How can HR design an effective in-house sales training programme without busting the training budget?
In developing a sales training programme, an administrator must usually consider the following problem areas: What are the objectives of the programme? Who should be trained and how much training is needed? Who should conduct the training? What should be taught? What teaching methods should be used? How should the programme be evaluated?
The objectives of sales training
Besides the obvious benefits of stimulating the sales force and increasing their productivity, training programmes can have other objectives. One of the results usually expected is lower turnover rate in the sales force. Other benefits are a higher level of morale, better control over the team, better customer relations and lower selling costs.
Turnover rates are naturally reduced because well-trained sales professionals are less likely to fail on the job than untrained ones. It is the degradation of consistent failure without any sign of success that drives salespeople to quit more frequently than other positions in an organisation. Higher morale is another benefit as a well-trained salesperson will have greater confidence.
Lack of purpose is one foundation of poor morale. Hence, one of the major objectives of a sales training programme should be giving the sales team some idea of their greater purpose in the organisation itself. The training programme should also establish the exact mode of behaviour expected of the sales team. They should understand what control mechanisms exist to assure management that the selling job is properly performed. Salespeople should gain a strong understanding of how to control their own activities and be acutely aware of pay versus no-pay activities in their routine.
A properly conducted training programme will instruct the sales team on how to work with the client. They should learn to avoid overselling, how to determine which products or services the client needs and how to read the prospect’s behaviour. Teaching salespeople how to control and expedite sales cycles is possibly the most important objective of any sales training programme. This not only lowers the total cost of sales, but drives the “successful” salesperson mindset throughout the team.
After developing these broad objectives, specific objectives must be defined. It is insufficient to just say the purpose of the programme is to increase sales volume because it is too general. There have been many cases where sales volumes increased but salespeople were selling at or below margin which certainly isn’t a goal of any training programme.
Specific objectives such as effective prospecting strategies and techniques need to be put forth – methods of engaging the prospect, how to gain commitment from buyers early on in the process, how to uncover their reasons for buying, how to uncover budgets and those hidden decision makers and understanding when a prospect is truly qualified and a proposal is appropriate.
These specific objectives need to be in the core of the programme and a “defined” methodology should be imparted to participants. Far too many training programmes are not conducted using an established sales methodology. They seem to be pasting together bits and pieces from various experiences. This tends to make sustainability and scalability impossible. A sound sales methodology should be diagnostic, flexible and scalable. This can only be done if the methodology is organised and reinforced.
Who should be trained and how much training is needed?
All salespeople require training. Even well-established salespeople need an annual refresher to raise awareness of new selling techniques and changing markets. Obviously, new salespeople (less than three years of experience) require the most training. The optimal model is a mixture of full-day workshops, followed by regular coaching to instil the proper behaviours so the techniques have a chance for success.
It is far better to overestimate the amount of training needed than to underestimate. Many trainees will have exaggerated their capabilities and experience in order to convince the prospective employer that they should be hired. Also, many times when salespeople claim to have gone through training, it was simple product training. Product training is needed, but tends to be the least important aspect of sales training. Instilling the correct behaviour and attitude is paramount for salespeople, regardless of what they are selling.
Who should conduct the training?
A critical part of any training programme is who will be conducting the training. The options are between hiring outside training specialists and using internal trainers. Top companies tend to use outside training specialists as they have greater qualifications and bring a non-biased view into the programme. Also, they will have greater credibility with the trainees.
No one wants to receive sales training from someone who hasn’t actually sold a product or service with great success. If done by a technocrat, it tends not to be realistic and trainees will turn off and resist learning. Also, a major part of the programme is having real case scenarios the trainer brings into the programme.
When they are from first-hand experience, they have greater impact. Also, SMEs will tend to use outside training specialists as they can outsource the training rather than maintaining a full-time staff for training. A recommendation for companies with budget issues is use outside training specialists or if an internal training team exists, blend it with outside training specialists.
What should be taught and what teaching methods should be used?
Ideally, a tried and true methodology should be delivered by a trainer who has expertise in that selling system. The system should be able to deliver defined steps that include profiling customers, gaining commitment, understanding needs, uncovering budgets, understanding the buying process and getting to decision makers.
The methodology should include case studies that apply directly to the product/service of the participants in the programme. The case study method is an effective method of teaching along with TEA (theory, example and application) method so participants can view and understand the concepts and techniques see how they work in the real world. Finally, they can role play these strategies and techniques.
Afterwards, coaching is essential as these new concepts will be foreign, but over time through practice, it can be adopted as second nature. Also, courseware such as workbooks, audio CDs should be part of the programme as ancillary materials for reinforcement. Sales, like any profession or course of study takes time to learn and can’t be adopted effectively in one day. Would anyone respect a university, graduate or MBA programme if it only took one day?
How should the programme be evaluated?
Throughout all businesses, upper management constantly puts pressure on an administrator to prove the benefits of the programmes over which he has control. Sales training is no exception. If the sales trainer is to maintain the full support of the organisation behind him or her, he or she must be able to show that it is paying dividends for the organisation. While it is unrealistic to expect conspicuous results after one or two days of training, some firms do press for it. It is important to have this conversation up front to avoid uncomfortable feelings after initial training.
Some of the yardsticks for measuring success are reduced turnover rates, performance in selling, though not just hard numbers, but real behavioural change that shows sales reps coming out of their comfort zones. This could be viewed in activities such as increased prospecting by phone, joining new networking groups, developing new strategies and techniques, or at the very least reducing sales cycle times in a predictable manner. In general, it takes 90 days to see any change, which is why reinforcement of the training is essential to a successful training programme.
Raymond McConnell
Managing director
Sandler Training Singapore
www.sandler.com.sg
