Develop a Sales Culture for Your CDFI

Creating a Sales Culture for Your Mission-Driven CDFI

August 22, 2013Jason Friedman * Leslie Hoffman

Catherine Meyrat * Barbara Eckblad

Sponsored by Little Dixie Community Action Agency (LDCAA) and funded by the U.S. SBA Program for Investments in Microentrepreneurs (PRIME) Program

Using Goto Webinar• All participants will be on mute.

• You will see a panel on the right hand side. Under the Audio tab (c) you will see the dial in number and access code you were e-mailed previously. To join the call, then enter in the Audio PIN number.

• Q&A: we’ll save 30 minutes for Q&A; type your questions in the Questions Tab (e).

• You may also use the “Raise Hand” button to alert the presenters that you have a question or comment.

2

The Friedman Associates Team Approach

We grow organizations thoughtfully and

sustainably.

We help you maximize your impact now for long-term results.

3

Friedman Associates

• Mission: inspire nonprofit leaders to achieve their vision for the entrepreneurs and communities they serve - and demonstrate the results that lead to increased funding and long-term success.

• Build Strong and Sustainable CDFIs: Assess and Strengthen Loan Fund Operations

Improve Effectiveness and Impact of Development Services

Prepare CDFIs for CARS™ Assessment

Develop KPIs and systems to demonstrate impact

Strategic Planning

Board Development

Market Research

Preparation of CDFI applications

4

Today’s Panel

Jason FriedmanModerator

Leslie HoffmanCo-moderator &Panelist

Barbara EckbladPanelist

Catherine MeyratPanelist

5

Today’s Agenda

Foundational Concepts of Mission-Driven

Sales

What is mission-driven sales?

Why is it important?

Developing a mission-driven culture

Measuring and monitoring progress

Q&A

Next Steps6

What Is Mission-Driven Sales?

Impact

Value

Action

7

Why Mission-Driven Sales?

8

Be Better, Do Better

9

Who’s Using a Mission-Driven Sales Approach?

Accion Texas, San Antonio TX

Accion New Mexico – Arizona – Colorado,

Albuquerque NM

Opportunity Fund, San Jose CA

10

A Snapshot of the CDFI Landscape

Demand• Grew in the fourth quarter of 2012

Originations• Remain strong

Outlook• Strong demand is expected to continue

Source: OFN Q4 2012 Market Conditions Report11

Market Research = Product Roadmap

12

What Does This All Mean?

Demand Focus Impact

13

Your Cultural View of Sales

20% Positive

21% Negative

59% Neutral

14

Have You Discussed Sales Culture?

Total: 43% No

Neutral Opinion: 47% No

Negative Opinion: 52% No

15

Who Is Behind or Far From Goal?

39% of full group

43% of those with a neutral sales view

37% of those with a positive sales view

31% of those with a negative sales view

16

Mission-Driven = Values-Based

17

Explore Your Values

PASSION

Leads with energy, humility, joy and fun.

Tenaciously overcomes obstacles.

PIONEERING SPIRIT

Actively recognizes and rewards innovation.

Embraces change with agility and humor.

INTEGRITY

Exemplifies ACCION values.

Builds trust by continually exhibiting honesty and respect.

EXCELLENCE

Consistently seeks opportunity for improvement.

Enthusiastically strives to exceed expectations.

ACCOUNTABILITY

Holds oneself and others accountable for behavior, actions and results.

Seeks and embraces feedback.

New Mexico-Arizona-Colorado

Full list available at www.accionnm.org. 18

Elevating Values-Based Behavior

Volume Values

Quality

Satisfaction

Retention

Goals

Quotas

19

Developing a mission-driven sales culture

20

Explore Team Attitudes and Resources

Board Senior Management Staff

21

Board of Directors

• Your Board of Directors need to be integrated into your work in building your mission-driven sales culture.

• They should participate in the process of developing your core organizational values.

22

Senior Management• Senior leadership may also have

varied attitudes toward moving to mission-driven sales.

• Success = taking time for dialogue, so senior leaders have consensus and unanimity about direction and the core values on which you will base your CDFI’s decisions.

• With consensus and unanimity, senior managers will successfully convey, first the WHY of what you are working toward, and then, the HOW and the WHO.

23

Staff• Achieving organization-wide

integration includes helping each staff member understand that they are a member of the team and that they have a specific and important role to play on the team.

• Educating staff on the WHY and the HOW and the WHO allows for staff to build their understanding and better allow them to embrace the success.

24

What’s Your Bus Look Like?

25

Job Skills

• Job skills is a broad concept which goes beyond narrowly-construed work skills that an employee has to succeed at their job.

• It includes personality traits and talents.

• We know that the personality traits of your front-facing folks, the sales people, tend to be different from those of back-office operations folks, even though both may have strong job skills in accounting, for instance.

26

Trust Is The Glue

Shared Values

Good Communication

Trust

27

Great communications strategies

• Make sure that folks whose job responsibilities depend on each other have open channels of communication.

• This creates opportunities for growth in knowing the truth of other's work, their ability to do that work and the strength of their skills as well as the strength of their co-commitment to the core values of the organization.

• Expect and allow only direct conversation – direct communication. About challenging issues or problems that arise on any given day, and that need solutions.

28

Motivate!

29

Tips on Sales Team Motivation

• Clear & visible• Team and individualGoals

• Victories, big and small• Learning from mistakes as

well as from successCelebration

• Provide perspective and affirmation

• Speak the truthLeadership

30

Compensation Considerations

Integrating goals with compensation can be effective and should be carefully considered.

Variable compensation can help staff align their tactics with organizational goals.

Variable compensation can be a recruitment tool but is not a retention tool.

31

How Do You Measure and Monitor Progress?

32

Measure Actions and Outcomes

What outcomes does your organization want?

Do you measure them?

Where are the gaps?

33

The Power of Key Performance Indicators

Clear monthly goal for

loan originations

Loan conversion

rate?

Best kinds of leads

that generate

closed loans?

Number of leads are needed to generate

one closed loan?

34

Driving Client Outcomes

Improve staff response time

Improve portfolio performance at the

loan officer level

Improve client outreach

35

Tips on Communicating Sales Goals

Communicate clearly why metrics are important and how they will help the organization

Include in job description

Have monthly discussions to share best practices

36

Measurement and Monitoring

Data

Measure

Impact

Manage

37

Sales Management Systems

38

Next Steps

Take stock of your values and impact.

Assess team resources.

Mobilize with clear goals, a coordinated team approach, and positive leadership.

39

And Here’s How We Can Help

Assessment of current loan fund operations and performance.

Analysis of current staff functions and corporate performance goals.

Facilitate re-assessment of organizational values, position descriptions and intra-office communication and workflows.

Develop KPIs and design data collection systems.

On-site staff training and coaching.

40

Let’s Take Your Questions

41

Additional Resources

• FIELD forum Issue 23: The Organizational Foundations of Sustainability (2009) on ACCION New Mexico-Arizona-Colorado http://fieldus.org/Publications/FieldForum23.pdf

• Dollars for Dreams: Scaling Microlending in the United States (2010) • http://fieldus.org/Publications/DollarsForDreams

.pdf• Good to Great: Why Some Companies Make the

Leap and Others Don’t, J. Collins (2001)• Built on Values: Creating an Enviable Culture that

Outperforms the Competition, A. Rhoades (2012)42

Additional Resources

1. Myers-Briggs Foundation: www.myersbriggs.org

2. StrengthFinder 2.0: (c) 2007 Gallup, Inc.

3. CISS (Campbell Interest and Skills Survey), (c) 1994 David Campbell, Ph.D.

4. BarOn Emotional Quotient Inventory: Rowen Bar-On, Ph.D.

5. Career Anchors; Discover Your Real Values, Edgar H. Schein, www.careeranchorsonline.com

6. Management Tasks, Responsibilities, Practices, Peter Drucker

43

Thank you!

Contact us:319-341-3556

jasonj@friedmanassociates.netwww.friedmanassociates.net