The Pease Group, on behalf of MANA, has been conducting workshops addressing the need for member and non-member manufacturers’ representative network training. This was the eighth year providing this invaluable service and, in many ways, the most challenging. The main purpose for conducting these seminars is to promote a fluid measurement structure within industrial and commercial rep sales force teams, and to create mutual accountability for driving sustainable bottom line results. No doubt the challenge this year was to create the right business plan not just to survive, but to actually thrive in this tumultuous environment.

With the worst economic downturn since the Great Depression acting as the backdrop, the four training sessions conducted in 2009 provided much of the feedback we expected. However, several key insights were unexpectedly gained that can be critical to business planning.

What we expected:

• Most participant companies experienced significant revenue decline in 2008/2009, leading to cutbacks and tighter operating budgets.
• Several participants have had to change their sales and marketing approach, leading to adaptation of a rep or a hybrid rep/direct sales force.
• Some participants have had to abandon previous customer relationships due to wholesale changes in their served industry, notably automotive and construction related businesses. Therefore, they are looking for quick access to new markets via the existing market relationships with established manufacturers’ representatives.

The trendsetters:

• Each of the training sessions did include companies that showed sales and profit growth in 2008/2009, as well as a strong (greater than 10%) growth outlook for 2010.
• Several of these companies already conduct extensive business and operational measurements as a part of their culture. Using these measurements pro-actively with their rep network, they achieve their goals by integrating their rep sales force into their day-to-day business.
• A few of these companies exhibited revenue growth in automotive, housing, or construction as a good portion of their business. Why did a few outpace the many? Here are several key insights.
• The trendsetters had a very good handle on their focus markets, but they were also well versed on emerging markets. As one market slowed down, these companies showed a propensity to quickly shift resources into the emerging markets.
• Their business plans noted the rep sales force as the central part of their business strategy and provided for constant improvement in their sales plan.
• The communication channel from the executives to the sales and marketing groups was very dynamic, often times filled with tough decision-making.

The ultimate strategy these organizations embedded in their corporate DNA was the fierce tendency to set forth real world action plans with measures and accountability. All of these companies operated with some format of mutual action planning as a day-to-day operation. This was without a doubt the most provocative take-away. This sounds so simple: put forth joint action plans that will hold the sales rep and manufacturer accountable. Yet this is rarely practiced and is certainly more of a “flavor of the month” approach in most organizations.

For 2010, The Pease Group will once again conduct MANA training in the areas for Earning The Reps Mind Share (for existing rep sales networks) and Building a Rep Network (for newly formed or forming rep sales networks). In addition, a new series will be started to provide extensive training on Mutual Action Planning — How to Get a Collaborative and Results-Oriented Rep Network. Throughout the years, The Pease Group and MANA have continuously improved training by listening to feedback and self-critiquing each session. As we approach 2010 we are confident that with these three training seminars, we can equip the manufacturer with tools and real world plans to be put into action. There is, indeed, an option to thrive in this economy.