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Dave Kurlan is a top-rated speaker, best-selling author, sales thought leader and highly regarded sales development expert.

Benchmarking is a topic that comes up a lot around here but I haven't written too much about it.  Benchmarking is good, especially when you don't limit it to your own organization, understanding and accepting that your own company's best performance may not compare that favorably to others in your industry and, more importantly, others in business.

However, when it comes to assessing sales candidates, I strongly discourage benchmarking and here's why.

Let's start with recruiting salespeople.

When an assessment company suggests that you start by benchmarking some of your top performers, your first reaction might be a good one. You might think, "they're going to customize this!" or "they're going to see what our top performers have in common and find more of that!"

But there are problems with this approach:

  1. while companies selling behavioral styles and personality assessments  can benchmark and identify traits common to top performers, they can't actually prove that those common traits have anything to do with their sales success.
  2. while the salespeople chosen to participate in the benchmark are your top performers, if they were merged into the overall sales population, they may not even be in the top 25 percentile.
  3. do you really want to find more people "like" your top performers if items 1 and 2 above are true?
  4. if behavioral styles and personality assessment companies were truly effective (they're not) at measuring sales competencies, they wouldn't have to benchmark.  They would already know what makes salespeople effective and how to identify it.
  5. some of the traits and styles that these assessments claim to be for sales do impact and have a connection with sales but their questions are not in the context of sales and therefore produce findings that are not accurate in the context of sales.  For example, both personality and behavioral styles assessments can identify whether an individual has a tendency to become emotionally involved.  However, someone who controls their emotions quite nicely in day to day life (context of the questions in the above mentioned assessments) may not have the same success when a prospect is in the process of rejecting them.  So the finding, which may be accurate for day to day life, has no correlation to selling.

You know that assessments are important but personality assessments and behavioral styles assessments weren't built for sales.  That's why I founded Objective Management Group, Inc. in 1989.  Intended for sales.  Built for sales.  Chronically enhanced.  Modified to reflect selling in the 21st Century.

If the assessment is built for this purpose, all of that benchmarking is a waste of time - we know what it takes to succeed in sales!  And as for what it takes to succeed in your business, why look at salespeople who may not be succeeding as well as they could or should?  We simply learn what the unique challenges are to your business so that we can identify the specific strengths and skills required to meet those challenges head on.  That's customization.

I started by saying that I strongly discourage benchmarking however, I do encourage evaluating your entire sales force prior to assessing sales candidates. Not for benchmarking, but to identify:

  • selection criteria that should change;
  • issues in the recruiting process that should change
  • potential role models around whom a stronger sales force can be built;
  • the effectiveness of sales management - crucial to the on boarding of new salespeople;
  • the effectiveness of systems and processes that support salespeople;

Use common sense when recruiting.  The stronger your selection tools, the better your selecting will be!

(c) Copyright 2008 Dave Kurlan



Posted by Dave Kurlan on Mon, Sep 08, 2008 @ 01:52 PM

COMMENTS

Dave, 
 
You have completely thrown the baby out with the bathwater! 
 
The topic of sales benchmarking is much bigger than the qualitative survey talent assessment approach that you rightly critique. 
 
Sales Benchmarking covers all the major sales process -- territory design, compensation planning, sales management, etc.. More importantly, sales benchmarking should be based on a repository of external empirical sales data. this is a precious and difficult resource to build but, once assembled, represents a powerful means of analytics. Guess, what? we have one!  
 
lastly, there is a book coming out next month that covers the topic of sales benchmarking from stem to stern. Check it out atwww.makingthenumber.com. 
 
Please let me know what you think. 
 
Cheers, 
Mike Drapeau 
www.SalesBenchmarkIndex.com

posted on Tuesday, September 09, 2008 at 9:11 AM by Mike Drapeau


Dave... 
 
 
 
I must respectfully disagree with your position on Job Benchmarks and personality profiling of sales people... 
 
 
 
Job Benchmarks do in fact play a huge role in the success of a predicting the potential sales success of a candidate. 
 
 
 
I do agree with you. I personally do not need a Job Benchmark to identify the profile of a high performer sales candidate. You know it when you see it.  
 
 
 
Please keep in mind - Job Benchmarking is not just to "get it right" for hiring the best sales person - but also to help the management "get it right" and get on the same "page" with regards to what is expected of the sales person. That said, I recommend benchmarking the job - not the best sales people on the team. They really may not be the best sales people. 
 
 
 
I understand your cynicism regarding profiling but disagree about your position on profiling. When you use the right personality profile in the hands of a competent practitioner, you can absolutely predict with a very high degree of success the future potential of a candidate. We find that the behavior and value-based assessment tools are highly predictive of future sales performance. 
 
 
 
That said... It is completely possible and in fact highly likely that sales managers ruin potential high performer sales people through mismanagement, lack of training, lack of encouragement, nepotism, etc.

posted on Saturday, September 13, 2008 at 12:08 AM by Chris Young


@Chris 
 
You actually didn't disagree at all with my position on job benchmarking - I simply didn't label what I described above as job benchmarking. And I agree that a highly expert practitioner of a an advanced personality or behavioral styles assessment can make accurate predictions on sales success but, once again, you make my point. In the hands of a client, it's not the personality or behavioral styles assessment that is predictive, it's the consultant. So the beauty of OMG's sales specific candidate assessment is that it's the assessment itself that is so predictive. 92% of the candidates recommended and hired end up in the top half of the sales force within 12 months while 75% of those not recommended but hired anyway fail within 6 months. You can't get much more predictive than that.

posted on Saturday, September 13, 2008 at 9:58 AM by dave@objectivemanagement.com


@Mike -  
 
I saved the baby - dove and caught her in mid air. 
 
Of course, you are right about sales benchmarking but my article was about benchmarking salespeople for the purpose of assessing sales candidates. If you'd like, why not write a guest article for me on the importance, place, method and outcomes of benchmarking sales.

posted on Saturday, September 13, 2008 at 10:02 AM by dave@objectivemanagement.com


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