Black Sales Journal

A conversation today in the sales department:

Your Manager – “You are not getting it done.  Your territory is underdeveloped, and we are prepared to go in a different direction.  We are prepared to terminate you effective immediately.”  He goes on to say, “However, if you would prefer to resign we would be willing to extend some benefits that you would not get otherwise.  We would request you produce a letter of resignation and sign a severance agreement.”

You – “I am not sure of what I should do?  I need to think about it.  I will get back to you tomorrow.”

________________________

There is nothing gracious about this moment.  There will potentially be a moment when you realize that you are probably going to be taking your talents elsewhere. Of course it may not be your choice.

Since there is nothing gracious about any of it, you should understand that in most cases as this is not personal, it is business.  Business can be cold sometimes…actually frigid might be a better word.

Let’s talk about a decision that could affect your future.  The implications affect both your current and future employment, and you should know them now as when the going gets rough, you don’t want to be deliberating while steeped in emotion.

Should I Resign?

Most sales professionals will deal with this in their lives at some point.  Whether it is because of lack of ability, weak product, poor territory, out-of-line pricing, or some other factor, it is not uncommon to reach the end of the line with your employer.  The Black sales professional have even a little more to be concerned about as credibility for future jobs comes at a premium.

If you have been on a sales performance program (see BSJ 4/30, Are You on a Sales Performance Program?  Can You Beat it?) you recognize that one of the common features is that there is usually a trigger date; that date which termination is imminent.  On this date you are going to have to make this important decision.

Apart from the obvious reasons for importance, you are faced with some important alternatives.  Here is why it is important:

• Concerns with Unemployment Compensation –you normally don’t get it if you voluntarily leave your position.
• Your need for employee benefits – this problem happens whether you resign or are fired.
• Concerns with credibility and marketability - as it would concern future employers may be preserved. This is not as prevalent in sales, but certainly is true in other occupations.

When you face this moment, you must realize that the sales occupation is a little bit different than many other professions in the fact that terminations are not wholly uncommon.  In almost all situations, the objective of the employer is to quickly end the employment relationship.

At this point, you may want out as well, it is how it is done that is important.  In some states and situations, resigning can rob you of the rights to your unemployment benefits.   These benefits could be your lifeline while you are out of work.

Resigning may give you an opportunity to negotiate the terms of your resignation.  A lot depends on the strength of the ‘case’ against you and how badly they want you out.  Negotiation may be a strong word in this case, but you might be able to get some better terms for your termination.

Should I Get Fired?

Being fired evokes strong emotions.  Obviously it is a still a termination, but it sometimes creates a feeling of powerlessness and victimization.

Aside from the emotional, this termination can have its good and bad points as well:

• You normally get a severance package. Nothing comes without exacting some price, and in this case it probably will be your right to an employment action of any type.  Remember, once you sign the severance agreement, you are ‘toast’ regarding any action that you may later seek.
• Most sales professionals don’t get fired for doing something egregiously wrong; they get fired for not producing the right sales numbers.
• Sales, as an occupation, differs from many other positions in that there is a minimal stigma to getting fired for lack of production or effectiveness.
• If there is a ‘package’ of some type as an incentive for leaving quietly, you will probably have your noncompete agreement copied and put in front of you as a part of any severance you get.  You may want to negotiate this carefully as your ability to work for another employer is dependent on not having a restriction!

Terminated for Cause?

This is the exception to all of the rules.  If you have done any of the ‘infractions’ that result in a legitimate termination for cause, you could potentially leave with nothing.

These infractions include, but are not limited to:

• Intentional acts of fraud against the company
• Stealing from your employer
• On the job drinking or drug use (as defined by the employee handbook)
• Intentional breech of company policies
• Wanton damage to company property

Some Points to Remember

We are talking about sales personnel, and that is a defining point.  I am pointing out the fact that even the best sales professionals find themselves in situations that result in termination.  They move on and find success elsewhere.  It is the way it goes.

When your previous company is contacted regarding your role there, they are extremely limited as to what they will say.  They normally only give the following information:

• Verification of employment and title
• Verification of dates of employment
• Verification of salary at termination

Larger firms stick to these numbers and go no further.  None of this is incriminating.

Make a wise decision based on calculated information.

Always be prepared.

Your comments are welcome.  Contact me at Michael.Parker@BlackSalesJournal.com.

There is a point in the career progression of many sales professionals when they come to a decision point on whether to stay or leave their current position.  This situation gives reasons to ponder some of your alliances and loyalties.  If you are wise your first loyalty is to yourself and your family, and that makes it even more important to make the right choices.

___________________________

There are a few questions that you should ask yourself:

• Do I believe in the Company and the management?
• Do I believe in the products I am selling?
• Am I tired of the politics in the organization?
• Do I need more money and a better compensation system?

The above questions offer some food for thought. Here are some responses that will give pause.

I don’t believe in the Company and the Management!

This one is as strong as it gets.  If you don’t believe in the organization and have no confidence in the management, it is probably time to leave.  Alignment between management, the organization, and those who sell its products is a wonderful thing when you can have it in total.  Alignment often is slow to take root when there is new management, yet can be powerful once it happens.  Alignment can even work when it is partial.

If you are selling a product for an organization that you do not believe in, it is the start of trouble.  If you are selling for an organization that you do not believe in, and also selling a product that you don’t believe in, I suggest you find the door.

If you can fake passion for your organization and your product for a long period of time, you might feign effectiveness, but you are still a candidate for a job change.

I don’t believe in the Product!

This one can be vexing, as products and services are changed and upgraded constantly.  Be careful in considering changing jobs for this reason, but if you do not believe in the product, it will show.  Defending and promoting a product that is, in your mind, so flawed or ill-priced that you don’t feel that you can properly promote it is a tough situation.

Is your company out of step?   Is your company poor at R&D?  The good part is that usually you have a suite of products, and some are more solid than others.

Do a good evaluation on this issue.  Remember products change, and improvements happen.  Do not use it as an excuse if it is just a reason for concern.  Keep in mind that things are seldom clear-cut as they appear.  For instance, the products that are priced the most attractive and competitively often have lower commission rates.  You then have a more attractive product price, but get paid less.  This is a game of give and take.

No matter what, if the product is lacking, and no one in sales or in marketing cares, then it might be time to leave.

I am sick of the Politics and the Process in My Organization!

There are politics in any organizations as a whole, and there is definitely a home for politics in an organization’s sales department or function.  There is no science in the distribution of prospects, territories, or many of the other spoils of sales.  Much happens that could be considered unfair, depending on your point of view. We face the fact that in the sales function, concerns for one’s own well being makes many things appear unfair.

These inequities should be addressed, if they are real.  I cite some ways to deal with this in Black Sales Journal 3/3 – Do You Feel “Screwed”?.  You should professionally state your concerns and give some opportunity for things to change.

Remember, this is most often less than systemic; it is usually an individual manager’s actions in most cases. When it is systemic, it is hard to prove, yet no less worthy of being spotlighted.  Be prudent, and never petty, as it will diminish your point.  Keep in mind that pushing for transparency in the sales function is probably a battle that will not be totally successful.

I Need More Money!

Perhaps you do, but be honest with yourself about whether that is true, and why you are not making it at your current employer.  Brutal honesty is necessary to keep from “kicking the can down the road”, meaning moving from one sales job to another without changing any particular part of yourself or finding the type of job that fits you could make the next job more ‘permanent’.

The average sales volumes, average commissions, average bonus, and average income for your position, would make for questions that you might want to investigate.  There is one more question that tells a story.  What is the average tenure or longevity of a sales professional in your organization?

So the question is “how long do sales professionals stay, and how much do they make!!!”  Is the problem something structural like the remuneration system?

This one is important as it can be rather revealing for you.  If others are making more because they are selling more than you, then there may be some self-indictment.

Be Brutally Honest with Yourself!

Do a good evaluation of the questions above.  Know how these questions and subsequent answers relate to you.  You cannot be successful in the long haul without making adjustment after adjustment.

If you don’t like prospecting, work to solve your problems.  If you are not organized, get there by coursework and attention to the problem.  Work on your sales skills and your regimen and always seek to improve yourself.

Don’t “kick the can down the road” by changing employers frequently for all of the wrong reasons, engage in constant improvement and adjust and adapt as is necessary.

If the time comes that you must leave for any of the reasons cited above, you should professionally consider moving on.  Always be the professional.

We are anxious to hear your comments. You can reach me at Michael.Parker@blacksalesjournal.com.