Transcript Module07LEADERSHIP STUDENTS

Module Seven
Sales Management
Leadership
Some leaders…
use conventional and unconventional tactics to lead
salespeople. They offer substantial incentive-based pay
and promotion opportunities. In addition, they have
dressed as a superhero and staged a mock battle against
competitors, motorcycled through a brick wall, and repelled
down a four story building to inspire their salespeople.
Action
The results?
Result
During their first seven years as sales leader, revenues
have increased more than 750 percent. In 2000, they
had a record-breaking year for e-business with
revenues of $1.1 billion.
The Difference Between Leadership
and Supervision
Leadership:
The use of personalized influence with other
people to influence other people’s behaviour
toward the accomplishment or attainment of
specific goals and objectives
Supervision: (Tactical, day-to-day
leadership)
The day-to-day control of the salesforce under
routine operating conditions
COMPONENTS OF LEADERSHIP
a) PERSONALITY TRAITS
•SELF-CONFIDENCE: BELIEVE IN THEMSELVES;
DEMONSTRATE CONFIDENCE, SET AN EXAMPLE.
•INITIATIVE: SELF-STARTER, TAKE CHARGE, ENJOYS A
CHALLENGE, WELCOMES CHANGE.
•ENERGY: HIGH ENERGY LEVEL
CREATIVITY: NEED CREATIVITY & IMAGINATION TO
ADDRESS CHALLENGE & CHANGE OPPORTUNITIES.
•MATURITY: SELFLESS - COMPANY (AND
STAFF) FIRST
COMPONENTS OF LEADERSHIP
MANAGERIAL SKILLS / BEHAVIOURS
•PROBLEM SOLVING: IDENTIFY ISSUE & CAUSE THEN
FORMULATE & ENSURE IMPLEMENTATION OF A SOLUTION
•INTERPERSONAL SKILLS: DEMONSTRATES GENUINE &
ACCURATE EMPATHY, CONSISTENT BOUNDARIES, FOSTERS
GOOD WORKING (BUSINESS) BASED RELATIONSHIPS
•COMMUNICATION SKILLS: CONCISE, CLEAR, ACCURATE,
TIMELY & CONTEXTUALLY APPROPRIATE.
•PERSUASION SKILLS: BASED ON PERCEAVED IMAGE AND
MUTUAL (RESPECT & BELIEF)
•
ROLE MODELING: ACTION SPEAKS LOUDER THAN
WORDS / ‘WALK THE WALK’
LEADERSHIP STYLES
A CONTINUUM
FROM
TASK ORIENTATION
TO
RELATIONSHIP BASED
TASK-ORIENTED
(PRIMARILY UNIDIRECTIONAL COMMUNICATION)
GETTING THE JOB DONE UTILIZES
TASK SPECIFIC DIRECTIONAL COMMUNICATION
HOW, WHEN, WHERE, WHAT.
RELATIONSHIP ORIENTED
(TWO-WAY COMMUNICATION)
FOCUS IS ON YOUR PEOPLE, THEIR:
WELFARE, INPUT, FEELINGS
•PROVIDE COACHING, MENTORING,
EMOTIONAL SUPPORT,
PSYCHOLOGICAL STROKING’ &
PERSONAL ASSISTANCE TO ACHIEVE
THE GOALS
DEPENDENT ON:
PERSONAL RELATIONSHIPS,
PERSONAL POWER & EXPERTISE
SITUATIONAL LEADERSHIP
MODIFY LEADERSHIP STYLE TO SUIT THE TASK / INDIVIDUAL
TASK &  RELATIONSHIP
~ INEXPERIENCED STAFF
TASK &  RELATIONSHIP
~ MAJOR UNDERTAKING
REQUIRING GUIDANCE & MOTIVATION
TASK &  RELATIONSHIP
~ MOTIVATE SPECIFIC
BEHAVIOUR
 TASK &  RELATIONSHIP
~ USE WITH ACHIEVERS ‘LET THEM DO
THEIR JOB’
CHARISMATIC LEADERSHIP
(TRANSFORMATIONAL LEADERSHIP)
•ARTICULATE A VISION (VISIONARY)
ABILITY TO INSPIRE A COMMON AND
COMPELLING VISION
•CHALLENGE THE STATUS QUO INSPIRE /
CHALLENGE ACHIEVERS TO SURPASS
THEIR PERSONAL EXPECTATIONS (YOU
CAN DO IT!)
• ROLE MODEL: ‘WALK THE WALK’ WHILE
SINGING THE COMPANY SONG
Leadership Skills
The basics:
1. An ability to anticipate problems
2. An ability to seeking and obtain
substantive feedback
3. An ability to diagnose problems and
opportunities
Leadership Skills
The art:
• An ability to select an appropriate
leadership behavior and match it to the
situation
• An ability to communicate effectively
A Leader’s tools:
Communication Skills
&
Influence Strategies
•
•
•
•
•
Threats (coercive power)
Promises (reward power)
Persuasion (expert or referent power)
Relationships (referent or legitimate power)
Manipulation
Some Key leadership tasks:
1. Role Modeling
2. Coaching
3. Meetings
4. Corrective Measures
#1 Role Modeling
‘Day-in-day out’ you are the visible embodiment of
what the expectation is:
•
•
•
•
•
•
You are the company
You are the authourity figure
You are the teacher
You are the coach
You are the problem solver
Etc.
#2 Coaching
The continuous development of salespeople through
feedback and role modeling.
1.
2.
3.
Take a we approach
Address only one or two problems at a time
Don’t focus on criticizing poor performance, reinforce good
performance
4. Foster involvement
5.
Recognize differences in salespeople and coach accordingly
6.
Coordinate coaching with more formal sales training
7.
Encourage continual growth and improvement
8.
Insist salespeople evaluate themselves
9.
Obtain agreement with respect to punishments and rewards
10. Keep good records
#3 Meetings
•Keep
presentations
succinct
•Set and
communicate
the agenda
Ask for input!!
Use visual aids and
breakout discussion
groups
Positive
reinforcement
Generate
excitement
with contests
and other
rewards
The Challenges of Leadership
a.
b.
c.
d.
e.
f.
Morals & Ethics
Poor Performance
Substance Abuse
Problem Salespeople:
Termination of Employment
Sexual Harassment
a. (Immoral Management)
How to shorten your career in Sales…
– Intentional and consistent management activity
conflicting with what is moral (ethical).
– Exploits opportunities for corporate gain. Cut corners
when it appears useful.
– Seeks profitability and organizational success at any
price.
– Selfish. Management cares only about its or the
company’s gain.
a. (Amoral Management)
How to shorten your career in Sales…
– Management activity that is neither consistently moral
or immoral . . . Decisions lie outside the sphere to
which moral judgments apply.
– Give managers free rein. Personal ethics may apply
but only if managers choose. Respond to legal
mandates if caught and required to do so.
– Seeks profitability. Other goals are not considered.
– Well-Intentioned but selfish in the sense that impact
on others is not considered.
Moral Management
Doin’ It Right!
– Management activity conforms to a standard of
ethical or moral behavior.
– Live by sound ethical standards. Assume leadership
position when ethical dilemmas arise. Enlightened
self-interest.
– Seeks profitability within the confines of legal
obedience and ethical standards
– Management wants to succeed but only within the
confines of sound ethical precepts.
Meeting Ethical and
Moral Responsibilities
a.
Sales managers should be aware of three
particularly relevant types of unethical acts:
1. Non role
2. Role Failure
3. Role Distortion.
Even if you won’t get caught…
you are responsible.
Type
Direct Effect
Non role
Against the firm
Role
Failure
Against the firm
Examples
• Expense account cheating
• Embezzlement
• Stealing supplies
• Superficial performance
appraisal
• Not confronting expense
account cheating
• Palming off a poor performer
with inflated praise
Even if you won’t get caught…
you are responsible.
Type
Direct Effect
Role
For the firm
Distortion
Examples
• Bribery
• Price fixing
• Manipulation of suppliers
POOR PERFORMANCE
Fixing is cheaper than hiring!
DOCUMENT, DOCUMENT
&
DOCUMENT SOME MORE!
IMMEDIATE & CONSTRUCTIVE ACTION
BE SPECIFIC!
Poor Performance
Format For Handling
STATE THE PROBLEM
SECURE SR AGREEMENT
LISTEN TO SR’s ASSESSMENT OF THE PROBLEM
CONSIDER RELEVANCE OF EXTENUATING
CIRCUMSTANCES
DEVELOP AN ACTION PLAN
 GET AGREEMENT TO THE PLAN
SUBSTANCE ABUSE
SOME JOB FUNCTIONS CAN ACTUALLY
FACILITATE THE GROWTH
OF ADDICTIVE BEHAVIOURS
(IF YOUR BIGGEST CLIENT IS AN ALCOHOLIC…)
DETECTION
ATYPICAL BEHAVIOURS
SPREEECH (SLURRED SPEECH)
MISSED APPOINTMENTS
ODOR
ABSENTEEISM
TEST NEW EMPLOYEES
HANDLING THE ABUSE
(SEE: DOCUMENT, DOCUMENT..)
ADDRESS IMPACT ON WORK BEHAVIOURS
NOT THE ABUSE ITSELF.
GET ADMISSION OF A PROBLEM
Treatment is situation ally specific.
Problem Salespeople?
Disorganized
Worried
Wanda
Aaron
A Disruptive Influence?
Grandstand
Jordan Perfectionist
Perfectionist
Fearful
Sim
Pam
Kev
Excited
Erik
EXPENSE ACCOUNTS
(SEE DOCUMENT, DOCUMENT..)
$
$
• WRITTEN EXPLICIT POLICIES REQUIRED
• ENSURE THERE ARE NO MISUNDERSTANDINGS
• TREATMENT IS SITUATIONALLY SPECIFIC.
$ $
$ $
UNETHICAL BEHAVIOUR
(SEE DOCUMENT, DOCUMENT..)
OVER SELLING
MISREPRESENTATION OF COMPANY
(& / or ITS POLICIES)
Termination of Employment
(SEE DOCUMENT, DOCUMENT..)
FOLLOW POLICIES EXACTLY
ADVISE & SEEK COUNSEL FROM YOUR BOSS & DHR
When the decision is made, remember…
This is not a discussion process but an
informational meeting
HARASSMENT
(SEE DOCUMENT, DOCUMENT..)
MANAGEMENT NOT IMMUNE
WHEN SPEAKING TO AN EMPLOYEE,
NEVER CLOSE YOUR OFFICE DOOR .
WRITTEN EXPLICIT POLICIES ARE REQUIRED
•BE VISIBLY PROACTIVE
•CONTROL THE ENVIRONMENT
ZERO TOLERANCE
HARASSMENT
AN EMPLOYEE ONLY HAS TO
“FEEL” HARASSED
TO MAKE AN ALLEGATION.
THE PERCEPTION IS GUILTY UNTIL PROVEN INNOCENT
THE FORGOTTEN RULE
AS MANAGER, YOU
CONTROL AND DETERMINE
THE EMPLOYEES’ WORK ENVIRONMENT.