There was a great blog yesterday which emphasized the silly decisions executives make with their sales program when sales are down.  In “Note to CEO’s, Stop Strangling Sales,” the author talks about a recent survey and the emerging trends in sales teams based on declining revenues.  The list of trends is frightening, in that it demonstrates a defensive mindset with the only part of an organization that needs to be on the offensive:

• lead generation budgets had been frozen or reduced by 67%
• training investments per rep decreased by 13% on average
• new investments in CRM technologies had curtailed
• overall revenue plan attainment in 2009 dropped to 77.9% from 85.9% during the same time period last year
• 85% of firms have raised their quotas for their sales reps

“How the heck do they think that those reps are going to make those numbers without good leads, better training, and new technology?”  Good question.

CEO’s, Executives, and Owners: If you want your business to grow you had better get out of the way of your sales team.  It is time to  revisit the investment conversation for your sales department.  However, before you do that, I would expect that you, as leaders, have a better handle on what constitutes good strategic decision making and what constitutes an effective dismantling of the potential growth machine.

Here are the steps that need to occur before you take the ax to any current plans or write a check to invest in a new one:

1. Know where your most effective (profitable, repeatable, scalable) market is.

2. Know what the value proposition is that makes that market the most valuable opportunity for your business.

3. Know what the message, the story, and the strategy is to attack that market like a lion attacks the weak antelope in the pack.

4. Invest in the proper development program that repositions your entire team (executives, managers, marketing and sales) to properly get revenues cranking in this market.

Instead of cutting back, put the tools and the resources to get things in an offensive mode. If your leadership team cannot readily answer the first three questions without doing research, spending money, or taking a long pause, find new leaders–the ones you have are out of touch. It is time to kick your business in gear with people who know what they are doing and know how to do it effectively and efficiently.  Invest in growth or your business will be listing on its side awhile longer.  As for you, either join in the program or get out of the way.  This is not the time for a general who is not in the trenches fighting the battle with his troops.

If you need some direction, call me.  This is what I do best and I will get you there.