Use Leaderboards for Sales Performance Management
March 30, 2017
How do You Manage Sales Performance
A little-known fact is that a high proportion of reps do not achieve their annual target. They fail to deliver the revenue they committed to at the beginning of a financial year. Statistics show as many as 70% of sales reps do not achieve their goals for the year.
This non-achiever group will include people who could easily rise above their current performance. They don’t, because their performance is not visible to scrutiny by the company. Visibility equals accountability. In many companies, sales reps can hide their performance. They are not held to account for the activities and outcomes they agreed to deliver at the beginning of their financial year. If these are not measured correctly. If their results and progress against the targets are not made visible to the individual, the team, and the office, then the rep might assume they do not matter. Further, there will be a lack of timely intervention by managers to correct this underperformance.
Desperately Seeking Improved Sales
Organizations seek better ways to motivate sales employees to do more of the business activities that drive company success. Many companies think they set achievable metrics. Unfortunately, they often measure their sales reps on lag indicators. This is usually the deal that is won. There are a lot of activities that have to be performed as well to progress the sale. Measuring an end state may mean they do not realize they have a problem until it’s too late. Often it’s 6 – 12 months too late!
When sales employees are managed correctly, companies can expect to grow the achievement of annual goals to over 81% of sales reps. Companies would also typically have a 3x higher annual growth in revenue. Improving the performance of your sales organization and your sales team’s effectiveness as well as efficiency. It increases productivity, streamlines sales processes, and drives desired sales activity behaviors to achieve the best results.
How We Help with Leaderboards for Sales
Leaderboards that display sales measures and achievements, particularly if these are displayed on an office TV, take a gigantic step beyond traditional sales management. The best leaderboards are based on technologies that sync data from your data apps. These could be simple as Google Sheets or as sophisticated as world-leading CRMs like Salesforce. The sync information is about specific sales activities. Managers can decide which information is shown to the office. They also decide how they want to display information.
Once set up nothing more is required, the leaderboard runs effortlessly. Progress shown on the leaderboard is determined by the sales rep updating these activities in the primary data source. Updates occur in near real-time. Changes in a rep’s ranking or score are displayed straight away. A healthy competitive environment is developed within the team. This competition drives better business outcomes.
The best leaderboards can reinforce good data practices and the adoption of updated philosophies within the company.
Your organization lives and dies on the success of your sales force. Leaderboards encourage remarkably consistent patterns of behavior. Sales reps will orient themselves outward, focusing on customers and competitors rather than on internal politics. They think like owners and have a bias toward action. Spinify makes it incredibly simple for sales managers to set up and run leaderboards that measure activities. It can also measure the progress against their quota goal. Best-in-class sales organizations have leaderboards in place to be successful and continue to build competitive advantage.
Put those insights into practice.
Set your team up for success by improving their performance through gamification.
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