logo
SST Newsletter Best Practices in Sales Force Management
September 2007

in this issue
  • Fall Greetings
  • Applying SST to Reduce Sales Force Attrition
  • Do You Bring Your BATNA to the Table?

  • Applying SST to Reduce Sales Force Attrition
    Freud

    A recent study reported that almost one-quarter of U.S. workers changed jobs and nearly three-quarters of the businesses surveyed anticipated increased competition for talented employees (MetLife Employee Benefits Trends, 2007). The sample in this study was comprised of all workers. One would have to believe that, if a similar study focused just on salespeople, those percentages would be even more severe. Indeed, we have consulted with clients in efforts to reduce sales force attrition who were confronting significantly higher attrition than twenty-five percent.

    More than any category of workers, salespeople are both threatened with termination and wooed by competitors. Salespeople are the foot soldiers of an organization who engage the enemy in hand-to-hand combat on a daily basis. And just as Sun Tzu advocated an occasional beheading of ancient Chinese soldiers to motivate the troops, modern salespeople are sporadically terminated for not meeting their quotas. On the other hand, high performing salespeople are courted by competitors in hopes that they will bring their talents, relationships, and books of business to the other side.

    Whether you are kicking salespeople out the door or your competitors are stealing them from you, sales force attrition is emerging as a serious business challenge.


    Do You Bring Your BATNA to the Table?
    Casablanca

    One of the core negotiation principles we teach is having a BATNA: Best Alternative to a Negotiated Agreement. It is essential because the party who holds the stronger BATNA, not necessarily the one who is bigger or more powerful, wins.
    We illustrate the concept with the great and classic film Casablanca. As you may recall, the 1943 Academy Award winning movie revolves around negotiating for letters of transit (visas) that will allow the holders to flee Nazi-controlled Casablanca for the US.

    Rick Blain (Humphrey Bogart) has them, and Ilsa Lund (Ingrid Bergman) wants them. In the scene entitled "Ilsa's Plea," Ilsa puts her BATNA on the table when she pulls a gun, points it at Blain and says, "I tried to reason with you. I have tried everything. Now I want those letters. Put them on the table." Bogey one- ups her BATNA by stepping closer and saying, "Go ahead and shoot. You will be doing me a favor."

    The BATNA principle came to life for me again in the context of a current conflict, the war in Iraq. New York Times columnist Thomas Friedman wrote last month about the Iraqi Parliament taking the month of August off, while our soldiers put their lives at risk in the scorching desert where temperatures push 130° F (54.4° C). Obviously, from an American perspective, if our young soldiers can endure those kinds of conditions, the Iraqi parliamentarians ought to be able to meet in their air conditioned facility and advance a political solution for their country.

    Although he doesn't use the term BATNA, Friedman hits on the same principle when he observes that, while the US is bigger and more powerful, the Iraqis have a stronger BATNA. Believing that the Bush administration will never walk away from a negotiation there, the Iraqis will not make concessions, like keeping Parliament in session.

    The lesson to be learned is to always have your Best Alternative to a Negotiated Agreement determined before you enter into a negotiation. Stick to it and be ready to walk. If you don't, you will lose the negotiation, even if you are bigger and stronger.


    Fall Greetings
    Dr. Arnold Tilden

    In this issue of the SST Newsletter, we address a growing concern for the sales industry: sales force attrition. If you, like so many other businesses today, are suffering from too much turnover among the key players on your sales team and you're not sure why, our lead article is for you. Read more about the new insights we offer to help you battle this problem in Applying SST to Reduce Sales Force Attrition. Let us help you find a solution before the snow flies and before more relationships with your key accounts are put at risk.

    Our second article addresses yet another element critical to your sales success, the BATNA. The Best Alternative to a Negotiated Agreement is a fundamental negotiating principle. And we recommend that you, to borrow a line from American Express: Don't enter a negotiation without one.

    Quick Links...

    Tilden & Associates

    Buy The Book - SST: Successful Selling to Type

    Order Rainmakers, Closers, and Other Sales Myths

    SST Newsletter Archives



    Join our mailing list!

    Tilden & Associates | 513 Shannon Lane | State College | PA | 16803