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Sunday, 9 March 2014

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Frontline is the bottom-line

There is an old saying that everyone lives by selling something: a product or service. This is true from a labourer to a politician, an entrepreneur to a CEO. The only exception would probably be religious leaders or genuine voluntary workers who do not typically complete a transaction but yet offer a service.

Business success solely depends on sales success; an argument that has no opposing view. Revenue is the key driver for any business and it is sales that generate the all important revenue. So the number one priority for any organisation should be sales.

The ideal functional model is where the organisation places the sales function as the controlling function and all other functions as supporting functions to do one thing right - creating value for the customer through quality and productivity to deliver the targeted bottom-line. Believe in the fact that the frontline is the bottom-line. If you have a strong frontline your business will always have a strong bottom-line.

Sales culture

Accept that selling is the hardest job in business. We would all be multimillionaires otherwise, selling products or services to one another.

Understand the fears of your sales people, they often receive a 'no' than a 'yes'. Emotional pressure of this rejection is enormous. Build self-reliance among your salespeople.

Sell them the images of sales excellence to motivate them. It is also important to adjust your sales culture to the customer's culture to forge a greater bond between the organisation and customer for long term business health. Rather than applauding the results - encourage the sales people to adopt the behaviour of success to a greater degree than they do now. Let improved sales be an outcome of right behaviour and action by the sales force.

Profits

Demonstrate the discipline you expect of your sales people. You should address their issues with energy, urgency and purposefulness. Use 'sales stars' to influence the sales team. Create the notion that sales people bring profits not revenue. Leaders set the selling price and control expenditure. You know what percentage is profit.

Lead by example

Conventional CEOs think that selling is not their job. Some do not realise the concepts discussed. But the reality is that the CEOs ultimate goal is to sell more to deliver the expected bottom-line for the shareholders.

CEOs have to spend a significant portion of their time talking about customers and sales people to better understand and extend support to the sales leadership.

Let everyone know that the sales target is the priority in your job. Set team challenges, when problems occur involve the entire team in the solution.

CEOs should go out regularly with the sales staff. This would give you the insights you need to make the right business decisions.

Fix problems quickly. Surprise the team occasionally. Keeping the sales people on top in every forum within the organisation should be a regular feature to live the culture.

Recognise every significant achievement and celebrate success. It is this feeling that will keep the sales staff continually motivated.

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