Executive Summary 5

Are You Getting the Most From Your Salespeople?
You can achieve breakthrough sales results by better utilizing one of your company’s most valuable assets — your salespeople

Sales force productivity is a major issue for manufacturers and distributors alike. Both parties are interested in increasing sales volume and profitability. But given how hard their salespeople are working, they wonder, "Is it possible to get even more productivity out of our sales force without pushing them to the brink?"

The answer is yes.

Our research shows that manufacturers and distributors can significantly increase sales volume and profitability without working their salespeople harder, adding more salespeople or increasing costs.

The key is for manufacturers and distributors to better utilize the salespeople they currently have.

Asset utilization, a concept usually associated with tangible assets like plants and equipment, measures what an asset is currently producing compared to what it is capable of producing. The difference between these two points is called the "opportunity gap."

Manufacturers and distributors do an excellent job of utilizing tangible assets such as plants, equipment and inventory. But they’re not nearly as effective at utilizing one of their greatest assets, their salespeople.

The result: Most salespeople are underutilized and not achieving their potential. In fact, our research indicates that many salespeople are underutilized by as much as 40 percent.

Until recently, asset utilization had not been applied to measuring and improving sales force productivity. We now know that by identifying and eliminating the constraints that hold salespeople back, manufacturers and distributors can boost sales dramatically.

When you better utilize your salespeople, you can expect breakthrough improvements in sales volume, profitability and your competitiveness in the marketplace.

The Industrial Performance Group can help you make this happen. For additional information on getting breakthrough sales results, call 800-867-2778.

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