Understanding Competency Based Assessments - What Ditch Diggers and Salespeople Have in Common!

Posted by Dave Kurlan on Fri, Jun 24, 2022 @ 13:06 PM

I use a tool called Zapier to create zaps that automate some of the tasks that I do.  Zapier's newsletter had an article on 11 tech tools you need during economic uncertainty or in other words, during a recession. I clicked on the article and the first tool recommendation was written by Linda Scorzo, CEO of Hiring Indicators on the topic of competency based assessment technology. She wrote the following:

"Using competency-based, job-specific assessment technology is an absolute must for anyone looking to up-level their hiring. Getting beyond the interview and into the heart and soul of your candidates can give you a truer gauge of can they do the job and thrive as a member of your team.
With a recession comes an increased need to hire and to protect every dollar by lessening the risk of turnover. Assessment technology...has shown time and time again how you can get in front of the eight-ball and hire qualified and dynamic candidates."

Do you have any idea how many assessments are actually job specific?

The assessments that companies most commonly use are personality and behavioral styles assessments and as such, are not job specific.  Cue Objective Management Group (OMG).  Its assessments are not only specific to sales but also role specific, as in outside roles like account executive, account manager, and channel manager, as well as inside roles like BDR, SDR, and account manager.

OMG's sales assessments measure candidates against 21 Sales Core Competencies (and several additional sales competencies) and compares candidates to the more than 2.2 million other sales candidates that OMG has assessed. This measurement standard is "normative" while personality and behavioral styles assessments tend to be "ipsative."  Ipsative scores provide a comparison within an individual and are NOT recommended to be used for recruitment and selection purposes because they don’t make a comparison between individuals.

Each OMG Sales Core Competency has an average of 8 attributes for a total of approximately 200 sales specific findings, customized to the specific role for which the candidate is being considered.  OMG adjusts the requirements for a positive recommendation based on the difficulty of a specific sales job and role.  Various industries, businesses, sales roles, complexities, sales cycles, price points, territories, markets, audiences and decision makers are not remotely similar so a sales assessment is only useful if those factors are considered in the scoring criteria and subsequent recommendation.

As an example, let's say you were seeking to hire a ditch digger.  While you must identify someone who is strong, can use tools and dig holes, the width and depth of the hole, as well as the difficulty of the digging is more important.  Will this individual dig in sand, screened loom, compacted soil, clay, gravel, or rock?  If an assessment, even one that was specific to ditch-digging, only looked at the tools they had available and their ability to dig in general, it would not necessarily identify someone who could dig monumentally huge holes in soil with large rocks.

It's the same with a sales assessment.  A sales assessment that scored a territory salesperson who takes orders from plant managers for industrial supplies equally with a salesperson who sells multi-million dollar capital equipment to the C Suite of the Fortune 500 enterprises, is of limited value.  When the assessment can be configured to specify the requirements for those two sales roles and distinguish between the candidates applying for those two sales roles, we have perfection.

Let's return to part of the the quote at the beginning of this article where Linda writes, "Getting beyond the interview and into the heart and soul of your candidates can give you a truer gauge of can they do the job and thrive as a member of your team."  You do need a gauge, but the gauge should not be if they can do the job, but whether they will do the job.  OMG effectively distinguishes between can sell (you've met those ghosts - candidates you hired who are no longer with you but they still haunt you!) versus will sell (they are your top performers).  The other part of that quote which needs to be modified is where she says "getting beyond the interview."  You shouldn't be wasting time interviewing those candidates who can sell when you can focus only on those candidates who will sell in the specific role for which they are being considered.  Use the assessment early in the sales recruiting process to identify and disqualify the candidates that are not recommended.

OMG's sales, sales management and sales leadership candidate assessments are legendary for how accurate and predictive they are.  Want to learn more?

Download a sample.

Sign up for a free trial (you must be a CEO, President, VP, GM, HR Director, Sales Leader or Sales Manager)

Start using OMG with Help! (An OMG Expert will contact you to walk you through the customization process and pricing options)

Start using OMG Right Now on Self-Serve (limited customization, limits on quantity, no portal access, no complimentary upgrades)

 

Topics: sales assessment, Dave Kurlan, hiring salespeople, sales test, personality test, zapier

62% Less Turnover and 80% Higher Quota Attainment When You Hire Salespeople the Right Way

Posted by Dave Kurlan on Thu, Feb 03, 2022 @ 07:02 AM

 

snowblower

Buying a snowblower?  Pick one, have it delivered, wait for a snowstorm and blow some snow.  What's the worst that can happen?

Planning to go out for dinner?  Choose a restaurant, make a reservation, show up and enjoy.  What's the worst that can happen?

Hiring salespeople? Spec the role(s), post your job descriptions, collect resumes, choose some candidates to interview and make some hires.  What's the worst that can happen?

If you have a sales cycle of several months or more, subsidize your salespeople until they are self-sufficient, and in early 2022 it takes 3 months to find a suitable candidate, you are screwed before you start!  Once you finally identify a decent candidate, you have hours, not days or weeks, to make a decision and pull the trigger and what's the worst that can happen?  Six months or more pass before you realize that salesperson won't make it and you not only wasted a half year's salary, you lost six months, have an empty territory or vertical, and have to start over from the beginning!

It doesn't have to be that way and here's why.

There are several keys to getting sales selection right and we can discuss them here:

  1. Compensation: Base salaries are in and while you would love to hire a salesperson who is willing to eat what they kill (straight commission), most salespeople are not well-suited for that kind of pressure.  Your on plan total compensation for the first year must be appealing or in today's market good salespeople will ignore you.
  2. Location: Many salespeople love working from home and leveraging video platforms to generate revenue.  They can be MUCH more effective and should be much more successful.  You'll need to offer a remote option to attract good salespeople.
  3. Job posting:  The job posting must stand out and describe your ideal candidate instead.  Don't post a job description, post a candidate description, don't make it about your company, and you'll have a better chance to attract the best candidates.
  4. Sales Candidate Assessment: In today's candidate market you MUST have a crystal ball to differentiate the duds from the studs and more importantly, identify the salespeople who are the best fit for the particular selling role you are hoping to fill.
  5. Confidence: If you get the first four things right, then you will have the confidence to pull the trigger before you lose a good candidate to another company.

Today, I conducted a tailored fit for a company that will use Objective Management Group's (OMG) accurate and highly predictive sales candidate assessments.  The tailored fit adds an additional layer of customization - in this case 30 additional criteria - to help identify the right salespeople.  We also use tailored fits as a proof of concept, to show skeptical potential clients that our sales candidate assessment accurately differentiates their top producers from their worst under performers.  Check this out:

So what are we looking at here?

We start with 185 or so findings inside 21 Sales Core Competencies.  Then we identify the findings and scores that differentiate the tops from the bottoms.  In the example above, eight of the differentiators we identified are actually selection criteria that the company wasn't aware of and was badly messing up. Four of the differentiators are related to motivation which is ironic because most executives believe they have a tremendous ability to identify and hire motivated salespeople.  Two of the findings are related to Sales DNA, weaknesses that sabotage performance.  Seven differentiators reside with traditional sales core competencies.  Two identify salespeople's suitability for working remotely and their ability to self-start.  And six of the differentiators represent specific selling skills.

Explained another way, the top producers prospect consistently, are extroverts and score high in the Hunting competency.  They reach decision makers, take a consultative approach and uncover compelling reasons to buy, sell value and leverage sales technology.  They can work remotely, and have experience calling on business users, asking for up to $25,000, selling conceptual services that are not top of the line, in a hunting role with high pressure to perform while working at a major corporation and a turbulent and ever changing culture.  The bottom under performers do not. 

This company was not using OMG's assessment and managed to hire some very ineffective salespeople.  As long as they follow OMG's recommendations, they will never make mistakes like this again!  The salespeople that OMG recommends move to the top half of the sales team within 12 months while 75% of the salespeople that are hired although they were not recommended by OMG, fail within 6 months.  Read that again to make sure you read it right.

The 33,000 companies that have used this tool to assess more than 2.2 million salespeople, have hired nearly 100,000 salespeople.  They have 62% less turnover, shorter paths to productivity, and 80% higher quota attainment.

You can be consistently successful hiring salespeople if you follow my 5 tips and use OMG's Sales Candidate Assessments.

Need to see a sample?  Request one here.  Choose Sales Candidate Assessment.

Need to try it out?  Request a free trial here.

Ready to save time and money, hire with confidence and start using OMG?  Have an OMG expert help you get started

George Kriza sat down and interviewed me about the challenges of finding and hiring salespeople in the current economy.  Watch it now!

Image copyright 123RF.

Topics: Dave Kurlan, omg, Personality Tests, sales candidate assessment, sales assessments, sales test

Sales Selection Tools: Do You Get What You Pay For?

Posted by Dave Kurlan on Thu, Dec 09, 2021 @ 09:12 AM

fraud

Perhaps you've heard the advertisement while listening to a SiriusXM radio station.  It's for Home Title Lock.  They scare you by mentioning that some bad people can commit fraud by going online, claiming your home's title, taking ownership of your home, and borrowing against your home's equity without you knowing it.  Home Title Lock prevents this from happening.  Maybe.  I don't know enough to say whether this fraud actually happens and whether their service works.  But I do know this.  I've been trying to cancel my business internet with Verizon for two months and I can't prove to them that it's my account.  If the legitimate account holder, with credentials (account numbers, invoices, names and address), is unable to cancel my own business internet account, how can someone casually take over your title and suddenly own your home?  It doesn't make sense to me!

Here's another thing that doesn't make sense. 

If you have used Indeed to hire salespeople, they will offer to have your candidates take a free sales assessment.  Doesn't that sound great?  It is great if the assessment is helpful but it happens to be a useless piece of crap.  Why would anyone think, for even a moment, that there is any value in their lame, assessment-in-name-only test?

In this article we'll explore how Indeed's sales assessment compares to the gold standard in sales candidate assessments from Objective Management Group (OMG).

Indeed offers several conclusions about each candidate:

  • Expert
  • Highly Proficient
  • Proficient
  • Familiar
  • Completed

By comparison, OMG offers three recommendations:

  • Recommended
  • Worthy of Consideration
  • Not Recommended

Indeed measures what candidates know about selling but doesn't tell us what it is that they actually know!  Indeed measures their general knowledge of selling.  

This statement by Indeed is very telling:  "Indeed makes no statement as to the skill level of a candidate."

So they administer a sales skills assessment, provide one of five scoring ranges, but don't back it up:  

 

OMG measures a candidate's capabilities in 21 Sales Core Competencies, each consisting of 6-12 attributes, and then calculates whether they have the necessary attributes and competencies required to succeed in the selling role for which they are being considered, in that company's marketplace(s), against their competition, at their price point and with the challenges which their company and salespeople face. OMG factors in the difficulty of the sales role and measures how closely the candidate's capabilities fit that sales role. This is OMG's dashboard, which is followed by around twenty pages of scoring and details about the attributes from each competency.  You might notice that under the recommendation, this company used OMG's multi-role assessment where candidates are  evaluated for fit to multiple selling roles at the company.  This candidate was recommended for an Account Executive role and a Specialty role, but only worthy of consideration for a Senior Account Executive role which is more difficult than the other two roles:

Do you see the subtle difference between the two assessments?  You get what you pay for which, in Indeed's case, is nothing.

If you aren't using the Gold Standard in sales candidate assessments, why are you attempting to outsmart the world's most accurate and predictive sales selection tool

Image copyright 123RF

Topics: sales assessment, Dave Kurlan, sales hiring, sales recruiting, sales selection, sales test, indeed

A Home Run - How the Right Data Can Help You Hire Your Ideal Salespeople

Posted by Dave Kurlan on Tue, Jul 13, 2021 @ 19:07 PM

2021 Home Run Derby bracket

Last night Major League Baseball held its annual Home Run Derby.  We've seen the home run derbies before.  We watch them every year.  They are always the same - each slugger tries to hit more home runs than the other sluggers in the contest.  At the same time, they are always different and last night there were four stories that made this year's home run derby different from all the rest.  Pete Alonso, Shohei Ohtani, Trey Mancini, and Juan Soto made the contest different. It is always the individual story lines that make the mundane different.

Speaking of the same but different, from time to time I've posted some compelling top/bottom sales team analyses using sales assessment data from Objective Management Group (OMG).  From nearly 250 data points in 21 Sales Core Competencies, we identify the specific findings and scores that differentiate a company's top 3 performers from their bottom 3 non-performers.

There are several reasons for doing this:

  • Proof of Concept - to prove to non-believers that OMG can clearly differentiate between their tops and bottoms and would therefore be able to identify sales candidates who will succeed in their business.
  • Tailored Fit - we add those same differentiators to role configurations as additional customization and criteria on their OMG sales candidate assessments.
  • Understanding - it helps clients to know why some salespeople are succeeding and others are failing.  These differentiators help them understand their sales teams, salespeople and sales bottlenecks.

I completed a top/bottom analysis for a large, well-known company and it doesn't get more compelling than this:

In this analysis there were 38 findings and scores that differentiated the tops from the bottoms.  The three tops met between 89%-97% of them while the three bottoms met only 5%-13% of them.  But the analysis is bigger than how many differentiating factors there are and how the final percentages are different.  Look at some of the differences within the findings themselves!

The tops are 100% more effective at reaching decision makers which, by itself, is a game changer.

The tops are 266% more effective at using a consultative approach to selling and 193% more effective at selling value.  Of course they are!

The tops are 187% more compatible with the criteria for being successful in their roles which points to very ineffective sales selection at hiring time.  For example, in the screen shot above you can see that the tops, but not the bottoms, are generally more experienced and comfortable with hunting for business in the C Suite of institutional accounts.  They are also more experienced and comfortable facing resistance and competition, asking for more than $250,000 in a long sales cycle, and selling conceptual services.  Together, those are ten factors that should have been identified as crucial for sales success PRIOR to hiring any salespeople, and their candidates should have been vetted for those experiences and their comfort level!

Want to hit more home runs when you're hiring salespeople?  Never will you have more confidence hiring the right salespeople for your company and selling role(s) than when you use Objective Management Group's (OMG) Sales Candidate Assessments. They are proven and time-tested to be the most accurate and predictive sales-specific assessment on planet Earth.  Check them out here.

Image copyright MLB.

Topics: sales assessment, Dave Kurlan, hiring salespeople, Personality Tests, objective management, sales test

New Data Shows an Overlooked Finding Correlates to Sales Effectiveness

Posted by Dave Kurlan on Thu, Oct 15, 2020 @ 09:10 AM

compatibility

We use remote deposit, a terrific convenience for depositing checks from the desktop without going to the bank.  The only problem is that the software that runs the check scanner isn't compatible with the Mac OS.  It only runs on Windows so we have to remotely connect to an old Dell that takes up unnecessary space. Oh, if only the software for the check scanner was compatible with the Mac.

My wife and I were friends with a couple that argued ALL the time. They argued when they were alone, they argued when they were with us, they argued when they were with their kids and they were just brutal to each other.  If only they were more compatible.

Compatibility is not only important, it could be one of the most overlooked criteria in hiring sales candidates.  Let's do a deep dive! 

Most sales leaders think that industry experience is the most important criteria for evaluating the fit of a potential sales hire but they couldn't be more wrong.  Compatibility with the selling environment is far more important.  For example, if you sell payroll services, is it more important that the sales candidate came from the payroll industry or is it more important that they have great selling skills and called on the same HR professionals that a payroll salesperson would need to call on?  In other words, is it more important that they know stuff, or is it more important that they have a built-in network of customers to sell to? 

There's more to compatibility than who they sell to.  Factors like the length of the sales cycle, how many calls/meetings that entails, your price point relative to the competition, the amount of money they'll be asking for, the quality of the competitor's offering, the effectiveness of the competition's marketing and sales, whether they've worked for a sales manager with a similar management style, how much pressure they'll be under, whether they'll get the coaching and training they require, if they've worked under a similar compensation plan, and more should be considered.  There are nearly 30 variables that help to determine whether a salesperson is compatible for the role. 

At my weekly meeting with Objective Management Group's (OMG) COO, John Pattison, we discussed compatibility in the context of another finding we call FIOF or "Figure it Out Factor."  Candidates that have a FIOF score of 75 or better ramp up more quickly than other candidates.  Compatibility is weighted pretty heavily in the FIOF finding because of how it influences the ramp-up time of new salespeople.  The more compatible a salesperson is with your selling environment, the more quickly they should ramp up because they've "done this before."

OMG measures 21 Sales Core Competencies as well as 9 other competencies that are important but not core.  An additional finding is a score for compatibility.  

Out of curiosity, we wondered what the average score for compatibility was because we haven't looked at that before.  He asked me to guess and I said "somewhere between 60 and 80."  It turns out that the average compatibility score for all sales candidates is 70.  Not bad!  For kicks, we ran the analysis for the four levels of Sales Percentile which include Elite (top 5%), Strong (the next 15%), Serviceable (the next 30%), and Weak (everyone else - the bottom 50%).  This is what the analysis showed:

Who knew that compatibility would correlate to Sales Percentile? I certainly didn't think that the distribution of scores would show this kind of correlation.  After all, when we score compatibility, we aren't measuring any of the sales competencies that make up Sales Percentile; only prior selling environments. The top 5% of all salespeople are 41% more compatible with their selling roles than the bottom 50% and it left me wondering, "Why?"

Three theories came to mind and perhaps you can add some additional theories!

Theory 1: The best salespeople naturally identify good fits for themselves so that they can thrive.  We could guess that elite salespeople seek out the greatest selling challenges - something beyond their comfort zone - but perhaps they are simply too smart to sabotage themselves.

Theory 2: The worst salespeople don't pay any attention to fit because to them, selling is just spouting off features and benefits, doing demos, generating quotes and proposals, and taking orders.  Maybe they simply gravitate to wherever they are wanted?

Theory 3: The best sales leaders, in hiring only the best salespeople, are rewarded with salespeople that can handle their selling environment. It's worth noting that the best sales leaders hire salespeople who are more talented than they are while average and weak sales leaders hire salespeople who are weaker than they are.

I haven't written about compatibility before but it's worth spending a few minutes to understand the role it plays in sales success.

What plays an even more important role in sales success than compatibility?  It's the 21 Sales Core Competencies and configuring OMG's accurate and predictive sales candidate assessment to recommend those candidates that score well in the competencies that are crucial to success in the role you are hiring for.  Learn more about the 21 Sales Core Competencies.

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Topics: Dave Kurlan, sales hiring, sales recruiting, HR, human resources, sales performance, Personality Tests, sales selection, sales assessments, sales test

Top 10 Reasons Not to Test Your Sales Candidates

Posted by Dave Kurlan on Mon, Oct 05, 2020 @ 06:10 AM

testing

Testing.  Testing 1234.  Testing.  Check, check, check. How do I sound?  Testing 12345.  

Anyone who has conducted or listened to a sound check should be familiar with those words.  More testing = better audio.

If you're feeling ill, get tested.  That's the mantra for COVID-19.  But lots of people are getting tested.  In the USA, 345 out of every 1,000 people have been tested as of the end of September.  Compare that with Mexico where only 12 out of every 1,000 people have been tested.  That could explain the difference in positive test rates in these two countries with the US rate being less than 5% and Mexico's rate close to 50%.  More tests = well, something.

Those aren't the only two examples of testing being an obvious no-brainer.  Doctors test our vital signs - temperature, blood pressure, heart rate, blood and for some, EKG, and prostrate.  More thorough testing = more healthy.

Testing is not only normal, it's expected.

So why in the world is it so difficult to get Sales Leaders and HR professionals to test sales candidates?

We hear everything, including this week's top 10 reasons for not assessing:

  • "I hire using my gut feel"
  • "HR is not comfortable using assessments"
  • "We don't want to be bound by the recommendation"
  • "We don't want to spend the money"
  • "We don't want to change our hiring process" 
  • "We don't want to inconvenience our recruiters"
  • "What if I get a false positive?"
  • "Legal won't go for it".  
  • "Turnover is baked into our process". Consider this internal note from today: "[He] has a potential client who hires 150 reps/week with 300% turnover! Wanted to know how to price that 7,000 hire license. I suggested we take a different approach and determine the real cause of the turnover problem and then look at how many they really need to hire."  Anytime I read that turnover is greater than 100%, that's an example of baked-in turnover.
  • We don't believe in assessments". Consider this email I received today: "Nice to e-meet you.  [He] sings [OMG's] praises, but up front you should know that I have always been somewhat skeptical of Myers Briggs or personality profiling type exercises, so I'm the one you have to convince."  Bad experiences with assessments that weren't designed for sales creates biases.

These excuses are total BS.  Consider the following 4 facts:

  • Average sales turnover is now 34% and in some industries and companies it is much higher.  source
  • The average cost of sales turnover is 1.5 times compensation.  If average sales compensation is $95,000 that's a cost of $142,000.  source.
  • Fewer than 50% of salespeople will hit quota this year.  Do you think that's because of the pandemic?  Think again.  It's been that way for years!  source
  • Average ramp-up time is 5 months.  This varies wildly across industries but here's a formula to calculate what yours should be:  Length of Learning Curve + Length of Sales Cycle + 30 Days to transition.  If you have a six month sales cycle and it takes 3 months before a salesperson can have an intelligent conversation with a prospect, the ramp-up time - the time it takes for business to begin closing - is 10 months!

Let's be conservative and say that for every ten salespeople, the average company turns over 3 per year at $142,000 each.  The $426,000 cost is nothing compared to these other three problems:

  1. The distraction of having to hire 3 more salespeople
  2. The disruption in the territory or vertical,
  3. The lost opportunity of having an under-performer representing you.

Consider 8 more facts:

  1. Companies that use Objective Management Group's (OMG) sales candidate assessments have average turnover rates of just 8%.  That's 425% better than average.
  2. Companies that use Objective Management Group's sales candidate assessments have quota attainment of 88%.  That's 205% better than average.
  3. When companies hire salespeople that were not recommended by OMG, 75% of them fail within 6 months.
  4. When companies hire (after doing their due diligence) salespeople that were recommended 92% rise to the top half of the company's sales force
  5. OMG has been voted the Top Sales Assessment Tool in the World for 9 consecutive years
  6. OMG is customizable, incredibly accurate and predictive of sales success right down to the sales role for which you are hiring
  7. OMG has assessed 2,017,367 salespeople in - companies.
  8. OMG lowers recruiting costs and saves time - it's not expensive.  Depending on the number of hires and the size of the candidate pool, assessments could cost as little as $8 each!

You would think that these 8 facts would thoroughly and completely rule over the top 10 reasons for not assessing. But every minute of the day, seven days a week they don't.  People are stubborn. They don't know what they don't know while believing that they know everything.

This is my call to action.   Grab a sampleTry it for freeRegister to begin using OMG's Sales Candidate Assessments.

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Topics: Dave Kurlan, sales hiring, sales recruiting, HR, hiring, recruiting, assessment, omg, sales test, personality test

New: The 21 Sales Core Competencies for 2020 And Beyond

Posted by Dave Kurlan on Sun, Sep 27, 2020 @ 16:09 PM

Had an update lately?

I get an Office 365 update on Outlook, Excel, Word, PowerPoint, and OneNote at least every week.  Yawn.  It seems half of them are to fix something that broke in the previous release.

Apple updates the operating systems of their various devices on a fairly regular basis.  The software for my Apple watch was updated twice in the past month.  IOS, the operating system for the iPhone and iPad was just updated as was the software for AppleTV.  OS x, the operating system for the Mac, was recently updated.  Most of these updates occur automatically and without fanfare but when an update advances to the next number - from 13.62 to 14.0 - it's a big deal and means significant updates to features, stability, security and usability are included.

Such is the case with Objective Management Group.  Like Apple, OMG updates its assessments on a non-stop basis but rolls out significant updates a couple of times per year.  Last week OMG introduced the latest revision to the 21 Sales Core Competencies.

There are thirty competencies in all, each with between six and twelve attributes but some are more important than others and OMG measures twenty-one of them in the following three categories:

  1. Will to Sell includes 5 sales competencies that differentiate between whether a salesperson CAN sell, versus whether they WILL sell. 
  2. Sales DNA includes 6 competencies which, when appearing as strengths, support a salesperson's ability to execute sales process, sales methodology, sales strategy and sales tactics.  However, when these competencies appear as weakness, they sabotage a salesperson's ability to execute sales process, sales methodology, sales strategy and sales tactics.
  3. Tactical Selling has 10 sales competencies that show the degree to which a salesperson has developed the required skills to effectively sell in today's ever-changing world of selling.

OMG's latest release includes several changes to the 21 Sales Core Competencies.

There is a new competency called Sales Technology which wraps three sales competencies into one:

  1. Video Proficient is a brand new competency that looks at a salesperson's use of video platforms, how well they have learned those platforms, and to what degree they have embraced video for virtual selling.
  2. CRM Savvy was previously included in the 21 sales competencies before being rolled into Sales Technology.
  3. Mastery of Social Selling was also included in the 21 sales competencies prior to being rolled into Sales Technology.

Sales Technology is a great example of how quickly OMG moves to not only remain current as selling evolves, but to lead the way and standardize the competencies which experts in the sales development space view as core to success.

OMG has had a finding called Reaches Decision Makers since 1990 and in recent years it became a full-blown competency that included eight attributes.  In the latest update, OMG moves Reaches Decision Makers into the primary group of 21 because our research shows that salespeople are 900% less likely to move the opportunity to closable if they are not talking directly with the actual decision maker. 

There is a very good reason that OMG has been named the Top Sales Assessment Tool in the World for nine consecutive years.  It is not only extremely accurate, it is also incredibly predictive and insightful. In the screen shot below, you can see all 21 Sales Core Competencies, as well as some of the other competencies OMG measures and reports on, as shown on the coaching dashboard of a sales evaluation.

Personality assessments (like Caliper) and behavioral styles assessments (like DiSC) ask their questions in a social context, measure personality traits and behavioral styles and then ADAPT (GUESS) those findings for sales.  This is crucial for understanding the differences!  OMG asks all of its questions in the context of sales, measures actual sales knowledge and capabilities in the context of the sales competencies above, and ACCURATELY REPORTS on those sales competency scores.

You can view and filter by industry some of OMG's data in 21 Sales Core Competencies and even see how your salespeople compare by clicking here.  You can check out OMG's accurate and predictive sales candidate assessments here.

Image copyright 123RF

Topics: Dave Kurlan, Consultative Selling, sales process, Personality Tests, caliper, sales test, selling value, DISC

One Thing Your Company Must Do Right Now to Increase Sales

Posted by Dave Kurlan on Wed, May 13, 2020 @ 12:05 PM

cherry-picking

Most in the cherry-picking news media are continuing to pound us with bad stuff: record unemployment, 80,000 dead, lockdowns into August, 30 trillion in debt, economy will be slow to recover, you'll be jailed if you open your business too soon, schools to remain closed in September, people will die, etc.  But there is good stuff going on that they aren't talking about because, for the most part, the media doesn't care about sharing the good stuff.  It's bad for ratings.   

For example, since the 30 million who temporarily lost their jobs are receiving unemployment at more than 100% of what they were earning before, they aren't facing the hardship the media would lead you to believe and the money is there for a reboot when it comes.  But the really good news is for companies that are able to hire salespeople.  Consider this!

Do you have cash on hand?  Do you have access to cash?  Money is almost free right now so don't discount traditional borrowing!  If you can invest some money, now is definitely the time to hire salespeople.  Whether you want to expand your geographical coverage, the verticals you call on, the audience you sell to, the products you offer, want more saturation in your existing space, or want to upgrade the quality and performance of your existing sales force, THERE WILL NEVER BE A BETTER TIME TO HIRE SALESPEOPLE.  EVER.

Consider the following statistics from Objective Management Group (OMG), who have assessed 1,972,665 salespeople.HIRING-PANDEMIC

You are looking at historical shifts in statistics!

If you can find a way to spend the money now (cost of tools and 3-months salary), and you use OMG'S predictive sales candidate assessment, you will see some incredible swings:

Your sales candidate pool will increase in size by 600.  Yes.  They are out there!

The number of sales candidates completing their sales candidate assessments will increase by 958% because it is an employer's market.  Just three months ago it was a candidate's market.

The overall assessment recommendation rate will decrease by 45% because there are a lot of crappy salespeople out there right now. Also, you will be able to raise the bar on the minimum requirements for a recommendation because there are a lot of good salespeople out there too.

Because of all the available sales talent right now, you will be able to identify and hire your salespeople 450% more quickly.

While the fixed cost for a sales candidate assessment license remains the same, the relative cost per assessment decreases by 958% and your annual compensation drops by 11% due to supply and demand.

Even if the market you sell to is sluggish right now, that won't be the case by the end of the summer.  Don't wait until then to hire!  Everything will shift again by Labor Day.  Both supply and quality of available sales talent will decrease as demand increases, the time to hire will increase, and the time to onboard your new salespeople will take longer as well.  DO. THIS. NOW.

Your current and new salespeople will face unprecedented challenges in the form of delayed closings, resistance to being sold anything at all, and resistance to spending more money than anyone has to.  This resistance will come in the form of stalls, put-offs, objections, excuses and sob stories.  Your current and new salespeople must have the skills to differentiate, take a consultative approach and sell value if you are to have any chance of maintaining your margins.  If your salespeople move forward armed with only the limited skills they had prior to the pandemic, your win rate and margins will be crushed.  YOU MUST EVALUATE YOUR EXISTING SALES FORCE, DETERMINE HOW BIG THE SKILLS GAPS ARE, AND PROVIDE THIS CRUCIAL SKILLS TRAINING NOW.  If you wait, you will find yourself fighting to survive from the back of the pack.

Image copyright 123RF

Topics: sales assessment, Dave Kurlan, grow sales, recruiting salespeople, hiring salespeople, sales test, personality test, recovery

The Deal Breaker That Prevents you From Hiring a Great Salesperson

Posted by Dave Kurlan on Mon, Jan 13, 2020 @ 06:01 AM

cheat

One of the questions we are often asked by HR Directors is, "Can people game the OMG assessment?"  Of course they can try, but we have a very effective algorithm that smokes out those who attempt to cheat.  It doesn't happen very often that somebody attempts a big cheat but when it does, it's almost magical in the way we uncover them.

There is a very small percentage of salespeople who attempt an all out cheat.  This unethical group can usually be found in the category of weak salespeople - the bottom 50% - which explains why they think they need to cheat.  But what happens if a good salesperson attempts to game the system?  What would that look like?

This OMG sales assessment dashboard is from a strong sales candidate who cheated.

cand-dashboard

The 93 percentile score puts him in the top 7% - with flaws of course - but still quite strong.  Find the circled area in the bottom left of the dashboard and you'll see the finding "Scoring Confidence" with the score at the lowest end of the low range.  Scoring Confidence is OMG's score on whether we have faith in the results of this particular candidate.

Now look at the top right of the dashboard to the recommendation.  What would otherwise be a Recommended candidate is Not Recommended because of the Scoring Confidence score.

Are there any clues that something doesn't add up for this candidate?  There are.  No, not the low closing score.  The Closing competency is overrated. How can someone this good be so bad at building relationships?  He also scores quite low on the Building Trust competency which can be found in the details of the assessment document.  In my experience, a salesperson who can't build trust or relationships won't be very effective.   He also has two weakness that other salespeople in the top 7% don't have.  He doesn't uncover budgets and wastes time with unqualified prospects.

If you were interviewing this salesperson, the chances are good that his poor relationship and trust building skills would have caused you to dislike him.  You probably wouldn't have hired him because of that.  But what if the clues were different?  What if the inconsistencies were not with competencies that would have tipped you off in an interview?

In the end, sales selection is about information.  There are ten important data points:

  1. The face-to-face interview
  2. The OMG Assessment recommendation
  3. Relevant Experience (found on the Resume)
  4. Compatibility with your Selling Environment (found in the OMG assessment)
  5. Track Record
  6. References
  7. Phone Interview
  8. Responsiveness (in your communications with the candidate)
  9. Thoroughness (in those communications and the interview)
  10. Likability

Still not using the highly accurate and predictive OMG Sales Candidate Assessment?  From among the sales candidates that we don't recommend, but who clients hire despite the warning, 75% of them fail within 6 months!  Why would you choose to make such important decisions without the OMG crystal ball?  

Leave your comments on the LinkedIn thread for this discussion.

Image copyright iStock Photos

Topics: Dave Kurlan, omg, sales selection tool, sales assessments, sales test

Why You Must Hire Salespeople Right Now

Posted by Dave Kurlan on Thu, Jun 04, 2015 @ 17:06 PM

fortune-500.jpg

Forbes conducted a survey of Fortune 500 CEO's and 82% of them said they would be hiring more people within 2 years.  Why should that be important to you?  

To answer that question, let's talk about your KPI's, or Key Performance Indicators.  The reason KPI's are more important than all of your other metrics is because they are, or should be, forward-looking indicators, rather than lagging indicators.  In the consulting and training work that I have done over the past 30 years, I have always viewed the Fortune 500 and their respective strategies as another set of KPI's.  We all remember the economic crash that hit in November of 2008.  But two years earlier, I was training salespeople that sold to Fortune 500's when, all of a sudden, out of the blue, this unexpected feedback began coming to me.

Many salespeople began reporting that there were major delays getting purchase orders on business that had already closed, all the result of spending freezes. In September of 2006, more than 2 years before the collapse actually occurred, I wrote this article about Selling in the Upcoming Recession. The behavior of the Fortune 500, two years prior to the collapse, was a major leading indicator.

When I hear that 82% of the Fortune 500 CEOs are planning to hire more people, I sense confidence, expansion, revenue growth and the need for increased capacity at all levels. And if companies are planning to grow, then that sure as heck shouldn't be limited to the Fortune 500.  

If you want to grow along with the Fortune 500, you'll need to hire salespeople. I know. You don't need any, there aren't any good ones out there, the last 11 times you tried, they failed, and it's too risky. I've heard all of the excuses. So let's dissect them one by one.

You've struggled to hire good salespeople - That means you keep doing the same thing, stupid, and getting the same results.  You need a better sales recruiting process and a very predictive sales selection tool.

Your territories are full - Is that like when the bases are full? You need a heavy hitter to come to the plate and clear the bases. In other words, any time a great salesperson comes along, you should hire that individual and find a spot, especially when it allows you to jettison an underperformer.  How do you know it's a great salesperson? Don't forget that very predictive sales selection tool!

There aren't any good salespeople out there - I don't know if I would agree that there aren't ANY, but there are certainly a lot fewer good salespeople who are actively looking. So what can you do? With a good sales recruiting process, you'll learn to write a job posting that attracts those who are out there, and find the passive job seekers too.

It's not the right time - it's too risky -  It is never risky to hire a good salesperson. Even the worst of the good salespeople bring you something, certainly enough to to pay for themselves. But good salespeople are not expenses.  They are investments, profit centers, and your economic engine! How do you mitigate the risk? You should know the answer if you've been paying attention. Objective Management Group's (OMG) accurate and predictive Sales Candidate Assessments! You can learn more and/or subscribe here.

Let's be like birds and take advantage of the lift they get when they fly behind the lead bird. Let the Fortune 500 lead the way so that we can get behind them and have an easier time of it.

Hire some good salespeople now and let the growth begin!

Topics: sales assessment, Dave Kurlan, sales candidates, hiring salespeople, sales test, predictive sales test, fortune 500

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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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