| I just had a phone conversation with a client who had | | | | not move out of their comfort zones of established |
| a familiar story to tell. He had built his business on the | | | | customers and established products. They have no |
| model of an entrepreneurial sales force. Give them a | | | | desire to do the hard work of prospecting for new |
| territory, pay them straight commission, and tell them | | | | accounts. And many are content with the diminished |
| they are in business for themselves, free to develop | | | | incomes of the past few years.The culprit in this |
| the customers they chose with the products they | | | | difficult situation is the entrepreneurial model. This is not |
| wanted.And for a couple decades it had worked well. | | | | to say that there are no entrepreneurial salespeople. |
| The business grew and expanded. More | | | | Certainly a certain percentage of every large group of |
| entrepreneurial sales people were added, and the | | | | sales people will turn out to be highly motivated, |
| model was duplicated over and over again.So far so | | | | constantly improving, driven to succeed and willing to |
| good. But then the growth in sales began to slow | | | | accept your direction. From my experience, this is |
| down. Three flat or declining years in a row has | | | | about one of 20 sales people. The chances of your |
| caused this company president to question the status | | | | entire group fitting this mold are slight. The issue is not |
| quo. Not only is business flat, but he's unable to get his | | | | the occasional exception to the rule; the issue is the |
| sales force to promote the lines that he wants to | | | | model that no longer supports your strategic |
| promote, he's unable to get them to use some of the | | | | interests.What to do?The company president on the |
| new technology that the company wants them to use, | | | | phone was looking for solutions. How could he change |
| and he's unable to get them to prospect for new | | | | the established routines, attitudes and practices of his |
| customers. Now he's faced with an experienced sales | | | | experienced sales force? How could he revive the |
| force, who for the most part, are unmanageable.The | | | | slumbering entrepreneurial drive? How could he gain |
| culprit? A sales model that was built on the concept of | | | | some degree of directability?Unfortunately, the |
| the entrepreneurial salesperson. There was a time | | | | answers are larger and more challenging than that |
| when this model was effective, but in today's | | | | which could be discussed in a half hour phone call. |
| competitive economy, there are serious difficulties with | | | | Decades of a certain way of doing business have |
| the entrepreneurial model.This model works best when | | | | resulted in attitudes cast in granite. Half-way measures |
| the market is growing. As long as there is more and | | | | can't be counted on to work.The solution is going to |
| more business out there to be had, the focus of most | | | | require strenuous work.Wipe the slate clean and start |
| companies is to grab as much as they can, without | | | | over. Begin with the definition of what you would like |
| caring a whole lot as to which customers and which | | | | the salespeople to do. What do you really want your |
| products make up the business. Employing a group of | | | | sales force to do? Noodle your ideas onto a blank |
| entrepreneurial salespeople reduces the demands on | | | | sheet of paper, and review it for a couple of days. |
| sales management so that the company's executives | | | | When you have a well-articulated full page of detail, |
| can focus on building the infrastructure necessary to | | | | you will have taken a major step forward.Once you |
| keep up with the consistent growth.As we all know, | | | | have a clear and specific idea of what you want them |
| this was the case for most of the previous decade. | | | | to do, then start dealing with implications of that. For |
| By shifting the responsibility for sales management | | | | example, does you compensation plan support the |
| unto the salespeople, however, you give up much of | | | | behavior you want? If not, then change that.Does you |
| your management influence. In effect, you cede | | | | training and development program equip the sales |
| management of the sales force to the salespeople. | | | | people with the skills that support your vision? If not, it's |
| And they generally make decisions that are in their | | | | time to revise that.Does you infrastructure support |
| own self interest, not yours. The very concept of an | | | | your idea of what the sales people should be doing? In |
| entrepreneurial salesperson is that he/she will manage | | | | other words, does customer service, purchasing, |
| himself. By definition, you abdicate your managerial role | | | | delivery, operations, sales management, etc., all support |
| and cede management to the salesperson.Is it any | | | | the revised job description? If not, make some |
| wonder that you can't direct the salesperson?As long | | | | refinements.Finally, do you have the kind of people |
| as business was consistently growing, this wasn't an | | | | who will whole-heartedly embrace your new vision? If |
| issue. But now it is a concern. Most distributors have | | | | not, then it's time to begin the process of recruiting |
| experienced a reduction in sales volume over the last | | | | new sales people.Each of these is difficult and |
| few years. Many have come to the conclusion that | | | | challenging issues that speak to the heart of how you |
| they have to initiate significant changes in their sales | | | | have your sales force structured. Designing and |
| organizations if they are going to be profitable and | | | | implementing these changes can take the better part |
| growing.Now, instead of just more business, | | | | of a year or two. Each of these initiatives will be met |
| progressive distributors want to expand the business in | | | | with resistance from some. It won't be easy. Before |
| target accounts, emphasize key product lines, and | | | | you rush into the fray, however, make sure you count |
| acquire new accounts. In other words, they want to | | | | the cost. You may decide that you are not up for the |
| direct the sales force more precisely, to focus them | | | | task and that it is easier to continue to cede |
| on the behaviors that further the company's strategic | | | | management to your sales people.Should you decide |
| objectives.At just the time that they want to more | | | | to revise your sales force, you can anticipate arriving |
| precisely focus the sales force, they are faced with a | | | | at a focused and directable sales force - an |
| group of experienced salespeople who have become | | | | enormously powerful asset for any distributor. |
| satisfied and content.These sales people would rather | | | | |