Vol. IXX

Dear Manager,

It is only human nature to look across the room and come to the conclusion that someone other than you is getting “the better end of the deal”. Perhaps it is simply a perception based on “the grass is always greener,” or an “it-must-be-easier-for-them-than-it-is-for-me” attitude. This is a typical mindset that, based often on emotion, all levels of management will confront.

To varying degrees, all sales and management staff feel a bit taken for granted at times. It is a difficult topic to address because it may seem to the parties involved that someone is buying and the other person is selling, regardless of the situation’s foundation. The fundamental issues here are experience and awareness. It is obviously very difficult to form any realistic conclusions relating to another’s business without having competed and survived in their arena! It is all too easy to form conclusions with only a surface amount of awareness of another’s reality. I would like to tour this above-mentioned “room”, examine the management styles present, and discuss the impact of each on their sales force.

AND IN THIS CORNER . . . . . .

I have worked with a diverse group of manufacturers over the years. Equally diverse has been their perceptions of, and the day-to-day attitudes toward, their sales agencies. In one corner of the “room” is a manufacturer with an almost detached approach to their sales agencies. They seem to have difficulty understanding and communicating in a positive and motivational way. It is not that they don’t want to, but never having been in “agency” shoes, they just can’t get a handle on what makes them tick.

At times they may have developed policies they believed focused on the needs of their sales agencies, only to find out after the fact that, once again, they missed their mark. Often this type of manufacturer is gifted in creative aspects and has an uncanny ability to develop innovative products having strong consumer demand. It can be an attitude of, “We have blessed you with our creations, so how can you possibly be critical of our sales policies? They seem so very fair to us”.

This type of manufacturer will often throw up their hands in frustration and discouragement, concluding that they cannot please anyone.

HOW BAD DO YOU WANT ME?

In another corner of our “room” is a manufacturer who has gained a reasonable level of sales representation. Similar to their counterparts referenced above, they may have an over-inflated perception of themselves or their products in the marketplace. Whether due to current or prior success, they have been perceived as a leader in their field, and have been courted by those who want to share in and enhance their success. With this level of obvious interest, they have many options available to them. This manufacturer can easily feel they can write their own rules and define their own terms for the representation of their products, regardless of industry standards.

Complacency breeds contempt, and for these manufacturers their approach to sales agencies is one of “a necessary means to an end”, yet one with little or no foundation of respect. Policies are developed to curb the obvious malaise in the field, and to protect against being taken advantage of by the weak links and slackers.

Their relationship with sales agencies is often competitive and adversarial in nature. Everyone is looking over their shoulder, just waiting for the next confrontation to arise. Morale is low, and no one can accept anything at face value. Conversations seem to become more scripted in nature; one party knows what it is expected to ask for, the other knows exactly how it is expected to respond. Very few individuals caught in this scenario are willing to risk being totally forthcoming with the invaluable field information that is essential for personal and collective growth.

AND OVER HERE . . . . . . .

In the third corner of our “room” we find an attitude of frustration and bewilderment. These manufacturers have an absolute commitment to the mutual success of their organization and their sales staff. Often because of the nature of their product, or a history of poor market performance, they have struggled to maintain a consistent and reliable relationship with their sales organizations.

This manufacturer begins a new relationship based on trust, with what seems to be a sincere commitment from all parties to meet or exceed a reasonable level of professional performance. As the weeks and months pass by, and for varied reasons, personal conversations become fewer and more surface in nature. Later than sooner, the marketing relationship ends in disappointment. This manufacturer feels burned.

No one enters a new relationship expecting to fail. It does, can, and will occur, even in the best of circumstances, and with individuals who exhibit the absolute best of intentions. Perhaps the sales agency has been less than honest with themselves and their manufacturer regarding changes in their ability to properly, effectively and ethically continue the relationship. The manufacturer, in order to avoid seeking yet another sales agency, may have hesitated to voice concerns regarding declining sales or inadequate market coverage. What was once an obvious and sincere commitment to success has become a downward spiral.

AND IN THIS CROWDED CORNER . . . . . .

In the final corner of our “room” is a manufacturer that stands out among its peers in the eyes of its sales agencies. This manufacturer is first concerned about not only the profitability of their company, but meeting the day-to-day, complex needs of their sales staff. They understand that to maximize their performance in the field they must first perform at a level of accountability consistent with their own expectations in the field. As managers, they realize that success comes with the performance of all parties. How can they possibly hold others accountable if they have not performed with marketable products, timely compensation, and a sense of empathy toward the demands of their sales force?

The best of these manufacturers have enjoyed a high level of profitability from their products and still maintain a strong sense of awareness towards the value of their sales agencies in the process. When a benefit of the doubt is needed, it is provided for. When a reasonable request is made, it is reviewed objectively because a sense of confidence ensures its acceptance at face value.

Conversations can be very candid, as there is never a sense of intimidation or ridicule, only one of encouragement, understanding and respect. These manufacturers embrace the value of a fixed cost based on performance, and insist on maintaining a consistent, competitive form of compensation as means to insure the continued growth, development and health of their sales organizations. Do they give away the farm? No. Are they accepting of, and motivated by, the individuals as well as the sales aspect of their company? Yes!

We have now toured the room and its management styles. Each is driven by success, and each represents a very different approach to a very similar need. Have you placed yourself in the center of the room? As a representative of multiple manufacturers you may have realized that, in most all instances, you will need to work with, adjust to, and maximize your efforts with these varied forms of management simultaneously. When one has a very clear view and a very wide perspective of all forms of management (on a daily basis), it is easy to understand how an individual can develop a much stronger sense of loyalty to those who best support and are committed to understanding their needs.

If given the opportunity, I am sure the manufacturers in each corner of our “room” could extol the virtues of its management style. Each should now step into the center and examine this, or a similar set of circumstances. When it was all on the line they, too, would rally behind those manufacturers who demonstrate the value of a very strong manufacturer and agency working relationship.

Personal Regards,

Keenan

INTERPERSONAL© is published by INTERPERSONALBIZ.COM, Keenan Longcor, Editor, ©2008. Duplication of this publication is permitted for both personal and business use. Excerpts may only be quoted with acknowledgment of INTERPERSONAL/INTERPERSONALBIZ.ORG as the source. For re-publication rights, please contact the editor at KEENAN@INTERPERSONALBIZ.COM