Time Study Sales Reps
How can sales reps increase their selling time?
As a successful sales rep (or someone who manages sales
reps), you probably already know the key skills needed to develop and
maintain your business. Essentially they boil down to a) finding qualified
prospects, b) determining potential needs, c) closing sales and d) taking
responsibility for customer service.
This means you need to find, cultivate and maintain relationships
with new prospects and existing clients. By keeping the funnel full of
prospects, you'll ensure you have a steady stream of business. But transcending
proficiency in these areas is the issue of time. What key priorities should
you be focusing on? How do you spend your time compared to others? Are
you maximizing your productive time and minimizing time wasters?
If you could know what other successful sales reps are doing,
you could emulate them. Pace Productivity Inc., based in Toronto, Canada
conducts sophisticated audits of how people spend their time. The information
for these time studies is gathered from a small, portable electronic device
called a TimeCorder. This device, about the size of a videocassette, allows
individuals to easily track the time they spend on different activities.
Here's how it works. The TimeCorder is programmed with 26
pre-coded activities, each one corresponding with a letter of the alphabet.
Whenever a time-study participant presses a button, time starts recording
on that activity, like a stopwatch. When the person changes from one activity
to another by pressing another pre-coded button, the time stops recording
on the previous activity and automatically starts on the current one.
It's like a chess clock in reverse and about as simple to use as the average
doorbell.
In addition to measuring cumulative hours, the TimeCorder
also tracks the number of times each activity occurs. When a button is
pressed, the "count" for that activity also increases by one.
We refer to these as occasions. By dividing cumulative time by the number
of occasions, a typical duration is derived. It is the average length
of time an activity occurs, expressed in minutes. So a time study participant
might work for 5 hours on marketing over 10 different occasions. Therefore
each occasion averages 30 minutes.
TIME STUDY RESULTS
The first thing we discovered about sales reps is that their
work hours are not exceptionally long. Surprising, but true. Typically
their workweek is 46 hours long. This includes lunch and breaks, plus
travel time and other miscellaneous activities. It also includes work
done at night or on weekends.
HOURS WORKED PER WEEK
For comparison, sales managers are slightly higher at 50
hours per week. Clerical people tend to work fewer hours, only 43 per
week. Among the highest jobs we've tracked are independent consultants
and trainers who average 61 hours per week.
Frequency of activities is higher than for other employees.
We can measure how often they are engaged in different activities based
on the number of occasions they track. Sales reps are "interrupted"
every 11 minutes, while managers come in at 20 minutes. The reason for
this is sales reps have a higher number of short telephone calls, usually
sales calls, than others.
Now let's look at how the total hours break down by category.
Usually time study participants track 26 different activities. Of course,
each client has a different list. However, the individual activities can
be grouped into 8 major categories for analysis; selling, customer service,
order processing, planning, administration, travel, lunch / breaks and
miscellaneous.
The pie chart below shows the break down of the various
categories. A discussion of each category follows.

PLANNING HOURS
Planning takes up just 2.4 hours per week, or 5 % of the
time.
This category includes determining long term strategies,
deciding which customers to call this week and working on presentations
to be made. Most sales reps spend about half of the time in this category
planning their schedule and activities; the other half is in presentation
preparation.
SELLING HOURS
The selling category consists of activities designed to
seek out new business. Mostly this consists of making sales calls on the
phone, making sales presentations and writing letters. Occasionally some
respondents have also included marketing and networking.
On average, these add up to 10.3 hours per week or just
23% of the workweek. Typically, sales reps engage in sales activities
on 58 different occasions per week. These are direct contacts with customers
and prospects, primarily phone calls and meetings with both current customers
and prospects.
Sales contacts with current customers generally take longer
than those with prospects. Specifically, sales calls with customers typically
take 9 minutes each, while those with prospects are only 5 minutes.
Meanwhile sales meetings with current customers average
36 minutes each, while they last only 26 minutes with prospects.
Sales lunches are not that frequent. Not all of our respondents
measured these, but among those that did, they average 2 lunches / socializing
events per week of only 40 minutes each.
CUSTOMER SERVICE HOURS
The largest customer service activities are responding to
special requests and collections. This category also includes credit issues,
handling complaints, account maintenance, service meetings and even occasional
deliveries.
Ideally, sales reps would delegate these activities, while
remaining as the main contact point for the customer. In organizations
where this is possible, minimizing service time is an objective, at least
for the sales rep.
Typically, the average rep spends 5.9 hours per week or
13% of the time on service issues. Those who tracked an activity called
"service and support calls" usually answer these for 1.8 hours
a week. Collections can be heavy, taking some reps 2.4 hours per week
over 7 different occasions. Phone calls, whether they're about service,
complaints or account inquiries usually average 13-21 minutes each.
ORDER PROCESSING
The order-processing category consists of pricing, preparing
quotes and even design work for custom orders. These activities take 6.3
hours per week or 14% of the time. This is a necessary part of the job
that would be difficult to delegate. However, where repeat orders are
involved, many sales reps can increase their efficiency by giving these
to an inside or telesales rep.
ADMINISTRATION HOURS
Administrative activities are those B and C priority items
that don't directly generate revenue, but are a necessary part of the
job. They include paperwork, filing, handling mail, internal phone calls,
sales meetings, correspondence, meeting with one's manager and reading.
Together, these activities can be a huge time hog. On average
these B and C priorities take up 9.8 hours per week, 21% of the time.
No matter what the group, the biggest time gobbler for most
people is an activity called "general administration and paperwork".
Depending on the person, this might include filling out government forms,
writing reports, sending service updates, updating databases, and even
fixing a computer problem.
For sales reps, this one activity alone can represent over
5 hours per week. We're constantly told that administration and paperwork
are among the biggest time hurdles. Those who are good at managing their
time find ways to minimize paperwork. They delegate to others, they automate
them or they standardize them.
Other administrative activities are shown on the list below.
It shows averages among those who tracked these activities. Not everyone
tracked all of these, so the list should not be added. Nonetheless, it
demonstrates how some reps could accumulate over 10 hours on these non-priority
activities!
| |
Hours / Week
|
| General
administration / paperwork
Internal calls
Correspondence
Handling mail
Filing
Sales meetings
Reading
Meetings with manager
Personal training
|
5.6
4.4
2.1
1.7
1.3
1.0
0.9
0.8
0.6
|
(Note: Manager meetings and personal training could also be
considered part of the planning category, but we've included them here to
keep our data consistent.)
Another important activity in the administration category
is personal training. After all, how can your business improve if you
don't improve? But sales reps spending only about 1/2 hour per week on
it are not getting the development time they deserve. For other employees
we've studied, 1-2 hours per week is a typical target.
TRAVEL HOURS
Travel activities add up to 4.1 hours per week, or 9% of
the time. However, the database contains many sales reps, such as bankers,
who don't travel. When these are excluded, travel time jumps to 6.5 hours
per week or 14% of the time. There is a corresponding drop in customer
service. Typically outside reps make 18 trips per week of 22 minutes each.
(Few of the study participants did overnight trips.)
OTHER HOURS
Breaks, lunch and personal business usually average about
3.4 hours per week, consisting of 10 breaks of about 19 minutes each.
Finally, the miscellaneous activity includes items that weren't tracked
anywhere else. If mailing or filing were not included in the list of activities
given to a participant, the time spent on them may have ended up in this
activity. It might also include charity projects, special task forces
and office socializing. At 3.5 hours per week, or 8%, miscellaneous time
for sales reps is at an acceptable level relative to others in our database.
THE IDEAL PROFILE
The data in this report represent averages. Here's what
we believe an ideal profile should look like, based on a 48-hour week.
That's the equivalent of working 8:30 a.m. 5:30 p.m. Monday to Friday,
plus another 3 hours spread out between evenings and the weekend.
| |
Hours
|
% of Time
|
| Planning
Selling
Service
Order Processing
Administration
Travel
Lunch / Breaks3
Other
TOTAL
|
2.4
15.8
5.8
5.8
7.2
7.2
3.4
.4
48.0
|
5
33
12
12
15
15
7
1
100
|
THE IDEAL SALES PROFILE

More Research | Top
of Page
|