Chances are that if you are reading this, you are either a sales leader or you are being led by someone who is. You may argue that in fact, you are being managed and not being led, and whilst this post is not about semantics, whenever the debate arises, I am always prompted to share this quote:

“There is a difference between leadership and management. Leadership is of the spirit, management is of the mind. Managers are necessary, but leaders are essential. We must find managers who are not only skilled organisers, but inspired and inspiring leaders.” – Field Marshall Slim

Yesterday, I was honored to join Diane Helbig on her radio show, and share my views on how the role of the modern  sales leader is changing…and changing rapidly. Here is a summary of my thoughts:

For companies to remain competitive today, their sales organisation must be able to respond positively to changing economic tides. As businesses strive to re-establish customer orientation, sales partnerships and a strategic approach to selling, they are demanding more and more from their salespeople but ensuring that these new methods are widely practised and smoothly implemented falls to sales management.

Sales productivity is a strategic issue. That’s why problems in this area stem from salespeople being unclear about their company’s priorities i.e. what their message should be and what they should be selling.

The trend in industry of removing layers of management between the sale force and the general manager presents a challenge to those sales managers who remain. To begin with, the sales manager becomes an essential link between company strategy and what takes place in the customer’s office. He or she must not only grasp the corporate vision but be able to communicate it to the sales force in terms of the real effects on sales practices.

Sales managers with an intimate feel for the selling process succeed because their staff regard them as part of the sales team but coaching the team is as important as playing in it. In other words, sales managers must be prepared to provide training, feedback and support to every individual within the team.

Once committed to the training process, they must routinely reinforce new ways of behaving in real sales situations. They must provide a clear sense of direction on a daily basis, not just at the monthly sales meeting / quarterly review / annual appraisal.

The very best sales managers engage in frequent coaching and feedback, even when their sales people work in remote locations. While encouraging salespeople to air their problems openly and discuss their concerns, sales managers must be able to offer clear and specific feedback for improving sales performance.

The sales manager is charged with translating the company’s reward system into specific improvements in sales performance. Both salespeople and corporate managers count on the sales manager to recognise and reward outstanding achievement, formally and informally.

The process of promoting new attitudes about the customer and the role of the salesperson can be frustrating and slow. Reverting back to recent research there is compelling evidence to suggest that companies will see results sooner if they recognise and reward salespeople – “you always get more of the behaviour and results that you reward”

The trend in sales compensation appears to be away from commission to guaranteed salary, from compensation based on orders to compensation based on delivery and sign-off. Interestingly some organisations we know, base their ‘salesperson of the year’ award on the basis of customer satisfaction or customer retention rather than sheer volume of orders or activity

And in 2010? That leads me nicely into my predictions for the coming twelve months, which were summarised by Nancy Bleeke: (If you have already read them, a second reading will be even more revealing

“One of the very few things to come out the deepest recession in living memory was that sales leaders in most industries, faced with decimated training budgets, were forced to roll up their sleeves and coach their teams themselves.

They no longer had the option to abdicate sales team development to external providers – and do you know what? Many of them actually enjoyed it – in fact they discovered they were pretty good at it.

As a consequence, I believe that in 2010, more and more sales leaders will develop their coaching skills, and look for external mentors themselves, because it is highly likely that sales skills training budgets will never be the same again – ever. An item that appears as a cost on the balance sheet with no tangible return is now going to be subjected to the most rigorous scrutiny – shareholders will insist on that.

And therein lies the clue – sales leaders will expand their roles…..”

Today’s News: My good chum Paul McCord is presenting a significant event next week…..

Free Webinar: 4 Quick Steps to Tripling Your Client Referrals

Thursday, January 21 2PM Central Daylight Time

LIMITED SEATING so register early

“Few sellers generate enough high quality referrals to seriously impact their sales and income because few have been taught how to work with their clients to generate high quality referrals.

Most sellers have been “taught” that all you need to do is ask a satisfied client for referrals and they’ll give them. Most find that asking doesn’t work. Sure, there are a few clients who willing give “referrals,” but most won’t. And even the “referrals” most sellers do get are nothing more than worthless names and phone numbers of people who have no interest in or need for their product or service.

Asking for referrals won’t get you where you want to go.” Continue reading

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