E-Zine for Managers
November 2008 Edition
Published by Frank Lee
President, Sales Acedemy Inc.
President, Sales Acedemy Inc.
Copyright © 2008 Sales Academy, Inc., Texas.
All Rights Reserved
All Rights Reserved
Quotes
With the election almost over, will the candidates eventually stop insulting each other?
"Slander cannot destroy the man … when the flood recedes, the rock is there.”Chinese Proverb
"Rudeness is better than any argument; it totally eclipses intellect.”
Arthur Schopenhauer
"It seldom pays to be rude. It never pays to be half rude."
Norman Douglas
"The only graceful way to accept an insult is to ignore it; if you can’t ignore it, top it; if you can’t top it, laugh at it; if you can’t laugh at it, it’s probably deserved."
Russell Lynes
"Speak not injurious words, neither in jest nor earnest; scoff at none although they give occasion."
George Washington
Memo from Frank Lee – On disciplined salespeople
Dear Subscriber,Brian Tracy, a sales management expert, encourages sales managers to ask themselves a question. “If, when I hired this salesperson, I knew what I now know about him, would I have hired him?” If the answer is no, the next question should be, “How can I get rid of him and how fast can I do it?”
Does this sound cold and heartless? No. I believe it should apply to every hire but particularly to salespeople. Why? Because nobody in a business has the right to put everyone else’s jobs in jeopardy.
A few years ago, salespeople in a dealership were told they would have to submit all deals to the new sales manager before they could be concluded. The salespeople were livid. Some left. Others gathered allies in other departments. A full-scale revolt was in the works. Everyone was grumbling about the shortsightedness of management. This was the situation I walked into when I accepted this consulting assignment.
In a meeting with all employees, I told them why this action had become necessary. The salespeople had demonstrated over many years that they were incapable of making good deals. The dealership had just been forced to auction off millions of dollars of worthless inventory brought in by salespeople at inflated prices. Customers loved them, they claimed. Of course they did. I told the employees the dealership could not afford to go through this again. If you do enough bad deals, pretty soon you won’t be around to do any deals. If the salespeople were not more disciplined in making trades, they were putting everyone’s jobs in jeopardy and nobody had the right to do that. They would eventually be allowed to make their own deals again but they would have to earn that right.
The employees saw a new perspective that day and a new attitude started to develop. Bad salespeople can damage a business. Bad, uncontrolled salespeople can eventually kill a business and put everyone out on the street. Good sales managers understand this and protect all employees by making sure their salespeople operate in the best interests of the business and everyone in it.
My Latest Article in Implement & Tractor
In the November/December issue, I write about the price objection and examine how real it is. You may be surprised at the conclusions I reached. Get your copy.
International Ag University (IAU) – Information
Read more about IAU on our web site. Just follow the links in the Ag section to IAU. For more information, call me at 800-898-3743 or email me at franklee@sales-academy.com. We have a 12-page brochure that spells out the curricula for salespeople and sales managers. You can view this brochure from the main IAU page on the web site. Or call us and we will send it to you.
International Ag University (IAU) – 2008 "Mixed" Classes
Our “mixed” classes have gotten off to a great start. These classes allow salespeople from all colors to attend. The learning experience in this environment is exceptional. It allows many myths about the competition to be dispelled once and for all.Call us now if you would like to enroll salespeople in this unique experience.
Quotes from Homework Assignments of IAU Students
“I published my graduation press release (after having to twist my Dad’s arm; it was $400.00 to advertise!) and it worked out very well. I have had numerous people congratulating me on the street and approaching me about the article, as well as customers inquiring more about the program. It has given me great opportunities to talk about the program and what I accomplished. It has been excellent visibility for me, reminding customers that I am still here when a lot of other dealership salespeople have disappeared because of hard economic times.One more thing, I was recognized by Federated Insurance (where we insure our dealership) as well as Investors Group (financial planners and investors). They sent me letters of congratulations in the mail and I received emails from individuals that work there. That felt pretty good! It just shows that even though I advertised it locally, people saw it and talked about it. ”
Jena Grandmont, Graduate Student, Winnipeg Class, Canada
“Our used turnover is at 8x now. We try to have a sale for most of our trades before they come in and also try to get the trades priced properly so they move fast.”
Bryon Hilgemann, Sioux Falls 201
“The summer has gone very well for me as sales are up a long way and I'm starting to feel like I'm managing my territory. I am beginning to develop a core of good repeat customers that I would expect to become lifetime customers. Thanks for your help, Frank. I really do feel you have played an important role in my growth as a sales consultant.”
Chris Hawkins, Graduate Student, Saskatoon Class, Canada
“I feel I had shown the customer I care about his business and try to offer more options to save money and do better business. I have more credibility with this customer. Most other salespeople don’t do this.”
Mike Estreen, Green Bay 101 Class
“Discussing financing at a higher level helps you build credibility with the customer.”
Jim Adamski, Green Bay 101 Class
Sales Management Problem of the Month
Here's a question for sales managers. Please email your responses to franklee@sales-academy.com. Responses will be shown in the next issue.You are the sales manager of a company that sells its products through a network of dealers. Your salespeople call on these dealers on a regular basis. You want them to develop good working relationships with these dealers while maintaining company policy and getting them to sell more of your products.
You noticed on one salesperson’s report that one of his dealers was not liked by his employees. It seems this dealer does many things that upset employees and some things that violate your agreement with him. Some are talking about leaving, others about sabotaging him. All the stories were told in confidence to your salesperson. Talking to your salesperson, it seems employees had been complaining to him but had asked him not to tell their employer because they were afraid of being fired. You are concerned because this could affect the future viability of this dealership and that could impact your market share and bottom line.
Since this was told to your rep in confidence, neither you nor the rep can easily discuss this with the dealer without breaching this confidence. How do you handle this?
Responses To Last Month's Problem
This was the problem:You are the president of a small company. Your sales manager was arrested over the weekend for sexually molesting a child. He has been released on bail. He swears he is innocent and that the charges against him are trumped up. He is confident he will be exonerated once he goes to trial. This could be several months away.
The salespeople (and others) are very unhappy. Some called you on Sunday and want you to fire him immediately. They feel customers would already have judged him and that he will be an excuse for them to buy somewhere else. He would cost them sales. Besides, they do not feel comfortable working with a child molester. Some salespeople have even threatened to administer their own form of justice. Up till now, all the salespeople have respected him, liked him and followed him to record sales. Over the last ten years, he has consistently developed the salespeople to become the best sales team in your state. This swift change of attitude took you by surprise.
While you really like him and would not want to lose him, you, too, are disgusted by his behavior even if it has not yet been proven. You want to believe him. Your business is in a small community.
Putting morals aside, what is your best business solution?
The salespeople (and others) are very unhappy. Some called you on Sunday and want you to fire him immediately. They feel customers would already have judged him and that he will be an excuse for them to buy somewhere else. He would cost them sales. Besides, they do not feel comfortable working with a child molester. Some salespeople have even threatened to administer their own form of justice. Up till now, all the salespeople have respected him, liked him and followed him to record sales. Over the last ten years, he has consistently developed the salespeople to become the best sales team in your state. This swift change of attitude took you by surprise.
While you really like him and would not want to lose him, you, too, are disgusted by his behavior even if it has not yet been proven. You want to believe him. Your business is in a small community.
Putting morals aside, what is your best business solution?
And the response:
You have to give this person his day in court. You have some choices. First, I would have a one-on-one meeting to find out the whole truth. If it sounds as if he had put himself in a compromising position, a decision about his employment must be made. Or, place him in a different role until this matter is resolved. I would give no guarantees of employment depending on the outcome of the charges. Unfortunately, perception is reality. If he is cleared of the incident and it does not harm the dealership, I would explain to your customer base what the exact circumstances were that led up to this incident.
Tim O., Salesperson, Iowa
As president, it is your responsibility to put the sales manager on administrative leave immediately till the trial is over. It is your decision whether or not you pay him during this leave. This depends on how well he is as a sales manager (sounds like he was very good). Once he goes to trial, you will determine whether you fire him or not based on the outcome of the trial.
Douglas B., General Sales Manager, Madera, CA
I would immediately look to my "employee manual" and "ethics statement" of the company policy for some guidance. Since this is only alleged at this time, termination could lead to legal issues. I would have to balance the allegation with the small town reputation. In the interim, I would suspend the employee with pay until more was learned about the matter. Usually matters like this become much clearer in a few days or weeks in a small town.
Warren B., Salesperson, Goldthwaite, TX
Think through the legal consequences of whatever actions you take. You may be well advised to consult your lawyer. Suspension may be an option and you will probably take it. However, you must also look at the long-term harm it will do to your business. Working within the law, it would probably be best for this sales manager to leave and find employment somewhere else. Small town folk do not forget easily. Whether he is found guilty or not, the damage has already been done and he will likely not be able to get back the respect of the salespeople or your customers. The battle has already been lost regardless of guilt or innocence.
Nat J., Sales Manager, Birmingham, England
This is in response to the sales manager problem in the September issue. This reader felt the responders missed out an important part and asked for this response to be published.
No one responded, “Track the lost sales and take a deeper stocking position”. This would prevent this issue and increase gross sales. Also, it may get the dealer into better discounts that would equate to higher net on all three sales. As a manufacturer’s rep, we discuss this with dealers but dealer principals typically only see it as added expense.Richard B., PA
Sales Academy specializes in behavioral sales training. This includes the world-renowned Sales Call Reluctance Program and Customized Sales Training for large and small companies.
If you would like to discuss the sales training needs of your company, send me an email at franklee@sales-academy.com or call me at 1-800-898-3743.
Sales Tip: Prospecting Aid
I almost never advertise for anyone in this Ezine. However, I came across a company that just has to be publicized. I met their rep, David Schwartz, a very likeable and intelligent person, at a manufacturer convention recently. Fascinated by what he did, I attended a demo that made a believer out of me. If you need to prospect in certain markets and want to find an easy and fast way to identify and qualify prospects, this may be your answer.
The company is EDA. They collect UCC filings from all over the country and then do miracles with the data. I’m sure they’re not cheap but nothing worthwhile ever is. I recommend checking them out at www.edadata.com or contact David at dschwartz@edadata.com or telephone 800-288-8262.
Books and Audio Tapes Available for Purchase
1. Earning What You're Worth; the Psychology of Sales Call Reluctance.By George W. Dudley and Shannon L. Goodson ($22.95)
2. P.A.S.S. C.A.L.F. - 8 Behaviors of Sales Success in an Agricultural Dealership.
By Frank Lee ($10.95)
3. P.A.S.S. C.A.L.F. - 8 Behaviors of Sales Success in an Agricultural Dealership.
By Frank Lee, read by Bob Gee (Audio Cassettes) ($12.95)
4. Managing Iron Salespeople - How to Manage Salespeople in an Agricultural Dealership.
By Frank Lee with foreword by Bill Fogarty. ($19.95)
Click on “Articles and Books” on this site.
To order, follow the “Order” link or call, email or fax and we will bill you.
Tel: 1-800-898-3743 Fax: 972-874-2864
EMAIL: franklee@sales-academy.com
WE ACCEPT VISA OR MASTERCARD
Sales Articles Available
There are several articles and white papers on our web site that you can download and use. Just click on “Articles and Books”. You will also come across several articles written on sales call reluctance written for the IRMI web site. Just point to “Articles and Books” and drag down to “Call Reluctance Articles for IRMI.”
Frank Lee
Sales Academy Inc.
This Newsletter Copyright ©2008 by Sales Academy, Inc, Texas. All Rights Reserved.
