The sales team is a group of staff dedicated to building strong communication between the customer and the product.
They hold a significant responsibility to meet the growth goals of a company in terms of the sale of products, services, subscriptions, and so on. This team is, therefore, always under pressure to achieve its objectives.
Performance for the sales team is beating the previous objectives because their success or failure has a tremendous impact on company success; hence, they are faced with crucial responsibilities.
Good results are always expected from the sales reports at the end of every quarter or periodic meetings. The following questions are often posed at sales meetings;
- What type of OKRs could be set for a sales team?
- How do we define OKRs for the sales team?
- What are the most important things to focus on?
What does an OKRs mean for a sales team?
Objectives and key results (OKRs) is a framework for defining and tracking objectives and their outcomes. John Doerr defined OKRs as a collaborative goal-setting tool used by teams and individuals to set challenging, ambitious goals with measurable results. They are how you track progress, create alignment, and encourage engagement around measurable goals”.
When done right, OKRs are incredible and can transform sales into a high revenue generator. Although, it requires a significant commitment from each member of the team.
Many companies focus on the number of customers the sales team has been able to bring. Unfortunately, they forget that other quantitative parameters come into play when determining the performance of the sales team.
Performance indicators, such as the activity, process, method, skill, and attitude all contribute to sales performance. However, the wrong definition of OKRs can be fatal to the success of the sales team.
Some Characteristics of OKRs of a Sales Team
Here, especially, you should have:
- Significant, concrete and action-oriented objectives
- Qualitative and inspiring objectives initiated to hoist the organization in the desired direction. They must never contain figures.
- Key results that contain metrics that you could assess.
Before giving some examples, you should know that OKRs for sales depend on the period considered and the performance drivers mentioned above other than the number of customers. You can have sales OKRs that improves the sales process. You can also define OKRs for the sale of a new product.
Here are some practical examples of OKRs for your sales team
Objective 1: Get our first customers
- Reach $100k in revenue
- Have $1M in the pipeline
- Reduce code email bounce rate from 60% to 10%
Objective 2: Improve the performance of the Sales Funnel
- Develop and test new demo deck
- Automate post-call follow up
- Test a free trial offeror operation
Objective 3: Improve Sales process or operation
- Implement a sales analytics and Business Intelligence platform
- Review Sales Activity metrics and send a weekly summary to the team
- Review Sales Pipeline metrics and send a weekly digest to the team.
Objective 4: Grow our SDRs into the best sales team in the industry
- Implement a better onboarding process
- Conduct sales coaching for the team every week
- Invite the new sales training company to improve our training scheme
Objective 5: Improve our sales lead process.
- 5000 calls per salesperson per quarter
- 90% of inquiries followed up within 24 hours.
OKRs have already proven themselves in several successful companies. To subscribe to this logic, you can start by defining your objectives on Happierco and follow our complete guide on OKRs to understand more.