A Sales Culture of Accountability

ChrisJarvis

A recent survey from the Complex Sale found that 93% of Sales Leaders thought that having a Sales Culture of Accountability was the number one cause for success!

Oftentimes, sales organizations use revenue attainment goals as the key metric for success. The revenue attainment objective is owned by one person and divided amongst that individual’s direct reports. This process continues throughout the sales organizations down to individual sales representatives – thus representing their quotas.

Revenue however is a lagging indicator of success. The best practices we see implemented by the world’s greatest sales forces attach leading key performance indicators as goals as well. The goals start at the top and cascade down to the field just as revenue attainment quotas.

Leading Key Performance Indicators are specific to individual sales organizations based upon their clients buying cycles and revenue generation targets. Most successful organizations start with how much revenue they need to attain from the base of accounts and create metrics around account penetration and retention. An example of leading indicators for account management would be net new opportunities, renewal rates, and percentage of growth; as applied to each account. We prescribe other goals for opportunity management around executive access or understood sources of urgency.  These companies track the progress of these KPI’s on a continuous basis such as monthly or quarterly. 

We see that the most successful companies use this process to hold sellers accountable for the correct activity and management accountable to the sellers. If an account manager is hitting their metrics and still not making their revenue target, then the manager is held accountable for coaching or resetting the goals. This practice leaves out any uncertainty in expectations throughout the sales organization.

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