Hi everyone, getting real excited about our upcoming business simulation on Talent. Yes, you know I’m a huge fan of business simulations since they are so effective in teaching major principles of business to your managers and staff.
In this video below, I’m going to explain the major learning points and why you and your team should look into this amazing workshop. I realize I’m biased about this, yet, I’m seen first hand the opportunity to self-discover why things work well and why they fail – without costing me any extra money! Yes, I’ve seen the good, the bad and the ugly things happen on the board – yet, once people learn the right way to do things in business, the only thing you will get is the “good” decisions for your organization.
Talent Reality is all about the Financial Impact of Talent issues upon a business. Participants learn how to effectively communicate with team members; make decisions regarding talent; make decisions regarding the production efficiency of the business; and learn the importance of optimization of people and processes for your organization.
Take a couple of minutes to watch this introduction and take action to join into this highly interactive business simulation takes you on a course of running a business for three years during the one day workshop. Check it out here…
Beyond salary and sales, there are many important aspects of talent management that are often not tied to the bottom line. Yet, “dollarizing” the value of talent management initiatives is vital to bottom-line analysis. Whether you are placing a value or cost on your current status, or calculating the ROI of your next talent management strategy, metrics that assess the monetary value will help you see the true effect on the bottom-line.
Bottom Line Statistics
Knowing the bottom line results of talent challenges will help you implement strategies with a proven ROI that you can see on your balance sheet. Find out how much you already know by asking yourself questions like:
• What is disengagement costing the bottom line?
• What was the ROI on your last training? What can be expected of future training?
• How are your team-building initiatives impacting your bottom line?
• What was the cost of your last bad hire?
• What is your overall turnover percentage? How is it related to tenure?
In a study on over three million employees, Gallup found that over 70% of Americans who go to work are not engaged. This means businesses may be operating at significantly less than full capacity, a loss that could cost millions a year.
• What is employee disengagement costing your company? Several thousands, millions, more?
• How can you calculate this cost?
• How does it compare to the investment of a proactive approach to increasing engagement?
With tightening budgets and a focus on cost-saving strategies, businesses worldwide are making drastic labor cuts. But is that always the right move? A recent study analyzed the savings resulting from changes in general and administrative functions and found that 75% of the savings came from strategies focused on restructuring and redesigning, while only 25% was from reducing.
• Would you, too, save three times as much on your bottom line by investing in your people and processes?
• Is the slash and burn approach actually costing you more?
• What would the ROI be if you restructured and redesigned your workforce?
As business associates who want to make a difference in the bottom line, we might find advice in Aristotle’s quote by remembering to assess, in money, the value of talent management initiatives so we know its true worth. How else can we place fair value on the investment in people? After all, they are a company’s biggest asset.
There are eight questions that you -as a salesperson- should know the answers about your customer. An added benefit is to learn the answers regarding your own company. Then and only then, will you be in a position of strength. Where does this strength come from – understanding the financial health of your customer.
Let’s exam the eight questions that hold the answer to your customer’s financial health. The eight are as follows:
- What were your customer’s sales during the past year? Did they grow, have a record year, or hold their own even in the economic downturn. You should learn about the quality of sales and where do they sell – domestic or international? Which brands or markets are strong for your customer. Do you sell into the growth or declining arenas for this customer?
Today, I’m looking at value adding opportunities for the Maturity Phases of a company life cycle. This could also be applied to a company’s product or service life cycle. This information is provided to assist sales people deal with their customer’s situations and internal managers looking for ways to improve the performance of their company.
The Maturity Phrase is an interesting period and seems to have a large number of companies in this category. However, most of these companies are in commodity industries and are working hard to stay out of the declining phrase – which I will discuss on Thursday.
There are six opportunities for you to consider when you have identified a company or product in the maturity phrase. The six that we have assisted our clients with include:
Today we are going to explore methods that revenue can be increased. This information is valuable to both sales people – who need to show growth opportunities to a customer; and company executives – who need to find a way to increase their own revenue during this difficult economic period. So, I am listing 15 ways to expanse revenues:
I want to start the Business Acumen series with a basic discussion point: Sales Growth. This has become the top subject in many offices and board rooms due to the recessional impact by the economy. Every executive is focused upon increasing revenues. It has become the number one thing keeping them awake at night. While I will discuss this point, I want to share the balanced approach to looking at Sales Growth – since their are companies that are still growing even in this economy.
Sales Growth is one of the first things you should be looking at to understand the culture within the company. There are three variables for you to consider when reviewing growth. First, you can have growth; Second, you can have a declining sales trend; and Third, you can have no growth or no change in sales volume. The key is watch the trends. One year is never enough to assess the progress of a companies sales. Several years of sales (Five years is best, three is a minimum and for large public companies – 10 years) One of the best sources for public company data can be found in Yahoo Finance.
Trend showing Growth over a three to five year period. There are several questions to ask regarding a growth company.
Okay, after reviewing my Google Analytics I noticed that my readers really enjoyed reading about business acumen in my Becoming a Sales Superstar series. So being a believer of data and customer response levels, I decided that over the next couple of weeks I will provide more information on this vital topic.
To start, I want to define a few terms for everyone:
“Business Acumen – the ability to understand how any company or organization makes money.”
“Profitability Growth – the ability to simultaneously increase sales and profitability at the same time.”
“Financial Analysis – Understanding the fundamentals and building blocks of an organization. Then connect the dots for analyzing growth, performance, productivity and profitability.”
During the series on Business Acumen, I will share information that is important to executives, managers and sales people. The top performers understand how to calculate the information to judge opinions, make decisions regarding projects, and to evaluate performance of individuals, groups, teams, divisions and the whole company. This is serious information, yet, I will keep to my goals of making things simple and fun to learn.
Come visit during the week or everyday. You can link to the site and have the RSS feed deliver the daily posts to your newsreader of choice. Sales Managers, use this series to educate your B2B sales teams – they can use it to win more sales. Enjoy the daily posts on Business Acumen.
The second key in the world of creating a steady, consistent and profitable growth organization is Technology. Old technology does not count. The key word with technology is emerging. New and cutting edge technology is the focus for breakthroughs in productivity and growth. Examples are numerous as to what technology has done to and for organizations.
Some old technology examples that created productivity increases include things like telephone systems
(now referred to as communication systems due to complex coordination of technology.) which reduced the need for operators; fax machines that allow for immediate transfer of people documents including invoices; personal computers on desktops leading to easier creation of documents and spreadsheets allowing for instant analysis of data point changes due to strategy or investments. Databases and information became portable for sales people, managers and team members.
So what is emergent technology and how does it impact growth opportunities?
Step Two in our series of steps to becoming a sales superstar is about Business Acumen. Many people ask, ” what the heck is business acumen?” Well, it’s a term used regarding your knowledge of business philosophy and how organizations survive or thrive. It all about understanding exactly how a company makes money. So how does business acumen impact a sales person’s success?