Sales Training Metrics That Drive Business Results M218

Session Number: M218

Session Date: 05-05-2014

Session Start/End Time: 3:00 PM - 4:15 PM

Agenda

1. Who we are

2. Objectives

3. How we got here

4. Sales manager coaching - example

5. Case study exercise

6. Q & A

Who we are

Patricia Fay • Training leader at GE Capital, SFE • BS in Education • 20+years L&D Experience • Professional Learner

Rosemary Reilly Crawford • Training leader at GE Capital, SFE • BA, MIM, MBA, MSLOC • 20+ years International • Passionate Learning Data Geek

Session Objectives

• Participants will describe a sales training measurement strategy that incorporates all four evaluation levels with an emphasis on level 3 application and level 4 business impact

• Participants will apply a sales measurement strategy successfully in a case study example

Commercial Development – Metrics

What is Measured

Activity Tracking

Participant VOC

Cost Metrics

Impact Metrics

Manager VOC

How it is used

Create Strategy

Improve Quality

Drive Efficiencies

Reinforce Behaviors

Correlations to Business Results

What’s next

More Benchmarking

More Automation

More Correlations

How We Got Here….

Learning from the best….

• Kirkpatrick

• Bersin

• Pollock, Jefferson, Wick

• Covey

• Vantage Point Performance

Evaluation Dashboard

A Little Investigation

• Research conducted 2008-2010

• In-depth examination of sales management reports

• Thousands of data points pared down to 306 unique sales metrics

• Revealed many new insights into measuring and managing a sales force

• Published by McGraw Hill in 2012

Three Types of Metrics

Salesperson and manager activities that we can proactively direct and

manage

Objectives that can be influenced, but require some type of ‘consent’

The outcomes of multiple objectives and cannot be

“managed”

Why this is a Breakthrough...

New Customers

Sales Activities - Individual decisions that are highly manageable

EXAMPLE HOW WE USE METRICS

…. PIPELINE COACHING COURSE .. .

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Determine sales activity

12

SALES ACTIVITIES Sales Activity

Increase # of coaching hours

Time is easy to measure … start there!

Define what sales objective will improve

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Sales Activity Increase # of coaching hours

Sales Objective Improve coaching skill set of managers

What does he

want me to do???

How do I

Coach?

Define what business impact is expected

14

I know what I am supposed

to do!

Sales Activity Increase # of coaching hours

Improve coaching skill set of managers

Business Results

Sales Objective

Increase business

A step by step walkthrough

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Improve coaching skill set of managers

Increase # of coaching hours

Sales Activity Sales Objective Business Results Increase business

32% Increase! Sales performance

metrics

27% Increase!

Measured by sales rep survey

“This was the best training we’ve ever had.

It fundamentally changed the way we do

business.” Commercial Leader

We don’t stop

there!

Benchmark ….

16

Compared to other businesses … Reps from this

platform (“1”) are not satisfied with time spent

coaching …

Business

Use data to test hypothesis

17

5

4

3

2

1

… when they spend more hours coaching

on average???

Why is this business so much lower than

the others ….

Identify where to focus efforts

18

It is not HOW MUCH time … but

WHERE they spend their

time!!

Break Paradigms …

19

No one likes to see themselves below average!

Causing one to jump to conclusions and wanting to take actions or justify

oneself

“I know my New Sales Reps want more time … but I just don’t have the

capacity to give them more!”

Metrics identify where NOT to focus

20

“What! … but … I, I leave the experienced reps alone on purpose! … … I do it out of respect, some have more

experience than I do!”

The low scores were coming from the experienced reps

Case Study

• Sales Training Metrics - Case Study Exercise

• In groups of 3 you will…

– Discuss each step of the process

• Sales Activity, Sales Objective, Business Results

– Develop a final recommendation to be shared with larger group

Case Study

Case Study: • Your company has a large salesforce, what they sell is up to

you. • Your senior sales leader believes that “our sales reps need to

increase their financial skills” and wants to see proof that the training was successful.

• You have been using an outside vendor to offer financial skills training (blended solution including online with pre test and post test scores, classroom sessions).

• Does this training improve sales reps financial skills? What sales objective would be impacted by financial skills? Do these financial skills impact business results?

Case Study Step 1

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Discuss in your group what Sales Activities would need financial skills and possible measures you could use.

What Measures Could be Used?

Sales Activity

?

?

?

?

?

?

?

Sales Activity

• Tool Usage

• Time Allocation

• Coaching

• Call Volume

• Prospect Type

• Account Plan Completion

• Call Type

• IT Investment

• Number of Accounts

• Training Investment

• Process Usage

• Training Type

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Case Study Step 2

Prospect Type

Call Volume

Training Type

Number of Accounts

What Sales Objectives do your activities effect and what measures could be used?

Sales Activity Sales Objective

What Measures Could be Used?

# of Prospects/Accounts

# of Calls/Call Frequency

Course Post Tests

?

?

?

?

?

?

?

Sales Objectives

• Call Outcomes

• Ramp Up Time

• Territory Coverage

• Segment of Customer

• Share of Wallet

• Up/Cross Selling

• Skill Level

• Customer Retention

• New Customers

• Deal Size

• New/Existing Product

Define what business result is expected

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Case Study Step 3

Increase Skill Level of Reps

Ramp Up Time

Up/Cross Selling

New Customers

Post Test

Improved Ramp Up Time

Increased Cross Sell Results

Increase # of New Customers

Sales Activity Sales Objective Business Results

What Measures Could be used?

Prospect Type

Call Volume

Training Type

Number of Accounts

# of Prospects/Accounts

# of Calls/Call Frequency

Course Post Tests

Business Results

• Revenue

• Volume

• Market Share

• Pipeline Size

• Quota Achievement

• Customer Satisfaction

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Case Study Outcome

Increase Volume

Increase ROI

Increase Market Share

Volume Per Sales Rep

ROI Trending

Market Share Trending

Sales Activity Sales Objective Business Results

What Measures Could Be Used?

Prospect Type

Call Volume

Training Type

Number of Accounts

# of Prospects/Accounts

# of Calls/Call Frequency

Course Post Tests

Increase Skill Level of Reps

Ramp Up Time

Up/Cross Selling

New Customers

Post Test

Improved Ramp Up Time

Increased Cross Sell Results

Increase # of New Customers

Case Study Overview

Sales Activity Sales Objective Business Results

What Measures Could Be Used?

Choose ONE Each & Visualize

Volume Per Sales Rep

ROI Trending

Market Share Trending

# of Prospects/Accounts

# of Calls/Call Frequency

Course Post Tests

Post Test

Improved Ramp Up Time

Increased Cross Sell Results

Increase # of New Customers

Commercial Development – Metrics

What’s Next ???? ….

More Benchmarking Internally & External

More Automation Less Manual effort

More Correlations Focus on proven impact

Key Takeaways

Patricia Fay Rosemary Crawford patricia.fay@ge.com rosemary.crawford@ge.com www.linkedin.com/pub/patricia-fay/9/222/a91 www.linkedin.com/in/rosemaryreilly/

203-947-6463 262-422-4807

Thank You!

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Case Study Worksheet

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Sales Activity Sales Objective Business Results

What Measures Could Be Used?

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