Discover how to fill your organization with top sales talent in less time. Learn how to get the best sales managers to join your company and get them productive in half the time.

1. January 12 , 2012

2. Logistics for today’s call….
 All attendee’s will be on “silent” mode during the
presentation.
 Please utilize the “Questions” feature to ask questions;
simply type in your question and press enter.
 At the conclusion of the presentation, the moderator
will facilitate the “Question & Answer” session
utilizing the “Questions” feature.

3. Sales Benchmark Index will….
 Send a copy of presentation to you
 Additional questions can be sent directly to:
Scott.Gruher@salesbenchmarkindex.com
Join us for our next Webinar….
 How to On Board New Sales Talent in 5 Easy Steps
 Thursday, February 9th, 2012
 1:00 p.m. Central
 30 minutes
 Register at:
 SalesBenchmarkIndex.com/webinar-onboarding-new-sales-talent/

4.  Today’s Guest…..
Scott Gruher
 Managing Consultant at SBI
 Prior to SBI, Scott held Sales
Leadership and Global Accounts
positions at Cintas Corporation
 Scott has filled Executives level
positions for multiple Fortune 500
corporations
 Industries Include:
 Business Services
 Software
 Healthcare
 Publishing
 Automotive

5. Executive Search Statistics
 The average cost of mis-hire for an executive sales
leader is over $1 Million
 Average time to fill an executive sales position is
greater than 4 months
 Sales Vice Presidents last an average of 19 months in
their role

6. Why is Sale Executive Search a Problem?
• Not enough time to identify, recruit, and assess
candidates
• No methodology to assess candidates accurately leads
to internal disputes
• More stakeholders involved in decision making
• Lack of Competency definition and assessment
• No sales-domain specific search resources
• Lack of hiring profile clarity leads to misguided efforts

7. Sales Executive Search
What is a Sales Executive Search?
 A detailed project with multiple phases.
What does a Sales Executive Search do?
 It identifies, recruits, and assesses key individuals to fill
sales leadership positions.
What does it mean to use a Sales Executive Search?
 A company can have a sales leadership team composed of
top talent.

8. Search Engagement Methodology
Benchmark Role
Calculate Assess Understand Create ‘A’ Develop Build Target Identify Key
Review Reporting Sales Player Position Company Candidate
Cost of Mis-
Comp Plan Structure Strategy Scorecard Description Plan List
Hires
Sales Sales Sales HR Sales Sales HR
HR
HR HR HR HR
Set Performance Conditions Talent Selection
Create
Develop Transfer Deliver Conduct
Custom Conduct Obtain Short Close
Decision Process FastStart Reference
Selection Search List Candidate
Framework Knowledge Framework Interviews
Process
Sales Sales Sales Sales Sales Sales Sales Sales
HR HR HR HR HR

9. Cost of Mis-Hire Calulation
Name Name Name
1. Total costs in hiring the person
● Recruitment/search fess (any guarantee? If so, was money recovered?)
● Outside testing, interviewing, record checking, physical exam
Cost of Mishires ● HR department time and administrative costs (for all candidates)
● Travel costs (for all candidates, spouses, other executives traveling to meet candidate)
● Time/expenses of non HR people (all candidates)
● Relocation (moving household goods, purchasing house for candidate)
2. Compensation: (sum for all years person was in job)
● Base ($__________ x number of years)
● Bonuses ("signing," performance, etc.) for all years
● Stock options (realized for all years), benefits (insurance, 401K, etc.), car, clubs
● Other forms of compensation
3. Maintaining person in job: (sum for all years person was in job)
● Administrative assistant for all years
● Office "rental" (incl. electricity, etc.) for all years
● Furniture, computer, equipment, travel for all years
● Training
4. Total severance:
● Severance fee (salary, benefits, use of office), lawyer fees
● Outplacement counseling fee
● Costs in lawsuits caused by the person (EEOC, harassment, EPA, OSHA, etc.)
● Administrative costs is separation, wasted time of people in separation
● "Bad press" (loss of corporate good will, reputation)
5. Mistakes/Failures (missed and wasted business opportunities)
● embezzled $1M
● drove a key customer away
● impaired customer loyalty
● mis-hired three people at total cost of $2.3M (applies to a manager)
The average cost of ● wasted $700K on software that had to be scrapped (applies to a manager)
mishire is approximately 6. Disruption (Costs of inefficiency in the organization)
● lower morale, lower productivity
6 X the base salary for ● impaired teamwork
the role 8. SUM OF ALL COSTS (#1 through #7)
9. Estimated Value of their Revenue Contribution
10. NET COST OF MIS-HIRE (#8 - #9)
11. AVERAGE COST OF MIS-HIRE

10. Example Scorecard

11. Example: Custom Selection Process Flow
Step #1 • Candidate Completes Career History Form SBI
Step #2 • Hold Phone Screen SBI
Step #3 • Conduct Topgrading Interviews SBI
Step #4 • Submit Top 3 Candidates to Client SBI
Step #5 • Client Interview Client
Step #6 • Round Robin Interviews & Whiteboard Client
Step #7 • Reference Checks (x3) Client
Step #8 • Round Table Review Client/SBI
Step #9 • Formal Offer Client
Step #10 • Onboarding Client/SBI

12. Competencies

13. Competency Interview Scoring Methodology

14. Scoring Model
Rating Benchmar
Area Individual Competency Definition Gap
(1 - 6) k (1 - 6)
Handling different sales scenarios; setting agenda; following complex sales process guidance;
1. Sales Approach 4.2 (4.2)
presenting company value propositions
Demonstrating grasp of those methodologies relevant to the business; applying different
2. Pricing Methods pricing techniques to proposed solutions; ensuring sales reps are following corporate pricing 3.7 (3.7)
guidance; frequency of requesting pricing exceptions
3. Opportunity Managing pipeline; inspecting Opportunities; accelerating campaigns; demonstrating deal
4.3 (4.3)
Management ingenuity; providing deal-based ideas
Handling competitive, price, resource, and risk challenges to proposed solutions; presenting
4. Objection Handling 4.5 (4.5)
responses to objections; gaining prospect/client acceptance to proposed solutions
Using give-get frameworks; representing company interests; leaving clients, partners, and
prospects with feelings about how a deal was obtained; Convincing others of the merits of a
5. Negotiating 3.9 (3.9)
position; achieving win-win positioning; getting others to assume a performance burden;
Sales
persuading customers to change course; persuading managers to alter course
Knowledge
Developing customer loyalty; preventing customer attrition; ensuring accounts provide
6. Customer Focus 4.3 (4.3)
strong references, generating repeat business
Overseeing talent development programs and efforts; taking interest in advancement of
7. Developing Direct
subordinates; success of previous subordinates in other areas of the organization; ensuring 3.2 (3.2)
Reports
stable of qualified and available replacements; developing Career Action Plans
8. Convert Strategy to Developing tactics to implement internal corporate sales strategy; linking customer strategic
3.3 (3.3)
Tactics goals into solution; embeding customer strategic goals into customized sales collateral
Adopting company policies; utilizing CRM system; adhering to sales process; understanding
9. Managing Processes sales methodologies; defining handoffs; measuring process output; providing specific 3.7 (3.7)
governance and guidance around process adherence
Maintaining a virtual bench; attracting top talent within the organization; assessing talent at
10. Talent Management 3.5 (3.5)
all stages in a candidate lifecycle; onboarding oversight
3.9 (3.9)

15. Decision Framework
Candidate Dashboard - <Insert Position>
Candidate #1 Candidate #2 Candidate #3 Candidate #4
Max Weighted Raw Weighted Raw Weighted Raw Weighted
Weight Raw Score Comments
Score Score Score Score Score Score Score Score
Background Relevance 2 20 8 16 10 20 8 16 10 20
Phone Screen 2 20 9 18 9 18 9 18 8.5 17
SBI Review
TopGrading Interviews
Interpersonal 5 50 9 45 8 40 8.3 41.5 7.8 39
Leadership/Management Style 5 50 9.4 47 9 45 8 40 8 40
Sales Knowledge 5 50 9.9 49.5 9.2 46 9 45 8.5 42.5
Intellectual Horsepower 5 50 9.7 48.5 8.7 43.5 8.9 44.5 9 45
Initial Interview 5 50 0 0 0 0
Client Review
Profiles International Assessment 3 30 0 0 0 0
Peer Group Interview 4 40 0 0 0 0
Whiteboard Session (Eloqua) 4 40 0 0 0 0
Reference Interview 4 40 0 0 0 0
TOTAL SCORE 440 224 212.5 205 203.5
% of Maximum Score 50.9% 48.3% 46.6% 46.3%
Background/Drug Screen P/F P/F P/F P/F
Offer Made Y/ N Y/ N Y/ N Y/ N
Offer Acceptance Y/ N Y/ N Y/ N Y/ N

16. Close Candidate
Don’t just send an offer to the candidate
 Use the Position Description to explain how the role aligns
with the candidate
 Sell job to candidate – personal goals, financial goals, future
aspirations
 Paint a picture for the future

17. Output
 Role Fit - Match top candidate to role requirements
 Speed - Process clarity reduces internal questioning
 Search Effectiveness - Distinct candidate profile makes
search more focused
 Turnover – detailed process reduces costly hiring
mistakes
 Productivity – new hires ramp to full productivity
faster
Higher quality talent, faster, and with less hiring mistakes

18. Search Engagement Methodology
Benchmark Role
Calculate Assess Understand Create ‘A’ Develop Build Target Identify Key
Review Reporting Sales Player Position Company Candidate
Cost of Mis-
Comp Plan Structure Strategy Scorecard Description Plan List
Hires
Sales Sales Sales HR Sales Sales HR
HR
HR HR HR HR
Set Performance Conditions Talent Selection
Create
Develop Transfer Deliver Conduct
Custom Conduct Obtain Short Close
Decision Process FastStart Reference
Selection Search List Candidate
Framework Knowledge Framework Interviews
Process
Sales Sales Sales Sales Sales Sales Sales Sales
HR HR HR HR HR

20. Further interest….
Download our new Ebook, Promoted to VP of Sales: The Year 1 Toolkit, by going to
http://www.salesbenchmarkindex.com/ebook-promoted-to-vp-of-sales/
Sales Benchmark Index will….
 Send a copy of presentation to you
 Additional questions can be sent directly to:
Scott.Gruher@salesbenchmarkindex.com
Join us for our next Webinar….
 How to On Board New Sales Talent in 5 Easy Steps
 Thursday, February 9th, 2012
 1:00 p.m. Central
 30 minutes
 Register at http://www.salesbenchmarkindex.com/webinar-onboarding-new-sales-talent/
Thank-You for attending…