Derby Management's "Competitive Edge" Blog

The seasonal break of summer, and all of the years of going back to school in September always make me approach these four months not as the month of September, the end of the quarter and then Q4, but as the four month quarter. Nothing really changes except the measurement stick of Q3-critical only for quota benchmarking, but in the practicality of day-to-day, month-to-month selling, this four month period, if properly planned-can become the most rewarding of the year. All it takes is just a bit of short term planning.

Gone (and buried, hopefully) are the days of running back to your desk after a trade show with a hand full of business cards and sitting down to make semi-cold calls and then entering basic data into either ACT or Goldmine. Both good basic sales automation tools- back in the day-when the alternative was an over-stuffed Rolodex spilling out hundreds of cards in all shapes and colors with coded notes scribbled everywhere that sometimes only the CIA could interpret.

A few weeks ago, I was sitting at the breakfast counter at the Rye General Store, where I bike most mornings when I’m at the beach, and I looked up from my Globe to see Dottie sitting at the opposite end of the counter. Dottie and I grew up together at the beach pretty much from our earliest childhood years through high school since our parents had cottages right next to one another. After we both bumbled through the normal awkwardness of not having seen one another for 35 plus years, we quickly connected on spouses, jobs, kids and kids’ kids, and then got down to the interesting stuff of what had happened to the pods of kids that we grew up and surfed with.

For years now, I’ve talked, lectured, cajoled and beaten my salesguys into submission with The Derby Law of 3,000. In a nutshell, The Derby Law says that if you work 60 hours a week (I wish that I could find that job!), which is 3,012 hours, you immediately lose 25% due to holiday, vacations, and sick time. Without going into numbing detail, you lose another 40% of the remaining time due to non-sales activities since our data from now thousands of salespeople says that only 57% of thier available time is spent both preparing for and actually making the sales call.  All of this boils down to around 1,300 hours to actually sell…and now my question, as a manager, should be just how effective can I make my time and the time of my salespeople?  It would be great if I could hem 90% effective, which would be perfect, but sadly impossible. If, on the other hand, they’re only 50% effective with the time they have available, then I have a really big problem. 50% would be an impossible situation to resolve.  Might as well resign right away. 

I happenned to be with Mike McEachern, the CFO of Brainshark, one of our favorite customers, the other day, and we got around to talking about plans for the weekend.  Among the countless normal “HoneyDo” tasks that all of us are faced with every weekend, Mike was making sure that he squeezed in sufficient time to put 50 miles on his road bike.  Mike has been a serious biker for a number of years now ever since he started participating in the Pan Mass Challenge, one of the biggest charity rides in the country.  In the winter, when the snow and nasty cold don’t favor his training requirements, he hits the ice every week with a local hockey team.  When I asked Mike why all the physical conditioning, the answer was simply, “Just to stay in shape.”