Aligning your Sales Team with Your Entrepreneurial Dream
During my client meetings, I often encounter a challenge of alignment between the sales team and the owner of the company. The owner has a clear dream, or a vision, about his business and where he wants to be in 3-5 years.
On the other side, I meet the sales team who work to achieve their sales targets and to maximize their bonus/compensation plan, which actually have no connection with the purposes and dream of the owner.
Why does this occur? There may be several reasons, but the most common are:
-The profitable and non-profitable customers are not known to the owner or representatives;
-the target markets and bearers of the future, in connection with the dream of the owner, are not known to the sales team;
-the sales team does not have concrete objectives, with real rewards, for strategic business development;
-the sales managers (owners) manage sales performance and not the sales process that lead to the conclusion of sales;
-The products and services that could distinguish the company are not promoted by the salespeople, nor are they at the heart of the compensation plan.
We could name several other reasons that may explain the gap between the dream of the entrepreneur and his sales team.
The lack of cohesion between the owner and his sales team digs a slump in the business that, in the long term, can weigh heavily on the business owner. Often, we do not want to shock the sales team because they can have high emotions, and thereby we avoid having real conversations. Yet, these conversations can help the entrepreneur to achieve his/her goals, if only they were well understood by the sales team.
Strategic alignment of a company must go through all departments and all must contribute to entrepreneur’s dream, including the sales force and their compensation plan.
It’s amazing to see the force of alignment when the direction is clear for all. Actions are taken in the same direction and eventually, it is hoped that the effect 2 + 2 = 5 is achieved in the context of maximum synergy with the entrepreneur’s dream.
-When did you last communicate your dream to your sales team?
-Do you know your company’s sales results or the entire process of your business development plan?
-Do you understand the profitability of your customers (Profit and Loss per customer – Brent Grover)?
-What is your sales progression for the most profitable products and departments in your organization?
These are some important questions that can help you to start thinking about a closer alignment between your sales force and your entrepreneurial dream!