Activity vs. Results

From a sales manager or owner perspective, the most important metric is results.  Activity can be a great indicator of potential and effort and opportunity.  But at the end of the day all that matters is the results.  In today’s economic environment I would be lying if I didn’t say I am becoming less excited with all the information about the activities around revitalizing our economy.  If revenues are still falling, businesses are still closing their doors and people are still losing their jobs, the results do not reflect all the noise attributed to the activity.

This morning I partially attended the Greater Phoenix Economic Council summit.  (Francine Hardaway summarizes this event quite well in her blog.)  I became repeatedly frustrated by the rhetoric of people talking about what they are going to do or what they have already done.  The motivation for this blog is not to rail against our political leaders for not initiating enough change, which I could.  Rather, I would like to use this rhetoric as an example of the behaviors that we encourage daily in our businesses and, more specifically, with our sales teams.

Three points:

1. Activity is not results.  I do not have the time for people to tell me what they did last week.  Last week is history and it is merely a report of busy work.  If they want to tell me what they accomplished there are three things I care about: How many new business deals did they qualify; How many new relationships they developed; How many business deals they closed.  Note that these are numerically quantifiable.  Sales is a numbers game and if the numbers are in line, chances are the results will be also.  (Note: this assumes that the sales model is correct.)

2. Accountability is required. I am less interested in what someone thinks they have accomplished in the previous weeks, i.e. quotes, proposals, meetings, etc. than I am in what they will be accomplishing this week.  I am not afraid to hold anyone accountable for their commitments and their plans.  If they tell me what they think I want to hear, they will soon learn that they need to tell me what I need to know–what they are going to accomplish this week.  Too many businesses, like our government, operate in a world where personal and professional accountability at all levels do not exist.  Success is measured in results and results are achieved when people are held accountable for accomplishing them.

3. Have a plan that reflects your objectives. If you know what you need to accomplish work backwards and develop a plan that enables you to accomplish it.  When there is a plan, the activities, the accountability and the results will be there.  The old adage:  Those who fail to plan, plan to fail.  Don’t believe it?  Look at all the businesses that are struggling-most did not plan on the economy ever changing.  How naive.  Football coaches spend days and nights into more days going over film and looking at tendencies and weaknesses of their next opponent.  They develop a game plan.  They determine what they think will work best in certain situations.  On game day, they make half time adjustments based on what they are learning as it relates to the game plan.  Great coaches, the ones that win most of their games, are masterful motivators. They are also incredible organizers and planners.  They win by design, not by accident.

When a business owner, a salesperson, or my politicians start talking about what they have done in response to something, my first thought is “are the results reflecting positively to the activities?”  If not, chances are the activities, the accountability, and the plan need some work.  Focus on the results.  It tells you everything you need to know.