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7 Mistakes That Cause High Turnover

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7 Mistakes That Cause High Turnover

  1. 1. Mistakes that Cause HIGH-TURNOVER 7 According to Gallup research conducted in 20061 , seven of the top predictors of turnover are: THE IMMEDIATE MANAGER 1 The most common cause of sales rep turnover is a sour relationship with the direct manager. The sales manager’s main role is the development of their sales teams for maximum performance and results. There is a direct correlation between a sales professional’s success and the competence, value and mentoring abilities of his/her sales manager. POOR FIT FOR THE JOB 2 6 7 If a salesperson isn't passionate about the product they are selling, this will lead to turnover. Top Managers Should: •  Set high yet achievable standards for their reps •  Help their sales reps develop their skills and improve their results •  Coach and mentor their teams to help them achieve superior results through implementing ongoing development plans 5 CONNECTION TO THE ORGANIZATION, OR TO SENIOR MANAGEMENT Employees like to feel a connection to the overall organization. They like to understand and feel part of the vision, mission, strategy and key priorities. POOR HIRING 3 LACK OF COMMITMENT TO QUALITY Salespeople will take issue with their company if they don't feel that it stands behind their products. Deficient Process: If the sales manager is under a lot of pressure to fill the vacancy quickly, rush decisions could be made. POOR ON-BOARDING The goal of an effective on-boarding program is to get the new salesperson up to full productivity as quickly as possible. Consideration should be made to get the new hire up to speed within six months, including a structured schedule for their first three months of employment. Sales managers need to be held accountable for the use of the on-boarding program and laying out very clear expectations of both activity and results within these first six months. About the CPSA The Canadian Professional Sales Association is Canada’s largest national sales organization. Established in 1874, the CPSA helps build knowledge and skills to improve sales performance through professional development programs, networking opportunities and exclusive member resources and benefits. Our 20,000+ members are found in almost every sector of the Canadian economy and cover a wide range of job functions, predominantly within commercial sales. 4 PAY AND BENEFITS Many employees leave their companies because of insufficient pay or benefits. Profile Issues: In hiring the right person, the sales manager should consider both expected accountabilities AND required competencies. A thorough review of this profile should be done by both salespeople and manager before it is put in place by the company. 6 MONTHS If sales success is approximately 50% talent, then performance conditions account for the remaining 50%. Poor hiring could be caused by a deficient process, mismatched profile of skills and experience, or both. © cpsa.com For more sales tools and resources, visit our Knowledge Centre and subscribe to receive our FREE Sales Connexion newsletter. cpsa.com/KnowledgeCentre cpsa.com | 1 888 267 CPSA (2772) © CPSA 2016 1. Gallup Poll research conducted 2006.