sales training metrics that drive business results fay crawford atd international presentation
TRANSCRIPT
Sales Training Metrics That Drive Business Results M218
Session Number: M218
Session Date: 05-05-2014
Session Start/End Time: 3:00 PM - 4:15 PM
Agenda
1. Who we are
2. Objectives
3. How we got here
4. Sales manager coaching - example
5. Case study exercise
6. Q & A
Who we are
Patricia Fay • Training leader at GE Capital, SFE • BS in Education • 20+years L&D Experience • Professional Learner
Rosemary Reilly Crawford • Training leader at GE Capital, SFE • BA, MIM, MBA, MSLOC • 20+ years International • Passionate Learning Data Geek
Session Objectives
• Participants will describe a sales training measurement strategy that incorporates all four evaluation levels with an emphasis on level 3 application and level 4 business impact
• Participants will apply a sales measurement strategy successfully in a case study example
Commercial Development – Metrics
What is Measured
Activity Tracking
Participant VOC
Cost Metrics
Impact Metrics
Manager VOC
How it is used
Create Strategy
Improve Quality
Drive Efficiencies
Reinforce Behaviors
Correlations to Business Results
What’s next
More Benchmarking
More Automation
More Correlations
How We Got Here….
Learning from the best….
• Kirkpatrick
• Bersin
• Pollock, Jefferson, Wick
• Covey
• Vantage Point Performance
Evaluation Dashboard
A Little Investigation
• Research conducted 2008-2010
• In-depth examination of sales management reports
• Thousands of data points pared down to 306 unique sales metrics
• Revealed many new insights into measuring and managing a sales force
• Published by McGraw Hill in 2012
Three Types of Metrics
Salesperson and manager activities that we can proactively direct and
manage
Objectives that can be influenced, but require some type of ‘consent’
The outcomes of multiple objectives and cannot be
“managed”
Why this is a Breakthrough...
New Customers
Sales Activities - Individual decisions that are highly manageable
EXAMPLE HOW WE USE METRICS
…. PIPELINE COACHING COURSE .. .
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Determine sales activity
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SALES ACTIVITIES Sales Activity
Increase # of coaching hours
Time is easy to measure … start there!
Define what sales objective will improve
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Sales Activity Increase # of coaching hours
Sales Objective Improve coaching skill set of managers
What does he
want me to do???
How do I
Coach?
Define what business impact is expected
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I know what I am supposed
to do!
Sales Activity Increase # of coaching hours
Improve coaching skill set of managers
Business Results
Sales Objective
Increase business
A step by step walkthrough
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Improve coaching skill set of managers
Increase # of coaching hours
Sales Activity Sales Objective Business Results Increase business
32% Increase! Sales performance
metrics
27% Increase!
Measured by sales rep survey
“This was the best training we’ve ever had.
It fundamentally changed the way we do
business.” Commercial Leader
We don’t stop
there!
Benchmark ….
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Compared to other businesses … Reps from this
platform (“1”) are not satisfied with time spent
coaching …
Business
Use data to test hypothesis
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5
4
3
2
1
… when they spend more hours coaching
on average???
Why is this business so much lower than
the others ….
Identify where to focus efforts
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It is not HOW MUCH time … but
WHERE they spend their
time!!
Break Paradigms …
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No one likes to see themselves below average!
Causing one to jump to conclusions and wanting to take actions or justify
oneself
“I know my New Sales Reps want more time … but I just don’t have the
capacity to give them more!”
Metrics identify where NOT to focus
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“What! … but … I, I leave the experienced reps alone on purpose! … … I do it out of respect, some have more
experience than I do!”
The low scores were coming from the experienced reps
Case Study
• Sales Training Metrics - Case Study Exercise
• In groups of 3 you will…
– Discuss each step of the process
• Sales Activity, Sales Objective, Business Results
– Develop a final recommendation to be shared with larger group
Case Study
Case Study: • Your company has a large salesforce, what they sell is up to
you. • Your senior sales leader believes that “our sales reps need to
increase their financial skills” and wants to see proof that the training was successful.
• You have been using an outside vendor to offer financial skills training (blended solution including online with pre test and post test scores, classroom sessions).
• Does this training improve sales reps financial skills? What sales objective would be impacted by financial skills? Do these financial skills impact business results?
Case Study Step 1
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Discuss in your group what Sales Activities would need financial skills and possible measures you could use.
What Measures Could be Used?
Sales Activity
?
?
?
?
?
?
?
Sales Activity
• Tool Usage
• Time Allocation
• Coaching
• Call Volume
• Prospect Type
• Account Plan Completion
• Call Type
• IT Investment
• Number of Accounts
• Training Investment
• Process Usage
• Training Type
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Case Study Step 2
Prospect Type
Call Volume
Training Type
Number of Accounts
What Sales Objectives do your activities effect and what measures could be used?
Sales Activity Sales Objective
What Measures Could be Used?
# of Prospects/Accounts
# of Calls/Call Frequency
Course Post Tests
?
?
?
?
?
?
?
Sales Objectives
• Call Outcomes
• Ramp Up Time
• Territory Coverage
• Segment of Customer
• Share of Wallet
• Up/Cross Selling
• Skill Level
• Customer Retention
• New Customers
• Deal Size
• New/Existing Product
Define what business result is expected
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Case Study Step 3
Increase Skill Level of Reps
Ramp Up Time
Up/Cross Selling
New Customers
Post Test
Improved Ramp Up Time
Increased Cross Sell Results
Increase # of New Customers
Sales Activity Sales Objective Business Results
What Measures Could be used?
Prospect Type
Call Volume
Training Type
Number of Accounts
# of Prospects/Accounts
# of Calls/Call Frequency
Course Post Tests
Business Results
• Revenue
• Volume
• Market Share
• Pipeline Size
• Quota Achievement
• Customer Satisfaction
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Case Study Outcome
Increase Volume
Increase ROI
Increase Market Share
Volume Per Sales Rep
ROI Trending
Market Share Trending
Sales Activity Sales Objective Business Results
What Measures Could Be Used?
Prospect Type
Call Volume
Training Type
Number of Accounts
# of Prospects/Accounts
# of Calls/Call Frequency
Course Post Tests
Increase Skill Level of Reps
Ramp Up Time
Up/Cross Selling
New Customers
Post Test
Improved Ramp Up Time
Increased Cross Sell Results
Increase # of New Customers
Case Study Overview
Sales Activity Sales Objective Business Results
What Measures Could Be Used?
Choose ONE Each & Visualize
Volume Per Sales Rep
ROI Trending
Market Share Trending
# of Prospects/Accounts
# of Calls/Call Frequency
Course Post Tests
Post Test
Improved Ramp Up Time
Increased Cross Sell Results
Increase # of New Customers
Commercial Development – Metrics
What’s Next ???? ….
More Benchmarking Internally & External
More Automation Less Manual effort
More Correlations Focus on proven impact
Key Takeaways
Patricia Fay Rosemary Crawford [email protected] [email protected] www.linkedin.com/pub/patricia-fay/9/222/a91 www.linkedin.com/in/rosemaryreilly/
203-947-6463 262-422-4807
Thank You!
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Case Study Worksheet
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Sales Activity Sales Objective Business Results
What Measures Could Be Used?
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