COMMENTS
@Brian, that's how I've been feeling about this for about 6 months!
Sales people have different behavioral styles. If you understand what motivates them you have a better chance picking the right sales person for your company. I have learned that sales people that have high utilitarian’s and high theoretical levels are successful sales people as long as these motivators are supported by strong sales skills. The utilitarian is bottom line oriented and is driven to get results. The theoretical motivators drive them to learn. When you put the two together you have a sales person that wants to quality to close business.
Dave, I've been working with Rick Roberge since August and have talked to a lot of people about BHAG. The results you describe are consistent with what I've heard - it's often not about money itself - or at least it's not about "stuff" (the car, the house, the toys). Might be money to buy time to do things long left undone.
I've found the comments above to be true for over a decade. I am a big fan of Dan Pink's video too!
I appreciate the change you're making...right on target!
This is a good change. The lack of money motivation is a generational change...having nothing to do with the economy. I recommend Jason Dorsey's book Y-Size Your Business: How Gen Y Employees Can Save You Money and Grow Your Business. Gone is the willingness to work hard for materialistic gains. It’s a generation of utilitarianism. Not to turn this into a political discussion....this generation is also the bedrock of our country's migration to socialism. I have no opinion on of this shift being right or wrong...things change.
Dave, as someone that uses your assessments for sales enablement, I'm very impressed you're making this adaptation to your assessment. Thanks for making the time to share this innovation and for leading with a point of view.
Thanks Dave. This is so important. As Karl said the Y generation is here and growing in the work force daily. CEO's, Presidents, managers must find out what motivates their people on a one to one basis, professionally and personally. They have to recognize the Y Gen cultural change, especially if they want continued business growth."Old school" is exactly what it is "OLD"
Already the Y Gen are leaders of sales organizations as they are leaders and creaters of many successful start ups.
I see it with my son and his friends who are all off to college this fall, they and the recent past grads and future grads are the ones who eventually will replace us and they will be motivated by many things, as you said it's not always money!
We we must stay in tune with the generational change that is upon us in the work force. These days companies success will depend more and more on understanding what really motivates their people.
Spot on.
Everyone said, I sold for fun and would have done it for free. They were right on the first count. As you perfectly described, my motivation is intrinsic and I measures success financially. Let's face it, we go to work for money and we should be paid what we're worth. All of my compensation plans were performance based.
Dave, great insight, excellent foresight, and leadership to break out of the status quo.
While money motivation resides with the sales person, it is sometimes reinforced by management. A client called me and said one of his sales people lost a large account. My client’s partner wanted to lower the quota by the amount of business lost. As it turned out if they did lower the quota the sales person would actually get a larger bonus. This would in turn reduce the salesperson’s money motivation. In this scenario the sales person loses business for the company and then takes makes more money. They also let another sales person go which meant that sales person’s quota would not be met. I told a story to get my client to see what his partner wanted to do and what he should do. It went like this.
You are a military leader with a squad of ten soldiers. You are up against the enemy with 200 soldiers. On average each of your squad has to take down 20 of the enemy. One of your soldiers leaves the line, do you lower the amount of hits required from each soldier or do you raise it? You raise it. If some of the enemy is down, do you lower the average hit requirement? No I told my client to raise the quota and let’s get some more soldiers in here.
Wow! What a thought provoking post here. I have noticed this more and more in my career as well as in my sales training programs. Definitley something we need to keep on top of as keeping sales people motivated is essential to success.
Great article. I may need to find more sales reps motivated by challenge and not $.
My sales reps are on me if I am even 10 minutes late issuing their sales commissions statements (yes, variable comp drives them).
Money thing just a fad... gas hits 10 a gallon and it cost 25 bucks to have a beer at fenway to watch the last place redsox... kids will come around!
Dear Dave,
thanks for interesting findings. Could you please let me know, in which countries have you done your research? I'm working for company which has operations in CEE, SEE and CIS and I would like to know if the same patterns apply also for developing economies..THX in advance.
@Michal,
The research and data are from salespeople all over the world. While everyone is different, everyone will be motivated in one of two ways. As for salespeople, the opportunity to earn more than their struggling countrymen will likely be quite a motivator.
Hi Dave
An interesting post and very much a hot potato.
I've written about the subject myself - you might enjoy http://www.salessuccessandmore.com/does-money-motivate-sales-people
It's interesting that the principle keeps geting proved. At the moment I'm doing some consulting work for a company in Nicosia, Cyprus.
The management's approach is put money in front of the sales team and they'll sell. But they're not.
Interestingly some of the other motivators I've instigated are beginning to work, and the team is beginning to get results.
When this project's completed I'm going to write it up as a case study because I've a feeling it'll illustrate the principles perfectly.
With my best regards,
Mike