Be an Advocate... and a Good Listener
This is what I call being an advocate. The premise behind it is that most of the people we are interviewing who are finalists will have at least one other opportunity to be a financial advisor in the industry, to make a decision between us and the other firm. To separate ourselves, we congratulate the candidate and tell them (it's important to use this specific language here the following:
"No matter what happens, I consider this a victory because, regardless, you are going to be an advisor somewhere, and this industry needs great people like you who can make a difference in clients' lives."
Of course, we say this only if we truly believe that person will be great. You have to be sincere.
I discovered this strategy somewhat by accident, by asking questions....
Typically, eight weeks after a new advisor comes aboard, I take him out to breakfast or lunch solely to celebrate their first rough part of the career, the end of their probationary period with us.
My only agenda is to find out why they decided to come on with this firm. By that time, they're comfortable with us and the firm, willing to let their hair down a little bit.
So at the breakfast, I say, "You've been here eight weeks. What are your initial thoughts?"
Second, I ask them, "Why did you decide to join our organization? You had a lot of other opportunities."
These are people who are making a career change, etc. It's important, though, that I also ask the new advisor a third question:
"Going through our process, where was it that you were frustrated or confused?
Where could we improve?"
During one of these breakfasts, one of my new advisors told me, "Ed, it was neck and neck with you and another firm. When you said you considered this a victory because I was joining this industry, I realized that you were genuinely interested in me and my success. The other firm, meanwhile, was telling me why I should pick them over everyone else. So I knew this was where I wanted to be."
Ed Deutschlander, CLF CLU
VP of Corporate Development
North Star Resource Group
Securian Financial Network
Minneapolis, MN
Cassandra Lee Simpson
Southwest Recruiting Director
North Star Resource Group
Securian Financial Network
Tucson, AZ
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr. Covey
Check out previous articles at: http://regleaders.blogspot.com/
Notice of Confidentiality
This transmission contains information that may be confidential. It has been prepared for the sole and exclusive use of the intended recipient, his team and on the basis agreed with that person. If you are not the intended recipient of the message (or authorized to receive it for the intended recipient), you should notify us immediately; you should delete it from your system.
Monday, February 23, 2009
Are you Buying or Selling ?
Are You Buying or Selling?
Essentially, a sales manager’s primary responsibility is to recruit, train and motivate the sales force to achieve peak-performance selling. Of these three vitally important tasks, I believe recruiting is the most challenging and least understood but perhaps the most important. If you recruit the right people, you will find that they are self-motivated and eager to receive training! On the other hand, if you hire the wrong person, you will experience high turnover and low morale.
Are you a buyer or a seller? By approaching the interviewing process with a buyer's mentality, you are more likely to maintain your objectivity and hire a long-term top producer. It pays to be selective and conduct multiple interviews. Take good notes throughout the interviewing process. If you talk more than you listen during an interview, you are a seller, not a buyer. I recommend that you use a checklist because it allows you to stay on message and helps you remember important questions. Relying on your memory is a poor business decision and will normally come back to haunt you.
When I first started interviewing salespeople, like most managers, I made the fundamental mistake of overemphasizing the compensation potential and understating the challenges. I was selling instead of buying! Top managers would rather tell it like it is and run the risk of scaring off a prospective new hire than to sugarcoat things and face a disillusioned salesperson months later. . While there is no system that can guarantee you will hire the right person every time, there are fundamental guidelines you must follow if you plan to recruit your way to the top!
John Boe
CEO
John Boe International
Monterey, CA
www.johnboe.com
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr. Covey
Check out previous articles at: http://regleaders.blogspot.com/
Notice of Confidentiality
This transmission contains information that may be confidential. It has been prepared for the sole and exclusive use of the intended recipient, his team and on the basis agreed with that person. If you are not the intended recipient of the message (or authorized to receive it for the intended recipient), you should notify us immediately; you should delete it from your system.
Essentially, a sales manager’s primary responsibility is to recruit, train and motivate the sales force to achieve peak-performance selling. Of these three vitally important tasks, I believe recruiting is the most challenging and least understood but perhaps the most important. If you recruit the right people, you will find that they are self-motivated and eager to receive training! On the other hand, if you hire the wrong person, you will experience high turnover and low morale.
Are you a buyer or a seller? By approaching the interviewing process with a buyer's mentality, you are more likely to maintain your objectivity and hire a long-term top producer. It pays to be selective and conduct multiple interviews. Take good notes throughout the interviewing process. If you talk more than you listen during an interview, you are a seller, not a buyer. I recommend that you use a checklist because it allows you to stay on message and helps you remember important questions. Relying on your memory is a poor business decision and will normally come back to haunt you.
When I first started interviewing salespeople, like most managers, I made the fundamental mistake of overemphasizing the compensation potential and understating the challenges. I was selling instead of buying! Top managers would rather tell it like it is and run the risk of scaring off a prospective new hire than to sugarcoat things and face a disillusioned salesperson months later. . While there is no system that can guarantee you will hire the right person every time, there are fundamental guidelines you must follow if you plan to recruit your way to the top!
John Boe
CEO
John Boe International
Monterey, CA
www.johnboe.com
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr. Covey
Check out previous articles at: http://regleaders.blogspot.com/
Notice of Confidentiality
This transmission contains information that may be confidential. It has been prepared for the sole and exclusive use of the intended recipient, his team and on the basis agreed with that person. If you are not the intended recipient of the message (or authorized to receive it for the intended recipient), you should notify us immediately; you should delete it from your system.
WII-FM = What's in it for me ?
WII-FM-=What’s in It for Me?
Several years ago as Director of Recruiting for The Acacia Group, I began to analyze our best sources for recruiting the highest quality agents with the highest retention rate for our agencies. I quickly realized that, of all those hired, the best recruits ALWAYS came from those already in our industry - the agents, themselves.
To encourage these ongoing referrals, we developed WII-FM, i.e., What’s In It For Me, which we continually shared with existing agents. We firmly believed that "Everybody’s gotta feel like somebody." We also believed that recognition, in its many different forms, absolutely works! We also KNEW that NO ONE realizes what it takes to survive in our industry better than those already in it.
I met with agents, asking them to review their business-card files for possible candidates. I explained that, where appropriate, if a referral were hired as a result of his/her name being given by that agent, joint work would occur between the two agents, resulting in additional income to the "senior" agent. On a weekly basis, you would always find me "pitching" to someone that, if we met the "charge" of the company which was to GROW the field force then certainly that gave our particular agency some leverage at Corporate for things we needed, i.e., more staff, more equipment, etc.
I also shared with the group that I had no personal way of knowing if any of them had aspirations for management but that, with all other criteria being equal, CERTAINLY the agent who supported the Corporate position would be given first consideration. I reminded the group that they had a vested interest in what our agency "looked like" to others in our city simply because of the fact that they had chosen to align with our agency. I reiterated, more than once, that if you don't vote... then don't complain... that "You are being given an opportunity and a 'say' in how the agency will look in the future. Take advantage of it."
At our monthly agency meetings, we introduced the new agent to the group and then asked the referring agent to come to the podium. In front of the group, we shared this agent's continuing support to our organization; we thanked the agent, showed him/her our appreciation with a cash award, and then a "round of applause" was given by the entire group. The agent who referred the most candidates in any given month was awarded a private parking slot in the front of the building, normally reserved for the managers of the company. And, lastly, there was a HUGE "write-up" about the new and referring agent in our monthly magazine, which went not only to those in our agency, but to Corporate and many other agencies throughout the United States, as well.
RECOGNITION WORKS! We had a 69 percent retention rate after five years and were the No. 1 agency for The Acacia Group for several years!
Linda H. DeNomme, LUTCF
President, DMJ Financial Group
General Agent, AmerUs Life Insurance Company
Pittsburgh, PA
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr. Covey
Check out previous articles at: http://regleaders.blogspot.com/
Notice of Confidentiality
This transmission contains information that may be confidential. It has been prepared for the sole and exclusive use of the intended recipient, his team and on the basis agreed with that person. If you are not the intended recipient of the message (or authorized to receive it for the intended recipient), you should notify us immediately; you should delete it from your system.
Several years ago as Director of Recruiting for The Acacia Group, I began to analyze our best sources for recruiting the highest quality agents with the highest retention rate for our agencies. I quickly realized that, of all those hired, the best recruits ALWAYS came from those already in our industry - the agents, themselves.
To encourage these ongoing referrals, we developed WII-FM, i.e., What’s In It For Me, which we continually shared with existing agents. We firmly believed that "Everybody’s gotta feel like somebody." We also believed that recognition, in its many different forms, absolutely works! We also KNEW that NO ONE realizes what it takes to survive in our industry better than those already in it.
I met with agents, asking them to review their business-card files for possible candidates. I explained that, where appropriate, if a referral were hired as a result of his/her name being given by that agent, joint work would occur between the two agents, resulting in additional income to the "senior" agent. On a weekly basis, you would always find me "pitching" to someone that, if we met the "charge" of the company which was to GROW the field force then certainly that gave our particular agency some leverage at Corporate for things we needed, i.e., more staff, more equipment, etc.
I also shared with the group that I had no personal way of knowing if any of them had aspirations for management but that, with all other criteria being equal, CERTAINLY the agent who supported the Corporate position would be given first consideration. I reminded the group that they had a vested interest in what our agency "looked like" to others in our city simply because of the fact that they had chosen to align with our agency. I reiterated, more than once, that if you don't vote... then don't complain... that "You are being given an opportunity and a 'say' in how the agency will look in the future. Take advantage of it."
At our monthly agency meetings, we introduced the new agent to the group and then asked the referring agent to come to the podium. In front of the group, we shared this agent's continuing support to our organization; we thanked the agent, showed him/her our appreciation with a cash award, and then a "round of applause" was given by the entire group. The agent who referred the most candidates in any given month was awarded a private parking slot in the front of the building, normally reserved for the managers of the company. And, lastly, there was a HUGE "write-up" about the new and referring agent in our monthly magazine, which went not only to those in our agency, but to Corporate and many other agencies throughout the United States, as well.
RECOGNITION WORKS! We had a 69 percent retention rate after five years and were the No. 1 agency for The Acacia Group for several years!
Linda H. DeNomme, LUTCF
President, DMJ Financial Group
General Agent, AmerUs Life Insurance Company
Pittsburgh, PA
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr. Covey
Check out previous articles at: http://regleaders.blogspot.com/
Notice of Confidentiality
This transmission contains information that may be confidential. It has been prepared for the sole and exclusive use of the intended recipient, his team and on the basis agreed with that person. If you are not the intended recipient of the message (or authorized to receive it for the intended recipient), you should notify us immediately; you should delete it from your system.
A Fast Start for the Freshman
A Fast Start for the Freshmen
In 1992, we were looking for a way to reward brand-new agents for their activity, as opposed to results, so they would feel good about their efforts even if they weren’t posting big commission results yet. That’s when we came up with the President’s Early Achievement Award.
Not only has this program had a significantly positive effect on our ability to launch new agents into the career quickly and successfully; it also has helped increase our retention rate.
During our new agents’ first six months in the business, we ask them to submit 40 life, annuity or disability applications—not paid for, not issued, but just to submit them with cash. Underwriting doesn’t have to be completed. We also count an equity sale if the ticket is $40,000 or more. This is drummed into them as an expectation from the beginning.
The qualifications for our company clubs and for MDRT don’t allow pro rata submissions, so the new producers can’t look forward to achieving those milestones until they’ve been here a while. For a new agent starting out from Day 1 in the business, it will be a month and a half or two months before they get to a closing interview, before you see their first app. So this gives them a good, solid goal that they can work toward right away.
We have weekly pep sessions with the new agents. We ask them, “How are you going to identify those 40 apps? Where will you get them?” We make a big deal out of it. We explain to them that when they win the President’s Early Achievement Award, the senior agents will start to take notice of them and know they’re for real and that good things come from those relationships with senior agents, such as potential successor programs.
Our belief is that the new agents should be rewarded for the apps they get. Even if they’re small apps, the agents have to do the activity to get them, even though they may not have big numbers hitting their commission statement.
We have 127 reps in six locations spread out across four states. At our all-agency meetings, the new agents who have turned in their 40 apps are brought up on stage and presented with a $500 check good at the company store to spend on anything marketing-related and a plaque that goes on their wall. They also get to move out of their cubicle into a private office.
We’ve tracked this over the years. About 53 percent of the people we brought into the business have succeeded in reaching the President’s Early Achievement Award. Our agency’s four-year retention rate—except for a dip a few years ago, but prior to and after that—has been between 35 and 45 percent. We’ve also noticed that almost every agent we retain has achieved this goal.
There’s no magic to the 40 apps. It could be 35 or 50. The idea is to give the new agents an incentive to produce until it bridges them into the other clubs. A lot of our new people come in mid-year, so instead of waiting six to eight months to get in the game, this allows them to get started right away. It gives them a successful launch and puts their focus on activity, not commissions.
I can’t emphasize how much we supervise them and get them to focus on this goal from the beginning. We discuss it in every interview. And when they’re signing the contract, we give them a list of expectations. Achieving this goal is the first thing on the list. The second item on the list is achieving Principal’s Premier Club. The third is to hire a support person. And the fourth expectation is to make our second-level club, the Honor Council, which is about equivalent to MDRT’s Court of the Table.
The first 90 days, the new agents have daily activity monitoring. We use the One Card System. If they get through the first 30 days, then they’re on weekly supervision. Every time they meet with their manager, their progress toward the President’s Early Achievement Award is discussed, front and center.
Everyone in the organization talks about it. The senior agents will ask the new people, “How are you doing on your P.E.A.?” The senior agents understand how important it is for the entire organization. I tell them, “It’s good for you; it’s good for us, and so help us make this a part of why they’re here.”
One year, one of our senior agents nominated a new recruit and began informally mentoring him. The young agent was working “lights out” to get his 40 apps, but as his first six months were about to end, he had a fair ways to go. The senior agent stepped in and gave him a boost. He went out on a couple of calls with him, encouraged him and spent time going through cases with him. On the last hour of the last day, the kid brought in his last three apps, and he made it.
This experience developed such a bond between those two that, six years later, the young producer became the successor agent and bought out the senior agent’s practice when he retired.
This program takes a total commitment by the management team. It took three years for it to really take hold. You have to encourage the first guy to do it, and make a big deal out of it. Then you have someone to point to. We learned that the secret was not to go to the senior agents because they won’t change the way they do things. Like any culture change, it all begins with what you tell the new people. If you tell them this is the deal, then they understand that from the beginning.
I’m convinced that this program works because its part of the culture of the organization, and it’s recognized when the new producers go to agency meetings. They see other guys getting the recognition, the checks and the handshakes, and it spurs them on.
Lawrence E. (Larry) Reelitz
Regional Managing Director
The Principal Financial Group
Des Moines, IA
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr Covey
Check out previous articles at: http://regleaders.blogspot.com
In 1992, we were looking for a way to reward brand-new agents for their activity, as opposed to results, so they would feel good about their efforts even if they weren’t posting big commission results yet. That’s when we came up with the President’s Early Achievement Award.
Not only has this program had a significantly positive effect on our ability to launch new agents into the career quickly and successfully; it also has helped increase our retention rate.
During our new agents’ first six months in the business, we ask them to submit 40 life, annuity or disability applications—not paid for, not issued, but just to submit them with cash. Underwriting doesn’t have to be completed. We also count an equity sale if the ticket is $40,000 or more. This is drummed into them as an expectation from the beginning.
The qualifications for our company clubs and for MDRT don’t allow pro rata submissions, so the new producers can’t look forward to achieving those milestones until they’ve been here a while. For a new agent starting out from Day 1 in the business, it will be a month and a half or two months before they get to a closing interview, before you see their first app. So this gives them a good, solid goal that they can work toward right away.
We have weekly pep sessions with the new agents. We ask them, “How are you going to identify those 40 apps? Where will you get them?” We make a big deal out of it. We explain to them that when they win the President’s Early Achievement Award, the senior agents will start to take notice of them and know they’re for real and that good things come from those relationships with senior agents, such as potential successor programs.
Our belief is that the new agents should be rewarded for the apps they get. Even if they’re small apps, the agents have to do the activity to get them, even though they may not have big numbers hitting their commission statement.
We have 127 reps in six locations spread out across four states. At our all-agency meetings, the new agents who have turned in their 40 apps are brought up on stage and presented with a $500 check good at the company store to spend on anything marketing-related and a plaque that goes on their wall. They also get to move out of their cubicle into a private office.
We’ve tracked this over the years. About 53 percent of the people we brought into the business have succeeded in reaching the President’s Early Achievement Award. Our agency’s four-year retention rate—except for a dip a few years ago, but prior to and after that—has been between 35 and 45 percent. We’ve also noticed that almost every agent we retain has achieved this goal.
There’s no magic to the 40 apps. It could be 35 or 50. The idea is to give the new agents an incentive to produce until it bridges them into the other clubs. A lot of our new people come in mid-year, so instead of waiting six to eight months to get in the game, this allows them to get started right away. It gives them a successful launch and puts their focus on activity, not commissions.
I can’t emphasize how much we supervise them and get them to focus on this goal from the beginning. We discuss it in every interview. And when they’re signing the contract, we give them a list of expectations. Achieving this goal is the first thing on the list. The second item on the list is achieving Principal’s Premier Club. The third is to hire a support person. And the fourth expectation is to make our second-level club, the Honor Council, which is about equivalent to MDRT’s Court of the Table.
The first 90 days, the new agents have daily activity monitoring. We use the One Card System. If they get through the first 30 days, then they’re on weekly supervision. Every time they meet with their manager, their progress toward the President’s Early Achievement Award is discussed, front and center.
Everyone in the organization talks about it. The senior agents will ask the new people, “How are you doing on your P.E.A.?” The senior agents understand how important it is for the entire organization. I tell them, “It’s good for you; it’s good for us, and so help us make this a part of why they’re here.”
One year, one of our senior agents nominated a new recruit and began informally mentoring him. The young agent was working “lights out” to get his 40 apps, but as his first six months were about to end, he had a fair ways to go. The senior agent stepped in and gave him a boost. He went out on a couple of calls with him, encouraged him and spent time going through cases with him. On the last hour of the last day, the kid brought in his last three apps, and he made it.
This experience developed such a bond between those two that, six years later, the young producer became the successor agent and bought out the senior agent’s practice when he retired.
This program takes a total commitment by the management team. It took three years for it to really take hold. You have to encourage the first guy to do it, and make a big deal out of it. Then you have someone to point to. We learned that the secret was not to go to the senior agents because they won’t change the way they do things. Like any culture change, it all begins with what you tell the new people. If you tell them this is the deal, then they understand that from the beginning.
I’m convinced that this program works because its part of the culture of the organization, and it’s recognized when the new producers go to agency meetings. They see other guys getting the recognition, the checks and the handshakes, and it spurs them on.
Lawrence E. (Larry) Reelitz
Regional Managing Director
The Principal Financial Group
Des Moines, IA
Richaard Wong RFP, ChLP, FChFP Best Practices, Training & Development
33/F, AIG Tower, 1 Connaught Road Central Hong Kong Tel: +852 2832 6762 Fax: + 852 2572 1792 Richaard-kl.wong@aig.com
“Leadership by the Compass not the Clock” – Dr Covey
Check out previous articles at: http://regleaders.blogspot.com
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