Exerpt From Team Ezine

I publish Team Ezine every thursday. Here is one exerpt from it.

8th Essential Activity LEAD

by Michael G. Malaghan


Sales management leadership inspires sales people to work hard — willingly. Jack Wilmer in 7 Secrets to Successful Sales Management claims, “Leadership is the art of bringing out the best in the people you lead.” No one is born with the power to inspire: it comes from the determined effort to cultivate and master a pantheon of skills. As Tony Robbins says, “Success leaves clues. If you know the combination, it does not matter who you are.”
Bill Clinton stole my “demon concept” in his book, My Life, as he explains how his personal failures almost cost him the presidency. My first chapter in this section on leadership examines the twelve sales management demons, reviewed in my longstanding workshops, that lurk in our dark recesses to defeat all our efforts to strive for excellence. We can do so much right for so many years and have it all tumble down in an instant because of some regrettable personal failure. The antidote for each demon shows how to avoid these demonic pitfalls.
From the “Don’t do that” admonishments we move on to the far more positive examination of the greatest sales leadership characteristics. Although you will no doubt recognize most of them, we will give you another opportunity to, as Stephen Covey advocates, “sharpen your saw,” to keep your leadership development awareness at the tip of your consciousness.
We are approaching the end of the articles for WAHMTeam, and will close our online association with a recipe for developing a charismatic personality. I know all too well that charisma can be cultivated. Following these techniques, ANYONE can learn how to exude charisma where and when it counts — resulting in leading your sales force to the next level of success.
We will discuss the prime leadership attributes; the building of charisma chapter emphasizes practices you can PERFORM to demonstrate winning leadership — “What it is” followed by “How to acquire it.” When the attribute is already covered in a previous chapter, it is noted and thus not repeated.
Avoid the 12 Career-Wrecking Demons
“He who conquers others is strong; he who conquers himself is mighty.”
Lao-Tzu, Taoist philosopher
“We have met the enemy and they is us.” So said cartoon character Pogo when talking about American involvement in the Vietnam War in the 1970s. I have often thought of this statement while watching myself or others sabotage success by doing something to diminish or even destroy outstanding sales performance.
All other chapters in this book are designed to give you the tools to build a profitable direct sales force. This chapter alone focuses on showing you how to prevent taking an action that undermines your commitment, ability, and reputation.
The twelve demons you meet in this chapter undermine successful sales management. Rather than presenting a single anecdotal incident to begin this chapter, I’ll use several stories to illustrate various demons.
Let’s review the “Dirty Dozen” demons with a view that we can prevent some, defuse most, and work around the rest.
Demon #1 Being an Armchair Manager
No sales manager ever earned his promotion from behind a desk. The most successful sales people and junior field managers prefer a “hands-on” approach. Those with the ambition to earn their promotion to sales manager do not spend much time sitting on a chair, except to work the telephone to make appointments.
David was a dynamic sales person who built his team leading from the front. Eventually he hired Matt, a young man who, though neither sophisticated nor experienced in sales, knew enough to copy David’s style. Matt worked hard and his team grew by leaps and bounds. David became satisfied living off the overrides. He started coming to the office late, leaving early, and ignoring personal selling. Matt’s team keep growing. David’s team kept shrinking. Matt maintained the necessary in-the-field work habits and within a year was responsible for more than 90 percent of David’s combined sales. David could no longer do what he had done so well. One weekend he quietly cleared out his desk.
Antidote to Demon #1: When promoted, keep doing those things that got you the promotion. Teach them to your under people. Keep your focus on spending time in the field selling, watching people sell, and having people watch you sell. This is far more important than any activity you can perform while sitting behind your desk.
Demon #2 “Butting” Over Orders
A sales manager can never come out a winner in a “Whose order is it?” dispute against a sales person. NEVER.
Barney had completed his initial basic sales training just one week prior to his working the encyclopedia sales booth at the mall. He couldn’t believe his good luck when, on his first day, a prospect walked up and asked if she could look at the volumes on display. Thirty minutes later Barney had his first order — or so he thought. When Barney’s sales manager, Ralph, reviewed the order, he thought he recognized the name of the customer. Sure enough, that same customer had sent in a lead a month before and Ralph had delivered an in-home presentation without closing the order.
At first Ralph used his position to claim the order; later he backed down, but still forced a split commission with Barney. Barney wrote a few more orders before quitting a few weeks later. But that incident followed Ralph like a bad order. By insisting on claiming the order, he forfeited the good will and trust of his team. Eventually most of his team members left, and he was never able to successfully rebuild it. So much was lost for the sake of single order.
Ideally, every sales organization has a clear-cut policy on butting that prevents those no-win “Whose order is it?” disputes. We all know, however, that in real life such incidents do occur. It’s bad enough when a sales manager must arbitrate a dispute between two sales people on the same team, or work with another sales manager to settle a claim between sales people on different teams. But a sales manager who fights over a claim with a sales person on his or her team — or on any other team, for that matter — creates an impossible situation. The righteousness of the claim is not the point. The sales manager loses simply by forcing the issue. Here’s why.
First, no one likes to be bullied. Most of us have been programmed since childhood to resent anyone who uses a position of authority for personal gain, especially when it’s at our expense. A sales manager who argues that he or she should prevail in the “Whose order is it?” dispute is assumed to win the argument by default, for the simple reason that the boss has clout.
Second, the sales manager’s fight to win the butting argument undermines the assumed contract between a sales manager — who implicitly claims “I will look after you” — and his or her sales person — whose tacit response is “I will give my best effort to sell.” The sales manager who tries to win a “butting” dispute is often perceived as breaking the understood promise that a sales manager puts his or her people first. Trust is lost, maybe forever.
Third, arguments over client ownership waste a lot of time and create a counterproductive climate. It usually takes at least a week of negative energy to debate these cases, and typically the entire sales force becomes involved. The sales manager makes his or her case to the sales people. Likewise, the other claimant for the order counterattacks. People take sides. Working relationships become strained. Time that should be spent selling and prospecting is instead wasted on political in-fighting. And even when sales people do engage in sales-generating activities, they are less effective because a butting problem hangs over the team.
Even if the sales manager finally gives in to the counter claim of the sales person, the bitter aftermath of the argument lingers for a long time. The debate becomes part of the folklore of that sales group — the whole sordid event dredged up from time to time to once again negatively impact the team. Veteran sales people may even warn newcomers to be careful about their boss.
Antidote to Demon #2: It’s only an order. Be a hero. Always give the sales person (whether the person reports to you or another manager) the disputed order.
Demon #3 Stinginess
No one likes stinginess. In a friend or coworker, it can be irritating. In a sales manager, it can be downright disastrous. Such behavior sends a variety of messages, none of them good. The sales manager is perceived not only as cheap, but as someone who doesn’t value the sales force, all of which undercuts the message that he or she is a success model to be emulated.
Some years ago, a housewife turned sales manager had gone from managing zero producers to overseeing a team of more than thirty. She continued a high personal selling performance, and her example drove her team to have one of the highest order-per-producer ratios each month. However, when I talked to her under people, they always brought up the fact that they had to pay for their own soft drinks and snacks at sales meetings. The sales manager would send the secretary down to the convenience store to buy sodas, doughnuts, and other such items, and then charge the sales people for whatever they consumed. This, and other petty stinginess, drove her team to distraction. Gradually, this fine team got so caught up in the issue that they faded away. I tried many times to talk the sales manager out of her tight-fisted folly, without success. Not long after she “retired” to take care of her children.
This is an extreme example. The woman in question had deep problems that caused her to act against her own best interests in small money matters. She lost sight of the fact that a small investment in drinks, snacks, and other small treats for her team would result in an annuity of very large monthly commission checks.
Another case that turned out badly involved charging for photocopying in the sales office.
At first, the manager had no policy on photocopying, which only served to encourage the sales people to abuse the privilege. Many would make hundreds of copies of their own marketing materials because it cost them nothing. To squash this practice, the sales manager went to the other extreme by instituting a policy of charging for all photocopies — even for a copy of an order. Even though the sales reps understood they should pay for their own copying, they resented being charged for copies made on behalf of the company.
Many legitimate sales expenses can be charged to sales people, depending on the compensation arrangements. Normally, in the full-commission sector of the direct sales business, sales reps are expected to contribute to training costs when an outside venue is used. Other typical expenses include sales booth shift fees, lead charges, and sales supplies. However, the sales manager must make the distinction between paying small petty costs out of pocket and working our fair charges with the sales people for the bigger marketing or training cost items.
Antidote to Demon #3: Pay small expenses out of pocket with a smile.



Article copyright © 2004-2005 by Michael G. Malaghan. All rights
reserved worldwide.

Michael G. Malaghan is the author of "Making Millions In Direct
Sales" (McGraw Hill, Feb 2005). With over 40 years of sales
management experience, he has developed thousands of top sales
managers worldwide. His lead-generation and face-to-face sales
methods have created over 20 millionaires in the Direct Sales
Industry. For more tips, articles or information, visit
http://www.malaghan.net or contact Mike at
mailto:mgm@malaghan.net

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