There’s no denying that good employees are an essential force for many businesses that want to drive more revenue. If that’s the case with your company, you’ll also need first-class sales people along with the right tools and zeal. And although having a sales team is great, a good leader that will ensure the company succeeds.
To beat the competition, acquire more customers, and gain more revenue, you need a Vice President of Sales (VP sales). The vice president should be intelligent, hardworking, and ready to lead the company to success. On that note, we are here to show you when is the right time to hire a VP sales, how to hire one, and the qualities to expect from a prospective employee.
If you are as excited as we are, then let’s get moving!
The Process Of Hiring A VP Sales
The VP Sales is your go-to person when it comes to the success of your company. If your company is a startup, you might already be considering getting a VP sales. Whatever your reason is, we have outlined the steps you need to take before hiring someone.
1. Appraise your current growth rate
Before hiring, you need to understand your business’s growth rate. The growth stage of your business is a vital aspect to consider. This helps you make informed decisions on the type of leader you want.It is also essential to know where sales are coming from to properly understand your target market.
Also note that companies do go through several stages. The four main stages a business goes through are:
2. Understand the kind of VP sales person you need
After assessing the growth stage of your company, it’s time to understand the type of person you require. Studies show that there are different types of sales leaders, some of which include;
The Campaigner: The campaigner is very clever and zealous. They are very customer-driven and can close many deals on their own. The campaigner is good for startups but not advisable after the startup stage.
The Consultant: This leader can inspire and motivate the team. They believe in advising and motivating the team to succeed.
The Achiever: The achiever sets high targets and meets them. They usually look to conquer more significant markets.
The Recruiter: One of the jobs of the VP sales is to recruit a good sales force. They usually struggle to identify how to increase the company’s revenue and develop the sales strategy.
3. Make one clear and thorough plan
It is always advisable to have concrete plans in preparation for the new employee. Draw up a budget to accommodate them. Also try and create an environment for them to function at their peak.
Also, even if you run a startup, your sales team must work with other departments to achieve desired success. So, it’s a good idea to ask other departmental leaders what qualities they would like to see in the new sales leader.
When Is The Right Time To Hire A Vice President of Sales?
Arming yourself with the knowledge of your company’s growth stage will help you understand when to hire a vice president. You can hire one too early or too late. So, timing is vital.
A startup without a continuous sales process should not hire someone just yet. It would be early. The company should have an actual process in place. The job of the vice president is to upgrade the already existing sales cycle and drive revenue.
On the flip side, if you want to hire a VP sales after establishing a continuous cycle, you might be hiring too late. Oftentimes, late hiring is due to the fact that many entrepreneurs/founders try to micromanage everything and neglect other aspects. They have trouble hiring someone to take over from them.
Factors to Consider When Hiring
Before you hire, consider some factors like the:
Process: You are ready to use a sales VP when you have a systematic sales process. Having a track record of successful deals is good. It indicates that it’s time to hire a new leader.
Revenue growth: A good time to hire a leader is when there is a surge in transactions. It would not be beneficial to bring in a new vice president when there is a decline in revenue. The work of the vice president is to help increase the growing cash flow.
Number of customers you have: You can track the number of customers you have. It is easy when your product gains acceptance in the marketplace. As revenue increases (because of increasing demand), it is necessary to hire a new head of sales.
Readiness of product: An organization can hire a new vice president when the product is ready to be released. When the product gains acceptance, then you can employ someone.
Selling department: The department should already be set up before the new head arrives. The job of the vice president is to help improve your current team and hire more people.
As mentioned earlier, you should hire a VP sales when you have a sales process that is repeatable. You can do this when you are ready to handle the potential influx of customers. You also need to have a plan of reinvesting back into the business.
The Support You Will Need
Hiring a qualified VP sales can be difficult. It would be best if you got acquainted with the processes involved in hiring. Before you hire someone to lead your department, you need to know the qualities to consider. We understand how tough the recruitment process can be; so to ensure your recruitment process is stress-free, let’s go over what you need to do.
Hire leaders that have a clear understanding of your goals and values: Your VP should have values that line up with those of your company. It prevents you from hiring someone that will be working against your goals.
Consider the VP’s past ability to increase revenue and productivity: When recruiting a vice president, you should know if the person is willing and able to help your business grow. Some people will sound good on paper but are unable to meet your expectations. It is essential to hire someone who is not just a good talker but also a performer. Try to find out more about how they handled their past jobs and previous successes. Asking the right questions will give you information on how much revenue they made in past jobs. Prepare these questions ahead of time.Eventually, you’ll understand how they managed their past role to increase the number of customers.
Look for alternative options: If you can’t handle the recruitment process alone, involving the services of a third party is your best bet. You can employ the services of a recruitment firm. They are more experienced and have more extensive networks. They can also help to take the burden off you and give you time to focus on other tasks. What’s more, engaging the services of a recruiter means the process would be more professional.
There are several things to look out for when you want to hire a vice president. Below are some of the qualities your prospects should possess.
Good leadership skills: Any prospective vice president should possess leadership qualities. He or she should be able to motivate others. And beyond presentation and charts, the vice president should drive the team to success. They should also be accountable, loyal to the company, and must be able to transmit this quality to other employees.
Good coaching skills: A critical skill to look out for in your prospective employee is the ability to develop and coach a team. He or she should coach the team on how to carry out effective strategies that lead to better sales results. Check the history of the candidate, make sure that they are a good coach.
Competitive qualities: You need a vice president that can thrive in a competitive environment. Look out for competitive qualities in their resume.
Organizational skills: Your new employee should possess managerial and organizational qualities. They should also have a positive attitude towards work. He or she must be able to create structures that will help the company attain success. This way, you can consistently churn out good results.
Ultimate Tips for Hiring a Sales VP
We want to make sure that you are stress-free before, during, and after the recruitment process. Here are more tips to guide you:
Draw up a captivating job function: It would be best to draw up a proper job description that would be enticing to prospective candidates.
Draft your job description to attract applicants who fully understand the sales process and how to win. One of the roles of a VP sales is resolving issues. When there are challenges, it is vital to have a leader who can find solutions promptly, without stress.
Try to predict the future risks: When recruiting, you should search for someone not resistant to change. He or she should make changes that suit the company at different times. For some businesses, methods and principles that work today might not work the next day. So, try to hire someone that is smart enough to see trends and knows how to make changes where necessary.
Consider hiring from within: The prospective employee should be able to work well with the heads of other departments.
For this reason, it might be worthwhile to look within your organization forpeople who can fit the job description. Instead of spending too much money or time on a new manager, promote one of your best performing team leaders.
Ask questions: When you begin the process of recruitment, ask questions relevant to the job. Ask operational and technical interview questions. Ask the prospect how he or she manipulates situations in favor of their team and the organization in general. Your vice president should possess an impressive mastery of his or her job. He or she must be able to communicate this knowledge to their team members.
Use a service to help you scale: Before you consider recruiting a vice president, your organization should understand its growth stage. If your business starts experiencing increased demand for services or products, try to scale things up.
We understand that meeting the demands of customers and handling an entire department can be a burden. However, try not to let the increasing pressures get to you. When looking for a service to help you scale, examine their approach and see if it works for your organization. They should be able to:
Conduct an appraisal every so often: Knowing how well your sales team has performed will guide decision-making. The appraisal can spot areas that need change in order to help you scale the business. Appraisals can also assess your processes, and goals as well as uncover areas of weakness and strength (be it within your operations or your staff members). It’s also worth mentioning that as part of the appraisal, your sales and marketing revenue would face some adjustments. It is necessary to suit current business needs as it affects the team’s performance. Lastly, once you conduct an appraisal, you’ll also understand who your top performers are.
Create a solution: After releasing the appraisal report, they will help you develop new strategies. Try to make use of all available online tools that will assist your vice president to do his or her job better. They can then detect problems and proffer solutions.
Implement new strategies: The implementation is the final stage. This is where everything put on paper is ready for performance. Your vice president will help your business implement the solutions created. This will, in turn, help to increase revenue.
It doesn’t matter if you’re a startup or established company, if your organization is considering scaling, be sure to hire a VP sales at the right time. What’s more, you will need to use the right people on your team as well as the right approach for success.
If you’re unsure where to start, we can help you scale your business and reduce your risk. We understand that scaling a team comes with some inconveniences. However, doing the right thing can help you save time and money.
That’s why going with an expert like Ashton Morgan will come in very helpful to hire the right talent and close many more deals.