But what are we as leaders to do if we don’t “do change well.” In other words, some of our personalities are just plain resistant to change. So then what?

Alter Your Perspective

The answer is to go deeper beyond the change part and look at your role as a leader. Hopefully, you’ve concluded that your role is to serve your constituents—your team—your employees–by providing them vision, strategy, coaching, cheerleading, inspiration…whatever it takes to get the ‘leadership job’ done.

So who cares if you don’t “do change” well? You shouldn’t. They don’t. No one does.

You serve well.

And if you can make that the center point of your attention–”how do I continue to serve my constituents in the midst of change,” you won’t be so spooked out by change.

So, when you are overwhelmed by the change that you feel is hoist upon you–ask the “Serve” question.

I recently spoke with a prospect (CEO) on the phone who was complaining about the lack of engagement with his Senior VP’s/Sales Managers. He said he had seven of them, but only one was really performing sufficiently.

That means 85% of his management team are losing. I asked him what he had done about it, and aside from “calling them on the carpet” or “writing them up,” he had done nothing. He said that even though they weren’t performing, he didn’t want to lose them to a competitor.

When will we learn to begin expecting bigger things from people?

Since when do we assume that people intend to behave improperly and get mediocre results? Do we really think that’s their hidden purpose, is to be average? Of course we don’t.

The problem is that people just don’t know how to be superior—how to excel—how to be successful—how to take their game up five levels.

The game is changing, and the skills have to change, too. When my CEO/prospect friend said that he didn’t want to let them go, I challenged him (and probably caused him never to call me back again) to determine what skills his people needed—to bring in experts to teach them those skills.

Here are the five skills I think business development/VPs need to have:

1. Marketing and Lead Generation – Why should these people not be experts at this? Do they listen to teleseminars on the topic; do they go to conferences on the topic; do they read books on the topic; do they watch videos on the topic? When’s the last time you saw a marketing book circulating around the office, with ideas in it marked up, scratched up, dog-eared, highlighted? Ever?

2. Writing – Since when are cohesive thoughts on paper not important? Do your VPs of sales know how to write a compelling sales letter; do they know how to write copy for the web; do they know how to write the intro to an audio piece that might generate thousands of leads for your company?

Or are they content to outsource that to some ad agency who has no soul for the product and doesn’t care about your product and sales, anyway?

3. Strategic Alliances – The VP’s in your organization should understand strategic alliances. Do they take courses in it; do they ask best practices of other people in your company or other firms in your industry; do they have a plan for strategic alliances, or do they do what most companies do—let it come to them?

4. Pain Finding Skills – Are your VPs really good at selling? Do they really understand a problem orientation to professional sales? Or are they merely chasing a number for quota and putting pressure on the salespeople to “get the job done; time’s running out”?

You (or your VP of sales) had better be your best salesperson, or he probably can’t coach his people to do the same.

5. Inspirational Leaders – Do your people go to school to learn to be inspirational leaders; do they read books on the topic; do they study great inspirational leaders like Churchill, Roosevelt and some of the amazing generals in the civil war?

Is there a continuous conversation on how to be more inspirational to your team? If not, why not? Do we detest that conversation because it reveals flaws in the ointment, or do we just not think it’s that important?

Do we think that “we hire seasoned veterans; it’s up to them to be inspired and get out of bed in the morning”? Good luck with that attitude.

If your people aren’t engaged (or are failing), it’s your problem.

I also submit that if you think coaching is for weaklings and losers, then you’re about ready to get your lunch eaten by organizations that see their human capital as THE differential advantage in their market.

Don’t settle for little when the world is abundant and aiming big is a necessity for you.

Derailer #1: Excitable

John was a VP of Sales for a large manufacturing company in Chicago. He had been with the firm for fifteen years, as it had grown modestly. One thing the CEO noticed over time was John’s inability to keep good people around him.

He would hire a salesperson—a top producer—who would be there for a couple of years and then move on.

John had been asked about this problem but always blamed it on: “These people today just don’t have any loyalty.”

But the CEO knew something different. HR had done an exit interview with the last person that left, and it was quite revealing. The salesperson had revealed John’s true nature. He flew off the handle during sales meetings, he would get angry at prospects right in front of his salespeople and he seemed very hard to please regardless of what order was brought in.

It seemed that John would always emotionally erupt at the very wrong time.

Now that the CEO knew this, he had to take action. He couldn’t afford to have a VP of sales in a position that impacted the company’s growth that was derailed in leading his people. And the CEO knew how much it cost to lose a top talent.

So, do you know a John? Is he in your company? And have you convinced yourself there’s nothing you can do about him?

The Background

People who are excitable will erupt in an emotional display that puzzles those around them. They’ll be perfectly calm one minute and screaming at their counterparts the next. When you look at what causes it, you don’t always see it, because it’s very seldom something that happens externally.

It’s always internal. As we say in our coaching, there are five things that cause people to be derailed: stress, familiarity, tiredness, boredom and flexibility.

In certain circumstances it can be one or more of these causes to be a derailer. Regardless, a derailed leader destroys morale and shuts down people’s creative spirit.

The Real Cost

Those of you who think: “This is just a person with a temper problem,” you’re wrong. This person costs your organization hundreds of thousands, if not millions, of dollars each year they’re allowed to destroy the spirit of their team.

In John’s case, the CEO estimated that the five people John had lost over a five year time span had cost the company $750,000 in profits ($150,000 x 5). This company operated at a five percent net margin, so that was essentially like losing a fifteen million dollar account.

That didn’t include the account value these salespeople took with them when they left. This derailer is extremely expensive, and as you look around your company, watch for these people because they will have a big impact on your firm.

He was doing great work–had actually created two joint ventures with outside companies that will create thousands of dollars for this non profit–AND–give them confidence to pursue other JV’s with other companies.

Then last week, he was called into the Director’s office and told he would probably be laid off in six weeks. And that they were disappointed because this was “supposed to be a self-sustaining position.”

Self sustaining position?

That’s the first time he had ever heard that language. (I don’t work in non-profits, but I had never heard that term either). It’s ‘absurd’ because if the company REALLY wanted him to create a self-funding position, then why wasn’t he told that upfront?

Why wasn’t this called what it was “Pay for peformance” or “commission” or why weren’t “revenue expectations” discussed?

Or was this just an excuse to cut someone?

If you want someone to do their best, why hide the goal from them? It’s part of the old leadership style of mushroom motivation. Mushroom motivation is that leadership mentality that says, “Let’s keep our employees in the dark. That’s when they grow the best.”

Leadership Tip
Don’t keep your people in the dark. (Don’t assume that they really know what’s going on with your firm/department).  Tell them exactly where they, personally, are at all times. Give them expectations and discuss them. Tell them where the company is. Tell them where the company is going. Tell them how the company intends to navigate this economy.

Don’t think they’re not thinking about it. They are. You just might not know it.

[Editors Note: I'm guilty of this next topic. So, before it starts to sound like a sermon, I want you to know that I struggle with this very issue.]Last week, a neighbor came over and was lamenting that his daughter was having trouble getting in to the college of her choice. He said, “All her friends got in, but her letter hasn’t come yet.” Next, I asked him the question that showed me the real problem. “What does she want to study?”
“Well,” he said, “she really doesn’t know yet. She just wants to go to XX University.” What? Doesn’t know yet? No inclination of what juices her?

So she’s upset that she can’t spend $160,000 of your money going somewhere where all her friends are going.

Makes no sense. Yet it happens everyday. In fact it happens in another phase of adolescence – when there is temptation to take the wrong path (drugs/alcohol/deviant behavior).

I’m going to give it a name – and an explanation why it happens to all of us – adults, too. There is NO BRIGHT LIGHT.

The concept of NO BRIGHT LIGHT means there is no long term vision for what one wants their life to look like/feel like. When you have no long range goal – or vision – you get quite distracted by life’s choices. And when you make a wrong choice, it can screw you up (especially in the case of a young person in a tempting world).

A BRIGHT LIGHT is a vision for the future – a way you’d like your life to be – a place you’d like to live – a cause/profession that brings meaning to your days.

In business (sales), a BRIGHT LIGHT is what you’d like your customer base to look like. What you’d like your income to look like. What you’d like to accomplish in your business.

Brian Tracy talks about this when he says 80% of companies he sees have no long range vision. How can you get the troops behind a goal if it’s not clearly defined? You can’t. And when you’re tempted to sell to someone that doesn’t quite match what you expect your client vision to look like, then ask yourself why you’re doing it.

I was watching the Navy-Notre Dame football game last week and heard an unbelievable story about the Navy running back, Zerbin Singleton. His story brought tears to my eyes – tears of grace and hopefulness.

The short version is that his mom was incarcerated for drug abuse and other things when he was young. After making the rounds of being raised by Aunts, Uncles and Grandparents, his father came back into his life.

But shortly thereafter, his dad committed suicide. He was in high school at the time.

Pretty severe hand he was dealt, huh? So how does a young man turn that turbulence and heartache into success? Well, he did. He graduated Magna Cum Laude in his high school class. After being turned down at Navy, he attended college in GA – but he never lost his dream of playing football at the Naval Academy.

Somewhere along the way, I’m sure he had counsel who said, “Hey, consider yourself lucky. Think of where you are – versus where you could be. Think of the odds you’ve beaten to even be in college.”

But that wasn’t enough for him.

After his freshman year, he went back at Navy again. This time he got in. And now he’s majoring in Aerospace Engineering at the Academy – and playing college football.

So the next time you complain a little because things didn’t go your way – or you begin to feel sorry for yourself at the hand you were dealt, think about PVT Singleton. I know I will. He had no options. He HAD to make it happen. He didn’t have parents to nurture him – to coddle him – or to bail him out.

He is the poster boy for PERSONAL ACCOUNTABILITY. Like Nietsche says, “That which doesn’t kill us, makes us stronger.”

Our friends at Walker Information just released their 2007 Walker Loyalty report. Surprisingly, employee loyalty leveled off in the last year to 34% of employees being TRULY LOYAL.

Every sales company on the planet should read this report in it’s entirety. Why?

According to the Walker Report, there’s a 1 in 2 chance (59%) you’re calling on someone right now who isn’t particularly ecstatic about their job. (Walker calls that TRAPPED or NEGATIVE about their job). So how much of a champion do you think they’re going to be for your cause if their heart isn’t in theirs? Not much.

Most of the study has to do with what employers should do in light of this data.

But, you should read this report with an eye toward your prospect and how you call on them. We’ve been preaching (sometimes it feels that way) for decades on how you should talk to ALL STAKEHOLDERS of the problems you’re trying to solve — not just the decision maker.

By doing so, you eliminate the risk of putting all your eggs in one basket (one person).

According to the data, If you look at your sales pipeline right now (sales funnel) you can safely conclude that half of your contacts are in that area of Not Truly Loyal employees. Sales Managers – talk about that at your next sales meeting. See if there are some sales strategies you can execute to address that issue.  Ignore this one at your own peril.

[This subject is covered in depth on our podcast at http://billcaskey.podshowcreator.com/podcasts.aspx?feedid=106 It's about 15 minutes but it applies to you who compete against ANY low price competitor - not just offshore.]

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My friends tell me I take selling way too seriously. And that I break every problem down to a sales or communication issue. Well Bill, in Reagan’s words, “There you go again…”

I used to call on WalMart and other major retailers in a previous job, so I know how powerful their order-writing pens are. When they say to their suppliers, “JUMP” the response is usually, “YES SIR, HOW HIGH WOULD YOU LIKE ME TO JUMP?”

I can see it now…
…I can imagine a US toy company going in to sell WalMart their Christmas 2006 line of toys. After the presentation, the buyer says, “John, I like your offer. But I can get these from China for 30% less. You have to drop your price.” To which John concludes that it’s all about price (it never is, even at WalMart) and gets pulled down into the commodity conversation. He eventually can’t sell his products at a premium – so he loses the business.

But as we see now, all toys are not created equally. They are not a commodity.

The problem occurred when the US toy guy couldn’t differentiate between his toys and the cheaper, lead-painted Chinese toys. My question is: Was it a selling problem?

You see, the consumer (even WalMart) does NOT just look at price. The sales organizations who don’t know how to sell any other way (except for low price) will NEVER admit that. Consequently, the admonition of “everyone buys on price” is a convenient way to prevent them from having to work on their message – or themselves. It’s a lot less effort to ‘sell cheap.’

Cheap Labor – Same Issue
I admit that cheap labor is quite enticing to businesses and customers. If I’m in the market for landscaping and I get three bids, chances are the one that uses the lowest-cost labor will probably be low bid. But is that what I’m buying? Just price?

Hell, if the American consumer bought on price and price alone, they wouldn’t buy anything. Because doing nothing is ALWAYS CHEAPER than doing anything.

When will American companies understand that they offer value – that their value is tied up in things broader than price – that how they sell/market/communicate to the customer is as important – if not more so – than their price?

I’ll tell you exactly when – when they get out of their own way and start focusing on the customers – and how they can bring value to the customers – instead of how can we sell a bunch of toys? (In the world of retail there are many more important things than price – like retail profit margins, marketing campaigns for the item, store sell-through, in-store displays, etc.)

If you’re in a head-to-head combat with a low priced provider – and you get chewed up often on price – then look much deeper into your value. Get a third party assessment of the value of your solution.

Here’s What To Do
Spend time away from the office with your people – and some customers. Record every word of what they say. Have it transcribed. Study it more. And soon, you will come up with the 3-5 things that separate you from everyone else. And it won’t be price. Ask them this question: “What do you believe you give up when you decide not to do business with us?”

If they say, “Nothing” then start worrying because you are nothing but a commodity. 

Because if you don’t believe your value is worth 10% – 20% – 30% – 100% more than your competition (and you should) then you won’t be able to sell that value to the customer.

And they’ll buy offshore. And babies might be poisoned.

You’ve heard this in sales training class for decades. But I’ve decided to re-write the rule. Here’s the deal: There is NO SUCH THING AS “A” DECISION MAKER anymore.

Gone are the days of “my way” or “the highway” management and people making decisions at their desk or over a two martini lunch. Without question, virtually every decision made by a purchaser includes input from more than one person. Granted one person may have veto power over the decision, but rest assured that that person is collecting input, opinion and data from others.

Here’s how I’d suggest you change your process given this new vane of thought:

1 -Talk to EVERYONE who will be impacted by the purchase. If you sell dump trucks, don’t just talk to the owner of the construction company, talk to the driver’s who will be using your equipment, talk to the dispatchers, talk to the maintenance people, and talk to the CFO. All of these people will be both involved in the decision to buy your dump trucks AND in the longevity of your relationship.

2 -Stop worrying about hurting people’s feelings. I hear this in our sales training classes a lot. “I don’t want to offend my buyer by going over their head.” That’s like saying, “I don’t want to tell that guy with cancer that I have a cure, because I only deal with his spouse.” INSANE. You’re there to HELP-not to keep everyone’s feelings from being hurt.

3 -Make it part of your process from Day 1: Be sure to tell new prospects the first time you meet them, that you’ll be talking to several people in their organization as you attempt to offer them a viable solution. You won’t get nearly as much resistance if you tell them upfront you’re going to talk to their boss than if you wait until it’s too late.

The death of “the decision maker” is upon us.