Reduce Sales Force Attrition : Use "Reverse Gear"

Cost of Attrition

Even if we disregard one reality - that the days are truly over when an ample number of good prospective salesmen fell over themselves to fill your vacant sales positions - the second reality cannot be avoided : the real cost of attrition is much larger than what the accountants will tell you. When a salesperson leaves

• the territory sale suffers for months till a new person joins & learns ropes
• In the interim, competition gains. Some of these are permanent gains
• Customer Relationships - acquired by the person - also leave the company
• These relationships may be used by your competitor by hiring the person
• If the man had high potential, you lost a future "manager in pipeline"
• Your reputation suffers
• You incur costs of recruiting a new person and training   

New Reality 

Many of us who employ sales people still live in the past when we could afford to work under the assumption that (a) the prospective employees needed us more than we needed them (b) there is an abundant supply of suitable prospective employees out there which can be tapped at will by us. This is simply not true anymore.

Create an equal opportunity  

I recommend a "Reverse Gear" approach to you wherein you establish 2 processes 

1. that enable you to evaluate and choose the right candidate 
2. that enable the candidate to evaluate and choose you   

Surprised by the 2nd process? Don't ! Do not focus only on learning about the candidate so that you can make a solid decision. Focus also on creating an environment where the candidate has the same opportunity. This way both sides can make a solid decision and start a good relationship.

Reverse Gear Approach   

How to give the sales candidate an opportunity to make an informed decision ?

• FAMILIARIZATION WITH YOUR CULTURE : Many, these days, save money by conducting  interviews by phone and only bring the finalists to the Corporate. The company gathers key information, but the candidate does not get a chance to evaluate if they can apply their skills successfully in the company's world. One of the best ways to share the sales culture with candidates is through reverse interviewing wherein the candidate gets an opportunity to ask questions to a potential peer who is a seasoned company person who knows how your company really operates.
• FOR SENIOR POSITIONS INVOLVE FAMILY TOO : For senior positions involve the spouse too so s/he can ask questions and understand the plans of the company. If you do this well, you are creating an ally who lives in the prospective employees' home!
• YOUR PLANS : equally important is the direction of the company because people like to work in an environment that is forward looking and knows where it is going.  Many companies lose this opportunity to excite the candidates even before they join.
• CLEAR COMPENSATION PACKAGE EXPLANATION : very few companies walk their candidates through the compensation plan as a part of the screening process. Time taken in the beginning will save a lot of heartburn later on. The same thing goes for the benefits. Share the benefits program. In both cases, realize that the interviewees may be too polite to ask this during the interview. I suggest provide them with an HR contact with whom they can freely inquire about benefits and allowances without feeling embarrassed.