- Performance Management is an ongoing
systematic approach to a evaluate
and improve someone's work activity;
such as evaluations, appraisals, and analysis of data.
This often times triggers groans
and even panic from managers
and there direct-reports.
The reason is that we've all been in situations
where we start the year with goals and objectives
and end up not talking about it again
with our managers until updates are due,
either quarterly or semi-annually.
I look at Performance Management and Measurement
in three broad categories:
Coaching and training,
Personal objectives
and Financial.
However, you need to add a fourth that ties it all together
and that's your Communication with each colleague
that reports to you.
As a Field Sales Manager, these initiatives
are your opportunity to be a great leader for your team,
by devoting the time in your schedule
for coaching, training and mentoring.
Performance management isn't just
evaluating objectives and results.
It's establishing a program with each sales person
to help them improve.
You're doing this throughout the year
as part of your regular communication,
and it's an important management responsibility.
Some companies include a list
of special critical personal objectives
that need to be achieved,
and this goes into the overall measurement
of someone's success.
Depending on the type of company you work for,
you can add items that target specific factors which
could include training initiatives for other sales people,
product development work,
or industry association involvement.
I've seen companies place a compensation element
on the performance effectiveness of working with marketing.
Implementation of promotions with accounts,
and even effective CRM usage.
More often than not, we see performance tied closely
to a focus on revenue targets and expense management.
As a Manager, you are given an overall number for both
and then you determine how it's applied
to each sales person with specific budgets.
Let's face it, the business does come down to the numbers
so these key performance indicators are the ones
that attract and deserve the most attention.
However, if the CRM is being used effectively,
you can tie in other measurements
with items linked to sales including:
Prospecting attempts, Appointments,
Calls,
Opportunities opened,
Close rates, and Deal Size.
All of this data is there if you want
to be able to use it for this purpose.
It's easily extracted from the CRM by flagging these fields.
This then leads to the performance appraisal
of which the pros and cons have been greatly written about.
My guess is this is not the favorite task for anyone,
however it's my feeling that regular communication
about someone's performance
should be a part of the regularly scheduled
check-in process with your team.
Coaching and mentoring is ongoing,
so you can easily measure this as you monitor the skills,
evaluate improvement, and see positive results.
Personal objectives should not be forced,
but discussed mutually, agreed on, and regularly reviewed.
Objectives need to be focused to make
the sales person better,
which in turn benefits the entire company.
If these items are a part of your regular communication,
then the formal appraisal at years end
becomes a formality, and not a chore.
Performance Management, and the evaluation
of individuals, and our teams,
is a key responsibility for the Field Sales Manager.
You need to treat this as an opportunity
to improve your staff, to motivate them, energize them,
and see it as a positive and productive task.
If you are successful at all of this,
then it can be one of the most rewarding things
you do as a leader.