Ho, ho, me again!
This time we’ll talk about SALES EFFECTIVNESS. But first let’s summarize the essentials from last week, where Mr. Iacocca talked about four different categories of sales people and how to deal with them. The categories and his suggested treatments were;
- Those who reach their goals and share all the company values. These folks should be stimulated and promoted and well looked after.
- Those who don’t reach the goals but share the company values. Support and training should be put in.
- Those who reach the targets but without sharing the company values. Should be fired within three months.
- Those who neither share the company values nor reach their goals – should be fired the very same day
You might wonder how and why. Well, first make sure that the categories 3 and 4 are dealt with immediately. By doing so you’ll secure the first two categories’ continued success and thereby the whole sales organization’s future. If you don’t, on the other hand, you jeopardize the good people’s respect for you as a boss as well as their respect for the company values with a corresponding fatal outcome.
Let me add that, that the importance of this is growing day by day. And the reason is, that no matter what line of business you are in – the supply exceeds the demand by far and the gap grows constantly! Which in its turn increases the competition and makes sales life tougher! And that’s the challenge!
The first thing you should do is to find out how well your company performs in comparison with the trade as such. You do that by comparing your annual growth, your annual profitability and your annual market shares with the trade’s corresponding figures. (Your trade organization can provide you with those figures).
If you come out:
– Above average. You are on the right side and probably performing well.
– Average. Warning, warning you are on a slim line.
– Under average. Actions are to be taken immediately!
Ho, ho! More to come!
PS: Another business legend, Jack Welch, the former CEO at GE (General Electric), summarized this issue in two words HUG and KICK! And when asked, what that’s supposed to mean, he explained it with these words “winning teams come from differentiation, rewarding the best and removing the weakest, always fighting to raise the bar”. These two legends, Iacocca and Welch, seem to be convinced about this philosophy’s supremacy. How about you?
Dedicated his full life to business in Sweden as well as in the US, Germany and Switzerland. Also a number assignments all over the world.
Experiences; salesman, sales leader, marketing director, vice president and CEO.