Senior Vice President of Sales demonstrates how to determine the types of reps you need and the best organizational chart for you.

Joining us for today’s show is Chris Stoddard, a Vice President of Sales who knows a thing or two about generating revenue growth. Our topic today is Organization Design. What types of reps you need and the best organizational chart for you. It’s difficult to grow revenue faster than your industry’s growth rate and faster than your competitors. Leverage the How to Make Your Number in 2018 Workbook to access a revenue growth methodology to hit your number quarter after quarter, and year after year. I personally found this interview with Chris to be an incredible demonstration on thinking through feet on the street.  It’s an innovative approach to deploying capacity and really thought provoking in terms of what an AE is capable of performing in a team-based model.

 

Chris Stoddard is the Vice President of Sales for Pulse Secure. Pulse Secure is in the secure access business of helping people, devices, things, and services connect to corporate networks through laptops and mobile devices and just about everything else. Watch as Chris demonstrates how to determine the right number of feet on the street by walking us through an emerging sales organization model called the pod model. 

 

Business is booming at Pulse Secure under an innovative model of organization design. Sales leaders should keep an eye on this approach for a glimpse into the future as well as ideas on how to improve your current structure.  This new approach to organization design allows the structure to remain flat and empowers high performing Account Executives to be player-coaches and achieve tremendous teamwork.

 

We begin the show with an overview of the traditional seven types of B2B sales organization models.  This provides a foundation for you the audience to think through the options and evaluate your own structure. Watch as Chris describes how he started with the Stratification Model of organization design. By stratifying the accounts into large, medium, and small, the sales force is assigned by the size of the account regardless of geographic boundaries. 

 

Watch as Chris describes how he adapted his stratification model into what he refers to as a Pod concept.  He wanted as little distance as possible between the most junior seller and senior leadership.  He created a selling pod, or selling unit with five core elements. There’s an Account Executive or a senior salesperson. There is a territory Account Manager that farms existing accounts. Also included is an Inside Sales Rep and a partner Account Manager dedicated to servicing our channel and evaluating resellers. The final element of the pod is a Systems Engineer.  Typically, a pod is five core people and that can scale up or down based on the market opportunity.

 

The pod concept places a high level of accountability into that senior seller of each pod.  That senior seller operates as a player/coach to the members of their pod.  We look for someone who has historically been able to carry their own weight inside a sales model as well as act like a mentor and be part of the hiring process.  Chris avoids the middle layer of our management hierarchy and the senior seller is a first line of information back to leadership. Watch as Chris details the approach.

 

Chris and Greg engage in a debate about the lack of specialization in this organization model. While this model has been perfect for Pulse Secure, sales leaders need to consider the model carefully before jumping feet first.

 

Why this matters? Too few reps and you’re going to miss the revenue number, too many reps and you’re destroy profits. Hire field reps when you need inside reps and frustrate customers. Organize in a hunter/farmer model when you need industry verticals or product specialists and the revenue goal will be harder to hit than it needs to be and so it goes and so it goes.

 

Consider this new approach in a pod concept where you have a highly empowered account executive who acts as a senior leader in managing a team of territory account managers, inside sales reps, partner managers and system engineering and keeping the organization flat.  Does this make sense for you, or could you borrow ideas from this model to enhance your existing model. Listen as Chris goes into depth on how to create enterprise value and how to determine the quantity for your sales force.

 

If you would like to spend some time with me diving into the best sales structure to drive your revenue, come see me in Dallas at The Studio, SBI’s multimillion dollar, one-of-a-kind, state-of-the-art executive briefing center. A visit to The Studio increases the probability of making your number because the sessions are built on the proven strength and stability of SBI, the industry leader in B2B sales and marketing.

 

The Studio

 

 

ABOUT THE AUTHOR

Greg Alexander

Leads the firm's focus on the CEO’s role in accelerating revenue growth by getting the product team, the marketing department, and the sales organization into strategic alignment.

Greg is the host of The SBI Podcast, the most listened to sales and marketing podcast on the internet.

 

He is the host of SBI TV, a monthly television program broadcast on the internet featuring top B2B sales and marketing leader sharing their strategies to grow revenues.

 

Greg is the Editor-in-Chief of The SBI Magazine, the leading B2B publication focused on sales and marketing effectiveness.

 

He is the author of two critically acclaimed books Topgrading for Sales and Making the Number.

 

Greg has authored over 100 articles on SBI’s award winning blog, The SBI Blog.

 

He graduated from The University of Massachusetts Amherst with a BA in English and received his MBA from Georgia Tech.

 

Video:

 

Transforming the Sales Organization inside Fortune 500 Companies

Greg Alexander and John Gleason, Chief Sales Officer of Ryder, talk about the unique challenges of transforming a sales team inside of very large enterprises.

 

A Better Way to Structure Your Sales Force

Greg Alexander and Tony Capucille, Chief Sales Officer at Heartland Payment Systems, discuss the pros and cons of the 7 B2B sales organizational models.

 

Build a team of A Players Inside the Sales Organization

Greg Alexander and Todd Cione, Chief Revenue Officer at Rackspace, talk about hiring, onboarding, and developing exceptional sales talent.

 

Articles

 

Fill Every Role on Your Team with an A Player

In this article, Greg Alexander makes the case for applying the TopGrading methodology to the sales team, and outlines how to do so.

 

What CEOs Need to Know About Their Marketing Strategies

In this article, Greg Alexander and Rashid Skaf, CEO of AMX, discuss the role the CEO plays in crafting a company’s marketing strategy.

 

What CEOs are Looking for in a Sales Leader

In this article, Greg Alexander and George Norton, leader of Heidrick & Struggles Chief Sales Officer practice, discuss what CEOs need in the chief sales officer role.

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