8. MANAGEMENT THROUGH AGREEMENT ON OBJECTIVES - ESTABLISHING COMMON GOALS
It shows strength of character to have goals and pursue these through to completion. Those who have no goals are seen as insecure and weak-willed. Goals are milestones which motivate and encourage us - you can survive harsh times if you have a goal in mind. On the other hand, one who lives from one day to the next can be easily thrown off course by misfortune, as there is no specific reason for them to get back on their feet - nothing they can look forward to. Those with goals look to the future.
The most important thing is that we set our own goals. We have an `external relation` to goals set by others, but lack a truly personal involvement.
`Management By Objectives` has been a successful management style for a long time. All the employees` activities are directed towards the goals that the company has set. How does one get goals? How are company goals transformed into employee performance goals?
THE IMPORTANCE OF GOALS
Psychologist H. Schuler perceives the effectiveness of `Management By Objectives` to lie mainly in the fact that employees cope with their work better, the more they know about the end result being sought. If employees` efforts are channelled into the attainment of goals and not only into the execution of a limited area of responsibility, they will be more highly motivated. Their jobs then become challenging and have an added incentive.
The academic investigation of the connection between the setting of goals and work behaviour highlighted an improvement in employees` attitudes and work behaviour. A precondition for this is that the goals are accepted by the employees and that these goals encapsulate the central focus on their work. This must be clarified and agreed in a discussion between the sales manager and the employees.
The clarification of goals is enormously important for the employees` attitude and work behaviour. Every employee needs to be clear about the company goals. Participation in goal setting fosters a willingness to adopt the goals and identify with company goals.
The goals set must be attainable. If the goals appear unattainable, employees lose their strength and incentive to achieve.
Feedback on results already achieved is important. Productivity increases as a result of clear information delivered, at the right time, about how close the employee/company is to attaining the goal. The expectation of a reward can also act as an incentive.
A company`s goals, and those of the individual employees, are sometimes at variance. From time to time they are poles apart or are opposed to each other. For example, an employee suddenly believes that the only important thing is the personal self-development within the family. Ideally, company goals and private goals coincide with each other. The employee needs to see their personal goals offset within the company. Therefore, it appears desirable to connect company and personal goals as closely as possible.
C. Lattmen distinguishes between company performance goals and personal development goals. This comes from the strongest performance incentive of goals, seen by the employee as a challenge but which are at the same time attainable. To use the motivation effect to the full, it is important to match the performance goals with the employees` abilities. Here are some of the best ways to do this:
1. The sales manager holds a group discussion with all employees and presents the company goals.
2. Each employee works out their own performance goals.
3. These goals are then examined in a meeting between the employee and the sales manager. This leads to an agreement on goals, of which a written record is kept.
APPLICATION IN SALES MANAGEMENT
Goals motivate employees. Salespeople work harder if they are working towards certain goals. Goals can be of a private or professional nature, can be short-term or long-term, can be general or specific.
The general professional goals of the field sales force could be:
Extension of the company.
Altering the client structure.
Higher income.
More large-scale clients.
A shift towards market research.
Narrowing down the sales area.
Less overnight expenses.
Increase of the cover charge in the sales area.
Canvassing new clients.
The general goals indicate the general direction or purpose of the employees` work for the years to come. The explicit goals are concrete steps which the employee must take. These goals should be formulated by the sales representatives in conjunction with their sales manager and a record should be kept. Personnel experts recommend that employees and managers should conclude a so-called psychological contract to ensure the realisation of the explicit goals. The contract could be based on the following points:
The Salesperson expects and demands:
> That the sales manager supports them in any difficulties they might experience, is at their disposal at all times and represents their interest to the company management.
> That the sales manager affords them freedom of action and considers their suggestions carefully.
> That the sales manager exercises as little control as possible and that when he does, it is in an open and fair manner.
> That the sales manager is loyal.
> That the sales manager helps secure their job and stands by them even if they fail.
> That the sales manager informs them as quickly as possible of any internal decisions, and that they are open and fair.
The Sales manager expects and demands:
> That the salesperson does their best, works more than is absolutely necessary and tries to exceed the set goals.
> That the salesperson works creatively and shows individual initiative.
> That the salesperson works in a responsible manner and shows entrepreneurial spirit.
> That the salesperson fully identifies with the company.
> That the salesperson plans on a long-term basis and stays with the company, even if it is going through a bad patch.
> That the salesperson informs the sales manager of any important events, and is open and fair.
WHAT TO WATCH OUT FOR DURING GOAL-SETTING MEETINGS?
The sales representative should, first of all, state and explain the goals they think they should be settings. They should be able to justify the measures they are suggesting.
The sales manager allows the employee to develop their ideas. While the latter is doing this, the sales manager must not evaluate the goals according to the employees` past successes and failures. The sales manager should also ensure that the employees` goals are compatible with those of the management and the company.
The sales manager and the salesperson set goals for a defined period of time. The former knows that every goal set represents a compromise. The two of them also draw up a list of priorities - which goals are less urgent than others and can, therefore, be put at the bottom of the list. This reduces the risk of an employee working intensively on something the sales manager deems to be of lesser importance.
After their meeting with the sales manager to agree on goals, the salesperson should draw up their own working timetable, which the sales manager can also use as a check list.
The employee should keep the sales manager informed of their progress at regular intervals.
If something else crops up, the manager has to clarify this with the salesperson. The main topics which should then be discussed are the possible effects this may have on goal alternations and time periods.
The sales manager should always try to be responsive. They should show that they are interested in the employee`s progress and should, between briefing sessions, enquire about how things are going.
9. MANAGEMENT BY CRITICISM - PAYING ATTENTION TO YOUR EMPLOYEES` SELF-ESTEEM
Nobody likes to be criticised, a fact everyone knows from personal experience. At the same time, however, appropriate criticism (of the constructive sort) at just the right time can work wonders - it depends on the way in which the criticism is expressed.
Everyone has embarrassing memories from their schooldays: "You haven`t done your homework again. That`s just typical of a lazy rascal like you!" The teacher announces this in front of all your classmates. Everyone laughs at you and you sit there going red. It certainly would not have harmed us to have followed the teacher`s advice and done our algebra homework in the afternoon instead of playing football. It is easy to think this in retrospect; however, the way in which our transgressions were criticised was not conductive to making us see reason.
FORMS OF PRAISE AND CRITICISM
Psychologists do not view praise and criticism as opposites. Praise and criticism are managerial instruments through which a manager tries to influence the behaviour of their employees. Praise and criticism are not only expressed orally - they can be conveyed through gestures, such as a wink, facial expression or other non-verbal behaviour.
Raised eyebrows or yawning during a presentation can be interpreted as an alarm signal. Praise that is expressed when the corners of the mouth are down-turned loses its credibility. Equally, there are occasions when criticism cannot be taken seriously - if, for example, the manager is expressing it with a mischievous look on their face.
An American study investigated the effects of typical managerial praise and criticism on the behaviour of salespeople. The following behavioural modes were examined:
1. Punishment
The sales manager asserts their working method by punishing the sales representatives.
2. Rewarding
If the sales people perform well they are rewarded with praise and financial bonuses.
3. Hierarchical influence
The sales manager tries to maintain good high-level contacts in an effort to reap advantages for their sales department.
4. Performance orientation
The effects of these methods of behaviour were also investigated with a view to seeing how they influenced the sales representatives` understanding of their roles. During one investigation one particular question was examined: "How clear is it to a salesperson what is expected of them?"
The punishing behavioural style produced some astonishing results. This behavioural mode has no influence on the employees` understanding of job roles, their self-confidence and performance motivation. It does, however, have opposite influence on job satisfaction - the reason for this being that there are situations in which the salespeople realise that punishment by their manager is justified.
The behaviour of rewarding employees has positive effects on a sales representative`s perceptions. If a salesperson is praised, they are proud and contented.
The manager`s efforts to maintain hierarchical influence have no effect on the salespeople`s attitudes. The more the sales manager sees of their superiors, the less time they have to spend with the sales staff. Such behaviour is, in fact, viewed by the salespeople with mistrust more than anything else.
A sales manager`s performance-orientated behaviour exercises a positive influence on the salesperson`s perception of roles.
They investigated how desirable behaviour can be encouraged and how undesirable behaviour can be prevented.
Which of the measures taken by the manager are more successful? Rewarding or punishing, praise or criticism?
It emerged from the investigation that educational success is at its peak, when praise is combined with criticism. Rewarding has the advantage of homing in on specific behaviour to be praised and punishing puts an end to any negative behaviour. It remains unclear, however, if desirable behaviour emerges. For this reason criticism also demands greater pedagogical abilities on the part of the manager.
The motivation aspect calls on the knowledge of motivation psychologists - success leads to increased efforts. The effect of failure, on the other hand, is not as easy to predict. If failure is criticised in public, this can lead to particularly extreme reactions, as an employee`s self-confidence and pride suffers. People who are motivated by success like to be seen in a good light in public. If these people are belittled by public criticism, they feel humiliated and lose all motivation.
Social factors also play a role in the effects of praise and criticism. For salespeople who are from disadvantaged backgrounds, praise in the form of material incentives can be more important than for their more advantaged colleagues.
If you criticise one of your employees, do not do so in public. For an employee, public criticism is tantamount to a public humiliation for failure and can have dire consequences. It is better to criticise an employee in private. Remember that praise and criticism go together. People try to enhance their self-esteem. Bear this in mind in a tricky situation, such as having to criticise an employee`s work.
Encourage the employee to explain the problem from their point of view. Do not judge what they say. Let them finish - do not contradict them and do not correct them. Encourage them to talk showing understanding.
When criticising, avoid beginning every sentence with `You`, such as "You regularly begin your visits too late". Psychologist Schulz von Thun recommends that you start your sentences with `I`. For example, "I see from your daily reports that you regularly begin your visits too late". If you tick the employee off by always beginning with `You`, you tend to belittle them far more than if you begin your sentences with `I`, which also seldom tends to evoke contradiction.
When talking to your salespeople, try not to make any concealed reproaches such as, "Have you finally finished compiling those figures?" Use of the term `finally` means that the task was finished a long time previously. Concealed reproaches cause resentment and the negative feelings they arouse hinder problem solving.
APPLICATION IN SALES MANAGEMENT
Be clear about your aims before criticising an employee. What mistakes do you want the salesperson to realise they are making? What should they do better in the future? It is essential that criticism is based on facts and not on opinions or rumours.
Criticism should not be monologue. Acquaint the employee with the facts and encourage them to produce some of their own. Encourage them to talk. Only when the salesperson expresses their own position and opinion on the matter, will you learn the reasons behind their behaviour. Were they careless, or were they simply overloaded with work?
Guidelines on Giving Criticism
> Do not criticise the person ("You`re a loser!") but rather their behaviour ("You exceeded the highest discount in your last few orders").
> Express criticism as a friendly suggestion and not as something meant to belittle the employee. Never criticise someone when you are angry! Lack of self control generates defiance. Bear in mind that outbursts of bad temper are often the result of having continually put off things which should have been done a long time ago.
> You could possibly intimate an apology of the employee has only made a small mistake: "I know you`ve had a lot of family problems recently, but you really should fill in these forms more carefully in future".
> Accept part of the responsibility: "It was my fault for not having pointed the problem out to you sooner, but you should never authorise discounts without first obtaining my permission".
> Attribute the mistake to circumstances outside the employee`s control: "I know that these new regulations complicate everything but we have to confront them".
> Point out that mistakes can always have a positive side: "The fact that these reports have disappeared make me wonder if we shouldn`t contemplate changing the report system".
> Speak with the employee early in the morning and at the beginning of the week. If an employee is criticised shortly before a national holiday or the weekend, they will go home in a bad mood and may well spend the night or weekend brooding over it.
> Conclude your critical discussion with some encouraging words. The salesperson should not leave your office feeling like a humiliated loser but rather with the will to do better, with the knowledge that they can.
> Speak with the employee a second time before the end of the working day. An uninhibited conversation, a few words several hours after the reprimand, will convince the salesperson that your opinion of them is not diminished and that you believe they will overcome the problem.
10. MANAGEMENT WITH FLEXIBILITY - MOTIVATING THE EMPLOYEES
Being flexible is no longer merely a key concept from adult education. In an educational context, it means `providing adults with the courage to pursue their education and acquire new skills`. For many adults, the skills acquired at school are no longer sufficient to get into the business world. Technology is developing and is demanding new abilities. For this reason, it is no surprise to find forty year olds back in the classroom, taking computer courses, for example. Flexibility is also becoming increasingly important for managers, since it means that they must always be willing to learn new things and be open to every new development.
RESULTS OF RESEARCH TO DIFFERENT STYLES OF MANAGEMENT
In the 1950`s psychologists investigated managerial style and behaviour. Questions which were thoroughly researched included:
How do successful managers behave?
What do they do to create productive, satisfied workers?
Managers can be divided into two behavioural groups:
1. Managers who are work orientated.
They focus their relationship with the employees primarily on organisation, planning and co-ordinating the execution of a task.
2. Managers who are people or employee-orientated.
They devote most of their energies towards personal needs and the employees` expectations.
It is very rare to meet managers who fall into one of these two categories - instead they fall into a `more or less` category.
An important discovery of the research is that there is no `best` style, which guarantees success in every situation. F. Fielder has developed a `contingency model` which classifies different managerial situations in three dimensions.
The first dimension contains the personal relationship of a manager with their employees. The second dimension includes the type of task which the group must tackle. The third dimension includes the power which the managerial position involves.
In order to understand a manager`s style, Fielder developed a questionnaire, in which the manager had to describe the employee with whom they would least like to work. Conclusions can be drawn from the answers as to the type of relationship each manager has with their employees.
If the manager describes their least favourite employee as someone quite nice and intelligent, then they can distinguish between the person and the job. If the manager describes their least favourite employee as someone who is `lazy and stupid` then the manager is confusing the quality of work with personality traits.
MANAGING REQUIRES A FLEXIBILITY OF STYLE
It has long been debated which managerial style produces the best results. Robert E. Hite and Josef Bellizzi carried out a survey of 242 representatively chosen salespeople on this subject. In total, 16 managerial styles were detailed according to 4 criteria - planning, organisation, control and management.
The managerial style most liked by the employees was that of the warm-hearted and dominant sales manager. Sales force employees greatly value a boss who is human, but who does not forget that they are the boss. The warm-hearted softy, who portrays themselves as being comfortable in the position of manager, was less well-liked by the employees. This type was regarded as having planning and organisational weaknesses.
Which managerial type was most sharply rejected - the dominant, hostile dictator or the obsequious, hostile shirker? The shirker was, by far, the most negatively judged. If the boss is already hostile, then they should also be domineering - i.e. accept responsibility, or so the motto apparently goes.
The dictator type was accused of hardly allowing the employees to participate in planning tasks. However, the salespeople prefer the strict organisational, control and managerial principles of the dictator type to the lax, disinterested attitude of the shirker type.
The results show that warm-heartedness influenced the sales representatives judgement more than harshness. A dominant sales manager is not exactly loved, but they are accepted. A harsh, hostile manager is clearly rejected.
Do certain sales department employees judge certain management styles differently than others?
The investigation showed that employees with a higher degree of education rejected the shirker types more vehemently, especially because of their distinct lack of planning and organisational skills. These employees also place particular emphasis on participation in planning.
Salespeople with many years of sales experience dislike strict control.
Sales representatives who sell capital goods are more interested in the planning side of things than their colleagues in the consumer goods section.
Women prefer co-operative managerial style. They particularly like managers who value high morals, reliability, a sense of togetherness and team spirit.
Recent information from the field of organisational psychology also takes social style into consideration. This not only encompasses what someone says and does, but also how they act. Observation of behaviour is to understanding a person.
Psychologists distinguish between four social styles:
The Analytical Style
This includes little open-mindedness and self-confidence. Analytical thinkers stand out because of their diligence, objectivity and systematic working method.
The Driving Style
This is a combination of little open-mindedness and a high degree of self-confidence. These people are work-orientated, come to the point quickly, are decisive and success-orientated.
The Infectious Style
This style involves a great deal of open-mindedness and self-confidence.
Infectious personalities tackle problems in new and unconventional ways.
They can beguile others and sweep them along.
The Friendly Style
This is a combination of little self-confidence and a high degree of open-mindedness. These people emphasise with their employees and shows sensitivity.
All four styles can be found in every company. Every style has its advantages and disadvantages. It is important to be able to adopt different styles. Flexibility of style induces people to work better together. Greater flexibility can be achieved through a greater stress on common behaviour. Flexibility of style also means that you must be able to recognise and eliminate your own faults. Nowadays there are a great many managerial styles, making it almost impossible to say that one is the best. It is for this reason that flexibility is so important for managers, since they have to decide what style is the most appropriate depending on the situation and person involved.
APPLICATION IN SALES MANAGEMENT
The choice of managerial style reflects the manager`s personal abilities and characteristics, as well as necessities derived from the situation and the task at hand. In choosing a style, the sales manager should also bear in mind the factors that determine the employees` behaviour, such as their goals and motives, the extent of their need for participation and independence, their willingness to appreciate the working goals, time limitations and their qualifications.
If the sales manager chooses an employee-orientated style, they can - by dint of his commitment to the employees - bring about an improvement in the employees` attitude towards their work and induce greater identification with the company goals. If, on the other hand, they prefer a work-orientated style, this could possibly lead to increased work motivation in which client relations play a large part. A sales manager who adopts a work-orientated style and defines working goals gets the employees moving and monitors their performance. If salespeople seek human ties in their work and strive for personal development, a work-orientated managerial approach tends to de-motivate them.
What strategies can sales managers draw up to ensure that they are flexible?
Sales managers with an analytical style tend to be weak at making decisions. They should try to reach decisions faster and take a clear stand on issues, even if they do not have all the facts at their disposal.
Sales managers with a friendly style tend to lack a willingness to take risks. They should set themselves clear, work-orientated goals and let others know exactly what is expected of them.
Sales managers with a driving style intimidate some people with their dynamism. They should try to listen attentively, carefully consider any suggestions their employees may have and make an effort to be understood by their employees.
Sales managers with an infectious style can cause others stress through their impulsive decisions. They should restrain themselves a bit more, not talk so much and, when others are speaking, not monopolise the conversation.
11. MANAGEMENT BY EXAMPLE - SHOWING THE EMPLOYEES WHAT IS EXPECTED OF THEM
Everyone knows the positive and the negative effects of example from their childhood. We can learn a lot through imitation. The important thing is the example we emulate.
Young people often try to imitate their favourite pop idol by wearing similar clothes or by behaving in the same way. This is often a thorn in their parents` side, for they fear that this behaviour may have a negative effect on their child`s development. Many of those who are in charge of raising and educating children are concerned about the power role models have over children, they want their children to receive the correct example. The effect of example is not only extremely important for educational purposes - it is also important in the relationship between a manager and their employees.
The sales manager is a role model to most salespeople. Everything they do and say is judged against what its perceived to be a manager`s image. Even `minor` managerial mistakes can have an unimaginable effect.
THE EFFECT OF A CHARACTISMATIC MANAGER
A managerial researcher named Howell carried out an experiment in which students were asked to participate in a `mailbox test`. They had to pretend that they were marketing managers in an industrial company, and process the manager`s mail. The participants were instructed by managers, who represented three different managerial styles.
The directive managers laid great emphasis on the volume of work to be accomplished in the given time and answered all questions related to the task in hand. During the experiment, the manager had a neutral facial expression, maintained occasional eye contact with the participants and had a moderate way of speaking.
The employee-orientated manager had extensive discussions with the students, stressed the importance of pleasant working discussions and took the welfare and happiness of all the participants into consideration. The manager spoke in a congenial way, maintained constant eye contact, was relaxed and had a friendly facial expression.
The characteristic manager eloquently formulated a goal for the experiment and throughout the experiment indicated that they had high expectations of the participants. They expressed their confidence in the participants` abilities and demonstrated an understanding of their needs. They also demonstrated a constant interest in the participants` performance, spoke with commitment and maintained constant eye contact. They had a relaxed manner and animated facial expressions.
The charismatic manager had the strongest influence on the participants` performance. The students showed a particularly high degree of activity, better quality performance and less uncertainty about the task they were performing.
Another interesting result was that a high and a low group productivity standard emerged in line with the different managerial styles. It emerged that the group members under the leadership of the charismatic manager always showed the greatest job satisfaction. Charismatic managers influence the goals of the employees and activate motivation and behaviour.
THE EFFECT OF THE ROLE MODELS
Charismatic leadership is characterised by the fact that it activates the employees` motivation and behaviour - it changes their needs and self-assessment. Charismatic managers goals and values that are important for the employees. Above all, they act as a role model. If the charismatic manager is admires and respected, the goals they set will be accepted and the employees will work towards the fulfilment of those goals.
The employee`s self-confidence increases as the charismatic manager lets them know that they have high expectations of them, and, at the same time, shows high degree of confidence in their ability.
These results correspond to the discoveries of the social educative theory. Bandura has developed a theory of "learning from models" which implies that in many situations, people modify their behaviour according to models which surround them, either verbally or metaphorically. Banbura calls this "modelling", rather than mere imitation.
Imitation is primarily carried out by children. Learning from models (imitation) is important to children learning to speak and is also prevalent in the adult words. Imitation is influenced by different psychological processes:
How attentively is the model observed?
How long does the memory retain what it has observed?
Memory can be enhanced for example, by imitating the role model`s movements and manner several times. It is also important that the behaviour imitated is strengthened from outside - by praise, for example.
People in prestigious positions of power are more likely to be considered as role models than people in lower positions. Accordingly, people with high status, accordingly, have a greater chance of attaining the desired results as a result of their function as a role model. It is important for the person who is imitating, however, that their behaviour is strengthened. If it is not, the role model loses its influence.
APPLICATION IN SALES MANAGEMENT
A good salesperson puts themselves constantly under stress. The need for admiration ("I want to be number one"), seeking perfection ("Only losers makes mistakes"), impatience ("I have to do everything as quickly as possible") and dependence on outside judgements ("What does the client think of me?") all contribute to the fact that the salesperson feels under constant pressure.
External pressure factors are added to internal factors, for which the sales manager has joint responsibility:
Unattainable, selling goals are set. High goals are good because they act as an incentive, but they have to be attainable. As the sales manager it is your duty to ensure that they are.
The salesperson has a certain amount of responsibility and makes decisions, but they are not "allowed" to make mistakes. Be understanding if a mistake is made.
In any competition between salespeople, there are few winners and many losers. If you hold a competition amongst the sales force, ensure that more than half of your salespeople have a chance of winning.
Managers only take a note of their employees` successful transactions. Failures are, however, discussed extensively. Express verbal recognition of average performances also - this enhances the sales representatives` selling instinct.
The sales executive lives in a kind of vacuum outside the company. Instigate more advisory discussions and accompany them more often on client visits.
There are many reasons for sales success: the product, the service, the company, and company policy. Failures are, however, usually exclusively blamed on the sales executive. Allow your employees to have a share in the company`s success and show solidarity in times of failure.
The sales manager must be clear about their function as a role model, as the employees subconsciously tend to imitate their behaviour.
Try to imagine this situation: you have made a wrong decision and your employees know about it. How do you behave, in order to regain their respect?
If you look for scapegoats, your employees will imitate this - everybody blames everybody else when something goes wrong and no one is prepared to take the responsibility.
Bear this advice in mind when you have made a wrong decision:
Admit that you have made a mistake. Do not force your employees to continue working on a task that is unattainable, just to allow you to save face. If you insist on the employees continuing with the project, you will lose their respect.
Do not look for scapegoats. As the manager, you must assume responsibility for mistakes and failure. This also means assuming responsibility for your own employees` mistakes. It does not mean, however, that you should not hold your employees accountable for their mistakes.
Do not hush up the fact that you have made a mistake, by finding fault
in the success of others. If another method proves to be better than your own, admit this and start to use the other method. Your employees will think highly of you if you freely admit that you were wrong.
Do not excuse your mistakes by saying they were attributable to circumstances outside your control. Poor excuses will result in a loss of your authority.
Of course not every manager has the charisma needed to sweep employees along with them. Take some ways of behaviour to heart, though - set clear goals. Explain why the company goals are important to every employee. Illustrate to every sales executive the importance of their work for the fulfilment of the company goals. Show confidence in the ability of your employees - even the weaker ones - and show them that you understand their needs.
12. MANAGEMENT BY UNDERSTANDING - KNOW, UNDERSTAND, INTERACT WITH EMPLOYEES
It always astounds us how differently people can behave and how many different kinds of people there are - loners, career people, altruists, boasters and many others. Psychologists have always tried to classify people. Once such psychologist, Presthus, developed a typology of behaviour in organisations. Presthus distinguishes between the following types:
The typical climber, who is portrayed as being hungry for power, status conscious and a skilful tactician.
The indifferent type, who views work as a means of creating a maximum of pleasure in their spare time.
The ambivalent type, who is torn between two different things. They are in a position to suggest innovations in the company, but lack the ambition shown by the typical climber.
Lutz von Rosenstiel has developed a new empirically-based technology for professional behaviour. He distinguishes between the following types:
The careerists, for whom promotion to the top of the ladder is their central interest in life.
Those who orientate everything around their spare time. This type corresponds to the indifferent type in Presthus` typology.
The alternatively committed who are prepared to commit themselves but only if the company goals coincide with their own personal goals.
Psychological typologies try to systematise the diversity of human behaviour. They also provide tips to help judge human nature.
Different Sales Types
In an investigation of sales executives of different orientation types, psychologist Friedemann W. Nerdinger discovered some very interesting characteristics.
Most salespeople are careerists. For them the most important things are professional challenge, status and reputation. They are less interested in spare time. Marriage and social relations stand in the way of desire to reach the top of the professional ladder. They identify 100% with the company and are fascinated by the power which arises from their career.
They are driven by comparing their performance with that of their colleagues. They are generally satisfied with their jobs, but are very attracted by the possibilities for further training.
Nerdinger describes the type who orientates their life around their spare time as the antithesis of the career-oriented sales executive. Because they find sales very difficult as a result of their attitude to work, this type is the least representative of sales executives. The most important thing for this type of salesperson is spare time. They hardly identify with their company and they do not find a career at all attractive. Since dividing up their working time according to their needs, their career is beneficial to their family and partnership.
Finally, Nerdinger classifies a third of all sales executives to be people who seek to make sense out of their existence. For them, social relations and professional challenges are very important. Status and reputation, on the other hand, are not so important. They are more intrinsically motivated. Their careers are beneficial for helping them fulfil their social relations. For this reason they prefer to perceive themselves as helpers. They have an average level of identification with the company and they view their career as an opportunity to develop participation and meaningful relations with their colleagues.
In addition to Nerdinger`s typology, there is a whole host of other types, a few of which are described here:
The star representative who believes that they play a special role because of their top performances. They circumvent regulations, arrive late at meetings, express special wishes in public or "play up". Next to the star in every sales team, there is a conventional, average sales representative.
The slow salesperson who certainly performs their job to perfection, but slowly.
The burnt out sales executive who has worn themselves out over the years by overdoing it.
The "antagonist" who performs well, but will complain at the slightest thing.
The elderly salesperson who would prefer to only work part-time.
The senior sales executive who has a different working style to their younger colleagues.
The isolated sales representative who works independently, away from head office.
The Knowledge of Human Nature
A good judge of character can assess and judge different ways of behaviour. Social psychologists Kerckhoff and Davis have reported certain behavioural tendencies, which they have tested in different situations. They discovered that people tend to like other people who have similar characteristics and a similar way of life to them. This is especially true of people who have only known each other for a brief period of time.
Schuler has reported that likeable people are also better classified in many personality categories. This sympathy effect can also be detected in personal judgements.
Example
If we are aware that the assessor likes the employee, it is possible to predict a favourable judgement. Attitude plays an important part in this. If someone else had the same attitude, they would have appeared instantly likeable.
Example
Complementariness means that different people who complement each other in character, like each other. This plays a larger role in the lives of people who deal with each other over an extended period of time.
As a manager, you should know about these psychological laws, since they also condition your behaviour towards your employees. If, for example, you are creating teams only for a short period of time, it is a good idea to place people with the same personality in the same group. If, on the other hand, you want to create teams for a longer period of time, it can be advisable to bring together opposing personalities. Perhaps the initial period of trying to establish a viable working relationship may be difficult, but the work accomplished afterwards will be all the more effective.
For many, the perception of other people is often based on stereotypes. This means that they judge people in the light of their prejudices. This makes them feel secure, but, in this way, they also overlook vital pieces of information. Managers, who want to interact with people in a responsible manner, should therefore try not to harbour too many prejudices.
Application in Sales Management
When thinking of the different types of sales executives, always bear in mind that even your perception is not perfect. Think of the laws of `First Impression` and `Selective Perception`. By bearing all this in mind when making your judgement, you will have a chance of correctly judging the different sales types in your team. Never forget to take into account the effect the prevailing situation has on human behaviour.
How can you do justice to the ambitions of the different types of salespeople in your department?
Since the career-oriented sales type is fascinated by competition, they are very receptive to feedback on their performance. Give them less direct feedback and more possibilities for comparing their performance with that of their colleagues. Every competition is an opportunity for this type, giving them a chance to compare their strengths with those of their colleagues.
Think of their career desires and nominate them for a further training course.
Think of the negative side. Their private life is suffering - this will have a detrimental effect on their work in the long run. Try to involve their partner more, for example, by also inviting them along to conferences.
It is more difficult to motivate the sales representatives who centre everything around their spare time, since they do not see the centre of their happiness stemming primarily from their work.
In order to enhance their feeling of identification with the company, make sure that they clearly understand the company goals. Set goals in consultation with them.
The best starting point in motivating lies in direct feedback on their performance.
The type that is looking to make sense out of their situation is the sales representative of the future, so pay particular attention to them.
As this type perceives their career to be a means of fulfilling their needs for social relations, it would be wrong to press them to conclude business deals. Their strength lies in human contact.
Enhance their sense of identification with the company goals by stressing plus points, such as environmental friendliness of the products or the personality development of the employees.
As a result of their social leanings, this type of sales representative finds it difficult to fit into a team. You should therefore see if they have any promotional potential.
Here is some advice on how to behave towards certain sales types:
Average Sales Executive
In every sales team there are star sellers and average performers, or `also rans`, who skulk in their shadows. The sales manager normally puts their top salespeople on a pedestal, a model for the others to look up to. This causes some average sales representatives to begin doubting their own ability. It can lead to feelings of envy, resentment and resignation. Do not make such a fuss of your top sales representatives quite so often. Think of motivating the middle ground of your sales team.
You could, for example, mention the reasonable performances of your average salespeople in internal company announcements. If you only ever announce the top performances of your sales stars, all the other members of your sales team will be de-motivated. Also try to include average sales executives on further training courses.
Create performance groups if you are holding sales competitions. This means that the top people compete amongst themselves, the middle ground compete with people of the same ability and that the weaker sales representatives fight it out amongst themselves. In this way, everyone finds the competition fair and encourages them to perform well.
Slow Sales Executives
If you employ a salesperson who is extremely slow, do not encourage them to hurry up. Take advantage of their strengths - their marked need for security, their perfectionism and their accuracy. Direct these skills into the right channels by setting the sales representative tasks which correspond to their ability.
The Antagonistic Salesperson
The antagonistic salesperson in your team often has a low opinion of themselves which they express through their aggression. They need your appreciation and your attention. Help to increase their self-esteem, by setting themselves real challenges. Widen their area of responsibility and give them the chance to win your praise and appreciation.
The Senior Sales Representative
Pay particular attention to the senior sales representative: if you look after your senior sales staff members, this will have an effect on your whole sales team. The sales staff see that senior team members are not simply pushed to one side, but that they are well taken care of by the company. This knowledge fosters loyalty.
Senior salespeople are more burdened by travelling and negotiations. Their reactions, perceptive ability and short-term memory deteriorate with age. On the other hand, old-age is conducive to skills, such as the ability of coping on a daily basis, long-term memory, learning ability and intelligence, as well as concentration and attentiveness. The sense of responsibility and reliability also increase with age. The older sales representative has better judgement as a result of many years of experience.
What can a sales manager do to dispel any fears that senior members of their team may have?
Show appreciation of their performance: a sales representative who makes 6 client visits a day and a monthly turnover of £60,000, will have made 36,000 client visits and a turnover of £21,600.00 after thirty years working in the field sales department. Announce these magnificent figures at company meetings, trade meetings, in letters to clients and to the local press.
Take your senior sales representatives out of the field sales force and place them in services. Elderly employees can also be considered for jobs in the office, such as the assessment of visiting reports, sales statistics and dealing with customer complaints.