The Turn Things Around Framework
Today, I want to talk to you about underperformance.
Effectively managing underperformers is a skill that we need to master.
When you take over a team, you are likely expected to turn things around unless you are inheriting a high-performing team in a structured environment.
Perhaps some team members are unhappy, some are not meeting their goals, some are not doing the activities, and the top funnel pipeline is low.
It is your responsibility to change the trajectory. All of the above is very common in startups in general.
Therefore, you may be more likely to face struggling sales teams rather than take over a high-performing one.
Most of the sales leaders I know or have spoken to have struggled to turn teams around and effectively manage underperformers.
The reason is simple: in sales, we lose 80% of the time.
There is increased pressure from founders, investors, and the market. If we are selling something new, like a new product or service, we also face the challenge of selling it.
While the product is recognised and consistently sold in big tech companies, there is a whole new level of complexity in early-stage startups.
Ultimately, there are increased difficulties because of limited resources and money, yet we still have to make it work.
You need to excel at managing underperformers.
I was lucky enough to have the opportunity to manage multiple sales teams throughout my career, and more often than not, when I take over, they are struggling.
Naturally, I feel excited because I know that the satisfaction of turning things around motivates me.
That's why I have developed a framework which I called the "Turn Things Around Framework".
It consists of four steps to turn a struggling sales team into a successful one.
Step 1: Build a Safe Environment
First and foremost, creating a safe and supportive space for your team is crucial.
Without establishing a solid team culture, it is nearly impossible to change the course of a struggling team.
Start by focusing on the individuals within your team. Earn their trust and genuinely care about them. Only when you personally care about someone can you provide direct and constructive feedback (I highly recommend the book Radical Candor).
Invest time in building or rebuilding your team culture as necessary. Spend quality time with your team members, celebrate their successes, provide individual coaching, and assist them in their personal growth.
I previously wrote a newsletter about this topic; feel free to check it out if you want to expand on it.
Step 2: Change Management
Now, we can start implementing changes.
Change Management is a critical aspect of running an early-stage sales team. Startups often experience rapid growth in ever-changing environments. Many leaders fail to implement changes and lose control of their teams effectively.
This is a practical guide we used on Linkedin back in 2017. It's both strategic and tactical.
The first part is what's called the 5 Steps Reinforcement:
Why: Communicate the reasons for the change and explain the expected results.
Lead from the Front: Dedicate time to personally explain and address any objections, and start by implementing the change yourself.
Measure: Build a system for tracking the change and show the results.
Moneyball: Highlight early success and celebrate the people who are performing well.
Accountability: Expect nothing less than what was agreed upon in this change.
During the period of change, people tend to act differently, so it's essential to be aware of the different personalities you may encounter.
Active Resistance: People who are against the change. Talk to them and spend time addressing their concerns.
Passive Resistance: Talk to Champions to learn more and have 1:1 conversations with them.
Neutral: Check in with them to gauge their feelings about the change.
Passive Support: They support the change but quietly. Don't draw attention to them.
Active Support: Embrace them and highlight their successes.
Step 3: Managing Performance
During times of change, it is inevitable that some individuals may struggle to keep up, and despite our best efforts, we may not be able to assist them.
Suppose I face salespeople who are not a good fit during the change process, acting as roadblocks or sabotaging the team's progress. In that case, I will initiate a Performance Improvement Plan (PIP) immediately.
The primary objective of each PIP is to support individuals in achieving success.
I firmly believe that most people do not wake up to make our lives harder, and incorporating the principles of compassionate management guides my decision-making.
However, there may be instances where we cannot provide the necessary support. In such cases, it may be required to help the individual find another job or exit the company.
If you want to examine the PIP process and access my template, please check this out.
Step 4: Tracking Performance
During times of change, it is essential to revisit the basics.
I find it helpful to start by tracking everything openly and transparently. While this may seem like micromanaging, it can be beneficial when people are unsure what to do.
Tracking provides clear direction and boundaries within which teams can operate and thrive.
One tool I like to use for tracking is a file I call Goldmine. It can be temporary, but it helps to begin tracking key metrics such as Revenue, Activities, Pipeline, and Conversions.
Share this file with your team, input CRM data into it, and discuss it during team meetings. Also, provide weekly updates on Slack. Let it be the primary source of tracking for the time needed.
When sharing or discussing the file, focus on highlighting those performing well rather than pointing at underperformers.
Summary
Today's newsletter discussed managing underperformance and transforming struggling sales teams into high-performing ones.
To address this, I introduced to you my method, the "Turn Things Around Framework", which includes the following steps:
Build a Safe Environment
Change Management
Managing Performance
Tracking Performance
Managing underperformance is a challenging but essential aspect of sales leadership.
By implementing these principles and frameworks, you can successfully navigate these challenges and guide your sales team towards success.
Remember, the journey of turning things around is incredible and often motivates us as sales leaders.
Thank you for reading this far, and I look forward to seeing you next week!
