In the capacity of a sales manager, your team’s sales performance is in your hands. Your focus should always be managing sales performance to deliver sales quotas and goals. However, as sales experts, we often see managers more focused on administration than people management.
Perhaps you have previously encountered the adage, “People quit their managers, not their jobs.”
Poor administrators can destroy your work life. Conversely, effective managers (and sales productivity solutions) can elevate a team’s morale and productivity. Particularly true regarding sales performance.
Sales is an inherently competitive field, which attracts ambitious individuals and promotes representatives who demonstrate tenacity. However, the representative does not bear exclusive responsibility for meeting quotas.
Effective administrators bear the responsibility of positioning their team for achievement. They must invest in the development of their representatives, motivate them to achieve sales objectives and unite the team.
Why is managing sales performance significant?
Before discussing what managers can do to improve the sales performance of their teams, it is essential to understand why sales performance is significant. Sales performance has a direct impact on the bottom line of an organisation.
Companies must prioritise the obvious: improving your sales performance will directly impact the efficiency of your business operations. By concentrating on your sales performance, you can guarantee that your customers have an exceptional experience. To increase sales, representatives must establish a strong rapport with customers.
Monitoring your sales performance also positions you to achieve or surpass the revenue objectives of your organisation. The formula is straightforward: the organisation generates more revenue as sales representatives complete more deals.
Performance provides a target for the team to strive for.
There is more to managing sales performance than simply maximising profits. It is also a vital professional development component for you and your members.
Monitoring performance metrics is an effective method to assess the advancement of a sales team. Data such as each representative’s conversion percentage or appointment-setting rate can be utilised to establish individualised objectives for your team members. These specific “micro-goals” give your representatives a tangible objective to strive for and function as a measurable indicator of achievement. Sales managers who manage sales performance are also strong coaches of their teams. They assist representatives in improving skills around those micro-goals to improve overall performance.
Managing competitiveness
Although sales representatives are naturally competitive, a moderate amount of competition is beneficial. No one wants to be the one member of the team who consistently underperforms. Being in the company of other successful representatives can improve the entire team’s performance.
Salespeople, by nature, are competitive and possess an inherent desire for success and victory. By emphasising performance, individuals are given a target to strive for and a chance to achieve success. This is what makes success, victory, and even meeting your quota contagious. In an environment where victory is the expected outcome, individuals do not accept the mere completion of tasks.
There are guidelines for managers to enhance managing sales performance of their teams. A great example is that of Billy Bean from Moneyball. It is still extremely relevant today and utilised by many top-performing sales leaders.
Building rather than hiring
First and foremost, concentrate on building the finest team rather than hiring the most qualified individuals. Priority number one for a manager should be to invest in the growth and development of their representatives.
An immediate search on Google returns an abundance of articles pertaining to the employment of “sales rock stars.” Bean, however, is not convinced that rock icons are the secret to exceptional team-wide performance.
Sales are the same as sports. Bean explains, “The first-round draft choices you possess will be automatically incorporated into the team. “Those are the “rock heroes”, and everyone wants them as part of their sales team.
However, Bean continues by stating that the true value is found in draft choices made in the middle to late rounds, which others may overlook.
Avoid building your team’s roster exclusively of high-achieving individuals. Seek out representatives with a genuine interest in the company and are prepared to put in significant effort to develop. Workhorses and rock stars should be balanced for the greatest team; therefore, an even distribution of workhorses and rock stars is ideal.
Bean states, “That top one per cent of people will simply go after a cheque.” “It is acceptable to employ an individual who may not possess ideal athletic prowess. Assist the middle segment in its process of evolution and development.”
Encourage your selected team members to collaborate rather than compete. Although sales are inherently competitive, it should not be this way among your representatives. Bean suggests pairing your rock star representatives in mentoring roles with newer or struggling reps to foster camaraderie.
“Don’t pit representatives against one another if one has a 19% conversion rate and the other has a 14% conversion rate,” advises Bean. “Instruct the top performer to assist the other representative by sharing their strategies and templates.”
Sales Process and Playbooks are Pivotal
Process configuration is the key to problem-solving. A proven, robust sales process that assists salespeople excel in their roles is pivotal to success. When the team goes their own way, the results and customer experience also fluctuate.
The same can be said for sales procedures within the business. If you do not have a sales operations person on the team, you may struggle to gain the compliance and adherence required, and much of the sales leader’s time is lost in administrative tasks rather than managing the sales performance of the team members.
A manager can foster team cohesion and harmony by establishing standardised procedures for the entire team.
“It is your responsibility to establish a goal, align your team around it, determine how progress will be measured, and ensure that everyone works together to achieve it.”
Establishing transparent procedures ensures that your team agrees and prevents your rock stars from deviating from the plan. It also provides a road map for success and clear accountability for your representatives and yourself as the manager.
Developing an actionable, measurable, and understandable sales process is an effective instrument for fostering team cohesion and improving financial performance. To learn more, consult our sales coaching guide and the different sales processes available.
Ensure you have the right tools
Utilise the appropriate tools like Sales Playbooks and CRM to empower your representatives. Sales leaders cannot excel without the tools to coach and guide their teams. The playbook is critical to establishing the customisation of the CRM, how deals are discussed and where improvements are made to win deals.
Both tools should be available 24/7 online so representatives can access information in their working location at their convenience. Something considered ‘normal’ for CRM but now is demanded of Playbooks. These are two tools no sales leader can afford to be without.
Effective leadership is vital to managing sales performance of your team. Effective management in the twenty-first century should prioritise providing their teams with the necessary resources to achieve success, as this is the foundation for enhanced performance.
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You may also be interested in reading these articles:
- How Money Ball Works For You
- New Sales Management Initiatives You Can Use to Hit Sales Goals
- Do You Operate an Expensive Sales Model?
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