Building a High-Performing Sales Team That Retains Top Talent
You’re committed to growth, the Board is excited, and you’re ready to hire—so you call your friend Bob, who worked with you way back when, has a “stellar rolodex” and a solid track record.
STOP. Consider the impact of a hasty decision.
The average turnover in sales roles is 35%. Over 1/2 are voluntary. This is with intentional hiring practices. It only goes up.
$300,000 (on the low side) is around the cost per year for losing a salesperson. That affects the bottom line and your growth goals.
Morale and culture suffer when sales has a revolving door.
Clients and prospects notice and it damages the perception of your company. One is an understandable annoyance. Several and they start to look at you.
Avoid the impulse to “ready, fire, aim” in this area.
You have a gap in revenue and need to bring someone on board to sell as quickly as possible. Don’t rush this process. (I get it. I’m an Activator too.) Invest in a well-thought-out approach and be intentional about your hiring strategy. In this post, we’ll explore some components of an effective hiring practice for growth you may not have been considering.
Here are some ways to avoid the revolving door:
Back Up and Evaluate Your Needs
Start with a vision for the sales organization to understand the needs beyond the perceived needs. It will drive the decisions you’re about to make.
Assess if you need a salesperson or if a leader to build and manage a team is a better fit. A leader might be a bigger investment upfront but could save you from much higher costs to the bottom line. If the investment is too high, consider a fractional sales leader. (We’ll discuss leadership options and why CEOs shouldn’t be running sales in a future post. I know, you’re the best salesperson at the company. Just humor me.)
Think creatively to build for the future and offset risk. For example, consider hiring two people instead of one. There’s a case to be made for this approach and we’ll cover it in more depth in a later post.
Assign the Right Person to Manage the Hiring Process
Think beyond passing the “project” or managing it yourself. Should you run it as the CEO? Hard no. Your versatile assistant/office manager/all the other hats, Milly? Also a hard no.
Consider outsourcing or hiring a dedicated manager to oversee this critical task.
Build an Ideal Candidate Profile
Avoid outdated criteria like “rolodex” or “GPA.” Walk away from IBM’s 1992 job posting.
Focus on competencies and attributes that align with your needs. Be creative. Consider (gasp) dropping the need for a college degree. (We’ll dive deeper into this and why to avoid the above in future posts.)
Include other stakeholders. Ask for their feedback throughout the crafting and through the actual interview process.
Design a Collaborative Recruitment Process
Allow candidates in later stages to interact with your team and explore your company culture. Shift away from traditional “hot seat” interviews.
Include cross-functional partners to provide varied perspectives. Ask for candid feedback. Allow your trusted folks to see how they’d work with this person and the candidate to get to know the other employees for a rounded view.
Skip the traditional presentation. Instead, invite candidates to work on a practical project or role-play scenarios with your team. You’ll assess their fit, they’ll get a sense of working with the team.
Provide feedback and observe their response to gauge their openness to constructive criticism. You want someone with a growth mindset. Ask for feedback and see how they deliver it.
Consider offering your favorite candidate a conversation with a favorite client. You’ll learn a lot from your client above his/her ability to build rapport and trust quickly and the sales rep will learn a different perspective.
Surprise and Delight Top Candidates
After learning from the above, present your vision for their future at your company. Show you were listening by reviewing what you heard about their goals, objectives and how this is a fit. (Sound like a sales call? It is.)
As they advance in the process, show you’re interested with little touches like a thank you note with a company notebook and pen (low investment and thoughtful). When they accept, send more swag with a note from the team.
Present different and enticing benefits that differentiate and show you are invested. Some ideas are:
Weekly food delivery gift cards
Gym memberships
Quarterly travel stipends
Growth coaching sessions to invest in their life success (the work part of which ensures yours)
Mentorship programs (with mentors other than their direct supervisor)
Donation in their name to a cause that aligns with your company
Build a Talent Pipeline
Prepare for turnover by maintaining a pipeline of potential candidates.
Seek introductions from top performers, clients, partners, and vendors.
Continuously connect with promising candidates
Consider outsourcing to keep the search warm and efficient.
Try some of these ideas with your own in a well-thought-out plan and you’ll ensure long-term, sustainable growth.
You’ll hear us say this a lot. This process should be:
Fun
Efficient
Repeatable
Easily adjusted
Predictable
Measurable
Disciplined
Come on, Activator. You can do it.
If you want to discuss these ideas tailored to your company’s unique needs, to have a healthy debate based on your experience, or ask us to cover another topic of interest, schedule time or leave a comment.
*Although these tips are geared towards senior-level B2B reps, they’re applicable with some adjustments for various roles.