This is a step-by-step guide that will help you create SMART goals and get the most out of your sales team.
Step 1: Set your company’s goals
Before you can set goals for your sales team, you need to know what the overall goal is. This will help keep everyone on track and focused on the same thing. So make sure that you have a clear vision of where your business is going and how it will get there.
Step 2: Create an action plan for each goal
Now that you know what your company’s goals are, it’s time to create an action plan to achieve them. This is where you will set the goals for your sales team.
Step 3: Set SMART goals for each goal in your strategic plan
SMART stands for Specific, Measurable, Achievable, Relevant and Time-bound. These are the five criteria that make a goal SMART. If a goal isn’t any of these things then it won’t be effective at helping you reach your business objectives! Here is more information on why setting SMART goals is so important.
Specific: A specific goal is one that is clear and easy to understand. It should be written in a way that anyone can read it and know exactly what you want them to do. For example, if your company’s goal was “to increase sales by 20% this year” then the SMART version of this would be “to increase sales by $1 million over last year”. This makes it much easier for everyone involved to see how they are contributing to the overall objective!
Measurable: A measurable goal has a number or percentage attached to it so you can easily tell whether or not you have achieved it.
If your company’s goal was “to improve customer service satisfaction ratings from 8 out of 10 down to 7 out of 10″ then the SMART version would be “to reduce customer service satisfaction ratings from 8 out of 10 down to 6 out of 10″. This makes sure that everyone knows exactly where they stand at all times!
Achievable: An achievable goal is one that will actually help you reach your business objectives. So if your company wants more customers, don’t set a target like “we want 100 new customers next month!” because there is no way you could achieve something like this without spending thousands on advertising (which most small businesses don’t have). Instead, set an achievable target like “we want 5 new customers next month”. Then work towards achieving this with marketing campaigns and other strategies until eventually reaching higher targets as time goes on!
Relevant: A relevant goal helps move things forward in some way. For example, if you wanted more money but didn’t need any extra cash right now, then setting a relevant target might be “I will save $100 per week for 3 months” instead of just saving whatever amount you feel like each week.
Time-bound: The final criterion for making goals SMART is time-bound which means having an end date attached so people know when their job will be done. For example, if your company’s strategic plan said we needed more leads before our launch date, then you might set yourself a deadline along the lines of “I will get 50 leads within 2 weeks” rather than just saying “I’ll get 50 leads”. That way you know exactly when your job will be finished and won’t leave anything unfinished!
Step 4: Set individual goals for each member on your team
Now comes the fun part! You’ve already set your company goals and created an action plan to achieve them. Now it’s time to assign individual tasks for each member of your team so they know exactly what they need to do in order to help you reach those goals.
Step 5: Set a deadline for each goal
The final step is setting a deadline for each goal. This will make sure that everyone knows when their job needs to be done by and helps keep things on track. So let me give you another example… If your company’s strategic plan said we needed more leads before our launch date, then you might set yourself a deadline along the lines of “I will get 50 leads within 2 weeks” rather than just saying “I’ll get 50 leads”. That way you would know exactly when your job will be finished and won’t leave anything unfinished! Then, once all the deadlines have been met, you can celebrate with some awesome sales team incentives like these.
So there you have it! That’s how to set goals for your sales team.
With Elevate, you can plan, design & manage both commission plans as well as quota-based plans with the utmost ease.
Elevate aspires to bring transparency in sales compensation. Sales reps can view all details regarding their commissions’ payout, quota attainment & revenue goals. Leaders can track the performance of every team member, manage product-based & territory-based revenue targets.