1. Sales Turnover Project: 0307-38-001 Sharon Smith Black Belt Salt Lake City, UT

2. 2 Background Current Process  Turnover 38.5% in North America.  Goal Reduce IBS sales rep turnover by developing and implementing a Sales Rep Profile to be used in the hiring process.

3. 3 Operational Definition Drop 12 month rolling turnover by 3% from a current rate of 38.5% Nationwide.

4. 4 Project Focus Northeast Region August reported turnover - 38.6%. Corporate Headcount Reporting Actual # of Terms Last 12 Months Average # of Reps Last 13 Months

5. 5 Process Capability Jan – Aug Northeast Region DPMO – 883708 Zlt (-1.16) Zst.34 Process Capability Analysis for Northeast % Turns January through August

6. 6 Measurement Analysis

7. 7 Measurement Analysis Cont. Staffing vs. Rolling Average Headcount Actual Number of Employees in Position per month Number of Terms per month

8. 8 Measurement Analysis Cont. ASR – 8.36% AE1 – 7.61% AE2 – 5.95%

9. 9 Northeast Terms for Entry Level by Month Actual Entry Level Positions Turn % by Month Reflects June Staffing Reduction

10. 10 Data Analysis June

11. 11 Data Analysis

12. 12 VOP DPMO 739990 Zlt (-0.63) Zst 0.87

13. 13 Northeast Terms for Entry Level by Month Actual Entry Level Positions Turn % by Month Increased turns after staffing reduction and NO entry level new hires in July and August have resulted in 23 open positions.

14. 14 FMEA

15. 15 FMEA Important X’s No accountability or controls in place for sales managers conducting interviews. Evaluate Behavioral Interviews against profile before putting controls in place for consistent use of BI.

16. 16 FMEA Important X’s Territory Management Territories considered before each hire resulting in lengthy delays since June. Open positions remain open longer. Days to hire only tracked from time of open Job Requisition. Create tracking tool from time territory is actually open.

17. 17 FMEA Important X’s Use of Behavioral Interview Management Training 73% (Entry Level) Manager Trained Complete Training after test of profile. Management Experience No evidence of use HR Conduct On-the-Job Training after test of profile.

18. 18 FMEA Important X’s Time to conduct proper interview. Implementing “Power Days.” Two pre-scheduled interview days a month in the district. Pilot in Philadelphia and Upstate New York through October.

19. 19 FMEA Important X’s Both internal and external Job Postings inconsistent. Candidate expectations are unrealistic. Review of internal and external postings – 15 different postings for ASR and AE1 positions. Job postings will be created using current Job Descriptions and standardized for each position.

20. 20 The Profile A profile designed for each position will be an initial filter for all applicants and provide sales managers with candidates that meet the qualifications of the position.

21. 21 Starting Point Begin with Entry Level Profile. A Profile will be created for all rep types.

22. 22 Measurement System Determining “What We Think We Need” Completed Interviews: Regional VP/GMs Regional Sales Ops Marketplace Sales Managers Sales Representatives

23. 23 Data Collection Interviews – Top 10 Skills Commonly Identified as Key to Success by NE Sales Professionals Staying current with technology. Practical understanding of business. Learn and apply concepts quickly. Able to present information with confidence. Probe for alternate solutions. Use internal resources and process. Focused in a changing environment. Set personal expectations. Time management. Seek expertise of others.

24. 24 Surveys Does everyone agree this is what we need? Survey to Sales Managers and Entry Level Sales Reps. Forced Ranking of 1 through 10.

25. 25 Data Collection/Survey Results Sales Managers Time management.1 Setting personal expectations.2 Learn and apply concepts quickly.3 Practical understanding of business.4 Present information with confidence.5

26. 26 Data Collection/Survey Results Managers Reps Time management.11 Setting personal expectations.24 Learn and apply concepts quickly.3(8) Practical understanding of business.45 Present information with confidence.52 Focus in a Changing Environment(7)3

27. 27 Next Steps  Begin creation of profile using top 6 competencies determined in survey results.  Verify the competencies identified in the survey match the current hiring tools, the Job Descriptions and Behavioral Interviewing Guides and Performance Management Documents.  Test Profile.  Conduct analysis and validation.  Obtain legal sign off.  Begin creation of sales profile for remaining positions.  New process map.

28. 28 Questions?