When there is a gap between company revenue objectives and results, the underlying cause can usually be explained by one of the following three statements:
- Salespeople are following a company-designed process that is insufficient to achieve desired results.
- The company has a sufficient process but salespeople are not following it.
- There is no sales process (aka, “Just go sell!”).
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Each syndrome has its own characteristics
The Insufficient Process syndrome is common in larger companies ($1B+), where compliance to process may be strongly enforced, but the processes themselves become outdated with changing market requirements and competitive and technological developments. The root causes for this situation can generally be traced to a lack of understanding of customer value and a lack of focus on continually improving the delivery of that value.
When salespeople diverge from an established process, it is an early warning sign that the process is no longer working for them. To address this, Lean Selling provides principles and practices for improving the sales process to make it more aligned with the goals of the salespeople as well as management. Read more….
The Not Following syndrome is more common in mid-size companies ($250M-1B). The root causes for this are in the domains of culture, management commitment, and execution. Well-understood processes either have not been institutionalized, communicated, or enforced. Therefore, there is no path to improvement in performance. Lean Selling provides methodologies for institutionalizing and gaining commitment of the salespeople to known and proven sales processes. Read more….
The No Process syndrome is most common in companies below $250M in annual revenues. The root causes are generally in the culture and belief system that leads to a dependence on individual decision making and skills rather than proven practices and teamwork. Companies without a sales process have great difficulty predicting revenue and knowing how to scale it. For this situation, Lean Selling guides the way forward for salespeople to explore and learn how to create a successful sales process, as well as how to execute it. Read more….