Sales Performance Management 101 for Sales Reps: Getting the Sales Numbers You Need with the Right Technology
In this six-part blog series OpenSymmetry and IBM outline the impact of Sales Performance Management (SPM) Technology on each area of the business including Sales, HR, Finance and Executive Management. In this first post we focus on the seller. Effective SPM can be a game-changer for sales organisations as sales and performance information is readily available to the seller bringing trust, motivation and direction to the sales process. Join us as we embark on a journey to discovering how SPM covers sales best practices for people, process, and technology.
Working in sales is challenging enough with reps under pressure to close deals and grow pipeline; but salespeople can also feel uncertainty about their earnings. Without adequate tools in place, you may not know how your commissions or bonuses are calculated or how much you can earn in a quarter. Even if you understand your compensation structure, it might be unclear how close you are to meeting your targets and how this will affect your income. Additionally, existing tools may not make it clear which clients or deals to focus on to maximise your earnings and which actions you can take to maximise impact and your performance and overall company performance. With pressure to meet targets, minimise sales cycles and make a positive impression as a company’s first contact with potential clients, salespeople deserve every penny of their compensation along with real-time, accurate data on what they are owed.
Sales Performance Management (SPM) technology helps companies maximise sales performance by bringing clarity and transparency across the sales process. By automating the process, SPM technologies like IBM Incentive Compensation Management empower salespeople and sales managers to effectively identify areas to maximise sales and earnings in each sales period. They provide near real-time information to reps on performance and pay, providing key metrics, analytics and insights on how to earn more as well a detailed transactional view of the deals that are / can impact their performance and earning. Because this information is seen by both sales reps and sales management, SPM technology provides a single view of key sales data and complete transparency to everyone involved in sales process.
According to a recent study by SalesForce only 36% of the average salesperson’s time is spent selling. For organisations using legacy or manual tools, such as excel to manage Sales Performance, much of the non-selling time is spent manually calculating their own commission and verifying the accuracy of the payments. This process, often referred to as “shadow accounting” is a time-consuming task that eliminates precious time that salespeople could be using to maximise their performance.
Best in class organisations with a well-implemented SPM technology such as IBM ICM have better results, with studies reporting these organisations to have 7% more salespeople achieving their quotas, 37% quicker sales and 25% lower staff turnover. Looking forward the leading SPM Technologies are advancing by using predictive analytics and Augmented Intelligence across the rich data sets that SPM provides. This will further empower sales managers and reps to sell better and further increase the competitive advantage of those organisations that have deployed an SPM technology against those that have not.
On November 9th, take the next step and join OpenSymmetry and the IBM for a webinar outlining the benefits of SPM technology, and how it has freed millions of sales reps from manually calculating their compensation pay-outs to doing what they do best – selling. For more information, see the webinar page here.