Sunday, June 1, 2008

Salesperson Hiring Mistake Thoughts

In recent weeks, I've discussed salesperson recruiting with CEO's and senior sales executives of four successful, well managed, profitable companies ranging in size from $4million to $1billion. When the conversation turned to salesperson recruiting, they all expressed frustration and lack of confidence. In two of the larger companies, the success rate was estimated at 50%, with the executives knowing that the mistakes were costing $millions per year in cash, time and lost opportunity.

Why is it so difficult to hire and retain sales winners . . . what's the root cause?

The answer may be reflected in the answers to questions listed below I've asked hundreds of smaller to mid-sized company executives who have attended my "How to Avoid Costly Hiring Mistakes" seminar.

  • How many believe impatience is the number one root cause of hiring mistakes? Over 95% have agreed
  • How many of you enjoy recruiting sales people? Fewer than 5% claimed to enjoy the process.
  • How many think you're good at it? Fewer than 5% believe they're any good.
  • How many religiously follow a well tested, disciplined sales recruitment process including testing? Same kind of response as above.

Given a widespread distaste for recruiting salespeople, the lack of confidence in the ability to succeed and absence of a process, is it any wonder that so many mistakes are made?

So what's the solution?

In my opinion, the solution at least is grounded in a disciplined process, which includes testing, followed every time . . . no exception. A process will significantly reduce the risk of impatience taking over, which often causes the decision to be based purely upon liking the person and, in reality, nothing else.

For those interested in digging deeper toward finding a problem solution, I suggest following the link below to a white paper on the topic by Dave Kurlan.

http://www.objectivemanagement.com/articles/spselection.pdf

Thursday, May 22, 2008

What's Right Thoughts

In response to my "People Thoughts" posting, Rick Roberge asked, "what if we don't know what's right?"



The answer is: As a business owner, you'll very likely know what's right regarding people and their jobs when you're sure of the following:


  • A long term goal;

  • There is a clear CORE PURPOSE to the business;

  • The business is based upon a handful of CORE VALUES;

  • Your business is playing in the appropriate SAND BOX (product/market segment);

  • You have a clear understanding of what it takes to be the BEST PLAYER in the sand box;

  • You know how to make above average PROFITS IN YOUR chosen sand box.

If you're unsure of any or all of the points noted above, the odds of getting the people stuff right aren't in your favor. In fact, at some point you'll be relying on luck.

Good luck figuring out all of the above . . . just kidding.


Sunday, May 18, 2008

People Thoughts

If you run a business, even a one person band, I believe there are four key decisions (from Mastering the Rockefeller Habits by Verne Harnish) that will make or break the business.
  1. People
  2. Strategy
  3. Execution
  4. Cash

The order of these is always griss for the debate mill, e.g. no cash, no business. However, people sits at the top of this list for a reason. It's hard to imagine a company recognized as an industry leader over time being led by and staffed with mediocre performers. The success formula is as follows:

Competent leader + A players = Well above average performance

If you're curious about the quality of people in your company, or yourself in the role you're in, ask yourself the following RIGHT questions:

  • Do you have the right people?
  • Are the people in the right seats?
  • Are they doing the right things?
  • Are they doing the right things right?

If you're unable to answer confidently in the affirmative, there's important work to be done.

Thursday, May 15, 2008

First Blog

My blog purpose is to communicate personal thoughts about life and business to whomever cares to listen. I'm a teacher and coach at heart with a sincere passion for helping others improve their lot. With that said, I'll get started.

LIFE: I try to live a day at a time dealing with life on life's' terms, which can run the gamut from harsh to very rewarding. I believe in and try to religiously follow, four daily priorities as follows.
  1. Take care of myself spiritually, emotionally and physically
  2. Family focus followed by friends
  3. Work
  4. Finances

Note: It's against the rules to switch the order.

BUSINESS: As a David Kurlan & Associates business coach committed to help entrepreneurs build much more profitable enterprises over time, I believe strongly in the value of running a business to the beat of a well developed business management system, which includes a strtegic plan. I always ask prospects if it makes sense that daily activities be prioritized and aligned with their long term goal . . . the answer is always yes. However, when I follow with - well then is it safe to assume that you run your business on that basis . . . the answer is invariably no. The answer to, why not, is usually that they don't have the time . . . they're overloaded. And so it goes!!!

Stay tuned, I'll pick up where I've left off in future blogs and thanks if you've taken the time to read this first one.