Digital Marketing

Sales Manager: Title or Specialized Skill

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One of the most critical decisions a business will make is hiring the right sales manager. However, many business owners and executives make the all too common mistake of narrowing their search to those with industry experience. There is a feeling that the sales manager must come from his industry, as that is the only way he will be successful in the position. Many put that element of their criteria at the top of their decision list. “The successful applicant will have 10 years of experience in the appliance industry.” Swill!

The end result of this approach is that companies contract with the retread industry. Perhaps employers think this person will bring in valuable competitive secrets, maybe even some clients. While that may happen from time to time, this approach negatively affects the business. They can also hang a sign outside that says, “No new ideas allowed,” because that’s what you get when you focus your search only on people in the industry. What often happens is that the person is hired because they can create the illusion of brilliance by using industry jargon to blind the interviewer. “Eureka! We’ve found our sales manager! She’s very strategic!”

Every company thinks they are in an industry that is so unique and nuanced that the hire must have industry experience. This is a scary approach! If that is the feeling in the company, there is a much bigger problem than the one they face. How will they scale? If you always limit your search to those within the industry, what do you do when you run out of candidates? The fact is that most of the information in the industry can be taught. The company needs to get over its arrogance thinking that its industry is so special that it takes an industry veteran to be successful. Product knowledge is not the primary driver of a successful salesperson, nor is it the primary driver for the successful sales manager. Consider this, CEOs bounce from a Fortune 1000 company to a Fortune 1000 company based on their CEO acumen, not their knowledge of the industry.

A more cautious approach to hiring the right sales manager is to look for a candidate who comes to the table with the specialized skill set associated with a sales manager. Yes, this is a specialized skill set and many times transferable to any industry. The role of the sales manager is to be both a leader and a manager, which is not usually a skill developed in the womb. They are cultivated and developed through training and experience as a sales manager. Some of the elements that companies should focus on when hiring the right sales manager include:

or Recruitment. Whether the company has an opening on the sales team or not, the best sales managers are in a never-ending search for strong talent. As a prospective employer, you want to understand the candidate process for selecting sales candidates. How do they prime the requesting pump? Can they develop a profile of the ideal vendor and prioritize it between required and desired attributes? What is your process for evaluating candidates against the profile? Ask any company why they are not meeting their revenue goals and most will tell you that having open positions on the team is a contributing factor. Recruitment is a very important arrow in the sales manager’s quiver.

or Incorporation. Rarely can you hire a vendor, hand him over his territory, and send him off with a kiss of good luck. At least not if you expect them to be successful. Another key skill of the sales manager is his method of rapidly assimilating the salesperson into the organization. What is his strategy to minimize the amount of time the new salesperson is in a non-revenue generating capacity? What is his plan to make them productive in the least amount of time? How do you measure whether or not the new marketer is going to be successful?

or Process. Many companies have a superstar on their sales team, their rainmaker. That’s not exactly a scalable model. It limits growth and creates exposure for the company. What if the rainmaker leaves? Scalable sales organizations are built on processes. The entire team follows a specific model based on a defined formula. Can this candidate create this process for the company? What experience have they had doing it? And what were the results?

or Metrics. There is a wonderful expression about management. “What gets measured gets done!” The wonderful aspect of sales is that there is so much data that can be reviewed to understand trends and make changes to the business. How the sales manager uses metrics in his approach is another element that is important to look at when interviewing the candidate. How have they used metrics to affect team performance? What is your approach to analyzing a sales pipeline or forecast?

or Liquidation. The beauty of sales is that the compensation plan serves as the salesperson’s job description. This can also be a curse for the company if the plan rewards bad behaviors. This is another important skill for a strong sales manager to possess. What is your approach to developing the right compensation plan for the company? How do they determine which behaviors to reward and when/how?

o Skill development. Sales is a philosophy, so nobody knows everything about it. It’s also very easy for salespeople to develop bad habits. Therefore, it is critical for the sales manager to have a skills development plan for her team. What is her approach to developing her team members? How do you inspire achievers to keep surpassing their achievements? How do you manage underperformers and get them to perform or deselect from the company?

or Leadership. The first six articles fall into a management category. However, strong sales managers are also leaders. Their sales teams will walk through walls for them. Your sales people not only want to be successful for themselves, but also for their manager. How does this sales manager candidate create an environment where others are inspired to follow him and his teachings? Leadership skills and sales force retention go hand in hand. Strong leaders keep their players strong on the team for the long haul.

In addition to cultural fit, here are the seven key elements a company should use in making the decision to hire a particular sales management candidate. What the employer will get with this hiring approach is a strong, scalable organization with fresh ideas. People in your company won’t be able to get away with the old mantra of “we’ve just always done it that way.” Don’t you want to encourage your company to grow? Expand your horizons and reap the benefits. Taking this approach will help your company develop successful and long-lasting sales marriages.

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