Training
Assessing Training Needs
•
Management objectives
–
products, customers, relationships
•
Sales force observation & survey
–
time, problems, needs, successes, concerns, etc..
–
focus groups analysis
•
Customer observation
•
Company records (10-1)
–
Trends & relationships: sales, new customers,
turnover, calls per day, etc..
Training
Assessing Training Needs
•
What other companies do (10-2 & 3)
Training
Evaluating Sales Training
Level One:
Reactions
Are trainees satisfied? This also
provides information so that the
parts they don’t like can be improved.
Training
Evaluating Sales Training
Level Three
Behavior
Are salespeople using their knowledge
and skills on the job? This may be
measured in a variety of ways: asking
salespeople, sales manager
observa-tion of salespeople, and quesobserva-tioning
customers.
Level Four:
Results
What effect does the training have on
the company? The bottom line
results of training can include
Training
In-Class Exercise 10-1
1.What special problems exist in this scenario?
2.What are some of the unstated problems that may
exist in this situation?
3. If you were the sales manager, what additional
directions would you give the marketing
manager in preparation for presenting the
training plan in the second scene?
Training
In-Class Exercise 10-1
5. What will salespeople want to know about the new
product?
6. What are the alternative approaches or pedagogy that
you could use in training?
Assess Setting Setting Training Objectives Budget Needs
Assess Setting Setting Training Objectives Budget Needs
What Where Training Trainers? Topics? to Train? Methods?
What Where Training Trainers? Topics? to Train? Methods?
Evaluating Training Evaluating Training
Training
How much to spend on training?
Averages for new salespeople
$$$$
Time
Consumer
$5,513
4.2 months Industrial
$8,913 4.1 months Service $8,014
4.1
months
Table 10-1 Cross-Tabulations from Company Records
Average Order
Size per New Customers Total Customers Salesperson per Salesperson per Salesperson
Experience
Less than 2 year 392 21 86 2-5 years 593 29 145 5-10 years 565 5 152 Over 10 years 470 8 139 Regions
Northeast 528 6 140 Southeast 520 8 161
Midwest 512 18 107
Southwest 421 26 111
Table 10-5 Sales Training Evaluation Practices
Criteria Importance Measure Type Rank
Trainee feedback Reaction 1 Supervisory Behavior 2 appraisal
Self-appraisal Behavior 3 Bottom-line Results 4 measures
Training
Evaluating Sales Training
Experimental Design
Notation:
O
1= Results
before
sales training
X
1= Sales training
O
2= Results
after
sales training
O
2-
O
1= Difference in results
Experimental Group O
1X
1O
2Control Group O
3O
4BUILDING A SALES TRAINING PROGRAM
1. Treat all employees as potential career employees.
2. Require regular re-training.
3. Spend time and money generously.
4. Salespeople and sales managers must take the lead in developing what goes into the program.
STEPS IN PERFORMING A TRAINING ANALYSIS
1. Interviewing key members or management to find out what changes are needed in performance of the sales force.
2. Sent an anonymous questionnaire to customers and prospects asking: • What do you expect of a salesperson in this industry?
• How do salespeople disappoint you?
• Which company in this industry does the best selling job? • In what ways are its salespersons better?
3. Sent a confidential questionnaire to each salesperson asking: • What information do most of our salespersons need? • What information do you want to learn better?
• What skills do most of our salespersons need to improve? • Other suggestions for ongoing training?
4. Did field audits (making sales calls) with 20% of the sales force? 5. Interviewed sales supervisors.
6. Analyzed the information gathered in Steps 1 through 5 to determine trainable topics and separate them. 7. Discussed and agreed on training priorities with management.*
Table 10-2 Average Cost and Training Period for Sales Trainees
$8,014
$8,913 $5,513
4.10 Months
4.10 Months
4.20 Months
Consumer
Industrial
Service
Consumer
Industrial
Table 10-3 Average Cost and Training Period for Veteran Salespeople $2,498 $4,887 $4,021 $3,337 $3,834 $0 $1,000 $2,000 $3,000 $4,000 $5,000
Under $5 $5-$25 $25-$100 $100-$250 Over $250 Million Million Million Million Million
Training
Allocating training time
Average
•
Product knowledge
35%
•
Market/Indus Information
15
•
Company Orientation
10
•
Selling Techniques
30
•
Other topics
10
\
INDUSTRY JARGON
“What does HCFA say?” “DRG’s are killing us.”
“Is this level II in the POL regs?”
“The LTC market’s future looks good.” “The HME industry is changing rapidly.”
How about: Reflotrons
Spirometry Holters
INDUSTRY JARGON
“What does HCFA say?” “DRG’s are killing us.”
“Is this level II in the POL regs?”
“The LTC market’s future looks good.” “The HME industry is changing rapidly.”
How about: Reflotrons
Spirometry Holters
OJT SALES TRAINING
Eighty percent of a new field salesperson’s training should be focused on developing customer profiles, digging out account survey data, and building working relationships in the field. Fifteen percent of his time can then be invested in learning about how your product or service is used by existing customers. The field is the place to gain product knowledge, not from an engineer or home office instructor.
Only 5% of a new field salesperson’s time, then, should be spent on developing selling skills. Again, the place to do this is face-to-face with real customers: setting and testing real precall objectives and asking for real
opportunities to do business. Understanding what has to be done to build selling skills can be mastered in 15 minutes. Doing it takes years of actual, not simulated practice.
Jack Falvey Contributing Editor
Sales and marketing Management
Table 10-2 Average Cost and Training Period for Sales Trainees
$8,014
$8,913 $5,513
4.10 Months
4.10 Months
4.20 Months
Consumer
Industrial
Service
Consumer
Industrial
Table 10-3 Average Cost and Training Period for Veteran Salespeople $2,498 $4,887 $4,021 $3,337 $3,834 $0 $1,000 $2,000 $3,000 $4,000 $5,000
Under $5 $5-$25 $25-$100 $100-$250 Over $250 Million Million Million Million Million
Training
Why train salespeople?
•
Reduce turnover - high among new staff
•
Improve customer relations
•
Better morale & confidence
•
Control - consistence message
Determining Training Needs*
Judgement of:
Top Management Sales Management Training Department
Interview With: Salespeople Customers
68% 73% 60%
59% 25%
*Percent of firms indicating they often use these assessments to determine training needs.
Determining Training Needs
Continued*
Performance Measures: Sales Volume
Customer Service
Other Measures: Observation of Salespeople Attitude Surveys
56% 51%
38% 28%
*Percent of firms indicating they often use these assessments to determine training needs.
Evaluating Training Effectiveness*
Reactions: Trainees Supervisors Learning: PerformancePre-vs. Post Training Behaviors: Supervisor’s Appraisal Customer Appraisal Results: Bottom Line 86% 68% 63% 31% 64% 41% 40%
*Percent of firms indicating they often use these evaluations to measure training results.
