Category: Business Analysis

How To Repair Trust

Business Analysis, Customer Service, Sales Management

Should people get second chances? Sometimes, but not always. When trust is broken, it stirs up a range of emotions in people and, despite how it is processed, the one who broke the trust is now viewed to be a threat. How harshly should we treat someone who has broken the trust? Was it severe, intentional, and irreparable? We all make bad judgment calls sometimes and these mistakes can be costly no matter what our intention was at that moment. Most people would agree that under normal circumstances, people all deserve second chances because we have all made mistakes. The question becomes, what does that path back to redemption look like? 

 

Despite the circumstances surrounding broken trust, we don’t always have the ability to just write people off because trust is so essential to our relationships. Trust must be achieved at some point because otherwise, we would all operate mostly in isolation, and nothing would get done. Trust must be achieved. Trust is desirable and beneficial, but is it repairable? It depends on the parties involved because trust is always a partnership. Does one person want to trust the other again and does the other person care to make themselves trustworthy? Since trust is desirable, let’s discuss the process for repairing broken trust.  

 

Communicate – Discuss the issues regarding trust. Were the expectations reasonable? Were the mistakes and judgments intentional? What could have been done differently? 

Compassion – Can you or will you understand the other person’s perspective? Why did they choose their words and actions? What would you have done in their situation? Is this a bad person or a poor decision? 

Responsibility – If you made a mistake, own the mistake. Did you expect too much from someone? Did you make a bad decision or judgment call? Did someone not act with integrity? What could have everyone done differently? Learn from the mistake. 

Forgiveness – Can you or the other person earn a second chance? Does the other person even want a second chance? Everybody should be allowed to make a mistake and strive for redemption. Shake hands and offer the grace that you would desire from others when you make a mistake. 

New goals – How can we start over again? Start with something simple that focuses on a common goal or purpose. Create the proper expectations and make it an equal partnership. Demonstrate to each other that trust can be repaired. 

Trust, but verify – Put your newfound trust to the test. Create the proper expectations with one another with a crawl, walk run approach. Create better communication mechanisms and feedback loops. Make sure there is a more deliberate focus on honesty. 

The Trust Spectrum Of A Sales Team

Business Analysis, Sales Management

Can I trust you? Sounds like a simple question that commands a simple answer. Well, it depends on what you want to trust me with, I guess. Are you sharing a secret? Do you need me to carry out a critical function? Would you like me to hold your purse or wallet? Trust is fragile; hard to earn and easy to lose. Trust is essential for the sales team for a variety of reasons including loyalty, dependability, honesty, predictability, integrity & communication. But why do some sales teams function very well with trust while others struggle with it year after year?

Distrust has interesting ways of playing out with sales teams. It can manifest itself in several ways. Drama, gossip, and blame are all telltale signs of distrust that ultimately lead to a decrease in productivity and an increase in attrition. Understanding where your team is with trust ultimately is found on the Trust Spectrum and the source is usually identified with leadership (but not always). Let’s have a closer look at the Trust Spectrum and see where you might find you and your team.

Micromanagement: Micromanagement is the opposite of trust, and this always comes from the leader. It could be for good reason because perhaps someone on the team or the whole team is not meeting expectations. Or perhaps the manager has a hard time letting go of control or is even instructed to micromanage by senior leadership. Whatever the case, this is ineffective if for only the amount of waste it creates and the stifling impact it has on performance. Micromanagement also creates more distrust just by its very presence, and people within the team will look for ways to work around the micromanagement, which also manifests itself in less than trustworthy behaviors.

Trust, But Verify: Not a bad policy, even though the phrase itself is a contradiction. This is the widest part of the spectrum and where most teams will find themselves. It is filled with good intentions and often is quite functional. But verifying anything means that trust is absent in some fashion. So, we need to have some checks and balances with the sales team to make certain that we are mitigating risks. The goal should be to establish the maximum amount of trust possible to create better efficiencies, productivity, and creativity.

Total Trust: All people must accept some degree of trust in their lives. Otherwise, we would be trapped in indecision. But there are some sales teams that operate on a high level of trust with one another. This is usually achieved with strong and noble leadership, proper team selection, clarity of goals, and rock-solid processes. Sales Teams with total trust operate with an awesome amount of power that captures a lot of new business and leaves the competition stunned. It can take a long time to achieve this status, but the more you focus on establishing trust instead of micromanagement and verification, the stronger your sales team will become over time. 

The Sooner You Have Goals…

Business Analysis, Sales Management

Why are some companies bashful about sales goals? Did I say some? I meant lots of companies. Is it because they don’t want to scare off the new talent? Is it because they don’t really know what good goals are? Is it because we are not used to measuring our team in this way? Or maybe we are concerned that we are starting them on a fast path to failure because they will instantly see something that is out of reach and give up before they even try. Perhaps you are hurting your salespeople more than you are helping them by not giving them goals? And why is that? Because the sooner you have goals, the sooner you get results.

 

Look at it this in a different way. How will you know that your salesperson is or will be successful? Better yet, how will they know whether or not they are being successful? Imagine sports teams without nets, hoops and goal posts. You would see a bunch of players running around everywhere with the ball. It might be fun to watch, but no one would get anywhere and soon grow tired of their efforts. The same is true of your sales team. They are just our running around on the field and they don’t even know where they are supposed to take the ball if they are lucky enough to even find it. Here are some helpful hints to create goals for your salespeople.

 

  1. Simple – Goals for salespeople (or anyone for that matter) should be simple. It could be a number that measures units or revenue related to a specific target.

 

  1. Logic – The goal should make sense in that you don’t just pull numbers out of thin air. We base them on past performance, similar salespeople, market trends, etc.

 

  1. Time – Each goal needs to have a timeline as well as checkpoints built in to make certain that people are staying on course.

 

  1. Achievability – Can other salespeople of like kind and quality accomplish this goal or are we setting that salesperson up for failure. Allow for small victories to allow your salespeople to develop confidence. 

 

  1. Process – Can you show your salespeople the path to success or do you expect them to figure this out on their own? Give them a process that shows them step by step how to reach success and they will be more receptive to the goal than ever. 

Sales Suffering From Home Run Syndrome?

Business Analysis, Posts, Sales Coaching, Sales Management, Sales Training

If a baseball player doesn’t hit a home run every time he steps up to bat, then what was the point of the swing? That’s a silly question for a number of reasons, but sometimes we adopt this mentality in sales. It’s called Home Run Syndrome. If we are not great every time we try, then the effort was a waste of time. For example, your team went to the trade show that was ill-attended; far from a home run. It was a wasted swing (strike). We spent a lot of time and got close to closing a nice deal, but they went with a competitor. We wasted a swing (ball) We landed a new customer, but it’s not a very big account. We should have put that effort into a bigger opportunity. A wasted swing (first base). No swing in sales is truly wasted if you learn from it, and if you don’t swing, then you learn very little.

 

Not everyone suffers from Home Run Syndrome, but if you have a sales manager who’s really pressuring you, or you are having a hard time achieving your goal, sometimes we don’t care about the little victories that get us to home plate and we assume no one else does either. But in sales, we have to swing the bat often just to get to first or second base. If you just sit and wait from the home run pitch, chances are you will seldom swing at all. The more you swing, the better you can become. Not everything in sales can, or will be a home run, so manage your expectations and continue to put in your time and effort. It’s worth it. Here are some helpful tips if you feel that you or someone on your team is suffering from Home Run Syndrome.

 

  1. More strikes equal more experience – A strike is, or at least should be, a lesson learned. But unlike baseball, you’re not out after 3 strikes. I know many salespeople who get countless strikes before they finally get on base. But once they are on base the first time, they increase and improve their odds of doing it again. Learn from what you are doing and make the experience your wisdom.

 

  1. More swings equal more hits – Your average and scores will go up almost by virtue of your effort. Now, that said, if you are really lousy at swinging, then you need to improve your technique. But persistence and perseverance go a long way in sports and sales. 

 

  1. Get to home plate one base at a time – What is the point value between a home run and someone who gets across home plate one base at a time? Nothing. In the end, the goal was achieved with or without the pizzazz (no I didn’t mean to say pizza). Home runs are great, but they don’t always win games. Getting across home plate as many times as you can is how the game is won. The same is true with sales. Keep swinging and keep getting on base. You will get there. 

How To Fire A Salesperson

Business Analysis, Sales Management

I don’t enjoy writing on this topic any more than you enjoy reading about it because the thought of anyone losing their job for any reason upsets my stomach. It is a highly disruptive and stressful moment in someone’s life where desperation, anxiety, and low self-esteem have a tight grip. But sometimes it’s just not meant to be for whatever the reason. The good news is that if you have to fire a salesperson, it usually doesn’t come as a surprise because it is almost always performed base and great salespeople rarely get fired.

 

When I talk about firing a salesperson, I mean someone who is really trying their best but things just aren’t working out. Issues of gross misconduct and disobeying company policy are another matter altogether. If a salesperson is not meeting performance expectations then it should not be a secret to anyone, least of all the salesperson. If it is a surprise, then much of the blame should be on management for not doing a better job of communicating and developing the salesperson. Either way, the moment of truth is here and you need some help with a difficult conversation. 

 

  1. Direct, honest, and swift – Don’t drag someone through what is going to be difficult for everyone involved. Get right to the point. Firing someone in normal circumstances should take less than 10 minutes.
  2. Address the performance, not the person – As much as you may want to, do not make comments about the salesperson’s attitude, behaviors, and personality traits. This can be misleading, upsetting, and perhaps get you in hot water with HR. Make it about the performance only. The reason someone is not meeting their sales goals at this point really doesn’t matter and entertaining these conversations will almost certainly cause you more trouble.
  3. Stick to the message – No feelings, just facts. When someone gets fired, they are understandably emotional and they will use aspects of anger, pity, or empathy to take you off your script. Don’t take the bait. Stick to the message.
  4. Provide instructions – Don’t forget to cover the need-to-knows about termination including final paychecks, leftover vacation days, company property and health insurance options. If possible, it would be good to offer a letter of recommendation to help the salesperson transition to their next job.
  5. Take a different direction – If you’re really in a tight spot with delivering your message of termination and you don’t have sufficient performance data to support your decision, then you can use your reasoning as “we are taking a different direction with position”. Explain nothing else beyond that lest you create more problems. Every question that comes after that is answered with, we are just taking a different direction. We don’t have other information to share at this time.” It’s kind of a catch-all for difficult firings that leaves the fired salesperson without leverage and no legal risk exposure to you.

Creating Performance Improvement Plans For Salespeople

Business Analysis, Sales Management

Let’s assume that, in some way, every person desires to feel like they are successful. Most reasonable people do not pursue and accept jobs if they didn’t feel like they could be successful in it. The 2 questions are can they perform the work and will they perform the work? That’s where a performance improvement plan (PIP) comes into the picture. Someone is not successful at some aspect of their job. If both parties agree that the salesperson wants to, and can be, successful in sales then a PIP would be the next best step. If not, then you probably have a different problem that deals with attitude more than aptitude. 

 

In some ways, a PIP acknowledges that both parties have failed each other in some ways and both equally deserve a second chance. Often times the salesperson needed additional oversight and support, or maybe they just aren’t fit for the position and should look elsewhere for jobs where they can be successful. A PIP is our way of saying let’s give this one more try before any of us make up our mind. After all, everyone involved has much to gain if the salesperson comes out the other side successful from their PIP. The question is, how can I create a PIP that is appropriate for my salesperson? 

 

  1. Achievable Goals – Everything in your PIP must have measurable goals. We are in a sensitive situation when someone’s job is on the line, so there should be nothing to guess about. Let the numbers tell the story that if success isn’t meant to be, the numbers can validate that. Be sure to pick goals that are reasonable. Remember, we would rather this be the path to success than a painful exiting from the company.
  2. Pipeline – Make certain that the salesperson is maintaining a steady pipeline. This is often one of the biggest culprits for sales failure. Make sure you set acceptable standards for pipeline minimums during the PIP timeline.
  3. Activities – The PIP should express in no uncertain terms the types and amounts of activities that should be performed during the time period. If they can’t do the work, then this is not the job for them. How many phone calls, emails, visits, etc do you expect?
  4. Customer Meetings – Sales are not going to happen without meeting with prospects and customers. If a salesperson cannot get people to the table, then sales is not a fit. We all love hard workers, but we like sales even more. Hard workers can easily find a job elsewhere.
  5. Check-ins – Make sure you have at least weekly PIP check-ins with the salesperson. The PIP can last anywhere from 30 – 90 days. If you aren’t checking in regularly, there’s a good chance that the salesperson continues to struggle with the same issues. Remember, the goal of the PIP should be to make them successful, not to watch them slowly fail.
  6. Sales – I hesitate to add this to the list because certain industries have long sales cycles. If you have a sales cycle that is less than 60 days, this can be part of the PIP. If it is longer, I would rely more on the number of customer meetings that the salesperson has created.

Hiring A New Salesperson? Try Before You Buy

Business Analysis, Sales Management

Recruiting, interviewing, and selecting a new salesperson is a very tiring and stressful responsibility. There is a lot riding on this position and if you don’t get it right, you lose a significant amount of time and money. Your strategic plans depend on you getting the right person on your sales team, but you’ve done this before and it didn’t go so well. Salespeople, as you would expect, are very good at knowing how to say the right thing in a job interview and when you’re ready to make your decision, there is always that inner voice telling you, “Self, this is going to be a gamble.” But you’re tired of gambling. The resume appears solid and the references check out and although that is promising, it in no way guarantees success. Well, what if I told you that there is a risk-free way to try-before-you-buy every single sales candidate? 

Most job interviews are structured by employers to learn about what a candidate has done in order to forecast a probability of what their potential is. This standard method is effective up to a point. That’s why employers developed skills tests and assessments for candidates before they make them an offer. In sales, the preferred tool is the personality test. We could argue how effective a personality test is for discovering the right candidate to be on your team, but the most simple and cost-effective way to actually evaluate your candidate is roleplaying with them. Roleplaying is great because it demonstrates in real-time how salespeople perform on their feet as well as the level of sales skills they possess. Best of all, it’s not that difficult to determine how well they have done based simply on your impression. Why? Because you will know instantly the impression the candidate will make on your prospects and customers by the impression they make on you in simulated sales scenarios. Here are the 5 scenarios to roleplay with your sales candidate so you can try em’ before you buy em’.

 

Getting the meeting – One of the biggest aspects of sales is getting meetings with new potential clients. Have the candidate cold call you to tell you about their product or service and persuade you to have a meeting with them. It may be best for the candidate to pick a product or service they have sold before so they can focus on technique instead of product knowledge. 

 

Present the product/service – Have the candidate again pick a product or service they are comfortable with and have them spend 3 – 5 minutes discussing the it with you as a potential customer. This should be less about features and benefits selling and more on their presentation skills.

 

Getting the commitment – We’re not ready to close the deal yet. Get the candidate to persuade you as a potential customer to take to next step in the buying process. This could be scheduling a follow-up meeting, requesting documents, requesting another decision-maker, etc.

 

Managing an objection  – This is the most crucial scenario to roleplay with a sales candidate. Sales objections are a constant reality and you need to see how the candidate can work through the problem. The candidate doesn’t have to be perfect, but how do they respond to pressure and confrontation? Three objections to roleplay are 1) I think your price is too high, 2)I am happy with my current vendor, & 3) I’d just like to think it over.

Closing the deal – It is critical that this candidate knows how to ask for the sale. It is surprising how often this technique is blown off; especially in interviews. Does that candidate come across as comfortable and confident or is she at a loss for words? This will help you to separate the wheat from the chaff. 

Identifying Good, and Not So Good Customers Using The Challenge Chart

Business Analysis, Customer Service, Sales Training

Did you ever wonder why solving one problem for one customer while solving the same problem for a different customer can be a completely different experience? For example, one customer completely understands your proposal and quote and you can close the deal in twenty minutes. The next customer who, on the surface, is very similar to the last, can’t seem to make sense of what you are trying to help them with and the deal gets stuck in a series of follow-up emails, phone calls, and meetings. Did you do something wrong? Is there something wrong with the customer? Probably not. Customers come in all shapes and sizes, and so do their challenges. 

 

We want to make every sale that we can, but sometimes the buyer and seller are not a good fit for one another. In fact, if you have never brought on a customer that you later on kind of wish that you hadn’t, then you haven’t truly lived. The trick is how can we understand and manage these opportunities? The Challenge Chart is a good place to start. 

Basic  – These customers are no-brainers. They are your cash cows, lay-up shots, and gold mines. These customers are a dream to work with and you have exactly what they need. These customers are keepers.

 

Moderate –  Some customers are great to work with, but their issues may not be. Are you able to help them with their issue with a little extra time and effort, or is this something really out of your wheelhouse? Don’t be afraid to tell these customers ‘no’ if you can find a better solution for them outside of your existing services. 

 

Difficult – Perhaps you have exactly what the customer needs, but they are a headache to deal with. The real question with these customers is are you able to keep your sanity and profits. If you answer ‘yes’, keep them. If not, may it’s time to pass on this opportunity.

 

Complex – This customer makes your skin crawl, but you need sales so you listen to what they need. It doesn’t take long to figure out that this opportunity is riddled with more problems than you can solve. You may want to be the good guy and on paper, the sale may look good. However, this is nothing but trouble. Politely pass this one to another vendor, maybe a competitor that you don’t like too much if you know what I mean.

 

Selling To The 5 Types of Challenging Customers

Business Analysis, Customer Service, Marketing, Strategy Planning

Did you ever have that one customer? You know the one that I mean. When their name appears you know that it’s going to take a little extra time, you force a smile on your face and brace yourself for something that would otherwise be a simple issue for any other customer. Let’s face it, at the end of the day we are happy to have the sale, but why does this one make you work harder than all of the other ones? 

One of the main issues with challenging customers is that they are not all the same and cannot be treated the same. Many salespeople are like hammers always looking for a nail. We don’t know what to do when we encounter a screw, bolt, or staple. Sure, they sort of look like a nail in some ways, but when you hit them with your sales hammer they just bend and break instead of going into the wood. The agile salesperson always keeps a screwdriver, staple gun, and wrench nearby just in case. Here are the 5 different types of challenging customers and how best to work with them.

  1. Needy – Some customers just need a little extra time and care. They take comfort in the relationship that they have (or are developing) with their salesperson. Give them the assurance they need in your relationship, but help them to develop trust with you over time to shorten their buying cycle. Do this by asking them enough questions to demonstrate that you understand their need.
  2. Indecisive – Some people just can’t seem to make up their minds and, if you give them too many options, they might just bust a mental spring. These types of customers often operate unknowingly out of fear. The best way to help these types of customers is to give them limited options and create reasonable deadlines for making decisions.
  3. Curious – These customers are your tire kickers. They can spend more time thinking than buying. They are always on the hunt for more information, sometimes without any intention of buying. They can have you spending a lot of time preparing quotes but never really having a true intention of making a sale. Set the expectation up front with them by asking them how important this issue is, what their buying decision criteria are, and when they plan to make their final decision.
  4. Confused – These customers are struggling to connect the dots. Perhaps they don’t speak your lingo or maybe what you are offering them is overly complicated. Sometimes this confusion can appear as anger when it is expressed in an email. Respectfully, some customers have to be talked to like a 5-year-old not that they are unintelligent, but they are just operating on a different wavelength. Make sure you slow things down and try not to spend much time proving how smart you are by using too much industry speak. 
  5. Angry – A customer has either verbally expressed that they are upset or you can clearly detect it in their tone. Be careful jumping to this conclusion based on email threads as they do not accurately depict emotions. If you do encounter an angry customer, use the intensity reduction method. Acknowledge the issue, demonstrate that you understand the problem, embrace the challenge, and take ownership of the solution.

Addressing The 4 ‘Misses’ Of The Customer Experience

Business Analysis, Posts, Sales Training

The customer experience is as crucial to the identity of your company as is your brand. It is how we make customers feel in every way they interact with our company whether it is your employees, your website, your storefront, the billing process, and so forth. Some companies do a great job of deliberately designing their customer experience while others just form theirs organically. Often our role as salespeople is to deliver that experience as an ambassador of our company. Sometimes the customer experience does not unfold as planned and customers have a less than optimal experience. 

 

Most often when a customer experience does not meet the expectation of the customer, there is some level of grace where the issue is easily forgotten by the customer or they offer their forgiveness. These pitfalls are usually avoidable with good training and planning, but we are all human and aren’t always at our best. We find that there are generally 4 misses in the customer experience; Mistakes, Miscommunication, Misunderstandings, and Misinformation. Once you have identified the issues, here are the best ways to address them.

 

Mistakes – We all make mistakes and, at the very least, they are embarrassing and sometimes expensive. The nice thing about most mistakes is that they are correctable. If a mistake is made, it is best to alert the customer as soon as possible and take ownership of both the issue and the solution. The sooner you do this the more forgiving the customer will be.

 

Miscommunication – Miscommunication is difficult because it has several variables including the possibility of the wrong message, wrong timing, wrong method, or wrong tone. The worst situation is when communication is absent or insufficient. Clarify the expectations of your customer and do everything you can to reasonably accommodate this need.

 

Misunderstanding – This happens when the wrong expectation is created. Perhaps things were not clear enough or someone made too many assumptions. Sometimes the terms were not discussed, agreed upon, or finalized. Take the time to figure out where things went wrong. The error could have been made by either party. Once the misunderstanding has been resolved, it is best to make sure both parties have the new understanding in writing to avoid future confusion.

 

Misinformation – We all can receive the same information in a different way and an honest error can occur. The wrong details were shared, the information was misleading or certain details were omitted or disregarded as unimportant. It is always best to give customers as much information as possible whether they want it or not. If necessary, highlight the details that, if not received, can cause the customer serious issues.