Can Six Sigma Work in a Sales and Marketing Environment?

January 8, 2009 by admin  
Filed under Six sigma selling

by Paul Selden Originally published in the ASQ Six Sigma Forum, 2001 William Latzko, a professor at the Fordham University Graduate School of Business and a colleague of W.E. Deming, remarked to me not long ago that the great opportunity for quality in the twenty-first century lies in sales process improvement. Indeed, quality thinking offers a perspective that can help launch sales, marketing, and customer service into a new frontier of systematic, long-term improvement. Likewise, Six Sigma has come to represent something of a new frontier for many companies wanting to achieve bottom-line benefits through quality improvement. Its success in capturing attention stems from highly visible proponents like GE s Jack Welch, along with its focus on achieving tangible financial results and application to a broad range of situations. Combining these two realities the opportunity to improve sales and the momentum of Six Sigma would seem to guarantee a wealth of possibilities for successful improvement projects tied to increasing revenue. Through the lens of Six Sigma, the same types of improvement opportunities found in manufacturing can be found in arenas involving more direct person-to-person and customer interchange. Marketing program yields can be improved, sales cycle times can be reduced, and service can produce fewer defects (for example, customer defections). The table below lists a veritable smorgasbord of tangible opportunities for improvement in the world of sales, marketing, and customer service framed in terms that are more engineering-like. Selected Sales, Marketing, and Customer Service Improvement Opportunities Mistake-proofing customer needs analysis Improving ROI on existing customer feedback Increasing convenience to the customer Systematic improvement of conversion ratios Pricing policy and system simplification Order entry/processing error reduction Reduce gaps between commitments and execution Shorten concept-to-customer cycle time The range of genuine opportunity makes Six Sigma sound promising for sales and marketing. In spite of the promise, those experienced with the standard approach to Six Sigma often conclude that delivering it as is to an audience of sales and marketing personnel is far too risky. Why?

What Makes Six Sigma for Sales So Difficult?

Four of the most common causes for failure when a Six Sigma program is presented to sales and marketing can be attributed to its inherent production-centric bias. Having remedied some of Six Sigma s own defects when Read more

Why Your Sales Process Cost Matters, and What You Need to Know to Get it Right

January 7, 2009 by admin  
Filed under Sales Process Cost

By Michael J. Webb (pdf of this article) One of the most important management systems for the senior executive is the one that measures the costs of production. Executives must know not just the Read more

How to build an objective management structure for your sales process

January 6, 2009 by admin  
Filed under Sales Process Metrics

By Justin Roff-Marsh Imagine you were to awaken one morning suffering from a strange disorder: one that rendered your eyesight unreliable. When you open your eyes, your bedroom appears roughly as it did the night before. Your bed is below the Read more

Book Review – “The Leaky Funnel Earn More Customers by Aligning Sales and Marketing to the way Businesses Buy”

January 6, 2009 by admin  
Filed under Book Reviews

by Hugh Macfarlane 2003, Bookman Media Pty Ltd (available on www.amazon.com) Submitted by Michael J Webb: HardBits (a mid-sized company in a maturing industry) is struggling because its products are being commoditized by competitors from around the world. Read more

Clarifying Things That Count: How to Use Qualification Criteria to Improve Your Salespeople’s Results

October 23, 2007 by Michael  
Filed under Blog

The primary reason why the scientific method works is that it relies on observable facts and data to drive clarity and specificity of language. In practice it means working with people to clarify specific aspects of reality so they can be counted.

Making Sales and Marketing More Visible and Measureable

Unfortunately, in sales and marketing Read more

Why Your Sales Process Cost Matters, and What You Need to Know to Get It Right

September 25, 2007 by Michael  
Filed under Blog

One of the most important management systems for the senior executive is the one that measures the costs of production. Executives must know not just the total cost of production, but also the costs of the stages of their production. Sales and marketing organizations need this every bit as much Read more

What It Means to Measure a Sales Process

August 14, 2007 by Michael  
Filed under Blog

You’ve heard it a thousand times: “What can’t be measured can’t be improved.” Yet when it comes to marketing and selling processes, measurement can be a frustrating mess. Most people who grew up in the culture of sales and marketing, including the authors of most books on Read more

Shifting from Sales Manager to Production Manager

July 17, 2007 by Michael  
Filed under Blog

The Sales Manager’s Role

Sales managers are miraculous people. Give them a pile of half-baked customer deals, and in a flash they can work through them to find the ones that can be closed and to make irresistible-sounding offers with deadlines attached. They know the territories, and are taught to think ahead Read more

What Kind of Sales Training is Best?

March 2, 2007 by Michael  
Filed under Blog

A reader asked this question about sales training:

“With your experience in sales management, who do you consider to be the best sales training company?  (Miller-Heiman, etc.)  I want to think down-field about the best company to partner with as I’m building my sales team.” John Siwgard

There is not a straightforward answer to this question, John. The sales training your company needs depends on many considerations. I’m not an expert at all the different sales training methodologies out there (however, I do know people who Read more

Sales Process Measurement Shows How to Double Revenues Per Employee?

August 4, 2006 by Michael  
Filed under Blog

A while ago I published a white paper linking the sales process to a firm’s profitability (”What Impact Does Your Sales Process Have on Your Financial Statements?“) People all over the world have complimented that article. Read more