Category: Sales Performance

Succession with Performers

Hunter Dean

Succession with Performers - Hunter Dean

There are almost certainly some people in your business who if you were to loose them you won’t cry about it. There are others who are the life blood of your business however, perhaps in Project or Executive roles and when they go, it can be a big problem!

In many businesses, succession planning for high performers and talent management is done through a process like making sure you have where possible, at least one off site a ¼ then having drinks with those people you’re a little worried about, to find out what the true story is around their ambitions

The problem with this kind of process and it may not look exactly like this, as it might be a six monthly thing, or you might get one of your team a person you know really well to find out things for you.

Consider four ways of ensuring you know exactly where people are up to on your team, so you don’t get nasty surprises.

  1. Setup agreements with your people so that you’ll let them know if you were ever going to make a move somewhere else with some decent notice and be specific. Ensure in this moment that they also commit to letting you know if they were getting itchy feet or wanted new opportunities, and make sure they commit to giving you the same notice period.
  2. When new people start after 4-12 weeks consider having an up front “Performance Management” style type meeting, this is not to tell them they need to pull their socks up, but more to set the scene for the future, and yes you might even address some tiny niggles early.
  3. Keep the dialogue open between all your team members and understand where your market is at. Are there many opportunities and head hunters calling daily in order to try and snap up your best people. Or is the market really quiet in your neck of the woods.
  4. Find out what your best people value most and make sure you are delivering them what they value. In Sales environments part of this might be about money, but ironically often it may be more about recognition, and often people miss this, until it’s too late.

Have a look at what Jack Welch from GE says about the treatment of people, and just have a think about whether

1) You Agree
2) If you do, is your business treating its people like this? If you don’t, do you have a process that’s really working?

If you are in a business where you often have your people leaving and whether they are good or bad start to look more carefully at what you are and are not doing to mentor your people. The true cost of most team member losses is hidden in many monthly financial reports, why is this?

Well in the past financial reporting has not been smart enough and even today is not able to track the “True cost” of losing a person. Below are some things to consider, the numbers are rough but start to have a think, if you are losing people its probably costing you far more than you imagined! Below the salary is only $70K and being conservative true costs might look like.

If we were to track the true cost to the business of people leaving you would need to consider things like:

Person Leaving Average Salary $140K = $12K per month

  • Recruitment Costs
    – Cost $16K
  • The time it took to get them to full competency (4 months)
    – Cost $48K
  • Time other people “Internal Trainers” spent to get them confident
    – Cost $30K
  • The time peers in the business spent with them (2 months)
    – Cost $24K
  • All the Managers time $200K Salary spent (2 weeks across a year)
    – Cost $10K
  • Loss of productivity from down time while you the role filled
    – Cost $20K
  • HR Team member costs
    – Cost $10K

Total Cost $168K

Now that’s only on the outgoing person who may have only stayed 12 month’s to two years, you will now need to incur all these same costs on retraining the new recruit and if you get it wrong again…

Author: Hunter Dean see https://www.linkedin.com/in/hunterdean/ for LinkedIn Profile

Based in Melbourne Australia www.hunterdean.com

 

Expert Knowledge Management – Author Hunter Dean 

Hunter Dean

Knowledge Management Hunter Dean

What is Expert Knowledge Management EKM 

As part of a personal aim to see the performance of any business team continue to increase in different business verticals. I’ve decided to contribute to the area of Expert Knowledge Management EKM.

What does that mean, well given my expertise is not in English, it means this blog will be exploring everything to do with you getting more out of your people. That includes areas where I have been working for the past 10+ years around talent identification & management, the value of internal collaboration on team performance in both sales & productivity/output based environments, performance management. It also includes areas like how to get value from the use of past cultural transformation, sales & L&D programs that may have worked in some but not all pockets of the business.

A clear distinction to make up front is that this does not mean the team have to work harder, probably teams do however need to start thinking differently and with more focus on collaboration, performance, strategy, innovation and what it is their best people internally are doing already.

Expert Knowledge Management EKM is a subject few organizations even understand let alone use.

A major part of this blog will be about exploring what the world’s best organizations are doing in this area to ensure that when the markets are falling faster than ever and the “World” is in trouble you have solutions in order to replicate what is best practice not from another country but in many cases within your own organisation.

We will also be looking at how interventions occur in the worlds largest organisations around Human Resources, Talent Identification, Performance Management, Human Performance, Change Management and other related areas.

If you have other questions on these topics that are not answered here, a good research resources can be found at www.hunterdean.com.

Or you can contact me at hunter@hunterdean.com

All comments are appreciated and welcomed!

 

Authoritarian or Collaborative?

Hunter Dean


So we have a Restructure how do we make it work?

Its 2009 and most major organisations in the Asia Pacific region are currently going through some form of restructure. So what’s best who should we listen to, why and when? Some organisations get it right, that is the performance of their teams usually reduced in size increases significantly. Organisational change, performance interventions and restructures need to be done well so you keep your best and let go of those who want to be elsewhere.

Others get it wrong, often those who think they know what’s needed either intuitively or after what they consider to be significant research, but who ignore the troops and what’s working best inside, often they go with the “latest and greatest” fad or style for the time.

Why does it really matter? Well this entry will argue that you better get it right if you’re to be remembered by your people and your board if you are the one making the decisions. So what different ways of doing things are there and how do you decide so that your “Troops” head in the same direction you intended and performance leaps by 25-40% not 5-10%!

1) School Room Style – We Make the Decisions – You Do What You’re Told – Authoritarian Approach

Use a style that’s become popular in some organisations of late, you decide on what’s best behind closed doors what will in your personal opinion and that of those around you work, so long as the teams get into gear and pull their “fingers” out.

Like when we were at school and were told look you are welcome to do it how you like, so long as you follow these guidelines. But the guidelines were pretty stringent, ironically killing much of the innovation and often the people who may have been genius’s complete their work then don’t offer to help anyone else because they may be worried if they do they may get it wrong when teaching then be in trouble themselves.

So what can happen is little or no change. People end up in an environment of fear uncertainty and protecting their own turfs. Results well you don’t have to be Einstein to understand that when people are scared they are not operating at their best. In fact results drop off and senior leaders use any excuse they can think of, to justify the lack of results.

2) The Collaborative Approach – Old Style Consult the Masses – Trust the People

Another approach taken is the trust the masses approach, where you run a little blind. You know that change is needed but are not 100% sure of the solution. You decide to listen to what your people tell you they think they need. Great in theory but often the blind spots in the team may stay blind. For example if some of your people are scared of approaching major new clients and starting new deals from scratch, they may be unlikely to promote this as the next big area of focus.

Major benefits though come from understanding where your teams feel like they are excelling and where they feel they are falling down. If you have a great relationship with your team and know all the numbers coming out of the system around productivity and or sales dollars, then you can link these across to key behaviours that become of great value to significant and fast business changes.

3) A Combination Process – Knowing Some of the Answers – Consulting on Others

This approach is one that is seldom well used and when it is often swings to far toward 1 or 2 above. Imagine as a leader actually pulling your head in for one minute and acknowledging you don’t have “All the answers” and understanding that your job is actually to find them out.

By mapping what you consider might work, then consulting the masses you can actually create an environment where people really buy into the process. The problem often is we have the answers first then rush in and implement before we have really consulted. Or we tell the people we have taken on their feedback, when we have not, or have listened to 10% of the feedback from the people but implemented only 5%.

The we change the business structure and 12 weeks later it’s a mess, the people are unhappy and no one is any better off. Everyone starts to blame each other and the only way to fix it is for those that made the decisions to get out there and put a rocket up the regional managers …

Ironically this fixes nothing, people end up leaving due to underperformance all caused by a lack of true consultation. So if you’re down that path or can feel yourself heading in that direction what can you do? Call in a major consulting firm like McKinsey, Bain and Co. or Accenture etc, well its one solution, and have them build a roadmap out of where you now find yourself. Guaranteeing you’ll have access to some global smarts in the process is a great way to rest easy until they’ve gone, but then its back to you.

Conclusion

How about thinking first, mapping a solution based on your best internal people, (do you have a talent identification & management process?) reading and speaking with other external people who are cutting edge in your industry. Contacting heads of similar businesses in different countries to build relationships with people who don’t compete in your market where you can share different ideas and research. Build these into your solution, get rid of senior team members who don’t consult or who are not good at building internal relationships with the people at lower levels who actually do the work.

Change your team so that you respect your people from the bottom up not just the top down, start getting granular, don’t accept excuses from senior team members like oh its not my job to know that process, it is there job to get results. Benchmark everything you do so any significant decisions results are plain and simple to understand. If someone rolled out a new process, performance program or new system that did not work what were the real costs and why, what can we learn from those? How many people have we lost due to poor leadership and why were those the leaders we choose in the first place? Then involve your best people in everything you do, ensure their input becomes “How do you run your business”. Stop trying to pretend you “Know all the answers” you don’t. Only through true consultation and understanding of everything your people are selling, processing and facing daily then leveraging this are you going to get that answers that will give you real results.

Good Luck – You Can Do This!

Performance Mngmt Why?

Hunter Dean

Performance Management – Why Get Good At It?

Over the past 10 yeas I’ve experienced many organisations where senior executives shy away from having the “Crucial Conversations”, the reasons are often similar.

“Look I don’t think you really need to “Fire” people, or its not really in our culture, we don’t feel its necessary to force people to change etc”

This entry is about why the better you are at Performance Management the better you’ll be at anything your business throws at you at all, in fact the better you’ll ironically be in your relationships outside the business also. At the end of the day if something in a business or any other relationship is not working if all parties concerned are not wanting to change or pretend they are when they’re not then stop wasting your time. When you consider implementing processes around talent identification and talent management seriously consider how good your best people are around the following areas.

Three Keys to Strong Performance Management

1) Consider a proper format

In some organisations development plans are a waste of breath and hence when someone falls down there is little if anything to benchmark it against other than their peers actual business metrics. This often though may not stack up though, as people often have excuses like, I deal with different clients, products or systems and hence its different for me.

In order for your personal performance development plans to actually be of use, keep them simple make sure you look at things like what are the top three key things to focus on?

  • Why are you falling down on them right now?
  • What knowledge resources or skills do you need to change this by Friday?
  • Are you prepared to make those changes?
  • Can you make them?

Either people can or cant do whats required in a Performance Management setting, lets be honest actually there is little in between. The problem most leaders have is a lack of courage to ask specific enough questions to ensure a proper answer and therefore result from the team member.

2) Ensure its self perpetuating

There is no point spending a whole lot of time working with a person then leaving them to work on themselves around an area only to find that later they go away and on Friday when you check they have done nothing. Performance Management work must be self perpetuating in the eyes of the person receiving the “Coaching” otherwise its nothing more than the kind of serious telling off your parents used to give you years ago at home.

In order to make Performance Management systems self perpetuating consider starting to get better at your own ability to communicate with people over tough things. Look at some managers who are naturally angry people, meet their children you’ll find anger. Then look at how they performance manage and you’ll see it was easy for them, they just had the meeting spoke very loudly and intensely, to the person until they gave in and agreed to everything asked of them. Then they went off and the employee went off to do his/her own thing.

“Problem is they then don’t, and nothing changes”

Many managers in fact believe that people “Cant” change which makes performance management a little tougher. Look at how good you are at your own tougher communication skills, how good are you at telling your best work mate they have screwed up so badly they have almost lost their job?

3) Understand the things that matter

In many cases managers are trying to council a staff member on something they themselves have no idea about.

For example selling 20% more of a product line in an area where the demographic is such that it cant be done. So they coach and coach then find unfortunately that it would have been much better to ask more questions up front, in which case they would have learned more about the problems being faced. The solution may actually be to sell a different product which can often then result in more revenue than that earned prior anyway.

Make sure you get skilled in the use of tough conversations don’t blame your team members, you are the one that needs to be able to coach them, if they are not performing then perhaps you are the one that needs to have a serious look in the mirror first, not them!