How to Prepare for the Coming Sales Team Super Storm

Posted by Dave Kurlan on Wed, Sep 22, 2021 @ 16:09 PM

LittlePawz - Freak summer snowstorm blanketing red maples

What would you do if, in the middle of summer, a big box store said you would really need a snowblower in preparation for the summer snowstorms we were about to get?  Crazy, right?

What if Staples sent out a promo to buy all the printer paper you can in preparation for a printing explosion as we move away from digital?  Wouldn't that be nuts?

What if a professional sports team reached out to your really good 12-year-old and offered them a professional contract?  Is that even possible?

So when a promotion for an upcoming webinar appeared in my Twitter feed last week I was equally astounded by the lack of anticipatory awareness of the sales training firm and online publication promoting it.  It said:

My first reaction was that this must have been something from 2016 - right before the boom that lasted until the pandemic slammed the economy to the ground.  Or, from the 4th quarter of 2020, when we expected the economy to come roaring back.  But it simply can't be something that is remotely relevant to what we are about to experience.  Here's what we know, and how that will impact companies and their sales teams in 2022.  

I'm not an economist, but I can read, seek out trustworthy sources, and have 46 years of business experience. On top of that I am street smart, have good common sense and  can do the math.  

Inflation.  According to Trading Economics, the current inflation rate is running at over 5% compared to 1.2% just a year ago.  That is bound to lead to higher interest rates and a drop in consumer confidence, followed by layoffs, spending freezes and more price increases.

Federal Debt.  According to Statista, the federal debt is over 28 trillion dollars, more than four times what it was 20 years ago.  On top of that, Congress is debating on two bills, which together, would add another 5 trillion dollars to the debt. Regardless of what anyone in the US government says, it can only lead to higher taxes. One of the bills being debated right now has provisions for significant tax hikes.  According to the NY Times, the corporate tax rate could increase by more than 30% and the rate for the wealthiest Americans could double! According to Tax Policy Center, senior fellow, Howard Gleckman, "95% of all federal taxes are paid by households in the top two quintiles — those making about $98,000 or more." 

No matter how you cut it, higher taxes lead to layoffs and spending freezes. The wealthy will have less disposable income to inject into the economy and the businesses they run must layoff staff to compensate for profits being redirected to pay additional corporate income taxes.

Don't get me wrong. If multi-billion dollar companies aren't paying any taxes they should pay their share but this won't affect them.  According to the US Treasury30 million SMEs account for nearly two-thirds of net new private sector jobs. This will affect them and their employees.

Immigration.  You don't have to live in a cave to see what's happening on the southern border and with the Afghanistan immigrants.  Millions of people streaming into the US means millions more low wage workers.  According to George Borjas, professor of Economics at Harvard University, "Immigration redistributes wealth from those who compete with immigrants to those who use immigrants—from the employee to the employer." 

As wages go down, disposable income vanishes and that negatively impacts the economy.

Stock Market.  Wall Street has the jitters right now because they don't like what they are seeing.  According to Morgan Stanley's Chief Investment Officer, Mike Wilson, stocks could be in for a 20% correction. 

That's a devaluation of 20%! 

According to BTIG's Juilian Emanuel, the markets are mimicking 1999 and for those of us who were around back then, it's not good news.  As a matter of fact, that's the kind of news that causes companies to stop spending money in a hurry.

If you've been reading anything in the news, you know there's a lot more going on but these four issues directly impact our economy.  And you don't have to live in the US to be affected by the US Economy because according to the NY Times, as the USA goes, so goes the global economy.  

These four issues don't suggest a coming boom, they warn of a serious recession, with high inflation, high interest rates, and high taxes, coming soon to a city near you.  In other words, an economic disaster.  Not as bad as the complete shutdown we saw in 2020, but probably as bad as the economic crisis we faced in 2009.

So how will that impact companies and their sales teams?

When large companies enact spending freezes, it has a trickle down effect.  For B2B, think cancellations, PO's that aren't issued, layoffs, fear and most especially, real challenges to getting products and services sold unless companies can't do without them.  And even then, there will be more competition and a race to the bottom as companies demand lower prices. Salespeople are ill-equipped and will be scared, while the companies they work for will be too risk-averse to rely on order takers to suddenly sell value in hopes of maintaining margins. 

"Selling value will be the key to survival but
selling value does not occur in a vacuum".
 

It requires strong consultative selling skills (listening and questioning) in the context of a sales process that supports a consultative approach.

Selling value assumes that your salespeople actually got themselves a meeting!  While getting meetings aren't that difficult with good lead generation efforts, meeting with a decision maker is.  46% of all salespeople believe they are reaching decision makers while Objective Management Group's (OMG) data shows that only 13% are actually doing that.  And if the economy tanks the way I expect it to, watch what will happen to those lead generation efforts!

From 2017 to the pandemic, most salespeople were successful in spite of themselves because there was more business than capacity to deliver.  Yet 50% of reps still failed to meet quota.  What will happen to the bottom half of your sales team when there will no longer be orders to take and each opportunity will need to be found and properly sold?  It doesn't sound very exciting.

Now is the time to take control of what lurks ahead.

The. Single. Most. Important. Thing. You. Can. Do. Right. Now. is to have your sales team professionally evaluated.  You must:

  • Learn who is part of your future and who was part of your past
  • Whether sales management is up to the task of coaching up your salespeople
  • Who has the ability to become effective taking a consultative rather than transactional approach to sales?
  • Who has the ability to sell value instead of price?
  • Is your sales process ready to support a consultative, value based approach?
  • How effective are your salespeople at reaching actual decision makers?
  • How effective is your team at gettin prospects past nice-to-have and getting them to must-have?
  • How much better can your salespeople become?
  • How long will it take?
  • What is required?

Those are the first ten things that came to mind but there are hundreds of other questions that could be and should be answered as part of a sales force evaluation.  What do you need to know about your sales team to navigate what I expect will be a very difficult 2022?

Learn more about a sales team evaluation here.

Explore OMG's data from more than 2 million salespeople in the 21 Sales Core Competencies we measure.

Request a sample from a sales team evaluation. Check off the following boxes on your sample request:

Topics: Dave Kurlan, assessments, sales performance, economic crisis, recession, closing deals, 2022

The Chainsaw Massacre and Building Sales Teams

Posted by Dave Kurlan on Tue, Sep 14, 2021 @ 09:09 AM

chainsaw

I was on the back of our property with my chain saw and I was ready to take down the third tree of the afternoon.  I determined where the tree needed to fall, made the two front cuts to create a hinge and made the final cut in the back to take it down.  Only it didn't go according to plan.  Somehow, the tree began to drop right where I was standing, ninety degrees from where I intended.  If cutting down trees is a hit or miss proposition, this was definitely a miss - as long as I could get out of its path quickly enough.  There is a science and a process for taking down trees and obviously, I didn't follow it properly!

Despite the existence of both a science and a process for hiring salespeople, most efforts also tend to be hit or miss and the emphasis always seems to be on miss.  There are plenty of reasons why, and we can discuss some of them, but the biggest and most insane reason is...

There are processes, websites and tools and plenty of help is available every step of the way. With all of those resources, why is hiring salespeople still such a hit or miss proposition? 

The answer is: Stubbornness.

HR professionals are stubborn because they think hiring salespeople is the same as hiring everyone else in the company.  It isn't.  Salespeople have three additional challenges which no other employee has to face:

  1. Competition - competitors will try to prevent your new salespeople from succeeding. Who other than salespeople in the company have to overcome that?
  2. Resistant and Disinterested Prospects - they hide from your new salespeople and when your salespeople do manage to get them to the phone they are resistant and disinterested.  Who other than salespeople in the company have to overcome that?
  3. Fear - salespeople have a lot of self-limiting beliefs, discomforts and fears that prevent them from doing some of the things required to be successful in sales even after they have learned to do them.  Is there any other role in the company where demons interfere with getting the work done?

Sales Managers are stubborn when they insist that their years of hiring salespeople validates their gut instinct and because of their experience they will get it right.  Yes - they can get it right as often as 50% of the time.  With only 50% of salespeople hitting quota each year, sales is the only profession where employees can fail dramatically and still have a job.  Unfortunately, as Elton John sang, "I'm still standing" is not a KPI for sales success.  Meeting or exceeding quota each year is.

CEOs are stubborn because they refuse to hold their Sales Leaders accountable for eliminating mediocrity. That mediocrity includes not just the horrible quota achievement, but failing to meet forecasts and sales hiring results.  How long would it take the CEO to fire the CFO if the CFO could only account for 50% of the company's money?

Recruiters - both internal and external - are stubborn because they don't want to change the way they do things.  As such they attempt to prevent companies from using Objective Management Group's (OMG) very accurate and predictive sales candidate assessments because it makes their job so much more difficult when they have to present quality candidates instead of any old candidates.

When Sales Leadership, HR, Recruiters and CEOs break through the stubbornness barrier, they are rewarded with the benefits of using OMG's sales candidate assessments - the equivalent of a sales hiring crystal ball.  OMG is incredibly accurate and predictive, as well as customizable down to the specific selling role so HR, sales leadership and recruiters can all see into the future and determine in advance whether or not each sales candidate is ideal for the selling role the company is attempting to fill.  As a result:

  • Recruiters deliver and recommend candidates with confidence!
  • HR saves dozens of hours they would have spent pouring over applications and resumes as well as making calls and can focus on reaching out to only those who will succeed in the role.
  • Sales Leadership interviews only those candidates who have the sales capabilities to succeed.
  • New salespeople hit quota, forecasts are finally realized and CEOs celebrate.

Best of all, executives can hire the salespeople they need and then move on to the other important aspects of their job.  it doesn't have to be hit or miss and it doesn't have to be difficult.  If it wasn't for stubbornness, hiring salespeople would not be a year-round proposition!

Speaking of resources, here are some I can point you to:

Free sample of OMG's Sales Candidate Assessment 
Free trial of OMG's Sales Candidate Assessment 
Free White Paper on the Science of Salesperson Selection

Image copyright 123RF

Topics: Dave Kurlan, assessments, hiring salespeople, sales hiring assessment, sales candidate assessments

Follow This Advice to Schedule More Meetings and Spend Less Time Doing It

Posted by Dave Kurlan on Wed, Aug 25, 2021 @ 13:08 PM

toadYesterday I watched a toad walk across the outdoor side of our kitchen window.  Picture it!  I wish I had video but it ran so counter to what I have observed toads doing over the past 65 years that I froze.  I performed a google search and found exactly one image of a toad on a window. Please understand that the dirty window and sill are not mine - I found the image via a Google search.

Regular readers know that I'm all about the data and I have written nearly two thousand articles based on data from Objective Management Group's (OMG) assessments of more than two million salespeople.  Occasionally however, I see data where incorrect conclusions have been reached and like the toad on the window, my conclusions run counter to theirs.  One such example is a beautiful infographic from sales playbook company Xant. I am going to share some of their data, graphics and conclusions and I'll provide my counter argument to their conclusions.

I'm not challenging the data, only their conclusions.

They cited data from tens of millions of outbound follow up calls to leads showing call conversion rates being significantly better on Mondays, Tuesdays and Thursdays.  Their conclusion was that salespeople should make their outbound calls on those three days.

I see it a bit differently.  Wednesday is hump day and Friday is the beginning of the long weekend.  Both days are notorious for being slacker days so it's not that prospects are less likely to schedule meetings when you call them on Wednesdays and Fridays as much as salespeople tend to be far less effective on Wednesdays and Fridays.  So if Xant is suggesting that salespeople focus their calls on Mondays, Tuesdays and Thursdays you should absolutely make your outbound calls on Wednesdays and Fridays when there is less noise and competition but while being as effective as you would on the other three days.

The data also showed that contact rates were best in the morning and they suggested that you make your calls then. Of course, I see it differently!  I have always suggested that outbound calling be performed for no more than 4 hours per day because salespeople become exhausted and less effective as the day goes on.  I believe the poorer afternoon contact rates are due to salesperson fatigue; not prospect behavior!  Therefore, if Xant is suggesting that you call in the morning, begin making your calls in the afternoon when fewer salespeople are calling!

There was one conclusion that I wholeheartedly agreed with and that is the time elapsed from lead to follow up call.  Five minutes does seem to be magical with a conversion rate that is 8X better than waiting even ten minutes before your call!  FOLLOW UP IMMEDIATELY!!

Their data shows that most salespeople - 81% - make fewer than 5 follow up attempts but the data isn't filtered by title. Calling the C Suite requires more attempts than calling a manager but salespeople suck at reaching decision makers.  Read these articles.  Despite that, it is very clear that you must be persistent! The reality is that the contact rate for between two and six attempts is much better than for one attempt and more than eight attempts.  My advice, call every day until you reach the person that generated the lead.

When it comes to lead follow up, I have a few suggestions.

Do it quickly and you won't have to do it a lot.

Do it effectively and you'll have a better conversion ratio.

Do it a lot to become more effective.

Let's pivot to a baseball analogy.  If the batter fails to get a hit, one of three things have occurred:

  1. They made solid contact but hit it right at a fielder - bad luck.
  2. The pitcher got them out with good pitching.
  3. They got themselves out with lack of plate discipline.

Don't get yourself out with lack of outbound calling expertise.  Practice every day and become awesome.  When I first began selling I hated cold-calling with a passion.  Since I was spending 6 hours per day doing what I hated I vowed to become good enough at it so that I could do it in one hour.  Remember, the better you are, the less calling you'll have to do!

Topics: Dave Kurlan, assessments, prospecting, cold call, outbound

MUST READ: Are Assessments as Evil as the Persona Movie Suggests?

Posted by Dave Kurlan on Wed, Apr 07, 2021 @ 12:04 PM

Personality Tests Examined in HBO Max Doc Persona - VitalThrills.com

Suppose you made a movie about cars and decided to feature the 1970's era Ford Pinto, arguably the most dangerous car ever made.  In your movie, you say that since the Ford Pinto is a car, it is therefore representative of all cars, and since the Pinto had a gas tank that could burst into flames from even a fender-bender, that all cars are equally dangerous.  Of course your movie doesn't mention safe cars like Volvo, full-size sedans, pick-up trucks, SUVs or specialty vehicles like sports cars, convertibles, or limousines.  Nope.  The Pinto is the poster child for cars.

That's the problem with the documentary Persona - The Dark Truth Behind Personality Tests. The movie shines the spotlight on the well-known Myers-Briggs Personality Type Indicator and swings between those that love knowing, being and relating to one of the sixteen personality types; versus those who are trying to change laws to prevent assessments like this from being used as a pre-employment test.

The film mocks those who embrace the Myers-Briggs while advocating for the elimination of pre-employment assessments.  The film focuses on people who believe they were harmed and branded as unemployable as a result of being rejected for work - supposedly because of their test results. Kyle Behm was one of those people and he committed suicide while the movie was being filmed.  The advocates against personality testing for employment issue the dire warning that everyone is or will be negatively impacted by personality assessments.

The film takes five huge leaps of faith and expects viewers to leap along with them:

  1. By using Myers Briggs as the poster child of personality assessments, they lead viewers to believe that all personality tests are essentially the same, measure the same traits and types, and function the same way. This is untrue.  While they all measure traits, they do not measure the same traits, do not function the same way, and they are not all suitable for use as pre-employment assessments. 
  2. By referencing only personality tests, they lead the audience to believe that all pre-employment assessments are personality assessments and vice-versaThey don't mention that there are alternate assessments that are not personality tests.  For example, Objective Management Group (OMG) produces a sales-specific assessment that measures 21 Sales Core Competencies.  The questions ask how salespeople sell, not how people see themselves socially, so OMG's sales-specific assessment truly measures fit for a particular selling role (talent), and not whether someone has the personality type that an employer desires (subjective).
  3. The film-makers attempted to make the case that because these assessments are written by middle-aged white guys, all personality tests are biased towards someone who has had the same experiences as middle-aged white guys.  Oh, and they are racist. This highlights the complete and utter hypocrisy of the film.  Merve Emre, the writer and narrator, claims that the creator of the Myers-Briggs, Isabelle Briggs-Meyers, was a racist and therefore her assessment is biased.  Three things were obvious.  a) Isabelle was not a middle-aged white guy; b) Unless you believe the human mind is created differently in people of color, Isabelle could not have had skin color or upbringing in mind when she created the 16 types; c) Merve Emre began this documentary project with a tremendous bias against personality assessments and especially Myers-Briggs.
  4. Algorithms in personality tests prevent certain people from ever landing any job of any kind.  It's possible that an algorithm could make it difficult for a certain applicant to get a certain type of job for which they may not be a good fit.  For example, an applicant is not very trust-worthy and the position calls for them to handle money. Or the applicant is an introvert and the position calls for them to spend most of their time talking with groups of people.  Assessments do not filter out certain types or groups of people for any and all jobs.  Does. Not. Happen.
  5. The film-makers imply that in order to apply for a job you must first take a personality assessment.  That's not true either.  Many companies do not use assessments and those that use them do not use them for every role in the company.

In my expert opinion, this documentary is fake news.  While they covered both sides of the story, neither side was objective. They didn't tell the entire story while they used a broad brush to position assessments as an ugly, biased, evil tool that exists only to help corporations increase revenue while discriminating against large segments of the population.

While personality assessments do uncover an individual's personality traits and tendencies, that information is simply nice to know.  While some personality assessments claim to predict fit for a specific role, personality assessments are not predictive because predictive validity requires a correlation between assessment findings and on-the-job performance. 

On the other hand, OMG's sales-specific assessment is validated using predictive validity. The 21 Sales Core Competencies actually correlate to on-the-job performance.

Don't allow a movie, this movie, to bully you into not using assessments.  Make a decision to use the correct assessment - the one that is most predictive of success in the particular sales role for which you are hiring.  Choose OMG, named the Top Sales Assessment Tool in the world for ten consecutive years by Top Sales World and named one of the Top 20 Assessment Companies in the World by Training Industry.

Topics: Dave Kurlan, assessments, Personality Tests, hiring assessments, pre-employment test, predictive sales test

Good Bob, Bad Bob, The Stockdale Paradox, and Sales Success

Posted by Dave Kurlan on Tue, Feb 02, 2021 @ 09:02 AM

Navy Legend Vice Adm. Stockdale Led POW Resistance | The Sextant

I read that Admiral James Stockdale, a Vietnam War veteran and former POW at the Hanoi Hilton, said, “You must never confuse faith that you will prevail in the end—which you can never afford to lose—with the discipline to confront the most brutal facts of your current reality, whatever they might be.”

His combination of faith and brutal reality was the difference between surviving long enough to be released from captivity, and being one of those unfortunate souls who died in captivity.  In Jim Collins' best-selling business book, Good to Great, he refers to that quote as the Stockdale Paradox.  

It's also consistent with what Jack Reacher, the lead character in the Lee Child series by the same name, would say.  In 2015, I wrote this article about Jack Reacher and I have always taught that "you must be eternally optimistic about your outcomes but completely skeptical about everything you hear along the way."

Why is that important?

Happy Ears is a Big Problem for most salespeople.  When it's a strength, Objective Management Group (OMG) calls it Healthy Skepticism.  The challenge is that Healthy Skepticism is unlike the other selling strengths and weaknesses measured by OMG, where great salespeople have them as strengths and weak salespeople have them as weaknesses.  With Healthy Skepticism there is little differentiation between strong and weak salespeople.

While the strongest 5% are 35% less likely to have Happy Ears than the weakest salespeople, Happy Ears affect all salespeople, even the best ones.  For example, this article tells the story of a very talented salesperson (good Bob) who was thrown off his game because of Happy Ears.  Read the story about bad Bob and his $225,000 selling mistake.  Bad Bob has happy ears. 

This short article points out how Happy Ears plays a part in weak/empty pipelines.  And this article explains how to coach your salespeople beyond Happy Ears.

This famous clip from Dumb and Dumber demonstrates Happy Ears better than anything I can write.

Whether it's a good salesperson being thrown off his game, a weak salesperson always having happy ears, James Stockdale, Jack Reacher or the rest of us.  It's important to be optimistic about your outcomes, but you must confront the brutal reality of your situation.  Listen closely to what you're hearing.  Challenge and push back by asking questions, even if you're uncomfortable doing so.  Especially if you're uncomfortable doing so!

OMG has assessed 2,059,200 salespeople and you can see that data and compare by industry here.

Image from US Navy archive

Topics: Dave Kurlan, assessments, happy ears, james stockdale, stockdale paradox

The Problem With Having Crappy Sales Managers

Posted by Dave Kurlan on Wed, Nov 11, 2020 @ 15:11 PM

lg-electronics-front-load-washers-wm8100hva-64_1000

The lettering above the dials of our LG washing machine (pictured above when new) have worn off.  I went online believing I could get a replacement decal and while LG does not provide replacements,  they will replace the entire front panel for $125.  While I was researching this stupid, preventable issue, I found that many LG owners have the same problem.  You see, the letters come right off if you are stupid enough to drape a stained baseball uniform (or any stained clothing) over the front of the washer and spray it with a stain remover like Shout.  How can the product managers for this machine be so bad?

They're not the only professionals who are quite bad at what they do.  Sales Managers underperform at a mind boggling level.  Let me show you the degree to which most sales managers are unqualified.

Let's begin our story with sales management candidates - those candidates looking for a sales management gig.  Objective Management Group's (OMG) recommendation rate for sales management candidates is only 14.8% with another 14.1% on the fringes leaving 71% of all candidates not recommended!  More than two out of three candidates for sales management roles don't qualify!

The next question is why not?

One third of all candidates are knocked out for having low scores in Will to Manage Sales.  This group of five sales management competencies includes Desire for Sales Management Success, Commitment to achieving greater sales management success, Outlook, Responsibility and Motivation.

42% of all candidates are knocked out for having Sales Management DNA scores that are too low.  Sales Management DNA consists of five competencies which together are a combination of strengths that support a sales manager's ability to coach to and enforce sales process, sales strategies, sales tactics, sales methodology, sales pipeline and CRM compliance.  When the score dips below a certain point, those competencies become weaknesses.

16% of all candidates are knocked out for scoring too low on the Sales Coaching competency and another 61% are on the fringes.  That's another way of saying that only 23% of all candidates have the Sales Coaching competency as a strength and when sales managers are supposed to be spending half of their time on coaching, that's seriously useless.

Ugh.

There are a couple of different ways to look at this.  Companies that are serious about building strong sales cultures and following best practices use OMG's sales management candidate assessments and say, "No big deal.  That's why we use OMG to assess sales and sales management candidates!"  Companies that don't use OMG probably don't even notice because the candidates are probably no worse than most of the sales managers already working there.

That brings us to the bigger problem.  Six out of every seven sales managers SUCK!

What does that mean for you?

Most sales managers don't coach enough, don't coach consistently, don't coach the right way, don't impact their salespeople's opportunities, don't grow their salespeople, don't inspire their salespeople, don't hold their salespeople accountable, suck at recruiting new salespeople, spend too much time on personal sales and compiling reports, and not nearly enough time developing the talent on their teams.  More on this topic.

I spoke with the two senior-most executives of a national company who admitted that they've been trying to build a sales organization for ten years.  They said they "don't know what they don't know."  That doesn't actually differentiate them from most executives.  What does differentiate them is that they admitted it!  Unfortunately, admitting that they don't know what they don't know doesn't solve anything.  They must also be willing to follow advice, follow through and stick with it and that's easier said than done. Building a sales culture that rocks means starting with the right sales manager in place.  Always.

The challenge is to understand the importance of having the right sales managers.  If you run a company with a small sales team, you're lying to yourself if you think that you can manage salespeople in your spare time.  Just. Not. True.  If you run a larger company with a larger sales team, you're lying to yourself if you think that as long as you hire the right sales talent any sales manager will do.  Right up until the good salespeople quit.  If you have multiple sales teams, with more layers between the C Suite and the salespeople, sales managers receive less scrutiny, are more independent, and play an even more important role in executing the company's strategy.  You're lying to yourself if you think that having any sales manager with industry experience will get the job done.

Sales Managers are the LG washing machines of the sales profession and the people they report to are the enablers that allow that inferior product to exist.

Time to towel off.

Topics: Dave Kurlan, assessments, sales management, sales performance, sales team, sales management test

The Best Solutions for Hiring Great Salespeople for Your Company

Posted by Dave Kurlan on Fri, Aug 28, 2020 @ 12:08 PM

plane

Would you fly on a huge jet from Minneapolis, Minnesota to St. Paul, Minnesota, usually a 15-minute drive?

Would you take a train between intersections of the same city block, usually a 2-minute walk?

Would you take a bus to the bottom of your driveway - usually a 1-minute walk or less?

Would you walk from Boston to Miami - a 3-hour plus plane flight?

These are all examples of inappropriate solutions to the simple question, "What is the best way to get there from here?"

How about the simple question, "What is the best way to assure that the salespeople I am about to hire will succeed in the chosen role?"

An OMG Partner pointed me to this article which has 7 assessment solutions. 6 of the recommendations are every bit as inappropriate as the solutions to my travel questions.

There are three additional questions that must be asked in order to answer the primary question that asks the best way to hire the right salespeople:

Are assessments in general good enough to identify those salespeople?  There are many types of assessments, including intelligence, honesty and integrity (illegal in some US states), personality (challenged in the courts), behavioral styles, cognitive ability and of course, skill-specific tests.  Because most of these assessments can be provided to any potential employee and are not specific to sales, the answer is a loud and resounding NO.

Are personality assessments good enough to identify those salespeople?  Personality assessments are not role-specific so they have been challenged in the court.  The dimensions and findings in Personality assessments are not predictive of anything and there is no specific personality type (including Meyers-Briggs, 16PF, DiSC, and Caliper which were all mentioned in the article) that indicates that one is a better salesperson than another.  Again, the answer is a loud and resounding NO.

Is OMG's sales-specific assessment a personality test?  Despite its inclusion in the article's list of 7 assessment solutions, Objective Management Group (OMG) is NOT a personality assessment. OMG provides a sales-specific assessment that measures a sales candidate's capabilities in all 21 Sales Core Competencies as well as several additional sales-specific competencies. Does it help identify the right salespeople because it is sales specific?  That is part of the reason but the more important reason is that OMG is validated using Predictive Validity.  Predictive. Validity.  Most validations show that an assessment is properly constructed and will provide consistent and reliable results. That is Construct Validity. On the other hand, Predictive Validity correlates the findings to on-the-job performance.  It is not enough though to simply identify good salespeople; you must identify the right salespeople for the role or roles in question.  Configurations for each role are customized so that the ideal salespeople are recommended for the company's specific role(s).  Right people in the right seats.  It's about getting sales selection right.  OMG has proven its accuracy and track record in sales selection having just passed 2 million sales assessments in 30,000 companies.  In the case of OMG, the answer is a loud and resounding YES.

Here's another question.  Why only 30,000 companies?  If OMG is that predictive and accurate, shouldn't it be used in 3 million companies?  I don't think there are 3 million B2B companies that qualify but certainly there are 300,000.  So again, why only 30,000?

There are 3 answers that deserve consideration.

Ego.  Far too many sales leaders believe that their gut instinct is more accurate than some assessment.  Given that the overall success rate for hiring salespeople is hit or miss with an emphasis on miss, they couldn't be more wrong.  Of the candidates who were not recommended, but clients hired them despite OMG's warning, 75% failed inside of 6 months.  Of the candidates who were recommended and eventually hired, 92% rose to the top half of the sales force within 12 months.

Knowledge.  Far too many HR leaders believe that their expertise is in hiring and either don't need an assessment or they choose one they are familiar with, like DiSC, Caliper, Predictive Index or Myers-Briggs.   The reality is that only 14% of all HR professionals understand how assessments work.

Stupidity.  At some large companies, in-house counsel has banned the use of assessments.  While they often justify their own existence, this stupid practice occurs out of ignorance.  While attorneys are protecting their clients from law-suits alleging discriminatory hiring practices, only personality assessments have been successfully challenged in court.  Remember, OMG is not a personality assessment - it's sales-specific, or in other words, a role-specific assessment which is perfectly legal to use, has never been challenged in court, and shows no adverse impact on protected minorities.

If you aren't already using them, check out OMG's Sales Candidate Assessments.  You'll improve your sales hiring success rate immediately!

If you aren't familiar with all 21 Sales Core Competencies, check out some of the data here.

Image Copyright

Topics: sales assessment, sales hiring, assessments, hiring salespeople, sales testing, sales hiring process, hiring mistake, sales hiring tools, predictive sales test

The Sales Force with Over Achievers That Don't

Posted by Dave Kurlan on Wed, Mar 25, 2009 @ 22:03 PM

Huh?

That's right. Today I heard about a CEO who told one of my colleagues that all of his salespeople over achieve.  In the same phone conversation he mentioned that sales are down 20%.  Can you imagine where sales would be if his salespeople under achieved?  

I think that many CEO's are in a time warp.

Despite the struggles of their sales force in this economy, they still view the sales force as they remember them when times were good. 

The problem with this is that even the good times did not accurately define these salespeople.  Salespeople who succeed when times are good but struggle when times get tough are not over achievers.  They are mediocre salespeople who simply don't get in their own way.  Over achievers find ways to succeed in all conditions, good and bad.

I think that many CEO's are in denial.

Despite the struggles of their sales force, they continue to look at the pipeline and say to themselves, we'll be okay as soon as these deals close.  But the deals aren't closing and with each passing day companies are less okay then they were the day before.

I think that many CEO's are scared shitless (the only truly accurate word I could type there).

Because of the struggles of their sales force, they look at the numbers, down 90%, down 75%, down 50%, down 25% and wonder how they can turn it around.  It can be turned around but they have to be proactive, not reactive.  They have to be aggressive, not passive.  They have to work on the right end of the problem - revenue - not just costs.

Truth is, our data shows that only 6% of all salespeople over achieve.  And another 20% can become over achievers.  Who do you want on your sales force and what are you willing to do to develop them or recruit them?

(c) Copyright 2009 Dave Kurlan


 

Topics: Dave Kurlan, sales hiring, assessments, selling, Management, Sales Force, leadership, over achievement, declining sales, improve sales, assessment, sales candidates, over achieve, Under achievers, hiring salespeople, mediocrity, overachievers, sales increase, Performance, Economy, sales assessments, declining revenue

The Secret - The Ancient Scrolls and its Impact on the Sales Force

Posted by Dave Kurlan on Tue, Mar 24, 2009 @ 12:03 PM

Al Turrisi was kind enough to give me a book called the Power of the Kabbalah.  Its ancient scrolls originated around 4,000 years ago, inspired The Secret and predates Moses and the Bible!  Since this book is not the Kabbalah itself, rather a Cliff Notes version, it tends to read more like a self-help book. It is far more powerful than a self-help book though as it points to a number of rules that will cause a transformation in one's life.

Seven of the desired behaviors are consistent with the philosophies in Baseline Selling - How to Become a Sales Superstar by Using What You Already Know about the Game of Baseball as well as Objective Management Group's Sales Assessments:

The importance of Desire. Read the Top 10 Factors for Salespeople to Overachieve.

It's not about you.  Over the past several months I have found myself telling an awful lot of salespeople and sales managers that it's not about them.  It's even become a finding in Objective Management Group's Sales Manager's Evaluation - The It's All About Me finding.

Need for Approval or what happens when you need people to like you.  This is the second most powerful weakness in all of selling. Here's an article about that.

Becoming Emotionally Involvedor reacting instead of proacting.This is the third most powerful weakness in all of selling. I wrote an article about this.

Resistance or the great challenge that presents itself rather than an obstacle.  I wrote a an article about this earlier this month and another one a couple of years ago.

Certainty or having faith that what you say, ask, or do will get the desired outcome.

Doing What's Uncomfortable.  I wrote an article about this a while back too.

Many of the articles I linked to were Baseline Selling Tips.  Speaking of Baseline Selling, this is the third anniversary of the publish date of the book, a good reason to reread or order it.

So in summary, simply by having your salespeople overcome their sales weaknesses, doing the very things they are uncomfortable doing, having faith in their abilities and having a strong desire for success will cause those very same people to experience life changing experiences.

(c) Copyright 2009 Dave Kurlan

 

 

Topics: sales assessment, Dave Kurlan, Need for Approval, Baseline Selling, assessments, sales skills, Salesforce, Sales Force, Changing_Behavior, over achievement, sales weaknesses, Motivation, sales core competencies, assessment, sales evaluation, over achieve, improve sales performance, sales winners, overachievers, sales assessment test, Baseline_Selling, sales assessments, sales test, objective management group

Sales - What the Data Tells Us - The Series

Posted by Dave Kurlan on Wed, Aug 13, 2008 @ 22:08 PM

Is there data which actually illustrates and supports what drives sales performance, hiring great salespeople, and developing salespeople?  Is it meaningful?  If the data is compelling, would you modify your views, beliefs, practices and behaviors? 

I've written a number of articles based on my research, our data from assessing 2,086,251 salespeople, statistics and/or pure science.  Some of the articles pertain to sales performance, while others are based on the hundreds of thousands of salespeople whom we have assessed.

This article series is called Sales - What the Data Tells UsWhile some of the articles simply report the research and/or data, others share either my insights about the data or provide data to support my insights.  Here are the articles:

Finally!  Science Reveals the Actual Impact of Sales Coaching 

Why it is so Difficult to Compare Sales Effectiveness from One Salesperson to Another

New Data Reveals Interesting Differences in Salespeople's Ability to Work From Home

Why the Future of Selling Won't Resemble the Past 

3 Steps You Must Take Today to Save Your Company From This Economic Downturn 

New Data Reveals a Finding That Correlates to Sales Success

Is Your Sales Force More Like a Dunkin', Starbucks or Panera Drive Thru?

The Science Behind One Company's Top Sales Performers and Why They're So Much Better

The Deal Breaker That Prevents you From Hiring a Great Salesperson

An Inside Look at Why 3 Good Salespeople Failed and 3 So-So Salespeople Succeeded

Salespeople in Small Companies are 43% Better at This and Other Salesenomics Insights

Good Sales Recruiting is Like Selecting Movies and TV Shows

New Data Reveals a Magical New Score for Sales Effectiveness

A Tale of 3 Squirrels and Their Human Counterparts in Sales

Why You Will Finally Pay the Price of Not Selling Value

How Much Has Video Impacted the Way We Sell?

Good Bob, Bad Bob, The Stockdale Paradox and Sales Success  

Data Shows Sales Commitment and Motivation Changed During Quarantine

FOX News and CNN Can Help You Conduct Better Sales Opportunity Reviews

Data - Top Salespeople are 631% More Effective at This Than Weak Salespeople (The Bob Chronicles Part 3)

Data Shows Your Sales Team is No Different Than Your Lawn
Salespeople in Small Companies are 43% Better at This and Other Salesenomics  Insights
Data Shows Commitment and Motivation Changed During the Pandemic        
New Data Reveals Interesting Differences in Salespeople's Ability to Work from Home     
How Much Has Video Impacted the Way We Sell?     
Companies Surprised by Remote Selling Challenges      

New Data - Salespeople are a Disaster When it Comes to Coaching 
The Correlation Between Sales Process, Sales Milestones and Sales Success 
New Data Shows an Overlooked Finding Correlates to Sales Success

Senate Confirmation Hearings Show us What Salespeople Do Wrong Every Day 

The New 21 Sales Core Competencies for 2020 and Beyond 

Masks and Sales Assessments - You Lose a Little Freedom and Control for Safety and Confidence
Why You Will Finally Pay the Price of Not Selling Value      
New Data Reveals a Finding that Correlates to Sales Success    
The Science Behind One Company's Top Sales Performers and Why They're So Much Better    
An Inside Look at Why 3 Good Salespeople Failed and 3 So-So Salespeople 
Succeeded

New Data Reveals a Magical New Score for Sales Effectiveness

A Tale of 3 Squirrels and Their Human Counterparts in Sales

Sales Process and Why So Many Salespeople Lose Their Way

New Data Shows That Top Salespeople are 2800% Better at Disrupting the Flow

Change in Approach Leads to 304% Increase in Sales Effectiveness

How Big of a Role Does Age Play in Sales Effectiveness?

How All Those Trucks on the Road Can Help You Stop Discounting

The Best Salespeople are 791% Better at This Than Weak Salespeople

The Best Salespeople are 2733% More Likely to Have This Than the Worst Salespeople

How to Transform Your Sales Pipeline Today

Your Last Chance to Make a Good First Impression

How Top Salespeople Anticipate and Manage Resistance

The New Salesenomics

The 21-Day Solution for the Toughest Sales Weaknesses

Why Coaching Causes Some Sales Managers to Hold On for Dear Life

Great News! The Latest Data Shows That Salespeople are Improving

Top 13 Requirements to Help You Soar as a Sales Manager

The Top 8 Requirements for Becoming a Great Salesperson

Popularity Polls are Just Like Sales Management Tracking Metrics!

Why are Half of All Sales Reps Still Missing Quota in a Booming US Economy?

Data Shows That Only 14% are Qualified for the Easiest Selling Roles

Last Day Madness on the Sales Force - That's One Kind of Urgency

Examples of How Salespeople Lose Credibility with Their Prospects

Golden Nuggets from the CSO Insights 2018 Sales Talent Study

New Data Shows that You Can Double Revenue by Overcoming This One Sales Weakness

Salespeople With This Weakness Score 47% Worse at Reaching Decision Makers

Which 4 Sales Competencies Best Differentiate Top from Bottom Salespeople?

Where Can You Find the Best Salespeople?

The Top 12 Factors that Cause Delayed Closings and What to Do About Them

Do the Best Sales Managers Have the Best Salespeople?

New Data Shows That Elite Salespeople are 700% Less Likely to Do This

Elite Salespeople are 26 Times More Effective at This Competency Than Weak Salespeople

Does Being a Strong Qualifier Correlate to Having a Strong Pipeline?

Elite Salespeople are 200% Better in These 3 Sales Competencies

Latest Data - Strong Salespeople Score 375% Better Than Weak Salespeople

Sales Pipeline Data Shows That Most Late Stage Opportunities Just Aren't

Latest Data Shows Most Salespeople Would be Fired or Arrested if they Worked in Accounting

New Data - Are Experienced Sales Managers Better Sales Managers?

The Latest Data Shows That Sales Managers Are Even Worse Than I Thought

Sales Playbook and CRM Problems - What the Data Tells Us

New Data Shows How Relationships and the Need to be Liked Impact Sales Performance

New Data Shows Sales Weaknesses Cause Powerful Chain Reactions in Salespeople

Discovered - Data Reveals the Second Biggest Obstacle to Closing More Sales

Discovered - Data Reveals the Biggest Obstacle to Closing More Sales

The Wrong Salespeople are Hired 77% of the Time

New Data Reveals Why Veteran Salespeople Are Not Better Than New Salespeople

Data Shows Most Salespeople are Dinosaurs When it Comes to Social Selling

Data Shows 1st Year Sales Improvement of 51% in this Competency

Are Millennials Who Enter Sales Better or Worse Than the Rest of the Sales Population?

The Official 2017 List of 21 Sales Core Competencies

Are Millennials Who Enter Sales Better or Worse Than the Rest of the Sales Population?

HBR or OMG - Whose Data Really Differentiates the Top from Bottom Salespeople?

Those Who Follow Sales Best Practices Don't Necessarily Become Top Performers

What Percentage of New Salespeople Effectively Reach Decision Makers?

Surprising New Data Busts the Myths about Relationship Selling and Social Selling

New Analysis Shows the 5 Biggest Gaps Between Top and Bottom Sales Performers

The One Sales Data Point that Varies Wildly

What Percentage of New Salespeople Reach Decision Makers?

Surprising New Data on Salespeople Busts the Myths about Relationship Selling and Social Selling

Big Data and Big Lies Have Arrived in the Sales Training and Assessment Space

What Do You Blame When Salespeople Don't Schedule Enough New Meetings?

Breaking News - More Salespeople Suck Than Ever Before (and Why)

Can the Lack Commitment to Sales Success Finding be Wrong?

Can the Worst Salespeople be Saved?

Beach Ball of Death Predicts Lack of Sales Growth

Rebuttal to What Elite Salespeople Do Differently

Science and the Length of Your Sales Cycle

Validation of the Validation of the Sales Assessment

Presidents & CEO's: 4 Out of 5 Sales Managers Are Ineffective!

The Real Problem with the Sales Profession and Sales Leadership

Are Sales and Sales Management Candidates Getting Worse?

Sales Excellence Studies Propagate Mediocrity

Top 5 Insights From Latest Sales Organization Studies

Dan Pink Hits and Then Misses the New Key to Sales Performance

Another HBR Article on Sales Leaves Me with Mixed Feelings

Are (Lack of) Results Due to the Salesperson or the Company?

When are Salespeople Too Old to Sell Effectively? 10 Conditions

Getting Reluctant Salespeople to Fill Their Empty Pipelines

The 5 Keys to Effective Sales Coaching and Results

Why Do So Many Salespeople Fail to Make Quota?

Why Most Companies are Struggling to Grow Revenue

Sales Leaders Got These Issues All Wrong

Does Your Sales Force Look Like This?

Should You Restage Your Sales Pipeline?

Another Sales Assessment Takes on OMG - What Does it Reveal?

Are Women in Sales Less Trainable?

The Sales Assessment Client Who Didn't Renew after All These Years

Why Young Male Salespeople are at a Disadvantage

The Latest Astonishing Findings About Sales Managers

Revealing Study of Salespeople Makes News at HBR

Most Salespeople Suck at Selling

Sales Effectiveness - IDC and CEB Draw Conflicting Conclusions

How Many Salespeople Made Quota in 2010?

Another Behavioral Style Assessment Pretends to Assess Salespeople

The Science of Achievement Applied to Sales Success

Caliper and Selling Power Hit and Then Miss the Mark on Sales

Harvard Business Review Hit and Then Missed the Mark on Sales

Rejection Proof - The Science Behind Success in Sales

The Top 10 Reasons Why Sales Commitment is More Important

Top 10 Reasons Why Commitment Has Become More Important

But I'm a Sales Guy! The Story of Motivation and Compensation

What Sales Leaders Don't Know about Ego and Empathy

Call Reluctance in Salespeople - Causes, Factors and Predictors

The Top 5 Factors to Prevent Sales Turnover

The Science of Selling - Rules versus Data

Does Sales Assessment Completion Time Affect Validity?

Are Sales Cycles Really Getting Shorter?

Ultimate Comparison of Sales Superstars and Sales Losers

How to Hire the Best Salespeople on the Planet

More Than Half of All Sales Managers Should Consider...

How Many Salespeople Shouldn't be in Sales?

Personality Assessments for Sales - The Definitive Case Study

Misleading Statistics and Hiring the Wrong Salespeople

Who Are Better Salespeople - Men or Women?

Top 5 Reasons Why OMG's Assessments are More Predictive

Sales Statistics that Reveal Sales Effectiveness

How to Select More Effective Sales Candidates

Fact Based Reasons Why New Salespeople Fail - the Data Points

Misleading Sales Numbers Part 2

What Do Sales Managers Do With Their Time?

Myths About Top Performing Salespeople

10 Reasons for HR and Sales Management to Hire Winning Salespeople Using Assessments

Sales Assessments - More Accurate Than Sales Management Thinks

Pfizer Reduces Size of Sales Force by 20%

Sales Hiring Efficiency

The Correlation Between the Findings and Performance

A Behavioral Styles Assessment versus OMG's Assessment

How to Elminate the 80/20 Rule on Your Sales Force

Sales Coaching - Between the Lines

How to Find More Hirable Sales Candidates

Where Are All the Hunters and Farmers?

Is He or Isn't He?

How to Close a Sale using Proof of Concept


B2B Salespeople Send 16,000+ Unqualified Proposals Each Day

Why You Should Care That Sales Motivation Data Correlates Perfectly with Sales Performance

Can Sales Statistics be Good and Bad at the Same Time?

 

 

Topics: sales competencies, assessments, recruiting, Sales Coaching, accountability, leadership, Motivation

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About Dave

Best-Selling Author, Keynote Speaker and Sales Thought Leader,  Dave Kurlan's Understanding the Sales Force Blog has earned medals for the Top Sales & Marketing Blog award for nine consecutive years. This article earned a Bronze Medal for Top Sales Blog post in 2016, this one earned a Silver medal for 2017, and this article earned Silver for 2018. Read more about Dave

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