ARWUSS

80 – 20 This!

“We will be geared towards the average rather than the exceptional”
Gerald Bostock/Ian Anderson (take your choice)
 
As we approach the home stretch in 2009, most of us are looking to 2010 as a fresh start in more ways than one.  But that also brings the challenge of what we will do differently, what will we take in to the New Year to help us move forward and win.  If we don’t change how we do things, we are not likely to change results.  With a month out, I am hearing some tepid optimism, but when pushed for strategy or plan of execution, there seems to be adherence (if not clinging) to the same old same old.  When I ask why not embrace change, we hear different reasons, one that comes up often is that no matter what you do, you can’t change the fact that in sales you have to live and deal with the 80/20 rule.  Really scary thing this passive acceptance of the 80/20 rule as the status quo; especially since the status quo is the mortal enemy of every sales pro. 
 
The quote at the top unfortunately rings true for many in sales and in many aspects of sales.  While many strive to improve and move the science and art form forward, all too many are quick to not only accept but preach the mediocrity so aptly and sadly captured by the quote and the 80/20 rule.  A rule that not only allows for but rationalizes the fact that many in sales are allowed, no, encouraged to wallow in the “average”. How else would you explain this casual acceptance of 80/20?  Even if it were true, you would think and want sale professionals and leaders to want to defeat and slay the beast, but instead it is used to deflect the accountability required to evolve and win.
 
I am for ever amazed at the how the 20% that “do”, those that are credited and recognized for driving 80% of the revenue, tolerate the fact that they have to carry the excess weight. I am almost as amazed that the “80%” is content playing the role of the paper weight in sales department. I am also at loss to understand why an organization carries the 80%, especially since they say salaries are one of the largest expenses a corporation has.  Seems to me that if you have a non-performing asset you get rid of it, yet sales managers and organizations are reluctant to deal with their non-performing assets.  I know it is a tough decision, I know we are dealing with human beings, but I think everyone would benefit from tough but clear decision. 
 
If in fact the 80/20 rule is prevalent, it would make more economic sense to just let 80% of the team go, adopt some Sales 2.0 or 3.07 tools and reap the margin improvements.  I don’t buy the BS that it is better to have someone in the territory than to have it neglected; better neglect than long term damage.  If you know they are not good enough, then so do your customers and that will reflect on you as the manager or the company.  I can see it if one is actively looking for a replacement, fine, but usually they are not.  I used to work with colleagues, directors, who would admit the ineptness of their team members, but insist that it was only a question of time before they improve or leave of their own volition.  Sure, they get a weekly check when they know that they are the 80%, and they are going to leave?  OK, and if I click my heels three times I will be in Kansas, and get frequent flying points to boot.
 
So this week I want to look at how the 80/20 rule continues to present itself in sales an a few small steps that can be considered, taken, to tilt things.  What if, and go with me here, in 2010 we change things to get to 70/30?  After all, all we need to do is impact 20% of the 80% and we could make great strides.  Over the next few posts I’ll look at some areas where we can take a bite out of the 80%.  It will not cover everything, but I will look at a few areas to consider and act, so as I do, I invite you to not only take inventory in your sales world, but share with us ideas where we can change the balance, so everyone can have a chance to abandon the 80%!
 
What’s in Your Pipeline?
Tibor Shanto