The following Best Practice Advisories are distilled from key chapters of the book – a sampling of insights to guide you in accelerating your sales force performance.


Sales Force Sizing   |   Sales Force Structuring   |   Sales Territory Alignment

Recruitment   |   Training   |   First Line Sales Manager   |   Compensation




Sales Force Sizing

  • Downsizing the sales force to cut costs can cause revenue losses that make things even worse.

  • A larger sales force makes sense when the long-term impact of sales force effort is accounted for.

  • Implement sizing changes quickly – phased growth or reduction is rarely optimal.

  • Better allocation of sales effort often leads to greater gains than adding salespeople.

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Sales Force Structuring

  • Study the complexity and diversity of your customers, products, and selling activities to determine how specialized your salespeople need to be.

  • Optimize the balance between effectiveness gains (higher results) and efficiency improvements (lower costs) when structuring your sales force.

  • Integrate sales force effort with alternative ways to reach markets such as the Internet, telemarketing, and part-time or contract sales forces.

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Sales Territory Alignment

  • Balance workload across territories to maximize market coverage; balance potential across territories to give all salespeople a fair chance to succeed.

  • Develop a benchmark alignment centrally, using consistent, objective criteria for all sales areas, and then allow first-line sales managers to adjust that benchmark to account for local differences and to enhance acceptance by the sales force.

  • Audit your alignment annually.

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Recruitment

  • Do not rely on interviewing alone to identify the best candidates, but also use screening techniques that allow you to observe the behaviors critical to a candidate’s success.

  • Develop success profiles to guide your search, and adapt those success profiles as products and markets evolve.

  • Avoid “warm body” hiring.

  • Recruit constantly.

  • Assign your best people to recruiting.

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Training

  • Do rapid prototyping.

  • Emphasize action learning, rather than passive learning.

  • Recognize the advantages of individualized training.

  • Structure training modules around actual business problems.

  • Provide stretch experiences for salespeople.

  • Consider using the Internet to deliver information-based training.

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First Line Sales Manager

  • Treat the first-line sales manager as a pivotal person in the selling organization.

  • Recognize that the sales manager's role is different from that of the salesperson.

  • Develop sales manager success profiles and select the right people.

  • Provide excellent sales management training.

  • Consider using "360° evaluations" when assessing the sales management team.

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Compensation

  • Use both extrinsic rewards, such as money, and intrinsic rewards, such as recognition.

  • Ensure that the compensation plan is compatible with your sales and marketing strategy.

  • Place more emphasis on salary (vs. incentive pay) when performance is hard to measure or when non-sales force factors have a large influence on sales.

  • Invest in a good quota-setting process to avoid over-paying or under-paying salespeople.

  • Use the incentive plan as one item in a portfolio of tools to influence salespeople’s behaviors.

  • Test new incentive plans before implementing them.

  • Keep the incentive plan simple.

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