I made that up, Sinking Stock Syndrome, from some interactions I have had recently with a couple of small business owners. Both owners suffered from this syndrome which had disastrously negative effects on their company, both in revenue and morale. Here is how I define my newly-minted syndrome – an irrational hope that a grossly underperforming salesperson will miraculously turn things around and become a sales superstar. It rarely happens. The problem stems from the business owner who has invested in this failing salesperson. Notice I used “business owners” – I do believe this syndrome is more prevalent among this group as they are closely tied to the business (i.e.… Read More
Continue ReadingGetting Back To The Basics
I’ve been assessing many existing salespeople over the past couple weeks and have seen many different levels of abilities. The ones that stick in my mind are the salespeople who are presently struggling with their revenue production. Sales is one of, if not the most stressful positions within any company. The overt issue with a lack of sales performance is that everyone in the company can see it. The numbers are very visible. One underperforming salesperson I talked to recently has hit a true low point. He’s not certain where to start. I thought about that discussion for quite some time afterwards. The lack of performance becomes a spiraling nose… Read More
Continue ReadingThe External Focus Of Sales
I’ve bumped into a common tension point within a company – the battle between Human Resources and Sales. My observations (and participation) of this feud is that it comes down to a fundamental difference in perspective between the two departments. Human resources has the strongest internal focus of any department. Their world exists within the walls of the company and then spend most of their time examining, building, adjusting, etc. that world. Clearly this is an important aspect of building corporate culture. A weak HR department has a significant negative impact on the entire company. I have worked in those environments and they are tortuous at times. Sales as the… Read More
Continue ReadingDisappearing Telecommuters
Saleshq.com offers up tricks for telecommuters in this article. There are some solid points like this: 5. Communication It’s very easy to forget the outside world when you work from home. While you do get to avoid the intricacies of corporate politics, it also means that you have to be your own advocate. Make sure there are multiple ways for your boss and colleagues to contact you. Check your email frequently, and respond as immediately as you can. Keep your phone at hand, and make sure you call if there’s an office meeting. An instant messaging service works well for open communication if something changes last minute. For more long… Read More
Continue ReadingThe Two-Pizza Rule
Full confession – I despise meetings. I have spent much of my career sitting through insanely inefficient meetings – I prefer to call them “boil the ocean” meetings. The topics in these meetings usually lacked clarity and focus so the meeting would drift…badly. Of course, when your boss is sitting in the meeting (or worse, was the one who called it) it is difficult to exit early. But alas, I have found an inspiring article with a fantastic idea. This is from Inc.com (emphasis mine): “Interaction should be constant, not crammed into meetings once a week. You just turn around in your chair and bounce an idea off one of… Read More
Continue ReadingThe Most Dangerous Sales Manager
I have had the opportunity to work for many different sales managers over my career. I’ve seen many styles, but I think this article in SalesHQ.com hits upon the most dangerous style: The Good Buddy is everyone’s friend. Managing is a popularity contest that he intends to win. He’ll be a great drinking buddy, a top notch shoulder to cry on, a guy you can trust to cover for you. He’ll make sure the office atmosphere is loose, that everyone feels welcome, that the office is a fun place to be. Discipline? Well, that’s not something you’ll find in his office. An insistence on hitting quota? Something else that isn’t… Read More
Continue ReadingA Hazy Shade Of Forecasting
The stresses of this economy are affecting entire sales departments from the leadership down to the trenches. One piece I have noticed is a distinct aversion towards customer relationship management software. Interestingly, the resistance is coming from sales managers. What I believe I am seeing are sales managers with less than solid forecasts…and they know it. However, one of the oldest games in sales is fudging the forecast. Sales managers typically inflate the forecast to buy time. They know certain deals are soft, to say the least, but they are hopeful they can cover those loses with new, undiscovered opportunities. It is some twisted logic for sure. I once worked… Read More
Continue ReadingThe Slow Fade Of Strong Salespeople
It has been a hectic week of crashed computers, new blogs set up, new video integrations, business deals, etc. Suffice to say, I have been worn out by the myriad of tasks. In the middle of this busy week, I talked to a strong salesperson I know who has been quite successful in an industry that normally would suffer during this economy. Unfortunately, he is starting to fade in his current position. What I mean is that the company is grinding him down to where he is looking for another opportunity. The main reason is disgustingly simple – he can successfully close deals in this economy, but his company struggles… Read More
Continue ReadingWhy Sales Forecasts Matter
I’ve noticed in some companies a casualness regarding sales forecasts from their sales team. Heck, I’ve worked for some companies that shared that casualness. Some companies view it as an exercise in Excel gymnastics. Others view it as a coffee klatch activity. One customer of ours had multipliers (<1.0) for certain sales reps since they knew those sales reps’ forecasts were inflated…greatly. Here is a news story about a local company and a significant change to their forecast. The setup: Digital River Inc. shares plunged Monday after the e-commerce services provider announced it will lose its largest customer. Cupertino, Calif.-based Symantec Corp. (NASDAQ: SYMC) notified Digital River on Oct. 9… Read More
Continue ReadingThe Leadership Paradox
Good leaders must be good followers. That is paradoxical, isn’t it? This article from CNNMoney.com chronicles an M.B.A. students journeys from grad school to the Marines to a tour of duty in Iraq and back to grad school. It is a fascinating first-hand account (h/t to JustSell.com). This is profound (emphasis mine): In many ways there’s probably no better preparation I could have had for the business world than joining the Marine Corps. The Marines teach you how to be both a leader and a follower. I don’t have to lead in every situation – but I’ve come to enjoy stepping up in a time of chaos. When I’m working… Read More
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