Sales Talent Takes a Strategic Step Up

Sales force talent management—the process of identifying, developing and retaining staff—is a perpetual challenge for consumer packaged goods (CPG) manufacturers. In the face of constantly evolving markets and savvier, more diverse consumers, traditional sales skills are not enough to put companies over the top. Who would have thought 10 years ago that a CPG salesperson would need to be a merchandiser, a long-term category strategist, a general manager and a thought partner?

This is among the key insights from "Talent Triage: Raising the Bar for CPG Sales Force Talent Management," a study by A.T. Kearney, the Grocery Manufacturers Association and the Network of Executive Women that examines sales force talent management and diversity within the consumer packaged goods industry.

Over a three-month period, A.T. Kearney drew on surveys and interviews with executives and field employees from 34 CPG manufacturers and eight retailers to answer a series of questions about CPG sales forces:

Figure: Talent management life cycle

Why should companies focus on sales force talent management? Changing consumer behavior and demographics, more product interdependence, and the proliferation of shopper data are rapidly changing the industry, and CPG sales forces must keep up. Retailers do not just want their CPG manufacturing partners to provide merchandising ideas and strategic support—they expect it. As much as they sell products, the most effective sales teams also collaborate and solve problems.

What are the leading skills of CPG sales force talent? CPG sales superstars have the mindset of general managers—they are both doers and thinkers. To bring salespeople to this level requires aligning talent management activities with business objectives across all boundaries, and balancing formal and informal processes based on personal engagement. Incorporating diversity into the company's DNA improves innovation, helps to capture market insights and increases access to top talent.

How does a company achieve world-class sales talent management? The findings suggest three steps:

• Chart a sales talent management road map. Determine the impact sales talent has on corporate objectives and what skills create more value for customers, and then focus on activities that deliver the desired outcomes.
• Articulate, activate and sustain the road map. Assign accountability across executive leadership, sales and human resources.
• Support the sales talent strategy. It's not enough to have the right ideas—they must also be implemented. Ensure that executive sponsorship, incentives, tools and technology, transparent communication, and performance metrics are all in place (see figure).

What is the value of getting sales talent management right? The study shows that the benefits are vast. Companies get more sales productivity and top-line growth, stronger customer relationships, and improved recruiting that results in higher-caliber salespeople and less attrition down the road.

The Time Is Now
The findings demonstrate that it is time for CPG companies to build integrated, self-reinforcing programs that address the needs of employees and customers. By improving sales force skills, companies can secure market share, build brand strength, hire the best talent and, importantly, protect their valuable retail shelf space.

For more information about the study findings, contact the authors.