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Demystifying Sales For Professional Services

2nd February 2023 No Comments

More and more of the leaders we speak to in professional services firms recognise the importance of enhancing sales capability as they pursue growth during challenging economic circumstances. In the past the language used has typically dressed sales up as something else…. client origination, business development, practice growth etc. But this is no more.

Individuals too also recognise the need to develop their sales capability if they are to be successful. However, being open to the idea of “sales” isn’t necessarily the same as feeling equipped and capable to carry out this critical element of the role. Firms are typically very good at communicating the requirements to progress as a leader, articulated through bespoke frameworks and values statements that create clarity, and they put a lot of effort into supporting new and emerging leaders. However, provision is more patchy and ad-hoc when it comes to developing B2B sales capability. There are very few sales frameworks out there and training, when it takes place, tends to focus more on the sales process than the person and the behaviours and attributes required to be successful in strategic sales.

That is changing as clients recognise the importance of nurturing and retaining their people, in the context of the scarcity and expense of finding top talent in the market, if they are to achieve the growth they seek. Today we are seeing firms create training academies and defined career paths for sales professionals, in a manner similar to leadership development programmes, that provide their client-facing teams with clearly-signposted opportunities for progression.

At Bloojam, we work with clients to ensure that they have a clear understanding of the key drivers, behaviours and attributes that drive superior B2B sales performance. Successful organisations are able to apply this knowledge to promote and hire people who want to be on that journey and to develop them once in the role. Using such a blueprint helps to demystify B2B sales for both the individual role holder and supports organisations to supercharge the performance of their client-facing teams.

Sarah Clapperton is a Director at Bloojam Consulting and a Chartered Business Psychologist, with 20 years’ experience working in selection and development. She specialises in working with leaders and senior salespeople.

Bloojam Consulting offers a range of robust recruitment and development tools and interventions, including the Acuity for Strategic Sales suite of psychometric assessment and development tools.

War For Talent
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What Does The War For Talent Mean For Professional Services?

25th May 2022 No Comments

The idea of a “war for talent” has been around for a long time and was itself based on the classic law of supply and demand popularised more than 200 years ago by the economist Adam Smith. It describes how, all else being equal, the price of goods or services tends to increase when the supply of that commodity decreases (making it rarer) or when the demand for it increases (making it more sought after) and vice versa. In the case of the talent war, the commodity is people.

Despite the pandemic, professional services has proven to be a growth industry. The MCA Industry Report 2021 suggests that the growth rate for management consulting in the UK was 4.5% in 2020.  Total consulting income is estimated to be £12.5 billion. Some individual firms reported even more impressive results. Deloitte saw an increase in global revenue of 5.5%, while EY boosted revenue by 7.3% to $40 billion globally. Much of that growth has been centred around expansion into new service lines in particular those focusing on technology, data and ESG.

This drive for growth has led firms to fight it out for the top talent, which in turn has driven up salaries. Newly qualified lawyers can now expect a starting salary of £100k+, while partners in some Big 4 firms have seen their pay increase to in excess of £1million. In this febrile market employees have the advantage. They know that they are sought after and, in many cases, they are able to name their terms.

The risks to employers are many. In the race to recruit, there is a danger that corners are cut in order to be the first to make the candidate an offer. In Professional Services, experienced hires tend to be recruited with an expectation that they will contribute to the revenue growth of the firm. Given that they also need to exhibit deep subject matter expertise in their specialist area, and will often need to be effective people leaders, there is a requirement for individuals to draw upon a broad range of capabilities if they are to excel in their roles.

Recruiting the right talent

To prevent a severe case of buyer’s remorse, it is critical that firms maintain a rigorous approach to recruitment that is able to assess all aspects of a candidate’s performance and potential. It may be tempting to circumvent the process in order bring people in more quickly but consider the impact of getting it wrong. Direct costs are estimated by the US Department of Labour to be 30% of salary. But factor in the indirect costs such as loss of opportunities not converted, impact upon team morale and performance, and these costs quickly escalate.

To be able to accurately evaluate these different skillsets is challenging and requires a multi-faceted approach to recruitment. Robust psychometric tools used in conjunction with in-depth profiling / debrief sessions facilitated by an expert help to “lift the hood” and consider the capabilities and attributes that are not apparent from an interview alone.

What we see time and again when working with Professional Services firms is a tendency to focus on technical and leadership capability alone. If a new hire has a sales / growth target it is also critical to assess B2B sales capability. Research tells us that in order to make the best recruitment decisions we should:

  • Clearly identify the criteria associated with success in the role
  • Use trained and skilled interviewers
  • Use structured interviews and objective assessment tools

Cutting corners introduces bias and poor decisions, in turn bringing too much risk for firms.

Retaining Talent: What Does The Evidence Tell Us?

So, what can managers within professional services firms do to retain their existing talent to support their goals around sustainable growth?

Robust research from pre-pandemic times suggests the following recommendations:

  • Ensure that you offer employees autonomy and involvement in decision-making
  • Deliver on your promises and treat people fairly
  • Create a positive team atmosphere
  • Provide clarity of expectations
  • Provide feedback
  • Seek to offer rewards beyond just pay: benefits, training and career growth are all important.

Considering how to support and retain more diverse groups of employees is also key to the sustainable success of the business.

In summary, now is the time to review and reinforce people practices, to ensure that the right new hires are selected and that precious internal talent is nurtured.

 

Sarah Clapperton is a Director at Bloojam Consulting and a Chartered Business Psychologist, with 20 years’ experience working in selection and development. She specialises in working with leaders and senior salespeople.

Bloojam Consulting offers a range of robust recruitment and development tools and interventions, including its unique Acuity for Strategic Sales suite of psychometric assessment and development tools.

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Is Coaching Salespeople Worth The Investment? What The Research Tells Us.

17th December 2021 No Comments

In the first blog of the series, we explored the features that make sales training succeed.  In our second blog, we look at the value in coaching (and mentoring) your sales team.

Does coaching improve performance in general? The answer is a resounding “yes”. Definitive research reviews by Theeboom et al (2013) and Jones et al (2016) have found that coaching is an effective change methodology (Grant & O’Connor, 2019).  In particular, coaching has a large impact in terms of performance improvement.  Jones et al (2015) argue that this is likely to be because coaching involves many characteristics that we already know from research will enhance performance. These are:

  • Coaches apply goal-setting
  • Goals generally feature work-based activities, promoting experiential forms of learning
  • and thereby directly encourage transfer of learning to work behaviour

Jones et al’s (2015) research overview found that it makes no difference to outcomes whether the coaching sessions are delivered face-to-face, online or by telephone.  Their findings also suggest that internal coaches can deliver stronger outcomes than external coaches. However, research also tells us that the strength and quality of the coach-coachee relationship is a key ingredient to the success of the coaching process (De Haan et al, 2016).  For example, empathy, positive regard and autonomy support are important characteristics of the relationship (Grant & O’Connor, 2019).  So, while it may be ideal for organisations to develop a culture of coaching internally, due care should be taken in terms of training managers to be effective coaches and ensuring they have the relevant skills and characteristics that support quality relationships with their coachees.

Evidence of Impact of Coaching on Sales Performance

The purpose of sales coaching is to equip salespeople with the right knowledge, skills and abilities (KSAs) to achieve role and organisation-related objectives and goals. It can be delivered by a Sales Manager or an external coach.  Similar to executive coaching, the aim is to improve performance through a series of conversations, feedback provision and activities (Badrinarayanan et al, 2015).  Mentoring on the other hand tends to not have a focus on the development of KSAs and performance per se, but is the “exchange between a senior experienced person and a less experienced, more junior protégé” with a focus on career goals (Bradford et al, 2017).

Sales coaching is an under-researched area, but Badrinarayanan et al’s (2015) overview finds that it is an effective element of training and development programmes and that “professional sales coaching plays an important role in the development of salespeople…”

Sager et al (2014) found that salespeople are more satisfied with both selling skills and product knowledge training when it is supported by role models. Furthermore, sales organisations can assist salespeople by providing role models and mentors during initial sales training. Participants are more likely to be satisfied with training if role models continuously and consistently demonstrate correct and expected selling behaviours. Bradford et al’s (2017) found that a combination of external training and on-the-job training are more related to performance enhancement than are internal training courses.  They also recommend the use of internal mentoring, especially where the mentoring relationship gives the opportunity to shadow, observe and mimic the behaviour of the more senior colleague.  These researchers suggest that developmental support from line managers is important to realise the full potential of sales coaching.

In summary, the research tells us that coaching and mentoring play very important, but distinct roles in the embedding of sales capabilities. Coaching embeds learning by setting goals that feature work-based activities and encourage learning transfer. In this relationship, the coachee benefits by taking ownership for converting the ‘theory’ of sales training into a set of clear goals, supported by a tangible set of practical actions that will embed the desired behavioural change. On the other hand, mentoring allows the mentor to reinforce the expected sales behaviours and the mentee to observe and imitate these.

Key findings:

  • Evidence that coaching can improve individual performance is strong
  • Coaching embeds learning by setting goals that feature work-based activities and encourage learning transfer
  • Quality of coaching support is critical to the success of the coaching relationship
  • Participants report increased satisfaction with sales training when it is supported by mentors who role-model the expected behaviours

Bloojam are business psychologists who take an evidence-based approach to selecting and developing salespeople, leaders and sales leaders.  See our website to learn more about our approach to developing sales capability in your workforce.

 

Badrinarayanan, V., Dixon, A., West, V.L. & Zank, G.M. (2015) Professional sales coaching: an integrative review and research agenda. European Journal of Marketing, 49, 7/8, 1087-1113.

Bradford, S.K., Rutherford, B.N. & Friend, S.B. (2017) The impact of training, mentoring and coaching on personal learning in a sales environment. International Journal of Evidence Based Coaching and Mentoring, 15, 1.

De Haan, E., Grant, A.M., Burger, YD. & Eriksson, P.O. (2016) A large-scale study of executive and workplace coaching: The relative contributions of working relationship, personality match, and self-efficacy. Consulting Psychology Journal: Practice and Research, 68(3), 189-207

Grant, A.M. & O’Connor S. (2019) A brief primer for those new to coaching research and evidence-based practice. The Coaching Psychologist, 15(1) 3-10

Jones, R. J., Woods, S. A., & Guillaume, Y.R.F. (2015) The effectiveness of workplace coaching: A meta-analysis of learning and performance outcomes from coaching. Journal of Occupational and Organizational Psychology, 89, 249-277.

Sager, J.K., Dubinsky, A.J, Wilson, P.H. & Shao, C. (2014) Factors influencing the impact of sales training: Test of a model. International Journal of Marketing Studies, 6(1), 1.

Theeboom, T., Beersma, B. & van Vianen, A. E. M. (2013): Does coaching work? A meta-analysis on the effects of coaching on individual level outcomes in an organizational context. The Journal of Positive Psychology: Dedicated to furthering research and promoting good practice. (September 2013)

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Why Sales Capability Is The Key Differentiator In Professional Services

4th August 2021 No Comments

How Embracing The Science Of Selling Will Set Your Firm Apart

I have assessed hundreds of Partner candidates in professional services firms and I am yet to come across one whose burning desire is to become the top salesperson. Experts in their field, trusted partner to their clients, yes. But not a salesperson. The word ‘sales’ is rarely mentioned. Client management, business origination, increasingly business development, but sales? No, that’s not how we do things here thank you!

And yet the reality of being a successful Partner is the ability to generate revenue and to win new business in order to drive growth. So why are firms seemingly unable or unwilling to embrace a sales culture in their business?

The answer lies in how they recruit and develop their people. Major consultancies are able to take their pick of the brightest candidates from the most prestigious universities across the UK. Once in the business, their technical skills are honed through mandatory professional qualifications so that they can provide the very best advice to their clients, whether they are accountants, lawyers or other highly qualified professional. As they progress in their career the top firms will invest in developing their people management skills so that they can lead larger teams on increasingly complex client engagements.

I tend to assess individuals who are on ‘Partner track’. They are the best of the best. The majority will ace their panel interview and present a compelling business case. But the one thing that scares them is the prospect of having a sales (or revenue!) target to deliver. Sure, they are used to being given performance metrics to achieve, but in the past these have measured the things that they can control. They’ve never had their own neck on the line for a revenue target.

And yet, at no point during their career have their sales capabilities been formally evaluated or their development areas supported in the way that their technical or people skills have. Often, for the first time in their career, they worry that they won’t have what it takes; that they’ll be found wanting. Welcome to the world of strategic sales.

If professional services firms want their Partners to sell effectively (whether that is originating new business, cross-selling to existing clients or simply maximising the opportunities in front of them) they have to invest in the sales skills of those that find themselves on the Partner track. They can’t expect technical experts to be great at selling. Why should developing sales capability be any different to the way that firms support the development of an individual’s technical and leadership skills?

Don’t wait until they become a Partner to find out if they can sell. Evaluate their business development skills in advance and use this as a criteria for promotion. Support and train those with potential to maximise their sales capability and acknowledge that some people will never be top salespeople (and provide them with an alternative route for success). At the moment there are still too many firms that are setting their people up to fail by not supporting them to develop these crucial skills.

Acuity, from Bloojam Consulting, enables firms to benchmark their people’s sales capabilities and to pinpoint individual and team strengths and development priorities. These sales capabilities are statistically proven to be exhibited by high-performers who typically deliver c25% more in revenue generation than their peers.

Jim Bloomfield is a Director of Bloojam Consulting with 20 years’ experience of using business psychology to develop salespeople and leaders. He is a member of the Association of Business Psychology (ABP) and the British Psychological Society (BPS) and has successfully helped some of Britain’s best-known businesses exceed their sales goals.

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How To Enhance Business Development Skills In Your Technical Experts

22nd July 2021 No Comments

Jo is a technically brilliant accountant who has been rapidly promoted through the grades at a large professional services firm. Along with her strong technical skills, Jo has always been great with clients, building strong relationships and providing an efficient, flexible and supportive service that they really appreciate.

Six months ago Jo was delighted to be promoted to Partner. However, today that delight has turned to despair. It’s the first time that she has been responsible for meeting a revenue target. Jo does not see herself as a salesperson. She knows she is great at what she does, but she is finding the challenge of generating revenue difficult and for the first time in her career she has doubts about whether she can succeed.

So, what are Jo’s chances of success?

As Daniel Pink argues in his book, To Sell is Human, we are all in sales.

The good news is that Jo is already showing some of the key behaviours and personal drive characteristics that are critical in business development: she is driven and focused on her own progression; she is confident in her abilities; she has spent many years building trusted relationships with her clients and provides them with insights that they find valuable.

The areas that Jo now needs to work on include her self-belief when it comes to winning business and increasing her client base. She needs to accept that her role has changed and to recognise how her existing skills, attributes and activities can help her achieve her business development goals. Equally, she needs to identify which skills and activities may be missing from her toolkit, and be supported to develop these. And she needs to re-focus her goals and personal drive to incorporate the business development elements of being a Partner.

This will be a familiar scenario for many consultancy organisations, where your highly valued consultants / accountants / lawyers (i.e. your technical experts) are promoted to senior / Partner positions and given responsibility for business development.  Many will thrive in their new role. Others will flounder. At worst, your valued employee will leave the organisation as they feel the pressure of ‘underperformance’ for the first time in their careers.

Our Acuity® for Strategic Sales assessment model is proven to enhance revenue performance by up to 23%. By evaluating individuals against 9 key capabilities Acuity can provide targeted and personal feedback to help them address their development needs.

If you want to retain your top performers and enable them to hit the ground running when promoted into roles requiring a focus on business development, let us help you to support them on that journey.

Sarah Clapperton is a Director at Bloojam Consulting. She is a Chartered Occupational Psychologist with 15 years experience in the assessment and development of leaders.

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Why Innovation Is Key To Driving Sales Performance…

6th August 2020 No Comments

And Why Sales Leaders Need to Loosen Their Grip On Their Sales Teams

As sales dry up and the pressure to achieve target increases, for sales leaders it can be very tempting to impose greater oversight of sales teams through more regular check-ins, activity reporting, new processes and more. This is understandable given how volatile the world is right now. To make well-informed decisions about how to adapt to the new normal, it is only natural for a sales leader to want to have up-to-date information from those on the ground. But is it the right approach?

We already know that salespeople spend a lot of their time on non-sales activities, for example this Salesforce survey of sales professionals identified that even before lockdown on average 64% of their time is spent not selling. So if we are now asking them for even more information, more frequently, that can only further reduce the amount of time available for selling.

Worse still it may be stifling sales innovation at the very moment you need it most. There is a growing body of evidence that fostering a culture of innovation amongst your sales team will positively impact upon the bottom line. This is not achieved by a rigid ‘one size fits all’ style of management. It is based upon encouraging individual salespeople to share knowledge with each other, to ask questions, to challenge existing methods, to generate ideas and to explore these further in order to problem solve, all with the intention of adding value for the customer.

It requires sales leaders to focus on knowledge and behaviour within the team rather than their targets and outcomes. And it requires individual salespeople to work collaboratively rather than acting as lone wolves.

In rapidly changing and uncertain economic climates, everyone in the sales team and across the organisation needs to be sharing, and interrogating, information not just reporting it up to the sales leader. Allowing sales teams to be innovative could be a real differentiator. Encouraging your salespeople to think differently and to challenge each other and the status quo will enable them to respond innovatively and lead to better solutions that will enable them to position themselves with their customers as a trusted advisor; someone they want to hear from and whose insight they value. It is that quality of relationship that will drive your competitive advantage.

Jim Bloomfield is a Director of Bloojam Consulting with 20 years’ experience of using business psychology to develop salespeople and leaders. He is a member of the Association of Business Psychology (ABP) and the British Psychological Society (BPS) and has successfully helped some of Britain’s best-known businesses exceed their sales goals.