That's Why Many Salespeople Feel They're Fighting a No Win Battle!
The mechanics of sales development for technology and professional service companies is currently stuck in a cyclic format that is over twenty years old. We still have annual sales projections that are based on backroom conversations with unsubstantiated forecast logic or rolled forward from last year's commitment to investors, compensation plans that haven't changed in years and sales support departments who are not assigned a sales quota. While entire IT and professional service industries continue to evolve around the Internet and the digital economy, the revenue methodology model for technology salespeople is supported by business departments using antiquated concepts leftover from the organizational structures of Fortune 500 org charts.
So, as digital firms move forward to create new technology and distribution channels, they continue to fall backwards as they attempt to sell these new IT programs with outdated business revenue models.
In This Paradox, We Have:
• VP's of Sales who are held accountable for annual sales forecasts that were created twelve months prior based on commitments to Wall Street.
• VP's of Marketing who are not paid on revenue, but are provided bonuses based on marketing and communications (MARCOM) objectives.
• Managers of Strategy who make recommendations on new markets for the sales department to sell to, but are not paid on their recommendation's successes.
• VP of Operations making sales proposal decisions not based on what the client wants to buy from the account manager but instead on what their current bench utilization statistics are for that month for a specific technology practice.