operations.1
In speaking to the leading CRM software vendors about incorporating the
advances we prototyped, each one found it to be compelling functionality. However,
as resource constrained start-up companies in an infant, rapidly developing technology and
marketplace, and locked into a basic feature-function firefight
over immediate survival
market share, their development efforts were inadequate to fully implement
process functionality as we were advising.
In
1995 Aurum Software offered to buy the entire rights of our design. However, we were just
about to bring our second prototype into live testing, and felt it was
premature. Onyx reserved a non-exclusive license in 1997
for the right to use the second
generation Naviguide design
in its future development. Later in 1998, TVI entered into a
joint development agreement with SalesWare, Inc., an application
developer in Florida, to
continue with developing our third version of the system from all that we
learned in live-testing the second prototype.
Then in the first half of 2000, GoldMine Software
(now FrontRange Solutions, Inc.) decided to purchase this latest system
version we named Sales Process Manager / Vital Signs, then
in its third generation of development, to integrate into its CRM
system called FrontOffice™. CEO Vance Brown brought Joe
in as Executive VP, and Barry as Worldwide VP
Sales.
However, when GoldMine
restructured and elected to postpone integration of Process
Manager/Vital Signs, Joe opted to take his
first career sabbatical. After a rejuvenating break, he decided
to rejoin the sales operating fitness/performance improvement movement. The range for
successive improvements in corporate sales operations, and the
incredible leverage available for increasing results
productivity and predictability, are just too compelling.
Especially with today's economic conditions demanding
serious sales productivity improvement and COS reduction.
Before TVI, Joe Vavricka and Barry Trailer first met in the mid-80's as independent
contractors associated with Miller-Heiman, Inc. They were licensed by MHI to
sell and deliver live training sessions, and continued working with clients to
implement the Strategic Selling, Conceptual Selling, Managers Coaching,
and Large Account Management methodologies. Many sales operating problems
offered additional client consulting involvement. After
first hand exposure to several hundred sales
forces and training several thousands of sales people, managers, and
trainers, Joe and Barry both came to the conclusion that sales methodology, no
matter how effective, would not root into the typical traditional
sales operation that
lacked a common sales process framework.
In their experience, the
annual "training
event" approach normally taken to increase a sales force's
performance level failed to do so more than 90% of the time. And with turnover
rising past the 30-40% levels, any skill improvement gained was 99% gone from the
company in less than three years.
This repeating loop is what Brian Joiner calls
"eyelash" learning in his book Fourth Generation
Management. Without a common process framework embedding its
operating practices, an organization has little effective capability to remember
or to share the
ways and tools it learns to improve its performance. Any learning that occurs
remains locked in the individual's heads -- who take it with them when they are
promoted out or resign. The eyelash learning organization
suffers recurring memory loss -- left with having to be perpetually
restarting its learning curve from ground zero -- instead of sustaining gains made,
leveraging
them across all the workers, and continually building further
performance capability. For way too many companies, today's
sales pipeline close rates are about what they were operating at
25 years ago.
There
is simply a much better way: the "Power
of We."
1 Also by Will Kaydos: Measuring, Managing, and
Maximizing Performance, Productivity Press, Cambridge, MA
1992 clearly spells out the power of properly applying business
metrics in managing and improving the performance level of a
business operation.