The sales team is the life force of every business. If it’s a healthy team, the business will thrive and grow, but if the sales team is weak and not united in their efforts, the business will without a doubt suffer in the long-term. Every business wants a strong sales department, but being able to accomplish this can be difficult because the team must be both efficient and effective to meet goals while also going about it in a cost-effective manner. To streamline and strengthen the sales team, it’s crucial that the efficiency and effectiveness of each member are gauged so that steps can be taken in the right direction.
Efficiency and effectiveness seem like they would be synonyms, but being able to describe their differences and applying their concepts to the business will ultimately determine whether or not your sales department embodies these significant terms. To keep your finger on the pulse of your sales team, it’s a good idea first to define these terms.
Efficiency (n.) – able to accomplish something with the least waste of time or effort
Effectiveness (n.) – adequate to accomplish a purpose; producing the intended or expected result
In short, sales effectiveness is the ability to set and meet their goals, while sales efficiency is how sales team can go about meeting their goals. If your sales team can meet sales goals, whether they’re weekly, monthly, or quarterly, and complete these goals promptly without expending excessive resources to do so, they are both effective and efficient.
Improving Efficiency
To drive up the amount of revenue the business receives, measures need to be taken to ensure that time and resources are not being wasted. Companies need to mitigate the time wasted for the sales rep to find proper materials by providing them with the tools and technology they need to do the job right. Efficiency also means taking the time to train employees on the product or service they’re selling so that they can easily explain to the customer why they should sign on.
Improving Effectiveness
Effectiveness means making sure that if there are any policies or practices in place that don’t work, streamline them or just flat out get rid of them. The adage, “we’ve always done it that way” is not the best response to the question of whether or not something needs to change within the department. Sales departments should always be looking objectively at their processes, and adapting or adjusting their procedures to improve effectiveness.
The sales department of every company is what keeps the business afloat and drives new clients toward the product or service. As a leader of an organization, it’s imperative to be checking in on the health of the sales department to ensure the team is both efficient and effective.