How These Four Sales Management Tips Can Reverse the 20-80 Productivity Rule For Your Sales Team

The 20/80 rule (Pareto's Principle) abounds in lifemore organizations and that is consistent
and in business. This is a pretty scary statistic asexecution of strategic goals and initiatives. Sales
noted by Tom Stein in a posting at theTraining Coaching Tip: Many individuals fail to
AllBusiness website specific to sales. In his article,achieve their own personal goals so how they
he provided five (5) steps to build a powerful andachieve organizational ones?
effective sales team where the goal to increaseThird, reviewing the overall organization is
sales is realized.necessary as well. The sales department does not
Now what would happen if the sales managementwork in isolation. Other functions and departments
could move some of those under performingof the firm must all work together. Unfortunately,
salespersons in the 80% bucket into the 20%sometimes the inability to increase sales is just as
bucket without losing the productivity of themuch about internal obstacles such as structure,
currently performing to over performingprocesses, rewards and other employees as it is
individuals?about the individual performance of each
For this to happens requires these steps to besalesperson. Sometimes it may also help to take
taken:a proven organizational assessment aligned to
First, referring to Tom Collins in Good to Great, itaccepted criteria such as Baldrige.
is critical to have the right sales people in the rightFourth, results based, not competency based,
seats in the right bus. When you understand theirsales training is also required. This approach to
decision making styles to their talents (strengths)developing the skill sets of your sales team
you can not only achieve great performanceleverages everyone's talents. (See Tip #1). When
appraisals, but have a cohesive team where alla competency based approach is used, the
members are rowing with the same energystrengths of individual team members are
toward exactly the same target. In other words,devalued because a now accepted competency
you have removed the slackers from your teamhas been created. This also creates an essentially
and have helped the under performing to work"more hope to" false philosophy which again is not
smarter and not harder.the best performance approach.
Second, integrating a proven goal achievementWhen organizations invest the time to truly
process that unites the following:develop their sales teams including providing
- Personal goalseffective sales training, assessing for decision
- Organizational goalsmaking styles and talents and incorporating a
- Metricsproven goal achievement process, then they can
- Alignment to other departments The use of themove away from the 20/80 principle. This action
same tool (goal worksheet) ensures sales goalswould increase overall productivity and realize the
are achieved as well as improves overallgoal to increase sales. Now doesn't that make
communication. Such improvements onlymore sense?
strengthen another inherent weakness facing