership. What is good
getting behind the activity to understand what it is				leadership? That's not the subject that I want to
that's working and what's not working with each				cover here but I certainly do want to say this:
sales person's territory. A good example of that is				Leadership is about passion, about vision, about
working with accounts. Is the sales person doing a				connectedness, about motivating people, about
good job of mapping out an actual customer				finding out what it is that unlocks the door to
prospect, in terms of people, decision makers,				people's special performance and help8ing them to
influencers and decision making processa and then				realize, open that door and go there. So in some
working hard in order to touch all the bases to				way, building a successful sales performance
develop and advance the sale with all of the different				management system is a key to accelerating your
constituents inside a specific account. This is where				company's sales and as your organization continues
sales management needs to work deeply to measure				to grow, it becomes more important in order to
and monitor sales performance and this is not a trivial				achieve high performance scalability and repeatability
task. It requires active engagement from sales				in your processes.
management in order to do this.

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Elements Of A Successful Sales Performance Management System