Donna Stella Partner

1
(No Transcript)
2
Donna StellaPartner A.T. Kearney
3

• Sales Force Talent Management Study Talent
  Triage

Raising the Bar for CPG Sales Talent
July 16, 2009
4
GMA / NEW Sales Force Talent Management Study
Vision Statement
To enable the GMA and NEWs corporate members
and their employees to succeed in an
ever-changing marketplace by identifying,
developing and retaining a high-performing and
diverse sales force.
Primary Objectives

• Develop an industry perspective on the leading
  practices in sales force talent management
• Understand the importance of CPG sales force
  diversity to business outcomes
• Strengthen business results with a pragmatic,
  actionable roadmap for CPG companies to improve
  their sales force talent management approaches

A.T. Kearney was selected to partner with the GMA
and NEW to complete the Talent Triage study
given our deep experience in the Sales Talent
space
5
What talent is required of top sales people today?
6
What talent is required of top sales people today?
7
Retailers told us that top CPG sales people are
analytical thinkers with a general management
view of the business
Forward-Looking CPG Sales Competency Model

• Strategic Merchandising Skills
• General Management Guide managerial action in
  the face of uncertainty / complexity
• Analytics Analyze financial data to provide
  sound business advice
• Category Management Contribute to
  cross-category strategies and promotion
• Consumer Insights Provide information on
  segmentation, target marketing, creative
  merchandising
• Partnership Identify opportunities to increase
  volume and revenue, raise profitability, and
  reduce unnecessary costs
• Cross-functional Collaboration Understand why
  and how functions interrelate build
  cross-functional teams

Strategic Merchandising Skills
Leadership Personal Characteristics
Core Sales Capabilities
8
Sales Talent Management plays a vital role in
driving profitable growth
A.T. Kearney Sales Force Optimization Framework
Sales Talent Management
CustomerStrategy
We use this framework to driveprofitable
growthfor our clients

• Alignment of go-to-market strategy with customer
  needs and business/marketing strategies

Strategy/ Planning
Strategic Focus
Capabilities/ Resources/Deployment

• Clearly defined sales talent, organization
  capabilities and structure including size, roles,
  responsibilities and decision rights

Go-To-MarketApproach
Organization Design (Structure/Size)
Staffing/ Skills
Channels
Enablers

• Supporting systems and tools to optimize sales
  productivity and effectiveness

IT/ SalesTools
Training
SupportingCapabilities
Compensation/ Recognition
Metrics/ Accountability
Supporting Processes

• Processes to improve quality, productivity and
  provide a differentiated customer experience

Lead Gener- ation Mgmt.
Service Delivery/RelationshipMgmt.
Sales Fore- castg Mgmt.
Account Set-Up/ Pricing
Post- Sales Support
RFP Response
Environmental Drivers

• Business and Market Contexts

• Market Pricing
• Fundamental Economics
• Market Dynamics

• Product
• Promotion
• Regulation

• Existing Channels
• Geographic Scope
• Buyers/ Intermediaries

We have helped clients achieve double-digit
revenue and profit improvement with SFO
9
The talent management lifecycle involves
strategically identifying, developing and
retaining sales talent
Objective Having the right sales talent in the
right place at the right time to achieve business
objectives
Talent Management Lifecycle
Executive Sponsorship
Tools Technology
Metrics Measurement
3
1
Attract / Identify Talent
Retain / Deploy Talent
Sales Talent Pool
2
Develop Talent
Transparent Communication
Incentives
Diversity
5 Strategic Enablers Provide Support Throughout
Talent Management Lifecycle
10
What did we learn from the Sales Talent
Management Study?
Leading Sales Talent Management Practices
Build The Right Sales Force Skills

• CPG sales superstars have general management
  mindset thinkers, not just doers
• Sales talent management is considered highly
  ineffective today in most CPG companies only 9
  of responses gave a rating of sales talent
  management activities as highly effective
• Stand-alone talent and diversity programs do not
  work talent management must be closely tied to
  the rest of the organization and consistently
  applied
• Holistic sales talent management programs are
  scarce
• Only 8 of CPG companies reported having a strong
  holistic sales talent management program
• Effective talent management blends formal process
  with personal engagement
• Smaller CPG companies tended to be
  culture-driven large CPG companies tended to be
  process-driven, whereas best-in-class companies
  combined both
• Incorporating a broad concept of diversity
  (demographics, experiences, perspectives) into
  corporate DNA drives innovation, enhances market
  insight, and increases access to top talent
• CPG companies are behind the diversity curve
• Profile of participating companies
• More male employees than US workforce
• More middle-aged employees than US workforce
• More Caucasian employees than US workforce

Drive a Consistent Message
HR
Focus on the Process and the Person
Capture the Benefits of Diversity
11
What did we learn from the Sales Talent
Management Study?
Leading Sales Talent Management Practices
Build The Right Sales Force Skills

• CPG sales superstars have general management
  mindset thinkers, not just doers
• Sales talent management is considered highly
  ineffective today in most CPG companies only 9
  of responses gave a rating of sales talent
  management activities as highly effective
• Stand-alone talent and diversity programs do not
  work talent management must be closely tied to
  the rest of the organization and consistently
  applied
• Holistic sales talent management programs are
  scarce
• Only 8 of CPG companies reported having a strong
  holistic sales talent management program
• Effective talent management blends formal process
  with personal engagement
• Smaller CPG companies tended to be
  culture-driven large CPG companies tended to be
  process-driven, whereas best-in-class companies
  combined both
• Incorporating a broad concept of diversity
  (demographics, experiences, perspectives) into
  corporate DNA drives innovation, enhances market
  insight, and increases access to top talent
• CPG companies are behind the diversity curve
• Profile of participating companies
• More male employees than US workforce
• More middle-aged employees than US workforce
• More Caucasian employees than US workforce

Drive a Consistent Message
HR
Focus on the Process and the Person
Capture the Benefits of Diversity
12
CPG companies should embrace inclusivity and
diversity of thought to benefit from changing
demographics

• CPG Companies are Behind the Diversity Curve
• Minorities are under-represented compared to US
  workforce
• Basic diversity programs are in place, but not
  integrated throughout Talent Management Lifecycle

US Working Population 71 in 2000 51 in 2050
US Working Population 54
US Working Population 23
but can benefit from highly diverse workforces

• Diversity promotes innovation and resilience,
  which helps attract potential candidates and
  increase employee productivity

Innovation

• Reflecting the populations demographics helps
  improve market insights and marketing / product
  development

Marketing Edge

• To maintain access to the full talent pool in
  light of workforce demographic shifts, companies
  must provide a diverse work environment

Access to Talent
Source US Bureau of Labor Statistics
13
Study participants indicated diversity programs
are in place but most are stand-alone and not
linked to broader talent management and corporate
strategy
Targeted Diversity Practices ( of Surveyed
Companies Reporting Specific Diversity Programs)
Diversity Tracking
Targeted Recruiting
Targeted Affinity Groups
(n26)
(n21)
(n21)
Gender
Race
Sexual Orientation
Age
Gender
Race
Sexual Orientation
Age
Gender
Race
Sexual Orientation
Age
Source GMA/NEW/A.T. Kearney 2009 Sales Talent
Management Survey
14
What did CPG executives have to say?
Quotes from CPG Sales and HR Executives

• Different mindset on sales talent expectations
• We used to hire people in account management
  roles, and expect them to do it allbe
  successful, hit their numbers, grow the account.
  Now the primary question for sales people is
  How can you make full use of internal resources
  to help our company and its customers to
  succeed?
• Driving strong performance and satisfying careers
• The objective components of talent management
  such as salary and bonuses are easy. It is the
  emotional engagement that is harder to achieve.
  Depending too much on rigid, formal talent
  management activities will meet the letter, but
  not the spirit, of a talent management strategy.
• Leveraging diversity to drive business
• This industry is dominated by white males.
  Diversity means more than meeting a hiring quota,
  it means creating collaborative, sustainable and
  mutually-beneficial relationships.

15
What did Retail executives have to say?
Quotes from Retail Merchandisers

• How CPG sales people can differentiate themselves
• CPG sales people differentiate themselves by
  leveraging their entire organizations to meet
  collaborative goals
• Retailers seek CPG sales forces that can team
  with them and provide support across functional
  areas to drive business performance
• Desired sales experience
• We like to interact with general management
  talent with experience in different geographies,
  functions and categories
• Pushing product and pleasing the buyer is no
  longer sufficient. Retailers expect CPG Sales
  talent to not only provide consumer insight,
  category management and merchandising, but more
  of a general management capability to improve the
  overall business
• Desired sales skills
• CPG companies with top sales force talentpeople
  who think beyond their brand, the standard
  promotions and new product introductions, toward
  a collaborative relationship with tailored
  solutions for the retailers most important
  segmentswill increase both the retailers and
  the CPG companys sales volume
• Retailers look to CPG Sales talent for solutions,
  not just products and for diversity to fully
  penetrate the market

16
34 CPG companies participated in the study many
requested an in-person debrief with Sales and HR
leaders
Study Participants Manufacturers, Sales
Agencies, and Retailers
17
How can you identify and act on Sales Talent
Management opportunities in your organization?
Diagnostic How strong is your sales talent
management?
Yes
No

• Can you articulate your sales talent strategy
  right now?
• Can you name the 3 things your top customer wants
  from your sales rep?
• Do you have tailored skills and competencies by
  customer segments?
• Does your sales force reflect consumer diversity?
• Can you identify the next three potential heads
  of sales?
• Do all your highest performing sales reps have
  experience outside of sales?
• Do you measure sales talent management on your
  leadership dashboard?
• Can your sales reps articulate the category
  strategy and shopper experience needed to sell
  more of your product?
• Have you ever had to replace a sales rep at the
  request of a customer?
• Do your customers tell you that you are helping
  them drive their business?

No to any of these questions points to untapped
opportunities to make your sales organization
more effective
18
A high level of collaboration made this study a
success Thanks to all!!!
Study Team Members

• Robert Hill,
• President CEO

• Rena Holland,
• Group Director,
• Human Resources

• Sherri Toney,
• VP, Diversity Inclusion Engagement

• Denny Belcastro,
• VP, Customer Development Industry Affairs

• Brian Lynch,
• Director, Sales Sales Promotion/Industry
  Affairs

• Joan Toth,
• Executive Director

• Sales Talent Experts
• Beth Bovis
• Donna Stella
• Melanie Mityas
• Julia Bouvet
• Jamie Ponce
• Marketing/Communication
• Jim Brown
• Sean Flynn
• Patricia Sibo
• Kevin Peschke

19
(No Transcript)