The Agile Sales: Successfully shaping transformation in sales and service 3658382856, 9783658382858

Table of contents :
Foreword
Preface
Contents
List of Figures
Introduction
References
1: Basic Thoughts on Agility in Sales
1.1 Common Understanding as a Foundation
1.2 What the Agile Manifesto Means for the Sales Department
1.2.1 Individuals and Interactions
1.2.2 Functional Products
1.2.3 Cooperation with the Customer
1.2.4 Adaptation to Change
1.2.5 Implementation Possibilities in Sales and Distribution
1.3 The Three Sides of the Coin Agility
1.3.1 One Side of the Coin: Conventional View
1.3.2 The Other Side of the Coin: Complementary View
1.3.3 The Third Side: The Dynamics of Duality
References
2: The End of Sales as You Know It Today
2.1 What Buyers Really Want Today
2.1.1 B2C Customers
2.1.2 B2B Customers
2.1.3 Expectation Versus Performance
2.2 How Much Agility Is Already in It?
2.3 The Contradiction of Requirements
References
3: The Distribution of the Future
3.1 Value Creation from the Customer’s Point of View
3.2 Offering Digital Solutions Instead of Selling Products
3.2.1 Transparency
3.2.2 Human Care
3.2.3 Individuality
3.2.4 Commitment and Appreciation
3.3 Offline Selling 4.0
3.4 Customer Care: Service Center 4.0
3.4.1 The Future Demands on Customer Service
3.4.2 From Call Slave to Expert for the Customer
3.4.3 Agile Service Teams
3.5 Learning from Others
3.5.1 Elizitation: Working Out the Strategy of the Model in Small Steps
3.5.2 Utilisation: Adapting the Strategy to the Product and Culture
3.5.3 Installation: Learning and Adopting the Utilised Strategy
3.6 Models: You Can Learn Modern Customer Loyalty from These Companies
3.6.1 Amazon
3.6.2 Team Bank: EasyCredit
3.6.3 OBI DIY Store
3.6.4 Nike
3.6.5 Thomann
3.6.6 HP Inc.
3.6.7 BestSecret
3.6.8 PayPal Versus Paydirekt
3.6.9 Zalando
3.7 New Strategies for Customer Retention
Responding to Requests
3.7.1 Curated Offers
3.7.2 Being a Coach
3.7.3 Automated Conversion
3.7.4 Conveying Exclusivity
3.7.5 Offer Appreciation
References
4: What Hinders Change
4.1 The Six Errors of Reasoning
4.1.1 The Linear Fallacy
4.1.2 Incorrect Centre of Gravity or Repair Service Behaviour
4.1.3 Non-observance of the Remote and Secondary Effects
4.1.4 Central Reduction, Encapsulation
4.1.5 Vague Objectives, Conflicting Objectives
4.1.6 False Hypotheses
4.2 The Four Resistors
4.2.1 Dysfunctional Resistance
4.2.2 Resistance of Interests
4.2.3 Overload Resistance
4.2.4 Objection Resistance
4.3 The Competition Syndrome
4.4 Association and Collaboration
4.5 How to Remove the Obstacles
References
5: Agile Culture Change in Sales
5.1 The Three Cultural Levels
5.1.1 First the Culture, then the Structure
5.1.2 Against the Downward Spiral
5.2 The Lighthouse Model
5.2.1 The Basis: Why Do We Exist?
5.2.2 What Is Our Self-Image/Identification?
5.2.3 What Do We Base Our Actions On?
5.2.4 Which Roles with Which Competences Do We Need on Board?
5.2.5 How Do We Rebuild for Change?
5.2.6 What Effect Do We Create in Our Environment? What Contribution Do We Make to the Vision?
5.3 What Does a Modern Sales Strategy Look Like?
5.3.1 Balanced Scorecard
5.3.2 Objectives and Key Results (OKR) and Balanced Scorecard
5.3.3 Sales Strategy Canvas
5.4 What Do the Twelve Agile Principles Mean for Sales?
5.5 The Three Horizons Framework
5.5.1 Horizon 1: Optimise and Strengthen Current Distribution
5.5.2 Horizon 2: Innovate and Change Distribution
5.5.3 Horizon 3: Renew and Explore
5.6 The Four Altitudes of Agility
5.6.1 Flight Level 1: Operational Team Level
5.6.2 Flight Level 2: Coordination and Interface Level
5.6.3 Flight Level 3: Organisational Level
5.6.4 Flight Level 4: Inter-organisational Level
References
6: How to Rebuild and Use Swarm Intelligence
6.1 From Individual Fighter to Team Player
6.2 Storytelling: Transformation Stories You Can Learn From
6.2.1 Haier: The World’s Largest Producer of Household Appliances
6.2.2 Vodafone Customer Service
6.2.3 T-Mobile US
6.2.4 Swarovski
6.2.5 Bosch
6.2.6 PayPal
6.2.7 Zalando
6.3 Hybrid Model: Six Steps to an Agile Core Team
6.3.1 Let’s Start
6.3.2 Set-Up: Forming Agile Nuclei
6.3.3 Complex Tasks
6.3.4 Freedoms and Competences
6.3.5 Role and Team Building
6.3.6 Agile Expertise
6.4 Think Big: Holistic Transformation
6.5 Scaling According to the Spotify Model
References
7: Self-Organized Teams
7.1 The Five Competence Areas of Teams
7.1.1 Team Spirit and We-Culture for High Identification
7.1.2 Trust and Openness for Constructive Communication
7.1.3 Responsibility and Commitment for Sustainable Target Achievement
7.1.4 Cooperative Attitude and Self-Image for Consistent Self-Reflection
7.1.5 Rules and Structures for Smooth and Effective Operations
7.2 These Five Disruptive Fields Block Teams
7.2.1 Lack of Identification with the Sense of Purpose and Sense of We
7.2.2 Fear of Conflict
7.2.3 Avoiding the Assumption of Responsibility
7.2.4 Lack of Self-Esteem
7.2.5 Structure Creates Behaviour
7.3 Roles Instead of Positions
7.3.1 Causes of the Role Phenomenon
7.3.2 Task-Related Roles
7.3.3 Behavioural Roles
7.3.4 Role Canvas
7.4 Agility Level: How Agile Are We as a Team?
7.5 How You Decide in a Team
References
8: How Does Leadership Work in the Sales of Tomorrow?
8.1 Synergetic Team Leadership
8.1.1 Difference Management
8.1.2 Resource Management
8.1.3 Structural Management
8.1.4 Process Management
8.1.5 Development Management
8.1.6 Reflection Management
8.2 Competence Fields of Agile Leadership or the End of Narcissists
8.2.1 Giving Meaning and Orientation
8.2.2 Designing a Framework for Self-Organisation
8.2.3 Removing Obstacles and Coaching
8.2.4 Stimulating Consistent Reflection
8.2.5 Networking and Learning New Things
8.3 The Five Types of Leadership
8.3.1 The Conventional One
8.3.2 The Performer
8.3.3 The Cooperative
8.3.4 The Flexible
8.3.5 The Holist
8.4 Agile Leadership Principles in Sales
References
9: The Agile Sales Coach
9.1 Internal or External Sales Coaches?
9.2 Building a Good Foundation
9.2.1 Role Clarity
9.2.2 Strengths Orientation
9.2.3 Building Trust
9.3 The Coaching Process
9.3.1 Preparation Phase
9.3.2 Warm-Up Phase
9.3.3 Information Gathering Phase
9.3.4 Reflection Phase
9.3.5 Transfer Phase
References
10: How to Use Frameworks and Agile Methods from the Idea to the Roll-Out
10.1 Overview of the TPDCA Cycle
10.2 Think New: Frameworks and Methods for Innovation
10.2.1 OpenSpace Agility Framework
10.2.2 Vision and Strategy
10.2.3 Objectives and Key Results: OKR
10.2.4 Design Thinking Framework
10.2.5 Design Thinking Brainstorming
10.2.6 Walt Disney Walk
10.2.7 Create Persona
10.2.8 Empathy Map
10.2.9 Service Design Thinking
10.2.10 Customer Journey Map
10.2.11 Prototyping
10.3 Plan: Frameworks and Methods for Planning
10.3.1 Teamcanvas
10.3.2 Delegation Board and Poker
10.3.3 Planning Meeting
10.3.4 User Stories
10.3.5 Prioritize
10.4 Do: Frameworks and Methods for Implementation
10.4.1 Kanban
10.4.2 Shopfloor 4.0
10.4.3 Scrum
10.4.4 Daily/Weekly
10.5 Check and Act: Frameworks and Methods for Testing and Adaptation
10.5.1 Review
10.5.2 Retrospective
10.5.3 Management Strategy Board
References
Closing Words

Citation preview

Claudia Thonet

The Agile Sales

Successfully shaping transformation in sales and service

The Agile Sales

Claudia Thonet

The Agile Sales Successfully shaping transformation in sales and service

Claudia Thonet Berlin, Germany

ISBN 978-3-658-38285-8    ISBN 978-3-658-38286-5 (eBook) https://doi.org/10.1007/978-3-658-38286-5 © The Editor(s) (if applicable) and The Author(s), under exclusive licence to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similar or dissimilar methodology now known or hereafter developed. The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. The publisher, the authors, and the editors are safe to assume that the advice and information in this book are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or the editors give a warranty, expressed or implied, with respect to the material contained herein or for any errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional claims in published maps and institutional affiliations. This Springer imprint is published by the registered company Springer Fachmedien Wiesbaden GmbH, part of Springer Nature. The registered company address is: Abraham-Lincoln-Str. 46, 65189 Wiesbaden, Germany

Foreword

When I sat across from Claudia Thonet for the first time, I realized that there was someone who understood a lot on different levels. She had read a lot, completed an incredible amount of further training and was able to make connections at lightning speed. She was also creative. And very lively. She was really enthusiastic about agile working methods, had done some work shadowing and had familiarised herself with the new topic in a self-­ organised way. That was in the summer of 2016, wow, I thought. But the power this sales expert could develop in trainings and workshops, I learned much later. I already had her in mind for our new programme of open seminars at Teamworks. We decided to include “Agile Facilitation” in the programme. The first time I was there I could experience how Claudia works with groups. She is loving, attentive, detail-oriented and flexible at the same time. She has a wonderful way of visualizing things, so that real museums are created in the room, she paints even the smallest post-it and always comes up with new variations. I had often experienced “old world” trainers as rather unimaginative and rigidly concept-­oriented. Claudia is “agile” in the best sense of the word: she takes on impulses and changes her programme when it is good for the group. Our joint course programme expanded, “Agile Facilitation” is now a fixed component. The feedback is always enthusiastic. Our joint book project The Agile Culture Change was nevertheless an experiment for me. It’s hard to conceptualize and facilitate together, but to write a book? Somehow I trusted that it would succeed. And after a few teething problems, it was a no-brainer. In Marbella, where we went on a writing holiday, I discovered how well we could throw balls at each other. With Der agile Vertrieb, Claudia is doing her own thing as an author, and that fills me with a little pride. She completed this book on the island of Usedom, where we spent a week working together. I witnessed her making sketches, fine-tuning text, and rounding out themes. It was supposed to be a special book, helpful and practical and well-founded. It succeeded! When we first met, agility in sales seemed far away – she was one of the first to recognize how useful and fruitful agile working is, especially in sales.

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Foreword

At the same time, the idea of agile self-organization has a particularly hard time here, since salespeople are rarely used to teamwork and the incentives are typically high for individual performance. But there are solutions for this, and in this book you will learn in a clear and practical way how a rethinking in the sense of the customer can succeed. Author and Managing Director Teamworks GTQ GmbH Hamburg, Germany

Svenja Hofert,

Preface

How many sales people are drawn to the idea of team goals and joint commissions behind the stove of familiar behaviors? How many get excited about networked collaboration right off the bat, and then with the competition? If you’re making these kinds of suggestions, you need to dress warmly as a consultant, trainer, or leader and like heated discussions. I’ve been in sales for more than 20 years, first as an internal, then as an external trainer and coach. After all these years, my heart beats more and more for this area with its special esprit. Sales people are usually very direct, open, and flexible. This is probably due to the many contacts with such different types of customers and the goal and result orientation, which is nowhere else as pronounced. But let’s be honest: Can you imagine salespeople sitting artfully around the campfire with the others, talking about tribal problems instead of going out hunting? I admit, a transformation in sales and service will not be an easy walk but a hefty transformation with a clear paradigm shift. The ground will not only have to be fertilized but also dug up and freed from all kinds of wild growth. But I am convinced that it will be worth it! The soil is very fertile. In the last 4 years, I have had the privilege to accompany several sales and service departments in their ploughing up. I have trained countless sales coaches and accompanied agile team developments. My conclusion: salespeople can become the best and most agile cross runners and even as a team! After initial skepticism, service teams are also enthusiastic about optimized customer journeys and Shopfloor 4.0. You just have to seriously pick up the people and let them participate, because sales people are very individual creatures, more than some others, and they don’t just run with it, they want to be convinced. It wasn’t until I was writing this book that I realized, through an interview with a very dedicated market division manager at Sparda Bank Baden-Württemberg, how inevitable the cultural and structural change in sales really is. Not only are young customers and fintechs forcing financial sales to transform, for example, but also employees are doing it too. Just 5 years ago, banks could choose trainees. Today, you can hardly get new recruits, let alone replacements for employees who retire or go on parental leave. For employer branding, too, new work with flexible work arrangements, meaning-centered development support, and global networking are not options but simply necessary steps towards securing one’s existence. vii

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Preface

Many companies will not survive the next few years because they sleep through the urgency and necessity. This is due on the one hand to the lack of a digital strategy and on the other hand to the lack of openness and networking. Just as people used to lock the door when something threatening happened outside, distributors also literally shut the door. This is fatal, because successful innovations will only come about with allies and fresh ideas. Open the doors and invite dissenters! Be sure to change the tendency to hire people based on similarity and team fit. Team up with your biggest competitors and look for common win-win solutions. I’m sure it’s worth it! After all, you already have the most valuable thing on board: people. Berlin, Germany

Claudia Thonet

Contents

1

 Basic Thoughts on Agility in Sales����������������������������������������������������������������������   1 1.1 Common Understanding as a Foundation��������������������������������������������������   4 1.2 What the Agile Manifesto Means for the Sales Department����������������������   7 1.2.1 Individuals and Interactions ������������������������������������������������������   7 1.2.2 Functional Products ������������������������������������������������������������������   8 1.2.3 Cooperation with the Customer ������������������������������������������������   9 1.2.4 Adaptation to Change����������������������������������������������������������������   9 1.2.5 Implementation Possibilities in Sales and Distribution ������������  10 1.3 The Three Sides of the Coin Agility ����������������������������������������������������������  10 1.3.1 One Side of the Coin: Conventional View ��������������������������������  12 1.3.2 The Other Side of the Coin: Complementary View ������������������  12 1.3.3 The Third Side: The Dynamics of Duality��������������������������������  14 References��������������������������������������������������������������������������������������������������������������  15

2

 The End of Sales as You Know It Today������������������������������������������������������������  17 2.1 What Buyers Really Want Today����������������������������������������������������������������  20 2.1.1 B2C Customers��������������������������������������������������������������������������  20 2.1.2 B2B Customers��������������������������������������������������������������������������  21 2.1.3 Expectation Versus Performance�����������������������������������������������  22 2.2 How Much Agility Is Already in It? ����������������������������������������������������������  24 2.3 The Contradiction of Requirements������������������������������������������������������������  25 References��������������������������������������������������������������������������������������������������������������  27

3

 The Distribution of the Future����������������������������������������������������������������������������  29 3.1 Value Creation from the Customer’s Point of View������������������������������������  29 3.2 Offering Digital Solutions Instead of Selling Products������������������������������  31 3.2.1 Transparency������������������������������������������������������������������������������  32 3.2.2 Human Care ������������������������������������������������������������������������������  33 3.2.3 Individuality ������������������������������������������������������������������������������  33 3.2.4 Commitment and Appreciation��������������������������������������������������  34 3.3 Offline Selling 4.0��������������������������������������������������������������������������������������   35

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3.4 Customer Care: Service Center 4.0������������������������������������������������������������   36 3.4.1 The Future Demands on Customer Service ������������������������������  37 3.4.2 From Call Slave to Expert for the Customer������������������������������  38 3.4.3 Agile Service Teams������������������������������������������������������������������  40 3.5 Learning from Others ��������������������������������������������������������������������������������  42 3.5.1 Elizitation: Working Out the Strategy of the Model in Small Steps����������������������������������������������������������������������������  43 3.5.2 Utilisation: Adapting the Strategy to the Product and Culture��������������������������������������������������������������������������������  43 3.5.3 Installation: Learning and Adopting the Utilised Strategy ���������  43 3.6 Models: You Can Learn Modern Customer Loyalty from These Companies��������������������������������������������������������������������������������������������������  44 3.6.1 Amazon��������������������������������������������������������������������������������������  45 3.6.2 Team Bank: EasyCredit ������������������������������������������������������������  45 3.6.3 OBI DIY Store ��������������������������������������������������������������������������  46 3.6.4 Nike��������������������������������������������������������������������������������������������  47 3.6.5 Thomann������������������������������������������������������������������������������������  48 3.6.6 HP Inc. ��������������������������������������������������������������������������������������  48 3.6.7 BestSecret����������������������������������������������������������������������������������  49 3.6.8 PayPal Versus Paydirekt������������������������������������������������������������  49 3.6.9 Zalando��������������������������������������������������������������������������������������  50 3.7 New Strategies for Customer Retention ����������������������������������������������������  51 Responding to Requests����������������������������������������������������������������������������   52 3.7.1 Curated Offers����������������������������������������������������������������������������  53 3.7.2 Being a Coach����������������������������������������������������������������������������  53 3.7.3 Automated Conversion��������������������������������������������������������������  54 3.7.4 Conveying Exclusivity ��������������������������������������������������������������  54 3.7.5 Offer Appreciation ��������������������������������������������������������������������  54 References��������������������������������������������������������������������������������������������������������������  55 4

What Hinders Change ����������������������������������������������������������������������������������������  57 4.1 The Six Errors of Reasoning����������������������������������������������������������������������  57 4.1.1 The Linear Fallacy ��������������������������������������������������������������������  58 4.1.2 Incorrect Centre of Gravity or Repair Service Behaviour ��������  59 4.1.3 Non-observance of the Remote and Secondary Effects������������  60 4.1.4 Central Reduction, Encapsulation����������������������������������������������  61 4.1.5 Vague Objectives, Conflicting Objectives����������������������������������  63 4.1.6 False Hypotheses ����������������������������������������������������������������������  64 4.2 The Four Resistors��������������������������������������������������������������������������������������  67 4.2.1 Dysfunctional Resistance����������������������������������������������������������  68 4.2.2 Resistance of Interests����������������������������������������������������������������  68 4.2.3 Overload Resistance������������������������������������������������������������������  70

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4.2.4 Objection Resistance������������������������������������������������������������������  70 4.3 The Competition Syndrome������������������������������������������������������������������������  71 4.4 Association and Collaboration��������������������������������������������������������������������  72 4.5 How to Remove the Obstacles��������������������������������������������������������������������  73 References��������������������������������������������������������������������������������������������������������������  75 5

 Agile Culture Change in Sales����������������������������������������������������������������������������  77 5.1 The Three Cultural Levels��������������������������������������������������������������������������  78 5.1.1 First the Culture, then the Structure������������������������������������������  79 5.1.2 Against the Downward Spiral����������������������������������������������������  81 5.2 The Lighthouse Model��������������������������������������������������������������������������������  82 5.2.1 The Basis: Why Do We Exist?��������������������������������������������������  83 5.2.2 What Is Our Self-Image/Identification?������������������������������������  83 5.2.3 What Do We Base Our Actions On?������������������������������������������  84 5.2.4 Which Roles with Which Competences Do We Need on Board?����������������������������������������������������������������������������������������  85 5.2.5 How Do We Rebuild for Change?����������������������������������������������  86 5.2.6 What Effect Do We Create in Our Environment? What Contribution Do We Make to the Vision?����������������������������������  87 5.3 What Does a Modern Sales Strategy Look Like?��������������������������������������  92 5.3.1 Balanced Scorecard��������������������������������������������������������������������  92 5.3.2 Objectives and Key Results (OKR) and Balanced Scorecard������������������������������������������������������������������������������������  93 5.3.3 Sales Strategy Canvas����������������������������������������������������������������  95 5.4 What Do the Twelve Agile Principles Mean for Sales?������������������������������  96 5.5 The Three Horizons Framework���������������������������������������������������������������� 101 5.5.1 Horizon 1: Optimise and Strengthen Current Distribution�������� 101 5.5.2 Horizon 2: Innovate and Change Distribution �������������������������� 103 5.5.3 Horizon 3: Renew and Explore�������������������������������������������������� 104 5.6 The Four Altitudes of Agility���������������������������������������������������������������������� 105 5.6.1 Flight Level 1: Operational Team Level������������������������������������ 105 5.6.2 Flight Level 2: Coordination and Interface Level���������������������� 106 5.6.3 Flight Level 3: Organisational Level����������������������������������������� 107 5.6.4 Flight Level 4: Inter-organisational Level���������������������������������� 107 References�������������������������������������������������������������������������������������������������������������� 109

6

 How to Rebuild and Use Swarm Intelligence���������������������������������������������������� 111 6.1 From Individual Fighter to Team Player���������������������������������������������������� 113 6.2 Storytelling: Transformation Stories You Can Learn From������������������������ 115 6.2.1 Haier: The World’s Largest Producer of Household Appliances���������������������������������������������������������������������������������� 116 6.2.2 Vodafone Customer Service������������������������������������������������������ 116 6.2.3 T-Mobile US������������������������������������������������������������������������������ 117

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6.2.4 Swarovski���������������������������������������������������������������������������������� 118 6.2.5 Bosch������������������������������������������������������������������������������������������ 119 6.2.6 PayPal���������������������������������������������������������������������������������������� 120 6.2.7 Zalando�������������������������������������������������������������������������������������� 121 6.3 Hybrid Model: Six Steps to an Agile Core Team �������������������������������������� 124 6.3.1 Let’s Start ���������������������������������������������������������������������������������� 124 6.3.2 Set-Up: Forming Agile Nuclei �������������������������������������������������� 125 6.3.3 Complex Tasks �������������������������������������������������������������������������� 126 6.3.4 Freedoms and Competences������������������������������������������������������ 127 6.3.5 Role and Team Building������������������������������������������������������������ 128 6.3.6 Agile Expertise�������������������������������������������������������������������������� 129 6.4 Think Big: Holistic Transformation������������������������������������������������������������ 132 6.5 Scaling According to the Spotify Model���������������������������������������������������� 133 References�������������������������������������������������������������������������������������������������������������� 135 7

Self-Organized Teams������������������������������������������������������������������������������������������ 137 7.1 The Five Competence Areas of Teams ������������������������������������������������������ 137 7.1.1 Team Spirit and We-Culture for High Identification������������������ 138 7.1.2 Trust and Openness for Constructive Communication�������������� 140 7.1.3 Responsibility and Commitment for Sustainable Target Achievement������������������������������������������������������������������������������ 140 7.1.4 Cooperative Attitude and Self-Image for Consistent Self-Reflection �������������������������������������������������������������������������� 141 7.1.5 Rules and Structures for Smooth and Effective Operations���������� 142 7.2 These Five Disruptive Fields Block Teams������������������������������������������������ 143 7.2.1 Lack of Identification with the Sense of Purpose and Sense of We�������������������������������������������������������������������������������� 143 7.2.2 Fear of Conflict�������������������������������������������������������������������������� 144 7.2.3 Avoiding the Assumption of Responsibility������������������������������ 144 7.2.4 Lack of Self-Esteem������������������������������������������������������������������ 144 7.2.5 Structure Creates Behaviour������������������������������������������������������ 145 7.3 Roles Instead of Positions�������������������������������������������������������������������������� 145 7.3.1 Causes of the Role Phenomenon������������������������������������������������ 145 7.3.2 Task-Related Roles�������������������������������������������������������������������� 146 7.3.3 Behavioural Roles���������������������������������������������������������������������� 148 7.3.4 Role Canvas ������������������������������������������������������������������������������ 149 7.4 Agility Level: How Agile Are We as a Team?�������������������������������������������� 152 7.5 How You Decide in a Team������������������������������������������������������������������������ 154 References�������������������������������������������������������������������������������������������������������������� 156

8

 How Does Leadership Work in the Sales of Tomorrow?���������������������������������� 159 8.1 Synergetic Team Leadership���������������������������������������������������������������������� 161 8.1.1 Difference Management������������������������������������������������������������ 162

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8.1.2 Resource Management�������������������������������������������������������������� 162 8.1.3 Structural Management�������������������������������������������������������������� 162 8.1.4 Process Management ���������������������������������������������������������������� 163 8.1.5 Development Management�������������������������������������������������������� 163 8.1.6 Reflection Management ������������������������������������������������������������ 163 8.2 Competence Fields of Agile Leadership or the End of Narcissists������������ 163 8.2.1 Giving Meaning and Orientation ���������������������������������������������� 164 8.2.2 Designing a Framework for Self-Organisation�������������������������� 166 8.2.3 Removing Obstacles and Coaching ������������������������������������������ 167 8.2.4 Stimulating Consistent Reflection��������������������������������������������� 168 8.2.5 Networking and Learning New Things�������������������������������������� 169 8.3 The Five Types of Leadership�������������������������������������������������������������������� 171 8.3.1 The Conventional One �������������������������������������������������������������� 171 8.3.2 The Performer���������������������������������������������������������������������������� 172 8.3.3 The Cooperative������������������������������������������������������������������������ 172 8.3.4 The Flexible ������������������������������������������������������������������������������ 173 8.3.5 The Holist���������������������������������������������������������������������������������� 174 8.4 Agile Leadership Principles in Sales���������������������������������������������������������� 174 References�������������������������������������������������������������������������������������������������������������� 175 9

The Agile Sales Coach������������������������������������������������������������������������������������������ 177 9.1 Internal or External Sales Coaches? ���������������������������������������������������������� 178 9.2 Building a Good Foundation���������������������������������������������������������������������� 178 9.2.1 Role Clarity�������������������������������������������������������������������������������� 179 9.2.2 Strengths Orientation ���������������������������������������������������������������� 179 9.2.3 Building Trust���������������������������������������������������������������������������� 179 9.3 The Coaching Process�������������������������������������������������������������������������������� 180 9.3.1 Preparation Phase���������������������������������������������������������������������� 180 9.3.2 Warm-Up Phase ������������������������������������������������������������������������ 181 9.3.3 Information Gathering Phase ���������������������������������������������������� 182 9.3.4 Reflection Phase������������������������������������������������������������������������ 183 9.3.5 Transfer Phase���������������������������������������������������������������������������� 183 References�������������������������������������������������������������������������������������������������������������� 184

10 How  to Use Frameworks and Agile Methods from the Idea to the Roll-Out���������������������������������������������������������������������������������������������������������� 185 10.1 Overview of the TPDCA Cycle������������������������������������������������������������������ 186 10.2 Think New: Frameworks and Methods for Innovation ������������������������������ 188 10.2.1 OpenSpace Agility Framework�������������������������������������������������� 188 10.2.2 Vision and Strategy�������������������������������������������������������������������� 192 10.2.3 Objectives and Key Results: OKR �������������������������������������������� 194 10.2.4 Design Thinking Framework ���������������������������������������������������� 197 10.2.5 Design Thinking Brainstorming������������������������������������������������ 199

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10.2.6 Walt Disney Walk���������������������������������������������������������������������� 200 10.2.7 Create Persona �������������������������������������������������������������������������� 202 10.2.8 Empathy Map���������������������������������������������������������������������������� 204 10.2.9 Service Design Thinking������������������������������������������������������������ 206 10.2.10 Customer Journey Map�������������������������������������������������������������� 209 10.2.11 Prototyping�������������������������������������������������������������������������������� 212 10.3 Plan: Frameworks and Methods for Planning�������������������������������������������� 213 10.3.1 Teamcanvas�������������������������������������������������������������������������������� 213 10.3.2 Delegation Board and Poker������������������������������������������������������ 215 10.3.3 Planning Meeting ���������������������������������������������������������������������� 218 10.3.4 User Stories�������������������������������������������������������������������������������� 219 10.3.5 Prioritize������������������������������������������������������������������������������������ 221 10.4 Do: Frameworks and Methods for Implementation������������������������������������ 222 10.4.1 Kanban �������������������������������������������������������������������������������������� 223 10.4.2 Shopfloor 4.0������������������������������������������������������������������������������ 226 10.4.3 Scrum ���������������������������������������������������������������������������������������� 229 10.4.4 Daily/Weekly ���������������������������������������������������������������������������� 231 10.5 Check and Act: Frameworks and Methods for Testing and Adaptation�������� 233 10.5.1 Review��������������������������������������������������������������������������������������� 233 10.5.2 Retrospective������������������������������������������������������������������������������ 236 10.5.3 Management Strategy Board������������������������������������������������������ 237 References�������������������������������������������������������������������������������������������������������������� 239 Closing Words�������������������������������������������������������������������������������������������������������������� 241

About the Author

Claudia Thonet  is an instructional trainer and instructional coach (ECA) and has decades of practical experience in organizational and team development in service and sales in large companies and corporations. She is CEO of Claudia Thonet Agile Consulting GmbH and trains managers, trainers, facilitators, and sales coaches. Contact: www.claudiathonet.de

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Fig. 1.1 Fig. 1.2 Fig. 1.3 Fig. 1.4 Fig. 2.1 Fig. 2.2 Fig. 2.3 Fig. 3.1 Fig. 3.2 Fig. 3.3 Fig. 3.4 Fig. 3.5 Fig. 4.1 Fig. 4.2 Fig. 5.1

Cross-country teams are the future. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������� 3 Self-organized teams with customer focus. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)�������������������������������������������������� 5 Leadership will change. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������������������������������� 6 The three sides of the coin. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 15 How urgent is the change? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 18 What do customers expect? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 23 Exploration and exploitation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 26 Cycle of value creation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 30 Trust and satisfaction through transparency. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������ 35 Team of experts. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������������������������� 41 Learning through close observation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������� 42 Learning loops. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������������������������� 44 The right amount of heterogeneity. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������������������� 69 Interdisciplinary teams around the customer. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������� 73 Levels of culture. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������������������������� 79 xvii

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Fig. 5.2 Fig. 5.3 Fig. 5.4 Fig. 5.5 Fig. 5.6 Fig. 6.1 Fig. 6.2 Fig. 6.3 Fig. 6.4 Fig. 6.5 Fig. 7.1 Fig. 7.2 Fig. 7.3 Fig. 7.4 Fig. 7.5 Fig. 7.6 Fig. 7.7 Fig. 7.8 Fig. 7.9 Fig. 8.1 Fig. 8.2

List of Figures

The two dimensions of change. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������������������� 80 Using the six levels for more agility. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������� 82 Template for the description of rolls. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������������������������������� 86 Template for a strategy. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������������������� 94 What altitude are we flying at? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 108 From I to We. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������������������������� 113 Teams develop and implement new service offerings. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������� 122 Phases of team development. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 128 Forming and enabling agile nuclei in six steps. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)������������������������������������� 131 The teams and domains of the Spotify model. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������� 133 What makes a mature team? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 138 Output, outcome or impact? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 139 Obstacles for teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 143 Functional roles in teams (a). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 150 Functional roles in teams (b). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 151 Functional roles in teams (c). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 152 How to measure the degree of agility (a). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)���������������������������������������������� 153 How to measure the degree of agility (b). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)���������������������������������������������� 154 Forms of team decision-making. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 155 Competencies of modern leadership. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 164 The most important task of leadership. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 166

List of Figures

Fig. 8.3 Fig. 8.4 Fig. 8.5 Fig. 8.6 Fig. 8.7 Fig. 8.8 Fig. 9.1 Fig. 10.1 Fig. 10.2 Fig. 10.3 Fig. 10.4 Fig. 10.5 Fig. 10.6 Fig. 10.7 Fig. 10.8 Fig. 10.9 Fig. 10.10 Fig. 10.11 Fig. 10.12 Fig. 10.13 Fig. 10.14

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Template for plus-plus feedback. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 170 The blue type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 172 The orange type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 173 The green type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 173 The yellow type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 174 The turquoise type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 174 Sequence of the coaching process. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 181 TPDCA cycle. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������������������������� 186 Large group event on agility. (Courtesy of © Miriam Sasse and Joachim Pfeffer 2020. All Rights Reserved)�������������������������������������� 190 Vision. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������� 193 Hands-on vision made of cardboard. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 194 Sequence of OKRs. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 195 Dissemination of core teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 196 Phases of the DT process. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 198 Dreamer, realist and critic. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 202 Instructions for a persona. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 203 Template for the client feeling card. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 205 How to make a blueprint. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 207 The customer journey as a template. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 211 The most important team factors at a glance. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)���������������������������������������������� 215 Teamcanvas. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������������������������� 216

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List of Figures

Fig. 10.15 The stages of delegation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 217 Fig. 10.16 How to prioritize and plan in teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 219 Fig. 10.17 Template for writing a customer story. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)���������������������������������������������� 221 Fig. 10.18 Sorting and prioritizing. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 222 Fig. 10.19 Sales kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������������������������� 224 Fig. 10.20 Innovation Kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 224 Fig. 10.21 Basic kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������������������������� 225 Fig. 10.22 Template for a shop floor board. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 228 Fig. 10.23 How Scrum works in sales. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������������������� 230 Fig. 10.24 The review meeting. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 234 Fig. 10.25 Methods of analysis for the review. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������������������������� 235 Fig. 10.26 The Retrospective Meeting. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)��������������������������������������������������������������������������������� 237 Fig. 10.27 How to make management strategies transparent. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)����������������������������������������� 239

Introduction

“More agility” – this is on the banners of almost all organizations. Some even think they are already agile, while others are full of mockery for the buzzword of the last few years. Very few have really arrived at an agile, flexible, and innovative way of working. According to a 2018 study by the Institute for Employment, 21 percent of IT departments in Germany work agilely, followed by 15 percent in research and development and 13 percent of HR departments (Schabel 2018). While 32 percent of management say they use agile ways of working, significantly, only 1  in 13 of the associated employees perceives it that way. Some even think agile is a fad that will pass. In essence, agile is the answer to digitalization at the collaboration level. It is the basis of a new way of thinking, acting, and redesigning organizations in business. The goal is to become future-ready to deal with the disruptive transformations brought about by digitalization, globalization, climate change, and a new generation that is rethinking work. According to a study by the Boston Consulting Group (2017), agile companies are up to five times more successful than their competitors. But what about sales? The core task of sales is to distribute products and services and make them available to customers. In order to make the offer available to customers on all channels at all times and to open up new markets, every sales and service area needs a high degree of digitalization and transformation. In the organizations I have come to know as a consultant over the last few years, the software development areas and individual projects are – if at all – on the move in an agile manner. But often the developers are external or form a separate team within the company just like the project teams. There is usually a lack of dovetailing and integration across the organization. This creates a gap between agile and classic ways of working, which leads more to an “us versus them” than to an overall agilization of the company. In this book, I dedicate myself to increasing agility in sales. I do not want to promote the described “us against the others,” the division and silo thinking. Sales should only serve as the focus of my studies and experiences. The more networked and cross-­functional sales collaborates with the other areas, the more effective all the impulses, models, and methods described here will be. So why am I dealing explicitly with sales? Because, in my opinion, it is predestined to work in a more agile way. On the one hand, it is the bridge to the customer and knows their xxi

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Introduction

needs best; on the other hand, service and sales have always been flexible and agile. Sales and service are the first to react to changes in the market and track down new currents in order to remain competitive. Constant adaptation and realignment is one of their core competencies, so to speak. In my view, sales is the area in the company that has always had to change and, by building bridges to customers and partners, is most closely connected to the market and its current requirements. Ask your sales department what requirements and pain points your existing customers have, they will be able to answer it most accurately. Also, no other area is as transparent and measurable as sales. Every salesperson knows their numbers and goals and is trimmed to achieve them. As a result, most salespeople behave with their customers like an entrepreneur rather than an employee. The self-­ commitment and assumption of responsibility that comes with this is the ideal prerequisite for agile working. Sales is often integrated into an overall organization and its culture, unless it is a pure sales organization. Cultural change is always most effective when it is initiated throughout the entire company. However, I also know of successful examples in which sales leads the way as a pioneer of agile working methods due to its customer proximity and innovative strength and acts as a beacon for other company divisions.

References Boston Consulting Group (2017) BCG Studie boosting performance through organization Design. https://www.bcg.com/publications/2017/people-­boosting-­performance-­through-­organization-­ design.aspx. Accessed 05 Apr 2019 Schabel F (2018) Agile Organisationen auf dem Prüfstand. https://www.hays.de/documents/10192/135555/hays-­f orum-­2 018-­h r-­r eport-­p resentation.pdf/99ea2d4a-­d 337-­ e7df-­5df2-­4644fa24c6c0. Accessed 15 May 2019

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Basic Thoughts on Agility in Sales

Abstract

What is the situation in sales with regard to the agile transformation wave that is rolling over companies like a tsunami? What common understanding of agility can you create as a basis in sales? And how do you implement the agile manifesto concretely in sales and service areas? In this chapter, I explain the prerequisites and definitions, give you a metaphor for the change and describe the paradigm shift towards a new form of the sales world.

Due to digitization and the disruptive changes that accompany it, we also talk about the third industrial revolution. Digitalization cannot be accelerated without agility, and agility makes no sense without a digitalization strategy. Digitalization can and must be introduced and driven by companies and sales divisions in order to survive in the market. In addition to using new technologies, they are required to act more agile, i.e. faster and more flexibly, in order to react more directly and with greater foresight to customer needs and changes on the market. Agility cannot be prescribed and basically cannot be driven forward. It is a development process, or rather a cultural change at the organizational level, which requires a lot of attention and always begins with strengthening what is already in place. Every sales organization is already agile to a certain degree, i.e. it is agile, otherwise it would have long since ceased to be competitive. Therefore, as an internal or external consultant or decision-maker, start by exploring the resources already available and strengthen them in the direction of flexibility, customer centricity and innovation. In doing so, you kill two birds with one stone, so to speak: you take the workforce with you by building on what already exists and appreciating what has © The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_1

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been achieved so far. At the same time, you protect the organization from overheating. Organizations that have fallen for the “all-new” or “one-and-only success strategy” market cries suffer from this. CEOs who understand agility to mean one thing are especially susceptible to this: Speed! And that in the sense of goal-oriented speed. For this reason, one or the other decision-maker would like to “push” agility and “introduce” it like a new method. Example

Mr. Zackig is young, dynamic and success-oriented. He has been leading his sales team with field and office staff for 5 years. Two years ago, he took part in an “agile leadership” training course and then visited a start-up in Berlin. Full of enthusiasm, he decided to introduce agile in his sales department at the beginning of 2018. In the sales kick-off event, he points out the urgency of the market and urges his teams to be ready for change. The watchword is, “We are better than our competition.” He drives his teams; they should simply be faster, more efficient and, above all, make more sales than before. And along the way, they are supposed to come up with new ideas on how to make the service and products more future-proof. To this end, team leaders hold a 60-minute idea meeting every 4 weeks and call sprints to address a product in a focused way with customers over the next 2–4 weeks. A Kanban board is hung on the wall in the break room and used for daily to-dos. After 4 months, the teams are so overworked and frustrated that they want me to step in to the rescue and do team development. Everyone agrees: it’s the stupid agility that’s to blame.

But basically, purely goal-oriented speed has little to do with the true meaning of agility. Worse still, this is one of the causes of the many areas that are now talking about overheating and experiencing more harm than good from agile methods. So what exactly does agility mean in sales? If we look it up in the Duden dictionary, it says: “Evidencing great agility; brisk and nimble”. And what is the difference between fast and agile or nimble? Well, at first glance both terms may seem similar, but let me illustrate the crucial difference by looking at different types of runners: • The agile and manoeuvrable runner is not necessarily the one who reaches the finish line the fastest, but the one who is nimble in his movement and adapts to the environment and can constantly correct his course. • The classic sprinter is only fast on his practiced, straightforward and predictable tartan track. With the same way of running, he would probably not be very successful cross-­ country on a terrain full of changing surfaces and obstacles. To make progress there, he would have to make extreme changes in the way he ran to suit the surface. He would have to make jumps over obstacles and work more with his balance on uneven surfaces. Even though this would make his running style more agile and adaptable, it would initially take away speed. He can no longer run as fast as on the tartan track in cross country.

1  Basic Thoughts on Agility in Sales 

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Translated, this means: Sales areas must develop, figuratively speaking, in the impassability of the changing, disruptive markets and products away from the sprinter to the cross runner. The future is not a tartan track! Digitalization is a highly rough terrain. Speed is obviously important in the market. Reducing the “time to market” is a success factor of the present and even more so of the future, in order not to come to the market with costly, new developments only when the customer’s needs have already evolved and our product or service is already obsolete. Example

The Windows Phone mobile phone operating system came onto the market at the end of 2010 after far too long in development. Customers had already been used to iPhone and Android smartphones for 2 years; Windows Phone offered no advantages over the existing models. Windows simply failed to adapt its development to the market and create added value for the customer.

However, this does not work with more speed in the same running style. Rather, the constant adaptation of the current movement sequence is required, i.e. the exploration of new paths and types of terrain and the constant adaptation of one’s own sales processes and working methods to the ne2eds of the customer (see Fig. 1.1).

From sprinter to cross country runner

Not only with speed, but with agile mobility, sales will move forward in the future.

Fig. 1.1  Cross-country teams are the future. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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And how does a team go from sprint runners to cross country runners? Can you just introduce that and decide? For example, as a coach, would you announce to your short or middle distance runners, “Starting tomorrow, you’re just going to run cross country, and you’re going to run faster than you have been”? What would probably happen if you did that? Correct: Many runners would stumble, fall down, injure themselves, give up in frustration or struggle to reach the finish line with poor times. Motivation would plummet, and you’d end up with a worn-out, stressed-out, third-rate team. As a coach, you would be better advised to plan the process of relearning and training towards the other running style together with the team, to design the framework in which the team takes responsibility in a strength-oriented manner, and to adapt the training plan to the development from day to day. You would build on the sprinters’ strengths, iteratively acclimate them to running off-road, and reinforce mindfulness of dealing with changing surfaces. Additionally, you would be well advised to hire an experienced and professional cross runner or two to bring new impetus and expertise. The decision and selection of personnel is up to the team. So as a consultant, coach or manager whose job is to increase the agility of a team or sales area, you need to have a basic understanding, just like a good trainer, in order to be able to accompany the process of any development. Start by establishing a common understanding, pointing out the direction, communicating the meaning and reinforcing the existing strengths.

1.1 Common Understanding as a Foundation Definitions are a useful tool for creating a basis for common understanding. It is this shared understanding that is the foundation of any culture change. As described in the book Der agile Kulturwandel (Hofert and Thonet 2019), speed is indeed the currency of the future, but only if it is intrinsically fueled and employees are carried along. To do this, it is first crucial to know what is being talked about. Where should the journey go and what is the meaning and benefit for everyone involved, the teams and the entire organization? As in the metaphor of the sprint and cross runner, you can create a common understanding by conveying a comprehensible and vivid image or a good story. Take the time in the company to find your own common definition with the stakeholders. In doing so, you can draw inspiration from published definitions. Still, find the words that are most meaningful to you and most strongly express the direction that suits you. Fit definitions and metaphors that are self-formulated and associated with meaningfulness can then act as a binder. They connect the individual elements into a more stable base, a foundation on which you can build. A sales force that is nimble in adapting to changes in the marketplace, with customer-­ centric foresight. Flexibility with regard to the adaptation of products, processes and, above all, employees with their competencies are decisive criteria in this respect. Agile Sales is highly networked internally and externally. The corporate culture is based on the trust of managers in their teams and the collaboration of employees with each other.

1.1  Common Understanding as a Foundation

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Agile Sales Team

A self-organized team that acts in a customer-centric way and implements, evaluates and adapts innovations (see Fig. 1.2). Employees are able to make autonomous decisions within a framework.

Te Agile ams

Fig. 1.2  Self-organized teams with customer focus. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The Key Ingredients for Increasing Agility in Sales To increase agility and make sales more nimble, customer-centric and innovative, there are a few key ingredients: • Adaptation: The service and sales areas are required to constantly adapt like a chameleon or, like the cross-country runner described above, to continuously adapt their movements to the changing ground. Market developments and changing customer needs are continuously monitored and reflected in the products and services. Sales acts according to the pull principle and reacts to the impulses of the market. • Self-organization: the teams work in a self-organized way. Hofert (2018) distinguishes between three levels: In the first level of self-organization, the team works autonomously in terms of subject matter and content and can make decisions of a technical nature independently. A team reaches the second level of self-organization when it can also autonomously set, measure, and change its goals and priorities. The third and highest level is reached when the team also has managerial responsibility. It decides on the

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Agile Sales Management

Transformative leadership that conveys meaning, sets direction in a customer-­centric way, and empowers teams in their self-organization and reflective capacity. It shapes the framework in which the team acts autonomously (see Fig. 1.3).

s

adership in e l sa ile le g A

Fig. 1.3  Leadership will change. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

budget within a framework. This level is only possible if the teams also have the corresponding business management competence and are involved in the company through corresponding models. • Customer centricity: Sales integrates the customer perspective into every decision and development. Personified, characteristic customers are integrated into meetings in the form of personas as well as used for idea generation in order to view topics from their perspective. The customer determines the direction of sales. • Flexibility: Sales structures are designed in such a way that processes can be changed and teams can act nimbly. The mindset of management and employees is also flexible and transformational. People believe in the ability of each individual colleague and the entire team to develop. • Reflectiveness: Reflecting on one’s own behavior and interactions with one another is a fine art. In the agile context, this ability is constantly promoted through retrospectives. This requires employees who are able to question their thinking and actions and are willing to develop.

1.2  What the Agile Manifesto Means for the Sales Department

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• Speed: Fast, direct implementation without structural hurdles is the prerequisite for reducing the “time to market”. This ensures competitiveness. Agile speed always includes a certain agility. This means not only the speed of implementation, but also the speed of adaptation to changes.

1.2 What the Agile Manifesto Means for the Sales Department The agile manifesto is, so to speak, the lowest common denominator of all agile process models. In 2001, 17 leading heads of agile software development met in Utah to agree on common paradigms and working principles and to choose the word “agile” as an umbrella term (Manifesto for Agile Software Development 2001).

The Manifesto Translates as

We look for better ways to develop products by practicing it ourselves and helping others do the same. 1. Individuals and interactions take precedence over processes and tools. 2. Functional products have priority over extensive documentation. 3. Cooperation with the customer takes precedence over contract negotiations. 4. Accommodating change takes precedence over strict plan adherence. We recognize the value of the things on the right side of the four sets, but we value those on the left side even more.

The implementation of these four paradigms alone would cause a cultural change in classic sales. Let’s first take a closer look at the principles of the manifesto and ask ourselves what everyday sales life looks like in this regard.

1.2.1 Individuals and Interactions Adhering to the first commandment of an agile approach would already lead to a rethink in many a sales organization: “Individuals and interactions have priority over processes and tools”. Each individual employee and the interactions among the staff would have priority, would therefore be of higher value and receive more attention than the processes and tools. Hand on heart, do you know a sales department where this is practiced? On the contrary, I know salespeople who are in competition with each other and keep so-called racing lists to see who is the best salesperson. What effects this has on the interactions between each other is usually not reflected. Even the relationship building in a team is at best only

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considered in team development seminars, which are only booked when conflicts escalate. Not to mention the lack of cooperation with other corporate departments such as purchasing, controlling, legal, etc. Interactions within the team between internal, external and online sales also leave a lot to be desired. Normally, all this is accepted, although the disadvantages of the lack of collaboration are obvious: There is a lack of trust, exchange, error correction, commitment, acceptance of responsibility and goal orientation.

Example

During a team development of a ten-member team, I had lots drawn to divide the groups for a small group exercise. Two participants of a drawn group then left the training room without a word. Upon inquiry, I learned that the two teammates had not spoken to each other in years. What shocked me the most, besides the fact as such, was my realization that I had not noticed anything out of the ordinary in the past 4 hours of team development. The team was obviously so familiar with the situation that they had learned to build their interactions around it.

1.2.2 Functional Products When I introduce the second principle in financial sales, I either get a roar of laughter or a violent shake of the head. Extensive advisory documentation paves the way for the sales process, and it becomes more and more paperwork every year. Since the new General Data Protection Regulation, the whole thing has become even more complicated. Nevertheless, with creative ideas and networked communication, some of the documentation could be reduced or communicated differently in favour of demonstrating the products. In a successful review, where the customer or stakeholder is shown a product, the focus is always on the functionality of the increment and its benefits for the user  – instead of boring beamer presentations about the features. Documentation can also be reduced to the essential and necessary in order to have more time for the actual offer.

Example

The consulting firm Müller & Söhne orders new office furniture from the Berlin start-up “Design to go”, which offers innovative office furnishings. With this, the long-established consulting firm wants to get a more agile coat of paint. After selecting the furniture, including special requests, the founding team asks for another on-­ site appointment 2 weeks later. To the consultants’ amazement, a desk and chair are set up in the room before their eyes, along with two different cabinets made of cardboard. The cardboard chairs are so stable that they can even try them out. In this way, they experience the effect of the furniture in the room and can make adjustments before the furniture goes into production.

1.2  What the Agile Manifesto Means for the Sales Department

9

1.2.3 Cooperation with the Customer In a small company, the third paradigm can be implemented very well. From my side, I have never asked for or been presented with contracts by the companies I work for. Unless otherwise requested by the organization, I work exclusively on a basis of trust and with verbal or written appointments. If an appointment is cancelled by the customer, it is made up or it simply does not take place because the need has changed. Fellow consultants throw their hands up in horror at my – from their point of view – naïve approach. But this has proven itself to me for more than 15 years. I dare say that to some extent, even larger companies in B2B can operate more on the basis of trust and commitment. Generosity usually stands out. By doing so, you are literally making a deposit in the customer’s relationship account and this is usually matched by appropriate goodwill on their part. As Steven Covey so aptly describes in his classic book, we unconsciously have relationship accounts that strive to balance. However, if we fall into deficit because we act inflexibly due to processes or contracts or disappoint the customer’s expectations, we first have to pay in a lot or make up for it before the customer gives us another chance (Covey 2005, p. 170 ff.).

Example

I have been working for one of my clients for 15 years. During this time, trainings have been postponed by the customer from time to time because employees became ill or important general conditions had changed. We didn’t sign any contracts with each other, but always discussed changes amicably and found solutions. So far, this has always strengthened our trust and coordination with each other more than it has damaged it. As a trainer, when conditions change, I am always in favour of postponing or cancelling a seminar in order to achieve the best benefit for my clients. Last year, I came down with a bad case of the flu 2 days before a 16-person leadership workshop. The seminar was to be held at a high-priced hotel. I had to cancel the seminar at very short notice, which resulted in an immense loss for the client: the hotel rooms with conference packages and the booked flights etc. could no longer be cancelled. The personnel department did not even notice this misery to me, but wished me a speedy recovery from the bottom of their hearts. When I was well again, they asked me for a new date for the workshop.

1.2.4 Adaptation to Change The fourth principle is the stumbling block par excellence for some large organizations. Much like a flagship, they are sluggish and slow when it comes to short-term changes and direction. In the fast-paced marketplace, traditional milestone planning over months to years is no longer appropriate. The customer expects flexibility from his provider, whether

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1  Basic Thoughts on Agility in Sales

in the B2C or B2B business field. Shorten your implementation periods and adapt partial products promptly. The larger the sales force, the more urgently you need smaller agile units that can act like speedboats.

Example

The giant steamer “Irina” was sailing through a deserted region of the great ocean. Suddenly, the captain received a distress signal from a transmitter several miles east of his course. He calculated a sailing time of 4 hours until he would probably arrive at the signal transmitter. In the event of actual distress, everything might be too late. So he launched a small reconnaissance team of his crew in the maneuverable speedboat. The reconnaissance boat reached the small ship in distress after only an hour and safely recovered the crew of five.

1.2.5 Implementation Possibilities in Sales and Distribution Even without a holistic sales transformation process as described in Sect. 7.4, you can strengthen the agility of the teams in the sense of the agile manifesto through simple measures (see Table 1.1). However, as Klaus Leopold (2018) puts it, this will at most achieve flight level 1 through a more agile maturity level within the teams (see Sect. 5.6). Business transformation only succeeds through holistic culture change, which means at least flight level 3. But where you apply the lever is not relevant, because each level influences the other. Start with existing teams by making simple changes, this influences team culture and this in turn radiates to other areas. Transition, as mentioned earlier, has no step sequences and no one-size-fits-all strategy. It is complex and unpredictable. Start with a paradigm shift in as many places as possible, accepting irritations and adjustments along the way, and think of it as a work in progress.

1.3 The Three Sides of the Coin Agility Being nimble, reacting quickly to the market and acting innovatively and with foresight demands more from us humans than it seems at first glance. As described in Sect. 4.1, it is not necessarily in our nature to move in such an unfamiliar world. For this, there are helpful methods and frameworks that support us in the required active actions. However, there is also another way of looking at agility that illuminates the duality of agility, so to speak, and results in complementary approaches. As Prof. Christiane Prange from Shanghai University describes, there are two sides or ways of looking at it. Let us use the old metaphor of the coin and its two sides to better understand the duality and even add a third side.

1.3  The Three Sides of the Coin Agility

11

Table 1.1  The agile manifesto and implementation in sales Paradigms of the Agile Manifesto Individuals and interactions take precedence over processes and tools

Implementation possibilities in sales Daily short meetings: 15 minutes at the same time in the same place with the following agenda: Log in (how am I doing today) What did I complete yesterday, implemented? What will I implement today? What obstacles have been encountered? What kind of support do I need? Monthly retrospectives: 2–3 hour meeting with the following phases: Log in Collect numbers, data and facts Understanding backgrounds Make decisions Log out Team development: 2 days offsite, during which the team takes time to look back and look forward to all relevant topics Leadership development: Change in the understanding of leadership towards transformative and flexible leadership. This requires personal development Cross-functional teams: 5–9 experts from different areas who introduce and implement new ideas and procedures with multiple perspectives Cross-team tandems Collaboration and networking across teams Tandems of employees from different teams Functional products have Reviews: Two-hour meetings where the customer/stakeholder/ priority over extensive product owner is shown partial products to get feedback for the next documentation implementation cycle and to adjust the new requirements Reduce documentation to the bare minimum Let people experience products/services Drive digitalisation forward and use all new media Cooperation with the Transparent agreements customer takes Customer confidence precedence over contract Generate commitment with customers about requirements negotiations Make concessions to customers Generosity in dealing with customer needs Accommodating changes Flexible structures and processes takes precedence over Inspect and adapt strict adherence to plan Agile and nimble teams Iterations Be a pioneer in the use of new technologies

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1  Basic Thoughts on Agility in Sales

1.3.1 One Side of the Coin: Conventional View One side of the coin is the conventional view: it takes speed and adaptation first and foremost to be agile and better meet customer needs. The focus is on transformation, speed, adaptation and innovation. • Transformation: change of existing structures, such as conversion to a holocracy or to self-organized teams consisting of equal management roles: Master, Product Owner and Implementation Team. The change of artifacts such as premises, technologies, equipment, etc. is also a visible expression of a changed way of thinking and acting. Even more critical to a successful transformation, however, is cultural change. What basic assumptions are ingrained that employees unconsciously align themselves with? What values are internalized and how can these be changed so that new structures (such as the roles described above) are lived at all? Which new values and resulting working principles are added and how is life breathed into them? • Speed: Become faster in the sense of “time to market”, reduce through focused implementation and faster decisions. This is only possible by delegating the competencies to the teams. As long as decisions are still made at the top, teams and developments will be extremely slowed down. As described in Sect. 10.3.2, the delegation board is a good method for making decision-making transparent. The team then knows exactly which issues it decides on independently, on which issues it consults with others such as the manager, or which decisions are outside its authority. Overall, speed is primarily about removing the classic obstacles such as lengthy processes and unnecessary procedures. • Adaptation: Rapid adaptation to changed requirements is primarily achieved through iterative processes in which functional subproducts are created that are adapted to customer needs. But it also refers to the adaptation of internal processes and behaviors to new requirements. As described in Chap. 1, teams become cross-runners that can adapt to changing backgrounds like chameleons. • Innovation: Innovation is missing from Prange’s description. The word comes from the Latin “innovare”, meaning to renew. In business, innovation means ideas that have led to the successful implementation of new products, processes or services. In order to be innovative, a sales department needs a spirit of innovation, i.e. creative minds and safe spaces in which new ideas can be developed and tested. Design Thinking and Service Design Thinking are the frameworks of choice.

1.3.2 The Other Side of the Coin: Complementary View The other side of the coin is the complementary view: more and more, there is a growing awareness among managers and consultants of other methods and ways of thinking that are needed in complex contexts. Instead of chasing the competition and always trying to be first while managing the hectic day-to-day, according to Prange’s studies, there are

1.3  The Three Sides of the Coin Agility

13

some companies that have discovered the resilient and reflective side of agile (Prange 2018). The mindset of “doing everything differently” and “more is more” is being replaced by a “both and” attitude. For example, a company may decide to preserve some of its traditional values while adding something new. It may also decide to preserve its product but change its processes. When such decisions are based on sound strategic thinking, they can reflect a high degree of agility. It is not necessarily purposeful to declare a revolution, but much more sustainable and effective to spur evolution. In doing so, the DNA of the company is preserved and the focus is changed based on this. Reflective measures help to look at what needs to be preserved and where change and reorientation need to be forced. The focus of this side of the coin is: resilience, reflection and waiting. Resilience or Psychological Resilience This is the ability to cope with crises and to use them as an occasion for development by drawing on personal and socially mediated resources (Wikipedia 2019). Resilience is what companies, or rather their employees, need in order to remain intrinsically stable and able to act in the face of all the competitive pressure and the countless opportunities to make seemingly wrong decisions or to invest in uncertain innovation projects. Like the image of a bamboo that is strong and stable, despite its agility and strength to grow. According to Stephanie Borgert, the ingredients to this resilience in teams are the following (Borgert 2013, pp. 9–22): • Acceptance as a person: a team climate in which appreciation in dealing with each other forms the basis. The easiest way to achieve this is through acceptance of colleagues and the separation of behaviour and person. Then it is easier to maintain a positive approach to one another even in conflicts. • Positive relationships: with colleagues and outside the team, where cooperation is guaranteed. This is usually easier to achieve with similar people than with very different characters. Especially in agile teams, opposing people with divergent perspectives are preferred. In order to deal with this well, a high level of lived tolerance and practice are required. • Clear structures and roles: help the team to find their way around each other more quickly and to clarify their own position and task in the team. • Fault tolerance instead of blame: in the agile context a rule, you could almost call it a commandment, and means solutions instead of blame and “fail fast and often”. Fault tolerance is a very important aspect of the culture change towards agility. • Rest periods: important between stressful and crisis project times. The constant stress level harms people and also the team success. Finding the balance between work and rest periods is a big challenge in many teams. Unfortunately, in many sales organizations it is trendy to always be under stress and frowned upon to take a lazy day. A new way of thinking and acting in the organization is needed here. • Meaningful integration: From a systemic point of view, every person strives to belong to a group, wants to feel important and significant for the team.

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1  Basic Thoughts on Agility in Sales

• Access to the necessary resources: Everyone in the team needs direct access to all the work tools, competencies and processes that their tasks require. • Effective feedback: Every employee wants to know how his or her work performance and personality are “received” by others and where he or she stands with regard to the overall goal. This is only ensured by a good feedback culture. Within the team, give each other “++” feedback. This emphasizes strengths (+) and reflects on what the person can do to improve their performance even further (++). In this way, criticism, which is usually demotivating, is automatically thought of as development potential and formulated in a reframed and constructive manner. An example: “In your contribution, you presented the course of the last sprint in a concrete and comprehensible way using the evaluation charts. If you look at us at the next meeting and keep eye contact, you will take us along even more and create an even stronger effect.”

Reflection Reflection can be seen as the basic principle for the development of competences (Hilzenhausen 2008) and means to be aware of one’s own learning processes and to classify them in the personal knowledge context. In other words: Only those who can reflect will develop further. Each individual, the teams and above all the company management urgently need a structural framework to integrate reflection into everyday work and to train it. The appropriate meeting format for this is the retrospective. Here, the team takes 2–3 hours after each iteration to look together at the collaboration and reflect on the past work phase. The regular rotation and the clearly moderated structure increase the reflective ability of the entire team. Wait and See Or, as Daniel Kahneman calls it in his bestseller: Slow thinking is important in order not to end up in the same old rut from all the actionism and to sell old wine in new bottles (Kahneman 2016). Wait and see and not chase every trend, but observe and take a second look. Sleeping on it for a night, as we have learned to do with many a conflict, surprisingly often leads to more solution-oriented courses of action. Kahneman describes as a central thesis of his work the two types of thinking: The fast thinking, which is mainly instinctively and emotionally controlled and leads to many cognitive distortions. And the slow, logical and thinking through system 2. We should not make important and far-reaching decisions with the fast system 1, but build on the slow, logical thinking through.

1.3.3 The Third Side: The Dynamics of Duality All sides of the coin are equally important. To focus only on one or the other would mean that the coin has no dynamics, but lies still. Coins roll only on the third side: the narrow

References

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Duality of agility

Action

Flexibility Adaptability Transformation Speed Innovation

Agility

Reflection

Wait and see Resilience Reflection Slow thinking Balancing

Fig. 1.4  The three sides of the coin. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

side between the number and the head. Too much sideways movement will cause them to lie still again. Figure 1.4 shows the balance of the two sides. The third side of agility is the balance between action and reflection, between high and low speed, between preserving and changing. Navigating in between is critical to moving forward on a good course without capsizing the company or overheating the machines. This will be the predominant task of leadership in times of digitalization. It is needed more than ever before. It is precisely this navigating and balancing of dynamics that is at stake. When does the team or the area need reflection and resilience and when renewal and speed? Like a professional coach, the leadership acts within a team that observes externally and internally, reflects and continuously promotes and challenges all players.

References Borgert S (2013) Resilienz im Projektmanagement. Springer Gabler, Wiesbaden Covey S (2005) Die 7 Wege zur Effektivität. Gabal, Offenbach Hilzenhausen W (2008) Theoretische Zugänge und Methoden zur Reflexion des Lernens. Ein Diskussionsbeitrag. In: Bildungsforschung. Jg. 5, Ausgabe 2, Schwerpunkt “Reflexives Lernen”. http://bildungsforschung.org. Accessed 19 Aug 2019 Hofert S (2018) Das agile Mindset. Springer Gabler, Wiesbaden Hofert S, Thonet C (2019) Der agile Kulturwandel. Springer Gabler, Wiesbaden Kahneman D (2016) Schnelles Denken, langsames Denken. Penguin, München Leopold K (2018) Agilität neu denken. LEANability, Wien Manifesto for Agile Software Development (2001). http://agilemanifesto.org/. Accessed 07 Apr 2019 Prange C (2018) Strategic agility – decision-making beyond speed. In: Strategic management society annual conference, Paris 23–25 Sept 2018, Best paper nomination Wikipedia (2019) Resililenz. https://de.wikipedia.org/wiki/Resilienz_(Psychologie). Accessed 01 Feb 2019

2

The End of Sales as You Know It Today

Abstract

Not only digitalization, but also B2B and B2C customers are forcing sales to transform. In this chapter, you will not only learn about important trends and forecasts, but also find good starting points and levers for success that you can use for the change despite the existing contradictions.

Ideally, agile sales is a component of an agile organization. However, it does not even appear as an agile organizational unit in most studies. Things look a little better when it comes to the pure digitization of sales units. At least a 2015 study by Berger and Google says that 42 percent of B2B sales organizations have a digital strategy (Müller 2018). The percentage will have increased since 2015. But how does this fit together? Driving digitalization with classic line structures, fixed hierarchies, and processes and procedures that are predetermined down to the last detail? We can only change the ever-­ increasing pace of change in the market with an agile cultural shift to agile, more adaptable structures in which sales teams explore and implement innovations quickly and decisively. Before we look at sales of the future and agile transformation, let’s first take a look at how sales culture is doing in the present. If you look at classic sales organizations and consult studies, these misconceptions are not an isolated case, but are still widespread. How else could it be explained that 58 percent of B2B sales organizations do not yet have a digitization strategy (Müller 2018) The reason, as in the example described, lies in a widespread ignorance of necessity and urgency.

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_2

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Example

During a closed meeting with managers of a bank, I experienced a phenomenon: The topic of the meeting had been discussed with me in advance by the division manager. It was important to him to familiarize his branch managers with agile leadership culture. In the first hours, I encountered slightly disinterested participants who appeared in a wait-and-see and rather consuming attitude. In order to find out the cause of the prevailing mood, I decided to conduct a survey. I was interested in how the managers assessed the urgency to change their existing business model. For this purpose, I showed a diagram (see Fig. 2.1) of market and product assessments and asked each participant for his or her assessment of the banking business in branch operations. On one axis, the question was about the market: did those present think the market for traditional bank distribution was steady, innovative or even disruptive? And on the other axis, I asked them to assess how their products would evolve: Will they be simple or complex? After the assessment of the 20 senior bankers, I was speechless: they assessed their market in unison between stable and slightly innovative and their products as simple. Any controller can calculate for you what the situation is like for retail banks if interest rate policies remain unchanged: they will be bankrupt in 5 years at the latest. How could those present arrive at such a misjudgement and then also agree on it?

Assessment of markets and offers

disruptive

Markets/requirements

C om ex

innovative

pl agile

Sy nc by ho ne yb un

lean

ny

si m pl

slow

y classic low-complexity

Offers/Products highly complex

Fig. 2.1  How urgent is the change? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

2  The End of Sales as You Know It Today

19

As explained in more detail in Sect. 4.1, we humans have limitations in our thinking that protect us emotionally in the face of threats, as banks have been experiencing for years. We suppress or trivialise facts and corresponding indications and carry on as before. This is absolutely important and necessary for mental health. Imagine if you had every danger ever present: the threat of traffic, declining health in old age, rising divorce rates, etc. We would become terribly depressed or plagued by anxiety. In this respect, repression is both good and fatal; it is good to ignore some dangers and focus on the possibilities of the day-to-day; it is bad if we ignore all evidence of impending danger. The dose is crucial. Maintaining a healthy dose of caution on the road, mindfulness about our health, and commitment to marriage is advisable and consistent with intact self-care. Back to the executives of the bank in question: I confronted the retreat with my external assessment of the situation and plotted my point on the axes in the assessment of the banking market between innovative and disruptive (see Fig. 2.1). I estimated the product developments required for this in the direction of complex. I let the ensuing silence spread out for a while. I trusted in the positive effect that usually occurs when the elephant in the room is addressed. I know two typical reactions to the voicing of issues that basically everyone sees or suspects, but a collegial agreement to ignore them prevails: Either the initial shock and indignation at this unpleasant confrontation is followed by a thoroughly heated and important discussion, or after a while there is a noticeable relief, like a silent sigh. Everyone agreed with this variant because they had long been aware of the elephant, although it had been collegially ignored. And indeed, in my workshop, the bankers’ attitudes changed noticeably over the next day and a half. All of them were attentive, engaged, eager for discussion and wanted to explore their scope for action. They became more agile and open – you could also say more agile. At the end of the second day, they summed up how little they could do with general statements and forecasts regarding digitalization and agility and how important concrete possibilities for action were for them. They needed certainty and security in order to remain able to act. I encounter this phenomenon in many sales areas: Employees vacillate between a rather paralyzing fear of the uncertain and unpredictable future of their jobs and dismissive ignorance of the necessary change. In addition to an awareness of urgency and necessity, sales needs room to maneuver and guidance for transformation. The uncertain, the so-called VUCA world – VUCA = Volatility + Uncertainty + Complexity + Ambiguity – must be broken down into digestible insights and implementable ways of thinking and acting. This is the great advantage of frameworks, which are described in Sects. 10.1, 10.2, 10.3, 10.4 and 10.5. They provide a clear framework in which complexity is reduced and translated into simple, feasible steps.

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2.1 What Buyers Really Want Today Let’s look at ourselves for a moment and review our buying behavior: How has it changed over the past few years? I only need to reflect on my own consumer behaviour: As a frequent traveler, I hardly ever rush into the hustle and bustle of various shopping malls anymore. Why should I, when my smartphone carries the most diverse and inexpensive shopping paradise of all? I get the things delivered to my home or parcel shop and can try them on and return them if I don’t like them, usually without any hurdles. Recently, on a business trip, I strayed into a fashion department store after a long time to buy, how could it be otherwise, shoes. When I realized at the hotel how uncomfortable they were, I had to make the awkward trip to said department store the next day to be reprimanded by the saleswoman. Because I hadn’t taken the box with me when I bought them, my right to return them was supposedly forfeited. After such experiences, I still prefer to use my favorite apps to meet my self-developed needs. It might be the new clothes I think I need, or used-up trainer materials such as post-its or pens that I need to refill. More and more often, it’s grocery shopping, which I do conveniently on my cell phone on the train on the way home and choose a suitable delivery time, at which the nice employees carry my groceries up to the fifth floor and are happy about a tidy tip.

2.1.1 B2C Customers For my banking transactions, I would no longer be able to keep an appointment with an advisor at my local branch, because my bank is located 800 kilometres away in my former place of residence, which I left 10 years ago. So far, I have seen no reason to change banks. Why should I? I do everything online anyway, and if I do have questions for my advisor, there is now, fortunately, a chat function for short enquiries in addition to e-mail. However, the whole thing also comes at a price that should not be underestimated. Because every enquiry I make online provides various clever providers with data about me. So not only do I reveal my preferences for fashion and books, but also which holiday destinations, restaurants, ventures, insurances and life topics I prefer. This is the price we all pay for convenience, though most ignore it. Another price is the ads that pop up for me as I surf the web or read the news. Yet, I find myself reacting and getting excited about a bargain or two from my favorite brand. This is the present of many people’s buying behavior at my age. Younger customers are even more digital and willing to change. The purchasing processes of the so-called B2C, Business to Customer, have long been standardized, algorithms evaluate the purchasing behavior and offer the customer what he is looking for. More and more, the market is dominated by the provider who receives and can evaluate the largest amounts of customer data. So in the near future I will not only be offered trainer material and have it delivered an hour later, I will also be offered a comparison of

2.1  What Buyers Really Want Today

21

tailor-­made, individually calculated occupational disability insurance policies, because that is exactly what I have not yet taken out. What’s more, before I even suspect that my Post-its are running low again, I get an online indication of who is offering them to me at the best price. My printer sends a signal to HP sales when my ink cartridge is running low. I get the new cartridges delivered before I am even aware of the need. Dreams of the future? No, this is already reality.

2.1.2 B2B Customers Now one or the other might think: “Yes, but that only concerns the B2C business field, in B2B, business to business, it is completely different”. Unfortunately, I also thought that until last year. I would like to give my corresponding behavior as a very small B2B business as a simple example:

Example

I have been a self-employed trainer and consultant since 2003. Of course, I also have a website since then. But search engine optimization was always completely irrelevant to me until last year. I was of the opinion that trainers and consultants would never be searched for via the Internet, especially if they work exclusively for medium-sized and large companies, as I do. In this respect, I regarded my website merely as a business card on the net, through which clients could obtain specific information about me. If I recall correctly, my site ranked on page 3000 on Google for search terms related to my offerings. My belief may have been in line with the reality of the search behaviour of HR departments of large companies in the early years of my self-employment, but I never really checked it out.

This is exactly the dilemma of so-called basic assumptions, they are not checked. If your sales people cherish the basic assumption that their key accounts will not order online, but only in personal or telephone contact, and thus weigh themselves safe against the competition, this will have fatal consequences. I, for one, had never updated the belief that my own sales could only work through excellence and the referral business that followed. It was only the last years that I dramatically gained visibility by specializing in agile business development, specifically sales. I even went from page 3000 to page 1 for some search terms. And, who do you think has been contacting me since then? That’s right, HR departments of medium and even very large companies are suddenly requesting me. Since I did not expect this due to my untimely basic attitude, my delivery time has gone up immensely. Urgently necessary to adapt my strategy to the new market situation. According to a 2015 study by Berger and Google, 90 percent of buyers search for keywords online, 70 percent watch videos to get pre-purchase information, and 57 percent of

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the B2B buying process is already underway when decision makers first contact a sales representative (Müller 2018). So you need to be visible online in the initiation process, or you won’t stand a chance in the marketplace in the future. Another change becomes clear in the study, which coincides with my observations: The activities of the sales department are changing from the push to the pull principle. Up to now, sales has acted according to the push principle: it launched campaigns in which it sent out brochures or mailings, initiated telephone campaigns or other approaches in order to draw customers’ attention to offers. B2B sales is already developing more and more in the direction of the pull principle. The customer decides when the sales department comes into play, what needs he wants to have covered and in what form the interaction should take place. In this respect, the entire sales strategy is changing. You have to sense what the customer wants today and tomorrow, what needs he has now and will have in the future, and you have to be visible with your offer. However, it is not enough to ask the customer what he expects. Amazon asked its customers some years ago whether they would prefer delivery within a few hours. Most customers answered in the negative, saying same-day or next-day was sufficient for them. Amazon didn’t let the survey stop it from shortening delivery times like that, and today enjoys a huge competitive advantage over others as a result. In other words, customers don’t know today what they can expect tomorrow. So we have to think ahead in sales and sense what will be needed tomorrow.

2.1.3 Expectation Versus Performance Today’s customers want to have their requirements met quickly, flexibly and conveniently at all times via all communication channels. From the sales department’s point of view, it has always been easier to meet a need that the customer is already aware of. Fulfilling this need quickly, easily and precisely is the duty of a functional sales department. From the customer’s point of view, the sales department is the area of a company with which the customer is in direct contact. If my need as a customer is thereby overfulfilled by the quality of the product or the service, I am positively surprised and perhaps even thrilled. If my requirement is fulfilled exactly, the supplier probably does not stick in my memory and I remain as a customer willing to change. If the sale does not manage to recognize my wish and at least fulfill it, I will make my need known here for the first and last time. Inspiring customers then leads to efforts on the wrong level in many organizations. I still remember how positively surprised I was by the service of Deutsche Bahn when I treated myself to first class rail travel for the first time for professional reasons. I had not expected the selection of magazines and small nibbles. I enthusiastically read the Süddeutsche and enjoyed a packet of chocolates with my coffee. But how long does such an effect last? Not more than three or four times, then I not only got used to it, no, I already expected to find my favorite newspaper. In no time at all, this expectation turns into disappointment: Only the Frankfurter Rundschau this time? Only salty peanuts and no

2.1  What Buyers Really Want Today

23

Sales performance versus customer expectations Sales Performance (Sales process + Service + Product)




Customer expectations

Disappointed, makes negative Publicity. Must through special performance be won.

Expectations of the customer

Indifferent, hardly any emotion, remains changeable

Customer expectations

Satisfied to thrilled. Remains as a customer and recommends the offer go on.

Fig. 2.2  What do customers expect? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

chocolates? Psychologically, this is an interesting effect: In a flash, well-intentioned addons turn into new expectations and self-evident facts, which in turn have to be fulfilled in order to avoid disappointment (see Fig. 2.2). So what inspires customers more sustainably, what does not wear out so quickly? In my observation, this is similar to private relationships: When the first problems arise and expectations are not met, then it becomes apparent how good a relationship is or how customer-oriented a service really is. This has always been the touchstone of a good salesperson. How does he or she react when the customer has special requirements beyond the standard? How does the service handle complaints and disappointments? Does it use them to even strengthen customer loyalty and build customer trust by listening and developing solutions with the customer? Or does the service lose not only the customer but also his good reputation through ignorance? Just as acquaintances only become good friends when dealing with disagreements in a positive way strengthens trust in each other. Every salesperson is aware of this scenario and has been shaping the strategies and processes of the sales organization for years. Due to digitalization and the speed of change that goes hand in hand with it, sales has been faced with completely different requirements for some time now. Until now, it was mainly a matter of meeting or exceeding the needs of existing customers and new customers, in addition to identifying or awakening further desires. But does today’s customer even know what he will need tomorrow? Today’s sales must think far ahead and recognize the future needs of customers – and meet them now. On the one hand, this is precisely the strength of sales: no one in the company knows the needs, requirements, annoyances and “pain points” of customers as well as service and

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Example

As a pure mail order company, Amazon sets standards with its online sales, at least in the B2C sector. Zalando and Otto are also following suit in the mail order business and are pioneers in the fashion sector, both in terms of sales and customer service. The customer’s expectations are based on the services offered by the so-called elephants (large suppliers who dominate the market globally) of online sales.

sales. Both internal and external sales staff know the customer’s expectations scrupulously well. Because that is the profession of every good salesperson: He puts himself in the customer’s shoes, asks and senses his wishes and pains and acts accordingly. If you want to learn more about your customers, ask your service and sales teams. Today’s sales force is more than ever a problem solver. Standard goods can be fulfilled by any supplier in the world these days – and more cheaply than most local suppliers. But when it comes to difficulties or special requirements, that’s where the true competence comes to the fore, separating the wheat from the chaff. On the other hand, when it comes to complex issues, sales is subject to the same errors as any other area (see Sect. 4.1).

2.2 How Much Agility Is Already in It? I have accompanied so many service centers and sales divisions over the past decades that I can state with a clear conscience: Many sales teams are further ahead of other company divisions in their innovation and flexibility than they realize. More than other organizational units, they already live agile principles or are at least very close to the lean approach: • Few hierarchical hurdles: As a rule, flat hierarchies prevail in sales and service. Employees can often act and make decisions independently to a certain extent. • Commitment: Every good and successful salesperson has a high level of commitment and the corresponding self-commitment. The focus of the employees is on the point “my customers”. • Customer orientation: It is the highest premise for employees; the effect of their actions can be seen in the reaction of the customer and the sales coach. New topics have always been tested and adapted directly on the client. • Feedback: Giving and receiving feedback is part of the daily work of an agent and salesperson, both in the team and with customers. Sales areas and service centers often have their own sales coaches and trainers (sometimes it is colleagues who additionally fulfill this as a role). Constant new learning and on-the-job training with a coach or colleague by your side is part of the daily routine. Sales representatives get the feedback directly from the customer or at the latest during the ordering process.

2.3  The Contradiction of Requirements

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• Transparency: No other area is as transparent and measurable as sales. The work performance can be shown and checked directly by the sales figures or service levels. And not to forget: Transparency via workflows is “state of the art”. • Adaptation/Flexibility: Salespeople are used to adapting and being flexible. Without adapting to each type of customer, they would not have success or enjoy their job. In addition to adapting to customers, they are used to constantly offering new products or services. Without the appropriate perceptiveness and persuasiveness, this would not be feasible. There are many good reasons for increasing agility in sales. Go for it, make the decision to break new ground, convey the urgency and sense of purpose, and give core agile teams the appropriate safe space for sales experimentation. Be warned, though: it won’t bear fruit and work right away. Culture change, unlike change, is an ongoing process that has no end. The key is to develop the teams’ ability to transform and their spirit of innovation, and to lead both into self-organization. Above all, sales must learn one thing: teamwork. Many traditional sales departments consist of lone warriors who serve their customers on a commission basis. They are not familiar with teamwork, or at least they have not been able to see much benefit in it. This will be a key success factor in the cultural change of traditional sales. The changed buying behavior demands omnichannel offers and constant, demand-­ oriented availability and accessibility, which can only be fulfilled by flexible, cross-­ functional and independent team structures.

2.3 The Contradiction of Requirements Despite so many strengths and pro-arguments, what is the cause for the few agile sales organizations or divisions compared to HR development, marketing or project management? As always, there is no one answer or single cause for this. Rather, there are multiple perspectives or glasses with which we can view causality. In any case, one cause is the core task of sales: It has to ensure today’s turnover. It generates the revenues and is thus one of the stable business areas that are responsible for securing the company’s existence. The so-called Exploitation (exploitation of existing things) is the basic safeguard for every organization and finances not only the running costs but also the Exploration (exploration of new things) (see Fig. 2.3). Agile ways of working are usually used in the explorative areas and not in the stable business of today. This may explain the reluctance to invest in agile sales. It is supposed to make the turnover and is thus given few resources for experimentation and innovation. This is where a both/and mindset is required. Sales needs to move and become more agile alongside ongoing revenue. It already has plenty of agility factors on board to do this. Sales ambidexterity is the key to success. According to Reilly and Tushman (2008), ambidextry is the ability of a company to simultaneously explore (exploration) and optimize (exploitation) in order to be adaptable in the long term (Roland Berger GmbH 2015).

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Distribution Ambidextry EXPLOITATION

EXPLORATION

Today's business (field service, office service, online sales...

The new / business of tomorrow (new products and services, new technologies...)

Goals: secure current business, increase sales

Objectives: Research, innovation, development, adaptation

Ways to get there: Continuous improvement process = KVP Increase added value lean working practices

Ways to get there: Experiments, Fail fast/Fail often/Fail forward Agile teams, agile working methods, culture change

Minimize waste Reduce reactive power

Waste and reactive power are part of exploration

Fig. 2.3  Exploration and exploitation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

A distinction is made between contextual and structural ambidextry. • Contextual ambidextry: Here, the conflicting requirements of exploitation and exploration are managed situationally and dynamically without changing the structure of the organization. Google, for example, has the 80/20 rule: employees should use 20 percent of their working time away from day-to-day business for innovation (Müller 2018). This requires a high level of maturity from employees. They are required to switch between very complementary approaches within the same structure and to organize themselves within it. • Structural ambidextry: The conflicting requirements are implemented through a dual structure. For this purpose, different organizational units are created, each dealing with replication or innovation. The challenge here is to demarcate the exploratory units in order to guarantee them sufficient protective space for creativity and self-organization without completely disconnecting them. One approach is the concept of embedded enterprise teams or Kotter’s second operating system (Roland Berger GmbH 2015). Both approaches promote exchange and mutual learning from each other in order to achieve a good transfer effect.

References

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Example

The automotive industry is currently facing major challenges and is in urgent need of a paradigm shift in relation to conventional drives such as gasoline or diesel engines. In terms of exploitation, i.e. the optimization of the existing model, electromobility is an important and expandable approach. Exploratively, a more far-­ reaching rethinking of the entire mobility is required here. Presumably, in the near future we will use an “All in One” Mobility Flat, at least in the cities, with which we can use any mobility from flight, taxi, rental vehicles and classic rail vehicles in a demand-oriented and flexible manner. This apparent contradiction between focusing on today’s sales and looking to the future must be combined smoothly in order to continue to be successful. As described, we need a threefold view of today, tomorrow and the day after tomorrow. This is not new, successful companies have always handled it this way. The difference is the speed and our inability to mentally grasp this exponential development.

References Müller GV (2018) Google gibt seinen Mitarbeitern Freiräume – und profitiert davon. https://www. nzz.ch/wirtschaft/google-­innovation-­braucht-­freiraeume-­ld.1424815. Accessed 07 Jan 2019 Reilly O, Tushman M (2008) Ambidexterity as a dynamic capability: resolving the innovator’s dilemma. Res Organ Behav 28:185–206 Roland Berger GmbH (2015) Think Act, die digitale Zukunft des B2B-Vertrieb, Studie Roland Berger im Auftrag von Google. https://www.rolandberger.com/de/Publications/Die-­digitale-­ Zukunft-­des-­B2B-­Vertriebs.html. Accessed 05 Jan 2019

3

The Distribution of the Future

Abstract

What will the new value creation look like? What are the best customer retention strategies and how will you sell online and offline in the future? What does a good Service 4.0 look like and from which top players can you best learn? This chapter will provide you with answers and strategies to these crucial questions.

According to the Institute for Retail Research at the University of Cologne, 25 percent of fashion and consumer electronics sales were already made online in 2017, with a drastic upward trend. With a turnover of 60 billion euros, online trade exceeded more than 10 percent of the entire retail trade. It is therefore high time to make the sales and service areas adaptable and fit for the future (Dixon 2018). Sales will increasingly offer solutions for customers instead of just selling products. With the help of search engines, customers will be able to find products everywhere more easily, comparably and quickly than ever before. Ultimately, they will choose the provider they trust and who meets their current and future needs. Of course, any future-proof organization needs a high level of expertise in new technologies. But is that enough?

3.1 Value Creation from the Customer’s Point of View Basically, the goal of sales is clear and simple: it makes the company’s offers available to the market and thus forms the direct interface to the customer. As shown in Fig. 3.1, there are two exchange circuits:

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_3

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The new value creation Yield / Money

Need / requirement / pain point

Promise / Offer / Profit Distribution

Customer Goods: Product / The nstleistung

Fig. 3.1  Cycle of value creation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

1. The customer reveals his needs, requirements or his pain and is promised the appropriate promises and offers or services by the sales department. This phase is optimally used when the customer gets more than he expects. These can be human values such as friendliness and trustworthiness or process-related ones such as speed, reliability or convenience. And of course attractive offers that go beyond the customer’s needs and also meet or awaken the need. Example: Recently I wanted to order a protective film for my smartphone. Since I happened to be passing an Apple Store, I popped in instead of ordering online as usual and then agonizing over how to apply the film correctly. As soon as I entered through the wide glass doors, I was greeted by a handsome friendly employee asking how he could help me. Immediately I was escorted to a table where his colleague was applying the protective covers. After 2 minutes, she gave me three different variants to choose from, cleaned my phone from all sides and repaired scratches. Even before I bought anything, I received service I never expected. Of course, I spontaneously decided on one of the many different foils. I am even sure: Next time I will rather take the way to the store in purchase, than to do without this great service when buying online. 2. After deciding to close the deal, the customer gives his money and receives the goods or service in return, sometimes vice versa: he pays only after receiving the product. Also in this second phase, the customer gives us the chance to exceed his expectations. He gets a better product or service than he thought. Even small things can be enough to trigger an immense impact. With my last online shoe purchase, I got extra laces in great

3.2  Offering Digital Solutions Instead of Selling Products

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colors delivered with it. That surprised me and I was positively thrilled. Since then I have ordered more shoes there for my husband and son. Now you may think that this is as clear as multiplication tables. I agree with you and have nevertheless decided to present this simple value-added cycle from the customer’s point of view. Because in my view, many companies lose sight of the essential and simple interrelationships in the zeal to maximize profits or secure their existence. Yet these two cycles are the only things that really count and are significant. The better sales and service master these cycles, the more successful a company will be. The following typical hurdles have to be overcome by the sales department: • How do I know when a customer expresses a need? He does that more and more on Google. This platform has an exorbitant advantage over every other provider. • How do I differentiate myself from the many other providers? • How do I convey my USP (Unique Selling Point) and my ESP (Emotional Selling Point) within a few seconds? • What customer needs do I recognize between the lines? • How do I offer the customer more than he expected? • How do I keep in touch after the sale without seeming pushy?

3.2 Offering Digital Solutions Instead of Selling Products Anyone can sell products, provided that they are visible in the jungle of global offers. This requires good online marketing and new technologies. You will not stand out and stand out from the mass of providers with this. You can only do that if you can do more than digital sales channels. What will really count in the future are good solutions to the customer’s problems. To do this, I need to know my customers, understand their wishes and needs, and provide them with tailored answers. According to a recent study by the Harvard Business School (Buell and Shell 2019), too much automation leads to a decline in satisfaction, especially in areas such as finance, health or mobility, where customers are uncertain. When ATMs were introduced, banks experienced exactly this phenomenon. Although cash delivery became faster, more convenient, easier and more available, customer satisfaction among existing customers declined. Why? There are three reasons: 1. Automation separates customers from operational processes. The customer used to watch the employee legitimize him, pick out his account summary, pre-count the money and hand it to him by signature. Now, the ATM does all that and more while the display says “in process.” For the customer, the value of these actions is no longer recognizable and therefore worthless. 2. When people are unsettled, they instinctively seek contact with other people, not machines. On the contrary, when I recently received my blood results online and then researched the one elevated reading on the Internet, I was so alarmed that I immediately went to see a doctor. Many providers direct nervous customers to self-service

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technology (SST). While this is less expensive than human assistance, it doesn’t soothe feelings. 3. Digital services predominantly offer standardized solutions. As soon as the customer has special requests that do not fit into the grid of the options provided, he will not receive a satisfactory result. What does this mean for the future? How can we use and advance artificial intelligence and at the same time gain and retain the trust of customers? Trust is and remains the basis of every sustainable customer relationship. The more digital we become, the more important it is to understand the psyche of the customer in order to find new ways. If we want to build and retain trust in the customer relationship, four components are crucial: • • • •

Transparency Human care Individuality Commitment and appreciation

3.2.1 Transparency Transparency creates trust. Inform customers about the status of the processing at any time. Make every step transparent and thus the value of your service recognizable. The more you disclose, the more valuable the customer considers the service.

Example

In one study, test subjects searched for flights on a test portal. Some waited without a status display, while others received progress bars with information about what the search engine was currently doing (“… 133 connections found so far”, “… now 427 …”). The more information participants received, the better they subsequently rated the portal. They had a higher willingness to pay, and they cared less about the waiting time. (Boston Consulting Group 2017).

Voluntarily create transparency about your service: At BBVA Bank in Spain, customers see a representation on the screen of how the machine counts, sorts and arranges money for withdrawal. According to Professor Buell (Buell and Shell 2019), the results of studies are clear: transparency has a high impact on customer satisfaction. As a frequent traveler, I use taxi services very often. Since the app “MyTaxi” not only tells me how long the driver will take, but also shows me his route to me, I feel much better served than with the traditional switchboards. I know the license plate number, the name and even have the driver’s picture. What’s more, I can estimate exactly when it’s time to carry my suitcase down and stand outside the front door in minus four degrees.

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3.2.2 Human Care Offer unsettled customers contact with an employee at any time. Surprisingly, this option is enough to reassure customers and boost their confidence. The offer is taken up much less often than one would expect. Example

Harvard Business School (HBS) did an experiment to study uncertainty and complex decisions in financial services (Buell and Shell 2019). To do this, they developed an online platform where participants could hypothetically invest and manage $100,000  in stocks and bonds of various types. The more downturns participants experienced, the more uncertain they were and also the less they trusted the provider of the stocks. Even participants who ultimately generated higher returns than other comparison participants were much less satisfied with the provider as soon as they had to go through fluctuations and thus uncertainties.

We cannot protect clients from fluctuations and uncertainties, especially in the financial services industry. Especially in times of uncertainty and anxiety, we automatically feel the need for human encouragement and sympathy. To find out what can help in such a case even with online services, HBS repeated its experiment described above with amazing results. This time, some participants were given the opportunity to chat with an expert during the experiment. In fact, their satisfaction with the online platform was stable despite fluctuations. The operators had already expected this, but what surprised them was the following: Hardly anyone actually used the feature of chatting with an expert. Just the offer of human care through the expert chat brought the effect.

3.2.3 Individuality Do you want to be an anonymous number as a customer? The art of good omnichannel offers of the future lies in the customizable presentation of your services. For example, make sure to address the buyer by name in every communication and personalize your offers. Collect and evaluate the data of your business partners in a meaningful way with the aim of creating curated offers (see Sect. 3.7.2).

Example

Amazon subsidiary Audible offers audiobooks and podcasts. The platform creates – based on the watch lists or purchases – a well-tuned selection of recommendations for its users. This not only encourages subscribers to buy, but also creates good customer loyalty through individual service.

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3.2.4 Commitment and Appreciation Do good and talk about it. Tell the customer all the things you do for him. Convey how important he is to you. Surprise customers with attentions they don’t expect. This way you will be remembered as a special provider. Especially in the case of complaints, active problem solving on your part is crucial for trust.

Example

Just recently, we reserved a table at the restaurant using the online service “Open Table”. We noted in the “special requests” note field that we were coming to dinner with Canadians and were looking forward to typical German cuisine. As soon as we arrived, the waiter brought everyone a beer on the house as a welcome.

Relationships are strengthened when you have already mastered difficulties with each other. That increases trust immensely. Is that different with digital services? No, quite the opposite: if there are difficulties, there is a chance of a long and sustainable business relationship. But only if you provide a quick, reliable and solution-oriented remedy or at least offer comprehensible explanations for the trouble that has arisen. Table 3.1 lists the basic elements of trust building and the appropriate solutions for digital services. It is particularly important to be aware of two-way transparency in the digitalization strategy in sales! Because not only the customer loses trust and satisfaction if automation leads to intransparency. Sales and service employees are also less motivated when they are cut off from customers. What is one of the key motivators in sales? You might be thinking, the wins and the commission? You’re partly right. Because successes very much are, but Table 3.1  The digital trust Basis for building trust Possible solutions for digital services in agile sales Transparency Transparency creates trust. inform customers about the status of the processing at any time. Make every step transparent and thus the value of your service recognizable. The more you disclose, the more valuable the customer considers the service Human care Offer unsettled customers contact with an employee at any time. Surprisingly, the option is enough to reassure customers and boost their confidence. The offer is taken up much less often than you would expect Individuality Do you want to be an anonymous number as a customer? Make sure to address the buyer personally in every communication and personalize your offers Commitment and Do good and talk about it. Tell the customer all the things you do for him. appreciation Convey how important he is to you. Especially with complaints, active problem solving on your part is crucial for trust

3.3  Offline Selling 4.0

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Transparency wins

TRANSPARENCY

TRUST

MOTIVATION/ SATISFACTION

Fig. 3.2  Trust and satisfaction through transparency. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

successes from delighted customers are even more critical to motivating teams than purely monetary gain. If a sales department receives bad customer reviews and a lot of complaints, then the teams’ identification with the department drops to freezing point. If, on the other hand, the customers are enthusiastic, then this instantly radiates to the employees and their motivation. As shown in Fig. 3.2, transparency is the winner in promoting trust and satisfaction.

3.3 Offline Selling 4.0 Offline sales are recording more and more losses and cannot keep up with the range of over 300 million products offered by an online giant like Amazon on the German market. Accordingly, Amazon, Otto Group and Zalando have immense assortment advantages over offline retail spaces. But they also have weaknesses! Hardly anyone shops at Amazon because they find the retailer so likeable or sustainable. On the contrary, many users – like me – have at least a bad eco-conscience when shopping. Reinartz and Hudez (2019) talk about cold loyalty in online sales, which binds customers. Cold loyalty comes from great selection, low prices and high functionality and is purely transactional. This is exactly where the opportunity of other suppliers lies. Especially on the surface and in direct contact with customers, you can create a completely different kind of loyalty. Of course, no online retailer can ever offer all eight of the points listed. This is exactly the opportunity of the space. Use the warm loyalty that you can create most strongly offline in direct contact. Make shopping an experience for the customer and make them feel good. Every customer should leave your store with a smile on their face, then you’ve achieved a good result. This won’t work with a sales team doing duty by the book, and certainly not with an underpaid service team rushing to meet their call time targets. This will only succeed with people who identify themselves and are literally proud to offer their customers their own great solutions for their needs.

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Example

In August, the temperatures in Berlin climbed to 38 degrees in the shade. Just before a three-day client meeting, I wanted to save myself from hot flashes in pantsuits and decided to visit a boutique around the corner 2 hours before my departure to look for business-appropriate summer dresses. I have to confess that I’m usually one of the 25 percent who order everything online and try it on at home. My impatience is too great to search through the many racks of clothes in fashion stores. Dressing rooms are a horror to me, and sales assistants who think everything is super nice, even if it looks like a tent with feet, are not something I can take seriously. But ordering was simply impossible in that time slot. Something completely different happened than I expected: just 30 minutes later I was the happy owner of two beautiful summer dresses, the fashion store has one more regular customer in the future and Zalando one less. How did this little shop around the corner manage that? 1. The shop is very tastefully decorated with lovely details. 2. The room temperature was very pleasant and there was an unobtrusive smell of fresh flowers. 3. The saleswoman greeted me in a very friendly manner, but left me alone to look for myself. 4. She immediately picked up on my questioning look and offered assistance and advice. 5. She inquired exactly what my tastes were and brought me an apt selection in the booth. 6. She told me honestly what she liked and disliked and was trustworthy. 7. Her compliments seemed sincere at all times, she made me feel good. 8. She took an interest in me and we laughed a lot together.

3.4 Customer Care: Service Center 4.0 Most people imagine call centers to be the galleys of modern times: Armies of poorly paid slaves who handle hundreds of calls every few minutes under the alias of “agents.” The fluctuation is correspondingly high. More than 27 percent of employees move to another department or company on average per year (Reinartz and Hudez 2019). There is a lack of recognition, development opportunities and flexibility, and pay is also abysmal. While most call themselves teams, they have no creative freedom, instead working to strict individual goals that are meticulously measured and evaluated. On the other hand, the highest demands are placed on the employees. Hardly any other employer has such high expectations regarding the speed, flexibility and communication skills of its applicants. Every employee is transparent: How many calls with what call time and follow-up time does the individual perform, and how does he or she compare to the others? If you are smart as an

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employer, hire people in the office who have previously worked in a service center for a few years. You will be amazed at how fast, service-oriented, structured and communicative a service employee can be. For most customers, the service center “touchpoint” also tends to be a nightmare in the customer journey that they would rather avoid. The customer must first overcome several obstacles before they can hope to get value for the time invested. The first hurdle is time-­ consuming navigation through computerized voice menus that seem more like mazes where the goal – to speak to a real person – seems out of reach. The second hurdle is customer numbers and order details, which are asked for at the very beginning and without which no information can be obtained. The third hurdle is the request itself: If it lies outside the agent’s narrow decision-making scope, then you’re just put off to an indefinite callback from the responsible department anyway. Of course there are exceptions. I know of service departments that, on the one hand, have high employee satisfaction and low turnover, and on the other hand, provide excellent customer service: Every caller is either handled on a case-by-case basis or receives a guaranteed callback within 24 hours with the individual solution in hand. What do the exceptions do differently? What might the service of the future look like? Will it still be needed at all or will the digital customer do everything himself online?

3.4.1 The Future Demands on Customer Service Is the call center still needed at all? Does the customer still need a hotline today or tomorrow with its typical services such as address changes, billing questions, contract changes or cancellations? Thanks to online management functions, the customer can do all this and more on his own. But due to the individualization of offers and the more complex products, the demands on customer service are also changing dramatically. Instead of simple routine answers, individual solutions are required; instead of standardized problem-­ solving strategies, the customer expects custom-fit answers. You’ve probably already guessed where I’m going with this. Yes, that’s right, I also advocate teams instead of lone warriors in the service sector. Right now, customer service has the ideal conditions for innovation, flexibility and networked expertise that only teams can provide. The less routine, the more the performance and content of the job will be upgraded. Not only does it require more skill, but it’s also a lot more fun. When employees are challenged and encouraged in teams, while being able to decide for themselves what is best for their clients, then as an employer you don’t have to worry about turnover and demotivation. You literally kill several birds with one stone. The more demanding and self-organized the teams work for the customers, the more loyal and committed they behave.

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3.4.2 From Call Slave to Expert for the Customer Imagine the following two scenarios:

Example

Scenario A You rush to work in the morning to make sure you’re not late. Your colleagues from the shift before you are already eagerly waiting to be relieved. Inwardly, you prepare yourself for 8 hours of constant stress. As soon as you arrive, you see the hectic spots among your colleagues: Everyone is sitting with their headsets on their ears as if stapled to countless islands, and the room is filled with the noise of hundreds of simultaneous conversations. No sooner have you logged on than the red queue pops up, showing you a crowd of disgruntled customers who have been waiting more than 10 minutes to speak to someone. Even the first calls cannot be resolved satisfactorily because you neither have the competence to make a decision nor can you reach a colleague from the specialist department who can answer the customer queries. After 8 hours of continuous conversations with meticulously counted breaks, you don’t even feel like talking to your partner about your day in the evening. You just want to enjoy the peace and quiet and fall into a comatose deep sleep on the sofa. Scenario B You are already looking forward to meeting your team in the morning. This morning, everyone will stand together again for 10 minutes, talk about the topics of the last day and discuss the common goals for today. You are already excited about the interesting questions your customers will approach you with today. Most of the callers are happy about your first-class service and the solution-oriented discussions. If you get stuck yourself and need help, there’s always an expert from the team at your side to explain the issues so well that you’ll be able to provide the solution yourself next time. Besides, the new innovation project you signed up for will start today at noon. You are looking forward to collaborating with many experts from other teams on new services for customers. Tonight you have a dinner date with your girlfriend. Together, you want to celebrate the high special payment that everyone in the team received for outstanding performance.

Customer service can be like that. And in my opinion, Scenario B represents the only meaningful and productive future for the industry.

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Interview with Marc Schmetkamp, Sales Specialist and Agile Sales Coach How Agile Can Today’s Typical Service Center Get Anyway? In my opinion, agility is the greatest challenge of the future in the classic customer service center. Many companies currently work with so-called service providers who are only provided with a clearly defined framework of competencies. Flexibility and authenticity are rather absent here. The customer consultant has hardly any leeway of his own and little freedom to make decisions. With few exceptions, the tasks and work processes are clearly defined by the client. In addition, today’s service center is tied into a shift schedule that, in its current form, leaves little or no room for flexibility and personal design. People work according to their availabilities in stringent temporal spaces and usually only come together in a similar constellation for a few weeks a year. In this way, togetherness and teamwork can develop in the rarest of cases. The employee is a lone fighter. Customer concerns that do not fall within the employee’s own area of competence are assigned to other departments, which are usually separated in terms of time and space, and often even located in other companies. Contact with the specialist department takes place electronically, direct enquiries are not possible or only via a collective account. The result is customer dissatisfaction  – and associated with this also dissatisfaction on the part of the employee who, after all, has the desire to finally process his own customer contacts and to offer the customer a solution that is target-oriented and satisfactory. That Sounds Very Unsatisfactory for Everyone Involved. Is There a Way? But there is certainly another way. Individual companies are gradually turning to so-­ called hybrid teams. Here, employees are trained across the board. The customer advisor is put in a position to process and finalize customer concerns from the most diverse segments of the inquiry spectrum. In addition to cross-thematic knowledge transfer, such teams also employ multipliers who are trained in higher-level systems and have a further range of competencies that enable them to respond quickly and efficiently to inquiries. So if we take a typical customer enquiry as an example, then a process can develop that assigns customers to a single advisor from initial contact through to closure, regardless of what concern is raised. What Obstacles Must Be Overcome? Another hurdle to agile work design is the personnel structure of the company, which must be solved through recruiting and onboarding. New customer consultants should therefore be selected so that they work together in clearly defined teams, which must also be based in the same time and space structure. Managers take on much more of the role of organizer and motivator, as well as the task of providing structure to the team and the daily routine. It must also be the leadership’s task to be the interface between the team and the company, both internally and externally, and to ensure meetings and information flows. What Remains to Be Done? Finally, if one also looks at the remuneration systems, then currently in many cases a key figure remuneration, a performance remuneration on an individual level, is common. This form of payment usually only encourages the urge to mass produce. So if you can

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generate more income by taking more calls, but it takes more time to service and sell, then this milquetoast calculation is quite simple. Why take the time to delight the customer when you can do it differently? Especially in companies that try to introduce sales and service, this disruptive factor shows up quite clearly. It is almost the proverbial Sisyphean task for the agile sales and service coach to inspire customer consultants to adopt a different approach. So Is Agile Culture Change Even Possible in Traditional Customer Service? The question I ask myself is not so much whether change is possible, but rather how it can be accomplished as quickly as possible. The service world is becoming more colorful, more digital, and faster. It is much easier for the customer to obtain information through a wide variety of channels, whether comparison portals, retail outlets or the companies’ respective contact channels. There is a flood of information available, but it tends to completely overwhelm people. This makes the initial contact all the more important: the contact that has been initialized by the customer himself and that can be used to foster enthusiasm. This is exactly where the door is open for more service and also for the small step towards more customer satisfaction and thus also customer loyalty. Let’s not kid ourselves: Satisfied customers pay our salary, delighted customers buy additional products and contribute significantly to the success of the company. The customer advisor on the front line is the first interface to the end consumer, be it B2C or B2B. What Tip Can You Give Readers for Getting Started? So if you ask me what is necessary, what does a company need to tackle change, my answer is: suffering pressure! Awareness that the world will turn faster and that we will soon be served by server farms instead of real people. But isn’t it exactly these values and the desire of each of us, precisely humanity and individuality, to create solutions instead of “This won’t work …”. This is where we have the two best possible levers: an understanding of values and survival in the future. The market in customer service seems to me to be highly disruptive, the future chances of companies in traditional structures very small. Over the course of 2 years, changes will become apparent, and companies will have to react to them. The customer is demanding more and more, but is also prepared to invest more in it. The digital world is advancing rapidly, the consumer is presented with tailor-­ made offers based on empirical data, which are calculated and presented by artificial intelligence, and this is also taking into account purchase probabilities and well-being factors.

3.4.3 Agile Service Teams I can still remember how the customer service or office staff used to struggle with countless tasks in which the customer as a caller always interfered. Just try to create an offer or an invoice correctly yourself, when you are constantly confronted with other things due to incoming calls, in order to think your way back into the laboriously penetrated calculation

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afterwards. This is exactly how the traditional office staff felt before the introduction of the front office, also known as the service line. In large companies, this was a logical and effective restructuring of customer service. From that moment on, all inquiries were handled by a team whose sole focus was on answering phone calls and e-mail inquiries. The goal was to answer simple customer concerns directly and only forward more complicated inquiries to the so-called back office area. In this way, the specialist department was able to complete offers, documents and the like without interruption, and the customer always reached someone who also lent them an ear. Stupidly, in most companies, the front office was paid less, but controlled and measured much more strictly than all other sales areas. This usually led to high turnover and a justifiably bad reputation for a job description that grew out of what was once a good idea. I myself was employed in service centers as a trainer and coach for many years and have never met so many strong communicators and service-oriented people in any other industry. I found it a shame even in mer how much reputation and pay contrasted with the service provided and the value of the job. Thanks to digitalization, the simple routines are less needed from now on. The former idea of front and back office needs to be reconsidered. In my opinion, service centers are now in the best position to create agile teams with their talented employees. Service liners are not only the first point of contact for customers and therefore know their Pains and Gains, they are also used to working effectively and quickly. Plus, any change in their job description to be more self-organized is a drastic improvement and will excite any customer service representative. Build cross-functional teams around the customer segments from the areas and skills that are relevant to providing comprehensive customer care. Develop expert teams of account managers, subject matter experts, technicians, sales professionals, buyers, production professionals, etc. (see Fig. 3.3). Design a framework within which the teams can make self-organized decisions.

Interdisciplinary product or customer team

INSIDE SERVICE FOREIGN SERVICE

MARKETING

PRODUCTION/ DEVELOPMENT

ONLINE SALES/ E-COMMERCE

Fig. 3.3  Team of experts. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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3.5 Learning from Others Do you also believe in having to develop completely new offerings in order to be innovative? Are you one of those people who imagine inventors and innovators to be highly creative exotics? Of course, there are particularly creative designers who have created unique and actually new things. But in most cases, innovation comes from learning from others. In design thinking, among countless other creativity strategies, there is an exercise called “Analog Worlds.” The strategy consists of looking at very successful companies from completely different fields in order to transfer their recipes for success to one’s own product. Modelling is what NLP’ers (Neuro Linguistic Programming) call this. This coaching direction has always openly advertised that it has crystallized the best methods and thought patterns of the most successful therapists in order to be able to pass them on and teach them. In this way, exceptional talents such as Virginia Satir, Frist Perl or Milton Erikson were, so to speak, disenchanted. Their beliefs and ways of acting were analyzed in small steps and translated into methods and strategies in order to make them available for imitation. Not even their way of building relationships with their clients was stopped at. The founders of neurolinguistic programming Bandler and Grinder (2015) thought all this could be learned by anyone. The strategy for building relationships became famous through the terms “pacing” and “loading”. Now you might be wondering what this has to do with innovation and with your business? A lot, namely with your future design, and it’s meant to take the pressure off you. You don’t have to invent the earth-shatteringly new and unique. If you succeed, that’s wonderful, but if you don’t, then do what most successful innovators do: learn from others by observing and analyzing their best ideas and use them to synthesize or derive your own offerings (see Fig. 3.4). I have transferred the following steps from NLP modelling to companies (see Sects. 3.5.1, 3.5.2 and 3.5.3):

Modelling: Innovation through learning from others

ELIZITATION

UTILIZATION

INSTALLATION

Fig. 3.4  Learning through close observation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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3.5.1 Elizitation: Working Out the Strategy of the Model in Small Steps Pick success models from which you want to learn something. Observe the strategy of thought and action down to the smallest detail. Bandler and Grinder (2015) described two essential factors that determine the successful transferability of successes: • Factor 1: The mindset or in other words the belief and attitude of the model. As described in the lighthouse model (see Sect. 5.2), inner conviction and the associated logic of thought and action is the most important success lever for effective change. If one wants to model successful companies or sales strategies, one has to understand and adopt exactly their conviction and attitude in the learning phase. Only with the appropriate attitude and analogous values, can I also practice and learn the behavior of others. If you want to learn extraordinary performance from others, you have to adopt their mindset. • Factor 2: The concrete behaviour, implementation and communication towards the customers. How does the role model behave on all channels and how is it communicated? How does the sales department deal with orders, returns, inquiries, complaints, etc.? Copy the customer journey step by step. Just like a recipe, the sequences and ingredients are crucial for the result. The best idea will not lead to the same success if the customer service does not deliver what it promises.

3.5.2 Utilisation: Adapting the Strategy to the Product and Culture Only when you have sufficiently understood and learned the mindset and behavior of your role model can you transfer it to your products and adapt it to the corporate culture. Like a cake recipe: Only when you know how the cake you find so delicious is made and have baked it a few times, can you change the recipe in nuances and adapt it piece by piece. Develop appropriate prototypes from the way of thinking and behaving of your learning model and transfer the learnings to sales and service.

3.5.3 Installation: Learning and Adopting the Utilised Strategy The final stage of modeling is the installation of the strategy. Transferred to organizations, this corresponds to the implementation of what has been learned from the analog world of the model. Implementation is iterative, as shown in Fig. 3.5, and thus occurs in repetitive phases and learning loops that converge on the outcome.

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Iterative work

Fig. 3.5  Learning loops. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

3.6 Models: You Can Learn Modern Customer Loyalty from These Companies When we look at sales and service of various companies, we can be inspired by many different success stories. I have made a selection of a few models for you, which in different ways make the customer’s journey through their service or sales special and retain customers for a longer period of time. Here the customer gets obvious added value compared to competitors. All the models described stand out and break completely new ground. This only works with innovative strength, which is either fed by committed self-determined teams or by a high level of identification with the provider and its vision. Every company described does something different from its competitors and is successful as a result. According to the Boston Consulting Group (2017) study, there are six critical factors why agile organizations can be up to five times more successful than traditional companies. 1. The organization adapts agile techniques and embeds agile principles into business management and human resource development. 2. HQ/Administration takes a strategic role, supports operational excellence and shares best practices. 3. Responsibilities are clearly outlined, empower employees and pay into the overall strategy. 4. Flat hierarchies encourage front-line decision-makers. 5. Shared services are used effectively. 6. Leadership and the corporate culture support teams and collaboration.

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3.6.1 Amazon What Makes Amazon Different? Amazon’s expansive retail strategy has been more of a revolution than an evolution. This is a matter of controversy. In many respects, the global market leader is both a role model and a deterrent. In any case, the former book mail order company is an excellent model. Little by little, Amazon has added more products to its range, bought companies and offered customers more and more options. Meanwhile, in addition to a huge assortment, Amazon has a sales platform for other retailers, a successful streaming service, its own products such as Kindle and Echo, and is one of the most valuable companies alongside Apple. The giant has completely changed customer expectations in terms of goodwill, speed and reliability and set completely new standards. What Is the Special Benefit for the Customer? Same-day deliveries? When Amazon asked its customers about this not too long ago, the results were clear. Customers didn’t think they needed this service. Today, that very speed is another competitive advantage. Amazon is doing today what customers won’t need until tomorrow. From payment services to drone deliveries to grocery services, the company is constantly growing into new markets. The convenience, reliability, goodwill, and service orientation keeps customers loyal despite the bad reputation. Recalls work within a few minutes, returns of defective goods far beyond the warranty, and in terms of price-­ performance ratio, the elephant is simply unbeatable. How Do the Sales and Service Teams Work? Amazon received miserable reviews as an employer just a year ago. Poor atmosphere, burnt-out service and logistics teams, lousy leadership. But here, too, the company is changing impressively fast. Within a very short time, the ratings on portals climbed dramatically. Leadership is redefining itself and creating better conditions. If you ask today, there is still too little agility, but Amazon has become a comparatively attractive employer.

3.6.2 Team Bank: EasyCredit What Makes the Team Bench Different? Compared to other credit institutions, Teambank AG, based in Nuremberg, receives very good customer ratings on various portals for its customer-oriented and fair lending through easyCredit. 300 of 900 employees are located in the sales department of the financial service provider, which has been renamed several times and was already founded in 1950. Teambank AG is part of the cooperative financial group.

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What Is the Special Benefit for the Customer? The customer has the option of special payments and early redemption at any time. In addition, the flexible rate adjustment during repayment provides additional flexibility. The fair interest rates are complemented by particularly good and fast service. As a special service easyCredit offers an extra long right of withdrawal of 30 days. The allocation of the credit is within one day paperless and purely online so effective that the customer can already dispose of the sum on the following day. The company has earned its many awards through consistent customer focus. How Do the Sales and Service Teams Work? Teambank is not just called that – it really does work with self-determined teams that are fast and agile. Innovations are highly valued and the good working atmosphere not only earns the company very good ratings on employee portals, but also creates a high level of employee loyalty. Teambank consciously delegates entrepreneurial responsibility and decision-making authority to its employees. Transparent communication is a decisive success factor, and managers see themselves as guides and mentors for the teams. Every employee has the opportunity to get to know other companies worldwide, such as Amazon, Sony and American Express, through a learning journey and thus bring new impulses and ideas into their own area.

3.6.3 OBI DIY Store What Makes OBI Different? OBI offers customers a tool to configure the garden or bathroom. The customer can then discuss and clarify all details and questions personally with the specialist employee in the store. OBI next is the newly established unit of the DIY store with which the sales department aims to become the leading customer-centric cross-channel DIY store. OBI next works in an agile manner with cross-functional, customer-centric teams and aims to get the younger generation on board as customers. Projects instead of products are to be offered in the future, from the planning of the building project to the sale of materials including the procurement of craftsmen. OBI thus offers a good example of the credo: away from pure product sales and towards comprehensive solutions to customer problems. What Is the Special Benefit for the Customer? Customers can already configure and view their garden or new bathroom in detail from the comfort of their own home using an app. In the future, other rooms such as kitchens and living spaces will be added. In the DIY store, the user then receives expert advice from specialists and not only gets the materials delivered to their home if required, but also gets the right tradesmen at the same time. Usually, DIY store visits are an ordeal for Ottonormal consumers like me. Most of the time I can’t find my way around, I can’t judge the products, and finding service is like winning the lottery. In this respect, the new approach of

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OBI next promises an immense improvement in the customer journey for the customer. The customer receives an all-round carefree package for his project. How Do the Sales and Service Teams Work? OBI next works with 160 young savages who develop ideas and optimize customer experiences in an open space concept without paper and desks. Cross-functional and self-­ determined apps are developed and linked to the sales areas of the OBI stores. OBI next is committed to realizing customer dreams, thinking differently and working in an agile manner.

3.6.4 Nike What Makes Nike Different? The American sporting goods manufacturer has been the world market leader since 1989. The giant sells its articles worldwide online and offline, in its own stores as well as via third-party suppliers. The company was founded by a runner and student who wanted to manufacture and distribute running shoes with his Coach in the 1970s. But the manufacturer is not resting on its name and the globally established brand, but is always offering new strategies. Whether it’s through Coach features like the Run Club or new gamification strategies that transfer motivators from the gaming world, Nike is always ahead of the game and is the number one most innovative company for good reason. What Is the Special Benefit for the Customer? With the Nike Run Club, the manufacturer offers a platform for runners with various options. There is a runner community in which the customer can participate. With the associated app, training plans can be created, running distances recorded and evaluated. In addition, a training app offers more than 100 workouts from experts. The Run Club is a very good example of customer loyalty via an attractive coach function. Nike also offers a lot of gamification strategies: If the customer wears the fitness wristband, he receives points through his movement, which offer him new levels in games, the feature “Nike and Baseball” offers the possibility to give feedback on the training via a sensor in the shoe. Customers can also design and label their own shoes online using NikeID. How Do the Sales and Service Teams Work? Nike receives particularly good ratings as an attractive and dynamic employer. Some areas are innovative and work within flat hierarchies. However, the sales and service structures are classic and not very agile. Here, the typical sales processes through number-driven measurement criteria still prevail.

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3.6.5 Thomann What Makes Thomann Different? The family business based in Teppendorf is the largest music store in Europe and now supplies over 11 million customers. With a huge selection, Thomann carries everything a musician’s heart desires. Since 1996, the company has operated an online shop that receives the highest ratings in customer surveys. The sales department focuses on the best service: delivery conditions and returns are regulated in an accommodating manner, customers always receive excellent advice in their native language via telephone or chat. Many employees are musicians themselves and sometimes make YouTube videos about Thomann products. The retailer provides an immense assortment with 80,000 articles and thus solves the procurement problem of almost every musician instantly. What Is the Special Benefit for the Customer? Compared to many other service areas, the music store clearly scores with its technical expertise. Here, the customer is provided with competent contact persons at all times. Thomann offers advice at eye level. As a customer, I have the feeling right from the start that I am being taken by the hand by other music lovers and that I embody a common spirit. How Do the Sales and Service Teams Work? If you look at the evaluations on employee portals, the following picture emerges: Sales works in the classic hierarchy, which is slowly reaching its limits despite a good image. The area has become too large for the former family atmosphere. Many employees have a high identification from the past. The new forces would like to see a more modern management with more transparency and freedom for the teams.

3.6.6 HP Inc. What Makes HP Different? The former Hewlett-Packard Company was renamed HP Inc. in 2015. The company is represented throughout Germany by sales and service units. The largest American PC and printer manufacturer employs 50,000 people. It is a leader in 3D printer manufacturing and conducts research in its labs to keep producing new innovations in the shrinking printer market. What Is the Special Benefit for the Customer? HP Inc. integrates an automatic signal about the filling level of the cartridges into its printers, which in turn trigger an order at the store. The customer thus gets his refill cartridges delivered before he even notices the need. A great service for the user, who never again has to do without urgent printouts because the cartridge suddenly seems to be running low. The manufacturer thus ensures a continuous purchase of consumables and strengthens customer loyalty. The service offers excellent technical support. Just recently, automation jammed my printer. The support actually took almost an hour to reconfigure and set up the

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printer step by step with me. I would have immediately cancelled the automatic cartridge service without this service. Because of the good advice, I dared to give the cartridge service another chance and have been very positively surprised so far. How Do the Sales and Service Teams Work? Except in the labs, the company still seems to have the old pyramid shape. Sales and service in Germany are still very classic and set up in a conventional service center mentality. Customer orientation and expertise are very good in my experience.

3.6.7 BestSecret What Makes BestSecret Different? The online mail order company of designer fashion is a subsidiary of Schustermann & Borenstein GmbH. The German company offers a closed community to which new customers can only gain access by invitation from existing customers. Registered customers are offered discounted designer goods. As a result, online-only sales create a stronger form of customer loyalty and give its members a sense of exclusivity. Additionally, the company offers much lower prices on branded merchandise. Depending on the order volume, the customer receives bronze, silver or gold status and better conditions with increasing status. What Is the Special Benefit for the Customer? BestSecret may offer more than 3000 designer brands, but customers are still given a choice. Every garment is reduced and customers immediately see their savings compared to the traditional price on all products they add to the shopping cart. This gives the impression of being able to save, despite the exclusive brands. The reduced assortment compared to the giants such as Zalando, Amazon or Otto also gives the customer an easier overview and facilitates the selection. Thanks to good digital processes, the customer regularly receives attractive, curated offers. How Do the Sales and Service Teams Work? BestSecret follows an open door policy with flat hierarchies and a high level of innovation. Although the employees work in the classic organizational chart, they always have the opportunity to contribute ideas that are also implemented. Flexible and mobile working hours are part of this. The atmosphere and employee satisfaction is correspondingly good.

3.6.8 PayPal Versus Paydirekt What Makes PayPal Different? PayPal is an online payment service and spun off from the eBay company in 2015. PayPal uses virtual accounts as a service provider for the transfer of purchases. This eliminates the usual booking time via traditional banks and the recipient gets their money credited very quickly. This shortens the delivery time and improves the overall service for the customer.

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What Is the Special Benefit for the Customer? The agilely transformed American financial service provider offers various more convenient and advanced solutions. PayPal scores with a simple solution not only as a direct payment function for Internet purchases of travel, concert tickets or other things. Because the input of mail address and password is sufficient, without the annoying search for the 22-digit IBAN or card number with check digit and expiration date, which no one can remember. Do you want to share a purchase with friends or partners? No problem – PayPal offers one-click bill sharing. No money on you and your friends are paying for dinner? To repay, all you need to do is type in their email address and you can transfer the debt with the click of a button. The German provider paydirekt scores points in comparison with higher data protection because the transactions are processed directly via your bank without third-party providers. But so far paydirekt can neither keep up with the flexibility nor the acceptance of the American provider – neither with the linking of diverse accounts, credit cards or credit balances nor with the multitude of cooperation partners. But PayPal is also facing a major competitor that will make the digital payment process even easier for customers: Apple Pay. Because Apple already owns all of its customers’ data, paying by iPhone will be even easier and faster. No app has to be opened anymore, no data has to be entered. How Do the Sales and Service Teams Work? PayPal works in agile, self-determined teams. The restructuring was driven in 2013 with a so-called “big bang”. The company made a conscious decision to restructure quickly and consistently in order to quickly get out of the frustration and slowness that had developed in the waterfall organization at the time. More than 300 cross-functional teams were created around products, which worked on optimizing the customer journey in powerful sprints within 2 weeks (see Sect. 10.2.10).

3.6.9 Zalando The online fashion retailer from Berlin propagates radical agility. In any case, Zalando manages to stand up to the competition Otto and Amazon. Through consistent digitization, good marketing, and unusual goodwill, Zalando creates stronger customer loyalty and wins an increasing market share in Germany, Austria, and Switzerland. What Is the Special Benefit for the Customer? Zalando scores points not only with its cheeky and modern advertising. The company has relied on consistent digitalization at an early stage. All ordering processes are easy and convenient from any device. A special advantage are the accommodating conditions. Zalando usually offers a 100-day return policy. Invoices also only have to be settled after this long time window. This has brought Zalando on board, especially young customers who otherwise cannot afford fashion purchases. Thanks to the payment method, they order

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anyway and then have 3 months to save up the money. In addition, the retailer offers a coach function with Zalon. The service serves as a free style consultation and sends free style packs for testing after the consultation. How Do the Sales and Service Teams Work? Zalando has proclaimed radical agility in the company. The matrix organization relies on OKRs (Objectives and Key Results) (see Sect. 10.2.3) as self-determined goal control by the teams. Objectives are qualitative goals and key results are measurable goals (see Sect. 10.2). To embody the international character, English is spoken throughout the company. Open doors and flat hierarchies are part of this. Reports from employees nevertheless give the impression that the teams still have very little scope for decision-making and that the all-male management team continues to lead in a top-down manner.

3.7 New Strategies for Customer Retention Customer loyalty used to be different. The customer was loyal and often did not dare to change companies. Just think of the insurance or bank advisor in grandma’s day. The relationship often lasted longer than most marriages. Insurers or bankers still benefit from this with their Ü50 customers. Digital natives only enter a bank to open the account they are obliged to in Germany.

Example

Louis is proud to have signed his first lease. After moving out, he wants to prove to his parents that he can manage well on his own. For the first time, he goes to his bank in person to open a rental deposit account. First, he has to get through the long line of 60- to 70-year-old customers. When he finally arrives at the counter, he is greeted by an annoyed employee. After understanding his request, she disappears headfirst into her drawers to search – in vain – for the appropriate form. Shaking her head, she informs him that she can’t find one. Louis looks at her stunned as she searches for the print template on the PC. After what feels like hours, she pulls a shredded piece of paper out of the printer: paper jam. After more frantic action, she finally brings back a clean printout. Louis hopes to be redeemed at last. But far from it: without his tax ID number, she can’t fill out the form completely. To top it off, she tells him in an annoyed tone that he has to get the landlord’s signature before she can create the account for him. What does this mean for Louis? One: buy envelopes and stamps. Two: Send the letter to the landlord with a cover letter. Three: wait for the form to be returned. Four: In the meantime, find the tax ID number. Fifth: Then go back to the bank to finally create the account. In Louis’ eyes, this is incredibly nonsensical and annoying. What do you think? Will Louis ever voluntarily open a bail bond account again? How will he describe going to the bank to his friends?

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Siggelkow and Terwiesch (2019) from the Mack Institute describe four strategies that will be relevant for customer retention in the future. I have added two more strategies that I consider relevant for retention (see Table 3.2). All of the strategies described are important for customer retention regardless of the distribution channel. Some work better online, others better face-to-face. Responding to Requests Table 3.2  Use of new customer loyalty strategies Customer loyalty strategy Responding to wishes

What does the sales department need? Fulfill orders simply, quickly, efficiently and grant goodwill in the case of returns

Curate offerings Data analysis to provide personalized recommendations

Coach

Understand customer needs, evaluate large volumes of data and derive tips

Automate Observe customers implementation and derive actions from the data obtained

Convey exclusivity

Show appreciation

How does the strategy work? The customer says what he wants and when, and the sales department provides it The sales department offers the customer a tailor-made selection of offers Sales helps the customer achieve the goal by reminding them to behave accordingly Sales observes the behavior and meets the need before the customer is aware of it

How does that benefit customers? Freedom to make decisions without having to give away a lot of data

Suitable for which customers? Well informed customers

Free decision with the feeling of individual advice

Customers who willingly share data but want to make their own decisions Overcome inertia Customers who and have a like to share data personal coach and get tips by your side

The customer gets automatically and without request the need fulfilled

Customers who don’t mind companies getting their personal data and making decisions for them Special offers for Offer particularly Customers feel For customers special target groups attractive deals to special and want who like to a select group of to purchase commit customers attractive offers Customer gets The customer Symbols of For frequent recognition and receives symbols recognition or customers rewards for each order of recognition or status with more or for each gets a better benefits completion of a task status after an appropriate order quantity

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Sales must provide services and products that meet customer requirements. In operational areas, the key competence is fast delivery, flexibility, reliability and precise execution. Buying processes must be simple and convenient. The customer wants to be allowed to make a new decision at any time, and returns should be handled accommodatingly. Unfortunately, this is a major competitive disadvantage for many store suppliers. Very few offer a returns policy comparable to that of online retailers. This is now leading to absurd customer behaviour: More and more people get inspired and test or try on the goods in the store in order to purchase them online afterwards. At least with the same supplier only online? No, in most cases at other retailers. So the chain stores would be well advised to handle their returns in an accommodating and transparent manner. Better to lose a few euros here than to lose the deal altogether.

3.7.1 Curated Offers The authors of the Mack Institute understand curated offers to mean individual assistance even before the purchase decision is made (Siggelkow and Terwiesch 2019). For this, sales needs a personalized recommendation process. The customer receives offers individually tailored to him, but he still makes the final purchase decision himself. This corresponds to the modern customer: He is free and still has the feeling of individual care in the jungle of options and anonymity. Thanks to algorithms, it will become increasingly easy to generate curated offers online as well. Amazon and Zalando, for example, send me individual fashion offers that they generate by evaluating my ordering behavior. In-store, this is and will remain a huge advantage. Good salespeople quickly build a positive relationship with their customers and can offer very individualized offers through good advice.

3.7.2 Being a Coach The first two strategies are best suited when customers have already identified their needs. However, as a sales force, you will only meet a small portion of the customer’s needs with these. For people who need advice or guidance, the first retention strategies are not enough. If a company wants to advise and accompany its customers, it needs a deep understanding of their true needs and also extensive contextual data for analysis. Nike offers customers a virtual running club and reminds them of their next workout with the appropriate plans. A win-win effect: You have a free running coach, and Nike profits from the shoes that you consequently predominantly order there.

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3.7.3 Automated Conversion This strategy goes even further because it no longer requires any involvement from the customer. The customer’s needs are automatically met and implemented even before he becomes aware of them. For this, the sales department needs the competence to observe the customer’s data and to derive actions from it. Since I started using my new HP printer, the system tells me when it’s time for new cartridges and sends them to me automatically. So it never happens to me again before an important training to not be able to print an exercise sheet for the next day because my cartridge is suddenly empty and I would have to wait at least 24 hours for my Amazon order. In the future, there will be refrigerators that automatically recognize which products we consume and how quickly, so that they can be delivered to us as needed.

3.7.4 Conveying Exclusivity As a more advanced step towards customer loyalty in addition to the Mack Institute’s strategies (Siggelkow and Terwiesch 2019), I believe the exclusivity of the offers for the relevant target groups is effective. BestSecret only works by invitation through friends who already use this fashion app. Thus, as a customer, I automatically belong to a – perceived – more intimate circle of users with special offers. For this, the sales department needs products or services that they only want to make available to certain customer groups. The offers must then also stand out accordingly from others and offer one or more additional benefits for customers. Through exclusivity, I as a user automatically have the impression of a scarcity of offers. Scarcity, in turn, is a popular marketing tool to bring about quick purchase decisions. What is scarce, everyone wants to have; the scarcer, the stronger the desire.

3.7.5 Offer Appreciation Reward systems work great because they meet our need for recognition. And they work both through perks, like a rewards program, and through visual or auditory messages. These can be hearts or cheering emoticons. Rewards and appreciation automatically engage us. Offline, in brick-and-mortar stores, recognition is also a key to success. Salespeople who know how to give customers sincere compliments create a lasting buying experience.

References

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References Bandler R, Grinder J (2015) Patterns, Muster der hypnotischen Techniken. Jungfernmann, Paderborn Boston Consulting Group (2017) BCG Studie “Boosting performance through organization Design”. https://www.bcg.com/publications/2017/people-­boosting-­performance-­through-­organization-­ design.aspx. Accessed 05 Apr 2019 Buell R, Shell M (2019) Why anxious customers prefer human customer service. Studie der Harvard Business School. Harv Bus Manag 2019(Juli):30–34 Dixon M (2018) Reinventing customer service. Harv Bus Rev. https://hbr.org/2018/11/reinventing-­ customer-­service. Accessed 14 June 2019 Reinartz W, Hudez K (2019) Attraktiv auf der Fläche. Institut für Handelsforschung (IFH). Harv Bus Manag 2019(Juli):34–40 Siggelkow N, Terwiesch C (2019) Mack institute for innovation management. Harv Bus Manag 2019(Juli):22–29

4

What Hinders Change

Abstract

It is no coincidence that change is a complex undertaking. There are many obstacles that need to be taken into account: from typical thinking errors to classic resistance and justified objections. The better you understand the reasons for the obstacles, the more precisely you can find solutions. In this chapter you will learn about the typical resistances and obstacles as well as how to deal with them professionally.

Why is it that change is so difficult for us humans? Even the plan to brush our teeth on one leg every day, in order to demonstrably strengthen our back muscles, throws most of us into difficulties. Full of optimism, we start “one-leg brushing” on the first day, only to forget it by the third day at the latest and after 2 weeks no longer feel like trying at all. Most people don’t even make any plans for New Year’s Eve, because they could basically copy the same list as in previous years: lose five kilos, drink less alcohol, do more sport, do a mindfulness exercise every day, and so on. And what about in companies? How much will to change is good and what are the typical stumbling blocks?

4.1 The Six Errors of Reasoning Do you know the proverb: “The head is round so that thinking can change direction”? (Cf. Picabia 1995) This is exactly what we have great difficulty with in situations with multiple variables: Changing the direction of thought, taking new paths, and making unfamiliar decisions. Nature has wisely engineered this, because for everyday problems our thinking errors, such as reducing ourselves to feasible and known solution strategies, are often existentially necessary and vital. © The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_4

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When crossing a street, for example, to get from location A to location B, the reduction to known solutions makes perfect sense. If we were to integrate the unpredictable, such as sudden stumbles, into our actions when crossing, or even consider the possible moods and hidden intentions of drivers, we would probably never arrive at location B. In complex situations such as shaping the future, it is precisely these life-saving errors in thinking that present us with many a challenge. Digitalization and the necessary agile culture change that comes with it correspond to a complexity that plays many a trick on our thinking. So what does this mean for our forward-thinking sales strategy? How do we make ourselves aware of our limitations and protect ourselves from drawing the wrong conclusions? The key is awareness through reflection and slowing down our thinking (see Kahneman 2012). Question your impulses for action and decisions when it comes to shaping the future. Learn a new way of thinking through consistent reflection and engagement of different types of thinking, such as the convergent and divergent thinkers. Use different types of decision-making, such as the tetralemma or consensus (see Sect. 7.5), where the decision remains variable through a veto. But the first and most important step is and remains the awareness of one’s own limitation of thinking.

4.1.1 The Linear Fallacy Planning ahead in a disruptive environment? To be honest, this is not something we are born with. Quite the opposite: we are subject to the thinking error of linearity, so to speak. In the case of variables that have their own inherent dynamics, such as the development of user behavior among digital natives, our linear thinking prevents us from making accurate forecasts. We have the illusion that we can predict the future by adding up previous developments and extrapolate linearly instead of exponentially. “There is no such thing as a linear firm, there is only linear thinking in firms” (Gatterer 2017). This is the thinking error of classical planning thinking. If you are aware of this, then you can remedy the situation by consulting appropriate programs or mathematical and statistical expertise. Above all, network with other areas that have to solve similar issues and weigh up different forecasts.

Example

Do you know the old metaphor of the chessboard? Long ago in India, the game of chess was developed by the inventor Zeta. The Indian Emperor Sheram was eager to reward Zeta, as he had found great pleasure in this game. Zeta then acted very humbly and expressed his wish as follows: “My emperor and master: Give me one grain of rice for the first square of the chess-board, two grains for the second square, four for the third, and for every other square twice as many grains as for the preceding.” The emperor was astonished at this modest reward and immediately agreed. In fact calculated Sheram had to hand over to the inventor Zeta the rice harvest of the whole world, for the next 800 years. (Ifrah 1986).

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I have been talking to students from artificial intelligence research. They assured me that – transferred to the chessboard metaphor – we are on about the 16th square. We can’t imagine the next doubling and the exponential development and change that comes with it. The biggest problem with this is not the fact of linear thinking per se. Had the Emperor been aware of his limitation, he would have had his scholars work out how much rice Zeta actually demanded of him. The devastating thing is our intemperate overestimation of our ability to think and imagine. Approaches/Countermeasures If we accept our limitation in thinking, we can consult human or artificial intelligence to calculate appropriate probabilities and impacts. Check and validate estimates and hasty guesses. Switch to slow thinking for far-reaching decisions as described in Sect. 4.1.6. Distrust your own imagination and use mathematical expertise. Algorithms and artificial intelligence are the right advisors for exponential and complex forecasts. When all the validated and correct data is in place, our human, strategic and emotional intelligence comes into play and we can use it to make decisions. But again, no longer is one decision maker alone, as neither a Sun King nor a CEO or Board of Directors is capable of making viable complex decisions as in the old monarchy. Mature teams with different perspectives and ways of thinking weigh up and use the situationally adequate decision variant.

4.1.2 Incorrect Centre of Gravity or Repair Service Behaviour Another error in thinking is the wrong focus. If we do not recognize or understand the structure of a system, then we cannot identify the critical variables and distinguish the important from the unimportant. As a result, we engage in typical repair service behavior. Like a second-rate repair service we hire to fix our broken washing machine, we patch the obvious error messages instead of fixing the weak water pressure in the house. So we patch up the most urgent and noticeable problems instead of taking care of the most important ones.

Example

The office staff of the software distributor Xera can no longer cope with the flood of e-mails. Despite the usual lull due to the summer holidays, the five employees suddenly have 800 e-mails in their inboxes every day, of which around 500 messages remain unanswered when they log off again in the evening after a hectic working day. This not only creates frustration among employees, but also among customers. The internal sales manager sends a generated reply to all customers pointing out the current delay in processing and asks other sales areas for personnel support. Only after seven frustrating working days does a clever colleague from the development department come up with the solution: due to an error in the online shop, customers are no longer able to order two product groups online and thus opt for inquiries by mail or telephone. As soon as the error is fixed, the mails go straight back to normal.

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Approaches/Countermeasures How could the office staff have come up with the simple solution more quickly? When we know, the solution seems so obvious that we can hardly explain the problem behavior. Most of the time, it’s enough to think outside the box and ask the right questions. In retrospectives, for example, there is the 5-WHY question technique. Here, an obstacle is questioned with the phrase “Why is that so?” The answer is then questioned again with “Why?”. Thus one bores oneself proverbially into the depth and questions the usual superficial reasons. After the third “why” at the latest, this technique leads to completely new ways of looking at things and new reasons. Another very effective antidote to incorrect focus is the 50 questions from design thinking. To understand a problem, you ask 50 questions about the problem without giving the answers. Purely through the questions, you grasp the topic in a completely different complexity.

4.1.3 Non-observance of the Remote and Secondary Effects Plans or, even worse, long-term plans, are the most common cause of fatal mistakes. Catastrophic developments occur if we do not take into account the remote and side effects. In interconnected systems, actions very rarely have only one effect. Accordingly, when planning the steps required to achieve the desired goal, we should always try to keep in mind their side effects and the long-distance effects that will only become apparent later, otherwise we may end up having done more harm than good (Straub 2014). A famous example is nuclear energy. The storage of fuel rods and all the radioactively contaminated components of a nuclear power plant has been criminally disregarded, with immense consequences for our planet indefinitely. However, this does not only apply to nuclear energy, but quite comprehensively encompasses the disregard for the long-distance and side effects of our actions on our entire environment. The fatal consequences of the extinction of many animal species up to climate change are obvious.

Example

An insurance company decided to create smaller and more nimble teams. Three separate teams were formed from the former 20 employees of one team, which were given different core tasks. The management hoped for better consultation within the teams and more self-organisation than seemed feasible in the 20-strong team. After 6 months, frequent customer complaints revealed a problem that management had not anticipated: customer inquiries were only partially handled, decisions made by the sub-teams were rarely passed on to the other teams, and during breaks the three teams sat at different tables in the cafeteria. Nobody had considered the side effect of coherence – the teams only felt committed to their areas of responsibility; a sense of “we” developed in the three groups. The others no longer belonged.

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Approaches/Countermeasures Changes in a system have multiple effects – inside and outside the system. Always plan changes according to a short-cycle process such as the Demming cycle: Plan – Do – Check – Act. • Plan: Plan the first important steps of a change together with the team. In the case described above, the 20 employees would have planned together how to divide the team into smaller more nimble units. Presumably, they would have considered how to maintain communication among themselves and coordination among the sub-teams at the same time. • Do: Consistently implement the planned steps in the first iteration. The implementation phase usually lasts 2–4 weeks. During the implementation, the team exchanges brief and structured ideas on a daily basis. In our case, the three teams would have exchanged ideas daily, revealing the interface issues. • Check: After 2–4 weeks, progress and results are reviewed and evaluated. In the process, the customer’s view is integrated. During the check, the insurance company would have noticed that customer emails are no longer allocated and forwarded promptly. • Act: A summary is drawn in order to find optimizations in the collaboration and implement them in the next iteration. At this point, at the latest, the team would have reflected on the interactions among themselves and planned a better exchange.

4.1.4 Central Reduction, Encapsulation Central reduction means the denial of the interconnectedness of the reality domain. Constructive engagement with a variety of elements of the reality domain is abandoned and instead a central cause is built up as the scapegoat for all problems. Thus, a subjective conviction of the correctness of the assumptions made is created (Straub 2014). The immigration policy of leading politicians becomes the scapegoat for unemployment, financial worries or housing shortages. Immigrants are being made the scapegoat, so to speak, of social and global contexts. Thus, some citizens see a solution to their problems in closing the borders. In companies, teams like to scapegoat other teams: the internal sales force is often convinced that it is being given unnecessary tasks by the external sales force, and the external sales force sees the internal sales force as a brake on the success of its sales. Instead of fostering constructive cooperation and putting their own house in order, the teams like to complain about the others.

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Example

In a team development seminar, the team complained about a long-term sick person. As a result, the seven-member team was missing a consultant and could no longer achieve its goals. During the workshop, it became obvious how much energy the team was putting into compensating for the missing staff. Trainees were used who had to be trained again and again by the other consultants; the branch manager, on the other hand, took on more consulting tasks instead of leadership tasks, which did more harm than good to the team dynamic. During the workshop, the relevant issue became more and more obvious: the problem orientation of the team, including the manager, to framework conditions that were not in the team’s field of action. The entire team had gotten into the habit of filling breaks and meetings with complaints and whining about illnesses, personnel policy and customers. While this created great unity among themselves, it blocked any vision and solutions. Once this was recognized and understood, the team was able to develop good strategies to rebuild with the reduced team. Just a month later, the team was effortlessly achieving their goals due to the energy that had been freed up and were enjoying the good teamwork.

Approaches/Countermeasures Again and again I am impressed by the simplicity and effectiveness of the framework/ playing field analysis, especially when it comes to the eternal lamenting about circumstances or decisions outside one’s own competence. Even though it is well known that common enemy images and complaints at first glance strengthen togetherness or distract from one’s own shortcomings and thus bring a short-term gain, they are much more of a burden than a benefit. In order to strengthen a team or individuals in their ability to act and to draw attention to effective factors, I like to use the following small exercise. Instructions Use as a metaphor a frame and the pitch inside: “We imagine that our team has frameworks, similar to a pitch. The outer frame, the perimeter around the pitch, is fixed. We can’t change that. We can only create the most effective and successful interaction possible within that framework. What are the fixed frameworks we have as a team?” In doing so, I draw a frame on flipchart and label the four sides of this frame together with the team. Which framework conditions are unchangeable or not within the team’s decisionmaking field: hierarchies, performance targets, systems, processes and personnel, etc.? Afterwards, I suggest discussing together topics and solutions that are in the team’s own playing field.

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4.1.5 Vague Objectives, Conflicting Objectives Vague goals are very popular, especially with so-called soft targets, but cause a lack of or poor direction in our thinking and actions. “We would have to take more time to think innovatively and make room for new ideas.” Or, “We should give ourselves more feedback.” How highly do you value the implementation of such non-specific plans? Correct. The probability of implementation is almost zero percent. Conflicting goals are almost commonplace in sales. Every company has contradictory intentions: Quality and quantity, exploitation and exploration, change and preservation. I have already described the so-called ambidextry in Sect. 2.3. This results in contradictory targets for the sales teams. We have to learn to deal with this. In other words, this is one of the crucial and most important skills for shaping the future. Avoidance is not an option, rather it is about balancing and integrating the contradictions well. “Both and” rather than “either or.” The solution is communication, building bridges between requirements.

Example

A retail bank wants to involve its employees in innovative projects. To this end, six initiative teams are being formed to use design thinking to develop new ideas for improving advice and customer service. They are given 20 percent of their working time off for this agile project work in teams. The response has been impressively good, and the project teams are already fully booked with volunteers on the day of the launch. Despite this, the innovation projects petered out. The reason lay in conflicting goals: Namely, the executive board increased the targets in the store teams almost simultaneously. Since 80 percent of the project team members come from the branches, the agile projects wither after a short time. No branch employee dares to abandon his colleagues on site with the high targets in order to devote himself to new ideas.

Approaches/Countermeasures Of course, the classic goal criteria such as SMART: S  =  Specific; M  =  Measurable; A  =  Attractive; R  =  Realistic and T  =  Scheduled; or STRENGTH: K  =  Concrete; R  =  Realizable; A  =  Attractive; F  =  Capable; T  =  Scheduled help as an antidote. For example, instead of “we need to give ourselves more feedback,” the goal would be, “We will reflect on the past week together every four weeks on Friday afternoons from 3 to 4 p.m. in the coming quarter and give ourselves strength-based feedback. On the last Friday of the next quarter, from 3 to 4:30 p.m., we will reflect on the effectiveness of this measure and discuss resulting actions. We will take turns facilitating, with the team leader doing the initial facilitation, and at the end of each hour, we will determine the facilitator for the following meeting.”

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In agile teams, OKRs, Objectives and Key Results, are meaningful and effective (see Sect. 10.2.3). In the case of contradictory targets, the only way to help is to ask the management. In the case described above, the board acted very quickly. The innovative projects were so important and relevant for the bank that all branches whose employees participated in them received corresponding plus points for their target achievement. As soon as they were announced, the innovation projects could hardly save themselves from the influx from the branches, and the team sizes had to be limited. In teams, increased communication and constant balancing of the different currents and goals are necessary. Meetings in which the essential topics are discussed and joint alignments take place are becoming increasingly important.

4.1.6 False Hypotheses We always and constantly form hypotheses, or in other words: we cannot not interpret. Hypotheses can be helpful, but only if we question them. A hypothesis is an assumed cause-effect relationship. All too often, such assumptions lead to the filtering of our perceptions. We confirm our hypotheses, so to speak, by sifting information accordingly. Assumed cause-effect relationships must be consistently questioned or they lead to fatal misinterpretations. In communication seminars, I used to like to do the following exercise to clarify: I had a volunteer describe it to the other participants. I wrote down the words or sentences on the flipchart. Then there were statements like: sympathetic, friendly, extroverted, courageous, open, tall etc. Very rarely a pure observation was mentioned like: Wears a watch on his right wrist. The summary was almost identical each time: 99 percent of the descriptions were interpretations and hypotheses about the person. The participants thus realized very vividly how quickly we interpret and make assumptions about each other.

Example

Mr. Alt has been working for the customer Volkswagen in the field for 30 years. He turned 50 last year and is both feared and appreciated by his colleagues. This is due to his direct manner. When the customer changes its supplier, the company no longer has any tasks for Mr. Alt. Only the new core team, which is to develop new products using agile methods, is still looking for additions from the sales department. His colleagues agree: Mr. Alt will never fit in, he is far too inflexible, straight-lined and entrenched to get involved in new ways of working and thinking. Far from it! After only a short time, Mr. Alt turns out to be an ingenious product owner for the new intranet, he understands how to define the requirements with the internal customers and how to lead the agile team laterally into the reviews and planning.

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Approaches/Countermeasures You probably still know the approach from German lessons: for every thesis, set up an antithesis. I encountered a similar approach during my further training as a mediator. As soon as I became biased and developed more understanding for one conflict partner than for the other, I was asked to do the following exercise: I sat back a bit spatially in order to get more distance to the clients in the truest sense, and gathered sympathy and understanding for the other party until I myself was all-impartial again. No human being can be impartial. We form opinions all the time, but we can practice being all-partisan and striving for a professional balance. In Table 4.1 I have described some typical thinking errors in connection with complexity. There is a solution to each thinking error. Because thinking errors cannot be avoided in principle, quite the opposite: We are well advised to recognize them and to accept our limitations in thinking. Then we can counteract with relatively simple solutions by factoring in the causes of errors. Looking closer, many agile methodologies work on exactly this principle. Through iteration, repetition, reflection loops, and divergent teams, they help us reduce the typical errors and flexibly align our actions in complex contexts. Table 4.1  Typical action and decision errors in a complex environment Features of the distribution of the future Variety of influencing factors: Large number of variables that are equally important and worthy of attention. The variables in sales of the future are, for example, digitalization and the development of artificial intelligence, new global trade and distribution channels, the changing customer behavior of digital natives etc. depending on the company, sales is in an innovative to a disruptive market

Resulting errors of reasoning Incorrect focus: This multiplicity of factors often leads to errors in focus when making decisions. Which topic do we tackle first? Typically, the urgent rather than the important topics are chosen. For example, a new operating system is seen as the focal point instead of changing the relevant decision-making processes and competencies in sales Repair service behavior: An unclear target strategy leads to “haphazard patching here and there”. This leads to many mistakes

Approaches Decision matrix: Depending on the complexity of the decision, different types of decision-making are chosen. The more complex, the more consensus or consultative decision-making is needed, and in the case of dilemmas, the tetralemma When stuck on issues that are not within the scope of action of those involved, the framework/ playing field analysis is a good and simple way to focus on agency Develop a balanced, short-cycle target strategy that is consistently followed and continuously adapted (continued)

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Table 4.1 (continued) Features of the distribution of the future Interconnectedness: The variables of a situation influence each other reciprocally, global distribution channels influence the customer demand and at the same time the offer and price calculation

Resulting errors of reasoning Disregard of secondary and remote effects: The change of a component entails many uncalculated consequences. For example, what impact does the introduction of an app have on customer communication? Dynamics: Linear fallacy: The momentum of systems Forecasts are thought of leads to the need for linearly instead of forecasting. Hypotheses are exponentially. The user formed and forecasts are behavior of the future due to developed based on them, for generational change is example the user behavior of extrapolated linearly instead digital natives of exponentially. This leads to incorrect forecasts and consequently to the wrong course being set in sales Opacity: Central reduction: The situation is not transparent. A scapegoat, a central issue The development of the is defined as the cause for automotive industry, for the situation: For example, example, is not predictable. the manipulation of the car The effects on the German manufacturers as the cause economy are therefore also not of the overall problem and as transparent the topic of future mobility Encapsulation: You get stuck on small, manageable elements that you think you can solve, but you lose sight of the big picture. Just like in the fog: You move forward in small steps instead of checking whether the direction is still right

Approaches PDCA cycle: Use the PDCA cycle that underlies all frameworks; plan-do-check-act, to make developments incremental and iterative with user involvement

Artificial intelligence/ mathematical expertise: Use appropriate programs/ artificial intelligence and mathematical expertise and network to validate your sales forecasts before making far-reaching decisions

Reflection, questioning techniques: Encourage lateral thinking, thinking against the grain and the usual patterns, and taking time for slow thinking, reflection on initial thoughts, questioning hypotheses … The “5 WHY”-questions, each answer to the “why?”-question is in turn questioned five times with “why?” and thus illuminated more and more deeply, are suitable, for example, to question superficial causes Or think of 50 questions about an obscure situation to grasp the complexity before coming up with answers (continued)

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Table 4.1 (continued) Features of the distribution of the future Openness of the target situation: Due to the unclear situation, goals cannot be defined concretely, which makes goal-oriented action difficult. How does the sales department define innovations? How many innovations are actually developed and tested in what period of time?

Resulting errors of reasoning Vague, contradictory goals: Due to vague goals, actions cannot be aligned or assessed. This often leads to diminished effort and a lack of commitment: Sales, for example, then cares too little about innovation. When goals remain unclear, conflicting goals such as quantity versus quality are also not recognized Novelty: False hypotheses: Because the situation has never New situations are often existed before, there is no compared with old experience to fall back on. experiences, which can lead What influence will an agile to false hypotheses. core team have on the existing Example: Our teams do not teams? want to take responsibility. This leads to looking at the problems in a hypothesis-­ confirming way

Approaches OKRs: So-called OKRs, objectives and key results are suitable for innovative goals and so-called soft factors. Qualitative goals are linked with quantitative measurement criteria and reviewed and adjusted in short cycles. Contradictory goals must be balanced: For example, reducing quantity in order to increase quality Retrospectives: Introduce close retrospectives in a new situation in order to reflect together with those involved and outsiders on the influencing factors and effects of the new action

4.2 The Four Resistors A few words beforehand: Similar to the thinking error, resistance is also part of every change. Or to put it another way: Be happy about resistance! Without it, there is no real change. Rather, be alarmed when everything goes off without a hitch. As already described in the book The Agile Culture Change, resistance is an important messenger in change processes and shows you the direction of the required development (Hofert and Thonet 2019).

Example

I remember very well a time when I was prescribed a personal fitness trainer on prescription because of severe neck problems. I worked out with him at least once a week. Every workout I cursed him, at least internally, and vowed never to go there again; he challenged me beyond my limits every time. Despite the massive resistance and discussions with him, I stuck with it and noticed weekly progress in my cervical spine. After 6 months of training, I was not only pain free, but overall in great shape and training.

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All genuine development is accompanied by resistance. The way in which resistance is dealt with and the mix of support and challenge determine whether it leads to failure or growth. In my practice as a team developer over the years I have mainly experienced the following four types of resistance and lowered them accordingly. How to deal with them differs depending on the cause and message. So first decipher the causes and then derive appropriate actions.

4.2.1 Dysfunctional Resistance When dysfunctions in a team get out of hand and performance and functionality are impaired as a result, we speak of dysfunctions. The team suffers from various illnesses, so to speak, which weaken it. Dysfunctional teams are so preoccupied with their dysfunctions that they have little energy available for change. The dysfunctions take precedence, as Ruth Cohn so aptly put it, they magnetically attract the attention of those involved (Cohn 2018). Patrick Lencioni (2004) describes five typical dysfunctions of teams: 1. have no trust 2. avoid conflicts 3. lack of commitment 4. assume no responsibility 5. Disregard objectives and results Every team has one dysfunction or another. This is quite natural and even beneficial in cooperation, provided that there is a constructive discussion about it as well as joint further development. However, if the dysfunctions are disregarded and exceed a healthy level, then the entire team performance suffers. Regular retrospectives protect teams from dysfunctional breakdowns. As a team, take the time now and then to talk about disruptions and reach good agreements with each other. Agile teams thrive on differences and make use of them, but heterogeneity must not become too great in the process. Most people strive for coherence and some degree of homogeneity. As illustrated in Fig. 4.1, a good mix is crucial for performance and accordingly also for the willingness to change. With dysfunctional teams it is like with a sick organism: first it has to get healthy again before it is ready for new performances and developments. Analyze the dysfunctions with the team and find ways to functionality together.

4.2.2 Resistance of Interests When the interests and needs of individuals or a number of individuals are no longer met in a change, resistance arises. Companies are communities of purpose, and employees are only motivated and committed as long as their basic interests and needs can be fulfilled

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Heterogeneity and performance in teams Performance

He terogen ity/divergence

Fig. 4.1  The right amount of heterogeneity. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

within the work situation. If, for example, tasks or framework conditions deteriorate as a result of the changes, resistance is pre-programmed. Classic salespeople are used to cultivating their own customer contacts. They lived long and well on referral management and a loyal customer base. If sales wants to become more agile and thus work in a more team-oriented way, this will probably contradict the interests of one or the other internal and external sales force and create resistance. Example

In order to ensure better accessibility for customers, Kunzmann’s office service is restructured. The one-to-one customer relationship is abolished, all customers with so-called standard processes are distributed across the whole team. The resistance in the team is immense. In some cases, the employees had been cultivating customer relationships for over 10 years, during which very strong bonds had developed with customers. These familiar conversations and processes were an important factor in satisfaction for most of the otherwise low-paid office staff. After the changeover, not only were the familiar conversations missing, but there were many complaints from customers because they were deprived of a fixed contact person.

In the case of resistance to interests, only one thing helps: Discuss the needs and look for solutions together. In the example given, one of the internal sales employees moved to the key account team. There, the company decided to continue the one-to-one relationship

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because key accounts require individual, unique processes and procedures. Other employees got used to the change after half a year and even enjoyed the different contacts and the resulting variety of discussion partners and concerns.

4.2.3 Overload Resistance Do you know sales teams that are underchallenged or even bored? To be honest, I used to encounter this bore-out phenomenon from time to time during my sales coaching or team development sessions. For many years now, I have increasingly been confronted with the opposite: Teams that are working at the edge of their capacity and have the feeling that they will never be finished. They leave the workplace with 50 unanswered emails and 20 unreturned calls, not to mention the active customer approaches that fall behind every week. Hand on heart: how excited would you, dear reader, be to help shape change, challenge your work routines and integrate new things in a situation like this? More likely, you’d be cursing the inopportune timing and wondering how you’re going to manage it.

Example

The Kunzmann company decided to train a number of internal sales staff with strong sales skills and good communication skills to become internal coaches. Their task was to introduce uniform quality standards with regard to service and customer orientation and to increase the efficiency of the work processes. In addition, they were to assist their colleagues in implementing the many upcoming changes. On the third training module, I suddenly encountered a completely demotivated and frustrated training group. What had happened? In response to my inquiry, a two-hour order clarification and demarcation debate ensued. The manager had delegated tasks to the prospective coaches that completely overwhelmed them and led to massive role conflicts. The resistance was existentially important for the renewed clarification of the assignment and subsequently led to a better understanding as well as to greater autonomy of the coaching team.

Overstrain resistance is a cry for help and support. Only small steps with lots of encouragement and quick successes help here. The stressors must be uncovered, clarified and eliminated before the readiness for the next change or development grows again.

4.2.4 Objection Resistance As described in Table 4.2, there are questions behind objections. Objections are questions that have been missed! Every salesperson has learned in various sales training courses and

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Table 4.2  The questions behind objections Typical objections in sales teams “That’s not what our customers want.” “We don’t have time for that.” “It won’t do us any good.” “That doesn’t work for us.” “Something like that failed last time.” “We’re not developers after all.” “It’s not a good fit for us.” “We’re already doing all that.” “That’s not new.” “We’re too old and entrenched for that.”

Underlying question Which customer requirements and needs does it meet? How should we prioritize the other activities? What is the benefit for us? What are the meaning and benefits for the company, for sales, for the team and for each individual? How do we review achievements and adapt ways of working to our needs? What is different this time and what has been improved compared to last time? How do we learn the technologies necessary for this? How do we become empowered? How do we make the transfer to our way of working and our skills? What exactly is changing and for what purpose? Moreover, in this objection is the need for recognition for what has been achieved so far What is it about the new terms and ways of working that are actually different and more effective than before? What happens to our habits and our knowledge? How can we develop adequately in the process?

at best internalized: Objections are also expressions of interest by the customer. Our counterpart gives us the chance to explain the benefit of the product in more detail. This is basically how it is with objection resistance. Behind this type of resistance is the important question of the benefit or purpose of the change. Listen carefully to objections, identify the question behind the objection. Answer it in a benefit-oriented way or, even better, help the questioner to find an answer himself: The worm must taste good to the fish, not to the angler. Why should a team change its way of working and venture into uncertain waters of experimentation? What is the benefit for the company, the sales department, the customer and each individual employee? Only if you find answers to these legitimate and important questions that are appropriate for the target group will teams be willing to leave their shallow and safe waters and enter the uncertain field of the learning zone.

4.3 The Competition Syndrome Salespeople are wired to compete and compete. This is how they have been selected, trained and conditioned for decades. Popular slogans of sales trainers and “chakka” gurus were: “The customer has already said no” or “Selling without closing is like a day without a sunset”. I know many sales departments that are formally designated as a team, but

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informally are in constant competition with each other, trying to outsell each other. Not only does this fatally withhold important information from the others, but talent and experience are kept to themselves and secret in order to gain competitive advantage. New approaches such as “Working Out Loud” (WOL) or “real teamwork” are for many sales warhorses as far away from their reality as another solar system. In field sales teams or in the offices of banks and insurance companies, closing lists are popular, in which only the strongest sales are awarded and held up to the team colleagues as role models. Closings are counted by number of units and closing amount. In the past, and unfortunately still in the present, this has led to absurd advice from many salespeople, where customers were sold two annuity policies, for example, with the corresponding fees and disadvantages, because this doubled the number of units and ranking. Customer centricity and fair advice are light years away from this. In this respect, key performance indicators (KPIs) and number-driven sales units where lone wolfism is encouraged should be, or at least become, old news. Introduce OKRs and use KPIs only to encourage and measure team performance. Proclaiming teamwork and measuring individual performance is a fatal contradiction that poisons any team culture and thwarts shared responsibility in the interest of the customer.

4.4 Association and Collaboration Many sales areas behave like islanders who are proud of their area and express themselves partly amused, partly annoyed about the others. The phenomenon is not limited to sales, however, but can be observed across the corporate landscape. The more the islands and their inhabitants differ from each other, the stronger the demarcation. Vera Birkenbihl (2015) told a wonderful metaphor about this in a lecture, in which she compares each person to an island that has its own history. Oddly enough, if the islands are very similar, they find each other particularly likeable and interesting. They agree very easily and love this consensus. The more different the islands appear, the more separative their behavior. There are three typical behaviors: 1. They stay out of each other’s way and avoid each other. 2. They try to convince each other how much more right their own world is. 3. They argue and have conflicts. Vera Birkenbihl pleads in her story for a new variant: The “Zweinigung” lets everyone be as they want to be and accepts the otherness. One visits the other island and uses the different view as a complement and extension. For sales, this kind of “unification” and collaboration with marketing and production is particularly crucial. Too much unification is counterproductive, because it is precisely the different perspectives that are valuable for a customer-oriented solution. Ideally, the three areas form interdisciplinary teams to continuously exchange the products offered (production) with the wishes and requirements of the customers (sales) and the leads from the marketing campaigns and to derive joint learnings and strategies. Also from the customer’s

4.5  How to Remove the Obstacles

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Agile and cross-functional customer service team

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Fig. 4.2  Interdisciplinary teams around the customer. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

point of view it is more than annoying when the sales department calls to make an offer and is not informed which mail campaigns have just been sent from marketing. What does the customer think about that? That’s right: one hand doesn’t know what the other is doing. This is no way to promote trust and certainly no willingness to buy. Form teams from the relevant areas such as office and field sales, marketing, online or e-business, production or development as shown in Fig. 4.2. Let interdisciplinary teams work together to optimize the customer journey and create the best experiences for the customer.

4.5 How to Remove the Obstacles Neither our thinking errors nor typical resistances can be avoided. They are part of every change and complex situation, like a piece of luggage or a loyal companion. Once we are aware of this, we can make these companions work for us. Because the unconscious mistakes, where we believe we are acting in the right, cause the greatest damage.

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Many people find it extremely difficult to acknowledge limitations. We prefer to seek confirmation and arguments for our thinking and the resulting logic, rather than constantly questioning ourselves. Or we manipulate our environment until it confirms our assumptions. It takes a lot of wisdom and humility to make the famous statement “I know I know nothing”. The effects of thinking errors are immense, both for our environment and in our interactions, ecologically and economically. We cannot prevent them, as has already been shown, but we can decide how to deal with them. Like constant companions, we can look at them and question them. A higher level of reflection, slow thinking, sharing with networks and constant validation are very good protective factors. Establish appropriate routines, continuously create space for retrospectives, question and validate every decision and plan. Adapt every plan in short cycles to changing conditions and consider the side and long-distance effects of every action. We cannot change the world, but we can influence our immediate environment and raise our awareness. The topic of resistance or resistance management is a bestseller, so to speak, in my trainings. Most coaches or leaders are afraid of resistance and would like to do almost anything to avoid it. I usually start with reframing, or reinterpreting, “Without resistance, there is no sustainable change.” In other words, “Resistance is a very natural part of any change.” Because it’s when we suppress or ignore resistance that it becomes destructive and disruptive. The clusters described above can help to more quickly decode the actual messages to harness resistance and deal with it proactively. Then, in my experience, they usually dissolve or indicate an important issue that wants to be resolved before full readiness and power are available for the next steps of change.

Important Keys to Remove Obstacles

• Validate guesses and assumptions: We cannot think in complex ways, but we have the necessary support of mathematical and artificial intelligence at our disposal. Validate plans and estimates and use the expertise of others. Work in cross-­ functional teams with different types of thinking. • Plan iteratively: Always plan short-cycle and adjust consistently. Work iteratively with consistent review of partial results. • Develop a higher level of reflection: Make your own reflectiveness the goal of your self-development. Get feedback and work on your blind spots. Encourage reflection through retrospectives in every work context. • Understand resistance as a key: fathom resistance to understand the coded message. Go with the resistance and not against it. Like Tai Chi, use force as a counter to redirect it for change. • Start with the why and keep recharging it: The why is the key intrinsic motivator. What does the change bring to sales, the team, the customer and each individual employee? What is the emotional benefit? How urgent is the change? • Visions as orientation: Where should we go? What kind of top cross-country team will we individual sprinters become? What does the future look and feel like?

References

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References Birkenbihl VF (2015) Video “Birkenbiehl Inselkonzept” vom 23.07.2015. https://www.youtube. com/watch?v=UD_APAWafXY. Accessed 14 July 2019 Cohn R (2018) Von der Psychoanalyse zur themenzentrierten Interaktion. Von der Behandlung einzelner zu einer Pädagogik für alle. Klett Cotta, Stuttgart Gatterer H (2017) Vortrag auf dem Strategie Austria symposium 2017 – keynote 2 Harry Gatterer, 27.10.2017. https://youtu.be/Qt2ZKjH-­EWk. Accessed 14 July 2019 Hofert S, Thonet C (2019) Der agile Kulturwandel. Springer Gabler, Wiesbaden Ifrah G (1986) Universalgeschichte der Zahlen. Campus, Frankfurt am Main/New York Kahneman D (2012) Schnelles Denken, langsames Denken. Siedler, München Lencioni P (2004) The five Dysfunktions of a team. Jossey Bass, Hoboken Picabia F (1995) Unser Kopf ist rund, damit das Denken die Richtung wechseln kann. Edition Nautilus, Hamburg Straub H (2014) Störungen und Fehler beim Denken und Problemlösen. https://www.psychologie. uni-­heidelberg.de/ae/allg/enzykl_denken/Enz_09_Schaub.pdf. Accessed 14 Mar 2019

5

Agile Culture Change in Sales

Abstract

Without changing the culture, methods and structures will not have the desired effect. In this chapter, you will learn to realign your culture using the lighthouse model. Building on this, you can use the Canvas to develop a modern sales strategy and implement the agile principles. The horizons framework and the altitudes will give you the right orientation.

Culture is hard to define and grasp, but we experience the differences immediately. Culture is like a stamp. It cannot simply be re-stamped, but it can be further developed. If generations can continue to develop despite the deep imprint of their parents’ generation, this is even more possible in corporate culture. But to do this, we as managers or consultants must first grasp the culture in order to understand the levers of change. How do we recognize and grasp a culture in the first place? Usually not by the formulated mission statements or values that management has developed in workshops and that now adorn walls or websites. How then? So we recognize the culture of a country not only by its language, but by its interactions: the buildings, the roads, the vehicles, etc. It’s the same in companies. When I, as a consultant, come into a branch office or walk through an office area for the first time, I perceive many things that could not be deduced from previous discussions with the management level or from the mission statements and values described on the website. It is the atmosphere that is palpable on site, the behaviour and attitude of the people I meet. Am I smiled at as a stranger? Does someone greet me and ask who I am? Do people laugh and talk to each other? Where do the leaders sit – in the middle of the team or in a locked

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_5

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Example

I recently went to India. A dramatic change within 16 hours. I made a stopover in Oman. Even if I had had no prior idea of the economic, historical or cultural character of these two countries, the differences would have been immediately apparent. We can actually observe culture, because values are ultimately impulses for action. In Oman there are six-lane highways on which, as far as the eye can see, there are no cars. In India there are single-lane gravel roads on which thousands of cars and tucktucks cavort, and it seems incomprehensible to one as a European how it is possible to get from A to B in one piece. The behaviour of the people in Oman and that in India is obviously different and shows a different lived value system. The rules that prevail in India do not apply in Oman and vice versa. If I want to get along well in both countries as a foreigner, I have to adjust my behavior. I am well advised to observe the interactions and customs first to get comfortable with them. This starts with greetings. In Oman, sometimes you don’t meet a person for hours. In India, that is impossible. That shapes the people and their interactions.

office? Are the doors open or closed? Are workflows transparent and visible in the form of a kanban or shop floor board? Are there open communication areas and coffee kitchens? Even the quality of the coffee machine sometimes says more about the team or department culture than the interview with the CEO. If the CEO’s desk is in the middle of the service area and he works there among the 60 call agents when he’s on site, that has a greater impact than nicely worded sentences about leadership eye level hanging on the walls.

5.1 The Three Cultural Levels The water lily model, borrowing from Edgar Schein (2018), depicts three levels of culture. The top visible level is the artefacts. They symbolize the values that are visible to the outside world and are actually lived (see Fig. 5.1). As with the water lily, what is visible is also an expression of what is going on beneath the surface. If the rose gets good nutrients and its stem is healthy, then the flower will be correspondingly colorful and large. In sales, the artifacts correspond to the visible manifestations: How are the rooms furnished? Are the doors open or closed? Do people laugh and converse with each other? Are there meeting places? Are workflows transparent and are team topics visualized? Below the surface of the water lie the interactions and behaviors. Which values are actually lived and expressed in which behavior? Are honesty, fairness or cohesion preferred? The lowest level is the roots of the water lily. This corresponds to basic

5.1  The Three Cultural Levels Fig. 5.1  Levels of culture. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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Cultural levels

assumptions about the company, the customer, cooperation, etc. Basic assumptions are unconscious and act like unwritten commandments. Observe carefully the set-up of a sales area and the visible clues to the lived culture. This will give you more clues than the beautifully formulated corporate mission statement. It is the values and working principles actually lived on a daily basis that shape people in their working lives. The systemicists have a very apt saying about this: “The system is always stronger than the individual.” This is because the system has developed a culture that influences and controls the way people think and act. I am always amazed at how quickly new employees adapt their behavior in such a culture. We are, after all, herd animals; we strive to belong and be recognized. If you want to make sales more innovative and agile, start by reflecting on the culture you live in.

5.1.1 First the Culture, then the Structure It is certainly advisable to first, or at least simultaneously, develop the culture in the direction of transformation capability and then adapt the structures (see Fig. 5.2). Otherwise, structural changes or strategies will be swallowed up by the existing values and interaction patterns. On the other hand, there is no logical sequence or standardization; culture and

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Cultural and structural change

Structure:

Organizational structure, digitalization, frameworks, products

Alternately develop the culture and structure of your teams or organization.

Culture:

Behavioural patterns, basic assumptions, roles, meeting culture

Fig. 5.2  The two dimensions of change. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

structure are closely intertwined, they condition and influence each other. Fluid transitions and networked waves of reaction cannot be planned or logically structured. What happened? The existing system has literally pushed him to his limits. Performance does not pay off for him, on the contrary; it only earns him the rejection of his colleagues.

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Example

The long-established insurance broker “Mann und Söhne” with 24 long-term employees wants to bring a breath of fresh air into the team. The managing director decides in favour of a 30-year-old sales representative who is to bring in new impulses. The goal is to make the team more active in sales. During my first sales coaching session, he is full of energy and has countless ideas to bring the existing sales team forward and to shake up the old structures. Just under 6 months later, the new member of the team has been trained. When I ask him about it, he explains, visibly resigned: “Commitment is not worth it here, the colleagues don’t want to change. If I make sales suggestions, I only get in trouble and am ostracized. I do my job well, but I don’t try harder than the others. In the long term, I’m going to look for something new, this isn’t challenging enough and it’s no fun in the long run”. After another 6 months, his resignation is gone, he is more satisfied and integrated into the team. He doesn’t think new sales impulses can be implemented: “I do my job and am better at sales than the others in the team anyway, without any effort. I’m no longer interested in anything else”.

5.1.2 Against the Downward Spiral Dörfler (2003) aptly describes the downward spiral that I observe in many employees when they are not positively challenged and remain in the comfort zone for too long: 1. Self-satisfaction 2. decreasing efforts 3. higher remuneration expectations (expectation of special payments, etc.) 4. Inertia 5. Solidification 6. existential crisis If a team or individual members are in a downward spiral, well-intentioned structural changes such as the introduction of a Kanban or Shopfloor Board will not bring about the intended increase in transparency and self-organization. If we don’t approach the culture and change it away from single-aisle and resistance to new things, namely towards trust, openness and joy of learning, then agile methods won’t have any effect either. But as described in my blog (Thonet 2018b), the whole thing is easier said than done for a classically managed company. It can only be done through a joint learning process: “Top” has to learn to hand off, build trust and shape the framework for more self-organization. “Below” must learn to take responsibility and move out of the comfort zone. Change is arduous; to do it, we must step by step unlearn familiar and safe behaviors and thinking and practice new, more unsafe ways of thinking and acting in a

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disciplined way. The breeding ground for this is the learning and error culture of your company. Making the benefits and added value of the change emotionally and rationally tangible for everyone is the fuel with which employees and also board members move. The clearer and more concrete the meaning and benefits become emotionally tangible, the more everyone affected will participate. Add a good dose of urgency to the benefits and you have a good fuel for self-commitment and participation. The board and senior leadership are the most effective agility drivers when they lead by example in culture change. This is even more critical because it’s about perpetual continuous change. Organizations are only viable if you create an environment for constant change. And that starts with reflecting on the culture.

5.2 The Lighthouse Model Based on the logical levels of Robert Dilts (1984), I have developed a lighthouse model with six levels as a change guide for increasing agility (see Fig. 5.3). In contrast to Dilts’ 1984 model, the six levels are no longer built on top of each other. It is not mandatory to start at the base and then develop the levels chronologically. In the agile context, change is

Lighthouse Model Customer

Market

Networks

6 levels to agility increase

Stakeholder

Lighthouse Signal: What impact do we want to create in our environment? Behaviour/ Frameworks How do we work, which FW and processes do we use? Skills/ Competencies/ Roles What skills/ competencies/ roles do we need on board? Values/ Principles What do we base our actions on? Self-conception/ Contribution/ Goal What is our self-image and our contribution? Mission/ Purpose/ Customer Benefit/ Why do we exist?

Fig. 5.3  Using the six levels for more agility. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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more fluid; one level automatically influences the other levels. Nevertheless, in this mission, I advise you to start with customer centricity first and look at agile values and principles before deciding on frameworks. From an effectiveness perspective, I assume a 70/30 impact. You get a 70 percent increase from culture change toward more transformation, innovation, and customer centricity. This corresponds to the lower levels of our lighthouse. You achieve a 30 percent increase through processes, frameworks and new target strategies.

5.2.1 The Basis: Why Do We Exist? Start with Why! The question of “why” is crucial for every team and every area. Sales, in its original sense, exists to provide and distribute goods and services to customers and to provide good service around these tasks. If this reason for existence is not kept in mind and maintained, a team will get lost in the many tasks of everyday life. Compared to other areas of the business, sales is closer to the customer and usually doesn’t lose focus on them entirely. That being said, a unified focus on the mission and mandate is good for any sales team. The unified focus creates synchronized thinking, and many a disagreement among themselves becomes a minor matter. The base, the foundation of the lighthouse on which everything else is built, is the “why”, that is, the purpose and mission of sales. The common formulation works like a composite among each other. Always formulate the mission from the customer’s perspective, thereby creating a customer-­centric sense. I recommend that teams limit themselves to two to three sentences so that the mission can be powerful and condensed.

Questions About WHY/the Mission

1. 2. 3. 4. 5.

Why do we exist? What makes us unique in the company? What makes us unique for customers? What is our mission? With which mission do we identify ourselves? What is our mission? What is the purpose of our field?

5.2.2 What Is Our Self-Image/Identification? Starting from the “why”, the self-image – or in other words the identification – with the mission is reflected and formulated. The self-image is the inner identification with the company. What does the team and each individual member identify with? What does everyone understand by their contribution or action to fulfil the mission? Most of the time we are not aware of our self-image, but it guides our values and actions. The following questions help to raise awareness:

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Questions About Self-Image

1. What are we doing to best accomplish our mission? 2. How do we create high motivation for ourselves and our environment? 3. What actions distinguish us? 4. What is our self-image in the organization? 5. What contribution do we make to ensure that the company is and remains successful on the market? 6. With which tasks do we identify ourselves?

5.2.3 What Do We Base Our Actions On? Starting from the self-image and contribution, teams can usually formulate values and working principles very simply and accurately: What is particularly important to us and what do we base our actions on? It is most effective when teams formulate their own values and the resulting actions and consistently reflect on them. I like to use the 12 agile principles (see Sect. 5.4) from the agile manifesto as a starting point and source of ideas. I often explain the principles and then let the team reflect and evaluate which of them they are already implementing, which ones do not yet suit them or where they need different formulations and which ones would be necessary and important but have not yet been lived. Each team member evaluates the 12 principles and places a cross or sticks a point to the three evaluation categories. Afterwards, the team sees the common assessment and can decide how to implement the necessary and important principles.

Principle Our top priority is to satisfy the customer by early and continuous delivery of our valuable products/services Urgent requirement changes are welcome even late in development. Agile processes use changes to the customer’s competitive advantage Functioning products/services are regularly delivered within a few weeks or months Professionals from different fields have to work together on a daily basis during the project Projects are designed around motivated individuals. The team gets the environment and support it needs. There must be confidence in the completion of tasks

We are already successfully implementing

Does not fit to us Necessary (yet) and important

(continued)

5.2  The Lighthouse Model

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(continued)

Principle The most efficient and effective way to communicate information to and within a team is face-to-face Functioning services/products are the most important measure of progress Agile processes promote sustainable development. The clients, the team and the users should be able to maintain a steady pace indefinitely Constant attention to technical excellence and good workflow design promotes agility Simplicity – the art of maximizing the amount of work not done – is essential The best architectures, requirements and designs are created by self-organized teams Through reflection at regular intervals, the team finds out how it can become more effective and adjusts its behaviour accordingly

We are already successfully implementing

Does not fit to us Necessary (yet) and important

5.2.4 Which Roles with Which Competences Do We Need on Board? In agile contexts, roles are an effective way to strengthen the assumption of responsibility outside of hierarchies. There are functional roles, which assume responsibility and lateral leadership for defined tasks and are each assumed by a team member over a longer period of time, and there are temporary roles, which are used for a specific situation. Roles lead to new dynamics in teams (Thonet 2018a). When we identify with a role, it is actually possible to adopt different perspectives and exhibit new behaviors. As if by metamorphosis, within minutes we become a customer or a board member and can make a decision from a different perspective. Provided we slip into the role, we can view the world differently, precisely through the eyes of this fictitious person. Thus, roles can literally give us wings and make us grow beyond our conditioned perception and thinking. The cause of this phenomenon, according to Neurolinguistic Programming founders Richard Bandler and John Grinder (2015), is rooted in our perceptual filters; we are always and constantly filtering millions of pieces of information that come into us through our senses (Bandler and Grinder 2015). In order to focus, we sift through all the information to get a processable measure. If we take on a different role, we instantly filter the information through this new lens and as a result behave differently adequate to the role. We can make greater use of this human ability in teams. To do this, the team considers which roles and tasks are relevant for the fulfilment of the mission.

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Roll canvas Do’s

Operating principles

Goals / OKRs

Framework / Methods

My mission

Decide Level in the Delegation Board

Resources

Dont’s

Competences / Skills

Interface n / coordination with ...

Fig. 5.4  Template for the description of rolls. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The roles are then named and the concrete tasks, competencies, goals and responsibilities are defined. Use the role canvas shown in Fig. 5.4 for this purpose. The clearer and more transparent a lateral leadership role is worked out and decided on with the entire team, the more effectively it will be accepted and implemented. Roles work according to the pull rather than the push principle. Team members decide on the role they favor. Or the colleagues (not the leadership!) suggest the one they think is most suitable. When a team starts with the functional roles, I recommend the strength-based choice; for advanced and mature teams, new and previously unpracticed roles are especially good for their own development, to practice a previously unfamiliar behavior.

5.2.5 How Do We Rebuild for Change? Building on the cultural themes of the first four lighthouse levels (mission, self-image, values and roles), the fifth level is about the structure of change. The sales department moves – metaphorically speaking – into a modern lighthouse. To this end, it is rebuilding

5.2  The Lighthouse Model

87

the building in which it has been working in teams for the future, in the midst of ongoing operations. What will the lighthouse look like? How mobile and flexible can it be? How will its rooms and floors remain flexible and adaptable? The following questions need to be thoroughly reflected upon and decided:

Questions About the Structure of Change

1. How does our sales department become a beacon of change to customers and the entire company, and how does it remain nimble at all times? 2. How do we structure our sales/division to be nimble and fast like a cross country running team in rough terrain? 3. How do we ensure a high degree of self-organisation and decision-making competence for all employees? 4. Which communication structures do we create in order to integrate all interfaces in the company, our customer perspective and relevant stakeholders? 5. In the case of hierarchical organizational forms: How can we create a second, agile and flexible system in distribution while successfully connecting with the existing structure? 6. How do we structurally optimize our current business while investing in the innovation of future business areas?

5.2.6 What Effect Do We Create in Our Environment? What Contribution Do We Make to the Vision? The lighthouse signal, or the vision of the sales department, should act like a luminous star and show the way. The version of the sales department is aligned with the vision of the company. Either the sales department formulates its own vision, which is compatible with the corporate vision, or it formulates a partial vision, so to speak, which represents its contribution to the vision of the organization. It is important that the vision is linked to the elaborated mission and that the teams participate voluntarily. Another reason why the change associated with vision cannot be imposed from above is that while people are not fundamentally opposed to change, according to Senger et al. (2011), they do not like to be changed. According to Senger, a vision is a clear and vivid picture of the future one wants to create. It is a goal that one’s imagination has painted so vividly that it is clearly in front of one’s eyes. Goals are thereby the fulfillment aids on the way to the realization. The prerequisites for the effectiveness of visions described by Senger coincide with my practical experience.

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The Eight Characteristics of Effective Visions

1. Defined for the target group: Those who are to implement the vision and be guided by it must find themselves emotionally reflected in it or, at best, develop it themselves. This is an important argument for the sales department to develop its own vision that is specifically geared towards the employees and their customers. 2. Fixed time horizon: When should the vision become reality? In the past, visions were developed on a much longer-term basis (15–30 years) in order to motivate people to undertake long-term projects. Today, this makes little sense; development is too exponential. 3. Institutional anchoring: The vision must be transparent and show responsibilities. In any case, the voluntariness and participation of the target group are important. 4. Vivid representation: The representation is crucial. Visualization in words and pictures, in stories and metaphors should simplify the complexity and be very vivid. 5. Positive formulation: Visions should radiate confidence and create an incentive to make a personal commitment. They provide orientation. 6. Personal challenge: A good vision is a personal challenge for everyone. It must not be easily attainable, but serves to surpass oneself and to develop. The personal incentive and reference to the vision are decisive here. 7. Commonality: Ideally, the vision is like a mosaic, which on closer inspection is composed of many individual visions. 8. Adaptable: Especially in disruptive change, the adaptability of visions is more important than ever. They must not be set in stone, but should be adapted to new situations.

I like to do the following exercise with teams and divisions to formulate a shared vision:

Trance into the Year 20xx

In the first step, I’ll briefly explain the technique of creative writing: you write down everything that comes to mind, uncensored, without interruption, if possible. Everything is correct. When writing breaks occur, you simply jot down the current thoughts that are currently haunting your mind. This often creates a flow that can unlock creative potential. Afterwards, I invite all employees to find a comfortable spot in the room. I get them in the mood to write down their associations to a little fantasy journey into the future for a few minutes. Then I slowly read out the following trance: (continued)

5.2  The Lighthouse Model

89

(continued) Sit comfortably and perhaps breathe a little deeper and more relaxed than usual for a few breaths. It could be that this allows you to notice how you give your weight to the chair and how your abdominal wall rises slightly with each inhale and lowers again with the exhale. If you like, you can now join me on a little journey through time. Like in a time machine, we race into the future in our imagination and move forward a year. So we would be in the year 20xx at the same time of year as now. Maybe from there we go another twelve months ahead to the year 20xx and then another year ahead, until we get out of the time machine three, four years ahead of our time and look around a bit. If you like, you could imagine what the company and your field will look like in three to five years. If you were to go to work for a moment just in your imagination on a morning in the future: What would be the first thing you would notice that you had landed in your field in the future? What else? What would you notice about your colleagues? What would be different? What else? What would the rooms look like? What would the workplaces be like? And if you imagine how everyone is doing, what sensations would be present? How are the teams doing? How are the clients and partners? What would the meetings be like? What would communication with each other be like? What would other areas think about us? What would our reputation be like in your mind? Within the company and beyond the company?

After everyone has finished taking notes, I have teams formed with four to five participants. The small groups exchange their visions of the future. Then they write down on large post-its the commonalities they have found or the ideas that everyone in the team finds attractive and imaginable. From these commonalities, the teams should then create a small production. They can either act out a sequence from the future like a play, present an interview from the future with the area or create their idea of the future and present this prototype to the others. After the staging of the teams, all participants have an anchored and vivid idea of a possible future. Only now do I ask the teams to develop a concise and condensed formulation from this. The formulations are then collected as suggestions, evaluated and optimized together. The vision is vividly created by the team using images, metaphors and symbols. It is presented in the workspace for everyone to see and is constantly kept conscious.

To make the model concrete and tangible, I summarize all levels in the following example.

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Example

The financial services provider ComFin has opted for agile working methods. With his three teams (Team Active Customer Approach, Team Digital and Team Service), the division manager wants to act as a lighthouse in the company for agile team structures and methods and infect other divisions. In the kick-off, the teams work out the levels of the lighthouse model together: • Why do we exist? What is our mission? • Our mission is to inspire our colleagues and customers for our products and services. We ensure high customer retention and acquisition. Through bold, innovative and effective approaches, we support the company to generate sustainable business success. • What is our self-image/our contribution? –– Active customer approach team: Our contribution to the achievement of objectives is planned, efficient and customer-optimised approaches at the right time and via the ideal communication channel for the customer, with regular monitoring of the KPIs. –– Team Digital: We are curious pioneers in the introduction of new processes and the further development of digital products and technologies. –– Team Service: With the highest level of commitment, we represent the interests of our customers and ensure forward-looking service in all matters, which inspires our customers and partners. • Values/Principles: What do we base our actions on? • The teams decided on the eight agile values (see Sect. 1.2) and formulated concrete actions for each value to which they aligned themselves: –– Commitment: We are committed to agile values and working methods in order to act more nimble and future-proof. To this end, we use autonomous roles in the team and pull our work packages according to the pull principle. –– Simplicity: We are committed to finding the simplest solutions for our users. –– Focus: We plan our tasks with the goal of completing them quickly and with focus before moving on to new tasks. We use the Kanban board with WIP limits. –– Courage: We always try out new things and act according to the motto: “Fail fast and often”. Only in this way can we courageously adapt new things. –– Openness: We make all tasks and workflows transparent on the Kanban board. –– Respect: We respect each other and our differences. Beyond our team, we respect colleagues, customers and partners and are committed to collaboration. –– Feedback: We set aside 2 hours per month in each team for moderated retrospectives in order to constantly reflect on and optimize our collaboration. Every 3 months, all teams meet for an overall retrospective to highlight common issues. –– Communication: We consistently involve customers and personas in our decisions and actively communicate throughout the company at all interfaces. (continued)

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(continued) • Skills/Competencies/Roles: What skills and competencies do we need on board? What roles do we assign in the team? • The required competencies for the three areas (digital, active customer approaches and service) were represented in all three teams. The role of the division manager was redefined and the decision-making competencies between management and teams were negotiated on the basis of the delegation board. –– Area Manager: Keeps the teams informed about all relevant topics of the financial services provider and its partners. Leads the weekly info meetings, represents the team externally and decides on the management issues defined in the Delegation Board. He is a disciplinary superior with the objective of leaving more and more decisions to the team. • To strengthen self-organization, the three teams chose the same lateral leadership roles: –– Product Owner: Is responsible for the requirements from the customer’s point of view and describes the user stories in the backlog. He is in constant exchange with the users and leads the reviews. –– Agile Coach: Responsible for the implementation and adherence to the values and principles. Leads the Kanban board with the team, moderates the dailies and retrospectives. –– Implementation team: implements the topics and prioritizes the backlog. Exchanges information about the processing statuses on a daily basis. • Frameworks/processes: What structures and methods do we use? • The teams use a Kanban board to make all tasks in the value creation process transparent. For this purpose, the value creation process is analyzed and mapped as a workflow on the board, the teams are assigned different colors. WIP limits (limitation of simultaneous tasks) are decided to focus. • The following meeting architecture was developed: –– Daily: 15  minutes daily exchange about the processing status on the Kanban board. –– Info meeting: weekly 20 minutes information exchange of the area manager with all three teams. –– Review: monthly one hour review per team, where the partial results are presented and evaluated from the customer’s point of view. –– Team retrospective: monthly two-hour retrospective per team, in which the cooperation is reflected and optimised. –– Overall retrospective: once per quarter, 3 hours of overall retrospective with all three teams. (continued)

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(continued) • Signal: What effect do we create in our environment? • The division decides to use OKR (see Sect. 5.3.2) to manage and measure the external impact and contagion within ComFin. After one year, they want to have 15 percent of ComFin’s workforce engaged in agile ways of working and measure this goal by the growing number of participants in agile initiatives. They also want to establish five project teams to develop innovations using design thinking. Customer satisfaction will be measured through regular interviews and customer viewpoints will be integrated into all decisions in the form of personas.

5.3 What Does a Modern Sales Strategy Look Like? Once you have identified the mission and vision based on the lighthouse model and developed them together with the teams, you need a strategy, i.e. a way to implement the goals in a different way than before. One-dimensional targets such as KPIs (key performance indicators) are no longer appropriate in the complex environment of the VUKA world. In sales, I still favor the four perspectives of the Balanced Scorecard and combine them with OKR as a modern framework for focusing on goals, such as Google and Zalando use.

5.3.1 Balanced Scorecard The concept of the Balanced Scorecard dates back to the 1990s. It resulted from a research study by Harvard professor R. S. Kaplan in cooperation with the US management consultancy Nolan Norton (Kaplan and Norton 1992). The aim of the research was to adapt existing performance measurement systems to the increasing complexity in the corporate world. Accordingly, the Balanced Scorecard supplements the traditional financial indicators with three additional perspectives. A customer perspective, an internal process perspective and a learning and development perspective. This extension results in a more strategically balanced and differentiated view and focus than just abstract financial metrics. I have adapted the four perspectives to sales and the new “we” culture: 1. Business perspective: The business perspective is about the profitability of the vision and the profit of the organization. Even though a return-on-investment (business metric measuring return on investment) cannot immediately be expected in the area of exploration and development of new ideas, the profitability of any decision is a relevant perspective. Which goals are derived from the company’s perspective?

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2. Customer/market perspective: What requirements do the customer and the market bring with them? A central perspective of any future-proof organization is to place the customer at the center of attention. This means not only meeting their current needs, but also sensing future requirements. In this perspective, keep all three horizons in mind (see Sect. 5.5). Consider which goals are derived from the market perspective. 3. Process perspective: In order to achieve the vision and the goals, the process perspective is crucial, both in terms of work processes and methods as well as new technologies and digitalization. Which automations are helpful and how can you optimize your online performance? Which frameworks and methods fit the vision and benefit the strategic direction? Which goals are derived from these questions? 4. Team perspective: How can teams collaborate to fulfill the mission and achieve the vision? Which networks and cross-functional teams will collaborate and how? What skills do we need and how do we foster a good learning culture? What roles will be assumed in the team and how do we structure and self-organize? What goals are derived from these questions?

5.3.2 Objectives and Key Results (OKR) and Balanced Scorecard Both frameworks complement each other optimally in terms of strategy. They combine the so-called lag measures and lean measures. A vivid and simple example to explain the two measurement criteria is losing weight. Lag Measure is the reading on the scale, Lead Measure on the other hand is the diet or tracking of sports activities on the way to weight loss. OKRs start with how goals are achieved and are thus on the same level as Lead Measures. OKRs define a goal through ambitious, qualitative objectives that are made measurable through key results. The Balanced Scorecard, on the other hand, is concerned with which goals are achieved and measured and contribute to the vision. It is located at the level of lag measures. Thus, the two approaches are perfectly intertwined strategically. This is because the path to success in all four areas of the Balanced Scorecard is structured and broken down by OKRs. Conversely, the KPIs contained in the Balanced Scorecard provide orientation for the selection of good and ambitious objectives. I use both models mainly in the context of a vision and strategy process with leadership and teams. You can use the strategy canvas (see Fig. 5.5) as a visualization. This gives employees and managers a differentiated and at the same time practicable approach to goal setting – with the mindset of creating meaning and voluntariness. In addition, this way you emphasize the importance of employee development and involvement.

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Sales Strategy Board 1

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Fig. 5.5  Template for a strategy. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The areas of team and market perspective pay directly into the personal benefit of each employee. Through the self-defined and self-selected contribution to the vision in the form of the OKR, the dimensions become concrete, structured and implementable.

Example

• Vision: We offer our customers the best media solutions (online and offline) for their needs. In doing so, we think consistently from the customer’s point of view and work in a network with other areas and partners. We think and act self-­ organized and use agile frameworks. • Company perspective: We are pioneers and share our knowledge and experience with the other areas of the company. We see ourselves as a beacon and want to involve and infect others. • Customer/market perspective: We develop an exemplary customer journey and provide omnichannel solutions to customers. • Team perspective: We can work efficiently from anywhere. We do this in a contemporary atmosphere and flexible teams. We use the latest technology to do this. We constantly educate ourselves personally and as a team and have fun at work. • Process perspective: We continuously test new processes and technologies and develop them further for us. We work with Design Thinking and Kanban as agile frameworks to drive innovation and make work processes visible.

5.3.3 Sales Strategy Canvas I developed the strategy canvas (see Fig. 5.5) inspired by A. Holtz (2018) as a combination of the balanced scorecard, OKR and SWOT analysis. The strategy canvas uses parts of the frameworks and results in measurable goals for the four dimensions of a vision.

Guidance for the Development of a Strategy Canvas

1. Develop a powerful vision (see Sect. 5.2). 2. Integrate co-thinkers from all key areas of the business. 3. Consider the external risks and threats (competition, market, digitalization, etc.) that could have an impact on your vision and note them under “Risks”. 4. In comparison, look at the resources and opportunities you have and write them down under “Opportunities/Resources”. 5. Consider what the vision looks like from the four perspectives. What effects does it have on the company, customers, team and processes? What are the partial visions of these dimensions? 6. What qualitative goals (objectives) do you set for yourself per level? What do you want to achieve this year in order to realize the vision? 7. On the basis of which measurable goals (key results) do you evaluate the objectives? 8. The OKRs are chosen and planned for all four levels of the vision. The teams or employees decide what contribution they want to make to this. 9. Then look at the whole picture and match the risks and resources with your goals. Have you considered everything important? Do the priorities fit? 10. The strategy canvas is reconciled after each OKR cycle (4–6 months). This ensures that your goals remain connected to the vision and that the vision is filled with life.

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5.4 What Do the Twelve Agile Principles Mean for Sales? Agile working principles were derived from the agile manifesto in 2001 (Beck et al. 2001). I recommend that every sales department use the principles as a source of ideas, as described in the lighthouse model, and thoroughly scrutinize them for feasibility and effectiveness. All principles that a team decides on should ideally be formulated in their own words and supported with concrete examples of action. It is better to leave out one or two principles before agreeing on something that may not be adhered to and, for that reason alone, may do more harm than good. Celebrate the principles you already implement and live by anyway. There will be a few of these, otherwise your office and field sales force would no longer be successfully represented in the market. Principle 1: Our Highest Goal Is to Satisfy the Customer by Early and Continuous Delivery of Our Valuable Products and Services In classic project management, the customer is only presented with the finished product at the end of the project. Agile methods follow the iterative development principle: Functional partial products – so-called increments – are evaluated and optimized from the customer’s point of view. In this way, feedback from the client or the target group is obtained as early as the development phase, which in turn is incorporated into the development. In this way, misunderstandings can be minimized and new developments and changed conditions can already be adapted in the process. The development process begins open-ended, so to speak.

Example

The mortgage lender Kogawohn wants to offer its customers an omnichannel service. The first thing it wants to do is offer mortgage advice via video channel. It decides to take an agile approach to the project and forms a cross-functional team of bank advisors, marketing specialists, credit analysts, IT specialists and controllers. After comprehensive customer surveys and market soundings, the future consulting is presented to the sales department and the customers as a prototype according to a design thinking process in order to integrate the feedback of the users. Then, in monthly iterations, a partial consulting process is developed, which is tested again on the customer via the sales department in order to integrate the feedback from the market into the next development cycle.

Principle 2: Hot Requirement Changes Are Welcome Even Late in Development. Agile Processes Use Changes to the Customer’s Competitive Advantage At any point in the development, changes to requirements are welcome – in contrast to the usual work behavior, where you would prefer to get no more feedback shortly before completion in order to finally be able to finalize your product. Agile approach rather

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means: I want to achieve the best feasible benefit for the customer, and for this purpose every change during development is a good chance – according to the motto: Fail early, fail fast. The earlier we recognize that something is not goal-oriented, the faster we can correct it. Example

Kogawohn was close to completion with its agile video consulting process after 9 months of development. All that was missing were the final programming changes to optimize the menu navigation during the consultation. But the new General Data Protection Regulation spoiled the team’s joy for the planned “go live”. From the company’s point of view, it would have been enough to insert a few forms that the customer had to confirm. But the sales department justifiably sounded the alarm from the customer’s point of view: filling out and signing forms without having received any service yet is annoying for the customer. Many would probably quit the process. What to do. Instead, the agile team opted for an animated, easy-to-understand version of the privacy policy, after the initial familiarization by the consultant. The entire process had to be rebuilt, and the “go live” was postponed by 3 months.

Principle 3: Deliver Working Products and Services on a Regular Basis Within a Few Weeks or Months, Preferring the Shorter Time Frame As in the example of the construction financier, a demonstrable partial product is delivered after each iteration and evaluated from the customer’s point of view. With Scrum, the time periods per iteration, i.e. sprint, are between 2 and 4 weeks. The shorter, the better. For the following steps, it is deduced whether and to what extent there is a need for adaptation in order to achieve the best result in the end. This drastically minimizes the risk of developing an inadequate or outdated product. Principle 4: Professionals from Different Fields Must Work Together on a Daily Basis During the Project Agile teams are interdisciplinary or cross-functional teams. All the competencies required for development are deliberately bundled in one team. To ensure that the coordination within the group works and that the interactions between the team members are constructive, the team members meet daily for a short stand-up meeting (daily). At a daily meeting, the processing status of each team member is briefly discussed, and any obstacles or requirements that have arisen can also be discussed.

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Principle 5: Build Projects Around Motivated Individuals. Give Them the Environment and Support They Need and Trust Them to Get the Job Done As management guru Reinhard K.  Sprenger so aptly puts it in his book “Mythos Motivation”, employees do not need to be motivated, because they are motivated by themselves (Sprenger 2014). Rather, it is about avoiding or reducing demotivators as much as possible, then teams stay motivated and fully engaged. Typical demotivators are unclear assignments, lack of vision and sense of purpose, lack of recognition, work pressure, intransparency, excessive demands, conflicts and inappropriate framework conditions. The fifth principle assumes that everyone is intrinsically motivated and will contribute their skills to the team to the best of their ability. In addition to the vision and the clear mission, this requires the appropriate framework conditions to be able to decide and act in a self-­ organized manner. Agile teams take themselves in hand.

Example

The board of Kogawohn wanted to approach its omnichannel project described above with an agile, self-organized team. Now the question was who should become part of the team and how the team building process should be designed. Initially, the idea was that the managers would appoint their experts from the respective departments (as they usually do). But would it be in the spirit of the inventor to appoint the usual suspects top-down again? The management board decided on a new approach. Interested employees from all departments could apply and were then selected in an assessment center with external consultants from the agile environment. In addition to technical expertise, the selection criteria were primarily self-commitment and the ability to reflect.

Principle 6: The Most Efficient and Effective Method of Communicating Information to and Within a Team Is Face-to-Face Conversation As in the first principle of the agile manifesto – “individuals and interactions take precedence over processes and tools” – it is primarily about constructive and at the same time controversial exchange. It doesn’t get more effective than face-to-face communication. Non-verbal messages are often more meaningful in communication than words. That’s why agile teams place a high value on having the entire team meet in the same place at the same time. The face-to-face exchange lasts no longer than 15 minutes, but ensures synchronization and increased self-organization of the team. If the physical distance makes it necessary, meetings with video transmission, such as Skype or Zoom sessions, are the second choice. But not only the dailies are conducted face-to-face, also meetings with the clients, product owners or so-called al-hands meetings with the entire management level take place face-to-face. Close communication with all those affected and involved ensures common understanding and transparency among each other.

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Example

Our agile team described met daily from 9 to 9:15 for a stand-up meeting in front of the Kanban board. After a short check-in (how am I doing today?), each team member had 1–2 minutes to answer the following questions: 1. What did I accomplish, complete or implement yesterday? 2 . What obstacles have been encountered? 3. What will I tackle, implement or complete today? 4. What do I need? The team’s agile coach collected the obstacles and needs in order to remove or clarify them after the meeting.

Principle 7: Functioning Services and Products Are the Most Important Measure of Progress The focus is always on the result and the customer benefit. Documentation of what was achieved, how and when – such as measurement reports and protocols that do not serve a customer – is limited to what is absolutely necessary. Of course, some captures are still important and relevant, but even here the goal is to at least reduce duplication and waste. Imagine a sales team that spends 50 percent less time on documentation and mail processing. How much saved time that would mean for the customer! Principle 8: Agile Processes Promote Sustainable Development. The Client, the Team and the Users Should Be Able to Maintain a Steady Pace Indefinitely This principle cannot be stressed often enough. Unfortunately, in my experience, it is precisely the Agile label that is used to burn people out and overtax them beyond a healthy level. Yet the eighth principle says something completely different: work should be much more fun and keep everyone involved in a healthy, fit and motivated state. A continuous and constant rhythm in the workflow is healthier and more effective than tiring hair-­pulling actions. Unnecessary pressure and stress should be avoided. The volume of work should be able to be processed on the same day; successes are thus constantly made visible and hurdles are removed. Particularly in office teams, however, one often experiences that employees are at the mercy of a never-ending stream of unprocessed mails. This is tiring, frustrating and nerve-wracking. Despite overtime, the workload is simply not manageable. Principle 9: Continued Focus on Technical Excellence and Good Workflow Design Promotes Agility Both the technical competence of the team and the ability to self-organize are crucial to continuously optimize workflows and deliver the best results. The performance standard in an agile team should be kept high. It should take pride in its performance and expertise.

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This requires training, which the team selects itself, as well as the technical and spatial equipment. The management of the team is lateral, i.e. at eye level. In Scrum, for example, there are three different management roles in the team: the product owner is responsible for the requirements from the customer’s point of view, the Scrum master for adherence to the agreed principles, and the development or implementation team for handling the work packages. Through these roles, different glasses are used to ensure that the processes are well designed.

Example

After the assessment center, it was clear who would become part of the seven-­ member agile team. In the following team building, the strengths and needs of each individual expert were made transparent with the team canvas (see Sect. 10.3.1). The required roles were jointly defined and named. After some discussion, the team decided on a five-person implementation team, a product owner and an agile coach. After the exact definition of the tasks of each role, the team independently selected the members who brought the best competencies and skills to fulfill the role.

Principle 10: Simplicity: The Art of Maximizing the Amount of Work Not Done – Is Essential Honestly, I didn’t understand the tenth principle until I questioned it several times: Work not done is about those tasks that are unnecessary and ineffective. Waste is avoided, or in other words: the less unnecessary things are done, the better. It sounds simple – but it’s not. For example, do you question your own superfluous daily actions? The challenge already starts with noticing and analyzing what exactly is unnecessary in one’s own routines and processes. This is uncomfortable and requires continuous reflection and mutual feedback.

Example

Two months into the project, the video team found that the monthly interface meetings with representatives from other parts of the company were ineffective. Some participants spent most of the one-hour meeting reading the mails on the topic or asking questions that had already been discussed in the last meeting. The first step was to agree on the following optimization: The first 10 minutes of the meeting were used to bring each other up to date. The participants either read the last report or important mails or talked to others in the room about the upcoming topics. The effect was amazing: for the next 50 minutes, all participants were more focused, and no one read their mails anymore. After another 2 months, the team decided to reduce the meeting time to 45 minutes. And it actually worked, getting all the topics done in the shorter time slot. The key was timeboxing the individual meeting topics.

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Principle 11: The Best Architectures, Requirements and Designs Are Created by Self-Organized Teams There are different levels of self-organization of agile teams: The first level includes professional and content autonomy. Here, the team can decide all content-related questions itself and wears the hat professionally. Because it deals with the topics on a daily basis and has all the necessary competencies, it can also make the best professional decisions. The second level means, in addition to the technical autonomy, also the target autonomy of the team in relation to the assignment. The goals that the team sets for itself are self-­determined and are also independently validated (see Sect. 10.2.3). The third level means, in addition to the first two levels, the team’s managerial responsibility. However, this requires appropriate competencies and participation. Principle 12: At Regular Intervals, the Team Reflects on How It Can Become More Effective and Adjusts Its Behaviour Accordingly Team development is a process. A top performing team is not a coincidence, but the result of hard work. The team needs a high degree of maturity in order to constantly question itself, to give and take feedback from each other and to bring its differences to bear in an optimally complementary way. For this, the team needs regular time and a conducive structure. The means of choice are retrospectives: regular meetings in which the team takes the time to look at the obstacles and needs with the goal of constantly improving the interactions among each other. Retrospectives have a clear structure (five phases) and need good moderation by the agile coach or master.

5.5 The Three Horizons Framework Sales is the place in the company where the current turnover is generated. It ensures the livelihood, fills the payroll accounts of the staff, pays the bills and keeps the business going. This is always in the foreground and has priority over new ideas and experiments, no matter how great they may be. Understandable – but thought too short term. Because if you are constantly busy working the same field, sowing identical seeds and reaping a continuously good harvest, you will lose in the long run. Everything has a half-life. If you don’t develop new fields and build greenhouses at the same time, or invest in machines and, in the future, robots that increase your efficiency fivefold, then your land will not sustain you for much longer.

5.5.1 Horizon 1: Optimise and Strengthen Current Distribution Every year a new smartphone with attractive features and applications corresponds to innovations from the horizon 1. Only recently I bought a new model again because of the impressive photo quality, although this time I had sworn to continue using my old phone.

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Example

Last week I was in a taxi to the airport. As usual in Berlin, I got into a conversation with the driver. When I asked him why he, as an old hand, was using Google Maps for navigation on such a standard route, he explained the much greater benefit of the app than the original directions. Drivers benefit from accurate traffic jam predictions and up-to-the-minute arrival time calculations thanks to algorithms. Taxi drivers, in other words, use Google Maps less for navigation and more to manage routes and journey times. According to the taxi driver, Google Maps is far superior to any other navigation provider in this respect. That’s what I call a successful additional benefit.

But the added value of improved image quality in my many photo logs was convincing enough. Even that market is becoming saturated, however. In the early years, every self-­ confessed Apple fan eagerly awaited the new iPhone. But for some time now, the rate is decreasing drastically. Even this renewal market is becoming saturated, so Apple desperately needs to transition new ideas and product lines from Horizon 2 or 3 into its ongoing business model. The running business is unsuitable for scoring points with agile methods from complex contexts. After all, you wouldn’t start a navigation system to buy your rolls at the bakery across the street or record and calculate an elaborate plan to tidy up your drawer. In this horizon, lean approaches and principles that pay off on the continuous improvement process are particularly suitable.

The Five Lean Principles

1. Define value from the customer’s point of view: What does the customer want? What is he willing to pay for? What are his superficial and ulterior needs? What offers him the most benefit? 2. Identify value stream: What activities are required to produce and deliver the product or service? 3. Implement flow principle: Optimize processes across all departments and avoid bottlenecks. 4. Introduce the pull principle: Only produce and store as much as the customer has ordered or if the minimum stock has been fallen short of. 5. Aiming for perfection: Carry out continuous improvement, continuous improvement process (CIP).

Everything that is optimized in this horizon pays off in the current business. There is an immediate return on investment. This is predictable and transparent. Horizon 1 is the basic framework and represents the stable, supporting walls of your company. You have to wallpaper and repaint them or repair holes, but you are not allowed to move them.

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• Questions for optimisation in horizon 1: –– How can we improve our product for the customer? –– What are the customer’s needs in terms of service related to our offers? –– What additional benefits can our offer provide? –– How do we succeed in networking and cross-selling all existing products? –– Which technological innovations can be implemented? –– How can we digitize sales to attract new customers and build alternative sales channels? –– How can we retain customers? –– How do we network and collaborate more with other areas of the business? –– How do we create direct exchange, interlocked planning and implementation with production and marketing?

5.5.2 Horizon 2: Innovate and Change Distribution Horizon 2 is concerned with measures that result from the current value creation and innovate it. Here, new offers are developed that are subsequently transferred to horizon 1, i.e. to the current business. The offers can expand or replace the existing business. When the iPhone was ready to be developed, it was transferred to Horizon 1, thereby replacing the iPod, which had been doing very well until then. So you may end up making your old products replaceable, but it’s better to tear down your walls yourself and replace them with new pillars before others do. Horizon 2 represents all the advancements, additional services, cross-sells and upsells. • Questions on innovation in Horizon 2: –– How can we enhance existing strengths? –– What new products and services do we offer? –– How can the customer’s further needs be met along the customer journey? –– Which of his “pains” can be fixed, which gains can be amplified? –– What new markets can we open up? –– How do we create cross-functional innovation teams to develop all innovations in a networked way? Innovation in Horizon 2 requires investment. The successes are only visible after 12–36  months. Innovations need free space! Innovation cannot emerge if everyone involved is working at full capacity. Companies need good models that create space for this. In service and sales, I know more and more teams that participate in innovative projects and develop both themselves and their offerings far away from the daily routines. Create innovation circles from internal and external sales, purchasing, development and production. Think about your customers and their requirements in a networked way and

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with different perspectives. Interview your customers and get inspiration from other organizations. Possible models to create free space for innovation are: • Slack Time: Everyone is given a certain amount of free time to work on their own projects. • Fedex or Innovation Days: volunteers from different areas come together for 1–5 days to try out new things and develop ideas further.

5.5.3 Horizon 3: Renew and Explore Horizon 3 includes disruptive, new approaches that can even challenge the existing business model. We still use candles, for example, but lighting has opened up completely different dimensions and possibilities since electric light. This horizon is about exploration, new ideas and visions, and creative thinking. Greenfield is about rethinking without restriction. The return on investment is unclear and must not be a guiding criterion in the creative phase. As Walt Disney demonstrated long ago in his creative strategy, the explorative dreamer phase is only fruitful without critical limiting voices (see Sect. 10.2.6). In horizon 3, the sales department secures options for the future. In addition to innovative ideas and prototypes, these can also be acquisitions of companies, products or rights. To stay with the above example, manufacturers of smartphones develop ideas in Horizon 3 for new forms of communication via voice – such as the further development of Siri and Alexa – or via eye movement and brain waves via glasses. Only a few ideas will catch on, but those who have secured these options and are developing prototypes will establish themselves in the market of the future. Exploration works best with agile, cross-functional, and self-organized teams that you must provide the appropriate safe space to innovate. The trick is to protect these agile nuclei from the limitations of “daily business” and the critical voices of the preservationists, while fostering a nurturing network with the teams from horizon 1. The protective space must be permeable and transparent so that it is not perceived as a threat or an isolated space station by the other areas. Conversely, the agile innovation team needs the networking and grounding of colleagues in order to remain connectable. I have had the best experiences in sales organizations with agile teams that meet weekly for several hours in a creative space and develop ideas and build prototypes from a customer perspective within their greenfield working hours. From the multitude of prototypes, the stakeholders then select the best ones for implementation. In horizon 3 you can use the agile cycle and all frameworks and methods from Chap. 10. Horizon 3 needs creative techniques far away from pure ratio. Therefore, use frameworks such as design thinking or service design thinking (see Sect. 10.2.4).

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• Exploration questions in horizon 3: –– What do customers want in the future? –– What might distribution look like in 10 or 20 years? –– What can we learn from other giants of success and transfer to our playing field? –– What has no one in our industry ever come up with? –– What are innovative pioneers and how can we combine their innovation recipes and transform them for us?

5.6 The Four Altitudes of Agility The term flight levels of agility comes from Kanban expert Dr. Klaus Leopold (2018), who distinguishes between three flight levels at which an organization can be on the move in terms of agility. Level or flight level 1 corresponds to the operational level, level 2 to the overarching coordination and communication of different operational teams and level 3 to the entire organization. Leopold describes the flight levels from a business agility perspective and vividly explains the requirements for optimal coordination and communication across the organization. The old saying “It’s tedious to sweep the stairs from the bottom to the top” also applies fully to the transformation towards networks and swarm intelligence. Of course, individual teams can work more agilely and think and act more nimbly and innovatively despite hierarchies and classic silo thinking. But metaphorically speaking, you only sweep the lower steps of the staircase and constantly get the dirt from the upper ones strewn into your own field of action. This is laborious, time-consuming and simply ineffective. If, on the other hand, the top strategy and management level applies the agile screwdriver to itself and exemplifies the spin, then all levels of the organization can be much more easily cleansed of the dust of power and ego culture. Svenja Hofert and I have added another flight level that we consider crucial (Hofert and Thonet 2019). We will only think big and act differently in a sustainable way if we network with other companies nationally and globally beyond the organizational boundary. Many distributors suffer from a competitive view. Everyone is developing their own app or other sales channels instead of networking and collaborating with others in a meaningful way. This big, networked thinking requires a new self-image of profitability and customer focus. Which levels of the organization offer which levers for change in the desired direction?

5.6.1 Flight Level 1: Operational Team Level At this level, individual operational teams are already agile, speak self-organized and agile. To develop sales teams to flight level 1, you first need good team structures and team-building measures so that everyone mutates from lone warrior to team player. The next step would be to analyze which working methods and frameworks best serve the goals. Agile methods such as Scrumban or Shopfloor help to visualize and focus the

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work process of a team and to increase self-organization. As a result, sales departments experience new forms of collaboration. The cultural change towards agile values and principles is created and deepened through regular reflection.

Example

Spotify, as an online music platform, has developed its own model with which it scales Scrum teams. Several Scrum teams are combined into so-called Tribes. The individual Scrum teams are in turn cross-linked with other team members in so-­ called charters. The online sales team at the financial institution Unitform calls itself agile and has reorganized itself, borrowing from the Spotify model. The former division manager is now a “Tribe Lead” and the teams are similar to Scrum teams with different roles. The other divisions found the team exotic at first, but very much appealing. Everyone noticed how well the “agile spinners” were on it and the decision-making powers they had. At the beginning, the managers were irritated when “normal” employees from said team debated topics on an equal footing with them in the meetings. But after a short time, other teams in sales also began to experiment with agile methods. As a result, more and more initiatives were and are being created that work with Design Thinking and Kanban.

5.6.2 Flight Level 2: Coordination and Interface Level At Flight Level 2, the interaction of the teams with each other and with other areas is improved. In doing so, the flow of work should be granted beyond the team boundaries. In my estimation, Flight Level 2 is crucial for the agilization of sales. Cooperation with production and marketing alone would have an enormous effect on improving sales performance for the customer. Sooner or later, this will ensure that internal boundaries are dissolved and better cross-divisional cooperation can take place. This often involves a completely new self-image. If innovations are coordinated with production and marketing right from the start and mutually fuelled, everyone benefits. Coordination boards help at the practical level. Meetings with representatives from the other teams ensure coordination. Chapters from the Spotify model (see Sect. 6.4) are located at flight level 2, where team members can exchange and develop their expertise across the board.

5.6  The Four Altitudes of Agility

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Example

The online team described above opts for the Spotify model and networks with other areas in so-called chapters. The regular chapter meetings of the product owners of the agile teams with managers from the old structures create cooperation and networking, which as a by-product results in perfect marketing for the agile way of working.

5.6.3 Flight Level 3: Organisational Level Flight level 3 represents the strategy and management of the organization. This is where central decisions are made and the entirety is considered. At this flight level, the management makes its strategy transparent. All three horizons are openly addressed and linked. The more the top management level implements the agile principles and accordingly acts transparently, openly, cooperatively and flexibly, the faster all other areas and the entire company transform. No question, the staircase is swept from top to bottom here. The lower steps from the pyramid will only be freed from the old when no more dirt comes from above to cover up the new again. This means a cultural change and the personal development of each individual. It requires trading power and control for openness and participation. It sounds nice and catchy, but it’s all the more unwieldy and challenging when it comes to actually implementing it at a behavioral level. The image of the know-it-­ all and all-decider as a managing director may be outdated, but at the same time it is firmly anchored in people’s minds. The only thing that helps is hard work on oneself and reflection at all levels. When I ask managers how they lead their teams to be more self-managing, the objection that usually comes up is, “Our employees don’t even want to take on more responsibility.” What do you think the employees would say to that? Exactly: “At the end of the day, the people at the top don’t allow it.”

5.6.4 Flight Level 4: Inter-organisational Level The highest level of fluency is consistently networked work and innovation at the cross-­ organizational level. More and more companies are now collaborating on technological topics across the board, e.g. Google, Movel and IBM. Why does every bank or insurance company develop its own app when the greatest opportunities lie in collaboration across company boundaries? The old idea of competition has had its day; a new form of collaboration is needed. If the old competitors Daimler and BMW can manage to think and develop mobility together, others can do the same. Use the checklist in Fig. 5.6 to find out what altitude you have already reached and where you can start to become more agile throughout the business. The higher the altitude, the more effective any change will be. The higher you set the change lever, the faster and more profoundly your sales will change.

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Checklist Flight Heights of Agility Flight level 4:

We are globally networked with other organizations and collaborate with each other. Our company is open to all visitors. We serve as an example of working agile. In addition to our business success, we always keep our responsibility towards our customers and the environment in mind and act accordingly.

Flight level 3:

Our management/board makes its actions transparent and coordinates decisions with other areas or delegates decisions to cross-functional teams. Exloitation and exploration is interconnected at our company. We are constantly improving our current business and investing in future markets and products. We have holocratic structures and our hierarchies have been partially dismantled. Flexible and distributed leadership provides a good mix of action and reflection. Flight level 2:

Our agile core team functions like a second operating system and forms agile initiatives in which new things are developed cross-functionally and existing things are improved. In the complex areas such as development, marketing and sales, the teams work across the board and develop new ideas that are implemented in an agile manner. We have cross-team and ad hoc meetings. Our teams train on their own initiative and learn from each other.

Flight level 1:

We have isolated agile teams that work with frameworks and organize themselves. We have an agile core team that plans initiatives and innovations in the company. We have provided training on agile project management and agile leadership. Individual divisions are transforming themselves and working in a customer-centric and innovative way.

Fig. 5.6  What altitude are we flying at? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

References

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References Bandler R, Grinder J (2015) Patterns. Muster der hypnotischen Techniken. Jungfernmann, Paderborn Beck K et al (2001) Manifesto for Agile Software Development. http://agilemanifesto.org/. Accessed 07 Apr 2019 Dilts R (1984) Die Veränderung von Glaubenssystemen. Jungfernmann, Paderborn Dörfler A (2003) Schrittweises Erstarren – rechtzeitiges Erneuern. In: Risak J (ed) Der impact manager. Springer, Wien, pp 55–64 Hofert S, Thonet C (2019) Der agile Kulturwandel. Springer Gabler, Wiesbaden Holtz A (2018) Management Canvas: Einfach. Richtig. Managen. Anthony Holtz, Berlin Kaplan RS, Norton DP (1992) The balanced scorecard – measures that drive performance (PDF). Harv Bus Rev (Januar/Februar). https://steinbeis-­bi.de/images/artikel/hbr_1992.pdf. Accessed 05 July 2019 Leopold K (2018) Agilität neu denken. LEANability, Wien Schein E (2018) Organisationskultur und Leadership. Vahlen, München Senger P, Smith B, Kruschwitz N, Lauf J, Schley S (2011) Die notwendige Revolution. Wie Individuen und Organisationen zusammenarbeiten, um eine nachhaltige Welt zu schaffen. Carl Auer, Heidelberg Sprenger R (2014) Mythos Motivation: Wege aus einer Sackgasse. Campus, Frankfurt am Main Thonet C (2018a) Pull Rollen für Meetings. https://www.claudiathonet.de/agile-­moderation-­pull-­ rollen-­fuer-­mehr-­selbstverantwortung/. Accessed 10 July 2019 Thonet C (2018b) Die zwei Dimensionen des Wandels. https://www.claudiathonet.de/agile-­ fuehrungskompetenzen-­wandel/. Accessed 05 July 2019

6

How to Rebuild and Use Swarm Intelligence

Abstract

Are you serious about transformation and want to successfully rebuild? Then you will not only benefit from the successful transformation stories of other sales organizations in this chapter, you will also get step-by-step instructions for starting agile nuclei and suggestions for a holistic transformation.

Locked into the old organizational structure, sales, like any other area with a classic pyramid structure, is simply far too slow and immobile for the demands of digitization. The decision-making processes alone are paralyzing or the many explanations about what is not possible and why that is so. You may think what you want of money-making guru Bodo Schäfer, but his duck and eagle metaphor applies to many team dynamics. In his story, ducks quack and look for excuses and focus their perception on what all is not possible. They like to make themselves the victim of circumstance, blaming others and therefore automatically empowering themselves. Eagles look for solutions. They focus on ideas and implementation possibilities, see themselves as responsible for their actions and always start development with themselves. Schäfer relates vivid examples of this to shake things up and expose victim thinking. “Don’t be a duck” is one motto, the other “Don’t hire ducks”. I suspect you can think of enough experiences yourself where you, as a customer, were given annoying explanations of what all didn’t work and why, instead of a solution. What’s worse, often the customer is made the bogeyman and employees are tasked with proving what users did wrong and how they self-inflicted their pain, so to speak.

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_6

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Example

For team development or team days, organizations like to book a special location with the option of having events take place alongside the workshop. So I was recently booked with a team on the topic of agility in the Tripsdrill adventure park. After arriving by flight and train, I found myself in the middle of the countryside at 8 pm, facing the locked door of the hotel I had booked and already paid for, with the notice that reception was closed from 6 pm. I was annoyed, but not worried: my booking app will surely help me. But far from it: all hotels in the area were fully booked because of a big concert! Only after countless phone calls was I overjoyed to get a bed at all in a small inn. The next day I heard from the receptionist instead of an apology only unfriendly reprimands with reference to the small print.

I see another aspect here that is crucial for the understanding of hierarchies and leadership: the pyramid and the classic organization chart encourage mainly duck thinking at the employee and lower management level. Reviewing my brief period as an employee, I can put it more pointedly: Being an eagle is forbidden in many organizations. Hierarchy, with its position-based power and decision-making structure, creates a duck culture among employees. I have experienced various teams that were really willing to organize themselves. But without any competence and scope for decision-making, all that remains are bloodless phrases and pseudo-statements by the leadership. Only if the teams themselves can decide and act within a set framework will they move faster and more agilely. The old hierarchies of the pyramid structure are still from the last century and serve a long outdated tradition and culture of above and below, of power and powerlessness, of leading and following. For agile, complex developments, the old hierarchy system has had its day. Here, a completely different leadership and decision-making is required. Self-organization is the new fuel for teams, new decision-making methods from holistic thinking are the associated tools, and collaboration is the necessary binding agent. For traditional distributors, there will be so-called hybrids: The pyramid will remain, at least in part, and interconnected networks, so-called swarms, will link up. There are different models and structures for this to experiment with. There is no template or manual that fits every distribution. In the following sections (see Sects. 6.1, 6.2, 6.3, 6.4 and 6.5) you will find experiences and examples and receive helpful models for your own experiments. What you have to do in any case: courageously go new ways, make as many mistakes as possible early on, reflect on them together with the teams, accept resistance, remove obstacles and question everything again and again. Just start – and start now! That is the most important step.

6.1  From Individual Fighter to Team Player

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6.1 From Individual Fighter to Team Player Most sales teams are in reality collections of lone wolves or at most working groups, but not real teams. The differences between the dynamics of groups and teams are very clear (see Fig. 6.1). The future of sales will be determined quite decisively by a paradigm shift away from the “I” and towards the “we”. Radical customer orientation will only be implementable in interdisciplinary teams that have a silo-free eagle-eye view and find the best solutions together. • Groups are characterized by a well-organized coexistence of the group members. Everyone has clear individual goals and areas of responsibility, which are delegated and controlled accordingly by the manager. Groups are comparable in dynamics to a travelling party heading in the same direction under one roof, with no need to cooperate with each other to get to their destination. Strictly speaking, they do not even need to talk to each other or exchange information to successfully complete their journey. • Teams, on the other hand, have a goal whose value is higher than the individual performance. They work together cooperatively like an organism. Everyone knows their tasks and networks them efficiently with the others. Ideally, a team is made up of people who take on different roles and who complement each other. For example, the touring company described above might become a team if the bus broke down and all the occupants had to think and act together to get to their destination. Who can fix the bus? What do we use to make the road safe? What do we do with the bored kids? How do we get important spare parts in the next town? What could be plan B if the repair doesn’t work? And already the common goal stands above the individual goals and people begin to act together in a completely different way. This brings dynamism and life into the room, but also leads to more conflicts and makes communication necessary.

From lone warrior to team

Fig. 6.1  From I to We. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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• Agile teams work in a self-organized way, have higher decision-making authority than usual teams and consist of interdisciplinary team members. In our travel example, an agile team would have planned the entire trip together from the beginning and distributed roles. Accordingly, in the event of a breakdown, the team is quick to find a solution and adapt to the new circumstances. Everyone feels co-responsible for the success right from the start, as if it were their own travel company.

Example

The insurance broker Susewin wants to lead his lone fighters in sales to more self-­ organisation. After months of planning and decision-making, three teams are formed for different products. The teams are to take on more self-organisation and strengthen the team spirit. Individual goals are transformed into team goals. In order to make better use of the potential, all teams want to distribute their routine tasks in a more strength-oriented way. The team with the strongest sales agrees to take over the active telephone approaches and direct sales. In return, the other two groups back them up by increasingly taking over the preparation of the offers. As soon as the managing director gets wind of this, a decision is sent out to each individual team member by e-mail the same evening: “I would like to inform you that each employee in the sales department has to carry out active approaches and direct sales and that no independent redistribution of tasks in the teams is permitted”. One sentence by email  – and the months of preparation and planning for the transformation were gone. No one wanted to continue thinking about how to improve teamwork.

Imagine you are supposed to take responsibility for something, but you are not allowed to make any decisions. You quickly become a lame duck. The classic waterfall organization has produced many duck ponds in which the energy of the employees goes more into resistance than into finding solutions and shaping the future together. If an eagle does stray into such a pond, it will either take flight within a very short time – or its wings will be clipped and it will be taught the typical waddling gait that ducks use to get around. Developing ducks into eagles is a lengthy process that can only succeed with a redistribution of power and responsibility. But to stay with the metaphor: Even eagles have to learn. In many companies, it is part of the corporate culture to expect managers to have foresight and decision-making authority – with all the consequences that this entails. It is precisely this farsightedness that is no longer possible in the complex transformation of digitalization. Eagles, too, must fly by sight and constantly adapt their solutions in the fog of unclear interactions.

6.2  Storytelling: Transformation Stories You Can Learn From

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6.2 Storytelling: Transformation Stories You Can Learn From Where do we start? Who has which roles? What do we focus on first? How do we get everyone involved? What lessons learned can we leverage? How do we scale? These questions arise in transformation and want to be answered. But an evolved corporate sales force can’t compare itself to a small start-up and immediately jump into radical change. Culture swallows any strategy for change. So we need to start with the existing culture and change it. Decades of rigid structure and bureaucracy have shaped people and often stymied change. Still, truly agile, non-bureaucratic organizations are a rarity, even though everyone suffers from sluggishness and distance from customers. Service and sales can sing a lament about how many ideas for increasing customer satisfaction are implemented when there are no less than eight levels of management between the direct customer service representative and the final decision-maker. There is nothing left of the propagated customer orientation. But it is not only the hierarchies that slow down flexibility and customer orientation, silo thinking also leads to disastrous consequences. Many times I have observed how service or sales, as direct contacts for the customer, have passed on the customer’s requirements and wishes to production or purchasing. Instead of implementing these or looking for solutions for the common customer, the requirements are first blocked and rejected. Areas remote from the customer like to insist on their specifications and processes and are visibly annoyed by the market areas. Often the internal areas act more like enemies instead of cooperation partners who want to win the favor of the customers.

Example

The financial services provider Fincon serves many companies around the topic of financing, investment and insurance. Fincon is a free broker and can find the right provider depending on the customer’s needs. The account managers negotiate the contracts and conditions with the companies. Some major customers increasingly want more flexible credit conditions from their account managers. The sales department discusses this in various meetings and passes on the requirements to the processing department via the head of department. The sales manager passes on the wishes of the sales department to the credit manager. In the next meeting, the credit manager communicates the special requests with an appropriate undertone, which again come from the market area. The credit team then puts a lot of effort into gathering all the arguments that speak against more flexible conditions for key accounts. The result of the story is a lose-lose outcome: the major client looks around in frustration for a new financial services provider, Fincon loses important clients, and the gap between sales and credit widens.

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Why do organizations still prefer ponderous structures from the last century? Well, the answer is quite simple. Firstly, because they are familiar and secondly, because they work. At least in the day-to-day business that pays the salaries. Changes always trigger uncertainty and do not bring immediate success. They cost time, energy, resources and require a process of experimentation and adaptation. Many organizations shy away from this and try to become more flexible with small steps. Unfortunately, for us as consultants, this often gives the impression that the transformation should run according to the motto: “Wash my fur, but don’t get me wet”. Hope is offered by the courageous pioneers and visionaries for a new understanding of cooperation, meaningfulness and ecological awareness, some of whom we would like to take a closer look at.

6.2.1 Haier: The World’s Largest Producer of Household Appliances Zhang Ruimin, the CEO of Haier, has been consistently working on his vision of an open ecosystem of users, inventors and partners for more than ten years. Everyone should have as little distance as possible from the customer and feel fully responsible for him. Hamel and Zanini (2019) from Management Lab attest to Haier’s successful transformation of its 75,000 employees into over 4000 agile micro-enterprises. The CEO sees himself as a framework designer, within which the employees themselves have planned and implemented the conversion from the user’s point of view. For him, the model for the architecture is the Internet. It consists of small pieces that are loosely connected and yet coherent. All of them pursue the same goal: to create unique added value for the customer. Sales can learn particularly well from market-oriented user micro-enterprises (MU) of the former group. Each unit holds ten to 15 employees who are inventing a customer-centric, web-based new world out of the old home appliance business: from home appliances for young, urban users to smart refrigerators that trigger a signal to a service provider to deliver groceries within 30  minutes. Each unit has ambitious growth and transformation goals and uses other MUs as service providers. Each MU forms around a product, which in turn creates value for the customer. Employees and managers apply to join a new MU.  The team decides everything like an independent company: leadership, budget, goals. The binders of all units are the added value and the common responsibility towards the customers.

6.2.2 Vodafone Customer Service Vodafone Germany has developed the concept of agile networks with the consultancy Fuhrmann-Leadership (Fuhrmann 2016). Here, a core team is responsible for implementing improvements for customers. And who knows customers’ pain points better than service? Unlike many other half-hearted concepts for improving customer satisfaction,

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Vodafone has thought consistently here. Service liners do not, as is usually the case, dump optimization ideas in somewhere and eventually lose interest in them because nothing is realized. According to statements by the management consultancy, several ideas are even implemented every month. The difference is made by a core team that implements all ideas from the service team like a service provider. The decision-maker is the account manager himself. He wears the hat, so to speak, and gives the core team the order. The experts combine all the skills needed for implementation, including a budget. The success exceeded every expectation. Today, an average of six initiatives are still being actively implemented by employees and rolled out in the company every month. Not only customer satisfaction but also employee satisfaction increased exorbitantly. The concept is based on the dual operating system by John P. Kotter (2015). The management consultant and author argues for the traditional hierarchies and management processes to remain in place in order to meet the daily demands of managing the ongoing business. At the same time, he sees a second operating system that operates in an agile manner as a solution to identify threats and opportunities and use them to implement creative strategies at a rapid pace. This second operating system works with agile network structures and completely different methods.

6.2.3 T-Mobile US T-Mobile US Inc. is a subsidiary of German Telekom and the third largest wireless carrier in the United States. As Dixon (2018) describes it, in 2015 the leadership team decided to radically transform call center operations with one simple goal: happy customers. The first step for the project team was to track down and fix everything that was disrupting customers. Instead of erecting a digital fortress between customers and service employees, as many providers are increasingly doing, the T-Mobile service team wanted to take a different approach. The focus was on “person-to-person” service instead of bots and mazes as menu choices. Questions like • • • •

How can we make our customers more satisfied? What keeps them with us longer? How do we deepen our relationship with them? How do we simplify our service for them?

led the team and the management of the service center. The more the simple topics such as address changes, invoice overviews, etc. are handled online by the customers themselves, the more complex the requests from the customers to the service employee become. This is exactly where the expert teams come in.

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A cross-functional team works for a specific number of customers in a specific market segment. All specialists from the required departments work together at a round table for the best solution from the customer’s point of view.

Special Features of TEX Teams

• The TEX teams consist of technical and IT specialists, service staff, customer specialists, solution managers and coaches. • The teams work like independent companies for their assigned customers. • Performance is determined and compensated based on team factors. • The customer can always reach someone via app, chat, email or phone from the team responsible for them as a whole. • Each contact person in the team is a generalist who can provide both billing and technical support. • More than 90 percent of the time, the customer is attended to on a case-by-case basis at every contact. • The teams draw up their own profit-and-loss accounts and decide how to organise their work. • The teams are structured similarly to the Spotify model: Each team is interdisciplinary. Eight employees from the different areas (service, IT) are assigned a coach, a solution manager and a team leader. The team leader and the solution manager supervise several teams.

The model is paying off immensely: In three years since its introduction, customer contact center costs have dropped by 13 percent, the Net Promoter Score as a measure of customer loyalty has increased by more than 50 percent, and customer churn is at an all-­ time low. Employees are happier, too, as evidenced by declining absenteeism and low turnover, among other things.

6.2.4 Swarovski Swarovski Gemstones forms a combination of line organization and agile circles in a different way than Vodafone. In sales, it is clearly noticeable that the cheap products from China are depressing the market prices for jewellery and that the customers’ requirements are changing. More and more individual wishes are to be fulfilled in order to compete and continue to make a profit in the B2B gemstone business. However, manufacturing was originally focused on efficient mass production, not flexibility and customization. Sascha Reimann (2018) describes how, after a multitude of ineffective projects, a management workshop brought about the decisive turnaround for change. Since then, the four

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senior managers have withdrawn from the day-to-day business and initiated agile, nonhierarchical Circles, to which they serve as coaches. Due to the many standardized processes that work well hierarchically, the Tyroleans decided against a complete conversion to agile teams. The agile circles formed decide collectively by consensus: decision-making from the holocracy, where the best argument or factual solution is implemented until someone exercises their veto power and raises an important objection. Then a better solution is discussed and addressed. The Circles work at flight level 2 (see Sect. 5.6.2) and ensure cooperation instead of silo competition. Each Circle is assigned directly to one of the four senior managers from the line and discusses goals and directions with them every two to three weeks. In this way, the jewellery manufacturer deliberately mixes the old structure with a new one. According to Swarovski itself, the pragmatic solution has worked very successfully so far.

6.2.5 Bosch Bosch started with hybrids, i.e. a dual organization in which the traditional functions continue to rely on conventional structures and the innovative areas initiate agile teams. But this combination does not lead to a holistic transformation. As a result, the CEO, with the support of a consultant, introduced agile ways of working to the leadership. This was divided into small circles with product owners and masters in order to be able to solve difficult issues and remove obstacles that stood in the way of agility. Bosch is pursuing an ambitious vision in all of this. For each product for the customer, an initial setup of agile teams is started and gradually expanded as needed. Bosch follows a systematic approach to teams: teams for the customer experience, teams for business processes, and teams for technologies are formed and linked together. To determine the number of teams, all experiences that have a significant impact on customer decisions and satisfaction are collected in the customer journey. Then the connection to the business processes and technologies is examined. All teams work in a network to optimize for the external and internal customer. At a giant like Bosch, clustering like this can result in more than 300 teams working on individual customer touchpoints. The very idea frightens many managers; the controllability of such a system clearly eludes management. Such swarms follow different dynamics and can no longer be controlled, only navigated. Nature offers us countless examples of such excellently coordinated and yet independent networks: Just look at our body – countless cells that cooperate independently and yet together to maintain our vitality.

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6.2.6 PayPal Many years ago, PayPal grew exponentially, was very profitable and was considered the most successful online payment company in the world. From the company’s point of view, this could have happily continued. People were full and satisfied. Exactly this sated state is very dangerous nowadays. With so many big players like Amazon and Google offering the same services and having the most attractive customer data, PayPal suddenly reached its limits. The company’s engineering and IT teams weren’t innovative enough; in fact, leadership had divided the organization into silos to concentrate expertise. In 2013, the service provider decided to undergo its so-called “Big Bang” transformation (PayPal 2015). Against the advice of many consultants, the leadership decided not to take small steps towards customer focus and innovation, but to start a radical transformation. Today, over 400 agile teams are working towards the vision of being an independent organization that seeks to transform the way the world looks at and uses money.

Transformation Dashboard

1. Pain points and brake blocks: First, the brake blocks and pain points of internal and external customers were exposed, analyzed and summarized. –– Detailed requirements documents for planning: There were lots of specifications and documents that had to be created for budget or other planning. Reports and analyses cost an enormous amount of resources. –– Silos with high subject matter expertise: Each of the areas had subject matter experts and specialized knowledge. Silo thinking prevented the exchange among each other. Knowledge was not transparent and therefore not available to all. –– Bottlenecks and unfinished work in all areas: Most teams had bottlenecks that resulted in unfinished tasks. Commitments were not kept, requirements were lost. –– Decision paths and times: The paths to a decision were complicated and took far too long. Too few and sometimes the wrong people decided on too many issues. –– Blocked and unproductive time of decision makers and key developers due to voting and meetings: Many managers spent more than 70 percent of their working time in meetings and voting. Meetings were often perceived as lengthy and unproductive. –– Waterfall practices and old project management methods made development slow: Each area waited for input or approval from other areas or decision-­makers. This often blocked completion and delivery. (continued)

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(continued) 2. Forming Transformation Teams: More than 150 employees formed multidisciplinary teams together to address the company’s challenges in terms of planning, architecture, governance, team building, production, employee development, innovation, etc. 3. Build Agile Product Teams: 300 cross-functional teams were launched globally, working on 17 product lines. They were consistently trained in agile frameworks such as Scrum and customer-centric innovation and worked with product owners, Scrum masters and development teams. They are supported by agile coaches. 4. Enterprise Sprint Rhythm: All control and production teams use ad hoc agile practices and structures from the Big Bang, so to speak. There were plenty of variations to test and learn how a waterfall organization can implement more agile control, planning, and marketing. However, the many different sprint teams and techniques made mutual learning and transparency difficult. As a result, bi-­weekly sprints with corresponding meetings and ceremonies to start and end were synchronized across all teams, making sharing and scheduling meetings globally much easier and more transparent. 5. Transformation and management board: The agile teams initially chose a variety of approaches to track their work. Most worked with task boards to make their work flow predictable and visible. To meet the challenge of sharing and transparency across domains, the teams opted for a single tool to manage and coordinate all the swarms. The transformation was one of the most significant changes in PayPal’s history. Not only were the teams fundamentally reorganized and their day-to-day practices changed, but a new company culture emerged. A transformation dashboard made all practices, innovations, prototypes, capacities and strategies visible and measurable for the entire organization.

6.2.7 Zalando When Zalando started in 2008 as a small flip-flop online shop, no one had any idea what a fashion empire the internet platform would develop into. According to Eisenkrämer (2017), the company aimed to become the first port of call for all things fashion. Zalando runs its own technology, the division has proclaimed the motto “radical agility”. The following five insights guide the transformation: 1 . If you grow linearly in the digital era, you lose exponentially. 2. Any tech project that doesn’t produce a tangible result after six months has a high potential to fail.

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3. It’s not about whether “IT drives business” or “business drives IT” – it’s about sitting at the same table. 4. Competition is fierce – new and good services that customers actually need are no longer invented in the office. 5. Digitization changes everything – technology that enables rapid iteration and experience gathering is currently a competitive advantage. Zalando Technology has transformed its corporate culture and, instead of using third-party providers, now operates almost all core systems itself. Networked social structures and self-organized teams are linked with technological structures and a service-oriented architecture. In order to have the speed and innovative power to implement it, the Berlin-based company relies on an agile culture at its seven technology locations. This is based on the principles of goal setting, autonomy, coaching management and, above all, trust instead of control. There are three teams that work together at Zalando Technology to develop and implement so-called micro services (new service offerings). The product teams plan new applications and services for customers, the development teams implement these prototypes, and interdisciplinary teams provide support in various areas (see Fig. 6.2). What does agile transformation bring to sales? What can you learn from pioneers in the field? Which mistakes do you not have to repeat yourself? In Table 6.1, you can see the organizational structures after the agile transformation of six companies with the pain points (Pains) and the gains (Gains).

Zalando team structure

DEVELOPMENT TEAMS

MICRO-SERVICES

INTERDISCIPLINARY TEAMS

PRODUCT TEAMS

Fig. 6.2  Teams develop and implement new service offerings. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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Table 6.1  Agile structures of companies incl. distribution Example organization Vodafone

Swarovski

Zalando

Haier

Structure Second operating system: Core team consistently implements improvements “bottom-up” for customers Agile networks for idea generalization in customer service “Customer operations Enterprise” optimizes key touchpoints to become more innovative and flexible for the customer Circles: Five circles assigned to senior management Hybrid from hierarchy are attached to the circles instead of silos Faster and more individual implementation in the interdisciplinary teams OKRs are implemented throughout the company Each area and each team chooses its own contribution in the form of goals and assesses its success on a scale on a regular basis Radical agility is the corporate culture at Zalando technology – here, our own technology is developed with agile, innovative teams The other divisions of the company have a classic matrix organisational structure The group became more than 4000 agile micro-­ enterprises working together as networks

Pains The agile teams have not yet been rolled out to other areas Customers still experience many pains with service

Gains Improvement of the customer service Upgrading of customer service

Top-down driven transformation Leadership in upper management is position-bound

Circles are able to make decisions due to the direct connection to the CEO Pragmatic model of a hybrid

Despite many social networks, the culture and structure are hierarchical and customer service employees have few opportunities to shape things Overall, teams still have little decision-making authority

Zalando-technology develops its own cloud-based technology in agile teams OKR and social networks ensure high participation of all employees

Increase in sales Innovation Successful holistic transformation

10,000 MA have left The transformation took 10 years (continued)

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Table 6.1 (continued) Example organization Bosch

PayPal

Structure Pains Hybrids of agile and classic Driven from top-down teams and working methods

Radical restructuring Size and global distribution Through “big bang” to agile of the company make teams coordination complex Steering teams and agile networks across the organization

Gains The whole organization incl. the leadership makes with Entire organization was transformed consistently and comparatively quickly

6.3 Hybrid Model: Six Steps to an Agile Core Team For classic distributors, there will often be so-called hybrids, at least in the first phase. The pyramid will remain in its exploitative areas, which generate today’s sales, and agile networks, so-called swarms, will link up. There are different models and structures being experimented with for this. The following sequence for building an agile core team has proven successful with my clients.

6.3.1 Let’s Start Start by reflecting on the existing agility level. There are various methods and providers for this. I prefer to start with executives and sales teams with the resources and strengths already in place. Every existing sales force is agile to some degree, otherwise they wouldn’t be in the market long ago. Strengthening what is already there is an important basis. With the message “you’ve done everything wrong so far” you won’t lure anyone out from behind the stove or out of their comfort zone. The “Everything will be different from tomorrow” opening is more likely to cause resistance or panic. Why? Because it devalues what has been achieved so far and fuels concerns about excessive demands. Employees are already unsettled enough by digitalisation, changing market conditions and generational change. (Hofert and Thonet 2019). Rather, encourage them and convey confidence. People almost automatically and unconsciously meet expectations – both ways. If you, as a leader or consultant, have negative expectations and do not believe in the teams, then they are likely to fulfill their

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expectations. However, if you believe strongly in the contributors and convey confidence, they will implement much more. Rank the level of agility and success factors already in place with those involved in the sales and service areas. This is more effective than starting with the development areas. It relieves the burden on employees when they are made aware of how much they already know and can do. Then everyone is on board faster and has a desire to work in a more agile way – this is how the spark of enthusiasm jumps over! For example, develop a hands-on vision and strategy (see Sect. 5.3.3) or lead the entire staff through the OpenSpace Agility process Sect. 10.2.1. This way, agility is introduced and experimented with in a structured way on a voluntary, invitation-based process level. Many companies that I have accompanied in recent years in their culture change are still subject to a major error in thinking. They believe that change must come from, or even be driven by, leaders. That is a fatal error. For one thing, a few people in the company are then involved (managers usually make up only 10–20 percent of the workforce). For another, the same people who were instrumental in shaping the old culture may not be the best beacons for change. In fluid changes like agile evolution, you are better off involving all employees and infecting or involving as many people as possible to bring in a breath of fresh air and new perspectives. Not much new will emerge in the old structures and the previous mindset.

6.3.2 Set-Up: Forming Agile Nuclei Employees from interdisciplinary areas who feel like experimenting with the agile nucleus should apply for it. Just last year, I embarked on having an agile core team selected by management and department heads. The experiment went awry. As soon as it became clear to those involved how much extra work and commitment was involved, enthusiasm cooled to zero and the team literally froze. More effective in terms of a different understanding of roles and leadership is to recruit employees on a voluntary basis for the core team or other agile nuclei. An appropriate kick-off event is ideal for this purpose, in which it is clearly communicated who is shaping the future of the company: the employees. By core team, I mean an agile team that is given the mandate to shape crucial topics for the transformation of the division or company. Agile nuclei are interdisciplinary teams that tackle and implement individual topics in an agile manner, but are not tasked with managing a transformation. The term nucleus fits very well because these teams do not initiate a holistic change, but they promote agile working methods and ideally infect other teams with them and make them curious.

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Example

The medium-sized sales department with 1000 employees has opted for agile nuclei. For years, sales employees have been able to apply for various agile teams. The teams develop attractive and new offers for the customers with the help of the framework Design Thinking (see Sect. 10.2.9). The prototypes are presented to the Management Board in a pitch. The objective is to provide the best prototypes with the means and ways to produce them. The number of applicants for the projects, some of which take place outside regular working hours, is constantly increasing. Hardly any salesperson wants to be left out of the new spirit of the organization. Even the market divisions, whose managers previously smiled at or dismissed the topic of agility, are now getting pressure from their employees. They feel the team spirit and the enthusiasm of the others and want to participate.

Real change is based on the willingness of each individual to learn and change. However, people only do this voluntarily and out of conviction. Rather, make clear the attractiveness of helping to shape this future way of working! And make it clear from the outset: it’s about structured and disciplined experimentation, about a new way of working together effectively. Only those who see a rational and emotional benefit for themselves will stick with it and infect others as well. It is important to have a cross-functional team. Every area that is needed for the development and implementation should participate. Then the team also has the necessary competencies to make decisions and can organize the implementation itself. Consider together which tasks and competencies are needed to initiate the transformation. Form an interdisciplinary nucleus of internal and external forces, of visionaries and realists; in any case, take areas such as production, purchasing, logistics, marketing on board. In heterogeneous teams, in which different types of behavior have to cooperate, there is more friction and conflict than in a homogeneous team, but the results in terms of innovation and change of perspective are simply better. Not the position is decisive, but the way of thinking and acting of the contributors. Ensure that the core team is on an equal footing; no one has more power and influence than anyone else. In Fig. 6.4 you can see all six steps to form and empower an agile core team.

6.3.3 Complex Tasks Give the agile team (you can also form several agile teams in parallel) complex tasks. For example, the optimization of internal communication, the development of a customer-­ oriented multichannel offer or the change from lone fighters to real user teams. The more

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complex and explorative the challenge is, the less the team falls back into old processing patterns from classic project management. When the old methods no longer work, people are quicker to adopt new ways out of necessity. Use tools such as stakeholder mapping and persona interviews to create suitable requirements and acceptance criteria for the results. By doing this, formulate the task already from the user’s point of view or let the team design and conduct interviews with the stakeholders so that the customer is in focus from the beginning. It is important for me to reiterate that teams are not formed top-down. Leaders can participate and take on tasks, but they do not hold a leadership role per position in agile teams. To successfully break the old patterns, I strongly advise against this! The agile manifesto with its four paradigms forms the basis of the germ cells’ working methods (see Sect. 1.2). It would be consistent if you assign a core team to design and iteratively implement the transformation towards agile sales with the goal of integrating the entire organization. This is, of course, the most complex and courageous task you can give an agile team.

6.3.4 Freedoms and Competences The team needs freedom and sufficient competencies to be able to act in a self-determined manner. There are different levels of self-organisation. According to Hofert (2018), the first and lowest level of self-organisation is professional and content-related: The team organizes itself autonomously in terms of subject matter and content and makes decisions autonomously in this context. In the second level of self-organization, the team autonomously decides and plans its goals and how to achieve them. The highest level is managerial self-determination. Here, the team plans and manages its budget in a self-organized way and bears the economic responsibility. An example of level three teams are the micro-­ enterprises at Haier (see Sect. 6.2.1). The teams decide autonomously and like their own companies on personnel as well as other income and expenses. Which level of self-­ organization you want to allow depends on many individual factors. In my experience, a core team should have at least level two of self-organization and be able to control all relevant technical issues as well as the large and small goals in a self-determined manner. In no case is self-organization to be confused with anarchy or chaos. Quite the opposite: due to the clear transparency and the framework design, the decisions and competencies in agile teams are much more clearly and concretely defined. The level of responsibility and decision-making is shown very concretely via frameworks such as the Delegation Board (Sect. 10.3.2) or the Teamcanvas (Sect. 10.3.1). Consider with the teams from the beginning how to create safe spaces in which new ways of working and innovations can be shaped. Like a tender plant, new ways of thinking and experimentation need protection from routines and sceptics. Space here means both a local and an ideal space. As in a greenhouse, the new teams should be able to experiment in a protected space, but at the same time allow transparent

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access for all other teams. It would be fatal if the new were experienced as alien and hostile and accordingly rejected or even fought against by the others. Right from the start, good networking and the inclusion of all employees are of crucial importance.

6.3.5 Role and Team Building Even in modern times, the same interaction patterns apply interpersonally as they did decades ago, or basically even centuries ago. At least the ability to deal with conflict has obviously not yet developed significantly. When I look at the political situation, I hardly find more intelligent ways of dealing with different interests than was the case in the Middle Ages. The serious difference from today may be the more subtle way of waging war or exercising power. Fortunately, most teams are more mature than the political minds of many nations. At least they don’t usually butt heads. Still, dealing with difference remains a challenge. And that’s what we want to encourage in agile teams. In other words, divergence is a success factor for diversity of perspective and generation of ideas. Instead of homogeneous harmony, we want controversial discussions to develop better solutions. What are the best conditions for this to succeed? For this purpose I have contrasted the competence fields and disruptive fields of teams (see Chap. 7). Every team building process follows phases. As early as the 1960s, Tuckman described the forming, storming, norming and performing phases (see Fig. 6.3) with their typical dynamics and challenges (Tuckman 1965).

Fig. 6.3  Phases of team development. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Team clock according to Tuckmann

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Even today, a team needs at least a year before it can enter a high-performance phase. The earlier the members act in a self-organized manner, the faster they pass through these phases. A decisive breeding ground for fast and healthy team development is psychological security. As the American psychologist Amy Edmondson (2012) has researched, safety is the most important factor for team intelligence. Because only when people dare to speak up, even about dicey things, will teams be able to correct themselves, analyze and fix mistakes. The best teams make the most mistakes, Edmondson provokes in her publication. Do you also think in the first moment that this is a contradiction? At the second moment it seems logical and understandable to everyone: Good teams make more mistakes because, on the one hand, they don’t cover up the mistakes and, on the other, they have the courage to learn and try out new things. Further development is only possible with an open error culture based on the trust and perceived security of each individual. Nowadays, we can no longer offer people the same security at work that our parents experienced. In the future, 30 years or more of service will hardly be imaginable. Today, security must be defined differently from a secure job for the next decades. What security can we offer instead? In my observation, the most effective security we can offer people is the certainty of making an important contribution as a human being and of belonging. Is my contribution relevant, is it heard? Can I give myself, just as I am? Are my talents and strengths in demand? Am I allowed to make mistakes and grow in the process? Am I supported and seen by others? If you can answer “yes” to these questions for your team, you’ve built a secure foundation for everyone.

6.3.6 Agile Expertise Ensure knowledge and know-how. Start with agile values and principles. Without the appropriate mindset and the example of agile principles, no frameworks will work. Get external expertise in the methods and frameworks. Let the team experience agile working. Train agile ambassadors competently (coaches or moderators). And above all: Develop your managers into agile thinking and acting beacons in their areas. Suitable agile frameworks and methods are the optimal framework to explore and learn the playing field of agility. Many teams make a crucial mistake, which they do not recognize as such and thus do not learn from it: They change the frameworks and methods far too quickly and adapt them to their needs. This is sometimes really fatal. I recommend learning agile practices according to the Shu Ha Ri principle (Hofert and Thonet 2019). The Japanese martial arts distinguishes three learning phases that a student goes through from the beginnings to mastery. “Shu” is the first phase of learning and translates to “obey or comply”. In this phase, the student follows the learned rules and steps without exception. He must follow the process exactly, not questioning or changing anything. Strict discipline is the motto. No matter what method or framework you introduce to the team: In the first learning phase, strictly adhere to the rules and processes: If you introduce a daily meeting,

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for example, in which you exchange information on the status of work for a maximum of 15 minutes per day, then it is crucial for the effectiveness to conduct the meeting in a disciplined manner according to the following scheme: • In the same place and at the same time, no more than 15 minutes. • Everyone participates equally on three questions: What did I implement yesterday? What obstacles did I encounter? What will I tackle today and where do I need support? • The facilitator or master then removes the obstacles so that the team can work undisturbed. All too often, I coach teams that adapt frameworks to their own needs after just 1 week. Then, for example, in the daily – because it seems so practical – one or the other obstacle is discussed or the “breaking news” from the company is discussed. In the blink of an eye, a few minutes become half an hour and the focus is lost more and more. Four weeks later, half of the team is no longer interested in the daily meeting because it simply eats up too much time and the topics no longer seem relevant to everyone. In short: The shortened form of a classic team meeting is now called Daily, the actual meaning and benefit has turned into an additional burden for the team. Conclusion of the team: “Daily doesn’t do anything for us!” It makes much more sense to have a facilitator model the Daily for the first few months and adhere to the structure decisively. Only when this is, so to speak, in their sleep, can someone else in the team take over the moderation. The process still remains the same. Only after about a year is the team free to decide on a change and test the effect.“Ha” is the second phase of learning and can be translated as “(to) break open, become free, digress”. When the student has really mastered the rules and steps, then he may begin to interpret them and vary them according to the context. In the first phase, he has learned the benefits and internalized the meaning of the rules. In the “Ha” he has acquired the competence to reinterpret them for himself. To stay with our example, it can be emotionally and mentally very effective for a team to ask the question “What went well yesterday?” at the beginning of the meeting. This focuses everyone on the positive issues and ways of looking at things. “Ri”, as the third phase of learning and the highest level of the art, means “to leave, to separate, to cut off”. Here the student has become the master. He can leave the patterns and structures and develop his own things. In the “Ri” everything is so internalized that one becomes independent of the method. The team is so well-rehearsed and experienced that it breaks away from the strict structure and only needs a Daily every third day to fully coordinate. It doesn’t help us and we don’t really continue to learn if we adapt too early. On the contrary, we then sell old wine in new skins by just keeping a new title and filling it with old patterns. We look for countless new impulses and long for a recipe for change. The only thing that will move us forward is consistent pattern interruption. Letting go of something familiar by implementing something truly new. Figure 6.4 shows how you form and enable agile nucleus cells that then initiate various initiatives and experiments in the course of the transformation.

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Let's Start - Agile Germ Cells

3 Complex task 2 Set up: Agile nuclei

Customer & Stakeholder

corporate governance

4 Freedoms and

1

6

T R

3

5

C E O

5

Te buam ild in g

Agile Expertise

1

2

4

ST A

Let’s Start. Measuring the degree of agility

competences

6

Fig. 6.4  Forming and enabling agile nuclei in six steps. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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6.4 Think Big: Holistic Transformation Do you want to go further than just agilizing some areas with a hybrid model? Is your company ready for a holistic transformation? There are several structures for scaling, i.e. transferring to the entire company, such as LeSS, Nexus and SAFe. You will search in vain for a “one-fits-all” strategy and a recipe for success for your organization, because there can be no such thing. The cultures of companies are simply far too different. Each area and each organization harbors its own spirit, shaped by individual imprinting. This cannot be reshaped or overwritten according to a pattern. What we can do, however, is to work together to develop sustainable strategies and innovative forms of collaboration, and to learn from and with each other in the process. We can share transformation stories and condense experiences transparently and openly, as in John Stepper’s (2015) Working out Loud framework. Although I am dedicating this book to cultural change in sales, we can only speak of an agile transformation from flight level 3 (see Sect. 5.6.3) – and this always affects the entire company. Only when the culture shifts away from bureaucratic “do the right thing and avoid mistakes” and competitive thinking to open reflection and cooperative experimentation, and only then can we speak of an agile organization when the structure shifts away from the pyramid and towards swarms. But how could an entire organization become an intelligent swarm of hundreds of agile teams and interacting networks? Six Milestones for a Holistic Transformation Is it possible to transfer the flexibility and creativity of agile innovation models from team level to the entire organization? The six milestones described are only intended to provide a stimulus and inspire you, the reader. Learn from the companies that are boldly experimenting as pioneers and visionaries and reaping plenty of successes and failures, and go further. Find your own path that builds on your foundation and become a beacon for others as described in Sect. 5.2! Learn from the experiences of pioneers and visionaries and use the following suggestions: • Create a shared understanding of the urgency and purpose of change and develop a vision from the customer’s perspective. • Expose and analyse your bottlenecks and pain points from the customer’s point of view. Stakeholder interviews and customer journeys with internal and external customers and partners help. • Form interdisciplinary, agile navigation teams that deal with governance, planning, coordination, architecture, staff development, etc. in synchronized sprints and collaborate as a swarm.

6.5  Scaling According to the Spotify Model

133

• Initiate user teams around the products and services whose mission is to alleviate the pains and increase the gains of today’s and tomorrow’s customers. Have these unique experiences developed and delivered to users across all three horizons (see Sect. 5.5). • Create opportunities and tools for enterprise-wide visibility and collaboration. • Reflect on progress towards your vision at all levels and ensure ambitious goals and results in the core teams. Create a culture of self-determined participation of all employees and partners. Objectives and Key Results (OKRs) are a good way to do this (see Sect. 10.2.3).

6.5 Scaling According to the Spotify Model Originally stemming from the Swedish music start-up, this agile organizational model has become a model for a comparatively simple transformation of a classic organizational form into an agile company. The Spotify model distinguishes between the following areas/ teams (see Fig. 6.5):

Spotify Modell

7ULEH

7ULEH

3URGXFW 3URGXFW 3URGXFW 3URGXFW 2ZQHU 2ZQHU 2ZQHU 2ZQHU

3URGXFW 3URGXFW 3URGXFW 3URGXFW 2ZQHU 2ZQHU 2ZQHU 2ZQHU

&KDSWHU

&KDSWHU

*XLOG &KDSWHU

&KDSWHU

6TXDG

6TXDG

6TXDG

6TXDG

6TXDG

6TXDG

6TXDG

6TXDG

Fig. 6.5  The teams and domains of the Spotify model. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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• Squads: This is a team that is comparable to a Scrum team. It has all the necessary competencies on board to implement innovations independently. • Tribe: A tribe is a group of squads working on the same service or product. • Chapters: Chapters are made up of people with the same expertise from a tribe who regularly exchange ideas and develop their expertise together, • Guilds: Guilds are formed across the organization where people with the same professional background or interests come together to share knowledge and experiences. The Spotify model is a simple but thoughtful agile organizational form through which a company can structurally implement its transformation. But without the cultural shift towards other forms of power and leadership, the model will fail and be eclipsed by the old culture. Employee satisfaction will plummet, disillusioned teams will pave the way for change. ING-DiBa AG is currently experiencing this.

Example

As Germany’s first agile bank, the management wanted to drive the transformation. To do so, it used the Spotify model, as so many do, and let itself be accompanied by a management consultancy that is normally known for a hierarchical and exclusively profit-maximizing culture. According to research by Wermke et al. (2019), the transformation comes at the expense of employee and customer satisfaction. Overall satisfaction dropped from 81% in 2017 to 57% in 2018; that’s a dramatic crash. Bank executives also tell us in workshops about frustration and overheating. This can be a normal transitional phenomenon and recover after a while. But it can also be an indication of a lack of cultural change.

Only use the model if you are 100% ready to initiate a real culture change. Make sure that the customer and team cooperation are always at the forefront, not power-addled and possessive individuals. Spotify itself says it has long since evolved, and its Tribes and Squads were the organizational form that suited them in 2012. Always start with the crucial vision questions before moving on to form: • • • •

“Where do we come from and what do we want to preserve?” “Where do we want to develop and align ourselves?” “Why are we doing this? Backgrounds and triggers?” “What do we want this for? Sense and benefit?”

References

135

References Dixon M (2018) Reinventing customer service. Harvard Business Review. https://hbr.org/2018/11/ reinventing-­customer-­service. Accessed 14 June 2019 Edmondson AC (2012) Teaming. How organizations learn, innovate, and compete in the knowledge economy. Jossey-Bass, San Francisco Eisenkrämer S (2017) So agil ist Zalando. https://www.springerprofessional.de/agile-­methoden/ cebit/zalando-­zeigt-­wie-­radikal-­agil-­funktioniert/12129598. Accessed 03 Apr 2019 Fuhrmann R (2016) Veränderung von unten. Harv Bus Manag 3:68–72 Hamel G, Zanini M (2019) Harvard business manager. Januar 2019(S):25–31 Hofert S (2018) Das agile Mindset. Springer Gabler, Wiesbaden Hofert S, Thonet C (2019) Der agile Kulturwandel. Springer Gabler, Wiesbaden Kotter J (2015) Accelerate: Strategischen Herausforderungen schnell, agil und kreativ begegnen. Vahlen, München PayPal (2015) PayPal enterprise transformation. https://www.paypalobjects.com/webstatic/en_US/ mktg/pages/stories/pdf/paypal_transformation_whitepaper_sept_18_2015.pdf. Accessed 04 July 2019 Reimann S (2018) Agile transformation bei Swarovski. Managerseminare 245:48–52 Stepper J (2015) Working out loud: for a better career and life. Ikigai Press, New York Tuckman BW (1965) Developmental sequence in small groups. Psychol Bull 63:384–399 Wermke C, Scheppe M, Olk J (2019) Agiles Arbeiten, flache Hierarchien, offene Büroräume: Die New Work Illusion. Handelsblatt. https://www.handelsblatt.com/unternehmen/management/ job-­agiles-­arbeiten-­flache-­hierarchien-­offene-­bueroraeume-­die-­new-­work-­illusion/24896462. html?ticket=ST-­2917326-­Cf3ambdoYb1NYdJlhBTc-­ap2. Accessed 16 Aug 2019

7

Self-Organized Teams

Abstract

What are the competence fields of self-organized teams and which disruptive fields need to be solved? Which role concepts do the teams need and how do you measure the degree of agility that is already present? You will get all the answers with instructions and checklists in this chapter.

Self-organized teams are currently in fashion. Many managers find the idea of handing over operational management and day-to-day organization to the teams themselves more than attractive at first glance. Only at second glance do they realize how much more self-­ organization this change will entail and how far-reaching the impact on managers will be.

7.1 The Five Competence Areas of Teams Good teams have five competencies, which are developed to varying degrees depending on their level of maturity. Inspired by the dysfunctions of P.  Lencioni (2004) and their further development through my findings from more than 150 moderations of teams, the five areas of competence shown in Fig. 7.1 have emerged. The expertise of the individual employees in the required task area is a prerequisite. It is the foundation on which team performance and the outcome of all are built. However, when hiring and training employees, pay attention not only to professional competence, but also to social skills. Because the best expert blows up every team if he does not bring along emotional intelligence. Building on this, a team develops synergistically in the following areas and complements each other in the process. © The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_7

137

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7  Self-Organized Teams

Competence fields of Teams

Cooperative attitude and self-image for consistent self-reflection

Rules and Structures for frictionless Processes

Team spirit and culture for high Identification

Responsibility and Commitment for sustainable Target achievement

Trust and openness for constructive communication

Fig. 7.1  What makes a mature team? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

7.1.1 Team Spirit and We-Culture for High Identification Sales will not implement a “we” culture, let alone an inspiring team spirit, if the cultural and structural conditions for it are not created. As long as sales managers continue to exclusively track and measure individual goals or define and assign tasks and roles, the emergence of a “we” culture is doomed to fail. The transparency of individual performances and contributions is important for a team, but success must be measured by the team performance as a whole. Outcome instead of output should be the motto. Output is the performance that is measurably achieved in a task. In contrast, the outcome is the effect achieved at different levels by the task. For example, if your team contacts customers to point out a change in conditions, the output would be the number of confirmed customer contacts, whereas the outcome could be stronger customer loyalty and, as a result, the sale of further services as a good solution for the customer. Such outcomes are only created when a team thinks outside the box and thinks ahead. Thinking further, a team can look at its impact, i.e. its contribution at the societal level. Teams will achieve an impact and be proud of it, for example, by pointing out ecological

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connections to customers and offering solutions that benefit not only the customer and the company, but also the environment. As PHINEO gAG (2019) has demonstrated, the more impact matters compared to pure output, the more effective people are in teams. Figure 7.2 illustrates the impact chain. The results of the Opinion Monitor of Managerial Seminars (2018) revealed the following weighting as the most important factors that make teams successful: • • • •

56% Common Sense/Purpose 54% Empathy and social competence 52% Clarity of role and tasks, and 45% intensive interaction and broad communication

A shared sense of purpose is created when the emotional and rational benefits of a team’s mission are clear and tangible, with the customer at the center. Create a shared vision and mission with the team and ensure that each individual recognises their own contribution and benefit to the whole (see Sect. 5.2.1).

Impact logic Outputs: Services What we do and who we reach with it.

Outcomes: Impact Effects that we achieve with the target group. Impact: Contribution What we contribute to on a societal level.

Fig. 7.2  Output, outcome or impact? (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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7.1.2 Trust and Openness for Constructive Communication The basis of every good team performance is the trust to be able to represent one’s own opinion and to be accepted as a person and individual. Various research studies confirm the relevance of trust and psychological security (see Sect. 7.2.4). Google published its own study “Project Aristotle” in the New York Times, in which the company examined 180 of its own teams with regard to the perfect team composition. (Duhigg 2016) The name was derived from the appropriate Aristotle quote: “The whole is greater than the sum of its parts”. The critical factors for good teamwork were safety and trust. Above all, it is about that certainty that one needs to say or do things with which one takes a personal risk. This behavior becomes very clear when team members dare to think outside the box and question the unified opinion of a team on a topic or take a completely different position on it. Trust is not only existential in disagreements, it is also the basis for a good error culture. Without trust, errors are simply covered up, which in turn leads to immense problems and ultimately costs. In the past, you could tell when a machine was defective or something else went wrong on a factory floor: it smelled and smelled. Today, no one can immediately spot the problems and faults when they walk through offices. As a rule, the PCs don’t smoke and stink, but just as much goes wrong as before  – it’s just that no one sees it directly. This makes it all the more important to have the courage to disclose mistakes and fix them early on. “Fail fast and often” is a popular and frequently used credo for developing new ideas and being innovative. But without a culture of error, all that remains is a hollow sentence on the whiteboard. Therefore, as a consultant or manager, start by reporting your own mistakes and deriving your learnings together with the team. Don’t just talk about trust, but give it to the team and the individual employees. In my experience, it is wrong to wait until a team or employee has earned trust. Trust is the result of active action and a corresponding attitude, which everyone can give.

7.1.3 Responsibility and Commitment for Sustainable Target Achievement Responsibility and participation are crucial characteristics of agile teams. No one wants to take on obligations for something they cannot represent themselves, or better yet, have decided and developed themselves. People commit to solutions and implementations that they themselves consider meaningful and purposeful. This is, among other things, a problem of dominant individuals in teams. When a few always get their way and hold both the highest share of speech and ideas in the team, others switch off and no longer identify with the solutions. As a result, accountability and commitment to implementation decrease. It is more effective to create a framework and to give the team the opportunity to discuss and

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141

decide on their own solutions within this framework. Dominant persons can be limited by appropriate moderation techniques such as card queries or group work on ideas, thus giving the more introverted members of the team room to contribute their suggestions on an equal footing. Even a small hourglass helps to break up such dynamics by giving everyone equal speaking time on a topic. You can recognize a high level of commitment in teams very well by the following behavior: The team has discussed and distributed work packages together. After the stand-up meeting, an employee approaches a colleague and asks for a short feedback discussion. In the one-on-one conversation, he asks the colleague to finish his topics by the next day because his tasks depend on it and otherwise he will not be able to keep his own promises in the sense of the team management. This may sound obvious to you dear readers, but in my experience it is not. Only when employees engage each other constructively and yet consistently does the team perform work in this area of competence in the sense of agility.

7.1.4 Cooperative Attitude and Self-Image for Consistent Self-Reflection “Never change a winning team” or “Don’t change a running system” are sayings that everyone knows. But it is precisely this behavior that we want to rethink here. Only when a team is able to consistently question itself again and again and to rethink its own behaviors and problem-solving strategies, then it has a high level of competence in this field. More or less by chance, Scrum teams in software development have acquired the competence of reflection. Through the retrospectives (see Sect. 10.5.2) after each sprint, i.e. after 2–4 weeks, which are regularly defined in the framework, a team gradually learns the ability of self-­ reflection as a side effect, so to speak. Where else do normal teams take time to give feedback and look back on their collaboration? They usually only do so when something goes wrong, the team’s performance leaves something to be desired, or conflicts can no longer be kept under the carpet. Perhaps you know of exceptions, but for many it is rather the rule to look at the way of working together in the form of a team development every 2 years at the most. Imagine what would happen in your team if you really took 3 hours every 2–4 weeks to look at the strengths as well as the optimizations of the cooperation in an orderly process and to give each other feedback. Well-moderated retros change teams in any case and at the same time increase the level of reflection. The decisive factors here are the moderation and the appreciative interaction. For this, all the previously described competencies must be present in the team: trust, a sense of “we” and responsibility. Because only effective and appropriate retrospective formats lead to the corresponding increase in competence.

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7.1.5 Rules and Structures for Smooth and Effective Operations Do you start from the idea that agile teams are fun affairs where things are relaxed and everyone gets a lot of time and leisure for creative ideas and experiments? Do you think laissez-faire is a characteristic of leaders in self-organized teams? Then your ideas fit a typical misconception about innovative teams. I don’t know of any more disciplined and structured ways of working than agile frameworks. The frameworks provide precise process flows, principles and structures that are executed in a tight timeframe (timeboxing). Also or especially for innovation there are clear processes with highest discipline. As an example, I would like to describe a so-called design sprint, i.e. a process for the development of new ideas, as carried out by Google. Procedure of a Design Sprint

• Day 1: Understanding. On the first day of a design sprint, the problem is penetrated and considered from a company and customer perspective. Recent developments in the topic and past experiences are compiled and analyzed. At the end of the first day, all participants should have clearly understood the problem and the task should be defined. • Day 2: Finding solutions. The second day is all about solutions. Each idea is encouraged and recorded in this phase through different brainstorming techniques. Everyone participates equally in the brainstorming process. • Day 3: Decide. On the third day, the best ideas are identified and the corresponding user story is written. Everyone participates in a structured way in the evaluation and decision of the best ideas. • Day 4: Prototypes. On the fourth day, a prototype of the product is constructed from the selected ideas. The prototype must be vivid and usable for the feedback provider. • Day 5: Review. On the fifth day, the prototypes or the one prototype are demonstrated to various testers. Testers are real users who evaluate prototypes according to certain criteria. By asking specific questions, the developed idea is either confirmed or improved. It may even be discarded if the customers do not find the product suitable.

Discipline in implementation and transparent workflows determine the daily work of top teams. Many teams check in together in the morning and make their workflow transparent. Some even check out together in the evening and clarify open topics. Everyone always knows where the team and each individual stand with their tasks and how well they are performing compared to the goals they set themselves. Laissez-faire and anarchy are far removed from this reality.

7.2  These Five Disruptive Fields Block Teams

143

Interfering fields of Teams

Lack of Self-worth

Missing rules and structures

Demotivation

Prevention of Responsible takeover

Fear of Conflicts

Fig. 7.3  Obstacles for teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

7.2 These Five Disruptive Fields Block Teams Analogous to the competence fields, there are also disruptive fields in teams. It is never a question of avoiding interference fields, but rather of recognising and understanding them and identifying the development task of the team. Let us take a look at the interference fields (see Fig. 7.3) and the resulting tasks for the team.

7.2.1 Lack of Identification with the Sense of Purpose and Sense of We Most people want to contribute and find meaning in their actions. Who wants to spend their life doing meaningless activities? Although this seems so obvious and simple, many sales departments are still driven by the pursuit of revenue goals and profit maximization. Every salesperson understands the importance of the company’s financial well-being, but that’s not enough to create meaning. As described earlier, the most powerful motivators are contributions to the common good of society. If a team does not recognize a common benefit to the customer, the company, their colleagues, or at least to each individual

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themselves, then the bonding agent is missing. No amount of lip service from sales managers will help.

7.2.2 Fear of Conflict We talk a lot about how important it is to deal well with differences and conflicts. But even a glance at the daily newspaper shows us a very different picture of the lived reality. Trade wars, attacks, defamation, divorces etc. make it clear how little people have developed in dealing with conflicts in a constructive way. No wonder, then, that conflicts cause fear and are perceived as threatening. I recommend that teams only share positive feedback with each other during the first period of collaboration. This includes everything that is strengthening, motivating and encouraging among each other. Only when the team is practiced in this and has developed a good team spirit can everyone feel safe and secure. Psychological security is the basis for trust in times of rapid change and volatility in teams. And without trust there is no willingness to engage in conflict. This only arises when everyone feels accepted as an individual and sensitive issues can be discussed without sanctions. This is the foundation for illuminating critical topics in small steps through well-moderated retrospectives and for confronting each other with mutual wishes and needs. But be careful: continue to consistently avoid blaming or educating each other!

7.2.3 Avoiding the Assumption of Responsibility Teams only take responsibility for tasks and coordination among themselves if they are given competencies and decision-making freedom to do so. Leaders must let go and trust the team; teams must learn to swim without the paralyzing fear of drowning. Without confidence in self-efficacy, no one will put their hand in the fire for an issue.

7.2.4 Lack of Self-Esteem Self-efficacy comes from self-worth. If there is a lack of self-worth, teams have neither the courage to make mistakes nor to stand up for anything. The lower the self-esteem pot is filled, the more likely mistakes are covered up, conflicts are swept under the carpet – and people talk about each other instead of with each other. But: everyone is a 10! That is my credo: On the scale of 1–10, not one is a five and the other a nine, no, all people are equally valuable and important. That means not flawless and certainly not fully developed – but equally important, just as they are.

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7.2.5 Structure Creates Behaviour “Structure creates behavior” – another favorite saying of mine. Because without structural changes, changes in behavior only remain lip service. Without clear rules, agreements, work and communication structures, teams remain far below their capacity. With clear rules, disciplined structures and processes, agile methods and frameworks characterize and turn agile teams into disciplined and effective teams.

7.3 Roles Instead of Positions Roles – like positions – have a great influence on people. You probably know examples where colleagues change just because they get a new position. Positions and roles are internally coupled with conditioned ideas about how their owner has to act. Probably the most drastic metamorphosis we experience as expectant parents. Mysteriously, our psyche also develops completely new abilities with this new role in life. We get by on half as much sleep, perceive our surroundings differently, our senses sharpen and our emotional life does somersaults. Not so drastic, but nevertheless obvious, is the changed logic of thought and action when we take on a new role at work. Just recently, I was able to observe this change during the training of internal sales coaches. Through the new role alone, the seven internal sales employees developed a completely new perspective, not only on their colleagues, but on sales as a whole. They discovered skills and views that they never would have suspected before in their years of service. For example, they suddenly evaluated team interactions from a professional distance and even recognized connections beyond their area. People have a natural talent that allows them to take on different roles. Provided we can identify well with it, we become a customer or a manager within minutes and can make a decision from the respective perspective.

7.3.1 Causes of the Role Phenomenon The cause of this phenomenon lies in our perceptual filters. We always and constantly filter millions of pieces of information that we take in through our senses. Filter systems (eradication, generalization and distortion) serve this purpose, sifting these countless pieces of information in a targeted manner depending on the focus. Let me demonstrate this with a little reflection. While you are reading these lines, you are probably not consciously aware of your heart beating and pumping blood through your body in its unmistakable rhythm. You may also not be aware of how your abdominal wall gently rises and falls with each breath and how your chest expands with each inhalation and contracts with each exhalation. Only now, when I direct you there through my words, do you consciously notice it. We automatically focus our attention and block out the other

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information accordingly. Similarly, our perceptual filtering works for roles we identify with emotionally and rationally. Instantly we rescreen the information and as a result behave differently adequate to the role.

7.3.2 Task-Related Roles In agile sales, leadership is lateral, i.e. at eye level, through different roles in teams. Each role is equal to the others and has a focus relevant to the team’s mission. It is optimal to discuss the purpose and mission together with the team and to select and title the roles required for this. This works very well for mature teams, as it maximizes self-commitment and role viability. For newly formed teams that are not yet used to collaboration and we-­ culture, employees can apply for the roles and are selected by experienced coaches or managers. Typical roles from agile frameworks are: Product Owner or Process Owner The product owner (or process owner in the case of new processes) represents the client. He defines the requirements for the product from the stakeholder’s point of view and defines his demands regarding functionality, usability, performance and quality. In doing so, he is in constant exchange with the customer and views the previous results from the customer’s perspective. • Do’s: –– Maintaining the Product Backlog: It ensures that the right requirements are processed in a sensible order. –– Representing the client side and thus all stakeholders. –– The prioritization of the product backlog. The goals are rapid value creation for the customer and an early return on investment. –– Moderates or attends the review to assess the sub-product (increment). –– Facilitates or is part of the planning meeting, to prioritize and estimate task packages for the next sprint. • Don’ts: –– Take on the role of boss for the team. –– Facilitate or join Daily Scrums without being asked. –– Influence the Sprint Backlog during the Sprint (new requirements, change tasks, etc.). –– Participate in the project as a team member, this would be a conflict of interest. –– Assume the role of master. –– Perform its task only at the beginning and end of sprints.

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Master No matter which framework you want to work with in sales: Secure the processes and dynamics of this new way of working with a master or coach. He is the soul of the process, so to speak, and ensures compliance with the framework and discipline in the method. • Do’s: –– Takes responsibility for the process and its correct implementation. –– Is a mediator and supporter (facilitator). –– Strives for maximum benefit and continuous optimization. –– Removes obstacles (!) –– Ensures flow of information between product owner and team. –– Facilitates Scrum Meetings. –– Keeps track of the timeliness of Scrum artifacts (Product Backlog, Sprint Backlog, Burndown Charts). –– Protects the team from unauthorized intervention during the sprint. • Don’ts: –– Take on the role of boss for the team. –– Distribute tasks. –– Take on a double function as team member or product owner (conflicts of interest!).

Team The team is at the center because it is responsible for implementing the requirements. It has equal rights to the master and product owner. • Do’s: –– Consists of five to ten people (larger groups are divided into several independent but communicating teams). –– Is interdisciplinary composed (developers, field service, office service, production, marketing etc.). –– Is his own manager and organizes himself. –– Decides independently on the distribution and subdivision of tasks. –– Meets daily for the Daily, in which team members provide each other with a brief status report. –– Delivers a partial product or service that is functional after each iteration and presents the increment in the review meeting. • Don’ts: –– Writing technical concepts or documentation, that’s what the Product Backlog is for. –– Being told how to do things. –– Neglect the backlog or to do’s. –– Confuse undisturbed work with laissez-faire.

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Agile (Sales) Coach The agile sales coach has several roles: On the one hand, he is the team developer and supports the development of a self-organized team. He knows the phases and dynamics in groups and can steer them in a solution-oriented manner. On the other hand, he has the ability to coach individual employees in the exploration of their strengths and talents and is present as a contact person for personal concerns. In addition to what a classic business coach should be able to do, he also has an eye on the factors influencing the transformation to an agile sales culture and advises leadership and teams in transition. He is, so to speak, an expert in change, both on a mental and methodological level. He can assess the potential of each individual team member and support them in better mastering change. • Do’s: –– accompanies teams in their development towards self-organisation –– is a mediator and supporter (facilitator) –– promotes the talents and strengths of each individual –– moderates the handling of obstacles and conflicts –– imparts knowledge and methods to establish an agile sales culture –– moderates retrospectives –– ensures networking with other teams and areas –– advises leadership and teams • Don’ts: –– Losing neutrality or impartiality –– Distribute tasks and roles –– be exploited by the leadership –– breach confidentiality

7.3.3 Behavioural Roles In addition to task-related roles, it is very effective in meetings or workshops to also establish behavior-related roles. The team defines functional roles together to counteract typical obstacles such as sprawling discussions, poor time management, boring contributions or one-sided dynamics. Your meetings and workshops become more dynamic, contributions more interesting and participation increases instantly. To achieve this, the relevant roles are selected and described together: What are the role holder’s tasks? When and how does he intervene? Which perspective does he take and how does he ensure good effects? Pull Instead of Push! A prerequisite for effectiveness in the direction of self-responsibility is the “pulling” of roles – at the beginning or during each meeting. So the participants pull the role they favor. If a team starts with the functional roles, I recommend the strengths-based choice; for

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advanced and mature teams, new and previously unpracticed roles are especially good for self-development. And here’s the guide: 1. Reflect with the team or workshop participants on typical hurdles that hinder the effectiveness of the meeting: sprawling discussions, boring contributions, one-sided viewpoints, lack of willingness to engage in conflict, monotonous processes, etc. 2. Define roles that clear these hurdles out of the way. Focus accelerators pay attention to the right focus, lateral thinkers consciously take other perspectives, principle guardians pay attention to the adherence to working principles and agreements. Name the roles and describe the tasks and behaviors. 3. In order to save time, I use role set-ups already described in workshops (see Figs. 7.4, 7.5 and 7.6) and let the participants choose which one they find relevant and want to take. 4. Use name tags or badges to indicate who is taking on which role. Important: It is sufficient to distribute only a few relevant roles. 5. As facilitator, ask the role holders for their contribution at the beginning. After a short time, the roles are so internalized that the people actively contribute from their perspective.

7.3.4 Role Canvas Especially at the beginning of the transformation of a team, there is often confusion about the tasks, competencies and obligations of the roles. The more clearly this is defined by both role owner and team, the fewer misunderstandings and conflicts arise among each other. • Mission: The mission (order) is at the center of the role canvas. In the case of the agile sales coach, for example, the order could be: “The coach supports the team and each individual in the development towards an agile, self-organized sales team. In doing so, he is a confidant and sparring partner who acts both empowering and challenging in terms of culture change.” • Do’s: Here are the tasks and responsibilities of the role. • Don’ts: What should the role owner never do? Where are the limits of his actions? • Objectives/OKR: What qualitative objectives are associated with the role and what quantitative measurement criteria are used to evaluate them? • Competencies/Skills: What skills does the role require? And what competencies are required for it? • Decide: At what level in the delegation board (see Sect. 10.3.2) is the role holder allowed to make decisions? • Working principles: What working principles characterize what he does? As a coach, for example, he stands for the values and principles such as respect, self-commitment, openness and communication

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Role cards Focus accelerator Task:

• Pay attention to the agreed focus during the meeting/workshop.

To Do:

• Lift up your role card and signal the group as soon as you feel a discussion/exercise or contribution is distracting from the goal. • Also, if a participant is too detailed in their posts, you give a Notice.

Lateral thinkers Task:

• During the meeting/workshop, watch for new perspectives and challenge group opinion.

To Do:

• Lift up your role card and signal the group as soon as you feel a discussion/group opinion is too one-sided and consensus-oriented. • Be uncomfortable and question the decisions and opinions if you feel there is a meaningful and important different perspective or way of thinking.

Persona Stakeholder Task:

• During the meeting/workshop, always take the characteristic stakeholder view and look at the decisions from the perspective of the stakeholder.

To Do:

• Raise your role card and signal the group when you feel the stakeholder view is relevant to the goal. • Provide feedback to the group from the stakeholder perspective on key decisions.

Persona customer Task:

• During the meeting/workshop, always take the characteristic customer view and look at the decisions from the customer's perspective.

To Do:

• Lift up your role card and signal the group as soon as you get the impression that the customer viewpoint and the customer benefit are no longer in focus. • Give the group feedback from the customer's perspective on important decisions.

Fig. 7.4  Functional roles in teams (a). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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Guardian of Principles Task:

• Pay attention to the agreed values and working principles during the meeting/workshop.

To Do:

• Raise your role card and signal to the group if you feel that a discussion, behaviour or contribution is not in line with the agreed values and principles. • Even if the interaction with each other no longer corresponds to the agreements or not all opinions are sought and heard.

The Time Keeper Task:

• During the meeting/workshop, always make sure that time is kept and request timeboxing and adherence to it.

To Do:

• Raise your role card or set a clock and give a signal to the group as soon as the time is not kept.

Moderator Task:

• Take on the role of facilitator during the meeting/workshop.

To Do:

• Moderate the meeting or the contribution. You are responsible for the methods and for ensuring that all contributions are heard. The participants are responsible for the results and content. • Visualize all contributions and suggest methods by which the team can achieve a desired result.

Strength finder Task:

• Find out the strengths of each participant in exercises and express them or write them down. • Also report strengths back to the team/group (quick decision making constructive discussions, listening, participating, etc.).

Custodian Task:

• Coordinate breaks with the group and ensure that the time (start and end) is observed. • Also ensure activation in between (fresh air, small exercises for mental fitness).

Fig. 7.5  Functional roles in teams (b). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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Facilitator Task:

• Observe the group and its interactions. Consider what can help and strengthen the self-organization and dynamics of the team.

To Do:

• Lift up your role card and give the group hints on how they can better solve a topic or task • If necessary, design a framework within which participants can arrive at workable solutions. • Provide participants with methods or guidance as needed to effectively complete tasks.

Fig. 7.6  Functional roles in teams (c). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• Frameworks/Methods: What frameworks and methods structure what he does? • Resources: What resources, competences, freedoms, cooperation partners etc. can the role holder use? • Interfaces: With whom should he continuously coordinate? Who does he have to keep informed? Which networks does he maintain?

7.4 Agility Level: How Agile Are We as a Team? How do you measure agility? What criteria and benchmarks are crucial for teams? There are different approaches, all of which have not yet been able to convince me. Svenja Hofert (2018) has developed a self-assessment that distinguishes four levels or degrees of agility. Figures 7.7 and 7.8 show an agility degree questionnaire that I developed together with Svenja Hofert. Based on the topics and ascending degrees, teams can assess themselves and recognize which potentials they can further develop. In my experience, there is a lively exchange between the members. Through the comparison of self-image and the image of others, a clearer picture of one’s own limitations and underutilized possibilities emerges. For some teams, the descriptions of the stages also led to disillusionment and to the realization: Where agile is written on it, agile is far from being in it. I call that a positive disillusionment, because it is the end of the deception and thus the start of a healing self-knowledge. Most sales teams start at degree one or two and pursue the goal of moving up a degree. The following topics are asked about and discussed in the test: • Customer centricity: How customer centric does a team think and act, which hierarchical hurdles slow it down? • Self-organisation: At what level does the team manage itself (technically and in terms of content, goal-oriented or also economically)?

7.4  Agility Level: How Agile Are We as a Team?

153

Agility level measurement of teams and organizations This gives you a rough estimate of the level of agility of a team. Each line represents 4 possible levels of agility within a topic. The team can either assess itself on the individual lines or you as a consultant, manager or coach can assess the team on the basis of the 4 levels per line.

Agility level Our team/ Our teams think and act in a customeroriented way.

Agility level 2 Our team(s) work with "personas" to integrate the customer view into all processes, products and services.

Agility level 3 Our team/ Our teams always have new ideas and initiatives to improve processes, products and services.

Agility level 4 Our Team/ Our teams consistently implement new ideas to improve processes, products and services while engaging customers.

Our team(s) can contribute their expertise and suggestions for improvement at any time.

Our team/ Our teams decide independently how to implement topics, both professionally and in terms of content.

Our team(s) have team goals instead of individual goals.

Our teams are involved in determining team goals.

Our team(s) have a budget available.

Our team(s) have been given a budget to decide on independently.

Our team(s) determine the amount of your budget and plan all expenses and income.

Our team(s) are operationally independent and self-organized.

Our team/ Our teams know the strengths of each individual and consciously use them for the team.

Our team(s) promote the goals and needs of each individual in addition to team goals.

Our team(s) fill the roles and tasks in the team in a self-organized manner.

Our team/ Our teams also regularly question their routines and optimise processes, structures and interactions.

Our team/ Our teams work independently in terms of subject matter and content and only coordinate with each other.

Our team/ Our teams determine their contribution to the company goal independently.

Our team/ Our teams organise themselves completely independently in terms of subject matter and content and make decisions autonomously within this framework. Our team(s) are involved in the goals of the company and determine/measure their contribution to them in a self-organized manner.

Fig. 7.7  How to measure the degree of agility (a). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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7  Self-Organized Teams

Our team(s) regularly exchange information with other divisions/companies.

Our team(s) network with other areas/companies and integrate the findings

Our team/ Our teams work empirically and share knowledge gained with internal and external networks.

Our team/ Our teams work empirically and iteratively and cooperate with internal and external networks and customers.

Our team/ Our teams accept differences among each other.

Our team/ Our teams consciously use different ways of thinking and acting to innovate and develop.

Our team(s) are cross functional with a team size of 7 (+-2) teamers with convergent and divergent thinkers.

Our team(s) are selforganized, cross-functional, agile nuclei that act according to agile values and principles.

Our team/ Our teams know agile frameworks and methodologies.

Our team(s) use agile frameworks and methodologies.

Our Team/ Our teams are experts in implementing agile frameworks and methodologies.

Our team/ Our teams are also constantly developing the frameworks and methods for their needs.

Our team(s) use meetings to share processing statuses and obstacles.

Our team(s) also do regular reviews with customers/stakeholders on increments.

Our team/ Our teams all actively participate in meetings and work together to ensure efficiency.

Our team / Our teams also regularly reflect and question their cooperation in retros.

Fig. 7.8  How to measure the degree of agility (b). (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• Roles: Are roles distributed in a strength-oriented manner and are they lived equally? Can the team choose and deselect the roles themselves? • Networking: How networked and at what altitude does the team work? • Cross-functionality: How cross-functional and interdisciplinary is the team set up? • Frameworks: How effectively are agile frameworks and methods used? • Communication/Meetings: How effective and conducive to development are the meetings and communication structures?

7.5 How You Decide in a Team Self-organization is very closely related to decision-making competence. If a team is supposedly agile and cannot even order pens independently, then self-organization is not worth a damn, but a farce. Every self-determined team needs a framework within which it can make decisions (see Sect. 8.2.2). If the framework is sensibly designed, there are different variants of decision-making depending on the topic and relevance. I recommend practicing and using the following four variants (see Fig. 7.9):

7.5  How You Decide in a Team

155

Decide Decision matrix Majority vote

simply h

all agreed, acceptance, sustainable, duration

fast, simple, familiar objections remain, separation

Individual consultative

Consent

all agree, veto power, flexible, factual preparation, duration

Consensus

complex

Expert involvement, thoroughness Duration

Topic professional consults with experts Decision

Fig. 7.9  Forms of team decision-making. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

1. Majority decision: The classic democratic majority decision is well known to us all. The advantage is a quick decision-making according to familiar rules. Classically, the moderator asks: “Who is in favor?”, and the decision is made by a show of hands or after a short discussion. The main disadvantage of this decision variant is the existence of objections and the overruling of other opinions. Thus, objections are not resolved, and the minority of the team is outvoted and not persuaded. This often perpetuates separation in groups, and the decision is not equally supported by all. Additionally, in the absence of majorities, bartering or even threats occur to gain a majority of one’s needs. The disadvantages are omnipresent in politics. 2. Consensus: Agreeing on a unanimous decision is a familiar and common process. It sometimes takes a long time because all opinions and objections must be heard and resolved until agreement is possible. Consensus is especially useful for basic team issues such as agreements to work together or setting team goals. It forms a solid foundation for a good “we” culture. 3. Consent: Consent comes from sociocracy and is an effective variant for complex decisions. As Bernd Austria (Österreich 2015) describes, in contrast to democratic decision-­ making, consensus does not ask “Who is in favor?”; instead, the question is “What are the objections?” The expressed objections are then discussed and, if possible,

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integrated into a new solution finding process. This provides a much better basis for decision-­making than before the question was asked. The sociocratic choice, then, is to involve the participants much more in the substantive development of the decisions. The person who raises an objection is also asked to participate in its resolution. He is confronted with the question: How can the solution be changed in such a way that your objection is dropped or weakened? Or what would the solution have to look like so that you no longer have a serious objection? The decision is also based on veto freedom, meaning that as long as even one person has a veto, the decision will not be accepted. Typically, there are different degrees of objection. The veto is the strongest objection. The goal of any decision is to improve the current situation. If no improvement is found, then the current situation remains until a better alternative is found. The sociocratic principle also allows the participants to decide by consensus on other decision-­ making procedures such as coin toss, relative majority, dictatorship and, above all, the consultative individual decision. 4 . Consultative individual decision: Some companies choose this variant if no consensus has been reached after a certain time. For example, a 10-minute timeboxing period can be set for reaching a consensus and then a decision-maker can be selected to make the individual consultative decision. The decision maker consults with experts and stakeholders to integrate as much relevant information as possible and then makes the decision on behalf of the team. This variant is particularly suitable for complex issues that the team cannot grasp in their entirety. Here is the process: –– Analyze decision-making needs: Who is potentially affected by the decision? What is to be decided? Which individual should make the decision and which people should be consulted before the decision is made? –– Select and empower the decision maker: The decision maker needs the competence and commitment of the team. –– Decision-making process: familiarisation with the subject, consultation, elaboration and comparison, decision. –– Announcement: The decision-maker presents his or her decision, explaining what options he or she considered, whom he or she consulted, and why he or she made the decision he or she did.

References Duhigg C (2016) What Google learned from its quest to build the perfect team. New York Times vom 25.02.2016. https://www.nytimes.com/2016/02/28/magazine/what-­google-­learned-­from-­ its-­quest-­to-­build-­the-­perfect-­team.html?_r=1. Accessed 03 May 2019 Hofert S (2018) Das agile Mindset. Springer Gabler, Wiesbaden Lencioni P (2004) The five Dysfunktions of a team. Jossey Bass, San Francisco Managerseminare (2018) MeinungsMonitor, Heft 245, August 2018

References

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Österreich B (2015) Verbunden im Konsent – die Prinzipien der soziokratischen Kreisorganisation. https://oe6.ch/2015/konsent-­prinzipien-­der-­soziokratischen-­kreisorganisation/. Accessed 15 May 2019 PHINEO gAG (2019) Wo geht’s zur Wirkung? – Stufe für Stufe zur Wirkungslogik Ihres Projekts. https://www.wirkung-­lernen.de/wirkung-­planen/wirkungslogik/bestandteile/. Accessed 15 June 2019

8

How Does Leadership Work in the Sales of Tomorrow?

Abstract

Leadership remains important and it is needed more than before – just differently. Get to know the competence fields of agile leadership in sales and assess yourself on the basis of the five leadership types. With the leadership principles, you will receive important approaches for your own further development.

Are we doing away with leadership now? We consultants encounter this question again and again. However, it usually requires a more complex answer or inquiry than the questioners expect. Because the real question is what significance leadership has in our time. Moreover, the terms management and leadership are often confused or even used synonymously. It is true that management and leadership ideally steer in the same direction. But as Peter Drucker – a pioneer of modern management theory as well as an original and independent thinker – once put it in a nutshell: “You manage things – but you lead people.” (Drucker 2006). Management means organizing people, systems and resources to create value for the company. Leadership, on the other hand, means both providing orientation and designing a framework in which people are simultaneously challenged and encouraged to perform. If you want to lead agile teams, this is especially important. With this distinction, it is already easier to answer the initial question: management can and should be placed more and more in team responsibility, agile teams organize themselves and thereby show a high level of self-commitment as well as mutual accountability. However, leadership is still important. However, it no longer comes exclusively “top-down”. Above all, lateral leadership, i.e. leadership without authority to issue directives, and self-management are on the

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_8

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rise. In this respect, there is more rather than less leadership in agile teams – just in a different way. Example

The management team of SEG AG’s service center wants to improve its performance. To do this, the six-member team first develops a common vision and then distributes management roles and responsibilities among themselves. Sabine, as moderator, takes responsibility for meetings and external communication. Jan is responsible for the strict adherence to the jointly agreed working principles such as transparency, simplicity and self-commitment. Lara, as team leader, is responsible for the management of the team tasks as well as the requirements from a stakeholder perspective. In order to prioritize the work packages and implement them independently, everyone decides to use a Kanban board. Leadership remains with Lara, but the management of the team takes place via roles and structures.

Leadership is therefore still important  – but please do it properly! For the self-­ management of the teams, roles and strength-oriented responsibilities help, as described in the example. But be careful: Do not allow the principle of self-organization to be used to relieve yourself of leadership tasks and to legitimize an unhealthy laissez-faire. Some leaders abuse agility to avoid their own responsibilities. This can end up like this: Example

At the agile leadership seminar, Mr. Müller sees the light. He finally sees the solution to his leadership problems. Self-organization is the magic word. At the very next team meeting, he cheerfully announces to his team to stay out of tracking and controlling from now on and to leave these tasks to the team itself. The team should agree and check each other. It doesn’t take 2 months before the team is so divided that it seeks help from the works council.

There is often too little talk about a common understanding of leadership and management. The result is misunderstandings as well as unspoken expectations and disappointments. In addition, the importance of psychological mechanisms is underestimated. Groups do not develop by themselves into a mature, self-organized and efficient team. Without structure, what should emerge does not emerge. Group dynamics experiments repeatedly show impressively how groups that organize themselves without a framework and leadership form hierarchies and become preoccupied with themselves instead of advancing goals and outcomes for the good of the organization. Too much leadership constricts and blocks self-organization. Too little leadership, on the other hand, creates conflicts and ambiguities. So what constitutes modern team

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leadership? A sensible answer could be: it provides orientation, ensures structures and strength-­oriented responsibilities. This sounds easier than it is in the end. Experience shows that this requires a mature, tidy and people-loving leader on the one hand and good structures and methods on the other.

Example

The internal sales team of the company Solotec decided to further develop its managers in agile sales management. The team and I were provided with three modules with practical transfer for further training. After we had dealt in depth with values and working principles as well as turned our own understanding of leadership on its head, all leaders were ready to hand over responsibility to their teams and to jointly design the framework for new ways of working with their colleagues. To put the transparency of workflows into practice, new team and shop floor boards were designed. These were to be used to guide the teams in self-direction and to make successes visible. The leaders wanted to delegate leadership to the teams and assign lateral roles according to the pull principle. When I came to the company 4 months later for transfer coaching sessions, the enthusiasm had turned to frustration and demotivation. What had happened? The CEO had imposed his own ideas of a digital board system. Monitors were emblazoned everywhere with KPIs consisting mainly of red target figures. No one felt like paying attention to the monitors, much less holding meetings in front of those frustrating red totals. Six months of enthusiasm and new ideas were wiped out in a week.

8.1 Synergetic Team Leadership For a long time, leadership in sales was limited to individuals or groups rather than real teams that performed their tasks in a self-organized and collaborative manner. In agile sales, with its team goals and innovative self-direction, this is set to change radically. What is often overlooked is the drastic change in leadership skills required to achieve this. Leading teams is much more difficult. Why is that? The simplest answer is: because teams are a complex system. They are not the sum of their individual members, but form a mutually influencing network. Interactions are therefore less predictable and controllable. The classic understanding of leadership and its many valid methods and competencies are by no means sufficient to master the challenges of synergetic team leadership. Any view of classical leadership was predominantly monocausal: the actions of leadership triggered a reaction from the employee and vice versa. Team leaders or lateral leadership roles that see their tasks in agile teams predominantly in terms of leading individual team members will fail.

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The more self-organized and flat the hierarchies are, the more different competencies and core tasks determine the leadership work. The Teamlead research project provides good guidance and approaches to mastering this new role (Teamlead 2018). According to Graf (2018), the most important tasks of synergistic team leadership are the following:

8.1.1 Difference Management Through sense-making and team spirit, a team feels united and at the same time accepts the differences of the individual people. It must be clear to the team what its mission is and it must understand the why behind it. Only then can it understand the meaning of its existence and grasp how it differs from other teams – and develop a common team spirit. The prerequisite is to understand and promote the meaning and benefit for the company, the customer, the team and each individual. Difference management also includes dealing with interfaces and networking the team.

8.1.2 Resource Management The team needs the necessary tangible and intangible resources to perform its tasks effectively. This includes not only the provision of material, human and financial resources, but also the feeding of competencies and further training. Recognition and appreciation are also important resources for teams. Make sure to communicate these and share positive feedback from other areas. Last but not least, failures or performance limits must be identified early on in order to compensate for them through redistribution or sensible substitutions.

8.1.3 Structural Management What structures does the team use? How is it organized and which roles are required – and with which tasks? Which frameworks are suitable and serve as a structural framework? All responsibilities and competencies must be in focus and constantly balanced. Structures are an important element of leadership, because good structures create new behaviors. “Structure creates behavior” is not just a saying, it is an effective approach to change. No one will give more feedback unless the structures within which this exchange takes place are changed.

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8.1.4 Process Management Precisely fitting use of standard processes and innovative creative processes. How do we make the workflows visible, how do we control the workload? What can we standardize and where do we need new processes? Which technologies help us? What is being renewed and digitized? Regularly cleaning out old processes and routines is an important component of process management.

8.1.5 Development Management The development of each individual is more important than ever. How can existing staff be trained and keep up with new ways of working? What development is in store for the team and what is the current maturity level? How do I keep the team in the “stretching zone” to allow for optimal learning without overwhelming? Which performance limits become visible and how can we compensate for them?

8.1.6 Reflection Management Reflexivity is a crucial skill in transformation. Because every development begins with the ability to reflect on yourself and your impact on the environment. In order to train yourself in the leadership role and teams among themselves, you need good retrospectives, i.e. meetings in which the review of the cooperation and the optimization possibilities for the future are considered in a structured manner in order to derive suitable learnings.

8.2 Competence Fields of Agile Leadership or the End of Narcissists The competency areas of agile leadership are independent of the field and industry in which you accept the assignment to lead people or teams. In contrast to classic leadership in the top-down culture, modern leadership is characterized more by roles and actions than by position and power. Provocatively speaking, this makes the selfish narcissists conceivably unsuitable as future leaders. On the contrary, it is not for nothing that the new leadership speaks of “servant leadership”, which, far from vanity and self-promotion, removes obstacles from the way so that the team can work and shine without disruptions. To illustrate this, I like to use the metaphor of an esteemed colleague and division manager, Axel Kamilli, who is literally a role model for leadership: when things are going miserably, a bad leader looks at the team and thinks or says, “It’s all your fault.” When things are going great, she looks in the mirror and

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Competence fields Leadership

Networking and Learn new things

Consistent Reflection animate

Sense and Orientation give

Frame design for Self-organisation

Obstacles off clear away and coach

Fig. 8.1  Competencies of modern leadership. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

thinks, “I’m great.” A good leader looks at the team when things are going great and says, “You guys are great.” When things are miserable, she looks in the mirror and thinks, “What can I do to improve?” But even the best professionals, who often became leaders in the past, often do not bring the necessary skills on a human level. Leaders must first and foremost be people-­ loving and mature individuals who nurture and encourage others and create a good framework within which teams can develop. Figure 8.1 shows the five competencies that make up modern leadership.

8.2.1 Giving Meaning and Orientation An extensive study by the University of St. Gallen (Teamlead 2018) confirms how essential the so-called “Purpose” (deeper meaning and purpose) is for people. Transformative leadership, in contrast to transactional, does not focus on performance through goal achievement, but on the meaning of work through a larger, desirable goal, and connects transformation with a comprehensive idea. Enough examples, however, show how

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crashingly such an approach fails if it does not serve a specific purpose. Ultimately, this approach only works if the organization’s business model creates a social benefit and contributes to the perceived common good. So let’s put an end to the marketing-driven phrases of sustainability and the we-improve-the-world slogan if it’s not true. Without the sincerity of its promulgators, such messages have the opposite effect and reap cynicism and ridicule in the workforce. The younger generation in particular can no longer be lured by profit maximization and increased sales to finance the bigger car or fancier yacht of the board members. The study clearly shows how strongly a contribution to the common good affects employee satisfaction and motivation. According to the study, 85 percent of Germans are concerned about the decreased attention paid to the common good. I have the impression that many leaders underestimate the sensitivity and emotional intelligence of their employees. The latter notice immediately how authentically and honestly what is said is meant. Conveying meaning and contributing to a better world therefore only works through credible role models. This starts with clarifying for yourself what your own contribution to the company should actually be. As a CEO, sales manager or team leader, ask yourself what you see as the meaning of your work. What drives you out of bed in the morning? What do you want to achieve and what traces do you want to leave behind? What do you want the teams to say about you when you retire? Such a clarification of motives is the basis of one’s own goal alignment and thus the ability to motivate others and make the world a little bit better in the process. Once your own intentions are clarified, you can work with your sales teams to consider how your offerings can help the mean. What is the greater purpose of the products and services? How can you perceptibly contribute to society? Example

Just recently, I was commissioned to train an agile core team in sales and to introduce agile ways of thinking and working as an external consultant and coach. After the first day of training, team leaders and participants approached me and thanked me, saying, “How nice to finally experience a trainer who really loves working with people and is on fire for what she’s teaching.” Somewhat taken aback, I inquired and learned how self-important and ignorant the agile consultant before me was perceived to be. It is in the context of transformation and culture change that we as trainers, consultants, leaders and coaches should radically reflect and seriously question our intentions. Our passion should not be profit maximization or selling our offerings, but improving the world of work for people.

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Frame design

Flexible pitch: Roles in the team Task distribution Working methods Working hours and mobility Agreeing sprint targets

Structures; frameworks and processes

Human, material and financial

Purpose and contribution to the vision, mission and tasks of the team from stakeholders

Decisions: What can the team decide and manage?

Fig. 8.2  The most important task of leadership. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

8.2.2 Designing a Framework for Self-Organisation I like to use a simple metaphor to convey the most important task of leadership in terms of strengthening self-organization: Every game has a playing field that limits the spread and gives a safe framework in which the players can move and try out freely based on defined rules. The manager is, so to speak, the designer of the framework. The clearer and more transparent the containment and rules are understood, the quicker everyone focuses on the best possible moves to achieve the common goals, rather than fussing with rank and pecking orders. Framing includes the decisions and competencies that the team manages independently, as well as the purpose and mission from the client’s perspective. Moreover, the given guardrails such as personnel, structures and budget are a major limitation of the field. Frameworks such as Scrum, Kanban or Design Thinking also provide a clear framework within which the team structures its way of working (see Fig. 8.2).

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Table 8.1  The obstacles in agile sales Target image Focus on the customer

Typical obstacles The organization fragments resources and responsibilities for products and services Self-organisation There are many hierarchical levels of superiors, which slow down the assumption of responsibility Increase in productivity A large staff at headquarters produces costs and consistently initiates expensive programs and procedures Faster value creation Independent silos don’t communicate, slowing down the entire processes process Team structures and “we” Individual goals prevent cooperation and team development culture Flat hierarchies Leaders want to maintain their power and position and then fill roles like product owner or tribe Lead without changing their behavior Innovation Teams are so overloaded with operational activities that there is no room for innovation. No resources are invested in labs or creative minds Reflexivity and ego There are too many preservationists or leaders who are stuck in the development “fixed mindset” and believe they themselves and others cannot change or evolve Networking and Other areas or teams separate themselves, there is an “us versus cooperation them” interface culture. Meetings are ineffective. Common learning is prevented by the negative error culture Agile ways of working: Lack of experience with frameworks and agile principles. Changing Fast, transparent and frameworks too quickly and lacking discipline in implementation adaptable Employee development There is too little investment in further training and coaching, or further training is provided on a scattergun basis. Trainings are inflexible and boring. There are no learning boards

8.2.3 Removing Obstacles and Coaching If the purpose and direction of the change are clearly communicated and the framework for the value creation process is suitably designed, the leadership has created a good foundation. In the further course of the collaboration between leadership and teams, it is predominantly the obstacles that determine everyday leadership. Your task is to identify the hurdles and to overturn them in such a way that the teams can once again fulfill their mission as smoothly as possible. In Table  8.1 I have added typical obstacles to the structural obstacles according to Kotter (1996). Some of them can only be solved by a good collaboration of the entire management team including the CEOs or board members or require a paradigm shift in the corporate culture. There will be no fewer obstacles in agile sales than in the classic sales structure. They will just become more obvious and will no longer hide under the carpets of the corporate corridors, forming major stumbling blocks there that no one is allowed to talk about. The

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taboos and company secrets are ideally brought out into the open. Then a decision has to be made: Are we prepared to continue to remain well below our possibilities and capabilities and limit ourselves in the market – or do we take painful and courageous steps and remove the hurdles?

8.2.4 Stimulating Consistent Reflection Another crucial lever is to raise the level of reflection and observational skills of managers and employees (Hofert and Thonet 2019). This requires a long-term process, but above all also structures and retrospectives to practice consistent reflection. Examining and comparing reflection cannot be prescribed, but sales management can provide spaces for reflection and lead by example. They can proclaim a self-image as a learning area and also set an example. How do you practice reflection? How do you give and receive feedback in order to successfully compare your self-image with your external image? As early as the 1960s, psychologists impressively demonstrated with their Johari Window that we have blind spots that others are aware of – only we ourselves are not (Luft 1969). Therefore, clues from our environment about these blind spots are extremely important and valuable for our development (Thonet 2019). First, to get to know ourselves better, but consequently also to understand the reactions we trigger in our environment through our behaviour. Nevertheless, giving and accepting feedback is one of the highest hurdles a team has to manage. In order to reveal projections of the feedback giver, the so-called I-messages help (I perceive x, this triggers y in me and wish for z). Often, however, inappropriate I-messages are sent, which cause much more frustration and justification than they would be helpful for the receiver and sender.

Example

• Team leader to employee: “For some time now I have had the impression that you are not committed to the common goals. This also frustrates the colleagues and spoils the mood in the team.” • Division Manager to Employee: “I feel like you don’t participate in our meetings and team tasks. I expect more engagement from you.”

Hand on heart: Do you think such messages lead to a desire for development and the strengthening of cooperation? Of course, these are not true “I” messages, but hidden “you” messages. But unfortunately, this is how feedback very often works in reality. To make sure this doesn’t happen, Gottman’s (2018) research can help. The couple therapist has observed the argument culture of married couples over many years to find out

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what works differently in stable and happy marriages. That’s how he found the 5-1 rule: happy couples are very likely to give each other critical advice, but they link each criticism to five positive messages. This can be a compliment – or just a wink or a smile. In teams, however, this rule seems difficult to implement. What works well with couples usually leads to soft and inauthentic feedback between managers and employees or among colleagues. The recipient perceives the effort of the feedback giver to first name three to five positive things before he actually gets to the relevant message. This can come across as contrived or predictable and thus not trigger the desired development. I have found a variant that, in my experience, makes feedback really constructive and generates resonance in the other person. Only then are impulses set that further the development. The trick to plus-plus feedback is reframing, i.e. reinterpreting the criticisms or wishes of the person giving the feedback into a targeted message.

Plus-Plus Feedback

Instead of packaging criticism, the “instead behavior” is verbalized. Instead of, “You don’t care about us as a team and only look at our work performance,” the plus-plus feedback would be like this: I think it’s strong how focused you are on our task completion and performance. If you also checked in on our well-being (at least once a week) or listened to our concerns, everyone on the team would feel even more seen and understood.

Figure 8.3 shows a simple template for formulating plus-plus feedback. That simple? Yes, exactly that simple and effective. But be careful: even the simple plus-plus needs to be practiced. The reinterpretation of perceived weaknesses and the “instead behaviour” require consistent rethinking and thus again the ability to reflect described at the beginning.

8.2.5 Networking and Learning New Things Although I am predominantly an individual in my profession, I network and cooperate with other trainers on an ongoing basis, both to learn new things and to take advantage of synergies and collaborations. Nevertheless, I am always amazed at how quickly I get used to certain processes and islands of knowledge. Networking means to keep moving and to leave the island striving. Consistently building bridges and resting on nothing is sometimes very painful and uncomfortable for the ego. Still, it’s worth it! Some of my older ones thought they could rest and reap and not need to learn anything. Unfortunately, 2–3 years later, they were already down and out.

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Strengths, skills, specialties, talents: (Name 3-5 strengths +)

If you build on that strength or complementing that behavior, strengthening it... (Name ++ behavior), that makes your performance even better, more effective, more understandable, ... for me.

Fig. 8.3  Template for plus-plus feedback. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Resting is done differently today, and that is through open spaces and creative spaces that we conquer together with others. Lifelong and joyful learning are the motto and the spirit of the future not only for trainers, but even more so for sales people who want to be up to date with the latest exciting market developments. Don’t just network within the organization and also not just with companies in the same industry, but use the exchange with other organizational forms, with role models in the field of agility and digitalization.

8.3  The Five Types of Leadership

171

8.3 The Five Types of Leadership I distinguish five behavioral types of leaders. Whether leadership is disciplinary and top-­ down delegated or lateral: People tend to activate ideas, values, and patterns through the role that determine their behavior in the role. The five types are not meant to represent pigeonholes, but stages of development that have been shaped by culture and value systems. The impetus is the Spiral Dynamics model, based on research on human consciousness development by Dr. Grawe in the 1950s (Krumm 2014). Beck and Cowan later elaborated and published the model (Beck and Cowan 2007). I have focused on the behaviors in the five types described here, which depend partly on the context and partly on the person’s mindset. So if you are the conventional leadership type and focused on order, safety, rank and expertness, then in agile change the next stage of your development will be towards being a performer. You do this, for example, by defining clear, measurable goal and performance criteria and leading people by them. Each development stage proceeds in a spiral and the subsequent one incorporates the previous thinking and behavioral logic (cf. Krumm 2014). Use the descriptions to assess yourself and identify what the next stage of development is for you. The five types below do not represent a valuation, because each is best suited for certain contexts and holds important competencies. However, for a new, modern understanding of leadership and flat hierarchies or networks, the development towards a flexible or holistic type makes sense.

8.3.1 The Conventional One • • • • • •

Color: Blue Agility level: 0 Mindset: authoritarian Values and perspectives: Discipline, tradition, morals, rules Strengths: Structure, order, responsibility, stability Description: The Conventionalist seeks stability through order, structures and laws. He values discipline, obedience and morality in accordance with a group’s code of conduct and corporate tradition. Blue leaders are willing to take responsibility and expect the same from employees. Employees are rewarded or punished according to the way they work, which is judged to be right or wrong. Structures and clear orders such as organizational charts provide support. Loyalty and expertise are highly valued and expected from everyone in the team. • Notes for further development: Question rules and working methods in favour of successes and effects. Communicate vision and goals. Make each individual’s achievements visible and use best practice. Establish KPI and/or OKR with the team as measurement criteria. Do not set rules, rather make agreements with the team (see Fig. 8.4).

172 Fig. 8.4  The blue type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

8  How Does Leadership Work in the Sales of Tomorrow?

The Conventional Team

8.3.2 The Performer • • • •

Colour: Orange Agility level: 1 Mindset: strategic Values and perceptions: materialistic, consumption-oriented, success, image, status, growth • Strengths: Ambition, Diligence, Motivating, Persuasive, Optimism • Description: The performer strives; to conquer the physical, outer world by understanding how it works. Success is subordinated to the will of the individual. In doing so, orange leaders develop and use positivistic and strategic methods. They strive for success for themselves and their team. Ever-higher goals spur performers on, and they view the world as a place full of possibilities and alternatives. They especially value autonomy, pragmatism, strategic thinking, goal-oriented action, and rewards for goals achieved. • Notes for further development: Transform individual goals and performance measurements into team goals. Give self-assessment and measurement of goals to the team. Compare strategies with the ideas of other behaviour types and ask for the team’s opinion. Create more of a “we” culture and learn to take a step back (see Fig. 8.5).

8.3.3 The Cooperative • • • •

Colour: Green Agility level: 2 Mindset: consensus-oriented Values and perspectives: Equality, feelings, authenticity, participation, understanding, community • Strengths: Balancing, empathic, consensus-building, respectful, tolerant • Description: The cooperative is predominantly concerned with his inner self and the personal development of each employee, as well as the common growth and relationships with each other. Green leaders crave acceptance and strive for harmony, peace and acceptance for all. They view all people equally, want to share and care. They

8.3  The Five Types of Leadership Fig. 8.5  The orange type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

173

The Performer

Destination

Fig. 8.6  The green type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The cooperative 1

accept and value differences and diversity. Networking is an inner drive for them; competition is far from their mind. • Notes for further development: Develop flexibility in thinking and acting. Develop acceptance of conflict and incompatibility. Learning to cope in ambiguity. Take issues and interactions less personally (see Fig. 8.6).

8.3.4 The Flexible • • • • •

Colour: Yellow Agility level: 3 Mindset: ecological Values and perspectives: natural systems, self-realization, multiple realities, knowledge Strengths: ambiguity-tolerant, behaviour-adapting, optimising, developmentally strong, versatile skills, openness • Description: The Flexible can deal with chaos and complexity. He focuses on the vision and experiments with new ways of working in his field. In doing so, the yellow leader explores new ways of connecting and feels playful joy in dealing with the new and complex. He values digital technologies as a tool to unlock new possibilities. He begins to understand the technological, global connections of digital media as a form of humanity’s nervous system. • Hints for further development: Study nature and the big picture. Center yourself and train mindfulness (see Fig. 8.7).

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Fig. 8.7  The yellow type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The Flexible

N e t w o r ks

Fig. 8.8  The turquoise type guide. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

The Holist Net w ks or

8.3.5 The Holist • • • •

Color: Turquoise Agility level: 4 Mindset: holistic Values and perspectives: collective individualism, holistic connections, change on a large scale, mindfulness, sustainability, world-improving. • Strengths: lateral thinking, creativity, mindfulness, reflexivity, wisdom • Description: The holist sees each system as a whole and not just as a composition of its parts. He recognizes the interlocking of forces, the dynamics and synergies at all levels. The Turquoise strives for new forms of cooperation, as nature exemplifies. He is aware of his thinking errors and limitations and strives to make the world a little bit better. • Hints for further development: Keep yourself busy with the simple issues of everyday life. The holist needs to ground himself – through physical activities such as sports or gardening (see Fig. 8.8).

8.4 Agile Leadership Principles in Sales We have already dealt with agile values and principles in detail in Sect. 5.4. Of course, these are also guiding principles for every leadership role. In order for everyone to be able to recognize where they can already put a green tick in their behavior and where there is still potential, Table  8.2 assigns principles and possible actions to the eight values as examples.

References

175

Table 8.2  How to translate leadership values into actions Value Commitment; self-commitment

Principles Self-organisation, meaningfulness and result orientation

Focus

Maximize the amount of work not done (as not necessary) Iterative work with timeboxing Transparency, learning new things, saying instead of asking

Openness

Courage

Respect

Communication/ collaboration

Feedback, reflection

Simplicity

Actions Promote strength-based autonomy Enables (pull principle) role-based self-organisation Clarify the meaning and benefits for the common good and each individual Avoid waste and focus on value creation through customer focus Prioritize workflow and drive fast results

Make workflow transparent in the team Promote continuous learning and knowledge sharing Make sure to try new practices Create a team climate in which everyone feels free to speak their mind directly Experimentation and error Encourage the willingness to make joy mistakes in the team and strengthen experimentation and risk taking Diversity and growth mindset Lead and develop the team in its diversity Provide for diversity through convergent and divergent thinkers, age, culture specialty, etc. Networking, active Actively involve customers and involvement and review stakeholders Create reviews with customers Networks within and outside the organization Feedback, retrospective, trust Develop a feedback culture and conflict readiness Concern for solutions instead of blame Organise retrospectives on a regular basis and promote reflection Baby steps, adjustment, Break down into small work packages increments Demand repetitions with adaptation Have subproducts (increments) valuated

References Beck D, Cowan C (2007) Spiral Dynamics – Leadership, Werte und Wandel: Eine Landkarte für Business und Gesellschaft im 21. Jahrhundert. Kamphausen Media, Bielefeld Drucker PF (2006) The effective executive: the definitive guide to getting the right things done. Harper Collins Publisher, New York Gottman J (2018) Die Vermessung der Liebe: Vertrauen und Betrug in Paarbeziehungen. Klett Cotta, Stuttgart Graf N, Könnecke C, Witte EH (2018) Synergetische Teamführung. ManagerSeminare 249:30–37

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Hofert S, Thonet C (2019) Der agile Kulturwandel. Springer Gabler, Wiesbaden Kotter J (1996) Leading change. Vahlen, München Krumm R (2014) Clare W.  Graves: Sein Leben, sein Werk. werdewelt Verlags- und Medienhaus GmbH, Mittanaar-Bicken Luft J (1969) Of human interaction. National Press, Palo Alto Teamlead (2018) Führen von Teams: Ausgestaltung der Führungsrolle des mittleren Managements aus systemischer Sicht mit Fokus auf der Steuerung von Teamprozessen: Abschlussbericht: Projektlaufzeit: 01. Mai 2015 bis 30. November 2017; Ismaringen: Hochschule für angewandtes Management GmbH. https://www.tib.eu/suchen/id/TIBKAT:1027831877/. Accessed 15 June 2019 Thonet C (2019) Das plus plus feedback. https://www.claudiathonet.de/agile-­moderation-­feedback. Accessed 19 June 2019

9

The Agile Sales Coach

Abstract

What can and does an agile sales coach do? How is he trained and what added value do internal coaches offer compared to external ones? Learn about the phases and methods of agile sales coaching and get an overview of the contents of this important role in the transformation.

Coaching as a behavioral and solution-oriented form of employee development is a meaningful and increasingly important task in the agile transformation. The mastery of central basic attitudes and methods is a necessary, but not a sufficient condition. Those who act simultaneously as a colleague and as a coach must also know their possibilities and limits very well in order to be able to switch back and forth between both roles with confidence as a professional relationship builder. In my experience, the agile sales coach is a crucial and culture change-enhancing role, with many “quick wins” for any sales force. Coaching is about supporting the employee to develop their skill or behaviour. Agile sales coaching also looks at the necessary steps and existing resources to strengthen the agility and adaptability of individuals and to accompany teams in self-­ organization. Either the coach starts with accompanying individuals in service or sales and helps to expand their relationship or sales competencies, or he accompanies and observes the working methods, structures as well as the communication of the entire teams and gives advice on how to increase agility. Often he is even entrusted with both assignments. It is recommended to build a team of sales coaches who can share their observations and network beyond the field.

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_9

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9.1 Internal or External Sales Coaches? Depending on the size of the sales department, it is advisable to have your own employees trained as internal coaches. At the beginning, however, an external, experienced coach may be the better choice. He has the competence and the experience to show the effectiveness of coaching in sales with expert glasses and to inspire the sales and service teams for the topic of coaching or training on the job. In a second step, an internal coaching team can then be set up. So far, my clients have only had positive and strengthening experiences with this. They kill several birds with one stone in terms of their department’s ability to transform: 1. They promote communication talents and top players and thus strengthen their loyalty to the company. 2. They initiate lateral leadership roles from within the service and sales teams, providing hands-on guidance and best practice to colleagues. 3. Own standards are developed and constantly adapted. 4. Employee development is spread over several shoulders. 5. The culture of reflection and feedback is sustainably promoted. 6. If you assemble the internal coaches from different areas (internal and external sales, production, marketing, purchasing, logistics), you simultaneously have an interdisciplinary team that acts as an agile nucleus across interfaces. 7. Internal coach and employee usually have repeated contact with each other. The boss can repeatedly perceive the employee “on the job”, observe and offer “first-hand” feedback. 8. Behavioural experiments are a central element of coaching. Corresponding situations can be actively created by the coach in the work context. In this way, the employee can practice precisely the behaviors that are in focus.

9.2 Building a Good Foundation Current studies consistently show that the success of coaching measures also depends on the methodological competence of the coach, but even more so on the quality of the relationship between coachee and coach (Cf. de Haan et al. 2016). A good relationship can already be “half the battle” for a successful coaching process, while a less good or even conflictual relationship makes coaching more difficult or even impossible. Consider the following aspects when selecting coaches and designing the assignment:

9.2  Building a Good Foundation

179

9.2.1 Role Clarity The clarification of roles is important for internal coaches: When changing from colleague to coach, the roles must be clearly and unequally distributed. In contrast to friendly or collegial relationships, a coaching relationship is characterized by the difference of roles. The focus is one-sided on the employee’s concerns and development: The coach tries to support the colleague as much as possible in his development and refrains from bringing his own issues or problems into the conversation. The comparison “I know that too” or “I do the following” is more of a hindrance than a support. Only one’s own solutions and self-developed behavioural alternatives are effective and implementable. The more professionally the coach is trained, the better he can distinguish the roles and reflect on his own issues.

9.2.2 Strengths Orientation The employee’s resources are the focus. This works best when the focus is benevolently directed towards possibilities and strengths and less towards limitations and deficits. People tend to meet expectations of any kind. Therefore, the coach should always expect the best. A consistent resource orientation is fundamental for successful coaching relationships. It makes a big difference whether the coach, when faced with a lack of competencies or behavioral alternatives, thinks and says, “The employee didn’t solve that well or did it wrong from the customer’s point of view,” or thinks and says, “He hasn’t solved that well yet” or “hasn’t done it right yet.” Because, as new research shows, intelligence is not innate or set in stone, as has long been assumed. Fortunately, Carol Dwerck’s research demonstrates that intelligence can indeed be nurtured and people can develop throughout their lives (Kuhbandner 2018). The only prerequisite: you have to want it and be encouraged to do so.

9.2.3 Building Trust The basis of any coaching is trust. A good and trusting working relationship is not a self-­ runner, but in itself the most important intervention. Even with the best relationship work with a motivated start, phases of dissatisfaction with the course of development or even the cooperation as a whole can arise at the beginning. The earlier and more sensitively such needs for discussion are recognised and realised, the greater the chance of not only clarifying conflicts, but even stabilising and expanding the relationship through discussion. Of course, such “meta-communication” (talking about how to deal with each other in the context of a relationship) can always be initiated by both participants; however, the coach bears the main part of the responsibility for this.

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Often, even before the first coaching session, there are uncertainties or fears about confidentiality, the role and the mandate of the coach. If teams express or show resistance to the coaching or the choice of topics, these should definitely be discussed first and used to build a sustainable basis. I include the wishes and needs of the teams from the beginning and deal openly and transparently with objections as important messages. The coachee is always my most important client, so to speak.

9.3 The Coaching Process As mentioned, the relationship has a significant effect on the effectiveness of coaching. In addition, the processing of developmental issues is particularly effective when it takes place within the framework of a clearly structured process. To describe the whole coaching process with its phases and diverse methods would go beyond the scope of this book. I will therefore limit myself to the prerequisites and some important steps in coaching. The structure and clarity about the process give both, coach and coachee, a safe framework in which learning can take place. In addition to clarifying the role, the coach should therefore present the expected course of the coaching at the beginning of the joint work. This reduces uncertainties on the part of the employee and at the same time provides the inexperienced sales coach with a structural framework on which he can orientate himself during the work. Figure 9.1 shows the phases of the sales coaching process.

9.3.1 Preparation Phase In most cases, the client and the team to be coached are not identical. As an external coach, the earliest you will be able to find out what the actual problems or wishes for change are is during the initial contact with the group. These two goals (client and team) must be reconciled. Care should be taken with assignments where the client has a fixed goal in mind. It can easily happen that one encounters unrealistic goals. Impossible goals are, for example, a “one hundred percent increase in performance” or the promise that the group will be an unbeatable team after ten coaching sessions. Coaching must not be used as an employee selection or only for individual weak employees. This weakens the team feeling, forms a two-class team and loses the positive effects very quickly. As a coach, you can only represent the following goal: to support the team and each individual in their search for resources and to point out paths. The team and the employees have to go these ways themselves. The following questions help to clarify the assignment with the client (sales manager, CEO, HR manager) – regardless of whether it is an external or internal coach:

9.3  The Coaching Process

181

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1. What is the company’s goal in coaching? 2. What are the criteria and how are they defined? 3. Has the works council given its consent? 4. Which professional-internal regulations exist (if necessary, training of the coach on the professional and internal facts is required)? 5. What are the employees’ perceptions of coaching? 6. Are there any ambiguities, fears, apprehensions, rejections? If so, from which employees? 7. What is their role in the team? 8. What type of documentation is agreed? 9. What is the intended coaching cycle? 10. How is the introduction of the coach made? 11. What is the time schedule? 12. What are the spatial conditions (among other things, so that a feedback room is available)?

9.3.2 Warm-Up Phase The main purpose of the introduction is to establish a good working basis. For this purpose, on the one hand, the way of dealing with each other must be clarified, and on the other hand, the further course of the coaching process must be agreed upon. The most

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important prerequisite for the effectiveness of coaching is the appreciative and resource-­ oriented attitude of the coach towards his coachee/colleague. This means that the coach honestly questions the extent to which he or she trusts in the employee’s abilities and development possibilities, in order to then explore the resources already available in the coaching process and to be able to build on them. Only then can the necessary trust be established. Among other things, this means that the coach openly addresses his or her own role conflicts and associated emotions. Because hardly anything weakens trust as much as when the elephant in the room (the obvious problem/topic) is ignored. The first step in building trust is to discuss the framework together with the employee and reach a workable agreement. The following questions must be answered honestly: • Does the employee want to be coached by the coach? What alternatives would there be (external coach)? • Which concerns are realisable by the coach (increasing efficiency, increasing motivation, further development within the scope of the tasks, conflict clarification, optimisation of customer communication, change of perspective, solving blocking convictions, etc.)? • Which concerns automatically generate conflicts of interest/role conflicts (internal resignation, conflicts between coach and employee, burnout, dissatisfaction or value conflicts with the company or the task, career aspirations outside the team)? • To what extent is the coaching content kept confidential and where is there overlap? • Does the reporting remain with the employee or does the coach take over? • Does the coach have sufficient coaching experience and competencies (target-oriented questions, authenticity, appreciative attitude, self-reflection, resource and solution orientation, etc.) with regard to the sales employee’s concerns?

9.3.3 Information Gathering Phase In the information gathering phase, the coach observes the processes, working methods, customer conversations, meetings, etc. at the workplace, depending on the client’s or team’s concerns. He notes down all observations, if possible from the customer’s perspective, and often uses prepared coaching sheets and profiles for this purpose. For example, the following topics are observed and collected: • • • • • •

Listening, listening with “customer ear” Recognize knowledge status and editing processes or patterns filter out the common thread and overall impression of the customer conversations observe the meeting proceedings Check work methods and processes for efficiency observe agile working principles and (if already introduced) frameworks

9.3  The Coaching Process

183

9.3.4 Reflection Phase During the work phase, the coachee or the team is specifically supported in exploring possibilities for achieving the discussed goal. In a protected setting, behaviours can be tried out, effects discussed and repeated adjustments made to the respective situation “on the job”. Both the targeted questions and the honest feedback from the coach play a particularly important role here. Prerequisites for constructive feedback are: • • • • •

a relationship based on trust and partnership at eye level get on the same wavelength as the other person take the other person seriously as a person be genuinely interested in supporting the other see the feedback process as a constructive problem-solving process, which is not about judging or condemning a person, but about solving a problem together • the coach sees himself more as a questioner than as a teller of tales • the coach can cite concrete observations of behaviour, rather than inferring or assuming characteristics and intentions himself • the coach should also be willing to receive feedback from others and be serious about learning – feedback should therefore be a two-way exchange process In the reflection phase, the coach always moves with the employee or the team in the learning zone. Because neither in the comfort zone nor in the stress or panic zone will the coachee learn and develop further. As a coach, always make sure that you assess your counterpart correctly and lead them into this learning zone.

9.3.5 Transfer Phase In the course of the transfer phase, the coach supports the transfer of the new behaviour from the “behaviour laboratory” to the everyday context. In the course of behavioural experiments, the coachee can test to what extent his new behaviour also leads to the achievement of the goal in “real life”. Examples of target questions are: • • • • •

What do you want to achieve? What are your concrete steps, what do you want to tackle first? What do you need to maintain your strengths? How will you know you’re implementing your goals? How will the customer notice it? What else will it affect when you have implemented the steps? • “On a scale” of 0 to 10 (examples to define the scale: 0  =  beginner in the field; 5 = already get along well with the work, 10 = am very competent where I want to go):

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• Where are you right now? • How did you manage to get from A to B? • What skills do you already have to get from X to the destination? Coaching should always be a “push” for the sales person or the whole team to change their experience or behaviour in professional practice. Therefore, the coaching must be planned and designed in such a way that the coachee can transfer his experiences from the joint work in the “laboratory” to the professional everyday life as far as possible and permanently.

Possibilities for Transfer Support

• Design practice situations in coaching as similar as possible to the corresponding real situation. This applies both to the conversation level and (schematically) to the environmental situation. • Agree on behavioural experiments for the time between coaching sessions. The course of these can be reflected from session to session and the respective behaviour can thus be adapted step by step to the coachee’s possibilities and the requirements of the situation. • Practice changed behaviours in several small steps and gradually let them flow into the real situation. This increases the acceptance of new behaviours in the social environment. Feedback from colleagues à la: “Oh, did you attend a seminar? When are you going to start talking normally again?” will certainly not bring about a lasting change in behaviour. • Review all processed goals after some time. In order to secure the successes and to make already integrated behaviours conscious, it is useful to review the goals agreed upon so far after some months and to appreciate the successes.

References de Haan E, Grant AM, Burger Y, Eriksson P-O (2016) A large-scale study of executive and workplace coaching: The relative contributions of relationship, personality match, and self-efficacy. Consult Psychol J Pract Res 68(3):189–207 Kuhbandner C (2018) Intelligenz ist nicht angeboren. https://www.sueddeutsche.de/bildung/ paedagogik-­intelligenz-­ist-­nicht-­angeboren-­1.4245200. Accessed 14 Nov 2019

How to Use Frameworks and Agile Methods from the Idea to the Roll-Out

10

Abstract

You want to know which methods and frameworks are suitable for sales and service? In this chapter, you will get an overview of frameworks and learn how they are related and how they are used. You will also learn which methods you can use and find instructions for experimenting.

What is actually different about the agile way of working in sales? Many say that it is the values and the logic of thinking and acting, i.e. the agile mindset, that make the difference. Others think it’s the working principles and the roles in the teams. Still others swear by the frameworks as the difference to the classic way of working or even the networks and circles instead of waterfall structures. In my experience, it’s all that and more. In the lighthouse metaphor (see Sect. 5.2), the essential components were described and put into an order. This order is merely for orientation and does not represent a sequence of logical steps. And this is exactly what is crucial: there is no order and no planning to be followed. Change can and must take place on many levels simultaneously, and you never know what will bear fruit when. We can only counter complexity by experimenting iteratively in small steps and feedback loops, looking at the effects and learning from them to test the next steps. The most important thing is to know where we want to go. What is our idea, our vision? What do we want our future to look like? What do we want to bring about? What is the purpose of the change? What are we doing this for? What benefit will it bring to our customers, sales, our teams, and each individual? In this context, the demming circle or PDCA cycle (see Wikipedia 2019a) describes the chain of operation on which any framework is

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5_10

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10  How to Use Frameworks and Agile Methods from the Idea to the Roll-Out

built. However, the classic PDCA cycle from project management is lived iteratively in the agile environment and extended by the recurring innovation, the think new from the customer’s perspective.

10.1 Overview of the TPDCA Cycle In order to arrange the various methods and frameworks into a comprehensible structure, I have assigned them to the five phases of the TPDCA cycle (see Fig. 10.1). For the most part, the methods are not specific to sales, but can be used in all areas dealing with complex or innovative issues. I have either tried out all the methods and frameworks described here myself in sales or recommended them to sales and service teams and received positive feedback.

Agile cycle: From idea to implementation

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The subdivision is fluid and should not be viewed statically. Some frameworks such as Scrum or Design Thinking can be used more comprehensively than in one phase in the cycle. Nevertheless, each method is assigned to a phase to facilitate the overview. 1. Think New: The agile cycle begins with the vision (see Sect. 5.2) and the future offerings and sales channels from the customer’s perspective. The following questions are thought through and developed “hands-on” in cross-functional teams: • What benefits does the sales department want to offer the customer in the future? • What is the unique customer experience of sales and service touchpoints (contact points)? • What pains will the customer have in the future, how can sales alleviate them and strengthen the benefits for each touch point? • Which innovations will excite the customer? • Which new products and services bind existing customers and open up new target groups? Innovative frameworks such as Design Thinking and Service Design Thinking are suitable for this purpose (see Sect. 10.2.4). 2. Prototyping: The best ideas are further developed as prototypes. A prototype is like a model of the idea that can be shown to the customer. Through the prototype, the user can sensually grasp and vividly imagine the product or service in order to better evaluate the idea. Based on the feedback from the stakeholders, a decision is made: Which prototypes do we develop further? In which innovation do we invest? Which of these will actually be implemented (see Sect. 10.2.11)? 3. Plan: To implement the ideas, work packages or user stories (see Sect. 10.3.4) are formulated and planned with the entire team. Implementation time, prioritization and capacities are jointly estimated, decided and made transparent in the planning meeting with the team (see Sect. 10.3.3). 4. Do: Iteratively, the implementation is structured by frameworks such as Scrum, Kanban or Shopfloor 4.0. The daily exchange about processing statuses and the focus on tasks help the team to complete their work packages quickly and effectively. I always warn against false expectations of agile methods: they will not necessarily be faster, but in any case more adaptable and therefore better for the customer. By involving the customer early on and providing feedback, the product or service will improve in every phase of the work (see Sect. 10.5.2). 5. Check: After an implementation phase that is as short as possible, the team reviews the results together with the customer or stakeholder and adapts them to the requirements of the users. The review is the appropriate meeting format for this phase of the agile cycle. Subsequently, the tasks are optimized and adjusted according to the feedback. 6. Act: Not only on the product side, but also on the interaction side is reflected before the next implementation phase. Check and Adapt is the motto. The retrospective is the ideal meeting format to reflect on and further develop cooperation with the team and beyond the team (see Sect. 10.5.2).

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10  How to Use Frameworks and Agile Methods from the Idea to the Roll-Out

10.2 Think New: Frameworks and Methods for Innovation The following selection of frameworks and methods seem to me to be particularly suitable for opening the door to more agile ways of thinking and acting in sales. You should pay particular attention to the preparations for this journey into the unknown. A culture change is a psychologically complex process that, in contrast to classic changes, involves a networked transformation of interactions, structures, processes, tasks and roles. In this context, I don’t believe that a quick-fix approach or a transformation roadmap is appropriate. I regularly disappoint companies that expect a plan for transformation from me as a consultant. Coaches and consultants cannot plan complex processes, but only iteratively initiate, experiment with and adapt them in small steps. For this reason, I start with an expert contribution by Miriam Sasse and Joachim Pfeiffer on OpenSpace Agility as an initiation ritual to think about agility together with all interested parties and to make first experiments. OpenSpace Agility describes a way to introduce agility with an iterative experimentation phase and to form a core team.

10.2.1  OpenSpace Agility Framework Expert Contribution by Dr. Miriam Sasse and Joachim Pfeffer Organizational change in sales is unpredictable because the complex reactions of the people involved often make the project unplannable. The only promising approach is to proceed in manageable learning loops and make the people in the organization co-creators. OpenSpace Agility (OSA) is one such approach. It is not a framework in the strict sense, more of an “engagement model.” While it provides a framework for transparency and learning loops, the core of OSA is to put people at the center of change. In concrete terms, this means actively involving the affected employees in the company’s development and shaping the future together with them. The only chance for profound change lies in inviting people to participate and also leaving them the option not to participate. For representatives of classic management cultures, this may seem unsettling. Nevertheless, established psychological models show that this stringency in voluntariness is necessary; practice proves the success of approaches such as OpenSpace Agility. Where Can I Use It in Sales? OpenSpace Agility – designed for culture change in working practices and leadership in product development – can be applied to many organisational development and continuous improvement projects. It refers to business changes that focus on strategy, culture, processes and leadership. We also call these transformations to express that they are more complex and extensive than ordinary changes. If sales areas are changed in these aspects, OpenSpace Agility is often the tool of choice. The iterative process can be used at any point in time – regardless of whether you are new to a transformation or want to reinvigorate a transformation that is currently underway.

10.2  Think New: Frameworks and Methods for Innovation

189

What’s the Point? OpenSpace Agility uses insights from the fields of organizational development, self-organization, anthropology, psychology and game mechanics and combines them into a selfcontained, new model. With this model, the chances of success of organizational development increase demonstrably. In the context of OSA, the Open Space Technology according to Harrison Owen offers the platform for the desired voluntariness and self-­organization (Owen 2011): In an Open Space Event, the agenda and the content are designed by the participants themselves. During the event, participants are free to decide whether and how to participate in the various discussions, and to decide what steps those present will implement next to achieve the following level of change in the organization. You read that right: The people in the organization determine the path themselves. However, the goal  – as before  – is set by the organization. If the words “voluntariness” and “self-organization” make you skeptical, we would like to confront you at this point with a provocative thesis: Self-organisation always works. From the very beginning, there are social structures in every company that function in a self-organized way. These are so strong that companies continue to function even when artificial processes and hierarchies are introduced that conflict with the natural structures. OSA assumes that transformation is agile: We change in small steps, evaluate regularly, adapt and learn from it. Voluntariness provides the transparency needed for this: what can and does the organization want? And yes, it may well be that a change in the area or department is not feasible at the moment. How Does It Work? In practice, the transformation by means of Open Space Events is divided into so-called learning chapters. OpenSpace Agility begins with the first Open Space Event and ends after about 100 days. You can see the rough sequence in Fig. 10.2. In the phase in between, the employees experiment with the new ways of working and leading in sales. The sponsor – a high-ranking manager – invites to the two Open Spaces and defines the desired strategic and/or cultural orientation in the invitation. In the first Open Space it becomes clear whether the (sales) organization can and wants to go the desired way at all  – a transparency that can be painful under certain circumstances. At the same time, ideas come to the surface and people emerge who were previously hidden by orders and commands and now become supporters of the change. These people and their ideas now define small experiments in the discussion rounds of the Open Space Event: What can we do differently in sales starting tomorrow? Which channels could we try out? Which partners could we contact? These are topics that the participants can simply “implement from tomorrow”. Larger experiments that require approval from top management can also be tackled, as long as they retain an experimental character and can be reversed in case of doubt. For sensitive topics such as remuneration structures in sales, proposals can be generated in Open Space, but these are less suitable as experiments.

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190 10  How to Use Frameworks and Agile Methods from the Idea to the Roll-Out

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After the Open Space, an experimentation phase of about 3 months begins, in which the committed people from the Open Space try out the planned new things. The formal leadership, the line structure supports them in this. The Open Space and the experimentation phase are also accompanied by coaches who use their experience to guide people in exploring the different approaches or concepts and in the learning process. This phase brings real life insights and thus helps to be able to assess the usefulness of the approaches. With the second Open Space Event, the organization has reached a new level of insight and performance; in the language of game mechanics, it has “leveled up” (elevated). During the second Open Space Event and afterwards, an energy is created that allows the organization to leave old behavior behind. In psychology and aerospace, this is called escape velocity: You build energy to escape the pull – of an old habit or planet. Thus, after the second Open Space, the organization launches into a more stable phase, but one that is still divided into learning chapters. At intervals of 6 months, learning chapters are closed and new ones are opened, each delimited by a two-day Open Space event. What Are Typical Obstacles? OpenSpace Agility cannot perform magic. It merely provides transparency about what the organization can and wants to do. Related to this is a consequence that less successful transformations often lack: the first Open Space, and thus the starting gun for the transformation, only happens when a powerful sponsor really wants the change and when all leaders are also on board. Executives support the goals of the transformation and the invitation-based approach. OSA will not be launched without the backing of the entire line management – any other change approach would also fail without this backing. The second important measuring point is the first Open Space: How many people show up there? Which people show up there? Is the right mix there to be able to define experiments in sales and move into the first learning chapter? Again, transparency about the organization’s capabilities can lead to postponing the start of the transformation. Why have only a few come? Have leaders not granted the space? Is the state of the organization and the need for change not clear? If the invitation to change is not being accepted, work on these issues with storytelling and info sessions. OpenSpace Agility also shows emotionlessly what your organization is capable of. The insight may often be sobering, but it is the basis for being able to regularly adjust the plans for change: an agile organizational development in favor of sustainable change. Finally, something that is close to our hearts. Unlike organizational changes, which focus on internal processes and interrelationships, the degrees of freedom in sales may be limited. Experiments, for example, must not be allowed to unsettle loyal customers under any circumstances. On the other hand, hardly any other area of the company offers such clear and measurable feedback on new ways of working and thinking as sales. Approaches such as OSA offer a great opportunity to improve customer relations and sales – together with all committed employees. You don’t have to start your first Open Space event tomorrow, but you should think about doing it today.1

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10.2.2  Vision and Strategy A Vision Quest is an ancient rite of passage or initiation. Rites of passage were and are known throughout the world in all cultures and serve to make the transitions from one phase of life to another conscious, powerful and supportive. Use the potential of our subconscious and imagination, which are naturally inherent in every human being. In a corporate context, vision journeys bring teams or areas the opportunity to create, align and recharge a shared picture of the future. This brings everyone together and sparks a very different power and direction than top-down communicated mission statements. Where Can I Use It in Sales? Just calling out the shift to more agility won’t be enough to change old patterns and sales mentalities. Start the change with a shared vision design. To do this, take at least one day, better 2–3 days off with the teams, book a place in an inspiring environment and ensure distance from the daily work routine. What’s the Point? A common direction and a tangible image of the future that seems meaningful and attractive to everyone unite conscious and unconscious forces in people; they are the basis of every fruitful we-culture. The vision is the foundation of an effective strategy that describes the path from the actual to the target; the goals are, so to speak, the agents of fulfillment on the way there. How Does It Work? 1. Invite all employees on a voluntary basis to shape the image of the future as part of an off-site. The invitation and the communication of the event convey how important, welcome and influential each individual is. 2. Visualize the urgency of change. Have stakeholders assess their market and how it will evolve over the next few years. The more complex the tasks and the more disruptive the market, the more agile ways of working are required. 3. Develop a vision together with the participants (see Figs. 10.3 and 10.4). Guided trances are suitable for this (see Sect. 5.2) or let the teams build a vision with Lego or Paper City. No matter which method you use: It is about an anchored vivid imagination of the possible future. 4. A common formulation of the vision is condensed from the ideas. In the past, visions were developed for 10 years and more. With the current market-­driven and disruptive changes, a time horizon of 4–5 years is usually sufficient. 5. The vision is viewed and formulated from four perspectives: What is the vision from a team perspective? What does it mean for the processes? What does it look like from the customers’ and partners’ perspective? What do we have to do from the perspective of the organization to realize the vision? 6. To link the vision with the goals and the contribution of each individual, the strategy canvas described above is suitable (see Sect. 5.3.3).

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Example of a vision - instruction

Fig. 10.3  Vision. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

What Are the Typical Obstacles? In my experience, the biggest obstacle is the lack of common understanding. Currently, strong objections and confusion are noticeable in the companies. In order to win people over to a shared vision and a creative process, the goal and benefit must be clear to everyone. The why and the wherefore need to be answered. Only when all objections are welcomed and concerns are addressed are people willing to engage in experimentation. Then they give up control in favor of creativity.

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Fig. 10.4  Hands-on vision made of cardboard. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

10.2.3  Objectives and Key Results: OKR Objectives and Key Results provide a framework for modern leadership. They link the goals of the teams and the contribution of each employee to the company’s vision. Objectives and Key Results are innovative in nature and can be viewed by the entire company. Companies such as Google, Twitter, LinkedIn or Zalando use Objectives and Key Results (OKR) – meaning goals and key outcomes – as a modern form of goal focus, in addition to or instead of the Key Performance Indicators (KPI) of traditional sales. In contrast to KPIs, OKRs have an innovative target character and concern strategic goals. Key results are assigned to each strategic and qualitative goal as measurement criteria. In contrast to classic, top-down goals, each team decides on its own responsibility which qualitative goals (Objectives) and quantitative results (Key Results) it would like to implement. What will be the contribution of the team and each employee to the vision in the next 2–4 months? So it’s thinking forward, into the future, with the question: what goals pay into the company vision? What contribution to the big picture will we make? It’s ultimately about transformational leadership. The question of contribution will only be seriously thought through and answered by teams if everyone sees the point and can identify with the vision and strategy. This approach is based on a pull rather than a push principle. People choose the goals, so to speak, and choose their contribution voluntarily. But: Only introduce OKR if you are willing to place the responsibility for the goals with the teams.

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Where Can I Use It in Sales? If you have developed a vision, the goals – as already described – are your accomplices on the way there. With OKR, you can make not only operational, but above all innovative and strategic goals tangible and measurable. Continue to use KPI in the transition period for your service levels and revenue numbers. Plan and reflect on OKR to gradually implement the path to agile sales. What’s the Point? It is of no use if you plan and implement OKR without transferring it into an iterative cycle with the associated roles and principles. The Agile PDCA cycle (Plan – Do – Check – Act) is also existential for goals to keep them alive and running. If, on the other hand, you do this seriously and keep it transparent via an OKR master and control it with the associated learning loops, then OKR can really “give wings” and fuel the transformation. How Does It Work? After developing and communicating the vision and change, start planning the OKR. In the process, each team independently formulates its goals and key results that feed into the company’s vision. In addition, an OKR master is chosen to be responsible for the process and transparency of the goals. Figure 10.5 shows the components and the rough process of OKRs.

Objectives and Key Results

Our & My Contribution Vision

Mission Statement

Moal

Where do we stand? What is going well? Obstacles?

O = What goals/contributions do we set ourselves (qualitative)? KR = What do we measure

Planning

(Milestone)

Goals & results at team & MA level\ Per Objective: 2-5 Key ResultsV We want to achieve x and measure that against A, B, C, D O: “We want to lay the groundwork for agility this year.” KR: 10% MA win for tasks/ roles KR: 3 Initiatives that deliver results KR: Every MA knows at the end of the year what we have worked on.

OKR cycle

(3-4 months) How do we scale ourselves? Self-Rating

Retrospective Conclusion and Optimization

Fig. 10.5  Sequence of OKRs. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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• Planning: The teams plan their qualitative and quantitative goals. The objective “We want to use agile working methods and structures to improve our service for customers” is made measurable using two to five key results – for example: 1. “Within the next three months, we’ll form a cross-functional team to serve one customer segment.” 2. “The team uses the Scrum framework and works through its work packages in sprints in a self-organized way.” 3. “The learnings are regularly communicated to the other teams. After six months at the latest, other teams will try out agile principles and structures.” An example of networking via the OKR Master is shown in Fig. 10.6. Similar goals are selected and planned by all areas and teams. The OKR Master provides visualization, coordination and transparency.

Example of networking OKR-Master with teams

Fig. 10.6  Dissemination of core teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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• Monthly: The processing statuses of the goals are briefly exchanged on a monthly basis. • Review: After 3–4 months, the teams assess themselves on the degree of implementation and adjust the backlog accordingly. • Retrospective: In the retrospective, the collaboration and the process are examined in order to implement learnings for the next cycle. What Are Typical Obstacles? I often experience how enthusiastically and devotedly OKR is planned for so-called soft and strategic goals, only to fall out of focus after 2 months. This framework will also only succeed through regular learning loops and lateral guidance by an OKR master. Often, each team or individual cooks their own target soup instead of making all objectives and key results transparent and accessible to everyone and maintaining them. This also requires a “master of the process” who ensures effective implementation.

10.2.4  Design Thinking Framework Design thinking is a systematic process for solving complex tasks. In contrast to many approaches, the focus is not on the company with its sales figures and revenue expectations, but on user wishes and user needs as well as customer-oriented experience. Our creativity also needs a framework in which it can develop and be guided. The structured process helps everyone involved to develop new offers from the user’s point of view that go far beyond the usual thinking. Using different types of thinking from different fields, use this framework to identify the pain points of your offerings from a persona or customer perspective. At the same time, look at the gains and pluses of all your services. Put yourself in your customers’ shoes and try to understand what they want. Through various creative process steps, you will create and test “hands-on” prototypes designed to deliver more value to customers. The framework was developed by David Kelley (see Wikipedia 2019b). Where Can I Use It in Sales? Generally, wherever new ideas and offers for new and existing customers are involved. The prerequisites are multidisciplinary teams of five to nine people, creative spaces and a competent moderator. What’s the Point? Design thinking, like all agile frameworks, is not just a method, but a philosophy in itself. The ways of thinking and acting alone promote innovative team spirit and help your teams to look at challenges and interactions differently. The methods and principles used in the process train customer-­centricity, observational skills, empathy and creativity. Through the process, people learn to think and act in new ways. Regardless of the direct return on investment or the expectation to come up with breakthrough ideas immediately, every team should get to know and use these methods. The phases of the DT process are shown in Fig. 10.7.

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Design Thinking In Design Thinking, prototypes of new products/offers are developed from the customer's point of view to meet their needs. 1 Understanding

2 Observe

Ask

What's the problem? Capture dimension...

3 Develop ideas

Hand

What are the needs of our target group/persona view?

4 Prototypes

5

s on

“Out of the box” solutions

What is the best solution in concrete terms?

How does the solution work in our practice?

Fig. 10.7  Phases of the DT process. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

How Does It Work? Google uses a shortened form of the process, called design sprints, to create new offerings in 5 days. A full design thinking process usually takes even longer and is ideal for the creation of new products and offerings by one or more cross-functional teams from different business units. The challenge is usually combining innovation with managing day-today operations. Unlike labs or start-ups, traditional distributors are more than busy with existing business. At the same time, there is a growing awareness of the urgency and necessity of breaking new ground. My credo is the both/and principle. Combine both while providing safe spaces to allow the new to flourish. Otherwise it will be swallowed up too quickly by the ingrained routines. Some of my clients form design thinking teams of five to nine volunteers from different sales and interface areas. They meet for 4 h a week, for example, and go through the process for months until they have developed attractive prototypes. In a pitch to the board or management, the best ideas are approved for implementation. The following five phases are distinguished in design thinking, whereby there are a variety of methods and techniques for each phase: 1. Understanding: The first step is to grasp the problem in its dimensions and understand it thoroughly. The following is researched: What exactly is the problem? Which areas are affected by it? How does it affect what? What are the backgrounds? Why does the issue exist? 2. Observe: The topic is then researched from the user’s point of view. For this purpose, personas are developed, prototypes of typical users. It is important to understand them emotionally and to give them a name and a face. What does Lisa Muster see, do, think and feel when she searches for the customer service contact number on the website?

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What pains and what gains does she experience? Interviews with real users in their everyday lives, which are then empirically evaluated, are costly but very valid. 3. Synthesis: After the observation, it is decided which problem should be solved. For this purpose, the collected information and impressions are visualized and interpreted in the team. The question is formulated as a user story with the acceptance criteria: Lisa finds the contact field for customer service on the website from any location after two clicks at the latest. On the way there, most of her questions are already answered. 4. Finding ideas: In the ideation phase, the team gathers as many new ideas as possible for the user. A variety of techniques such as the Six Hats, brainwriting, flip-flop technique, Walt Disney method, analogy technique, headstand method, etc. are used for this purpose. 5. Prototyping: The ideas are created iteratively in the team in the form of a prototype “hands-on”. This involves tinkering, drawing and making the idea tangible through role-playing. In this way, failures can be identified and remedied at an early stage. 6. Testing: The prototype is tested and feedback is gathered from users and stakeholders. The feedback loops serve to improve the prototype through error corrections and with the help of new ideas. The prototype must meet the criteria of “technological feasibility”, “economic viability” and “human desirability”. What Are the Typical Obstacles? Typical obstacle is the daily business. What team can take over a week to go through an in-depth design thinking process with no guarantee of a useful outcome and return on investment? I’m a fan of integrable and shorter time intervals. Use 2–3 day design sprints with your division or regular meetings of cross-functional innovation teams.

10.2.5  Design Thinking Brainstorming I like to use design thinking brainstorming in workshops. As an intro, I usually have the group discuss a topic in the usual way. Since regular plenary discussions very rarely lead to an effective result in a short time, I interrupt the “solution brainstorming” after about 10 min and ask if the group is interested in another way and wants to try it out. As you can imagine, everyone is open to new ideas after the previous frustrating discussion. Where Can I Use It in Sales? You can use the Design Thinking Brainstorming in every meeting. It always fits when you need an idea quickly from the customer’s point of view. The method brings better results in a short time than any usual discussion. What’s the Point? This comparatively simple method generates many learnings and aha effects for teams. Through the common customer perspective, the thinking of otherwise very different types

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of thinking is synchronized and steered in a common direction. It is optimal to create a persona beforehand, from whose perspective the thinking takes place. The tight timeboxing of 5 min prevents critical thinking loops and promotes focus. Also, writing instead of talking leads to completely different dynamics: Everyone is challenged to contribute their own ideas, while being able to see and use those of others. In my observation, when teams discuss in the process, less than half of the ideas emerge. With this method, the team will have developed and prioritized amazing solutions within 5–10  min. The aha effect is guaranteed. How Does It Work? 1. Write down the topic or question in a crisp formulation on a pinboard, whiteboard or similar. 2. Explain and visualize the following rules: • Everything is right! • Always think from the user’s point of view! • Spider around! • Build on others’ ideas! • Write instead of talk! 3. Give everyone a pad of sticky notes and a marker and set the clock (hourglass or timer) for 5 min. 4. Everyone writes down all ideas and solutions for 5 min without discussions and without internal restrictions and immediately sticks them on the wall so that everyone can see the ideas. It is important that each participant writes down each idea on his or her sticky notes and immediately sticks them on the wall so that the other participants can see the ideas directly and build their own ideas on them. 5. Once the time is up, the ideas are clustered (grouped). 6. Everyone is given either one to three sticky dots to mark their favourites. Alternatively, a cost-benefit analysis is carried out (see Sect. 10.3.5) to filter out the most effective solutions. What Are the Typical Obstacles? A typical obstacle is the discussion among the participants. The moderator is required to intervene here and stop discussions quickly. Some don’t dare to write down their crazy ideas or think that they can’t think of anything. I encourage the participants to write down: “I’ll think of something in a minute” until the next idea comes or they can build on the already visualized ideas of the others. Usually this works out easier.

10.2.6  Walt Disney Walk The Walt Disney Walk strategy goes back to the famous film producer and successful entrepreneur Walt Disney, who with his cartoon characters and films became a model of

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creativity and strength of implementation. As already described (see Sect. 3.5.1), NLPers have elicited the talents of geniuses and developed learnable strategies from them. The Walt Disney strategy goes back to Robert Dilts (1994). I like to tell the story of Walt Disney and his creative power: He had three rooms on his estate that he used for each new project in a very specific way. The first room was that of the dreamer. Like a little universe of its own, this place was designed full of creative possibilities and places to fantasize freely. This is where Walt Disney created all his ideas. Only when he had dreamed all his dreams and indulged in his fantasies, he left the dreamer’s state and went to the realist’s room. The planner’s room was equipped with everything he needed for planning and calculations. He now meticulously planned every fantasy he had previously imagined and formed actionable actions and concepts from it. Only when everything was planned and implemented did he leave this place as well and move on to the critic room. In the critic state, he looked at his plans and designs with an extremely scrutinizing eye and checked everything for weak points and errors. He then redesigned the solutions to the criticisms he found in the dreamer space. (Cf. Dilts 1994). Where Can I Use It in Sales? This creativity technique is used for innovation. You can use the method with individuals and teams whenever you want to explore and test ideas. This method is fun and leads to amazing results in a relatively short time – even with large groups. It is helpful to have at least three rooms, which are designed differently beforehand. Due to the clearly structured process and the change of perspectives, the method is also very feasible with critical participants and teams who are untrained in creative thinking. What’s the Point? The Walt Disney Walk brings fun and movement to the mind. It helps not to judge and evaluate new ideas right away, but to explore them before they fall victim to the critical mind. Especially for people who are quickly in the “yes, but” mode or turn on the inner critic with every idea, the separation into roles is helpful. How Does It Work? The core idea of the Walt Disney method is to think about a problem or an issue from the perspective of all three roles, to generate and refine ideas. You start with the dreamer and create value-free visions and ideas. Figure  10.8 shows the rough sequence of the Walt Disney Walk. The resulting ideas are then transformed into actionable plans and activities in the role of the realist. Only in the role of the critic is the examination for weaknesses and meaningfulness allowed and desired. Resulting questions and weak points can then be solved again in the dreamer perspective. For inexperienced teams, a facilitator is required to guide participants in their roles. I assign each role its own geographical location and design the spaces according to the role. The following perspectives and spaces are run through in sequence:

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Fig. 10.8  Dreamer, realist and critic. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Walt Disney Walk

Dreamer Everything is possible - ideas

Critics

Realist/ Planner

1. The dreamer: The dreamer generates and plays with ideas without thinking about their feasibility: “Everything is allowed!” He or she is oriented towards the future and infinite potential and possibilities. Design the space with anything that encourages creativity: Starry skies, music, craft materials, paints, flip charts, meta walls, etc. 2. The Realist: The realist is oriented to the current situation and seeks pragmatic possibilities for action. He considers how the ideas can be implemented and what is needed for this. He plans and divides the steps to the goal. The room should have sufficient writing space, access to computers, whiteboard, etc. 3. The critic: He considers the strengths and weaknesses of ideas. He tries to identify aspects that have not yet been thought of and asks himself what can be improved. What Are the Typical Obstacles? A typical obstacle is the interference of the critic in the dreamer space. Most of us are so used to immediately looking at every idea with a critical eye. As a result, many good ideas are not explored and are stymied too early. The facilitator is challenged to keep the dreamer space truly free of critical comments.

10.2.7  Create Persona A persona is a fictitious characteristic person that represents a typical customer group. There are validated personas that are analyzed, clustered and described based on empirical data. Or fictitious personas that are selected and described by sales employees themselves based on their experiences with customers.

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Where Can I Use It in Sales? For me, personas belong in every sales department. They help when looking at and developing sales and service processes, in meetings or when developing new ideas and approach strategies. If a persona is really well created and integrated, then the team automatically talks about Markus, Laura or Louis when it comes to the customer’s view of something: “Laura would find this helpful and would appreciate the tip from us.” Or, “Markus won’t order online anymore if we charge delivery fees.” Some companies even use personas in meetings: a chair is reserved for the persona’s point of view, and when important decisions are made, an employee acts as a proxy for the customer’s point of view by sitting in the chair and formulating the customer’s opinion. What’s the Point? Personas have a lot of positive effects: consistent customer orientation, change of perspective and jointly focused thinking towards one goal, namely to understand the customer and to be useful for him. How Does It Work? I recommend the following steps (see Fig. 10.9): 1. Choose the question you want to look at. 2. Validate the typical customer group affected.

Fig. 10.9  Instructions for a persona. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Create persona

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3. Create a profile for the customer group. For this purpose, the team or a small group of three to five participants jointly consider the answers to typical questions and topic areas about this persona. On the one hand, factual answers are given to questions such as name, age, occupation, marital status, place of residence, car make, media use, length of service, etc. On the other hand, personal questions are answered, such as: What do you do for a living? On the other hand, personal questions are answered such as: Life motto, professional goals, personal goals, values and motives, wishes, no-­go’s and the like. 4. Introduce your persona to other colleagues and ask for their feedback. In this way, you complement and optimize the character of your fictitious customer. 5. With the finished persona you can illuminate various questions from the customer’s point of view. What Are Typical Obstacles? With fictitious personas, it is crucial to select an accurate and relevant customer group for the question. Many teams start by describing stereotypes of customers instead of creating a realistic picture of the majority of customers. Clichés are simply better remembered by most people and the “norm customer” is too quickly lost in memory. I consistently challenge the personas that teams first come up with or have validated data from CRM or marketing analyzed first.

10.2.8  Empathy Map The Empathy Map is a great way to quickly assess and view an offer or service in a customer-centric way. It works much faster than a customer journey and is sufficient to fathom the emotional impact of a touchpoint on a customer type. To do this, different employees of your company put themselves in the shoes of the potential customer and look at the sensory perceptions (thinking, seeing, hearing, doing and feeling) of the persona. Where Can I Use It in Sales? Anywhere in sales and/or service where you want to understand the impact on the customer to improve your touchpoints or validate new offerings. What’s the Point? The creation of an empathy map gives you a quick and concise impression of the effect you create with a customer type (see Fig.  10.10). They are useful with sales teams for evaluating touch points, optimizing new offers, or constructing cross-selling or upselling approaches. Sales and service employees usually find it very easy to work with personas, empathy maps, and customer journeys because they are close enough to the customer to be able to quickly put themselves in the customer’s shoes. Moreover, this way of working is a lot of fun and brings effective insights.

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Empathy Map

Fig. 10.10  Template for the client feeling card. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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How Does It Work? 1. First, create a persona for the exact customer group of your target. 2. Imagine your persona experiencing the targeted service or offer. 3. Fill in the fields of the map (see Fig. 10.10) as a team, putting yourself in each of the persona’s sensory channels: • What does the customer see? • What does he/she hear? • What does he/she think? • What does he/she feel and do? • What pain points or pains does he/she have? • What profits and gains does he/she have? 4. Discuss and internalize the findings with other teams. 5. Complete an idea generation phase – for example, with a Design Thinking brainstorming session (see Sect. 10.2.4) – and ensure that the Pains are alleviated and the Gains are strengthened. What Are Typical Obstacles? With the empathy map, too, a typical mistake is to consult prejudices or distorted images of the customers and thus to develop false interpretations. Another obstacle is the superficiality of the interpretations. Take enough time to analyze the persona’s sensory perceptions: The customer’s hearing, seeing, and doing, much like the customer journey, provides interesting clues about touchpoints and their impact.

10.2.9  Service Design Thinking The phases and methods of service design thinking help sales to develop and provide outstanding service offerings. Just as products are designed in Design Thinking, concepts and offers of new services are developed or existing ones are optimized in Service Design. Depending on the objective, this can involve a new service or an additional service, or existing services are evaluated and optimized from the customer’s perspective. Good service design helps companies to sustainably differentiate themselves from the competition, to strengthen their customer loyalty and to convince new customer groups. The customer experience at every point of contact with the provider is decisive for success. Service design considers all components of a service in such a way that they merge in their entirety into a unified, seamless and positive experience for the customer. The goal is to provide services that are useful and attractive to the customer and economically effective and profitable for the company. The first approaches go back to the work of G. Lynn Shostack in the early 1980s, who developed, among other things, visualization techniques such as the Service Blueprint for the representation of complex service processes (Shostack 1984).

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Where Can I Use It in Sales? In my opinion, Service Design Thinking is the optimal framework for innovations and the optimization of all processes and services in sales as well as its adjacent interfaces such as marketing, production, logistics etc. Basically, it is about the holistic customer experience on all communication channels. Sales can start here with its adjacent areas and be a role model accordingly. As a bridge to the customer, it creates an immediate effect. The customer journey in particular can be considered here in various forms and depths of detail. For sales with its interfaces, it is also worthwhile to have a service blueprint in which all visible and invisible services and actions are represented and reviewed from the customer’s perspective (see Fig. 10.11). What’s the Point? The framework offers methods for new and additional services as well as for optimizing existing services. In addition to innovation, it leads to a consistent customer focus for all participants. The existing offers and processes in sales and service are re-examined and re-evaluated. 1. Service innovation: In service innovation, new service models are developed in a similar way to design thinking – to open up new business areas, to offer additional services for existing services or to radically innovate and differentiate from the competition. 2. Service optimization: How customers perceive and experience a service varies greatly depending on the type of customer and customer needs. Consequently, every service must be designed to be attractive to diverse customers at the same time and perform smoothly. Most customer needs are united by the desire for the following characteristics: • attractive, useful and convincing offers • smooth processes • Goodwill in case of complaints • Friendliness, competence and problem solving ability Fig. 10.11  How to make a blueprint. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Service Blue Print Touchpoints Actions of the customer Actions of the supplier in direct customer contact Background activities Supporting processes in the background

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• Reliability and commitment • comprehensible communication and transparency across all channels • functioning processes How Does It Work? Service Design Thinking and Design Thinking are very similar in phases. On the surface, you can boil it down to the simple denominator: Design Thinking is the framework of choice primarily for the development of new, innovative products and offerings, while Service Design Thinking is ideal for innovations and optimizations of existing services and processes from the customer’s point of view or even for the development of new services. • Discover: The first phase is about gathering insights, conducting research and understanding the target audience. Possible methods include online survey, interviews, stakeholder map and going through your own experiences and lessons learned with the services. I like to first have participants consciously notice and analyze their own customer experiences in an everyday experience such as shopping, searching online for a specific service, going to a restaurant, etc. To do this, they are given a specific question with which they start a customer journey offline or online and then analyze it step by step. This exercise fires up the customer’s view. The subsequent view through the glasses of the fictitious persona on the service of the own company succeeds better in the experience of the participants. Example

In the sales coach training, I use the following exercise on the Customer Journey: The participants form two teams. One team is given the task of asking a question about contract options and one about a specific charging cable in a mobile phone shop located opposite the training room. The other group goes to a drugstore to buy a cream, asking a saleswoman for specific ingredients to avoid allergic reactions. Both teams analyze their experiences step by step using the specified customer journey map (see Fig. 10.4). The insights from the customer’s point of view are enormously helpful each time in order to be able to subsequently evaluate their own offers. • Gaining insights: The insights gained through Phase 1 are analyzed and reduced to an issue. The result is a clear task. Possible methods are the aforementioned personas, customer journey and service experience blueprint. Service Blueprint breaks down and analyzes in detail the existing front-end and back-end processes for a customer inquiry in sales with all interfaces involved. This allows you to see how effective the cooperation and processes really are. Which detours or unnecessary steps should be avoided in the future? Where are traffic jams created and how can you speed up the process or make it more transparent for the customer in order to strengthen satisfaction and loyalty?

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• Generate ideas: In this step, the idea space is opened. As many ideas as possible for solving the concrete problem are collected, sifted, grouped and evaluated. Possible methods are Walt Disney Walk, brainstorming, Lego Serious-Play, building with craft materials and collaborative sketching. • Develop solutions: In the end, a solution is focused, tested and optimized. Possible methods are role play, paper prototyping, customer journey and experience blueprint. • Implement: The best solution is implemented and continuously optimized. What Are the Typical Obstacles? For employees, it proves to be extremely difficult to distinguish between hypotheses and realities. Especially in sales or service, employees filter their impressions and evaluations about customers through emotions. The more difficult the customer or customer concerns are for the employee to solve, the more the contact is remembered. The simple customer concerns either do not reach the employee at all thanks to automation or they do not stick. In this respect, when evaluating from the customer’s point of view, it is very important to work with validated primary customers. Otherwise, there is a tendency to view processes from the perspective of a customer type that is emotionally salient to the employee, but not at all representative. Another potential obstacle is operational blindness. The longer the affiliation with the division, the less likely the teams are to produce new ideas and perspectives. Mix experienced and new employees, bring in the external view, and make sure the participants are interdisciplinary.

10.2.10  Customer Journey Map The Customer Journey Map is a visual method that helps the company understand what a customer goes through when buying a product or service. It describes in clear, subdivided stations the journey that your customers go through the service and sales process with all the associated interfaces. Where Can I Use It in Sales? First of all, the customer journey helps you to evaluate and optimize your service and sales processes as well as all related touchpoints. From a customer and company perspective, it is advisable to integrate all interfaces and redesign the customer journey together with the divisions to create a better experience. Depending on the scope, a journey is created with the teams either for individual processes for specific customer concerns or for the complete new customer process from the first contact to after sales support. In addition to evaluating existing processes, the method is also ideal for future customer experiences. With the so-called “Happy Flow”, the teams create an optimal customer experience. Free of limits and restrictions, a happy customer journey is imagined and felt. Similar to the Walt Disney method, the first step is to dream freely and make everything possible, just

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like in the land of milk and honey, before looking at the feasibility in the second step. This opens up new possibilities and creates space for ideas. What’s the Point? The customer journey is an excellent method for optimizing existing sales and service processes. The Customer Journey Map is used to visually represent a customer’s interactions with your company online and offline. It is used to analyze which parts of this process cause gains or even pain for the customer in order to make adjustments to improve the experience for the customer. With the Customer Journey, you get more detailed and complex information and starting points for optimization than with the Empathy Map. You can look at every single step of different customer types and concerns from the start to the end of their journey through your sales department. Not only does this provide sales with plenty of starting points for optimal customer experiences, but it also creates a better understanding and empathy for your customers among sales and service teams. The Happy Flow as an optimal customer experience of the future provides you with completely new starting points and ideas on where your sales can develop from the customer’s point of view. How Does It Work? The customer journey map for existing offers consists of the following steps: 1. Let the participants as customers experience and evaluate their own journey through a service or sales process. For example, you can have small groups set out with a question in surrounding shops, mobile phone shops or bakeries. Afterwards, the individual actions and experiences are analyzed and evaluated in detail. While this step is not explicitly part of a Customer Journey, I highly recommend it to facilitate a change in perspective. If you let employees immerse themselves in their own experience as a customer first, the shift to the persona view will be easier and yield more insights. 2. Step by step, analyze every touchpoint the customer comes into contact with during an inquiry. Like a journey, consistently experience and view each touchpoint with your team from the customer’s perspective, from deal initiation to follow-up. Examples of touchpoints are: • Service interfaces (ATM, ticket vending machine) • Service support products (coffee mugs, shopping trolleys, escalators, etc.) • Communication materials and channels (signage, information materials, brochures, forms, websites, customer hotlines, online and offline advice, etc.). • Furnishings and environments (waiting rooms, offices, sales rooms, reception counters, seating, changing rooms, toilets, etc.). • Service personnel 3. Record each stage of the customer journey on a journey map (see Fig. 10.12). 4. Choose a typical customer group for which you want to evaluate the offer and create the persona.

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211

Customer Journey Map Persona

Characteristic Customer type, Name, Age, Profession, Hobbies, Life motto, Marital status, Media use,...

Touchpoints

1

What contact points does the customer come into contact with during their sales/service journey? (Internet, telephone, branch office, e-mail,...)

4

2

Start

1

Destination

3

2

3

4

5

6

Title the touchpoints that matter.

Actions

What steps and actions does the customer go through at each touchpoint?

Emotions

How does the customer experience the touchpoint?

Pains and Gains

How can the Pains be alleviated and the Gains increased?

Fig. 10.12  The customer journey as a template. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

5. Consider the following topics for each stop on the journey: • Actions: What happens at this step? • Actions: What must the customer do or decide? • Goals: What are his goals and objectives in taking this step? • Emotions of the customer: How is the persona doing? What does he/she feel? Bottom line, what are his Pains/Pains and Gains/Gains at each station? 6. Develop solution ideas per stop on the journey through your offerings to optimize the customer experience. You develop the Happy Flow for future offerings as follows: • You can either work with the team to choose a customer group to develop new ideas for, or think through a new offer idea for an existing customer group using the Journey Map. • Dream up with the team, step by step, an optimal customer journey through your future offering with all the associated touch points. • Make every single touchpoint a happy customer experience. The Happy Flow has no limits, everything is possible. • Visualize each touchpoint with its associated actions and processes. • Afterwards, evaluate your dream trip with the team from the perspective of the realist and planner. • Use the resulting ideas for innovations.

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What Are the Typical Obstacles? First of all, it is important to clarify whether the journey is intended for the optimization of existing processes or for new services. During optimizations, misinterpretations of the personas or touchpoints quickly occur. A consistent questioning of the hypotheses helps to reduce hasty conclusions. The happy flow for future offerings should not be designed in the usual work environment. For this, a team needs innovative minds and creative spaces that inspire the dreamer and slow down the critic.

10.2.11 Prototyping Prototyping is the process of creating a test version of a product or service. The prototype created is a demonstration object of the raw version of the intended result. This allows ideas for new products to be demonstrated and evaluated early on without creating expensive production costs. The more vividly a prototype is designed, the more valid the feedback from stakeholders can be. Where Can I Use It in Sales? Prototyping is suitable for testing any new idea. This can be a concrete product, a new service or even a modified approach or a new meeting format. Depending on the type of result, there are different types of prototypes. What’s the Point? Prototyping helps you find out early on whether a new product or service is actually what the future user really needs and appreciates. Through prototyping and demonstration, it quickly becomes clear what improvements are needed. The method is simple, the effect immense. Instead of expensive production costs or lengthy pilot phases, you get quick and concrete indications of whether and how you can pursue and optimize your ideas. How Does It Work? There are different forms depending on the type of idea. I limit myself to three types that I like to use in sales: • Staging: Staging is suitable as a prototype for interactions such as new approach strategies, consulting approaches or new meeting procedures. The team decides on a situation from their future experience and plays it out to the feedback providers in the form of a role play. Instead of talking about an interaction, it is experienced three-dimensionally, so to speak, and can be experienced emotionally. Not only the audience, but also the actors quickly find out the strengths and weaknesses of the interactions and can quickly implement optimizations. • Building plastic prototypes: For concrete products, prototyping with craft materials or with Lego is suitable. The three-dimensional demonstration object is shown to the

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213

feedback providers with its functions in such a way that the viewer can experience and feel the handling and integration into the sales process. • Customer Journey: In the case of processes and procedures, a depicted journey of the customer through the changed service or sales process is suitable as a prototype. For this purpose, the viewer can experience the new customer journey in an exemplary way with a mixture of handcrafted stations and simulated interactions. This type of prototyping is also very suitable for designing visions hands-on and testing their effect. What Are Typical Obstacles? As with all creative and playful methods, getting the participants involved in the respective method is often a challenge. Blockades like “I can’t do that” or “that won’t work” hinder every experiment. But if the message of resistance is understood and the team has enough playful potential, the hurdles often disappear and create great aha effects. Afterwards, an inner development can take place in the participants that changes their own view in the long term.

10.3 Plan: Frameworks and Methods for Planning After you have rethought, it is now a matter of concretely planning the ideas or changes and designing the framework conditions for the implementation phase. This concerns not only the planning of the task packages, but also the shaping of the team factors and decision-making processes. The more suitably the framework is formed, the faster and smoother the teams that implement ideas and generate success.

10.3.1 Teamcanvas Teamcanvas is a chart on which the most important key factors of a team are worked out and visualized together. The team canvas quickly brings a team to a common denominator; it makes sense, benefits and goals transparent and creates a good basis for cooperation. Too little is often said about a common understanding of teamwork, roles, tasks and goals. This creates ambiguities, misunderstandings and disappointed expectations. Do not underestimate the relevance of group dynamic processes! Groups go through phases and maturation processes until they develop into a self-organized and efficient team. Without leadership, reflection and structures, groups tend to be preoccupied with themselves rather than with the tasks. Separating subgroups form, rank and pecking orders distract from the actual task for the benefit of the customer. Too much leadership is also not expedient, on the contrary: it constricts and blocks selforganization. Too little leadership according to the laissez-faire leadership style, on the other hand, is demonstrably the most ineffective leadership style with an immature team and leads to insecurities and conflicts.

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Where Can I Use It in Sales? For newly formed teams as well as in case of changes regarding roles, goals or tasks, the Teamcanvas is an effective process to define all factors of cooperation together, to mutually understand goals and needs, to make new agreements and to have it all at a glance. What’s the Point? The team canvas provides orientation, ensures structures and strength-oriented responsibilities. This is a process which the leadership designs together with the team and which aims at the agile values and principles, such as: • Transparency: With the help of the team canvas, essential components of the team such as mission, goals, roles, tasks, agreements, etc. become visible to everyone. • Communication: All team members are actively involved and thus create a common understanding. • Focus: Through the Canvas, the team has “everything in view.” • Commitment: The team decides on its own responsibility how the canvas is designed and filled with content. This strengthens the self-­commitment immensely. How Does It Work? 1. Start in the center with the “WHY”, i.e. the question of why. Why does the team exist? What is the purpose and benefit for the customer? What is the mission of the team from a stakeholder perspective? You can see the template in Fig. 10.13. Make sure the team agrees on one or two sentences. What is at the core here must be absolutely viable and have buy-in from all team members. 2. Next, develop the team goals. Here you can define annual goals or describe the team’s contribution to the corporate vision in the form of objectives and key results (OKR). 3. Then, break down the team contribution with the team to the individual goals or OKRs and have each team member define their own contribution. 4. Assign roles in the team through strength-based responsibilities that the team needs to realize its goals (example: coach, facilitator, principle guardian, product owner, developer, focus accelerator, etc.). 5. Have the team make agreements to work together (Example: We take time every 4 weeks to reflect on how we work together). 6. Describe the operating principles that the team establishes for itself. (Example: We align our thoughts and actions with the creation of value for our customers). 7. Have each team member identify important needs and expectations. What does everyone need to feel comfortable and able to contribute? 8. Finally, look with the team at both the risks you’ll be facing and the opportunities and resources you have on board. Figure 10.14 shows an example of a team canvas.

10.3  Plan: Frameworks and Methods for Planning

215

Team Canvas Template Teamer and roles

Team Goals OKRs

Agreements

Working principles / framework

Why do we exist?

Personal OKRs

What resources do we use?

Needs & Expectations

What risks do we have in mind?

Fig. 10.13  The most important team factors at a glance. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

What Are Typical Obstacles? Without psychological security in the team, the Teamcanvas will not bring good effects. Only if everyone in the team feels safe and expresses their opinion openly, the relevant topics will be discussed and also solved.

10.3.2  Delegation Board and Poker The Delegation Board regulates the way in which management acts in decision-making processes. Does the management decide alone, does it involve the team, or does the management delegate the decision completely to the team? For this purpose, the levels of delegation are made transparent for the various decision topics. Where Can I Use It in Sales? Self-organization of teams only works with adequate decision-making authority. If teams need a signature from the boss for every pen, self-organization is just a slogan on paper. For this, the leadership must learn to hand over responsibility and the team must learn to carry it. Operating without decision-­making authority is like swimming in a straitjacket. Wherever you plan the transfer of decision-making authority to the team, the process can be well designed with a “Delegation Board” and playfully implemented in the team with the “Delegation Poker”.

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Example of a Team Canvas

Fig. 10.14  Teamcanvas. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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217

What’s the Point? Leadership and teams use the board to jointly clarify at which level of delegation they find a topic suitable. The responsible leadership thus makes transparent what it decides itself and how, and what it leaves to the team. At the same time, everyone in the team assesses which decision level is the most appropriate. How Does It Work? Leadership and teams list the topics that will be decided differently in the future. Seven different levels of delegation of a decision are transparently defined. The levels are described in Fig. 10.15. In the first three stages, the decision-making authority lies with the leadership. The fourth level represents joint consensus building between leadership and teams. From the fifth level onwards, the decision lies with the team in various gradations. 1. Announce: “Leadership Announces Its Decision” 2. Selling: “Leadership convinces the team of its decision” 3. Questioning: “Leadership seeks the advice and opinion of the team and then decides” 4. Agree: “Leadership and team agree and come to consensus.” 5. Advised: “Team decides after being advised by leadership”. 6. Inquire: “Team decides and leadership inquires.” 7. Delegate: “Team decides autonomously and does not need to inform the management”. For each delegation topic, the future level of decision-making authority is discussed and recorded. A playful variation is Delegation Poker. Each participant receives a set of cards with the seven levels of delegation. For each issue, team members and leadership place the

Delegation Board   “I delegated it.”

     “I tell you, that...”

3URFODLP

“I sell you...”

6HOO

“I'll ask for your opinion and then decide.”

“I'll ask.” “I advise you.”

“We agree us.”

,QTXLUH 6RPH

'HOHJDWH

$GYLVHG

&RQVXOW “We decided on our own.”

“It's our responsibility.”

“We decide.”

Fig. 10.15  The stages of delegation. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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10  How to Use Frameworks and Agile Methods from the Idea to the Roll-Out

card on the table that corresponds to the level of decision-making authority they believe is appropriate. If no agreement is apparent, a defined amount of time (3–10 min) is spent discussing. The two representatives of the levels that are furthest apart exchange their arguments. After all thoughts have been heard, the team plays poker for another round. The goal is convergence in the decision between leadership and team. The more consensus on the delegation level that prevails in the team, the more viable the consequences will be. Through the playful element, positions and opinions become transparent and allow for much faster solutions than traditional discussion rounds. What Are Typical Obstacles? Ambiguous questions cannot produce clear results. The participants need a common understanding of the scope and context of each decision. Often, it is only through delegation poker that misunderstandings are cleared out of the way and clear questions are found. For example, how should a team decide on home office if it is not clear under which conditions working from home should be used?

10.3.3  Planning Meeting In the planning meeting, the team puts together and prioritizes the work packages that are required for the implementation of innovations or the creation of products, and concretely estimates the effort for each task. The Planning Meeting comes from the Scrum framework. Regardless of Scrum, but also for any other way teams work, I think it is crucial to take the time together for realistic planning as a basis for successful implementation. Where Can I Use It in Sales? Planning Meeting is always suitable when new tasks and complex contexts are planned. Both new offers or services and internal complex changes need to be well planned and prioritized by teams. Appropriate and structured task packages are the key to fast and committed processing. The task packages can describe both operational work and strategic steps towards a goal. In planning, on the one hand, all tasks for the implementation of a product or process are planned and, for example, recorded in a backlog (task memory). On the other hand, the tasks that are to be implemented in the next iteration are estimated in terms of time and prioritized. What’s the Point? The joint structuring and prioritization not only provides the team with clarity about the tasks, but also leads to a common focus on the desired result. If the work packages are appropriately clear, everyone in the team can assess the competencies that are needed for processing. This is the basis for the independent pulling of the packages during the implementation phase.

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How Does It Work? After the meaning and purpose of the tasks have been transparently discussed and clarified, the individual work packages are put together. If there is a product owner (PO), then it is his task to describe work packages from the user’s point of view and to present them to the team. If there is no PO, then the team formulates the work together or in small groups and subdivides the packages so that they can be completed within a few days. The team prioritizes the tasks and decides which packages will be implemented within the upcoming iteration (see Fig. 10.16). For this purpose, the effort required to process the work is estimated. This can be done playfully and played using poker cards (Planning Poker) or categorized by T-shirt sizes (XS, S, M, L, XL). T-shirt sizes are metaphorically used as a measurement. For this purpose, a time unit is assigned to each size. Each T-shirt size then corresponds to a time unit: XXS  =  1–2  h of working time, XS  =  3–4  h, S = 1 day, etc. What Are Typical Obstacles? Work packages are often too large and complex. As a result, the person who takes on the package is absorbed in it for too long. This affects the efficiency of the entire team. If the requirements are not clearly recognizable from the user’s point of view, the tasks may not be solved satisfactorily and generate additional work.

10.3.4  User Stories Ideally, every activity in the company should always be focused on the customers. User stories are user requirements for products and services. These requirements are written

Planning Task Board Waiting

Activity Plan ToDO

Doing

Done

Prio?

What?

Who?

Until when?

Fig. 10.16  How to prioritize and plan in teams. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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down in the form of user stories in order to focus on the wishes and goals of the customers at every step. As a customer, do you sometimes feel like you’re getting in the way of a store or phone inquiry? Do you sometimes observe teams in your sales department that are more concerned with themselves than with the customers? This is exactly the phenomenon you counteract with the clear alignment of your tasks to the customer. Where Can I Use It in Sales? In my opinion, all tasks and work packages in sales make sense as a modified user story. All actions of the sales and service teams have always been customer-focused, because that is the mission of every sales department. But even there, the customer focus gets lost from time to time. By keeping a consistent customer perspective on the tasks that are tied up and prioritized, the focus stays where it belongs: with the customer. What’s the Point? Strategic and operational tasks should always be described from the user’s perspective. Then it is clear to everyone in the team at all times what the result should look like for the customer. This helps immensely when deciding how to implement a task. How will a salesperson design his cross-selling approach if he wants to sell as many additional contracts as possible and be the best in the team at the end of the campaign? On the other hand, how will he design it if he has the following user story in mind, for example: The customer learns in two to three sentences how his wish for good provision in old age can be fulfilled, how he can secure his funds and at the same time remain flexible. How Does It Work? • Tie up your work packages in a team. Then prioritize the tasks and estimate the effort in T-shirt size units (XS, S, M, L, XL, XXL). • Take a card or a large sticky note and formulate the requirement of the tasks from the customer’s point of view according to the following pattern (see Fig. 10.17): –– I as … (role) –– would like … (goals/wishes) –– um … (benefit). • An employee then pulls the package and writes his or her name and the date on the slip as soon as processing begins. What Are Typical Obstacles? Teams need practice in formulating tasks as customer requirements. Once this hurdle is overcome, tasks are processed in a much more customer-­oriented and goal-focused manner.

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221

User Story Template Story name As 'role

Size xs, s, m, l, xl

I would like to 'aim/wish' for the sake of 'usefulness Prioritizationstage

Name Date

Fig. 10.17  Template for writing a customer story. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

10.3.5 Prioritize In order to make rapid progress in implementation and to have both a uniform understanding of relevance and an accurate assessment of scope and effort, teams must practice joint prioritization. The better teams perform and clarify this step, the smoother and more effective the implementation phase will be. Where Can I Use It in Sales? For all tasks and topics that are planned and implemented together as a team. What’s the Point? Prioritization creates clarity, focus and structure. Through the common weighting, everyone is aware of the order and relevance of the topics. How Does It Work? There are many options for prioritization. Here is a small excerpt: • Open plenary discussion on priorities: As shown in Fig. 10.18, the team sorts and periodizes its topics based on the methods. • Point quizzes: Here, participants are given fewer points than topics with which they mark their relevant topics. • Effort-impact diagram: As shown in Fig.  10.18, two axes are drawn. One for the upward effect of the topic and one for the effort involved in implementation. Each topic

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Prioritize example 1

3

?

Estimating effort (User Story Points)

Effort

Planning Poker Feasibility

Do?

Move it!

Let

Chances

To

Do

!

Relevance

Effect

Fig. 10.18  Sorting and prioritizing. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

is rated according to the expected impact and the effort involved. All topics with high impact are pursued, with the less costly ones being implemented immediately. What Are Typical Obstacles? People tend to be wrong or overly optimistic about issues they care about. Question the first assessment and fall back on valid empirical values.

10.4 Do: Frameworks and Methods for Implementation Now it’s about implementing the ideas, operational tasks or strategic goals. The decisive factor here is not so much whether you work with Kanban, Shopfloor 4.0, Scrum or your own variant. It is much more important to work and interact in a truly agile way. What is relevant is what pays off in the implementation in terms of speed, adaptability, self-organization, transparency and collaboration. In my experience, the frameworks help as an optimal framework to breathe life into these working principles. The methods themselves will not lead you into a new way of working; they are only an effective tool on the way to culture change. Without transforming the culture in sales, no innovative future strategy will bear fruit, and without developing the mindset, i.e. the logic of thought and action of teams and leadership, no methods will be effective.

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10.4.1 Kanban Kanban serves the visualization, transparency and self-organized control of workflows and workloads. The framework comes from lean management and was originally developed for the optimization of warehousing at Toyota. The term comes from the Japanese and means “signal card”. However, Kanban can do much more than just optimize workflows. Properly lived, Kanban pays off on all agile values and working principles. Where Can I Use It in Sales? It is ideally suited for sales and service areas where the work flow can be made visible. You can also use Kanban to plan and implement ideas or to control networked collaboration. What’s the Point? No matter what you use it for – Kanban is significantly more than just a board for visualization. But only through the agile principles and values the framework unfolds its full effect. Used correctly, you will not only optimize your processes; you will also strengthen cooperation among each other, work more effectively by, for example, avoiding workflow congestion and doing exactly the things that are relevant for value creation. The prerequisite for the effectiveness of Kanban are self-organized teams with rolebased leadership and transparent cooperation with teams from other areas – i.e. at least flight level 2 (see Sect. 5.6.2). Only if the team, or even better the whole organization, is willing to cut the old ties and to say goodbye to common power distribution and hierarchies, Kanban will help to become more agile. The two boards in Figs. 10.19 and 10.20 each show a variant for a sales team and a joint innovation board for sales and service. Design your own Kanban board that serves as a value-add for your customers and use the transparency to make the process and interactions more agile. Figure 10.21 shows a simple Kanaban board as an example. How Does It Work? Kanban is not only about visualization and transparency of work processes. The value creation for the customer is crucial here. Start by analyzing the value creation process and dividing it into the essential process steps. • Start by analyzing the existing workflow for creating value for the customer and note down step by step what you are currently doing. Use this to determine the value creation process of your teams. • Consider which areas and teams are linked to you and should/need to be integrated for smooth running. • Write the workflow horizontally as a flow on a board system. The simplest workflow is: Waiting – To-do – Doing – Done. In Figs. 10.19, 10.20 and 10.21 you can see examples of such a value creation process. Boards exist in countless variants, offline and online (Trello, Jira etc).

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Example Kanban Board for Sales Speeches

Potential/ Opportunity

B

C

A

B

Financial statements C

A

B

Aftercare

ready

C

New customers

A

Offers

B

A

B

A

B

Existing customers

A

Fig. 10.19  Sales kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Example Kanban Board for Innovations

Service

Ideas

evaluated prototypes

in realization

Measure success

improve

Roll out

Expel

Sales

Roll out

Expel

Fig. 10.20  Innovation Kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

10.4  Do: Frameworks and Methods for Implementation

225

Simple Kanban Board Waiting

ToDo

Doing

Done

Visualize the work process (process flow). Divide work into subpackages and write each part on a card.

WIP-limits (Work in Progress Limits) Lead time Pull: Everyone pulls work packages Meetings:

Planning, Daily, Review, Retro

Visualize this on a board (white board, meta, trello,...).

Show where each subpackage is located in the workflow. Limit the workload and measure the lead time (as short and predictable as possible).

Fig. 10.21  Basic kanban. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• Use so-called “swimlines”, i.e. horizontal lines on the Kanban board, with which you can divide the vertical areas. They help to better coordinate several teams, customers or priorities and to enable an optimal overview in the work process. In the example (see Figs. 10.19 and 10.20), I have added a Swimline to each. In the innovation board (see Fig. 10.20), teams are subdivided, and in the sales board, customer groups are subdivided. You can also subdivide priorities (high, medium, low) or the individual team members get their own swimline. • Think with the team about what tasks need to be done, divide them into small packages. Each package is written on a card and visualized on the board as you go through the workflow. Where is which work package at what time? • The distribution of tasks works exclusively according to the pull principle: If the team or individual employees have capacity free, they draw the next package in the form of a card and move it one step further in the process. Everyone pulls their next tasks independently and self-­selected, so to speak, in the sense of their role. • Each card moves through the columns in the course of the workflow. So everyone can always see which card is currently where in the process. The goal is to shorten the lead time, i.e. the time that a work package needs to travel through the process. • The number of works in progress per employee is limited (work in progress limit = WIP limit). This prevents excessive demands and inefficiency.

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• The heart of Kanban is the daily short meeting (Daily). The processing status is exchanged and important topics are communicated: What did I get done yesterday? What am I going to do today? What obstacles have arisen? Where do I need support? • The manager, a master or a coach then removes the obstacles and coordinates any needs that have arisen so that the team can continue to work smoothly. • After a work phase of 3–4 weeks, a review takes place. All relevant products, results, including lead times, etc. are evaluated and feedback from stakeholders is obtained. Adjustments are implemented (see Sect. 10.5.1). • Then there is a retrospective in which the team looks at the cooperation and considers what can be improved (see Sect. 10.5.2). What Are Typical Obstacles? Stumbling blocks can be (see Leopold 2018): • Confusion of means and ends: Kanban is seen as a method instead of a means to increase agility. Meaning, goal and customer focus are then lost. • The dependencies between teams and their products are disregarded. This leads to mutual congestion instead of smooth cooperation. • The value stream is not thought through to the end. Only when the customer receives the value, the process is done. If a team forgets this focus, then no improvement is generated for the customer. • WIP limits (Work in Progress Limits) are set incorrectly. Too many simultaneous works block the system unnecessarily. The correct limitation of work is the real lever to make the process faster and more effective.

10.4.2  Shopfloor 4.0 Shopfloor is a living visualization and control board. It comes from lean management and was originally developed for production. Managers should lead at the point of value creation and discuss issues with the workforce there, instead of controlling at the green table. Shopfloor 4.0: If you tune Shopfloor with agile values and principles and combine it with Kanban for the strategic topics, you get an optimal framework for sales. As a means to an end, it increases transparency, focus and self-control of the operational and strategic topics of sales teams immensely. Where Can I Use It in Sales? I have had good experiences with Shopfloor 4.0  in both Service and Sales and have received positive feedback from the teams. When using Kanban, many sales teams fail to map the operational topics and KPIs: service level, accessibility, closing ratios, etc. Through the combination with Shopfloor, teams have all relevant topics at a glance and can successfully control and organize themselves.

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What’s the Point? • Transparency: The most important topics and data are updated and visualized on a large board in the area and made accessible to everyone. Everyone has the chance to have the same level of information. • Control: priorities and urgencies can be color coded accordingly. I like to use a colored traffic light system: –– Green: Target corridor –– Yellow: Attention: no longer in the target corridor –– Red: Urgent need for action – Re-steering required • Knowledge gaps: eliminate and develop a common understanding. • Customer focus: All relevant customer information and obstacles are mapped and made visible. • Commitment: Decisions are discussed together and recorded on the shop floor. This creates commitment in the team. • Comprehensibility: Through joint problem solving, decisions are supported by the team, the degree of joint responsibility increases. • Cooperation at eye level: Managers and employees discuss and solve the issues before the board together in daily short meetings. The more mature the team is, the more it takes on self-direction. How Does It Work? • Divide a wall or a large board based on the most important topics that are relevant for the team. Develop your own Shopfloor 4.0 board together with the team (see Fig. 10.22). I like to use the PDCA cycle as a rough subdivision: • Plan: personnel capacities, deadlines, etc. • Do: Activity control: calls, callbacks, mails, etc. Here I add a simple Kanban board (Waiting – To-do – Doing – Done) to keep strategic topics in focus and to work on them transparently. • Check: KPIs, analysis of target/actual deviations with traffic light system. • Act: Obstacles, problems, escalations etc. Here all obstacles and problems are collected and solved together. • The team designs each area of the board as an initial prototype. Decide together how long the first iteration with the board should last. After the test phase, the board can be optimized. • Pull: The team distributes roles and responsibilities for the shop floor areas: Who maintains, visualizes and coordinates which topic? • “Go and See” instead of “Meet and Mail”: Executives also post current and important topics on the board. These are then discussed in the next daily meeting. • Daily: The heart of shop floor management is the daily short meeting. Everyone in the team shares their processing status: What did I complete yesterday? What am I tackling today? What obstacles have arisen? Where do I need support?

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Fig. 10.22  Template for a shop floor board. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• The manager, a shop floor master or the coach then removes the obstacles and coordinates requirements. • After the iteration, a review takes place. All relevant key figures, lead time of the Kanban board, etc. are evaluated and feedback is obtained. Adjustments are implemented (see Sect. 10.5.1). • Then there is a retrospective in which the team looks at the cooperation and agrees on improvements (see Sect. 10.5.2). What Are Typical Obstacles? • Confusion of means and ends: Shopfloor is seen as a method and not as a means to increase self-organisation and flexibility. • The dependencies between the teams and the interfaces are not considered and included. This leads to inefficiency and an “us versus them” attitude. • The manager controls too much himself and does not bring decision-making authority to the team. Or the team does not dare to take over the control itself. • The meetings do not take place. Then Shopfloor is not kept alive and no effect is achieved.

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10.4.3 Scrum Scrum is a popular and very common framework for agile project management in IT. It is suitable for product development in addition to software development – and basically for any project management in an appropriately adapted manner. Scrum is comprehensive and describes not only the iterative process but also the associated roles and interactions. Where Can I Use It in Sales? You can use Scrum to develop new products and services in sales. Scrum is also an effective framework for implementing projects such as new customer acquisition, existing customer care with cross-selling, new service offerings or the introduction of new sales channels. What’s the Point? Scrum is, in my opinion, the framework that pays the most attention to all agile values. The clear structure of Scrum, if implemented correctly, automatically creates a more agile way of working. The lateral and equal management roles of Product Owner, Scrum Masters and Teams remove the traditional hierarchy. The Daily, Review, and Retrospective meeting formats create a good basis for interaction and lead to the adaptation of offerings to customer requirements and to the continuous development of team maturity. As can be seen in Fig. 10.23, Scrum is a complex framework. How Does It Work? • In Scrum, five- to nine-member, cross-functional and self-organized teams are formed, which represent all competencies and expertise for the implementation of the offer. • The project order is divided into user stories from the user’s point of view. Within a sprint, i.e. an iteration, the implementation team develops or works on a functional partial product, which is called an increment. This in turn is presented to the stakeholders in the review meeting in order to develop it further in the next sprint. • Choose a Scrum Master who is responsible for the process and removes obstacles so that the team can work without disruptions. • Choose a product owner who formulates and clarifies the mission from the user’s perspective, maintains the backlog with the work packages, and represents the customer perspective. • Define all requirements that you want to implement for the product or service from the customer’s point of view. The product owner formulates all tasks as a user story (see Sect. 10.3.4). • In the planning meeting, small work packages are formed and prioritized. The team decides how long a work phase or sprint should last. • In the work phase or sprint, a partial product or service is developed that offers added value to the customer.

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SCRUM process SCRUM team: 7+/-2 Teamer

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Fig. 10.23  How Scrum works in sales. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• The team selects all the work packages that will be processed in the sprint and uses them to form the sprint backlog. • During the sprint, the requirements remain unchanged and are processed using the task board (like a simple Kanban board) and visualized in the workflow. • Every day, the team exchanges information for 10–15 min on the task board (Daily). Each member of the team informs the others about the status of their work: What did I get done yesterday? What am I going to do today? What obstacles have arisen? Where do I need support? • The master moderates and removes the obstacles. • After a work phase of 3–4 weeks, a review is made. All relevant products, results incl. the lead times, the burn-down chart etc. are evaluated and feedback from stakeholders is obtained. Adjustments are implemented (see Sect. 10.5.1). • Before the next sprint, a retrospective takes place in which the team reflects on and optimizes the cooperation and interactions.

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What Are Typical Obstacles? The typical obstacle is called “Scrum But”. Scrum But stands for all projects where roles, artifacts, rules or principles of Scrum have been changed or omitted. According to Preußig (2015), the typical deviations are: • The product owner is not a team member: If the product owner is working outside the team, he must have sufficient time available for his tasks, otherwise he will block the process. • The product owner is the former division or department head: Unfortunately, this is currently being handled almost inflationary in the large companies that are rebuilding according to the Spotify model and forming Scrum teams (squads). Often the old department head takes over the role of Tribe Lead and leads under a different name just as before; the old team leaders become Product Owners. Not much will change and these teams only work agile on the portfolio under the new label Squad and Tribe. • New requirements in the sprint: Of course it makes sense to quickly adapt and implement new customer requirements. Nevertheless, Scrum knowingly rejects changes during a Sprint. Because if requirements change constantly, no result is delivered, the sprint cannot be kept and confusion and inefficiency arise. Rather choose shorter sprints and adjust the new requirement afterwards. • Roles are duplicated or omitted: I see time and again how the product owner and the master are taken over in personnel union. This cannot go well! Either an important role and function are neglected or a role conflict arises that cannot be resolved by one person in favor of the project. • Meetings are omitted. A very fatal mistake occurs when the relevant interactions are deleted or become blurred. All three meetings (dailies, reviews and retros) are significant for different aspects and form the core of the agile way of working.

10.4.4 Daily/Weekly A daily is a short meeting in which the team exchanges work statuses on a daily basis. A Weekly has the same structure, but only takes place once a week and is mainly used by project teams that do not work together on a daily basis. Especially in self-organized teams, the effective exchange in short intervals is relevant to accelerate the delivery (time to market) and to structure the cooperation. Where Can I Use It in Sales? Regardless of frameworks, short meetings in the form of a daily or weekly meeting are always recommended when the team is preparing offers for customers or providing joint services.

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What’s the Point? Short meetings can be used, modified as needed, wherever tasks are more complex and there is a need to share knowledge. Despite their brevity of 10–15 min (the time should depend on the size of the team), they have many effective mechanisms: • By briefly sharing their emotional state, everyone knows how their colleagues are feeling today and can better attribute their behavior based on that. • The team can identify capacity and manage it as needed. • Everyone knows where their colleagues stand in their tasks. • Everyone chooses the topic they will tackle next. • Colleagues can assist as needed. • Obstacles are voiced and can be addressed. How Does It Work? • The team meets at the same time at the same place standing in front of the board (task board, kanban board or shop floor board) • The facilitator (master, coach or one of the team) starts with the questions: –– How am I feeling today? Everyone draws an emotion card or says a word about the emotional state. –– What did I work on or complete yesterday? On the board, the completed tasks are moved. –– What will I work on or complete today? New tasks are drawn on the board. –– What obstacles or impediments interfere with my tasks? Everyone can express obstacles, difficulties, etc., which will be resolved afterwards. –– What do I need in terms of support? Additional resources, decisions, funds, etc. may be desired here. • The questions are adapted to the team’s needs. • It is important to keep to the timeboxing. Everyone has about 2  min of conversation time. • No one abstains, no one overstays their welcome. What Are Typical Obstacles? Experience shows that it is important to cultivate dailies or weeklies like fixed rituals. The change of time and place usually results in ambiguity and a lack of commitment. Ensure disciplined adherence to the rules (timeboxing, structure, etc.) and never overdo it. Otherwise this dilutes the effectiveness and the meeting loses its conciseness. Another obstacle is with distributed teams that do not work in one place. In that case, conduct the short meetings online. Be sure to use video conferencing to see and respond to interactions and sensitivities. Discussions in the Daily or Weekly should be avoided. It is better to collect the topics and discuss them in the Retrospective. The Daily Stand-up, as the name suggests, is a short daily meeting where all participants stand. In this meeting, the team members find out the current status of their work and respond to the issues mentioned above. It is important that

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the team members report to each other and not to their product owner or the moderator who may be present. They look at each other; everyone else present is just a listener. Look for recurring problems that the team does not openly address as an obstacle and address them in the retro.

10.5 Check and Act: Frameworks and Methods for Testing and Adaptation After the action and implementation phase, in which the team works through work packages quickly and effectively, the time for reflection has come. Action and reflection should be in healthy balance with each other – this is the prerequisite for doing the right things. In order not to fall into old ruts, lose sight of the customer or become paralyzed by misunderstandings or conflicts, the reflection phase is at least as important as the action phase. This is usually underestimated, and many a sales team races from one sprint to the next. But in the end, it is precisely this behavior that slows things down immensely. The team then feels similar to a runner who starts too fast and continues the same running pattern with every run without taking the time to pause in between, reflect on his running style, preparations, nutrition and the like, and adjust these findings before the next run. He will then also perform (to a limited extent), but it will not come close to the potential he could develop if he reflected and learned from his runs. Similarly, teams that reflect little and don’t take the time to learn from the past. They will never develop their full potential this way.

10.5.1 Review The review is a meeting in which the team presents the completed work packages from the last work phase to the customer, product owner or other stakeholders. The goal is to show a presentable result or partial product that the stakeholders can use to experience and evaluate the effect. The team gets feedback on the product or project status. A review lasts 1–2 h. Where Can I Use It in Sales? Reviews are used to iteratively adjust new sales services for customers. You learn regularly and directly how well your results meet customer needs and what you can adjust in the next phase of work. What’s the Point? • The greatest benefit of the reviews is the feedback from customers and stakeholders. You receive concrete optimizations and adjustments for the next phase.

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• In addition, the team checks its own level of implementation and goal achievement by demonstrating and summarizing the results. • The results achieved become more attractive to customers at each stage. • You save time and money by being able to identify and discard ineffective offers at an early stage. How Does It Work? • The team finds a way or variation to demonstrate the product, service or sales promotion in a way that can be experienced. • In addition to the product owner, representatives of customers and stakeholders are invited. • The presenter analyzes and describes the flow of the current iteration to inform the visitors. • For this purpose, the implementation phase is analyzed and evaluated using the appropriate methods and tools (see Fig.  10.24). Figure  10.25 shows analysis methods for the review. • The relevance and objectives of the implementation phase are also briefly summarised. • The team shows its work results in as vivid a form as possible (no beamer presentation). Those present should experience the functioning and the effect as realistically as possible.

Review Waiting

ToDo

Doing

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Product

Team shows the partial product

Customer, Stakeholders, Product Owner provide Feedback

Adjustment of the discussed improvements

Fig. 10.24  The review meeting. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

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Analysis Tools

Burndown Chart

Lead Time

Measurement of the processing of User Stories during the Sprint

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Fig. 10.25  Methods of analysis for the review. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

• The review moderator encourages feedback and exchange on the individual functions. The feedback is recorded in writing. • Together, adjustments and optimizations are discussed and integrated for the next iteration. What Are Typical Obstacles? • The work packages are not completed and the partial product is defective or incomplete. Especially in agile projects, show fault tolerance and still keep the review. Simply show what has been created so far and explain the obstacles. • Justifications, accusations or discussions (Why did it take so long to finish X?) should be avoided. • Managers do not take the time for the review or prefer to discuss everything with the manager. This shows the level of the existing cultural change. It is no longer the management that clarifies relevant decisions among themselves, but the self-organized teams. This change requires stringency  – and managers in particular must act as role models.

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10.5.2 Retrospective In the retrospective, the team looks at the collaboration. It takes three to 4 h to reflect on the past iteration. The goal is to learn from the past. To do this, the team members look back together and evaluate what went well and what went poorly. Together, the backgrounds are explored and understood in order to agree on solutions. Where Can I Use It in Sales? Regardless of agile projects and frameworks, I consider the retrospective to be the ultimate success lever for leading teams to a high level of maturity. Depending on the team state and maturity level, I recommend a retrospective cycle of at least 3 months. What’s the Point? Retros bring teams and individuals in the team further in their development. They are like a compressed team development and increase the level of reflection of the team. For interdisciplinary teams they are an absolute must in order to be able to deal with divergence. For self-organization, the team needs a high degree of maturity. However, this does not come about by chance, but is a result of hard work on the development of the team. How Does It Work? Retros are well prepared. The master, the facilitator or the agile coach chooses a retrospective method that fits the team and the team mood and prepares all materials. The demands on the moderator are complex and require experience and moderation skills. A retro has five phases, each of which is individually designed and facilitated (see Fig. 10.26): 1. Log in: Get all participants on board and clarify purpose. 2. Elevate and evaluate themes: Reflect on the last iteration. Collect and prioritize the themes. 3. Understand the background: Find out the causes and connections for misunderstandings, difficulties or obstacles. 4. Resolve and decide issues: Make agreements and decisions together in the team that promote cooperation and team spirit. 5. Logout: Let everyone give their feedback on the retro and make sure it ends well. What Are Typical Obstacles? • Half-heartedly prepared or poorly moderated retrospectives do more harm than good. Facilitating retrospectives is not something that one of the team can do off the cuff. Have a team member trained as a moderator or hire an expert in this field for the first retros. • The moderator needs a neutral attitude and professional distance. As soon as he pursues his own interests as a team member, he is no longer able to do justice to the task.

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Fig. 10.26  The Retrospective Meeting. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

Particularly in the case of conflicts in the team, impartial and solution-oriented control is essential. • Sensitivities and unfavorable interactions with each other are often exhausting and destructive. Ensure radical acceptance of the different characters. “Everyone is a ten as a human being” – that is my slogan. • No one is worth more or superior as a person to the others. Don’t allow parenting among yourselves, but be a facilitator to encourage divergence. Enduring differences is a challenge for many. • Lack of trust turns retros into a farce. Because without psychological security, no one says what they really think anymore; the relevant issues are swept under the carpet.

10.5.3  Management Strategy Board The management strategy board is an artefact for flight level 3 (see Sect. 5.6.3). If the management discloses its strategy and all projects and innovations that pay off on the company’s vision, then change is integrated at all levels and is also lived top-down. Currently there is a lot of discussion whether transformation is initiated from the bottom

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up as in grassroots thinking (transformation from the bottom) and thus by individual employees and teams or whether it is more effective to drive and direct change top-down. I think that both strategies together result in an effective path that optimally moves an organization forward. Where Can I Use It in Sales? The prerequisite for deployment and impact is a top management that seriously questions itself and is willing to start transforming itself  – through self-­ reflection and experimentation. What’s the Point? The board is only the visual representation and expression of the culture that is lived. It will only have an effect if the management is serious about its own openness and participation. The cultural change brings the greatest return when purpose and strategy are clearly communicated and the entire sales department with its interfaces is aligned with them. How Does It Work? • Develop a vision (see Sect. 5.2) and involve different types of thinking (divergent and convergent). • Use the vision to describe the strategy, for example with Canvas (see Sect. 5.3). • Use a large whiteboard that is accessible to everyone in the company as a place to meet. • Visualize your vision in a box on this board and use not only words but also images to convey an emotional message. • Describe the strategy in terms of a path towards the vision or in terms of different perspectives (customer/market, teams, processes, partners, etc.). • Disclose the OKR of management and show the current cycle on the board at any given time. • Divide Exploitation (the ongoing business from Horizon 1) and Exploration (Think New for Horizon 2 and 3). • The evaluated ideas for exploitation and exploration are visualized on the board by sticky notes in the current phase of processing (prototyping, implementation, review, measuring and improving, discarding, roll-out) (see Fig. 10.27). What Are Typical Obstacles? The biggest obstacle is top management’s unwillingness to disclose their own issues and show themselves fallible. Only when top management stops demonstrating strength, which it often cannot have, and openly and honestly asks its teams for feedback or advice, then the cultural change has borne fruit in the right place.

References

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Management Strategy Board Our Strategy Vision

Objectives (Objectives and Key Results)

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Fig. 10.27  How to make management strategies transparent. (Courtesy of © Claudia Thonet 2020. All Rights Reserved)

References Dilts R (1994) Strategies of genius. Volume I: Aristotle, Sherlock Holmes, Walt Disney, Wolfgang Amadeus Mozart. Meta publications, Capitalo Leopold K (2018) Agilität neu denken. Leanability, Wien Mezick D, Pfeffer J, Sasse M, Pontes D, Sheffeld M (2019) Das OpenSpace Agility Handbuch: Organisationen erfolgreich transformieren: gemeinsam, freiwillig, transparent. peppair, Wangen im Allgäu Owen H (2011) Open space technology: ein Leitfaden für die Praxis. Schäffer-Poeschel, Stuttgart Pfeffer J, Sasse M (2018) OpenSpace Agility kompakt: Mit Freiraum und Transparenz zur echten agilen Organisation. peppair, Wangen im Allgäu Preußig J (2015) Agiles Projektmanagement. Haufe, Freiburg Shostack L (1984) Designing services that deliver. Harvard business manager, Jan 1984. https://hbr. org/1984/01/designing-­services-­that-­deliver. Accessed 20 July 2019 Wikipedia (2019a) Demingkreis. https://de.wikipedia.org/wiki/Demingkreis. Accessed 18 Mar 2019 Wikipedia (2019b) David Kelley. https://de.wikipedia.org/wiki/David_Kelley_(Ingenieur). Accessed 03 May 2019

Extensive information and practical tips on transformations with OpenSpace Agility can be found in the German edition of “Das OpenSpace Agility Handbuch” (Mezick et  al. 2019), and a brief overview can be found in Pfeffer and Sasse (2018).

Closing Words

When I started the book project “Agile Sales” 4 years ago, there were on average only ten Google searches per month for the term “Agile Sales”. My new open trainings on “agile sales coach and agile sales leadership” were laughed at accordingly. Most colleagues simply didn’t see a market for it and could imagine many things, but not agile sales by any stretch of the imagination. Nevertheless, the topic was not only a matter of the heart for me according to the motto “class instead of mass”; I also wanted to start a small revolution in the sales and service area. Thank heaven! I have not remained alone in this; in the meantime, some sales areas and consultants are actively tackling the culture change. In the meantime, there are five times more search queries on Google per month, and my courses are also being booked with growing interest. I am particularly happy about the opening of sales for agile ways of working and thinking. Long live evolution, with a pinch of revolution. Be brave, dear sales people, and embrace change – you’ll see, it’s worth it!

© The Author(s), under exclusive license to Springer Fachmedien Wiesbaden GmbH, part of Springer Nature 2023 C. Thonet, The Agile Sales, https://doi.org/10.1007/978-3-658-38286-5

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