Cracking the Sales Management Code | Jason Jordan

Summary of: Cracking the Sales Management Code: The Secrets to Measuringcracking the Sales Management Code: The Secrets to Measuring and Managing Sales Performance and Managing Sales Performance
By: Jason Jordan

Introduction

Get ready to unravel the secrets to successful sales management with ‘Cracking the Sales Management Code: The Secrets to Measuring and Managing Sales Performance’ by Jason Jordan. This book emphasizes the significance of sales management as the key to maintaining a skilled and effective sales force, driving sales strategy, and boosting profits. Accompanying these traditional methods, the book highlights the role of metrics in managing sales performance and the importance of a systematic approach to selling. You’ll explore actionable insights on how to use data effectively and tailor your sales management tactics to your unique sales situation.

Revolutionizing Sales Success

Developing sales methodologies, utilizing metrics, and effective management and supervision are the new winning formula for sales success. According to the book, many sales teams are still leaving potential sales to chance, but by implementing a systematized approach to selling, organizations can maximize results. Sales executives must make the most of the abundant data they have and use it to their advantage. By focusing on these factors, sales success is guaranteed in the modern world.

Sales Metrics: A Comprehensive Guide

The effective use of sales metrics is instrumental in helping sales managers identify trends and make strategic decisions that could potentially yield profitable results. In achieving sales objectives and business goals, it is essential to implement formal processes that can be measured and tactically directed. However, it is crucial to understand that sales metrics alone cannot solve all sales problems. The measurements should be tailored to the sales situation and tested, analyzed, and used correctly. The usual sales metrics package includes reports like the number of calls each representative makes daily, targeted customers or prospects contacted, sales made, and work volume and profitability. Other metrics to be monitored include unit volume, customer retention percentage, number of sales reps per sales manager, customer contact percentage, and the number of new customers. Sales executives should not confuse reports as an indication of sales process control. Instead, the primary objective of sales managers should be to manage people, not metrics. Through an effective sales metrics approach, sales managers can enhance sales team performance and drive successful results.

The Myth of Manageable Sales Metrics

An analysis of 306 sales metrics reveals that only 17% are highly manageable by sales managers. These metrics focus on staff selling activities, such as the number of sales calls made, CRM usage, and training costs. While sales managers can influence the outcomes of these metrics, they cannot control most other metrics. However, they can increase or decrease reliance on specific metrics to manage sales processes. The book challenges the notion that sales metrics are easily controllable and encourages sales managers to focus on mutually agreed-upon metrics to ensure success.

The Five Sales Management Building Blocks

Sales managers employ five categories to improve performance – call management, opportunity management, account management, territory management, and sales force enablement. Each category can be measured with specific metrics like average talk time, percentage of qualified opportunities, interactions per account, customers per rep, and percentage of time spent coaching by each manager.

Focusing on the Right Sales Metrics

Sales managers should prioritize metrics that measure sales activities, objectives, and results to attain their sales goals. By using this strategy, managers can focus their sales representatives on behaviors that lead to success. The right sales metrics ensure sales representatives to achieve their goals by providing crucial information for managers to use in decision-making processes. The three primary methods to secure the sales activities data needed are to have salespeople enter their activities data directly, watch salespeople in action, and monitor salespeople’s digital activities. It is essential to keep track of every activity related to sales calls, prospect meetings, and more to guarantee the right data that managers need. Although tracking every activity may seem like micromanagement, it is necessary to increase sales performance. Remember, doing the right things during a sales call ensures sales move forward, while the wrong things end sales abruptly.

A-O-R Metrics for Effective CRM

Customer relationship management (CRM) software is too often improperly used by companies, yielding poor results. While CRM systems can generate helpful sales reports, they do not necessarily guide managers on what to do with them. One solution is to utilize A-O-R metrics, which provide actionable insights based on analyzing key performance indicators within the sales process. By combining CRM with A-O-R metrics, sales managers can improve their oversight and achieve better outcomes.

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