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The Death of Field Sales

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A new approach to the design of the sales function (inside-out, rather than outside-in)

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The Death of Field Sales

  1. 1. A 12-step program to kick the field sales addiction www.salesprocessengineering.net
  2. 2. Hyperbole alert! The message is NOT that we should eliminate field salespeople The message is that we should view sales as essentially an inside function www.salesprocessengineering.net
  3. 3. Old paradigmSales is an outside New paradigmfunction Sales is an inside function New rules 1 Centralize everything you can 2 Commit to the web as your primary source of sales opportunities 3 Add outside salespeople only as a last resort 4 Eliminate commissions and all performance pay www.salesprocessengineering.net
  4. 4. Then Historically, sales was done outside because clients were … outside www.salesprocessengineering.net
  5. 5. Now Today, your clients are essentially inside they no longer need a salesperson to ferry data back and forthThe costs: outside salespeole in an inside world 1 Higher labor cost 3 Poor integration 2 Less Activity 4 Selective engagement www.salesprocessengineering.net
  6. 6. When is outside sales required? New service line? No No Sales Weak case for Opportunity New Client? Yes outside salespeople Yes No High-risk purchase (lots of intangibles)? Yes Strong case for outside salespeople www.salesprocessengineering.net
  7. 7. What about relationships? It’s a myth that sales is all about relationshipsClients will invest in a relationship only when: 1 They don’t pay a premium 2 They don’t suffer any inconvenience Clients don’t want relationships (with salespeople): they want products and services, delivered fast, at competitive prices. www.salesprocessengineering.net
  8. 8. The inside-out sales function Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service www.salesprocessengineering.net
  9. 9. The inside-out sales function Everything starts with customer service Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service Order entry, issue and job management, quote generation www.salesprocessengineering.net
  10. 10. The inside-out sales function Inside sales is your primary sales front-line Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Sales Transactions Accounts Opportunities Inside Sales Customer Transactions Outcomes Customer Service Outbound sales, semi-technical inbound sales (phone work only) www.salesprocessengineering.net
  11. 11. The inside-out sales function Promotions generates outbound sales activity Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service Generates outbound opportunities from accounts and market www.salesprocessengineering.net
  12. 12. The inside-out sales function Field sales prosecutes complex opportunities Sales Opportunities Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service Complexity can be technical, commercial or both www.salesprocessengineering.net
  13. 13. The inside-out sales function Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service www.salesprocessengineering.net
  14. 14. Making it work The challenge: division of labor Clients expect one conversation www.salesprocessengineering.net
  15. 15. Making it work The challenge: division of labor The Sales Coordinator owns and manages complex opportunities Sales Coordinator Daily, 10 min, stand-up WIP meetings synchronize the rest of the organization www.salesprocessengineering.net
  16. 16. Making it work Eliminating performance pay Dan Pink shows that performance pay inhibits knowledge work Performance pay also inhibits team work: (piece-rate pay was eliminated 50+ years ago) www.salesprocessengineering.net
  17. 17. Customize the inside-out model Design the resourcing model www.salesprocessengineering.net
  18. 18. Customize the inside-out model Map critical workflows www.salesprocessengineering.net
  19. 19. Up next …Kicking the field-salesaddiction: a 12-stepprogram 40-min Best Practice Briefing Review (and improve) the performance of your sales function 1 Read chapters 1 through 5 of The Machine 2 Review day-in-the-life of key stakeholders 3 Discuss current sales structure and resourcing model 4 Identify easy wins to improve sales 5 Explore longer-term approach to improvement www.salesprocessengineering.net
  20. 20. 12-step program Customer service: the foundations 1 Create a customer-service team Route all repeat orders and issues to customer service 2 (make it mandatory) 3 Route all inbound calls to customer service team 4 Build a register of all customer- service jobs – review daily as team Customer Transactions Outcomes Customer Service www.salesprocessengineering.net
  21. 21. 12-step program Inside sales: the transaction flow 5 Find (or recruit) two or more inside salespeople Convert inside salespeople into customers’ primary 6 point of contact 7 Centralize the management of ALL sales opportunities (use a CRM) 8 Allocate only discrete tasks to field reps – only those that cannot be performed internally 9 Build a register of all opportunities – review daily as team Sales Transactions Opportunities Inside Sales www.salesprocessengineering.net
  22. 22. 12-step program Field personnel: the growth 10 Retain only those field personnel who you can easily maintain at 100% utilization 11 If possible, keep sales activity inside and perform only technical tasks in the field If it’s necessary to sell in the field, provide your few 12 remaining field salespeople with executive assistants (who manage their calendars – as well as the major opportunities in which they are engaged) Sales Accounts Opportunities Sales Field Sales Field Coordinator Salesperson www.salesprocessengineering.net
  23. 23. Questions Sales Field Sales Field Coordinator Salesperson Sales The Market Opportunities Accounts Promotions Transactions Accounts Inside Sales Customer Transactions Outcomes Customer Service www.salesprocessengineering.net

A new approach to the design of the sales function (inside-out, rather than outside-in)

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