Stories of bad hires and what it cost. What is a Bad Hire Costing You?

Stories of bad hires and what it cost.

1 # of sales people hired during last 3 years 0

2 # of sales people fired or quit during the last 3 years 0

3 Average Salary per Salesperson $0

4 Average revenue per sales territory (rep) $0 0%

5 # of Weeks to replace sales rep 0 $0

6 Recruiting / Hiring Costs Per Hire $0

6a Advertising $0

$0.00

6b Referral/Recruiter Fees $0(Vacancy plus Ramp-Up)

$0

6c Administrative costs $0

Total Bad Hire Cost $0.00

7 Training and development costs per hire $0

8 # of weeks before Salesperson is up to speed 0

John Glennon | www.glennon.sandler.com | 250-765-2047| 109B 3677 Hwy 97N,Kelowna ,BC V1X 2C3 jglennon.sandler.com ©Sandler Training Finding Power in Reinforcement(with design is a registered service mark of Sandler Systems Inc. All rights reserved.

Cost of Hiring the Wrong Salesperson

The costs associated with just one bad hire can be quite significant. Use the spreadsheet below to calculate your costs associated with turnover and/or poor hiring decisions. If a questions does not apply, enter zero.

Cost of 1 Bad Hire

Bad Hire Cost

Turnover %

Recruiting / Hiring Costs

Training/Development Costs

Lost Revenue Cost

What is a Bad Hire Costing You?

The Ingredients

• Job Description• S.E.A.R.C.H• Scorecards• Initial Screening• Assessments• Interviews• Culture and Climate

Recruitment

• All the GREAT people are already working• ABR• ABR• ABR• Don’t be caught “flat footed”

The Ad

• Bad Ad=Mostly subpar people• Good Ad= Mostly average people• Great Ad= Enough said

ATTITUDEWhat you believe

TECHNIQUEWhat you know

BEHAVIOURWhat you do

SUCCESS

Ear-to-Ear Telephone Screen

1st screening of candidates for

•Bonding & rapport

•Job match

•Budget

•Assertiveness

•Relevant experience

Automation Screening

• Phone screening evolution• Automation of process• Technology now supports this• Streamlines process• Saves incredible amount of time

Bonding With Candidate

• Their ability to bond with us• Their communication style• How effective are they?

Ground Rules

• Take quick control of interview and establish expectations

• Qualify or disqualify • Questions from you ( Majority of time)• Questions from them ( Minority of time and at

end)

Behavior and Money

• Ask a lot of Behavior based questions• Unpeel the onion on behavior• Get the money on the table and ballpark the

package and expectations• Don’t leave money until the end

Qualification

• Resistance from current employer?• Resistance from spouse? Move? Money?• Other positions they are looking at?• How we rate compared to these positions?• When we speak with your references…• What happens next?

Assessing Candidates

Systematically Qualifying Candidates

Clear Picture of Ideal Prospect for the Job

Ambition and

Drive

Control & CloseProcess Orientation

Pro

ble

m S

olv

ing

Rela

tion

sh

ips

Commodity Sales

AccountSales

Unique ValueSales

ConsultativeSales

Short Sales Cycle

Long Sales Cycle

Dem

an

d F

ulfi

llmen

t

Dem

an

d C

reati

on

Pure huntingCreate demand through tough pain questionsDifferentiate from competitionSell cycle less than 4 appts.

More complex sale (‘moving parts’)Custom designed solutionsRequires patience, organizedAbility to move a long process to closeSell cycle longer –4+ appts.Uncover pain and pain based value

Demand fulfillmentOrder takingCan only grow accts from insideMore relationship skills req’dMostly farmingStrong ability to sell to pain

Short sales cycle—1 call closeSuccess = control the salesQuickly build trust & closeBeating pavement—old styleBond quickly & get out

Behaviors

Never, never, never …..

• Stop looking and hire because you’re tired of the search

• Hire someone you’re not sure you can raise to the highest standards

• Hire anyone without assessing them for job match

• Hire someone if you haven’t Googled and spoken to their references

Thank you for your participationLESSONS LEARNED

Contact InformationJohn Glennon250-765-2047

[email protected]