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Establishing a Highly Efficient Sales Structure
Without a highly efficient sales organization, there are no good business results. Yet, many companies do not pay sufficient attention to this fact, and sales often take place in an unorganized manner, based on personal contacts and additional incentives for the buyer (for example, additional rebate), instead of a professional approach to sales.
Problems usually arise already with the availability of sales statistics and results by different criteria. Often even the most basic data is not available, such as the scope and margin by buyer or salesperson, not to mention more detailed data. And without that, it is impossible to determine in which areas improvements may be introduced.
The next problem lies in the level of knowledge of the salespersons and the planning of their work. Do the salespersons know the fundamental rules of sales? Do they know the characteristics of the products they are selling and their main comparative advantages over the competition? When you pose this question to sales leaders and directors, in 90% of the cases you will receive a positive answer. When you then ask them how they know this, and whether they have any evidence of this, silence pervades. This only proves that the sales leader does not function as trainer, and does not accompany his salespersons to the field to observe them while working with customers and give them useful feedback about what they are doing right and what they need to perfect. Analysis shows that, with three to five hours of such help from a professional trainer a month, a salesperson will improve his sales results by 7% within six months on this alone.
How about sales calls? Salespersons will most often call on their existing customers (a "courtesy call", they will say), while they will not call on their prospective customers so regularly, in as planned and disciplined a manner. To achieve a sustainable sales growth, each salesperson should invest at least 40% of his time in prospective customers. How much time do your salespeople invest into prospective customers? Analysis shows that in average companies less than 10% of the time is invested in this activity.
Raising this time to 40% is only possible if each salesperson has a precise weekly schedule of sales calls
to existing and prospective customers. And if for each call he is able to briefly and concisely answer the question "Why am I calling on this existing or prospective customer?" Because a call is not a purpose in itself and remains useless if the set goal is not reached.
The role of the sales leader or director is critical. Does your sales director have a clear strategy and operational plan for his team, as well as for each of its members? Does your sales director spend 50% of his time with his salespeople in the field, working as trainer? Does your sales director help his salespeople in working with prospective customers, especially regarding the preparation of the first call and the finalization of the sale? Has your director worked out a plan of incentives and motivation for his salespeople? Without this, one should not expect a sustainable sales growth.
Furthermore, does your company have a manual of authority? Do your salespeople know the level of their authority in sales, which is clearly defined in such a document? Or do they have to call their superiors for every detail?
Finally, it should be said that the best salespeople are in fact "consultants", practicing so-called counselling sales. They have a sound understanding of their (existing or prospective) customer's business operations and the trends in his line of business. Through quality questions, attentive listening, and, finally, creative solutions, such salespeople are able to offer their customer not only products, but rather complete solutions (for example, lowering costs, a solution to a technical problem, better security characteristics, etc.).
We have listed here only some aspects of a highly efficient sales organization. The establishment of such a structure in a relatively short time requires a rather rich operational experience in managing sales. It is of no lesser consequence, that the person entrusted with this task have express characteristics of a leader and trainer. Analysis and experience show that the first results in establishing a highly efficient sales structure are visible within one month, and significant sales results show within three months. After working according to these standards for six months, a sales growth of some 7% should be expected.
Do You Need a Business Consultant or an Interim Manager?
If you require help analyzing the state of your business or developing a business strategy, you need a consultant. If, in turn, you are looking for help with the implementation of the strategic measures you have defined, an interim manager will be your best choice.
An interim manager can at the same time be a consultant, but a consultant is, usually, not an interim manager, because he does not engage in the implementation of the solutions he proposes.
The diagram above clarifies the division of roles of a business consultant, an interim manager and a director-employee.
The difference between a consultant and an interim manager thus lies in the fact that a consultant advises and recommends, remaining responsible to his own company. An interim manager implements the agreed measures, being directly and exclusively responsible to his client.
There are, however, persons, who due to their rich business experience, can at the same time function as business consultants and interim managers.
