The Complete Guide to Accelerating Sales Force Performance PDF
Preview The Complete Guide to Accelerating Sales Force Performance
Cover Page i The Complete Guide to Accelerating Sales Force Performance Page iii The Complete Guide to Accelerating Sales Force Performance Andris A. Zoltners, Ph.D Prabhakant Sinha, Ph.D Greggor A. Zoltners Page iv Special disounts on bulk quantities of AMACOM book are available to corporations, professional associations, and other organizations. For details, contact Special Sales Department, AMACOM, a division of American Management Association, 1601 Broadway, New York, NY 10019. Tel.:2129038316 Fax:2129038083 Web site: www.amacombooks.org This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. Library of CongressCataloginginPublication Data Zoltners, Andris A. The complete guide to accelerating sales force performance / Andris A. Zoltners, Prabhakant Sinha, Greggor A. Zoltners. p. cm. Includes index. ISBN 0814406505 1. Sales management. 2. Sales personnel. I. Sinha, Prabhakant. II. Zoltners, Greggor A., 1964 III. Title. HF5438.4.Z65 2001 658.8' — dc21 00067628 © 2001 Andris A. Zoltners; Prabhakant Sinha; Greggor A. Zoltners. All rights reserved. Printed in the United States of America. This publication may not be reproduced, stored in a retrieval system, or transmitted in whole or in part, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of AMACOM, a division of American Management Association, 1601 Broadway, New York, NY 10019. Printing number 10 9 8 7 6 5 4 3 2 1 Page v To Alfreds and Berta, whose love and support enabled me to acquire the knowledge to write this book. — AAZ To Anita, Pria, and Meera, the family in Evanston, and to my parents, aunt, and uncle, who started this journey from Paltuhata and Jogapur. —PS To my family. —GAZ Page vii Contents Preface xiii Chapter 1 The Role of the Sales Force in the GotoMarket Strategy 1 Introduction 1 A Framework for Developing a GotoMarket Strategy 4 Question 1: What Is the Best Way to Segment the Market? 9 Question 2: What Essential Work Is Required for Each Segment? 11 Question 3: What Portfolio of GotoMarket Participants Should Do the Essential Work? 17 Question 4: Should We Use a Direct or an Indirect Sales Force? 31 Conclusion 35 Chapter 2 Sales Force Assessment and Strategy 36 Sales Force Strategy 36 The Components of a Selling Organization 38 The Sales Force Productivity Drivers 40 Measuring Sales Force Productivity 43 Sales Force Strategy: A Comprehensive Statement 64 Summary 68 Chapter 3 Sizing the Sales Force for Strategic Advantage 70 Sales Force Size and Structure — Crucial Decisions 70 Ten Insights for Better Sales Force Design 72 Page viii Finding the Optimal Sales Force Size — Successful and Unsuccessful Methods 88 The Impact of Technology on Sales Force Size 107 Final Sizing Recommendation 108 Chapter 4 Structuring the Sales Force for Strategic Advantage 111 Introduction 111 The Three Sales Force Structure Objectives: Adaptability, Efficiency, and Effectiveness 113 Five Sales Force Structures That Create Results 117 Developing an Efficient and Effective Sales Force Structure — A FourStep Process 125 Conclusion 131 Chapter 5 Designing Sales Territories That Increase Sales 132 The Story of Brian, Bruce, and Brenda 132 What Is Territory Alignment? 134 Three Reasons Why Sales Territory Alignment Is Important 135 Seven Events That Create a Need to Realign 140 The Forces against Change 143 Maintaining an Effective Alignment — A ThreeStep Process 146 Final Territory Alignment Insights 157 Conclusion 159 Chapter 6 Recruiting the Best Salespeople 160 Introduction 160 The Hiring/Training Tradeoff 161 The Impact of Hiring Decisions 165 Key Insights That Will Improve Your Hiring 167 The Hiring Process — Six Steps to Success 173 How the Internet Is Changing the Way Companies Recruit and Hire 190 Conclusion 193 Page ix Chapter 7 Training the Sales Force 195 Introduction 195 The HighPerformance Selling Organization Is a Good Training Organization 196 Four Insights to Improve Sales Training 201 Updating Training and Development for Success — A FourStep Process 207 Conclusion 216 Chapter 8 The Critical Role of the FirstLine Sales Manager 218 Introduction 218 The Sales Manager's Role 222 Five Steps to Establishing and Sustaining a Vigorous Sales Management Team 233 Conclusion 246 Chapter 9 Motivatiing the Sales Force 248 Introduction 248 Individual Motivators: What Are People Like? 250 Job Characteristics: What Makes the Sales Job Special? 255 Sales Force Productivity Drivers: What Programs Motivate Salespeople? 257 Motivation Strategies 261 Five Key Insights for Better Sales Force Motivation 262 Conclusion 267 Chapter 10 Compensating for Results 268 Introduction 268 A Sales Force Incentive Compensation Framework 271 Four Key Decisions for Effective Incentive Compensation Plan Design 278 A Compensation Adviser 318 Conclusion: An Incentive Plan Design Process 324 Page x Chapter 11 Setting Effective Goals and Objectives 326 Introduction 326 What Do Goals Accomplish? 327 Types of Sales Force Goals 329 Goals and Objectives Reflect the Selling Environment as Well as the Culture and Values of the Sales Force 331 GoalSetting Observations 334 An Example That Illustrates the Cost of Poor Goal Setting 337 Determining Successful TerritoryLevel Goals — A FiveStep Process 339 Tracking Performance against Goals 359 Concluding GoalSetting Insights 360 Chapter 12 Precision Selling 363 Precision Selling 363 Customer Segmentation 368 Account Strategy Development 381 The Two Last Steps: Implementation and Tracking and Analysis 384 Conclusion 388 Chapter 13 Using Technology to Assist the Sales Force in Customer Relationship Management 389 Introduction 389 The Role of CRM Systems 390 Why CRM Systems Fail 395 CRM Objectives and Opportunities 396 The Components of a CRM System 402 Nine Steps to Successful CRM Design and Implementation 402 Six Insights for Successful CRM Systems 410 Conclusion 413 Chapter 14 Performance Management 415 Performance Management: The Control Loop of the Sales Force 415 Page xi The Performance Management Process 418 Performance Measures 422 Approaches to Performance Management 425 Seven Insights for Successful Performance Management 430 Conclusion 433 Chapter 15 Building a Potent Sales Force Culture 434 Introduction 434 Norms, Values, and Work Styles — The Elements of a Sales Force Culture 436 The Formation of a Sales Force Culture 446 How to Change a Sales Force Culture 448 How to Maintain a Successful Culture 460 Index 463
The list of books you might like
