After you have established a profile, the next step is to build a sales candidate pipeline. Let’s first talk about online job boards. It’s fair to say that in today's environment, most of our communications are done online. At first glance, when it comes to recruiting, the Web seems to be a simple and relatively painless solution for finding new employees. Post a job profile on a myriad of available job search engines, and responses come flooding in:

• Monster

• Indeed

• Jobs - whatever city

• Ladder

• Snagajob

• LinkedIn

While this approach may work for some positions, I am unconvinced that it is wildly effective when attempting to hire good salespeople. In my experience, the best method for recruiting quality sales candidates is by introduction—the same method that works for the salespeople when prospecting for new business.

Finding sales talent candidates by introduction can be time-consuming and painful. However, it forces YOU to own the process, and that is the key. The mistake that many financial firms make is relying solely on the names and resumes they receive from recruiting services and online job posts. Finding new talent for your organization should not be left entirely up to the recruiters. They have a vested interest in placing people in positions and not necessarily in the success of the salesperson you hire. Remember: recruiters get paid when they place someone. That individual may not be (and often is not) the best fit for your organization.

Recently, I read that 75% of replacement hires are as bad as or worse than the employees that were replaced! If you have an open position for someone who is making $50,000 a year, you need to find the best $50,000-a-year person in your industry/marketplace to fill it. Don’t settle for a B or C player just because that’s what you had before.

So, what does taking ownership during the process of building a candidate pipeline look like? Here’s what needs to happen:

• Create your hiring profile (as discussed in Step 1)

• Create a process of getting introductions

• Build your team of candidate prospectors

• Identify candidate sourcing activities

• Identify monthly goals for the activities

• Build an inspection process – and consider using “huddles” to have prompt, productive, and painless meetings as you conduct that process (See Verne Harnish)

• Hold people accountable for reaching candidate sourcing goals

• Throughout the process – reward success, discipline failure

Once you start this process, you will begin to fill your candidate pipeline just like your salespeople fill their prospect pipelines! When you take ownership of this effort and you have a pipeline of potential hires that are better than your current underperformers, you will be more likely to:

• Replace under-performers

• Not be “held hostage” by prima donna salespeople

• Not settle for mediocrity

• See improvements in your current sales team

Finally, keep in mind that driving sales growth isn't always about more disciplined accountability, sales force automation, or sales training. Those things will help only if you have the talent on hand that will respond to these investments. Start with good talent, create an environment where people can succeed, and see what happens next.

Stay tuned for Part 3 of Hiring & Retaining Top Sales Talent!

Some of the factors that are limiting success in hiring & retaining top sales talent for many financial firms include:

• You are reactive in your recruiting – you only recruit when you need someone

• You transfer the entire responsibility of finding candidates to a search firm

• You don’t have a candidate pipeline

• You aren’t getting enough of the right candidates to interview

• The candidates that you interview and fall in love with fail to pass your evaluation process

• You interview quality candidates, but cannot attract them to join your company

• Candidates use you to improve their current position after you make an offer

• Your evaluation process is inconsistent

• You don't have a way to compare one hirable candidate against another

• You don’t have multiple candidates to choose from

• You pay “A” compensation to “B” hires

• Your new hires are failing to succeed quickly enough due to weak onboarding

There are three key steps to ensure that your bank or insurance firm recruits quality candidates that will maximize your organization’s revenue potential. Step 1 focuses on preparation. Step 2 will focus on building a candidate pipeline, and Step 3 will conclude with recommendations for screening those candidates.

Step 1: Define Your Sales Candidate Profile & Hiring Standard

The first step in your sales force recruiting process is to establish a profile of the ideal candidate for your specific position. Do not settle for a candidate who fails the criteria. And when you are evaluating resumes, pre-hire evaluations, and your interview notes, ensure that you are consistently comparing potential candidates to the hiring profile that you have established. This is the first step to help your organization refrain from hiring your next “average” salesperson.

Here are some questions to consider to avoid settling for average in the hiring process:

• Do you describe the job… or do you detail what it takes to be extraordinary in the sales role?

• Do you describe what your candidates will be selling… or do you detail what kind of competition they must be successful against?

• Do you make it clear that your organization puts high pressure on someone to perform? And do you find out if your candidate can survive in that kind of environment?

• Do you create the same environment when interviewing candidates that they will encounter when they are in the field? For example, do you challenge candidates by being difficult on the phone? Do you make them establish rapport with you in the initial interview? Do you make them try to close you in order to reach the next step of your hiring process?

Here is a sample outline for establishing your ideal hiring profile. Customize this to your objectives:

If you are committed to hiring & retaining top sales talent, your first step is to define your sales candidate profile & hiring standard by:

• establishing the right candidate profile for your specific situation,

• making sure that your screening process is consistent with identifying the right candidate profile, and

• preparing to challenge your prospects to meet exceptional standards rather than settling on “adequate.”

Stay tuned for Part 2 and 3 of Hiring & Retaining Top Sales Talent!

Create a Success Formula for Coaching Your Sales Team

Coaching your sales team for success starts with the math. The details in the numbers will help you help your people succeed. Ask yourself, "What numbers must my team submit?" and then break it down per advisor.

Start with the end in mind. Figure out how much each salesperson must sell so that your team reaches its annual goal. Making the math easy, see the following example: Assuming you need $500,000 annual new business sales and you have 5 salespeople, you know that you need $100,000 of new business sales per sales professional. If you know the average size sale is $10,000, then you know each sales producer must make approximately 10 sales. These are their Smart Numbers.

But we must continue this analysis. These Smart Numbers are supported by activities that also have Critical Ratios that must be calculated and tracked. In other words, how good are they at each step of the sales process? So now you must calculate the activity ratios per salesperson.

What is Jane's ratio of presentations to closes? What is her ratio of sales opportunities to presentations? What is her ratio of appointments to sales opportunities? What is her ratio of contacts to appointments? And what is her ratio of dials or attempts to contacts? These are called Critical Ratios. In order to coach your sales team, you must know these.

Perform a Math Analysis to Set Benchmarks

Perform this math analysis with each individual on your sales team. Then establish a benchmark.

If you know that each salesperson's annual sales goal is $100,000 and you know the current ratios needed, per the analysis above, you will then be able to extrapolate to get the specific behaviors necessary per individual to reach his or her annual sales goal.

In other words, if the current ratio of a salesperson's dials to contacts is 10:1 and you know that his ratio of contacts to appointments is 4:1 and his ratio of appointments to sales opportunities is 3:1 and his ratio of sales opportunities to presentation is 1.25:1 and you know that his ratio of presentation to close is 4:1, then you can approximate that he will need to make 40 presentations, 50 sales opportunities, 150 appointments, 600 contacts, and 6000 dials annually (120 dials weekly or 24 dials daily) in order to reach his annual goal of 10 sales.

Breaking it down:

• 100,000 / $10,000 average sales = 10 Sales

• 10 Sales / .25 (4:1 ratio) = 40 Presentations

• 40 Presentations / .80 (1.25:1 ratio) = 50 Sales Opportunities

• 50 Sales Opportunities / .33 (3:1 ratio) = 150 Appointments

• 150 Appointments / .25 (4:1 ratio) = 600 Contacts

• 600 Contacts / .10 (10:1 ratio) = 6000 Dials or Attempts

If these numbers are annual numbers, each of these behaviors should be reduced to weekly and daily activity numbers so that you have the data necessary to coach your people in real time.

In other words:

• 6000 Dials or Attempts / 50 Weeks = 120 Dials or Attempts per week

• 120 Dials or Attempts per week / 5 Days per week = 24 Dials or Attempts per day

This is an example of a Success Formula—the daily and weekly numbers that must be identified so that you can hold your people accountable. You will coach your advisors to perform to these numbers. Each week you will remind each of the number of calls they must make.

Track Performance Against the Success Formula

Once these numbers are identified and communicated to each of your salespeople, you must evaluate individual performance against their Success Formula. Every week, you must compare actual activity against these benchmarks to see if each salesperson has completed the behaviors identified in his Critical Ratio analysis.

Once the activity numbers have been identified, communicated, and tracked for a time, you will begin to see who is making the effort—the dials, the contacts, the appointments, etc.

Is John making the effort? Is he making the dials and contacts? There is absolutely no excuse for lack of effort. If you have a salesperson who is not making the effort, you have a new set of problems and the solutions are few. John can either make the effort, resign, or be put on performance probation. If he does not improve, he should be reassigned or terminated within a specific time period.

If someone on your team is not making the effort—the dials, the contacts, the presentations—your sales figures will reflect it. If an individual is not meeting a conversion ratio level identified in the Critical Ratios, you will know what area you must focus your efforts on. This is how coaching your sales team begins with the numbers.

Focus Coaching Beyond "Run Harder" Techniques

When I was coaching at Iowa State University as a strength and conditioning coordinator, my first task was to evaluate each player's fitness level. As a result, we knew, when George and other defensive linemen ran less-than-acceptable times in the 40-yard dash, that we would get crushed by Oklahoma and Nebraska because their players were bigger and faster. At the time, our coaching technique sounded something like "George, you must run faster." At the beginning of fall practices, when players were out of shape, this may have been adequate coaching. However, as the season wore on and players were better conditioned, this type of coaching was ineffective.

I was subject to this same typical but-less-than-additive coaching when I was in the life insurance business. My manager, Bob, would look at my numbers and tell me that I needed to see more people. How many of us are guilty of coaching people that way? How many of us have been coached that way? This "run harder" coaching technique might be effective with a salesperson who is not making any effort or with a new hire. But if he is working hard and doing the behaviors, you must uncover his choke points and adopt more constructive coaching techniques.

Get more help with coaching your sales team in our eBook The Extraordinary Sales Manager below!

Hiring better salespeople is one of the biggest problems identified by the companies participating in our programs. The question is always, “How do I hire better salespeople?” Unfortunately, there is no simple answer to this question. But one thing you must recognize is that you and your process are responsible for the quality of the salespeople on your staff today. In other words, your recruiting process is perfectly designed for the team you have. So, if you need to hire better salespeople, you will need to change your recruiting process.

Recruiting is like sales. A salesperson must have a system. They must have a pipeline. Their activity must be consistent. Like the salesperson, you must have a system and you must execute the recruiting process exactly like you wish your salespeople to execute their sales process. Recruiting, like selling, is not a “sometime” thing — it must be a consistently planned and implemented activity.

Build a Recruiting Pipeline to Start Hiring Better Salespeople

You must have a Recruiting Pipeline, like your salesperson has a Prospecting Pipeline. Individual salespeople are required to fill their Prospecting Pipeline. Sales managers and sales leaders must be required to fill their Recruiting Pipeline. After all, if you had salespeople who didn’t have sufficient Prospecting Pipelines, you would be concerned about their future and the future of your company. As the person responsible for hiring better salespeople and driving sales production, the same should hold true for you and your Recruiting Pipeline.

To implement a Recruiting Pipeline, ask your sales team to let you know if they run across someone at the networking opportunities they attend. Ask them who they know. “Who should we be talking to? Do you know a salesperson who might be looking to make a change?” You must make your own efforts as well. Sometimes salespeople will not wish to offer up names, thinking that these people might present competition.

Meet with other employees to find out who they know who might be a good fit. Put together a Recruiting Team and ask these people to submit candidate names once per week. Implement a Recruiting Huddle and hold yourself and everyone accountable. Talk to your neighbors, your tennis partner, your golf friends. Ask them who they know who might be looking for a new opportunity in sales. You never know where you will find your next producer, and your goal is to fill your Recruiting Pipeline with prospective hires.

You must also determine your Pipeline Success Formula — how many names must you have in your pipeline to hire one good salesperson? How many names must you acquire to find one candidate that you will hire, contract and on-board? If you don’t already have a Recruiting Pipeline and have not done this consistently, you will have to guess until you get enough experience.

Hiring better salespeople requires you to be proactive. Have a consistent process, do the behaviors and inspect your activity just like you do your sales team’s activities.

Identify the Ideal Salesperson Candidate

Last but not least, you must identify the Ideal Salesperson Candidate. What are the skills and strengths most necessary for success in your company, industry and marketplace? It is imperative that you determine a profile for the ideal salesperson because otherwise you might hire just to fill an opening, thinking a warm body is better than none. In this process you must identify the type of salesperson you need and how your current sales staff measures up to the ideal salesperson.

I recommend an objective assessment that screens for sales skills, weaknesses and compatibility like the OMG Sales Candidate Screen. The Sales Candidate Screen gives you a succinct and accurate glance at a recruit. Will they take responsibility for their successes and failures? Will they get referrals? Can they handle prospects? Will their desire to be liked get in the way of selling? Do they take put-offs? Will they make presentations to unqualified prospects? Are they a hunter who will go out and find business, or a farmer who cultivates current business?

So, you must know what you are looking for in a candidate and you should know in advance the problems that a candidate is bringing to the table. Clearly resumes are not the answer because they typically present a stellar candidate. Face-to-face interviews are often misleading and can take you off track if you particularly like or dislike a candidate.

Next, you must implement a 5-Minute Prescreen Telephone Interview with the goal of initial discovery. Is the resume accurate? How does the candidate handle the phone call? In this case, you are the prospect, and your candidate needs to sell you on themselves.

The idea is to create an environment on the phone just like the salesperson will face when they are prospecting. Thus, it should be a bit uncomfortable. You must find out how the sales candidate will act under pressure.

A good sales candidate will try to engage you by asking questions. This means that they will likely attempt to do the same in a sales situation with a prospect who is rejecting them. Perhaps they will even try to close for an interview. This means that they will likely attempt to do this with a prospect. If they do one or the other, they pass the 5-Minute Interview and are on to the next step.

Remember, your current recruiting process is perfectly designed for the team you have. Are you ready to make changes in your recruiting process so that you can hire better salespeople?

• Ask questions.
• Listen to what they say.
• Understand what they say.
• Listen for what they don’t say.
• Ask questions about what they didn’t share.

What seems so simple is quite complex. To build trust, salespeople must be very skilled at asking questions so that when they dig a little deeper than normal, it does not seem like an interrogation. How do they do that? With a conversation in which they are engaged and genuinely interested in the prospect or client and NOT thinking about the next sale or product to offer.

The right time will come to provide solutions, but trust will be built along the way if the right questions are asked and answers are “heard.” A very common problem with many salespeople is that when they hear a cue such as, “Our payment process is just not working efficiently,” they will jump too fast to offer solutions. To truly understand that problem, more questions need to be asked, such as: “What have you done to address that?” “How long has that been going on?” and “How is this problem impacting you?”

Now how does a salesperson go about finding out what a prospect or client is NOT saying? Using the example above, if a client or prospect has had a problem that has been going on for a while, to find out what they are NOT saying, you could ask them: “Why do you think the company continues to just live with the problem?” They might bring up systems limitations or budget allocations — any number of things — but it’s all good information for determining next steps, if any.

Another idea to find out what a client may not be saying is to ask them: “If another agent called and asked to meet with you, would you say yes? And if so, why is that?” This should be a genuine, inquiring conversation and cannot come off as being defensive.

Another way to find out what customers want and to better meet their expectations is by asking them: “What one or two things could I do more or better that would help you?” Then, listen closely to what they say and keep your antenna up for their safe words: ok, reasonable, fine, pretty good, happy. If you are shooting to build trust and grow advocates, you will need to exceed expectations and look for words that indicate you have outpaced others in your efforts and delivery to serve. Words such as best yet, irreplaceable, always deliver.

Five Capabilities That Support Building Trust in Selling

Here are five practical sales capabilities that successful salespeople master to help them in their quest to building trust in selling:

1. Ask the right question, the right way, at the right time. Asking questions is the key to great selling, but only if the questions are the right ones and they are asked in a way that builds trust and helps the prospect to further disclose details around their SMA (Severe Mental Anguish).

2. Listen closely to the answer. Salespeople must really listen. Most of the time the initial problem a prospect identifies isn’t the real problem. Salespeople must uncover the real problem by listening intently and asking probing questions, digging ever deeper with each follow-up query. Resist the urge to pitch the product!

3. Dig deeper with the following techniques. Salespeople must master questions and statements like the following: “Tell me more about that.” and “Why is that so important to you?” They must be comfortable asking questions like: “Is that problem compelling enough to make you take action?” and “How will you find the budget?”

4. Reject rejection. Salespeople need to understand that selling isn’t personal. So, if they don't move forward with a particular opportunity, they must be able to recover, reset, focus on other opportunities, and continue to prospect.

5. Be prepared. Scheduled prep time is essential. Salespeople who are well-prepared are better able to utilize their sales capabilities when they need them most. If they are practiced and comfortable going into a sales meeting, they will be able to operate under pressure.

In a highly commoditized industry such as financial sales, building trust in selling efforts is the superpower of differentiators. Salespeople should take a minute to review their top 20 clients, for example, to think about how deeply the trust factor is present and create a focus to turn more customers into trusting clients.