Sometimes the thing you have been searching far and wide for is hidden in plain sight right in your own tool kit. One such resource is a Self-Management Sales System which you certainly have the ability to create from your own experiences, knowledge base and accumulated data.
Whether or not you had previously accepted the premise that selling comes natural to all of us, believe me it’s true. Why? Because each of us has a unique ability to sell his/her “self” to anyone else when absolutely necessary. Some of you just don’t do it every day. Having said that, read on to identify the keys to building your own dynamic self-management sales system.
Competencies & performance metrics
Identify your essential competencies and performance metrics. If I asked you to list all the essential competencies that YOU are in control of – the ones that are absolutely critical for you to be successful in your sales position…could you do it? For example…
Essential Competency or not?
- Converting conversations to appointments? (yes it is)
- What about filling out paperwork? No! (That’s a related task)
- What about closing ratio? (Sure it is).
- Degree of success in turning a first appointment into an opportunity? (absolutely)
Get the picture?
Now, if you truly want to adopt a self-management system that will work FOR you – not against you, you first have to “access” what is an essential competency and what’s merely a related competency. To do this, sit down and list any sales metrics and performance numbers that are inter-related to your competency numbers and your desired revenue results. (Hint: “Sales Cycle” and “Average Revenue” per sale are two.)
Can you diagnose your Business on a single sheet of paper? If I ran into you on a train or in an elevator, would you be prepared to tell me what you do (and how it benefits me or those I know) – in under 1 minute… That’s called your 30-second commercial. Most people don’t have one, yet everybody needs one.
One way to understand more of the obvious benefits your products and services bring to the table is to start to view and diagnose your business more scientifically. You will also see how the numbers work and which areas are most important to your short and long-term success.
Ask yourself…What happens if your closing ratio reduces by 30% and your average revenue per sale increases by $2500? How does that affect your desired results?
Write your competency measurements and sales metrics on a sheet of paper. Calculate ratios in line with competencies and average numbers in line with your sales metrics. Assign your revenue object or quota. Play with the numbers and ratios to see how they are inter-related and how they affect each other.
The magic number
Calculate your “magic number.” Not setting enough new appointments on a routine basis is like a colony of subterranean termites slowly eating away at the foundation of most sales organizations. The reason for this is because most of us do not identify how many new appointments are needed on a weekly basis based on individual competency numbers and performance metrics. That’s like diagnosing with blindfolds on.
Every one is different; we all have a “Magic Number.” And it’s personal to only you. If you routinely achieve it, you will routinely meet your desired results. Since it is a dynamic number that changes from week to week, it’s important to understand how it is inter-related with other competency ratios, performance metrics and desired revenue results. It’s important to include your “Magic Number” in your self-management system.
The napkin rule
Train to work pursuant to the “Napkin Rule,” which simply means, putting aside all those sales automation systems for 30 days and keep track of your essential competency and performance metrics on a single napkin. Compute updates daily. Store the napkin in your pocket. When the napkin fills up, transfer it to a legal pad to show month to date.
Have nothing else on the legal pad except your essential competency ratios and sales performance metrics. After 30 business days, transpose the legal pad metrics to your favorite computer software spreadsheet, and track it for 90 days. This simple but powerful “Napkin Rule” will help you become the CEO of your business.
Numbers tell the story
Run your numbers, don’t run after quota. In other words, concentrate on your numbers instead of your quota so you can diagnose performance trends before a revenue crisis. Then you have the power to institute strategies and tactics for immediate recovery. Here’s why:
Reaching and exceeding sales quotas consistently has very little to do with product, pricing and competition. But it has everything to do with “Process.”
Identify the core competencies that are necessary to be successful in your sales routine. Then train to Powerful Routines to increase your ratios of effectiveness. Document these meaningful business metrics and review them weekly. Build a simple but dynamic self-management system and outperform your peers and competition while assuring your revenue success.