Got a salesperson who's failing to achieve their sales goals? You've tried everything to correct the situation--training, begging, threats, performance improvement plans, mentorship, etc. Still, your sales rep is not meeting your expectations.
Before making the decision to terminate a salesperson, ask yourself these six (6) questions:
1. Have they produced results in the past? 
If your salesperson delivered acceptable sales for you in the past, then chances are they can replicate that success. They may have a specific issue that is affecting them now and it should be identified and resolved so they can get back on track. Look for clues as to what they did previously when they were succeeding and identify any changes in activity, behaviors or attitude.
2. Are they experiencing any personal problems?
Many times a problem at home can derail a salesperson for a period time. You need to know if this is a temporary set-back or a potentially permanent one. Consider using an in-depth sales assessment to measure your salespersons mental and emotional focus, as well as their capacity to manage stress. This can open up dialog about external factors that are impeding performance.
3. Are there any recent changes inside the organization?
Mergers, acquisitions, new management, changes in pay plans, corporate restructuring, and changing territories can all have a major impact on the performance of your sales team members. If you know major change is on the way, help your sales team by preparing them for it in advance to mitigate fluctuations in sales performance. If it has already occurred, then use your available resources to help support them through the transition. Many top performers have been terminated because the organization maneuvered through a corporate restructuring.
4. Are they the right fit for this sales role? 
Not all sales roles are the same. And just because a salesperson demonstrated a "sales personality" and has sales experience on their rsum does not mean that they should be in this particular sales role. If they are in a hunting sales role, they might be better suited for inbound sales, account management, or major account sales. Ask yourself these questions to determine if they are a better fit for a different sales role:
  • Do they exhibit traits of a good closer, but fail to develop an adequate pipeline?
  • Do they tend to invest a lot of time servicing their existing customers?
  • Do they succeed at product knowledge and consultative selling, and prefer to work on bigger deals?
5. Are they coached/managed properly? 
Failure to hire, manage, coach and lead sales reps properly are the primary reasons for under-performance. Sales leaders are the coaches of their sales team. Here are a few coaching questions to consider:
  • Are you consistently observing them selling on the phone or in the field?
  • Are you conducting "sales rep focused" sales meetings?
  • Are you engaged in sales skill development during your one-on-one sessions?
  • Are you more interested in quota than quality and quantity of activity?
Too many salespeople have been terminated due to a lack of effective sales coaching by their Sales Manager. The problem results in a potential sales champion being let go and both of you suffering the loss.
6. Are they better suited for a different role in the organization? 
In many cases, underperforming salespeople can be shifted to another role in the organization. They might be a great candidate for a different department. Focus on identifying their strengths and sources of motivation such as their: desire for supporting others (customer service), drive for knowing and articulating product knowledge (training), research or aesthetics (marketing), or processes and systems (operations).
Ask and answer these six questions prior to terminating an underperforming salesperson. There are many other factors to consider before letting someone go, but be sure that you haven't overlooked these specific issues that could affect performance and lead you to a decision that may adversely affect you both.