Enhancing the Impact of Sales Training Programs: A Holistic Measurement Approach
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In the realm of sales enablement, the expectation is clear: drive revenue and foster market growth. While this aspiration is justified, reality often paints a different picture. Immediate results can be elusive, and it may take time before an impact to quota attainment or monthly billings can be witnessed. The challenge lies in demonstrating the tangible impact of enablement initiatives, and this necessitates an upfront unveiling of measurable plans. The good news is that there are several key performance indicators (KPIs) within a practitioner’s grasp that can provide early insights.
The journey of measurement can be a nail-biting experience as practitioners await the eagerly anticipated dividends of enablement training. To gain a comprehensive understanding of the long-term value derived from their programs, practitioners must assess the impact of sales training through three distinct lenses: the learning experience, knowledge results, and performance outcomes. These three facets offer different timeframes for measurement, granting practitioners immediate, mid-term, and long-term analyses of their programs.
So, how can practitioners apply this measurement framework to maximize the effectiveness of sales training programs? Let’s delve into each dimension.
Measuring the Learning Experience
The learning experience can be straightforward: gather feedback on seller satisfaction with the program. This initial assessment is pivotal in determining whether participants find the training valuable. When sellers perceive value, they are more likely to engage fully and endorse the program to their peers.
Early indications of the learning experience can be measured as swiftly as the first session by monitoring participation and engagement. Implementing surveys and calculating a Net Promoter Score (NPS) upon program completion can provide actionable insights. A best practice is to schedule the course survey towards the end of the last session, perhaps in line with the last stretch break, to ensure it receives the attention it deserves.
In the feedback process, consider employing a sliding scale of agreement for statements like content relevance, facilitator effectiveness, and practical applicability. Open-ended questions can further unearth valuable insights.
Here are some examples of these types of questions:
- The content was focused on my role and the challenges I face on the job. (Rate on a scale of one to five)
- The facilitator helped me understand ways on how to apply the key concepts. (Rate on a scale of one to five)
- Applying the concepts (models, skills, product knowledge) and the practice activities will help me to improve my effectiveness in my role. (Rate on a scale of one to five)
- Open comments: What part of the program stands out as the most useful? What would you suggest as an improvement?
This feedback not only helps practitioners fine-tune their programs but also serves as a potent tool for showcasing participation to sales leaders. Use the positive comments as part of the invitation text for the next course, and keep a running positive comment log.
Assessing Knowledge Results
The second avenue to demonstrate progress lies in measuring the growth of sales skills, understanding, and knowledge. While behavioral changes and knowledge enhancement might take time to manifest in financial performance, it is essential to showcase skill development while waiting for concrete revenue proofs.
Utilize a combination of pre- and post-assessments to track participants’ skill improvements and knowledge gains. Pre-assessments establish the baseline, highlighting existing skills and knowledge gaps. Post-assessments, conducted after the program, offer a clear picture of the training’s impact on closing these gaps. Aim for substantial participation in these assessments to ensure statistical validity.
Bar charts showing the pre- and post-assessment results across various knowledge areas can be a compelling visual aid of program effectiveness while awaiting revenue reporting.
Reporting the Sales Performance Results
The third measurement dimension revolves around tracking sales financial performance, an important goal for securing ongoing program funding and support. Start by setting clear performance goals that the training should influence when complete. While there might not be an exact percentage or number, there should be a stated directional trend in the goals of the program. These objectives inform the development of the learning experience, which, in turn, impact knowledge results and eventually translate into performance improvements.
Common performance indicators include quota attainment, monthly sales billings or revenue, and margins on deals. While quota attainment is essential, it should be accompanied by other metrics due to its inherent subjective variability in the process of quota setting. Average monthly billings is a raw number that is hard to argue with as a great result when it is steadily growing, even if quota attainment isn’t as high as required. For example, if reps are growing at 6% a month after completing the program, and they are still at 90% of quota, that is an issue that may need to be examined in quota setting, and not enablement efforts.
To see the curve moving, start with a baseline histogram of where the reps are in terms 0% to 100% of quota. Dot-plot the average of individual quota attainment by period among reps, and look for more reps starting to slide to the higher numbers of attainment. Slicing by roles and geography provides more discrete performance measurement, and averaging across like-role types helps protect salesperson privacy. After all, these analyses are looking at the aggregate results of the program, whether margin rates, monthly billings, or quota achievement.
Middle performers in revenue in quota attainment deserve particular attention, as they often represent untapped potential. Making one measurement goal of increasing the number of sellers in the 90% to 100% quota pool, by quarter, is a way to see that nurturing and coaching these individuals can significantly boost results, providing a strong indicator of training impact.
Correlating Mindset to Performance Results
Mindset plays a pivotal role in performance improvement. It’s an intangible factor that can be nurtured through sales training and monitored as a correlating factor to enhance performance. Just as sports coaches rally in a huddle, or have a team chant, supporting the positive sales mindset about “I can do this, and this training will help me” has an impact.
The concept of self-efficacy, or the belief in one’s ability to succeed, is central here. Training programs that bolster sellers’ confidence in achieving their goals can have a profound impact. This can be measured over time by assessing sellers’ confidence levels and correlating them with performance outcomes.
Questions like whether sellers have a clear plan for applying acquired skills, their commitment to implementing concepts, and their predictions for business improvement can provide valuable insights to the enablement program.
Consider asking the following at the end of the training program, before reps leave, and get permission to use these answers in further revenue analysis:
- Do you have a clear plan for applying the acquired skills on the job?
- Are you fully committed to applying the concepts and skills learned?
- What is the percentage improvement that you predict you will achieve in your business objectives following this training? (0-20%, 20-40%, 40-60%, 60-80%, 80-100%)
For example, when this framework was applied to a sales skills training program at Mitel, the sellers who were fully committed to using the concepts learned, and the most confident in the improvements they would see, actually did achieve better results on average. Specifically, those who self-reported the highest expected improvements on the above questions saw an average increase of 22% increase in monthly billings, and those who had low self-confidence had single-digit improvement. As such, a positive mindset became a self-fulfilling prophecy for success.
A Holistic Approach to Quantifying Training Impact
In conclusion, assessing the effectiveness of sales training requires a holistic approach that spans learning experience, knowledge results, and performance outcomes. While metrics such as revenue and quota attainment are crucial, psychological principles like self-efficacy must not be overlooked.
By fostering a “can do” mindset through training, practitioners can boost adoption and ultimately enhance performance. This enthusiasm and confidence, when shared with learners, create a motivating sales environment conducive to continuous improvement.
Embracing a comprehensive approach to measurement ensures that sellers are well-equipped from the outset, and that the enablement program supports them to achieve the performance results that drive business success.