Most people in sales have heard the story of a lion leading a flock of sheep fighting a sheep leading a pride of lions. The story tells us that in a sales team, the position of the leader is very important. As the saying goes, "A weak soldier is one, but a weak general is the whole army." Although the regional manager holds an important position in managing the team, without a sound performance management mechanism to assist, I believe that even the leader would find it difficult to achieve results without resources. I would like to discuss the topic of establishing a performance management mechanism for sales teams with you.
In a company I previously served, the general manager often said, "I don't care about the process, I only want results." For a general manager who oversees the overall situation, this statement is understandable, and it indicates that he has given you full authority. However, if you, as a regional manager, say this to your subordinates and your team, I think it is debatable. As the leader, you must make every member of your team always remember their goals and tasks. You should also implement effective monitoring and guidance of their work processes, and conduct evaluations based on their completion of goals and tasks. Reward employees with performance promptly, and strengthen constraints and eliminate those who are just going through the motions. Only by precise management of details and processes can you promote team progress and company development. Therefore, "goal design" becomes the first step in establishing a performance management mechanism.
★ Clear Goals
Every company will design different goals and tasks based on its actual situation. For the business side, there are sales targets, collection targets, etc. As a regional manager, your task is to break down the company's big goals and tasks to each market and each person. When designing goals, pay attention to the following points:
- Clear responsibilities, goals to each person; 2. Realistic and specific quantification; 3. Time-limited and unanimously approved.
Let me take the company I previously served as an example to discuss the breakdown of goals: In 2002, when we were developing the A regional market in Central China, I led a sales team of 10 people, with the goal of increasing sales from 1.2 million to over 2 million. The team had 1 office manager responsible for developing surrounding markets and assisting my work; 4 salespeople responsible for distribution and payment collection, and assisting dealers; 4 terminal staff responsible for customer relations and daily terminal maintenance. There were 8 pharmaceutical wholesale companies and 200 terminal pharmacies in the A market. First, I referred to the sales completion of the same period last year and, together with everyone, broke down the goals and tasks by month, and formulated a monthly work plan summary table for the A region (see figure below), gradually breaking down the specific work of each month and assigning it to each customer and each salesperson.
Through the breakdown of goals, every team member has a clear account in mind. Having a clear and feasible goal is only a small step to success. The next step for the leader is to manage and control key links.
★ Effective Management
In a flock, the leader is very important. The leader must adjust the route at any time to ensure the direction is correct. In a team, the regional manager must promptly discover problems exposed in sales work and correct them to ensure the achievement of goals. I attach great importance to daily and weekly work meetings. In the half-hour meetings, I never speak clichés or empty words. Usually, three issues are resolved in the meetings. First, solve specific problems for subordinates and guide their work. Second, understand the completion of goals. Third, focus on special matters and important customers. In daily management, I follow the principle: "Small matters do not pass the day, major matters do not pass the week, and major events are reported within four hours." I once encountered a manager who monitored his subordinates in every detail. Terminal staff had to report to him by public phone at the first pharmacy on their visit route for the day, and at 5:30 pm, they had to report the day's visits by public phone at the last pharmacy. Despite such strict monitoring, their company's terminal work was not outstanding. It seems that the most important thing in monitoring and guiding work is whether it is effective. What is effective? First, results are visible; second, effects are obvious. Monitoring and guiding the process is the second step in establishing a performance management mechanism. Evaluating the performance management process is the third step. This step is very complex. If done well, it can improve the business ability and ambition of marketing personnel. If done poorly, it can cause rebellious psychology among marketing personnel, which is not conducive to unity and will weaken team cohesion.
★ Clear Distinction of Merits and Demerits
Performance appraisal is a headache-inducing project. Some companies treat performance appraisal as a "big pot" where everyone gets the same. The appraisal content is also varied, and marketing personnel cannot see their own abilities and shortcomings, nor understand the standards and conditions of the assessment. There is little that can be quantified, and too much is subjective. I believe that the assessment should focus on two aspects: one is business ability, and the other is loyalty to the company. I will post my company's performance appraisal form (see figure below) for your reference:
★ Best Motivation
Motivation is an important part of the entire performance appraisal. According to Maslow's hierarchy of needs theory, everyone has different needs at different levels. If you can satisfy your subordinates' different needs at the right time, you will be able to mobilize their enthusiasm more. I have summarized that as an ambitious marketing person, they need the company or enterprise to provide the following needs: appropriate salary, good working environment and other basic living needs → medical, pension insurance and other life security needs → good corporate culture, sense of belonging and security needs → recognition needs such as titles, promotions, and salary increases → high-level spiritual needs such as providing a stage to develop potential. If the appraisal results are directly combined with these economic and spiritual incentive measures, it will more efficiently stimulate employees' potential. Even if you, as the regional manager, are a sheep, your subordinates will be fierce lions who are good at fighting.
Once the performance management system is established, it should be implemented without compromise. However, in specific operations, several issues should be noted. If the indicators are set unreasonably or resources are allocated unreasonably, it will have a great impact on performance. If not viewed objectively and analyzed seriously and compensated, it will also affect the fairness of performance appraisal. A diligent person cultivating a barren land and a lazy person cultivating a fertile land, if their harvests are equal, you can easily judge who is truly working. But if they are operating two different markets, can you avoid being blinded by external appearances and make a fair and accurate evaluation? Although performance is the most important part of the performance management system, performance cannot be regarded as the only thing in performance management!
The ultimate purpose of performance management is to help companies identify the problems behind poor performance and ensure that our sales can grow steadily and continuously in a healthy way, thereby ensuring the vitality and competitiveness of the company.
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