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Sales Comp Guy

Do Your Salespeople Trust Their Leadership?

183:906269490 • January 16, 2024

Part 1 of 3: Trust isn't automatic...

Most of us know that in our relationships, trust is earned, not given. Generally, most well-adjusted people will give a default level of trust at the beginning of a relationship, and that trust will either grow or fade depending on how you manage that initial show of faith. This is true in all new relationships, even between employers and employees.


So, when it comes to trust in the workplace, the old edict “no news is good news” doesn’t really apply. That’s because earning trust is not a passive endeavor. We don’t keep trust by default. We keep it by actively living up to our word and taking responsibility on those rare occasions when we can’t. Trust is something that must be continually nurtured in the workplace, not just so everyone can feel good about working together but for some other very important reasons as well.


4 Effects of Poor Trust on the Sales Team


Not maintaining the trust of your team can cost your organization both in morale and in real dollars. Some effects of poor trust include.


1. Eroded Morale: Trust issues create a toxic work environment, eroding morale among salespeople. Low morale translates to decreased motivation, hindering performance and potentially driving talent away.


2. Escalated Turnover: A lack of trust can make sales team members feel undervalued and unsupported, leading to increased turnover rates. This not only disrupts team dynamics but also incurs additional costs in recruitment and training.


3. Poor Customer Relationships: Your salespeople are the link between you and your customers. If your salespeople don’t trust the organization they’re working for, that lack of trust is going to show up in how they interact with prospects and clients. At worst, it could manifest in active bad behavior, but most likely, you’ll just be missing out on the kinds of results you could get from a salesperson who truly believed in what they were selling.


4. Lack of Resiliency: Have you ever given someone the benefit of the doubt in a situation where they did something upsetting? You probably gave them that benefit because they’ve built trust with you, and you are willing to assume the best. Your organization will inevitably have rocky moments and periods of time where things get chaotic. In those moments, having strong organizational trust will help everyone bounce back and exercise the grit to overcome those challenges.


What Sales Managers Do to Lose Trust

 

Not providing the resources to succeed. If you give your salespeople a quota but then don’t empower them with the tools and resources they need to accomplish that, they are likely to feel unsupported, and they are unlikely to succeed—at least not for very long.


Inconsistent decision-making. Managers who make their decisions arbitrarily according to each situation are setting themselves and their teams up for failure. The only way to maintain consistency is to prepare documentation for significant policies and procedures and to make decisions congruent with those documents. The consistent application of your organization’s values and policies is what builds trust. More on that in the third post.


Hypocrisy. We’ve all encountered the “do as I say, not as I do” leader or parent, and we all understand how eroding that is to trust. Setting the example at the helm lays the groundwork for trust among your team. Employees learn from that demonstrated behavior to not trust the leadership in times of ambiguity.


Cultivating Success: The Role of Trust in Organizational Culture


If trust is woven into the fabric of the organizational culture, the sales team stands a significantly better chance of succeeding and gaining the trust of their customers. A culture of trust fosters an environment where open communication thrives, support is abundant, and teams are empowered with everything they need to succeed.


In Part 2 of this series, we’ll talk about how to assess the trust in your organization. As I mentioned, you can’t take it for granted that everyone is feeling good about the levels of trust. Then, in Part 3, we’ll talk about the clear, objective ways you can build trust. These practices are like the right soil for your garden in that if you take care of that soil and supply the right environment, you stand a much better chance of growing healthy, thriving plants. And because trust is dynamic and by no means guaranteed, instituting these practices will help your employees be resilient in the face of conflict and confusion. More on that later.

By 183:906269490 December 16, 2024
In my first Best Practices post, I talked about the importance of knowing what you can pay for your sales roles before worrying about what the market is saying. In my second post, I covered ways to utilize culture in a sales organization . The following Best Practice in sales compensation involves job content. Job content plays several roles in your compensation plan: 1. It gives your salesperson a guide to what success looks like in their role. 2. It gives you a guide to evaluating the performance of your salesperson. 3. It rationalizes differing levels of variable pay outcomes for varying performance levels. 4. It provides your organization with the structure needed to comply with any reporting, pay transparency, or other regulations. Hopefully, that’s enough to convince you of the importance of taking the time to define your new roles and revisit the definition of your existing roles. Now, here’s how job content actually does those things. Defining the job The first role of job content is to define the who, what, where, when, and how of the function. It can be tempting to borrow a job description from LinkedIn, Glassdoor, etc., with the assumption that the content will be similar enough to fit your needs. However, the way a specific role performs is unique to the organization it’s acting in, which is why it’s important to take the time to define the job from scratch. Here are the questions you should be answering in your job content: What does the person need to do on a daily basis? How does this individual pursue sales, and in what segment or with what type of customer? Where should they focus their time and attention when building a pipeline of deals? Who should they be interfacing with, both internally and externally? When do they engage with customers and/or prospects? What portion of the sales process do they own or support? How do they interface with and influence decision-makers? Now, even though I said to write your job description from scratch, that doesn’t mean this is the time or place to get too creative. Job seekers are going to be searching by job title or category, so it’s essential to stick to the common vernacular regarding industry jargon and expected job titles. Job Description: A Byproduct of Job Content Another positive outcome of creating job content for your roles is that you will have generated much of the information needed for a job description if or when you’re ready to hire. Information such as: Job duties and responsibilities that clarify the type of work and engagement with customers. Qualifications/Requirements that are both minimum and desired. Those include education, knowledge, skills, capabilities, and competencies. Performance measures of the role include items like achieving sales targets, new logo acquisition, development of pipeline, accuracy in forecasting, etc. With all of this information on file, it will not only be easier for you to prepare to hire for the roles you want, but it will also be easier to evaluate existing employees in those roles. Beyond all of that, you’ll be well prepared for competitive market research and establishing your variable pay program. I’ll be posting more best practices on the blog, but if you’re anxious to dive deeper into the subject of sales compensation, you can grab a copy of my book Starting Simple: Sales Compensation and consider working through the companion Workbook to build a sales compensation plan from scratch.
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