jason jordan, vice president & partner ... - sales management · jason jordan, vice president...
TRANSCRIPT
Jason Jordan, Vice President & Partner Vantage Point Performance
Rethinking Sales Pipeline Management
Fun with the Ancient Greeks
Slide 3
Everything revolves around the Earth!
Socrates
Fun with the Ancient Greeks
Slide 4
Everything is made of air!
Anaximenes
Fun with the Ancient Greeks
Slide 5
There are atoms! (kind of)
Democritus
When Common Sense Is Your Guide…
Slide 6
Sales Management: The Neglected Science
Sales Management: Confined to Common Sense
Now the Sales Pipeline
What is a Pipeline?
Slide 10
How Is It Used?
Su M Tu W Th F Sa
Common Management ‘Rhythm’
How Is It Used?
Su M Tu W Th F Sa
Common Management ‘Rhythm’
How Is It Used?
Su M Tu W Th F Sa
Common Management ‘Rhythm’
How Is It Used?
Walk me through
your opportunities
Common Meeting Agenda
Common Meeting Agenda…
Walk me through
your opportunities
okay
Common Meeting Agenda
It Would Appear that …
Sales Pipeline = Important Stuff
Just One Problem…
Common Sense Is at Work
Common Sense and the Pipeline
(4 Easy Choices)
Choice #1
Slide 19
BIG PIPELINE -- or -- small
pipeline
Which is better?
Common Sense Says…
Slide 20
BIG PIPELINE small pipeline
Real-World Counterpoint
Slide 21
Shape Determines How Big It Should Be in Sum
$10 million $2 million
$10 million $2 million
Close Rate = 20%
$35 million
$20 million
Common Sense Is…
Slide 23
BIG
PIPELINE
small pipeline
Choice #2
-- or -- HELP
CLOSE
THE DEAL
HELP
QUALIFY THE DEAL
Where can a manager have the biggest impact on rep performance?
Common Sense Says…
HELP
CLOSE
THE DEAL
HELP
QUALIFY THE DEAL
A Typical Sales Pipeline
Slide 26
The Perfect Sales Pipeline
Slide 27
Bad Deals = Wasted Effort
Slide 28
The Hard Truth
Coaching has Low Impact • Fate Often Already
Decided • Driven by Fun and
Forecasting
Coaching has High Impact • Influence needs and
Criteria • Dislodges Bad Deals
Recall Our Rock Star …
Slide 30
The Superstar’s Secret Sauce
Slide 31
Su M Tu W Th F Sa
Late Stage Deals
Late Stage Deals
New Opportunities
New Opportunities
A Balanced Pipeline Management Approach
Less Junk = Less Funk
Slide 32
Less Junk = Less Funk
Slide 33
The Impact of Early-Stage Intervention
Win Rates Training Conducted
September 2010
25%
37%
54%
37%
49%
71%
Q1 2010 Q1 2011 Q1 2012
$ of Deals
# of Deals
Common Sense Is …
HELP
CLOSE
THE DEAL
HELP
QUALIFY THE DEAL
Choice #3
Slide 36
-- or -- THE REP THE DATA
What should be the primary focus of pipeline meetings?
Senior Leadership Says…
Slide 37
THE REP THE DATA
Observed: Constant ‘Inspection’ of the Pipeline
INSPECTION
•Focused on the data
• Scrubbing
• Extracting
•Short-term (or backward) focused
•Encourages sales rep compliance
•Required by manager, but low-value for rep
Slide 38
Needed: Coach Reps through the Opportunities
COACHING
• Focused on the rep
• Builds skills throughout deal pursuit
• ‘On-the-Job’ Coaching
• Drives better near-term execution
• And has long-term impact
• Very time-intensive, but high-value for rep and manager
Eye Opening Survey …
Hours per
Month Sales Manager
<3
7%
3-5
55%
>5
38%
Perceived Volume of Coaching
Hours per
Month Sales Manager
<3
7%
3-5
55%
>5
38%
Sales Rep Gap
56%
+ 49%
32%
- 23%
12%
- 26%
Eye Opening Survey …
Perceived Volume of Coaching
Senior Leadership can be (can be, sometimes, perhaps, maybe a wee little bit)
Slide 42
COACH
THE REP
INSPECT THE DATA
Choice #4
Slide 43
-- or -- WHAT THE
REP IS
DOING
HOW THE
REP
IS
PERFORMIN
G
What is more important to monitor?
Common Sense Says
Slide 44
WHAT THE
REP IS
DOING
HOW THE
REP
IS
PERFORMIN
G
A Little Research... 306 Sales Metrics
Revenue
Customer Satisfaction
Market Share
Ramp-Up Time
IT Investment
Training Type
Coaching
Account Plan Completion
Tool Usage
Segment of Customer
Call Volume
Call Type
Up/Cross-Selling
Number of Accounts Time Allocation
Quota Achievement
Share-of-Wallet
Process Usage
Training Investment
Skill Level Territory Coverage
New/Existing Customers Call Outcomes
Customer Retention
Deal Size
Prospect Type
New/Existing Product
Pipeline Size
What Can You Really Manage?
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... Cause and Effect
New Customers
Sales Activities - Individual decisions that are highly manageable
Why this is a Breakthrough... Cause and Effect
New Customers
Sales Activities - Individual decisions that are highly manageable
A Predictable, Manageable Chain of Events
Sales Management’s Critical Task
Link the Objectives to
relevant Activities, then
measure/manage the
Activities relentlessly
Select and quantify the
BEST Objectives to
obtain those Results
Identify the Results
you want to achieve
We Live in an Outcome-Focused World
Common Sense Is…
Slide 52
ATTEND TO
WHAT THE
REP
IS DOING
ATTEND TO
HOW THE
REP
IS
PERFORMIN
G
In Sum…
1. Smaller Can Be Better
2. Focus on the Front
3. It’s about Improving the Rep
4. You Can Only Manage Activities
Parting Thoughts…
Vantage Point: The Science of Sales Management
Focus On
Sales Management
Thought Leadership
through Research
McGraw-Hill 2012
Strategy
Process
Skills
Tools
Metrics
Sales Methodology
Neutral
The First
Sales Management
Methodology
SPIN® Selling
Miller Heiman Target Account Selling®
Solution Selling®
Strategic Selling®
Home Grown
Challenger®
Vantage Point: The Science of Sales Management
The Company We Keep...
Go Be Extraordinary!
Thank You
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