Monday, July 30, 2012

Gaining commitment


Tom Searcy July 5th, 2012 www.cbsnews.com

Prospects have a hard time with the C word: Commitment. Sure they have signed on the dotted line. But fear, uncertainty and doubt enter the picture. One of the biggest fears prospects usually have is a quite simple question: "How do we get started?"

They're now poised at the end of a cliff and a deep chasm. They can see the other side and implementation of your solution. But between now and then is a huge chasm they cannot cross in their imagination. This, of course, makes them very afraid.

Building a bridge for them will eliminate that gigantic fear and show them your competence, your ability to anticipate and strategize, and your willingness to share a little of the load of transition.

What the prospects want to know is, "What happens between now and then?" And you have to be prepared to answer completely and with confidence.

"Trust us. It'll be done," won't eliminate any fear.

Let's look at how we develop your transition map.

- Start with the question: What will we do today or tomorrow to move this forward? And you take it from there.

- Name and define clearly each step you will take between now and full implementation. Think of everything. Nothing is too trivial to be included: Actions to be taken, people to be involved from both companies, training that will be needed, person(s) from your company responsible for each step, timelines for each step, and individuals to contact in case the prospect has questions.

- Set a regular communication schedule with the prospects to keep them fully informed.

- Establish milestones with key performance indicators where you and the prospects can discuss how everything is going. Define your results threshold for rollout upfront. At each step, what results do you need and what results do your prospects need to make, so that you can move seamlessly through the steps?

- Establish the 30 percent completion point, the 50 percent completion point, and so on.

- Establish an ROI schedule.

This transition map is essential when you're hunting a big deal. Since this is such a large deal and since prospects are fearful, sometimes they will say, "Let's try a little and see how that works." Don't fall into that trap.

I was with a company recently in the far Northwest. They would sell an initial implementation -- fairly complex engineering sales -- and they'd sell almost any volume they could get.

The volume that would allow them to work out the kinks, really engineer the product, and work through the implementation was 10,000 units. But the salespeople were allowed to go out and sell 5,000 units.

Well, you want to know what the first 5,000 units look like? A mess.

During the first 5,000 they're just getting their supply chain management right. They're working through the orientation of parts in the inline manufacturing process. The first 5,000 units is where all the hard, bumpy work gets done. And if the prospects really wanted to know what the future would look like working with that company, the best vantage point would result from viewing it during the implementation of the second 5,000 units.

If you let yourself get caught in the "try it and see how it goes" trap, you won't have made the big sale you want to make, and your prospects will be disappointed with the results. Chances are you'll lose the deal entirely.

Selling 5,000 when you know the only way for prospects to really understand your value proposition is at 10,000 will not get you your big sale. If the prospect isn't interested in buying your entire deal, you need to find other prospects that will. Don't sell yourself short and settle for anything less than commitment.

Thursday, July 26, 2012

A cure for toxic salesperson syndrome

 Tom Searcy July 18, 2012 www.cbsnews.com

Does your company have a salesperson that is too valuable to let go but too painful to keep?  Toxic sales people are easy to spot in the workplace. Co-workers call them tyrants, jerks, and worse. Most are emotional bullies who treat employees coldly, even cruelly. They are quick to assign blame and even quicker to hog credit for themselves.

But what is the impact of such bosses on company performance? Heavy, according to researchers who polled several thousand managers and employees from a diverse range of U.S. companies. Here's how employees respond to toxic co-workers:
  • 80 percent lost work time worrying about the offending employees' rudeness
  • 78 percent said their commitment to the organization declined
  • 66 percent said their performance declined
  • 63 percent lost time avoiding the offender
  • 48 percent decreased their work effort
Add to that the legal penalties levied against companies in connection with workplace bullying or the hidden cost of long-term disability if a bully makes his or her targets psychologically incapable of working again. And if word gets around that a company tolerates this sort behavior, the employer may have trouble hiring or retaining good employees.

Despite their adverse impact, toxic managers can be rehabilitated, says workplace psychologist Dr. Bruce Heller, author of the book "The Prodigal Executive." That is good news for any company with the kind of salespeople you can't live with -- and without.

"Toxic sales people can be saved because these are individuals who are extremely successful," Heller says. "Many of these executives could be compared to an elite athlete. They are highly skilled, talented, and energetic. They have passion for what they do and love the companies they're working for. They feel a sense pride in their work, have an insatiable curiosity, and want to learn more."

Unfortunately, many of them have never had coaching or leadership development. They were put into a sales leadership role because they were good at selling and often are eager for a mentor. As a result, many are ripe to learn some of these skills.

Heller has repeatedly found that toxic salespeople can change their personality, even if they have been that way for a long time. "Personality is malleable if there is a reward for doing so," he says, citing the example of one president of a Fortune 500 subsidiary named Peter. "His level of intuition and ability to analyze problems were superb. He was also one of the best negotiators I have ever seen. Peter picked up subtle nuances and would instantaneously have the perfect retort ready."

But the executive never listened to staffers. He felt that because he was the smartest person in the room, listening to others was a waste of time because he already knew what was best. Not surprisingly, there was a mass exodus of top talent from the company.

"I coached Peter to listen using small steps," Heller says. "First, I just had him practice not talking for awhile while his subordinates spoke. Next we had him practice nodding while others spoke. Then, while going through the motions, something amazing happened. He actually heard what they were saying. 'I sure learned a lot more listening than when I was talking.' "
Remember the old joke about how many psychologists it takes to change a light bulb? Only one, but the lightbulb has to want to change.

Monday, July 16, 2012

6 Leadership Styles, And When You Should Use Them


Taking a team from ordinary to extraordinary means understanding and embracing the difference between management and leadership. According to writer and consultant Peter Drucker, "Management is doing things right; leadership is doing the right things."

Manager and leader are two completely different roles, although we often use the terms interchangeably. Managers are facilitators of their team members’ success. They ensure that their people have everything they need to be productive and successful; that they’re well trained, happy and have minimal roadblocks in their path; that they’re being groomed for the next level; that they are recognized for great performance and coached through their challenges.

Conversely, a leader can be anyone on the team who has a particular talent, who is creatively thinking out of the box and has a great idea, who has experience in a certain aspect of the business or project that can prove useful to the manager and the team. A leader leads based on strengths, not titles.
The best managers consistently allow different leaders to emerge and inspire their teammates (and themselves!) to the next level.

When you’re dealing with ongoing challenges and changes, and you’re in uncharted territory with no means of knowing what comes next, no one can be expected to have all the answers or rule the team with an iron fist based solely on the title on their business card. It just doesn’t work for day-to-day operations. Sometimes a project is a long series of obstacles and opportunities coming at you at high speed, and you need every ounce of your collective hearts and minds and skill sets to get through it.
This is why the military style of top-down leadership is never effective in the fast-paced world of adventure racing or, for that matter, our daily lives (which is really one big, long adventure, hopefully!). I truly believe in Tom Peters’s observation that the best leaders don’t create followers; they create more leaders. When we share leadership, we’re all a heck of a lot smarter, more nimble and more capable in the long run, especially when that long run is fraught with unknown and unforeseen challenges.

Change leadership styles
Not only do the greatest teammates allow different leaders to consistently emerge based on their strengths, but also they realize that leadership can and should be situational, depending on the needs of the team. Sometimes a teammate needs a warm hug. Sometimes the team needs a visionary, a new style of coaching, someone to lead the way or even, on occasion, a kick in the bike shorts. For that reason, great leaders choose their leadership style like a golfer chooses his or her club, with a calculated analysis of the matter at hand, the end goal and the best tool for the job.
My favorite study on the subject of kinetic leadership is Daniel Goleman’s Leadership That Gets Results, a landmark 2000 Harvard Business Review study. Goleman and his team completed a three-year study with over 3,000 middle-level managers. Their goal was to uncover specific leadership behaviors and determine their effect on the corporate climate and each leadership style’s effect on bottom-line profitability.
The research discovered that a manager’s leadership style was responsible for 30% of the company’s bottom-line profitability! That’s far too much to ignore. Imagine how much money and effort a company spends on new processes, efficiencies, and cost-cutting methods in an effort to add even one percent to bottom-line profitability, and compare that to simply inspiring managers to be more kinetic with their leadership styles. It’s a no-brainer.

Here are the six leadership styles Goleman uncovered among the managers he studied, as well as a brief analysis of the effects of each style on the corporate climate:
  1. The pacesetting leader expects and models excellence and self-direction. If this style were summed up in one phrase, it would be “Do as I do, now.” The pacesetting style works best when the team is already motivated and skilled, and the leader needs quick results. Used extensively, however, this style can overwhelm team members and squelch innovation.
  2. The authoritative leader mobilizes the team toward a common vision and focuses on end goals, leaving the means up to each individual. If this style were summed up in one phrase, it would be “Come with me.” The authoritative style works best when the team needs a new vision because circumstances have changed, or when explicit guidance is not required. Authoritative leaders inspire an entrepreneurial spirit and vibrant enthusiasm for the mission. It is not the best fit when the leader is working with a team of experts who know more than him or her.
  3. The affiliative leader works to create emotional bonds that bring a feeling of bonding and belonging to the organization. If this style were summed up in one phrase, it would be “People come first.” The affiliative style works best in times of stress, when teammates need to heal from a trauma, or when the team needs to rebuild trust. This style should not be used exclusively, because a sole reliance on praise and nurturing can foster mediocre performance and a lack of direction.
  4. The coaching leader develops people for the future. If this style were summed up in one phrase, it would be “Try this.” The coaching style works best when the leader wants to help teammates build lasting personal strengths that make them more successful overall. It is least effective when teammates are defiant and unwilling to change or learn, or if the leader lacks proficiency.
  5. The coercive leader demands immediate compliance. If this style were summed up in one phrase, it would be “Do what I tell you.” The coercive style is most effective in times of crisis, such as in a company turnaround or a takeover attempt, or during an actual emergency like a tornado or a fire. This style can also help control a problem teammate when everything else has failed. However, it should be avoided in almost every other case because it can alienate people and stifle flexibility and inventiveness.
  6. The democratic leader builds consensus through participation. If this style were summed up in one phrase, it would be “What do you think?” The democratic style is most effective when the leader needs the team to buy into or have ownership of a decision, plan, or goal, or if he or she is uncertain and needs fresh ideas from qualified teammates. It is not the best choice in an emergency situation, when time is of the essence for another reason or when teammates are not informed enough to offer sufficient guidance to the leader.
Bottom line? If you take two cups of authoritative leadership, one cup of democratic, coaching, and affiliative leadership, and a dash of pacesetting and coercive leadership “to taste,” and you lead based on need in a way that elevates and inspires your team, you’ve got an excellent recipe for long-term leadership success with every team in your life.



Robyn Benincasa is a two-time Adventure Racing World Champion, two-time Guinness World Record distance kayaker, a full-time firefighter, and author of the new book, HOW WINNING WORKS: 8 Essential Leadership Lessons from the Toughest Teams on Earth, from which this article is excerpted. (Harlequin Nonfiction, June 2012)