AIM/R reps share ideas, concerns at annual conference

BY JACK FOSTER
Special to The Wholesaler

Networking opportunities and candid conversations were the hallmarks of this year’s AIM/R Management Conference -- just as they have been for well over three decades.

This year’s conference, the association’s 36th, was held at the Hammock Beach Resort in Palm Coast, Fla. It was highlighted by a wealth of rep, manufacturer, distributor panels that tackled everything from describing the attributes of the ideal rep to how to succeed in the face of a struggling economy.

During the various panel discussions, participants -- which included reps, wholesalers and manufacturers -- tackled a number of questions/topics that were generated by reps in attendance.

Open communication
When a panel composed of manufacturers and distributors was asked, “If there’s one thing a rep could do for you, what would it be?”, there was no shortage of responses. In addition to a desire for increased margins and product training, responses dwelled on the need for market intelligence and communication from reps in the field. For instance, consider the view of one manufacturer who said: “We need communication up and down the distribution chain. Factories have plenty to learn from their reps in the field and if there’s any one challenge I could issue to AIM/R, it would be that they provide a standard one-page communication form that their reps could easily use to communicate to us.”

On the subject of training, one wholesaler noted, “When manufacturers go to the time and effort to bring reps to the factory to learn about new products, we’d really appreciate the benefits of what they’ve learned. Products are now more complicated and the training involved in selling them is much more challenging. We definitely need the type of application training that they can provide.”

In addition to product and application training, one rep offered that he’s getting more and more requests form his wholesalers for assistance in sales training. According to the rep,“One distributor told me he’s got a new salesperson who came armed for the job with a degree in marketing, but ‘he couldn’t sell meat to a hungry lion.’ What this wholesaler needs is sales training.”

Strengths and weaknesses
Interesting comments were forthcoming when the subject of reps’ strengths and weaknesses was introduced. Quick responses concerning a rep’s strengths included:

• The rep will be in the territory long after the manufacturer’s regional sales manager is gone
• Relationship building
• Vision
• Being able to deliver on a plan
• Possession of a succession plan for the agency
• Being an effective strategist and business planner
• A professional businessperson in sales
• Being an ethical businessperson
• A believer in partnerships.

When the subject turned to reps’ weaknesses there were several comments from manufacturers relative to the reps’ tendency to avoid paperwork (e.g., call reports), but a lengthy discussion covered one manufacturer’s desire to work with reps who are effective planners. According to the manufacturer, “I can quickly distinguish between a successful and an unsuccessful rep when I look at their ability to plan. For instance, I’ve had some reps that I call at the end of the year and they tell me they’re going to grow the business by 16% next year. When I ask them how, they simply don’t have a plan. I call that a hope, not a plan. Give me something in writing that shows how you’re going to reach your goals -- just two sentences, that’s enough.”

Wowing the manufacturer
When manufacturers were asked “What have reps done lately that has wowed you?”, one manufacturer returned to the subject of planning when he said: “I was blown away when my regional manager shared with me a pre-call planning folder one of our reps put together in anticipation of joint calls in the field. The report contained bullets on all the issues we should know about, including the customers’ entire buying history with our company. When someone presents a plan like that, it gives us a great felling about what’s happening in the territory.”

Another manufacturer offered that in these trying economic times “When our reps have a complete lack of negativity it makes me feel better. When he possesses a sense of optimism, I know he presents that to the customer. It’s better for all of us.”

Challenges of today
Based on comments from reps in attendance at the conference, there is no shortage of challenges facing reps in their businesses today. That point was emphasized when the subject of the economy was raised. One rep put the subject in perspective when he offered that “When there’s blood in the streets -- and it’s not ours -- there is money to be made. And, we intend to be the one that makes it.” He went on to note, however, that in order to be successful, it’s going to take more support from manufacturers (e.g., continued new product development and increased product and application training) and greater effort on the rep’s part to get the job done.

Other areas looked upon as challenges were line card management, buying groups, mergers/consolidations, the proliferation of private labels and the impact of big box stores in the territory.
As a suggestion on how to meet these challenges now and in the future, one rep bowed in the direction of continued involvement with AIM/R: “AIM/R is going to play a stronger role in influencing the people in our industry than it ever has before. We should all take advantage of the relationships we’ve established here. To a person, everyone I’ve ever contacted from this meeting has been responsive to whatever questions I’ve asked or the problems I’ve presented. Contact your fellow members during the year and take advantage of what they know and don’t be afraid to share your experiences with them. We’re all going to be better for the experience.”

Embracing change
In addition to plenty of exchanges among attendees, the conference offered a wealth of scheduled presentations narrowing the focus on subjects of interest to AIM/R reps.

The critical need to embrace and accept change was stressed by Brian Moran, founder and president of Strategic Breakthroughs.

Moran stated the obvious when he said “We all resist change; but if we continue in that direction, we’re going to go out of business.”

He continued that “Change is never easy, but if you’re going to be great, you’ve got to make the sacrifices involved with change. And, the number-one sacrifice you’ve got to make to be great is to sacrifice your comfort-that’s what change is all about. Remember, you’re either pushing ahead or you’re falling behind. Change allows you to move ahead.”

According to the consultant, “It’s imperative that you carve out time for what matters most. If you’re under the illusion you can get it all done, however, you’re mistaken. That’s why it’s important to focus on what’s important.”

Moran concluded his presentation by describing what he called the “Principles of High Performance”:

• Accountability -- “Don’t equate accountability with consequences. They’re not one in the same. What this means is that in the end I account for what I’ve done. It means taking ownership and realizing that I control the response for my actions. In the end I always have a choice for that which I do. It’s not about blame, but taking ownership of choices.
• Commitment -- “This is powerful. If we’re committed, we do things we wouldn’t normally do. It’s all about working toward our goals, building trust and relationships. It’s an underlying fundamental of success.”
• Greatness in the moment -- “Life is lived in the moment. The difference between mediocre and great is very narrow -- maybe it’s the difference between a few more phone calls each day. Maybe it’s just one item or a strategic item per week. Everyone here is capable of more than what they’re currently doing.”

Avoiding HR pitfalls
Over the course of two sessions human resources consultant Gretchen Magee, president of gsm-Human Resources Consulting llc, took attendees through the intricacies of managing productivity and the pitfalls created by top human resource errors.

On the subject of effectively managing productivity, Magee emphasized that one of the key practices is to “provide a vision that engages your people. Employees need to be energized -- to feel that they are a part of something great. In order to do that, it’s important to define the large goals of your enterprise and enroll employees in making it happen.”

One way to achieve that goal is to serve as a “coach” for your employees, she maintained. “A coach knows that if the team is to be successful, we need to work together. A coach manages the players, not the scoreboard. A coach is a motivator and knows how to recognize/reward talent and will make cuts as necessary for the good of the team.”

In her second session, Magee described top human resource management mistakes. Included in those mistakes were:

• Hiring a problem -- “Always hire talent over experience and devote the necessary time and energy to train the individual you hire.”
• Know the laws -- “Train all your managers in the proper application of employment laws. In addition, it’s critical that you monitor what goes on in your place of business. Be vigilant-if you knew or should have known, you have liability.”
• No policies and inconsistent practices -- “Be sure to adopt a set of fair policies and operations. And, be sure to communicate and ensure that there is understanding among all employees.”
• No ethical code of conduct -- “Be sure to understand the liability issues surrounding business ethics.”
• Ineffective Leadership -- “Recognize the critical role that leadership plays in the retention of high-performing people.”

For more information about the Association of Independent Manufacturers’ Representatives, visit www.aimr.net.