This presentation will provide excerpts from the new ebook “Promoted to VP of Sales: The Year 1 Toolkit”. The ebook is free and provides symptoms, causes, and cures for why the average Chief Sales Officer only lasts 19 months in their role. Authored by Matt Sharrers and Greg Alexander of Sales Benchmark Index.

1. Website Email Phone
www.salesbenchmarkindex.com info@salesbenchmarkindex.com 1-888-556-7338
New Book:
Promoted to VP of Sales:
The Year 1 Toolkit
(A few highlights from the new book)
Navigating the first 19 months…

2. CSO Average Tenure is 19 Months
Impacts of CSO turnover:
• Missed financial expectations
• Disruption in field spikes
• Customers suffer
• Competitors see run on talent
• CSO suffers wage, reputation and
marketability
2

3. Benefits of Success
• Bonuses for all execs
• Surplus profits drive new projects
• Field is spared from reactive initiatives
• CSO enjoys income, rising share price and
builds personal brand
3

4. Root Causes of Failure
23 Symptoms but only 4 root causes:
Root Cause Evidence Result
Thrashing Wrong solutions Lots of effort but very
implemented due to little results
incorrect diagnosis
Detachment Sales Strategy selected in Go-to-market plan out of
a vacuum synch with target markets
Sequencing Poorly ordered programs Change fatigue surfaces
that cancel each other from improper
out sequencing
Alienation No appreciation for Declining sales destroys
impact on rest of the morale
company
4

5. Thrashing – Lack of Strategy
• Typical approaches
• Skip strategy
• Fast track one
• Do it right
“Once you make a decision on the sales strategy, you make a decision on short term
tactics that help you put points on the board with the sales force. This then paves
the way to do medium and long term items that are more strategic in nature.”
– Paul Rolls, IDT
5

6. Thrashing – Summary
Urgent Chaos Panic
Sales Force Drivers
1-6 months 7-12 months 13-19 months
no action taken due to VP direct reports CSO reacts to pressure by pushing team for
Sales quotas are missed
Sales Performance Management pleading incorrect measures more results
Best customers are not being given Best accounts receive more resources but at growth rate not improved; inordinate pressure
Key Account Management enough attention high costs on team to drive cross sell
Pressure mounts to make changes made but out of alignment with recognition over payment and pay for top
Sales Compensation compensation changes rest of company strategy performers is not on track; complaints heard
invest in a variety of short term marketing Marketing budget cut due to lack of ROI while
Sales force is not finding enough leads
Lead Generation tactics without tangible ROI sales force still complains due to lack of leads
Pressure builds from organizational outside training launched; event based with training budget cut due to no ROI on first
Sales Training development and HR no knowledge transfer to team spend and lack of adoption/tangible results
Operations/Product questioning why
not linked to corporate strategy CEO senses trouble and feels CSO is panicking
Sales Strategy certain decisions made in Phase 1
CFO looks for evidence of sales leader's
undefined and unmanaged Low hanging revenue fruit is already picked
Sales Goals success as skepticism grows
clear direction but wrong priorities Higher reporting and quota standards put in
Multiple initiatives without clear direction
Sales Management due to misdiagnosis place
initially adding headcount without Some C players are replaced by potential A cutting headcount due to overspending from
Resource Planning understanding market potential players 12 months ago
anxious about new leadership; willing realizing broken promises of first 6 months Lost confidence in the leader and the company
Sales Force to see if positive change comes are a reality for zero follow through
Sales leader becomes more dictatorial and less
fail to understand market position realizing analysis was too short or incorrect
Go to Market Strategy collaborative in recovery effort
6

7. Thrashing - The Cure
Develop your diagnostic capability and
follow a framework
• Does the organization know a problem exists?
• Is the perceived problem a symptom or is it a
root cause?
• If it is a root cause, is the organization willing to
undergo the disruption to solve the problem?
• When they fix this one problem, it will create a
new problem. How will the org prepare for
continued improvement?
7

8. Detachment - Root Cause #2
Sales Strategy detached from life cycle of
industry, company and product
Example:
• Mature Industry and company
• Mature product
• Sales force arranged for growth
• Head winds prevent results
“when I arrived, I had to quickly orient myself with where the
industry, offering, sales force and customers were on the maturity
curve to ensure I deployed the right go to market strategy”
– Glenn Collins, CDI
8

9. Detachment – The Cure
Avoid detachment by considering where
you are on the maturity spectrum:
9

10. Sequencing – Root Cause #3
Installing best practices out of order yields
failure:
• Deploying sales force automation without a
sound sales process
• New comp plans before quotas are established
• Sales Training before skills assessment
• Add headcount before coverage analysis
“As an outsider, you can come up with the new ideas but in a strong culture you
will be rejected. Use the insiders and informal leaders to help you drive the right
change in the right order through the organization”
– John Gleason, Ryder Systems
10

11. Sequencing – The Cure
• Use a framework to determine sequence
• Conduct stakeholder analysis
• Manage disruption
“I spent 60 days on the road and brought the team together to build a set of
goals. We then sat with the entire management team, laid out our
roadmap, including what was required from each and asked for buy in. From
there, it was about execution; they knew what we were doing, in what order and
why”
– Alex Shootman, Eloqua
11

12. Use a Framework
12

13. Manage Disruption
Start with sales strategy and sequence
down through infrastructure
• As you solve one problem, another appears
• Align to the org’s appetite for change
13

14. Alienation – Root Cause #4
Inadvertent isolation through “us vs. them”
posturing:
• Collaboration is key but CEO is ill-equipped to
guide you through sales transformation
• Remaining executive team views strategy
through 1 of 3 lenses:
• Product Differentiation (innovation—Apple)
• Operational Efficiency (cost management—Wal Mart)
• Customer Intimacy (customer experience—Ritz Carlton)
“One of the first things I recognized was we had distinct silos…we went from a
functional sales organization to a matrix which forced more collaboration in the
field. We set strategy around collaboration. ”
– Barry Somervell, Kindred Healthcare
14

15. Alienation – The Cure
To avoid alienation:
• Understand level of disruption the culture can
handle
• Leverage peer interviews to identify agility of
the executive team
“I knew I could get more done through my peers vs. going around my peers. I
focused on being objective and ensuring the sales department was optimized
before I pointed any fingers at other functional groups”
– Alex Shootman, Eloqua
15

16. Disruption Tolerance
Perform Risk Assessment on Organization
RISK CATEGORY IMPACT* LIKELIHOOD* PREVENTION STEPS
Execution
 Results obtainable
 Methodology (how will we
change)
 Executive sponsorship
 Past performance on similar
change initiatives
Operational
 Too disruptive
 Implementation plan
 Executive turnover
 Project team turnover
People
 Do we have sales rep talent?
 Capable sales management
 Unknown stake holders
 Unexpected resistance
 Chemistry between VP of
Sales and peers
 Ineffective communications
Financial
 Leading vs lagging indicators
 Time to recognize result
16

17. Next Steps
Does your plan consider these concepts?
Read the eBook today!
Discover the 6 Free Tools to Thrive!
Download a Free PDF copy now!
17