Topgrading

ROBIN MEE, Mee Derby & Company

Topgrading is a book and a concept pioneered by Bradford Smart, Ph.D. The book is about how leading companies win by hiring, coaching and keeping the best people. Topgrading the sales organization is an initiative that many companies are making a priority. IT Consulting is a sales driven industry but many sales teams are more reactive and account management oriented than proactive and focused on new business development. The market has changed and so has the profile of the successful sales executive in IT Consulting.

IT Staffing and Consulting firms are facing obstacles that were unimaginable two years ago. As a result, to find and close business today takes increased focus, drive, credibility, desire, perseverance, intelligence, time, and luck. There are elusive pockets of opportunity. It takes a tenured and experienced sales executive to compete today. Many top managers’ are taking sales positions - at similar or reduced salaries than they had previously earned. The priority is driving new business development while continuing to service existing valued customers. Companies today are looking for white knights to ride in and save the day. Not that less experienced people can't sell in this marketplace. Skills and attributes make a successful sales person, not time spent in the industry. Quantifiable results substantiate quotas met and exceeded. What matters is what the salesperson sold in the last two quarters, not their 2000 results in the height of the market. Most IT staffing companies are hiring people with a proven track record of driving sales in IT services and not even interviewing candidates who don't match their requirements perfectly. Everyone wants to know "How can you impact our bottom line and in what timeframe?"

Many companies are downsizing. Jobs that are non-revenue producing are being eliminated as companies reduce costs to stay competitive. Some infrastructure reduction is necessary and will better serve the company in the long run. Today it is back to basics - basics being sales. Some staffing companies, many outside of IT, are restructuring their internal operations to evolve the recruiter role to include business development. This is a change from the former organizational structure where sales focused on client development and recruitment focused on candidate acquisition. Other market conditions, not just the economy, are contributing to the changing competitive landscape. Job boards have made it easier for customers to identify talent. Higher unemployment rates have increased the number of viable applicants. The rise of the independent contractor market has it's impact. Sophisticated applicant tracking systems make it easier for client companies to stay in touch with candidates.

The staffing industry stays close to the market and is effected dramatically by market fluctuations. We have done a good job of selling the idea to our customers that employing contract employees increases their flexibility to effectively manage critical workflow. According to the American Staffing Association, 81% of companies cite labor force flexibility as the overriding reason for employing contingent and temporary workers. Selling flexibility has its impact on the staffing industry: when demand is down - so is our business. Our industry is one of the leading indicators of recession and one of the first to see signs of recovery. The market will always fluctuate. All this emphasizes the importance of employing a world class sales organization.

The staffing industry has to stay nimble, flexible, and attuned to the market to react quickly to changing conditions. Everyone in our organizations, at all levels, has to sell. It is time to evaluate your sales team and make strategic changes. There is more talent available and at more reasonable prices. Now is the time to topgrade your staff, transitioning C players, coaching the B's, and hiring only A's. Great sales people go to work for great companies.

Here are some questions your company needs to consider when assessing your sales organization:

Have you created an excellent company that will attract top talent? Have you recently evaluated your sales organization? Do you have the right sales structure in place? Do you have both a strategic and tactical plan? Is your team able to implement against stated goals and objectives? Do you have well written job descriptions? A strategic recruiting plan to attract top sales talent? A thorough interview process? Testing procedures or psychological evaluations? Great sales training? A clearly defined vision and mission statement? Aggressive compensation programs tied to performance? The ability for staff to learn and grow into other roles in the company? A management philosophy that motivates top performers based on what individually motivates them, not what you assume motivates them?

It is a challenging market. The landscape has changed. "Change management" is what we sell. Change produces exciting opportunities. We have to be flexible, nimble and open to creating new organizations that better fit today's world. Topgrading the sales organization helps companies achieve critical changes necessary to stay competitive today.

Reprinted by permission from NACCB
National Association of Computer Consultant Businesses
Fall 2002

 

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