“A” players generate 5x more revenue than “B” players and 10x more than “C” players.

retain sales talentSales leaders recognize the value of conducting exit interviews with sales rep that resign. Unfortunately, most interviews are performed as standardized exit interviews, with generic questions that make it easy to administer. This is a huge mistake.  The exit interview, particularly of an ‘A’ player, should not be a check box exercise. It should be a robust, authentic opportunity for improvement. To go deeper evaluating your people strategy, download our 10th annual workbook, How to Make Your Number in 2017. Review the People Plan phase on pages 285 – 293 of the PDF workbook. 

 

Here is a typical Exit Interview Process:

 

  • Conducted by the one person (usually HR)
  • 6-8 standard questions where an opportunity for robust, critical feedback is not offered
  • Sometimes the Sales Manager has coached the rep to “say good things on your way out; let’s leave on a good note”
  • The sales rep doesn’t want to burn any bridges, so is hesitant to make any negative comments
  • Interview is put it in the file, final pay check is processed and the resigned employee leaves
  • Sales Manager gets a copy and looks for anything that may reflect personally. The manager breathes a sigh of relief when he sees comments like: Rep is leaving for a better opportunity, or Rep has outgrown the position but would highly recommend ABC company to their peers.
  • The Sales Manager tells their boss that Sally wasn’t a real culture fit and everybody nods. (last time I checked, people that perform in the top 10% unless they lie, cheat or steal, are always culture fits or perhaps your culture needs a shake-up)

     

If you don’t take it personally when an ‘A’ player resigns you are not an ‘A’ player. If you want to know the difference between a sales manager and a sales leader, this is one of them. The best sales forces are staffed with leaders that take it incredibly personally. Because it is.  People leave people. You, the leader, have failed. It happens. Now, you can recover and fail forward, but it depends how you react. Talent Management starts with sourcing and ends with departure. Be exhaustive.

 

Solution: Implement Loss Analysis Through the Exit Interview

 

If you lost a 1MM deal, there would be (or should be) a loss analysis. It is no different when you lose an ‘A’ player. The difference is you need to use multiple points of view. There are 4 key stakeholders that should conduct a Loss Analysis of an ‘A’ player:

 

  1. Peer- Have another ‘A’ player conduct an interview. They will be able to give feedback to you that is unique and truly spoken as a sales person. Secondly, the symbolism of having an existing sales person participate shows you truly care about why this person left. The peer review should focus on three things: 1. Job Design 2. Your Management style 3. When and why they decided to start looking
  2. VP of Sales- The sales leader needs to hear directly why this ‘A’ person is leaving. Ideally, it is in person. And the VP of Sales should get on a plane and fly to the rep, not the other way around. If you are a VP of Sales and you lose an ‘A’ player at any level, stop what you are doing and go find out. The VP Loss Analysis should be focused on three things: 1. Job Design 2. Sales Management 3. Company Concerns
  3. HR–They have a neutral viewpoint and can offer valuable feedback to all stakeholders. The HR review should focus on the same three things as the VP of Sales
  4. Sales Manager- The ‘A’ player’s boss should conduct a loss review. But they can only do so if they enter the discussion with enough maturity to ask questions and listen. Too many sales managers want to defend. To mitigate this, use a format that forces robust feedback from the ‘A’ player. The Sales Manager should focus on their Management style of the ‘A’ player.

     

Final step—Share the Results 

 

This sounds counter intuitive. Too many organizations think if we keep it quiet and say Sally left for a better opportunity, we can avoid any collateral damage in the sales force. Wrong. The sales force will respect you for coming out and saying, therefore Sally left and we want to share the results, including anything we may change.  If you don’t do this, the sales force will get their own answers.  Top performers will stay in touch with departing ‘A’ players and you will lose more. Sales managers need to focus on not only selecting ‘A’ players but learning how to react and fail forward when one leaves.

 

The Studio

If you would help reviewing your overall talent strategy, come see me in Dallas at The Studio. Joining me will be our talent subject matter Dan Perry who will lead us through exercises on how to retain ‘A’ players. Sessions at The Studio are experiential and are designed around the principles of interactive exercises, hands-on innovation, and peer-to-peer collaboration. The Studio is a safe-haven for learning. Leave with confidence and clarity that you have the right people plan to make your number.

 

The Studio Executive Briefing Center

ABOUT THE AUTHOR

Matt Sharrers

Studies and works with the top 1% of B2B sales and marketing leaders who generate above average revenue growth for their companies.

Matt is arguably one of the industry’s most connected, and physically fit, sales leaders. He “lives in the field.” As a result, he is the foremost expert in the art of separating fact from fiction as it relates to revenue growth best practices. Because of Matt’s unique access to the best sales talent, private equity investors tend to turn to him first when they need to hire remarkable leaders to unlock trapped growth inside of their portfolio companies. Matt’s recent engagements include work commissioned by private equity leaders Permira, TPG, Bain Capital and Hellman & Friedman.

 

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