Effective sales performance management can bolster employee retention

Successful sales performance management ensures that representatives are fully engaged with their work. While it is impossible to keep employees completely happy, supervisors must ensure that staff members are satisfied in their current roles. Agents who are disgruntled will seek opportunities elsewhere, which can hurt a vendor. 

Employee retention is critical to a business' long-term success. Seasoned salespeople can handle corporate practices without any assistance and know how to work with dozens of clients. When a vendor loses its top contributors, remaining staff members have to accept more responsibilities while new hires complete sales on-boarding procedures. A critical aspect of every SPM executive's job is training top performers. 

Compensation matters
Most representatives are concerned about their financial well-beings. Companies can no longer afford to keep wages frozen – employees want to earn fair compensation for their efforts. If salespeople feel undervalued, they will look for better paying positions. 

Fortunately, vendors have a wide range of compensation solutions that can satisfy workers. Sales incentives, profit sharing and increased salaries are options that many agents enjoy. Managers should evaluate their finances and choose the best wage scale to retain top sellers without hurting the company's bottom line. 

Hire the right candidates
Inc. Magazine points out that many companies do not hire the best candidates for open positions. Managers choose workers who look great on paper, but do not thrive in a team environment or struggle to adjust to a corporate culture. Applicants who aren't suited to a sales job will likely burn out and leave as soon as possible. 

SPM professionals must consider the traits of an effective salesperson. Identifying the correct qualifications ensures that recruiters know who would work well with other staff members. When recently hired agents excel at selling goods or services, they will not seek other employment options. 

Terminate underachievers
Sales is a competitive field, and not every employee is suited to the task. While every representative puts forth a strong effort, the results do not always justify continued employment. Forbes writes that poor performance doesn't only hurt a company, it can also damage morale

Employees do not appreciate when their associates aren't doing well. When companies employ struggling representatives, the rest of the staff grows resentful and frustrated. Managers should provide ample opportunities for improvement, but should know when to terminate workers who are not doing well.