Improving Hiring Decisions by Using Sales Tests

A client asks, "I've been hearing a lot about sales assessment tests. Do they really work? How do I choose one?"

Depending on your needs, assessment tests can be used as part of your hiring process and/or as part of assessing your sales team. This month I will focus on using tests in the hiring process. In a subsequent newsletter I will talk about using them as a diagnostic tool.

Tests do work. There are numerous scientific surveys that demonstrate the value of testing (e.g. for finding strong contributors, identifying strengths and weaknesses, and improving retention rate) and it puts one more tool in your hiring toolbox. A bad hire has a lasting impact which can be particularly damaging at a smaller company. Testing can help mitigate your hiring risk. So the decision should not be about whether to test, but about which test is right for your sales organization. Briefly, there are several types of tests:

• Personality: Assesses an individual’s character traits, and provides insights into how they might fit in with your company’s culture.
• Intelligence: Evaluates an individual’s reasoning, memory, comprehension and numerical abilities.
• Aptitude: Shows skills an individual has learned and is capable of performing.
• Executional: Examines whether or not an individual has learned certain skills and whether they will execute those skills when they need to.

Handle the search for a sales test just like you would handle the search for a good house painter: ask your peers and sales executives in your network if they use sales assessment tests and if they were satisfied with the results. Call the various companies they suggest, and talk to them about validity, delivery, and price. Ask to see a sample test and a list of companies that they currently do business with.

When reviewing the tests, be sure to consider only commercially reputable EEOC-compliant assessments supported by a substantial body of historical and statistically validated data. Make sure that they allow you to “benchmark” so that test results can be compared to your ideal candidate. For salespeople execution is critical, so executional tests deserve most of your attention.

Testing is only one part of the hiring process. Writing an accurate job description, crafting insightful interview questions, meeting with candidates several times, and conducting thorough reference checks are all equally critical to helping you identify and hire the right candidates for your company.

Involving Sales Staff in the Hiring Process

A client asks, “I am considering hiring another sales representative. What criteria should I use to make this decision? What do I do if I decide to proceed?"

In last month’s column I wrote about making the decision to hire an additional salesperson. Should you decide to do so, telling your current sales team is the next step. Below are some thoughts on making this process as smooth as possible.

Telling the Group

Making the announcement that you have decided to hire an additional sales representative can elicit mixed emotions from your current sales staff. Concerns ranging from territory and income reduction to fears about the new person showing every one up are common. The best way to mitigate fears and concerns is to position your decision around what’s best for the health of the business, using facts and numbers to back your decision up where necessary.

Present the Plan

If you are asking salespeople to give up part of their current territory, show them the new territorial alignment plan before you begin bringing candidates in for interviews. If they object strongly to a particular territorial decision, hear them out. They may have thought of something you hadn’t. When it comes to territory realignment, most sales representatives will try to do a little wheeling and dealing. If what they propose is fair, try to accommodate them. If you cannot, explain why. The final decision is yours.

Involve Them in the Hiring Process

Before you begin the interview process, let your sales staff know that you would value their input. Ask them questions such as:

• “What characteristics do you think a sales representative needs to be successful at our company?"
• "What do you know now that you wished you had known before you took the job?”
• “What was the most helpful part of orientation?”
• “What is your favorite part of the job?”
• “What is the most challenging part?”
• “What questions would you ask a prospective candidate during the interview process?”

Make sure that each salesperson has a chance to speak with the final candidates during the interview process and ask them for their opinion afterwards. When you make your final choice, tell them specifically why you selected that person and how their input helped.

Though it’s always an adjustment to accommodate a new sales representative, your current staff will appreciate being involved in the process, which will make for a smoother transition for everyone.

Assessing the Self-Motivation of a Salesperson

A client asks, “During an interview, how can I determine whether or not a prospective sales representative is self-motivated, competitive, or hungry?”

Job interviews are challenging because both you and the candidate are trying to present yourselves in the best light possible. This gets further exacerbated when the interviewer makes a common mistake and asks the candidate leading questions.

One way to avoid this problem is to use behavioral questions. These questions will usually take the form of “Describe a time when….” or similar phrasing. Asking, “Can you tell me about a time when you created a sales contest just for yourself?” will give you a lot more information than a leading question such as “Are you self-motivated?” The former question allows them to both tell a story and actually demonstrate their level of self-motivation or competitiveness. The latter question tips them off to the reply you want.

A genuinely self-motivated salesperson understands the importance of frequently setting up both large and small rewards for themselves on an ongoing basis. If a candidate mentions buying a gourmet dessert for their family every Friday if they speak to a certain number of decision makers each week, you know they understand the importance of setting smaller goals. If a candidate mentions buying tickets to a theatre production or sporting event if they open a new account or close a particularly big sale, you know they understand the importance of setting larger goals as well. Salespeople like these are actively engaging in this process.

Good follow-up questions to ask are “Who have you told about these contests?” or “How often do you bring home a gourmet dessert for your family?” Listen for candid and open answers.

Behavioral questions such as these will help you to see beyond the candidates “best manners” and enable you to more accurately determine whether or not they are a driven salesperson.