Improving Sales Performance

Jun 28
09:08

2009

Richard Stone

Richard Stone

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How to improve sales performance through effective coaching of sales people. The key stages of coaching are covered to develop sales skills.

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As a sales manager you do not always get the performance you want out of your sales team. This article discusses sales staff performance and looks at some of the measures you can take to maximize sales performance.

When analyzing poor performance the first question you should ask is: can’t s/he or won’t s/he? As a sales manager you should modify your behaviour,Improving Sales Performance Articles depending on the answer to this question.

The managerial strategy you choose depends on the reasons for your sales staff’s success or failure. The measures you take must clearly differ, especially if you are dealing with a bad performance: if the sales representative is lacking in skills that would contribute to success, there is little sense in taking punitive action.  If, on the other hand, the salesperson lacks the appropriate commitment to the job, pressure needs to be exerted.

An investigation of 256 sales managers revealed how sales managers respond to the failures and successes of their sales force.

In the survey the sales managers identified the following means of exerting pressure:

Threatened cut in salary

Threatened dismissal

Cut in salary

“A good dressing down”.

The non-punitive measures they identified for dealing with poor performance included:

Encouragement to perform better

Advice and training/coaching

A discussion of any problems that the salesperson is experiencing.

The sales managers saw the above non-punitive measures, as well as a transfer to another department, as the most appropriate response to poor performance that was skill-related.

Of all the non-punitive measures, coaching is the most often used to address poor performance. Coaching means offering individual advice with the aim of encouraging the individual (the person being coached) in such a way that he makes better use of his abilities and is able to target them better.

Coaching is time-consuming. It is only worthwhile if the individual fulfils three conditions:

1. The employee has high development potential.

2. He is young and new to your sales staff.

3. He will take on management duties in the future.

To coach successfully you must have, firstly, a relationship of trust with the salesperson.  Secondly, you must be convinced of the salesperson’s ability to reach the desired goal.

As a coach you should

1. Observe closely

2. Listen fully

3. Give feedback

Using a “coaching pavilion” enables you to visualize the required abilities.

The coaching process begins with the preparation phase. This involves analyzing the situation and offering to coach the employee.  Check for areas where the salesperson needs help (for example, being able to deal with client questions or help with sales).  Check, also, whether coaching is worthwhile and how much time will be required.

Stage one involves observing the employee on the “sales front”.  Keep a report of the results of the observation.  The more precise your remarks, the more targeted feedback you can give.

The coaching session, following the observation phase, is the core of the process of qualifying and encouraging the employee.  Give yourself enough time for the talk and make sure you are not disturbed.

Do not make your mind up straight away, but give the employee the opportunity of thinking over the situation.  The salesperson often finds the key to his mental blocks through careful reflection. 

When conducting the coaching session, stick to the “RAFAEL Method”

R          Report

A          Alternatives

F          Feedback

A          Addressing problems

E          Examining the next

L          Level of development

R - Report: Ask the employee to submit a report, giving his assessment of the situation.  This is essential information, if you are to proceed. You discover whether the employee’s perception of himself coincides with yours.

A - Alternatives: Encourage the employees to look for alternatives that would bring him nearer to his goal.

F - Feedback: As coach you regularly give feedback.  Make sure that the feedback gets to the employee and is understood.  Show where the employee did well, but also point out his mistakes.

A - Addressing problems: Discrepancies between self-perception (report) and external perception (feedback) is picked out as a central theme.  Discuss the difference in your views and the reason for this discrepancy.

E/L - Examining the next level of development: At the end of the session, you should discuss the next steps to reaching the goal.

Attending a sales management training course or coaching session can also develop you ability to coach and mentor your people to improve sales performance.