Your Biggest CRM Risk: Will your Sales Reps Use It?

By Scott Adams

A company invests more months of effort than planned in order to get their new Customer Relationship Management (CRM) system running. After large investments in software customization fees, computer equipment upgrades, and user training, the CRM system is rolled out.

Managers are looking forward to seeing accurate, up-to-date sales forecasts. They anticipate an upsurge in sales trough improved customer relationships. They are anxious to monitor every deal in the pipeline.

Then the excitement dies. Sales forecast reports are not current. Sales remain the same. And, sales management cannot determine what is being done on deals in the pipeline because the information is not entered into the system.

Why? Why is the information they want not there?

A few weeks after the system is implemented, management learns that sales reps are still using their contact manager or Microsoft Outlook to track customers and activities. In fact, managers discover that only a few reps are using the new system. And most of these reps are only using it to update their forecast.

The company’s CRM project fails. Not because the CRM system lacks functionality. Not because it cannot store the information management wants. It fails simply because sales reps do not use it.

Any enterprise-wide software project has risks. With biggest CRM project risk is the chance that the system simply will not be used. This risk alone could kill your entire CRM investment.

When selecting a new CRM system, this risk is often ignored. It is assumed that sales reps naturally will adopt a tool that should make them more productive, that should help them sell more.

Many times we have been asked to step in and “rescue” a CRM system several months after it has been implemented. Management is perplexed, not understanding why reps are not using the CRM system.

But getting sales reps to use a new CRM system is not as simple as it might seem.

I have implemented many enterprise software systems-banking systems, financial systems, and ERP systems. Most enterprise systems are more complex than CRM. Transactional processing, for example, requires accuracy and reliability. When you implement a new finance system, however, you expect that users attend the training sessions and read user manuals. Many users even develop step-by-step processes for daily and monthly procedures. Managers direct the conversion to the new system. Users make sure that the conversion goes as smoothly as possible.

So, why doesn’t this same orderly conversion happen when implementing a new sales system?

Consider the nature of the successful sales rep. This rep is often a maverick. He takes pride in using his own sales methods and pursuing sales independently. Only with reluctance does this rep update sales forecasts. With time being the most important resource, this sales rep only does things that he believes will lead to a sale. Anything else that management asks for is considered less important. He keeps a personal Rolodex of contacts, or perhaps saves them in a personal copy of ACT or Microsoft Outlook. He keeps his calendar in Outlook, or on his PDA, or even on paper in a Franklin Day Planner.

Now management tells this sales rep that, starting next week, he must use a new sales automation system. He is told that his time-tested method of account record keeping must be replaced with a new “database system” and shared with others. Conversations with customers must be recorded into the database. Sales deals must be entered, with the most current products, pricing, close probability, and estimated close date updated regularly. You ask this sales rep to schedule their calls and customer meetings with this new tool as well. And, just to make sure that this rep follows the prescribed sales process, you want him to check off each of the steps in the sales process so carefully defined by sales management and marketing. Throw away the contact manager or the Rolodex or the Day Timer, the legal pads of notes so carefully filed in cabinets in manila folders, and written “To Do” lists. Replace it all with the new system. And, take a day or two out of the sales territory to attend the training class. If possible, read the 250 page user guide.

What do you think happens?

The typical sales rep resists this change. He complains that the new system takes too long to synchronize, requires too much retyping of notes from customer conversations, and takes too much time to create an opportunity in the system. No matter what the excuse, the rep will often find a reason to avoid using it.

They avoid using it for a simple reason: They do not see how the new sales system can help them sell more. They see the CRM system only as a way for management to keep tabs on them.

For most CRM projects, the motivation comes from management. Managers want more accurate forecasts. Managers want detailed profiles on each customer. Should a sales rep leave, managers want the next rep to step right in and pick up where the last rep left off. Managers want the rep to follow the prescribed sales process so that they have a common baseline for where each deal is in the sales cycle. Most, if not all, of the goals for the new system are driven by what management wants.

But what does the sales rep want? How can you encourage the sales rep to use it?

With all of the bells and whistles most CRM systems offer today, you would assume that reps would find many things to like about their new system. After all, it has the ability track their activities and record notes. It allows the rep to send customers letters and email and maintain an electronic Rolodex of contact names, addresses, and phone numbers. It appears to be a useful tool. So why do so many reps resist using it? For a simple reason: It is different than what they do today…what they have been doing successfully (in their view) for years. Why change unless change makes selling easier?

Every company implementing a new sales system should ask: What can the new system do that helps the sales rep sell more? Focus on making life easier for the sales rep, and your CRM project can be a success.

Let’s discuss some things that you can do in order to get your reps to use the system more, to get what one of our customers calls a “high level of compliance”.

Make daily sales tasks simple.

What are the things that your sales reps do each day, or at least several times a week? Do they send the same white paper to prospects? Do they send out a list of references for a selected industry? Whatever is done on a consistent basis is a candidate for automation. Make it simple, with three or fewer mouse clicks, and the rep may use it.

Automate, not just monitor, the sales process.

Sales manager want to track what is going on in each deal. But sales reps have little reason to even look at the “opportunity” record in the CRM system. Encourage reps to look at the opportunity by automating common selling steps from within the opportunity record.

Make forecasting fast and simple.

Keep forecasting information simple. Don’t have the rep fill in 20 different fields unless both you and your top sales reps agree that this information is essential. Allow the rep to update common forecast fields such as the estimated close date and probability with just a few mouse clicks. In fact, allow the rep to update multiple deals at the same time if possible.

Get sales rep buy-in to the sales process.

If your sales team views the entire CRM project as being forced on them, there will be little adoption. This is the “Big Brother” affect. Instead, make sure that you have your most respected sales reps on the team that evaluates and designs the sales system. Get them involved in defining the sales process based on their “best practices”. Then automate many of these steps in this process that they recommend. If these reps have the respect of their peers, then there will be a higher acceptance by most of the sales force.

Start slow and evolve.

Don’t try to automate everything at once. Sales reps hate change, and they hate significant change even more. Start with the same basic contact management and forecasting functions they do today. Then add something new each week or two. Trying to do much at first only frustrates the sales team. More automation also takes more time and complexity. Still, have a vision of where you need to go. Lay the foundation for that vision at the start.

Communicate.

Let everyone know what the purpose of the CRM system is. Let them clearly know what is expected to be done by each rep.

Make sure each rep understands that using the system is not an option - it is part of their job. Senior management must lead by example, using the system for their sales reports and deal tracking.

Minimize your project risk by making CRM an effective sales tool for all reps. Focus on making life simpler for the rep, and the other benefits will fall into place.

About the author:

Scott Adams is the President and Founder of SalesPath Corporation, a CRM integration firm based in the Seattle area. Since its founding in 1997, SalesPath has implemented CRM systems for numerous companies throughout the United States. SalesPath was awarded the Willy 2000 by The Denali Group, recognizing it as one of the top three CRM integrators in the United States.

Mr. Adams has over 20 years of experience in sales, marketing, IT management, product management, systems integration, and product development. Mr. Adams has been the product manager for a leading CRM vendor, and has chaired CRM vendor advisory committees.