Wednesday, 6 April 2005

How to Turn Stale Managers Into Stars

A new report from Gallup, based on extensive polling, finds only 10% of managers have what it takes to be "a great manager."

Deep breathe before you fire the lot or cry foul.

First, Gallup didn't just make up these numbers. They measured the engagement levels of 27 million employees in 195 countries. In the US, only 30% of U.S. workers are fully engaged, and Gallup thinks managers are largely to blame (it says 70% of the engagement variance is down to them). It says there's "a clear link between poor managing and a nation of 'checked out' employees." Gallup insists that only 1 out of 10 managers has the innate talent to do just that: manage.

Second, there are clear-cut reasons. From my vantage point, managing others requires a rare blend of these talents:

* Superb communication skills that keep people informed and motivated about the future. 
* Consistently aligning actions with values and holdings themselves and others accountable for results with the right amount of assertiveness to get the results. 
* Decision-making that is for the good of the team and the company-not just politically expedient. 
* Demonstrated concern for the growth and well-being of employees. 
* Personally engaged and excited about the role they play. 
* Determined to invest in ongoing learning for themselves and others.

Third, too many managers are given this position because they were good in a previous role. This does NOT mean they have the skill or the desire to manage. My son is a great example. With a PhD in Computer Engineering, he held a position at the Super Computer Center in UCSD, working on visualizations. Then he was promoted into management. He hated it. He did NOT like managing others. Eventually, he would leave to find work that allowed him to use his skill in a way that best suited him.

Finally, the common practice of rewarding only those with a higher pay grade negates the fact that pay should be reflective of performance and not title. This practice urges employees who want to earn more to seek advancement which-like happened with my son-could actually be detrimental.

First, carefully re-examine all processes related to promotion, pay, succession planning and talent development as explained above.

Second: ask all current managers what interests them most about their role and-if they could wave a wand and reverse their career progression (without concern for money), what would they want to do. If a manager isn't engaged and enthusiastic about her role, think how that impacts a department.

Third: conduct small focus groups representing various roles and levels in the organization. Ask: How do you know a great manager from a poor one? What behavior and actions do you see, hear, experience? Ask: can you name a great manager right now?

Fourth: Bring all the identified "great" managers together and ask them to help determine hiring and promotion practices. Ask them to determine what ARE the question that should be asked? Because these talents won't show up on a resume or an employee folder, how might these potentially "great" managers be identified?

Lastly. Breathe. This is not something that can be done overnight. The larger the organization, the more layered the organization, the more bureaucratic the organization, movement will be slow. So start small. Begin with "the converted". This is a department or a team that really wants to tackle the development of management and the creation of a high performing, engaged group. Build upon that momentum, and watch the magic happen.

© 2015, The Resiliency Group. Publication rights granted to all venues so long as article and by-line are reprinted intact and all links are made live.

Professional speaker, consultant and author Eileen McDargh has helped leaders, organizations and individuals transform the life of their business and the business of their life through conversations that matter and connections that count. Visit her website to read her blog, join her e-zine and hire her to speak. If you are a leader who lacks communication skills then read her book "Talk Ain't Cheap...

Friday, 18 March 2005

Egos, Eggs, Letters and Ticklers: 4 Sales Management Tricks That Increase Sales and Improve Morale

Managing salespeople and proposal writers has been described as being like herding cats. That seems a little unfair to cats, frankly. Cats can't help themselves. Salespeople and proposal writers, on the other hand, choose not to hold management to quite the level of infallibility that management would like.

Nonetheless, management and sales reps can work together to improve sales. And, when they're not working together, management can at least choose methods that do as little damage as possible to the already fragile egos of salespeople and proposal writers. Here's some tricks that I recommend.

Trick #1: The Follow-Up

When a salesperson gets back from visiting with a prospect, the sales manager should send a handwritten letter - or at least an email - to the prospect that thanks the prospect for the courtesy he showed the sales rep. It doesn't have to be complicated. In fact, it can be the same thing every time:

"Dear Sam-

Dave asked us to thank you for the courtesy you showed him when he visited you about... "

Of course, the salesperson should be doing his own follow ups, but those should be about the prospect and what he needs. This one is designed to simply be a kind note to say thanks. And that simplicity is the key.

First, by thanking the prospect for their courtesy, the prospect sees himself as a courteous person. Not only is this flattering, but the prospect will now act consistently with that label. You open the way for the materials that follow. To do otherwise would be inconsistent.

Second and more importantly, by singling out courtesy, you signify that this is a quality you value. You also signal that your company is composed of humans who appreciate decency and who are easy to work with. All of those things help the prospect trust your more.

Third, there is an additional effect. The prospect who was courteous with the salesperson likes knowing that it was recognized and was worth enough that it was mentioned to a sales manager. This builds rapport and the prospect will be even happier to see the salesperson when he next returns.

And if the prospect wasn't courteous? This is why it should be handwritten and come from the sales manager. If it comes from the salesperson, it sounds passive aggressive. If it's an email, it's too easy to shoot back a snarky reply. But if the sales manager says it by letter, and this is a prospect you really want to pursue business with, then the discourteous prospect will be stuck recognizing the error in his treatment of the salesperson. Odds are good that, next time the salesperson calls on the prospect, the prospect will go out of his way to prove he's a good person.

Trick #2: The Tickler

Most Customer Relations Management software either includes or supports ticklers - little reminders that a customer or prospect should be contacted. But ticklers are useful for sales managers too, not just salespeople.

If the sales manager is getting reminders, then the manager can go to the salesperson and politely request a report. If, as usual, the salesperson has no report to make because he ignored his own tickler system, then the sales manager can set the system to remind him again the next day. When the next day comes, out comes the manager to politely get a report. This procedure keeps on going until the salesperson realizes it's easier to just call the prospect than to stare across his desk at his manager every afternoon, trying to come up with a fresh batch of excuses.

Trick #3: The Ego Saver

It's no secret that the egos of salespeople and proposal writers are delicate things. Not only the ego, but also the always fragile relationship between manager and salesperson can be damaged by a negative email about some trivial little detail the salesperson missed in a Miller Heiman Blue Sheet or other report. The morale deflating and resentment producing that goes along with receiving a critical email saps all his desire to sell. It can cost the company hundreds or thousands of times more than whatever the value would have been of filling out the Blue Sheet correctly. Despite this, I see managers continue to send these sorts of emails day in and day out - even at supposedly enlightened firms.

But, these managers argue, salespeople need to fill out the Blue Sheets correctly or else the rest of the organization can't do their jobs.

That's true as far as it goes, so here's the approach I recommend, for example, when salespeople are required to fill out specific forms on the customer, their needs, their pain points and so on.

The Blue Sheets themselves are easy enough to understand for the salesperson, since they've been trained in Strategic Selling. So the salesperson knows whether or not his Blue Sheet gives the information that it needs to.

Although it's possible for the manager to send a condescending email every time the Blue Sheet is filled out in a superficial way, it's not a good idea. It's too easy to harm the relationship with the salesperson, harm the company through decreased sales and so on.

Instead, the manager should just return a copy of the deficient Blue Sheet with a small star next to the questionable part. It's a symbol, which the salesperson immediately recognizes, that more depth or more information is required. If the next version of the Blue Sheet doesn't fix the problem, a copy is again returned, this time with a question mark next to the star. If a third mark is needed, then an exclamation point can be added and added and added, until there is a string of exclamation points for as many iterations of the Blue Sheet as the salesperson requires before he gets tired of the game and fills out the form correctly.

A salesperson might leave because he feels mistreated by the manager, but he can't exactly storm out because you put a lot of exclamation points on his Blue Sheet. Yet he knows he was sloppy and he knows the manager knows. The end result is much more effective than a nasty email.

Trick #4: Customer Eggs

One of the most important roles that a sales manager can do - but is rarely done - is to ensure that the company has a variety of customer types. Just as you shouldn't put all your eggs in one basket, you shouldn't rest all your revenue on one sector. If you sold only to real estate companies in the early 2000s, your company went down the drain just as fast as the realtors did. More recently, if your customer was only working class individuals, the long recession left you in as bad a shape as it did them. A "one type of customer" business is as risky as a retirement plan that only has shares in one company.

Instead, your sales manager needs to check your customers for their industries and, taking it a step further, needs to check if those industries are correlated. If your clients are in software and construction, you're safe. If they're in real estate and construction, you're looking at trouble. Try to keep a little elasticity with your goods and your sales force, so that, if one area starts to get hit, you can smoothly shift over to another.

Bonus Tip: Competitions Aren't Always What You Want

As one final trick, consider the question of whether to have sales competitions. In this case, the trick is not what to do or not do, but what to consider. The issue here is that, if you offer prizes to the best salespeople or proposal writers for a particular month, you may end up causing more harm than good. Not to the losers, which you might expect, but to the winners.

There is no doubt that competitions work. If you offer one, the salespeople will go crazy to win the prizes. You will see energy you haven't seen in months.

The problem comes once the competition is over. It can ruin the winners. The winners will be some of your best salespeople. Once the contest is complete, however, they now know they they're your best salespeople. And unfortunately it can happen that it goes to their head, creates friction with other salespeople, and their sales immediately begin to fall. They start to coast on their reputations. They frequently cannot recover psychologically from the blinding of the temporary glory.

So, before you offer a sales contest, take a long hard look at your salespeople. Can they handle losing it? Can they handle winning it?

***

Keep these tricks and tips in mind and your organization will see more sales, higher proposal win rates and a happy, efficient sales team.

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Saturday, 13 October 2001

Leadership and Compassion - A Powerful Combination

Compassion is a fundamental pillar for highly effective leadership, however, it may not always enjoy the level of importance it deserves! Let's explore some basics and the related implications...

What is compassion in practical terms?

I found an appealing explanation of the term compassion at the "Greater Good" website and they state it as the following:

"Compassion literally means "to suffer together." Among emotion researchers, it is defined as the feeling that arises when you are confronted with another's suffering and feel motivated to relieve that suffering.

Compassion is not the same as empathy or altruism, though the concepts are related. While empathy refers more generally to our ability to take the perspective of and feel the emotions of another person, compassion is when those feelings and thoughts include the desire to help. Altruism, in turn, is the kind, selfless behavior often prompted by feelings of compassion, though one can feel compassion without acting on it, and altruism isn't always motivated by compassion.

While cynics may dismiss compassion as touchy-feely or irrational, scientists have started to map the biological basis of compassion, suggesting its deep evolutionary purpose. This research has shown that when we feel compassion, our heart rate slows down, we secrete the "bonding hormone" oxytocin, and regions of the brain linked to empathy, caregiving, and feelings of pleasure light up, which often results in our wanting to approach and care for other people."

Another interpretation of compassion I like comes from a distinguished Tibetan scholar Thupten Jinpa who has a long standing collaboration with the Dalai Lama. Jinpa describes compassion as follows: "Compassion is a mental state endowed with a sense of concern for the suffering of others and aspiration to see that suffering relieved."

He points out compassion as having three elements:

A cognitive component: "I understand you"
An affective component: "I feel for you"
A motivational component: "I want to help you"
How does this relate to leadership?

To begin with, a persuasive contribution of compassion in an organizational environment is that it creates high leadership effectiveness. Highly effective leaders have managed a crucial transformation which Bill George, former CEO of Medtronic, defined as shifting from "I to We". Embracing this transition is a key element for leaders in becoming truly authentic.

Uncompromising authenticity is a basic requirement for leaders to enable them to unleash the power of their organizations and create an environment where people can find the motivation to reach their full potential. When associates are merely following the leader their efforts are limited to the leaders vision, guidelines and instructions. Another important task of leadership is the development of leaders which requires from the leader to avoid the focus on personal ego needs. In reality the emphasis must not be on the leader but always on those being lead.

Practicing compassion actually results into shifting the focus from self to others, hence compassion is about going from "I" to "We." If we accept the fact that transitioning from "I" to "We" is possibly the most important process of becoming an authentic leader, those who already practice compassion will know how and appreciate the confound impact on their leadership effectiveness.

Jim Collins identified in his book Good to Great: Why Some Companies Make the Leap... and Others Don't the fundamental connection between compassion and effective leadership very eloquently. Collins attempted to identify what makes companies and organizations move from good to great. He and his team analyzed a great amount of data going through a set of information of every company that has appeared on Fortune 500 between 1965 and 1995. They recognized companies that started out as "good" organizations which ultimately became "great" companies (by their definition as outperforming the general market by a factor of three or more) for an extended period of fifteen years or more. That way short-term successes were excluded from the analysis. The process lead them to a group of eleven "good to great" companies which they compared to a set of "comparison companies" to identify what helped the good companies become great ones.

The initial and possibly most important finding turned out to be the role of leadership. It requires a very special type of leader to transform a company from being good to being great and Collins named them "Level 5" leaders. These are leaders who, aside of being very capable in many aspects, also demonstrate an unusual combination of two important and seemingly contradictory qualities of "great ambition" and "personal humility". These leaders, while highly ambitious, focus their ambition not necessarily on themselves but are ambitious for the greater good of the organization as a whole. As their attention is focused on the greater good of the company the natural tendency to highlight their own egos eliminates itself which makes them highly effective, authentic and inspiring.

While Collins's book persuasively validates the importance of Level 5 leaders, it does not offer insight into a structure of developing them. However, it can be deducted with certainty that compassion plays an essential role in being a Level 5 leader.

Considering the two distinguishing qualities of Level 5 leaders, ambition and personal humility, in the context of the three earlier indicated components of compassion, cognitive, affective and motivational, one can conclude that the cognitive and affective components of compassion representing understanding people and empathizing with them minimize self-centeredness, consequently establishing the conditions for humility. The motivational component of compassion of wanting to help people generates ambition for others or the greater good. Maybe, those three components of compassion can be effectively utilized in developing these two distinguishing qualities of Level 5 leadership.

It might be very rewarding to consider the important contribution of compassion towards leadership excellence - it is a very potent and powerful combination!