Employment in this economy is a wonderful asset, to say the least.  However, this abcnews.com story points to an impending problem – retention.

Even Americans who are lucky enough to have work in this economy are becoming more unhappy with their jobs, according to a new survey that found only 45 percent of Americans are satisfied with their work.

That was the lowest level ever recorded by the Conference Board research group in more than 22 years of studying the issue.

The economy will eventually turn around though it appears it is going to be a slower process in comparison to historical recoveries.  When it does turn and hiring picks up, there is going to be a tremendous push for retaining top sales performers.

I have talked to top salespeople recently who are not satisfied with their current position, but they are unwilling to make a change right now.  Interestingly, I have had a few of them contact me to get their oar in the water for when hiring picks up again.  At that point, they will use their sales prospecting skills to find a new opportunity for themselves.

The key to improving retention is understanding the salesperson’s motivations and identifying their reward structure.  Here is an example of how it works – if you have a salesperson who has a strong Utilitarian motivation (hopefully you do), they are driven by return on investment.  They will appreciate practical, efficient workplaces that assist them in their quest to close deals.  A sales department rife with gross inefficiencies will grate on this salesperson.

Now that you know their motivation, it is important to understand what rewards them.  Here is a fine point, but an important one.  If your salesperson is rewarded by Material Possessions, you can expect them to respond to money so they may acquire the possessions they desire.  This seems logical.

However, if you have a Utilitarian salesperson rewarded by Status & Recognition, their will respond more to titles, exclusive clubs (President’s Club) or money that they can use to gain access to a higher status (e.g. private golf club membership).  Both salespeople will appear to have similar reward structures, but they respond differently based on their deep-seated structures.

If you are interested in learning more about your team, please contact us at your convenience.

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9.3 to 9.7%

That’s right, that is the expectation for the 2010 unemployment rate from the Federal Reserve based on this abcnews.com story.  I find that number shockingly high, but it is realistic.

Then there is this bit of information from Reuters (emphasis mine):

Speaking at American Economic Association’s mammoth yearly gathering, experts from a range of political leanings were in surprising agreement when it came to the chances for a robust and sustained expansion:

They are slim.

Many predicted U.S. gross domestic product would expand less than 2 percent per year over the next 10 years.

The depressed economy combined with the high unemployment numbers has started to change my thoughts about the impending employee shortage.  As the Baby Boomers exit the workforce, there may not be an immediate need to replace them on a one-to-one basis.  The potential length of this recession combined with the dramatic increases in productivity (leveraged by technology) seems to point to a needed exit of the Boomer generation.

One shift we are seeing in our business is a disinterest in hiring inexperienced salespeople.  The surplus of experienced, effective, established sales candidates has placed the typically younger sales candidates in an unenviable position.  The ramifications of this trend may have an impact on the sales talent pool in the next decade.

Sales is a profession that requires experiences to develop skills which is why it cannot be taught effectively in a classroom.  The trap many hiring companies fall into is a belief that the sales candidate needs to have specific experience in their industry.  Although desirable, the better approach is to have experience in a similar sale that has allowed them to develop and hone transferrable skills.

That being said, a remarkably high unemployment rate will have a negative impact on sale hiring in the younger generation.  That depressed hiring trend will force younger candidates into other fields creating a sales talent void over the next decade.

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