Like this article? PLEASE +1 it! Evan Signature
Evan Carmichael Top Header
Share for a Cause









Lance Armstrong's Metrics Applied to the Sale Force Equals Results

Guest post by: Dave Kurlan

Article Overview: Recently, I completed Lance Armstrong's 2001 book on how he became a champion cyclist, was diagnosed with Cancer, beat the cancer, and then returned to become the greatest cyclist in the world. It was an inspiring, fast-reading book. While this won't come as a surprise to my cyclist friends, I was quite surprised to learn how metric-intensive competitive cycling is.

Free Download - Sales Courage and Resilience By Dave Kurlan
Name: Email:

Lance Armstrong's Metrics Applied to the Sale Force Equals Results

Recently, I completed Lance Armstrong's 2001 book on how he became a champion cyclist, was diagnosed with Cancer, beat the cancer, and then returned to become the greatest cyclist in the world. It was an inspiring, fast-reading book. While this won't come as a surprise to my cyclist friends, I was quite surprised to learn how metric-intensive competitive cycling is. While training for races, Lance uses a heavy and expensive power meter that measures output (wattage). For the big race, he uses a smaller and lighter top of the line cycling computer to track speed, heart rate, incline, cadence, altitude gain, and power output. He simply adjusts his cycling until the numbers are where they were when he was training at peak performance and he figures the rest will take care of itself. Wow.

Sales is exactly the same. You train hard and once the metrics have been established, you simply continue to meet those numbers and the rest will take care of itself. Simple.

There are only a few problems with this:

* Most companies, sales teams and salespeople do not train hard. As a matter of fact, a significant percentage of companies provide no training at all. They mistakenly believe that their salespeople won't benefit from it. My feeling is if it doesn't address root problems then salespeople won't benefit but in this day and age every company should be able to find a proven sales development expert who consistently gets results for clients. Do these companies not need lawyers, accountants, insurance and benefits advisers, marketing and advertising experts and consultants either?

* Many companies don't have metrics and even more companies have metrics that are contextually irrelevant. They pull numbers out of the sky, establish them as baselines, and then can't understand why their salespeople don't hit those numbers.

* Most companies don't know how to correctly calculate the metrics. Even more incredibly, they don't even know what to measure!

* When companies do have metrics, know what to measure and analyze the ratios to calculate the correct values, most can't get their salespeople motivated, disciplined, committed or consistent enough for it to matter.

So what do companies do?

* They discontinue the effort.

* They provide training on closing skills - by the way, you can't imagine how much of a waste of time this is. The problems salespeople have at closing time have nothing to do with closing skills. The delays, put-offs, stalls and think-it-overs are directly related to how inept they are at the early stages of the sales process!

* Provide training on cold-calling - this isn't as much of a time-waster as closing skills but it's a close second. Why? How about:

o they train on scripts but their scripts are ineffective.

o they train on presenting but pitches cause resistance.

o they train on getting through but there isn't anyone to get through to anymore. Now it's voice mail and the key there is on how to get a call returned, not on how to get through.

o they don't train on overcoming the fear, discomfort and rejection - the real reasons salespeople don't work the phones.

o they don't talk about how to gain a prospect's attention and engagement - prerequisites to a conversation.

o they don't teach salespeople how to converse with as opposed to pitching a top executive

* Revert to pulling numbers out of the sky

* Change strategies

* Change sales managers

* Change salespeople

* Change markets

* Realign territories

* Change compensation plans

It should be obvious that if you identify the proper things to measure, properly determine their values, get the salespeople committed, and hold them accountable, the results will follow. Add in a dose of consequences for failing to remain disciplined and consistent and you can maintain those results.

Related Articles
  What are Reasonable Sales Management Expectations?
  You Gotta Make a Comeback
  Defining Success Metrics for Corporate Blogs
  Football's Pitch Count and the Connection to the Sales Force
  Quote 85% Less - Close 300% More

Home > Sales > Dave Kurlan > Lance Armstrongs Metrics Applied to the Sale Force Equals Results
Article Tags: dave kurlan, lance armstrong, sales force, sales management, sales metrics

About the Author: Dave Kurlan
RSS for Dave's articles - Visit Dave's website

Dave Kurlan is a best-selling author, top-rated speaker and thought leader on sales development.  He is the founder and CEO of Objective Management Group, Inc., the industry leader in sales assessments and sales force evaluations, and the CEO of David Kurlan & Associates, Inc., a consulting firm specializing in sales force development. Dave has been a top rated speaker at Inc. Magazine's Conference on Growing the Company, the Sales & Marketing Management Conference and the Gazelles Sales & Marketing Summit. He has been featured on radio and TV, including World Business Review with General Norman Schwarzkopf, in Inc. Magazine, Selling Power Magazine, Sales & Marketing Management Magazine and Incentive Magazine. He is the author of Mindless Selling and Baseline Selling – How to Become a Sales Superstar by Using What You Already Know about the Game of Baseball. He created and wrote STAR, a proprietary recruiting process for hiring great salespeople, and he writes Understanding the Sales Force, a popular business Blog and is a contributing author to The Death of 20th Century Selling (Dan Seidman), Stepping Stones (Deepak Chopra and Brian Tracey) and 101 Great Ways to Improve Your Life, Volume 2 (David Riklan).

Click here to visit Dave's website
Dashed Line

Understanding the Sales Force
More from Dave Kurlan
Predict Sales Turnover
Visual Pipeline
Salesperson Selection


Related Forum Posts
Re: Does birth order influence the desire to start a business? Re: Does birth order influence the desire to start a business? - I am the eldest in a polygamous family. In Africa where I come from, we are allowed to marry many wives. My mother is the first wife among six others. I am the first born and I am into business and all my other 22 siblings are business people too apart from the second born who is in the Police Force.
How to valuate a business How to valuate a business - Hi Garth - here is how we did it at Northern Crown Capital when I was helping them raise venture capital for Toronto-based entrepreneurs. Assume the start date is 2003 so 2008 projections are 5 years out: How Northern Crown Capital Valuates a Business 2008 Financial Projections Earnings Before Tax $5,865,000 Tax Rate 42% Taxes $2,463,300 Net Earnings $3,401,700 Amount Seeking to Raise Today $3,500,000 Discounted Value of Future Opportunity, 5 Years Out 2008 P/E Ratio 15 Value of Company in 2008 $51,025,500 Discount Rate Applied 30% Year 2008 $51,025,500 Year 2007 $35,717,850 Year 2006 $25,002,495 Year 2005 $17,501,747 Year 2004 $12,251,223 Value of Company at Investment in 2003 $12,251,223 Less: Investment Amount $3,500,000 Present Value $8,751,223 Discount for Risk & Private Company 40% Less: Discount for Risk & Private Company $3,500,489 Private Company Value $5,250,734 Present Value (What the Owner Keeps) $5,250,734 60.00% Financing (What the Investor Gets) $3,500,000 40.00% Total $8,750,734 100.00% I hope this helps!
Re: Does birth order influence the desire to start a business? Re: Does birth order influence the desire to start a business? - [quote="ideasuniversity":2rddqi21]I am the eldest in a polygamous family. In Africa where I come from, we are allowed to marry many wives. My mother is the first wife among six others. I am the first born and I am into business and all my other 22 siblings are business people too apart from the second born who is in the Police Force.[/quote:2rddqi21] Of your siblings - how many are girls and how many boys? Are girls allowed to be businesspeople, or must they stay at home?
Run a major competition Run a major competition - You beat me to the punch LoveInventions! I was just on my way to post this! The idea is simple: run a competition for a major prize to get people posting. In this case Darren put up a $729 Nikon DSLR up for grabs as the top prize. The winner was selected randomly and each post you wrote gave you another chance to win. [quote:1nc4sv0r]The Goal - the aim of the exercise was simple. To sign up new members to my forum and increase page views. My hope was to have a bumper month but also get new members signed up to have an ongoing impact on overall activity going forward.[/quote:1nc4sv0r] [quote:1nc4sv0r]Results: Traffic - Over the full month traffic was increased 66.7%.[/quote:1nc4sv0r] [quote:1nc4sv0r]Results: New Members - Recruiting new members to the forum was another goal of the competition. We’d had an influx in January of 1803 new sign ups as a result of a previous smaller competition but since had been around the 1200 per month. April however saw a boost in numbers by an extra 2823 members.[/quote:1nc4sv0r] [quote:1nc4sv0r]Results: Activity - Another bonus related to increased traffic is the increases in user activity on the forum. Here’s the increase in new ‘threads’ to the forum (up from the 1500’s to just over 4000 for the month). And here is the increase in new posts (up from 1400 per month to over 43000 for the month).[/quote:1nc4sv0r] [quote:1nc4sv0r] The Downside So far it’s sounding fairly rosy isn’t it. Increases in traffic, members, activity and even earning are all good. However there was two downsides. 1. Moderation Workload - I have an amazing team of moderators to DPS but the month of April was the hardest that they’ve ever worked. I totally underestimated the extra load upon them in setting up this competition. It has made me reconsider how I run future competitions. 2. Impact upon Quality of Reader Interaction - over all the increased activity of the site brought in some wonderful new members who are interacting on the site with genuine interaction. However a small number of new members were just there for the competition - even though I made it clear that spammy entries wouldn’t win. This impacted moderators workloads but also the overall morale on the site a little. I think we managed to contain it but again - next time I run a competition it’ll not be based upon post numbers but rather some sort of quality level of interaction.[/quote:1nc4sv0r] What do you guys think? Is it worth testing out? Considering we already give out over $1,000 in month prizes, what would be the ultimate prize that we award at the end of the competition?
Re: Does birth order influence the desire to start a business? Re: Does birth order influence the desire to start a business? - [quote="OmnivoreInk":3odx68dy][quote="ideasuniversity":3odx68dy]I am the eldest in a polygamous family. In Africa where I come from, we are allowed to marry many wives. My mother is the first wife among six others. I am the first born and I am into business and all my other 22 siblings are business people too apart from the second born who is in the Police Force.[/quote:3odx68dy] Of your siblings - how many are girls and how many boys? Are girls allowed to be businesspeople, or must they stay at home?[/quote:3odx68dy] We have 8 girls and all are business people.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.



Featured Article


Bottom Footer
Share for a Cause












Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!
Name:
Email:
Popular Articles

The Substance Abusing Employee

What Makes an Extraordinary Business Consultant?

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.