How to Coach, Motivate & Incent Sales
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Transcript of How to Coach, Motivate & Incent Sales
© Copyright 2013 The Sales Management Association.
Sales Management Association Webcast
7 November 2013
Presented by
How To Coach, Motivate & Incent To
Exceed Sales Quotas in 2014
#SalesQuota
About The Sales Management Association
Slide 2
© 2013 The Sales Management Association. All rights reserved.
A global, cross-industry professional association for sales
operations and sales management.
Focused in providing research, case studies, training, peer
networking, and professional development to our membership.
Fostering a community of thought-leaders, service providers,
academics, and practitioners.
Learn More: www.salesmanagement.org #SalesQuota
Today’s Panelists
Slide 3
© 2013 The Sales Management Association. All rights reserved.
#SalesQuota
Incentive Compensation Trends and What They Mean for 2014 Sales Planning
November, 2013
PwC Slide 5
Key Themes impacting Incentive Compensation
Key Drivers Impact on Companies Impact on Compensation
Flexibility
Need to be increasingly agile to support evolving customer-centric business models and achieve speed to market
Enhanced compensation programs are configurable using rules in a week instead of IT projects over months
New generation of more tech-savvy workers and regulators are demanding greater access to information
Compensation transparency and reporting analytics must be standard and self-serve; auditors must be able to clearly ascertain how commissions were calculated
Transparency
Sales to Strategy
Alignment
Sales-led organizations adapt to challenges and opportunities with a focus on optimizing sales performance
Compensation and incentives must align with strategic objectives (i.e. growth, retention, account penetration) to maximize ROI
Companies looking for ways to get more from their existing sales force
Sales performance including training, coaching, and gamification together develop next generation capabilities
Performance Optimization
#SalesQuota
PwC
Ongoing pressure on sales incentives
External environment Internal environment
Sales incentives What competencies,
behaviours and outcomes are you looking to drive in the sales force?
What do regulators expect in the structure, governance, controls and performance management of sales incentives?
What do customers want? • Multi channel? • Interaction experience
expectations? • Value?
How to ensure you retain and recruit the best sales talent?
Who will be the best performers going
forward and how will you reward them?
What sales have positive and negative
implications for brand and reputation?
What are the commercial opportunities of reviewing the approach to sales?
How do you take a leading role in the market to position your sales force ahead of the competition and take first mover advantage? Retention and
motivation of key sales force
Need for cultural change (e.g. relationship building and risk
behaviours)
Competitor activity
Commercial opportunity
Customer need
Focus on brand and reputation
Regulatory pressure
Competition for sales
force talent
6
#SalesQuota
PwC Slide 7
PwC Sales Capability Framework – the wider sales process
Growth
Technology and Tools
Customer Value Proposition
Customer Segmentation &
Profitability
Market Coverage
Alignment of sales to Business Strategy
Alignment to Product & Product Development
Portfolio Management
People Management
Pipeline Management
Sales Forecasting
Performance Management
Sales Support / Operations Mgt
Compliance & Accreditation Management
Acknowledge and Establish Rapport
Understand customer issue / need
Identify Solution
Confirm Interest & Overcome Objections
Client Acceptance
Confirm / agree contract
Reward and Incentives
Structure, Roles and Governance
Sales & Management Competencies
Recruitment, On-boarding &
Development
Performance Culture & Behaviours
Compliance and advisor quality accreditation
CRM Solutions
Customer Data Management
Knowledge & Best Practice
Management
Sales Tools, Guides & Portals
Sales MIS
Business & Marketing Strategy
Client On-Boarding
Establish Future Contact Plan
Sales Planning and Strategy
Sales Management Sales Process People and Skills
Financial Planning Tools
Regulatory Framework and Requirements
The value of applying a framework when considering change to your existing processes and infrastructure is in ensuring you don’t recreate old problems in a new solution wrapper
#SalesQuota
PwC Slide 8
There are strategic relationships between the details of planning tactically for 2014
Planning for 2014
Corporate Strategy
Alignment
Assessing Performance
Getting More from your
Sales Force
How to incent
Flexibly
Cash, Non-cash, MBO
Training is based on success stories supported by hard data
Sales people naturally want to compare them selves against peers
Objectives align with corporate strategy like persistency, new accounts, account penetration
Training & Gamification
Visualizations emphasize how close agents are to achieving a particular goal
Transparency
Marketing, Sales/Distrib., Ops Agreement
Decisions must be made on how much transparency to allow to support the strategy
#SalesQuota
PwC
PwC Case Study
9
• Through both acquisitions and organic growth, PwC has experienced tremendous growth
• In US, have gone from 55 sales people to 175+ in last 5 years, and currently process commission on revenue of ~$1B
• Compensation program contains mixture of commissions and MBOs, quotas and caps
• PwC is currently migrating its compensation calculations from a homegrown solution onto a modern ICM platform
• Benefits will include:
• greater speed to market for plan changes,
• more controls and audit capabilities,
• improved business intelligence for assessment & planning,
• greater sales person and partner productivity (reduced manual work),
• and a more cost effective solution
• PwC Advisory team delivering new platform utilizing an Agile framework
#SalesQuota
CallidusCloud Sales Landscape
• Fast growing SaaS High Tech
Company
• Revenue Expectations for 2014
Significantly Higher than 2013
• Sales Tasked with
Meeting/Exceeding Revenue
Goals
#SalesQuota
Key Sales Challenges
• How do we get more out of existing
sales reps?
• How do we hire the right sales talent?
• How do we accelerate the time to
revenue for new hires?
• How do we pivot to align sales with
changing strategies?
#SalesQuota
3 Ingredients – Key to Solving Challenges
People
Technology Process
#SalesQuota
Getting More out of
Existing Sales Reps
• Motivate Through Gamification
• Coach Based on KPI’s
• Guide Selling – Maximize Deals, Show
Estimated Commission
#SalesQuota
Hiring the Right Sales
Talent
• Source from many channels (i.e.
employee referrals)
• Profile successful reps by role
(hunter/farmer)
• Use profiles to help filter & focus on the
right candidates
• Automate initial sales interview process
#SalesQuota
Accelerating the Time to Revenue for New Hires
1. Pre-Boot Camp Training
• Self-Service Product & Solution Training
• Certification Testing
2. Boot Camp
• 1 Week Sales & Solution Training
• Builds on Initial Training
3. Mentor Program
• AE Assigned Sr. AE Mentor
• Mentor Includes in Meetings/Calls
4. Performance Tracking
• KPI’s Tracked & Monitored
• Proactive Coaching in Weak Areas
#SalesQuota
Pivoting to Align
Sales with Changing
Strategy
• Communicate Changing Strategy to
Sales Team
• Align Sales Force to New Strategy:
• Incentives to Reinforce Adoption
• Modified Key Sales Performance
Metrics
• Internal Systems & Processes that
Promote Strategy
• Sales Process
• Sales Configuration, Pricing, &
Proposals
#SalesQuota
Tying it All Together
#SalesQuota
Questions and Discussion
Slide 18
© 2013 The Sales Management Association. All rights reserved.
© Copyright 2013 The Sales Management Association
Thank You.