You’ve pinpointed the capabilities that define your top salespeople. You’ve gathered data-based evidence to help you make the right decisions when investing in sales team training and recruitment.
But what does this mean in terms of bottom-line impact? What sort of ROI can next-generation HR tech create for your business?
Save time, save money, and hire better
Next-Generation HR technology drives insight into an organisation’s skill gaps and strengths, while improving productivity and retention and avoiding the eye-watering costs of a poor hiring decision.
Depending on your organisation’s recruitment processes and the nature of the role, time-to-hire can range from a few days to a few months, with an average of 39.2 days in Australia. There are two indirect costs involved in lengthy time-to-hire.
- Firstly – and particularly in sales teams – there is the opportunity cost of not having someone in that role to sell your product or service.
- Secondly, there is the impact on other team members’ time and productivity as they attempt to cherry-pick the open territory and lose focus on their own pipeline in the process.
Don’t try to work out what you need as you go. Many organisations launch a candidate sourcing process before they have a clear idea of what they actually need, and sometimes will not get clarity about what that is until late in the interview stage.
AbilityMap cuts through subjectivity and bias, accelerating time-to-quality-hire by identifying the people that are inherently good at doing what you need, quickly and at scale.
Hiring for less
A survey reported in HCAmag found that the average cost of hiring a new executive in Australia and New Zealand is $34,440; $23,059 for senior-level managers, $17,841 for mid-level managers, and $9,772 for entry-level positions.
It all adds up: the salary of your talent acquisition team or recruitment agency costs, time-per-hire, advertising, job postings, interviewing, onboarding, training costs and more.
These costs can be reduced with available recruitment software that streamline, speed up and automate your recruitment processes. Examples include video interviewing, Applicant Tracking Systems (ATS), Candidate Relationship Management (CRM) systems, and reference checking software. However, none address accurately defining what you need for performance in the role, nor objectively comparing candidates to it.
Are they faster? Yes. More affordable? Maybe. Better? Not yet.
Although the technologies listed above help companies hire faster and cheaper, they do little to help protect against the costliest mistakes that can be made in recruitment: hiring an underperformer or passing on a rockstar.
If you don’t know what a person needs to do in the role, how do you know what to look for and importantly, when you’ve found it?
With AbilityMap, hiring managers can:
- Define the performance capabilities they need delivered by their next hire.
- Catalogue every applicant’s level of inherent capability against this framework.
- Compare applicants against performance drivers to create a shortlist, and
- Access insights and reports to improve hiring outcomes.
The result? Higher recruitment ROI, increased confidence in hiring decisions, and lower churn due to poor hires. Instead of simply filling vacant seats, every new hire will lift the overall capability of your team by addressing known skill gaps.
We’ve shown how AbilityMap drives better hiring decisions, but what about developing your existing team’s capability levels?
Targeted capability development
In many cases, the most cost-effective way to boost productivity and results in your sales team involves getting the most out of the people you already have. This can be achieved through targeted training, mentoring and coaching.
But this option can be expensive and ineffective if you don’t know what you need to train for. What are the critical measures of success? What drives high-performance in a role? Where and how exactly should you develop your team and its members?
With AbilityMap, organisations accurately identify the capabilities that drive top performance and evaluate team members’ capability across this framework. Managers benefit from a detailed dashboard showing high performance and development opportunities across the team (and for individuals), providing clear direction on where to invest training time and resources.
Unlocking ROI in sales capability
How does it work? Let’s assume you have a normal distribution of top, average, and low performers. As is the case in many sales teams, one top performer brings in nearly twice as much as someone at the bottom of the ladder.
Now, ask yourself what sort of increase you will see if you moved just 20% of the team up one capability level. This means upskilling people from mid to high-performance, and moving people from low to mid-performance.
That’s the power of targeted capability development.
A quantitative measure of specific development needs across your sales team enables targeting proven priorities that drive sales productivity, optimise training budget, providing a quantifiable return on people investment.
Contact us to learn how AbilityMap provides a simple and cost-effective way to better drive business performance and more effectively engage in talent management and talent acquisition.