How much would it cost for you to do nothing?
If you were on a vacation, and you did nothing, it would cost you $0.00. If you stayed at home on a Friday night instead of going out to eat or watch a movie, it would cost you $0.00. Again, it would cost you nothing to do nothing.
What if your business did nothing because of a belief that, although the status quo isn’t as good as things could be, it’s better than actually doing or trying something new and potentially setting your organization back further than the rather comfortable existence currently experienced in the status quo?
Doing nothing as a professional sales organization not only does cost you something [a lot, in many cases], but it also projects a false sense of security that a cost is not being paid.
Don’t take my word for it, although I have seen this occur consistently throughout my 30+ years in our industry. Instead, take the word of a much smarter and researched man than I.
Research Fellow and Managing Partner at @CSOInsights, Jim Dickie (@jimdickie), has some potentially surprising things to say about the true cost of doing nothing. He also has the research to back up all of it.
In his recent blog post for the MHI Research Institute titled, “Sales Process: Calculating the Cost of Doing Nothing,” Dickie begins by dealing with the elephant in the room head-on:
“Inevitably, when I talk with research clients about what they could/should be doing to increase the effectiveness of their sales teams, the topic of money comes up. What will it cost for training, for technology, for additional sales coaching, headcount, etc.? All of a sudden dollars start adding up, people get nervous, and the room gets quiet.”
The specific cost organizations consistently fear is the removal of funds from their budget. When in fact, as you will see after reading Dickie’s post, the greater cost is likely not using those funds.
It’s much like the man who buried his master’s money because he didn’t want to potentially lose it, but he lost so much more in the end because his great fear led him to doing nothing.
The meat and potatoes of this post is when Jim brings in findings from the CSO Insights’ 2015 Sales Management Optimization Report. Specifically, around the analysis of the four levels of sales processes they saw companies adopt (these are defined in the post):
- Level 1: Random Sales Process
- Level 2: Informal Sales Process
- Level 3: Formal Sales Process
- Level 4: Dynamic Sales Process
The post then goes into the backing data supporting the theme of the post. It’s must-read information for anyone involved with your organization’s sales department budget.
Dickie closes the post with this essential point:
“So, before you shy away from allocating funds to increase the efficiency and effectiveness of your sales organization, take the time to determine if/how the status quo is impacting your sales performance. The size of the potential payback may make it clear that looking at costs, versus ROI, is the wrong thing to be focusing on.“
QUESTION: Were you already sold on the true cost of doing nothing, and just needed this ammo to make your case? Are you now sold on this concept? Or, are you still unconvinced?
Let’s talk about it…