Posts in category: Monday MOORINGS

LIC & BUMBLE BEE

Way back in 1986 when I had just started off in my professional journey, I got introduced to this concept of Bumble Bee.

If the rules of aerodynamics are applied to a bumble bee, then it cannot not fly. Because the area swept by its wings is far less than its weight. Not enough to give it a lift to fly.

But still it flies.

Simply because it wants to.

I did study management and have been part of brand management & advertising. And later having served in the monolithic organisation called LIC, I found it quite like a bumble bee. Its weight is far more than the area it sweeps. So, it shouldn’t fly. But remains #1 insurance company despite 24 years of tough & intense competition.

LIC has excellent advertising and very well laid out organisational structure with clear chain of command.

However, the most interesting part is that none of the people working in the sales department are from sales per se. People join as assistants in the clerical cadre and rise from the ranks to hold important positions in the sales department. With virtually zero exposure ever to various aspects of a typical sales department, they come around to making important decisions. The frontline agents have very basic education. After a certain time of their induction into LIC, they are on their own. But they are extremely committed. Behind them is the latent force of their development officers. The products are never tested before launch. The sales teams are not briefed about the new products. The feedback is rarely taken seriously. There is only one way of performance appraisal i.e. comparison with last year’s figures. There is no market intelligence per se. There is no research. And there is only one way communication.

Yet, LIC is where it is.

This all boils down to the fact that our endeavours carry far more weightage than the management jargon. Management principles came much later than the entrepreneurial success. Performance & hard work can any day overtake the conceptual knowledge.  

Likewise, there may be factors in our lives which may point to the fact that we cannot fly, yet like a bumble bee, if there is a will & determination,  we can still fly.

“Money is not everything. But earn it enough before you talk such nonsense.”

I heard about this adage few years back. And I am yet to hear more profound statement about money and our relationship with it.

This adage has its message in layers. It may run like this.

One, money is not everything.

Two, one must earn it enough in his lifetime to put it up on the scoreboard. (of course, for   himself and not for public display) 

Three, don’t be apologetic about chasing it and acquiring it.

Four, once your run is over, when you can afford it, discover & sermonize that there are other things besides money which are important though in life.

Five, money is very important and anyone talking otherwise about it is all nonsense.

Money has been, is and will always be an important part of life. We can run the affairs of our lives only if we have a well-stocked bank account and a steady stream of money.

Money wins you recognition, it makes your life meaningful to quite an extent. At the basic level, it helps us in keeping our mind, body, and soul together. At another level, and various other levels of life, it helps us in discharging our worldly duties efficiently. One can enjoy a good living if there is a regular flow of money. Relationships, friendships, travel, education, and medical care can be taken care of well when one is financially viable. It gives you confidence. It gives you a typical high which caresses your ego. No one would like to be associated in any way with someone who is living his life on the edge financially.

Having been in life insurance for pretty much long time and advising people on wealth creation, I discovered how hard it is to make people come around to wealth creation when they are at the peak of their earning span.

There are two risks in life. Dying too young or living too long. When one dies young, a lot of agenda is left unfinished. And when one lives too long, one tends to get dependent on others for basics. Wealth creation should happen to meet any eventuality out of these two extremes.

The only bottom line is that the money should flow in only through legitimate means.

Humility & bonding. Key to great teams, great leadership, and great work.

Jan 1989. Chennai. I had just got posted there as an Account Executive with Mudra communications after my induction at Ahmedabad. Since I was new to the organisation and Chennai, I was not assigned to any client yet. It was thought that I need to settle down and get acclimatised in all respects. So, I was just floating around.

During one of these very early days of being in Chennai Branch, I was told to attend a shoot for one of our clients BSA MACH I.  The location was a college, and we were shooting with actor & model Jugal Hansraj. Jayendra & PC Sriram were the producers of the commercial. (Jayendra & PC Sriram as cinematographers are names to reckon with in the film industry of South India in general and Chennai in particular. They are like institutions in themselves.)

Shots were being taken as per the story board. There was a lot of commotion and excitement in the college campus. There must be about 40-50 people from the film crew. Then there were college students who were keenly watching the film shoot. For me it was a totally new experience.

At about one in the afternoon, the director said pack up for lunch. Soon a special pantry car arrived managed by one of the crew members. It was equipped with everything. Shimmering steel cutlery was out. Everybody started sitting on the ground holding the steel plates waiting to be served.

What surprised me the most was that Jayendra & PC also sat on the floor like everybody else and had their food. PC Sriram had already shot into fame with movie Nayaken (with Kamal Hassan as hero) which was a super hit in South and then it’s Hindi remake Dayavaan (with Vinod Khanna as hero), was a super hit as well. Jayandra was a noted and acclaimed ad-maker even at that time.  And I see them sitting on the floor having their food with their crew members. No airs. No qualms. It was something to notice & imbibe.

And then I began to realise that this trait of theirs was manifesting in dedication, commitment and complete order & discipline while the shoot was on.

For me, the takeaway was the huge management lesson. Humility leads you to bond with people, which leads you to make great teams. And great teams produce great work. It is almost 35 years. Both of them are still doing great work. PC is busy in films and Jayendra is now leading Real Image & Qube Cinema, providing digital film solutions to the world.

And when they are shooting, during lunch break, they still have their food the same way.

MONDAY MOORINGS – 41

THE CHANGING PARADIGM OF SALES

It has been a while since I have been helping businesses in training their sales people in the art of selling, personal grooming, and steering relationships to maximizing sales & profits. I, however notice that the businesses are still trying to work around the same way whereas the entire business scape has got transformed. The methods of customer engagement have changed. The buying process is radically altered.

Through the following article, I put forward my perspective of making the sales happen. I invite you to pitch in with your thoughts.

Gone are the days when sales merely meant pushing a product or service. Today, it’s about fostering relationships, understanding nuanced needs, and delivering bespoke solutions. The modern customer is informed, discerning, and expects a personalized buying experience. A sales force that clings to outdated methods will find itself lost in this new paradigm. Training, therefore, becomes not just an option but an indispensable investment to equip sales teams with the skills, strategies, and emotional intelligence needed to thrive in this evolved landscape.

Navigating Complexity with Expertise

Today’s business environment is a labyrinth of complexity. With an overwhelming array of products, services, and solutions flooding the market, standing out demands more than just charisma. It requires knowledge—deep, insightful, and strategic. Effective sales training programs empower teams with this knowledge, transforming them from mere order-takers into trusted advisors who can confidently guide customers through complex buying decisions. This not only enhances credibility but also fosters loyalty, ensuring long-term customer retention.

Fueling Growth through Adaptability

If there is one constant in today’s business world, it is change. Market dynamics shift rapidly, influenced by technological advancements, changing consumer behaviors, and global economic factors. Salespeople must, therefore, be agile and adaptable. Training programs that focus on continuous learning, digital fluency, and strategic thinking enable sales teams to not just react to change but to anticipate and leverage it. This adaptability becomes a potent tool for growth and competitiveness.

Mastering the Digital Dialogue

In this digital age, where conversations have migrated to virtual platforms, mastering digital communication is paramount. From video calls and social media engagements to personalized email marketing, today’s sales landscape is driven by digital interactions. Salespeople who are not trained to navigate this digital dialogue risk becoming obsolete. Investing in training equips them with the skills to craft compelling narratives, engage authentically, and convert digital interactions into meaningful relationships and sales.

Enhancing Productivity and Morale

Sales can be a high-pressure domain, demanding resilience, optimism, and motivation. Continuous training programs not only hone skills but also uplift morale. When salespeople feel equipped and empowered, productivity soars. They approach their roles with confidence, creativity, and commitment. This sense of accomplishment and growth significantly reduces burnout and attrition, fostering a motivated and loyal workforce.

The Competitive Advantage of Excellence

Excellence in salesmanship is the ultimate competitive advantage. In markets teeming with alternatives, the differentiator is not just the product but the experience of buying it. A well-trained salesperson can turn even the most mundane product into an irresistible offering through the power of storytelling, empathy, and strategic persuasion. By investing in training, businesses don the armor of excellence, setting themselves apart from competitors and carving out a loyal customer base.

The ROI of Training: Beyond Numbers

The return on investment in sales training transcends mere financial metrics. It manifests in brand reputation, customer loyalty, and employee satisfaction. A well-trained sales force not only drives revenue but also acts as the brand’s ambassador, enhancing its image and credibility. Moreover, investing in their development cultivates a culture of learning and growth, attracting top talent and reducing turnover.

Conclusion: A Strategic Imperative

In the grand chessboard of business, investing in salespeople training is not merely a strategic move—it is a strategic imperative. It is about empowering the very people who bring revenue, relationships, and resilience to the organization. As the business landscape continues to transform, the need for agile, informed, and inspired sales teams will only intensify. Those who recognize this today will not just survive but thrive, leading the market with vision, valor, and victory.

In essence, investing in salespeople is an investment in the future—a future where growth is driven not merely by transactions but by transformative experiences. It is a commitment to excellence, a pursuit of mastery, and a pathway to sustained success.

The Science Behind Psychometric Tests

I got introduced to psychometric tests about 20 years back when I had just joined the training field. I realized that the best way to serve the young students is to guide them about what career to choose early in their educational journey. It was only early this year that I got to complete my curriculum as a certified career analyst. As I am rolling out psychometric assessments, I am also trying to do my bit in spreading awareness about psychometric profiling as a tool for career assessment so that the students find their real groove where they  flourish as they do what they love.

Today I bring to you the science behind these psychometric tests

1. Conceptual Foundations: Psychometric tests are rooted in psychology and educational measurement. They aim to quantify psychological attributes, such as intelligence, personality traits, aptitudes, and behavioral styles. The key scientific principles behind these tests include:

• Psychometrics: This is the field of study concerned with the theory and technique of psychological measurement. It involves the development and refinement of theoretical approaches to measurement, the construction of assessment instruments, and the evaluation of their reliability and validity.
• Reliability: This refers to the consistency of a test. A reliable test yields the same results under consistent conditions. Methods to assess reliability include test-retest reliability, inter-rater reliability, and internal consistency.
• Validity: This concerns whether a test measures what it claims to measure. Types of validity include content validity (the extent to which a test samples the behavior of interest), criterion-related validity (how well one measure predicts an outcome based on another measure), and construct validity (the extent to which a test measures the theoretical construct it is intended to measure).

2. Development Process: Developing a psychometric test involves several steps:

• Item Generation: Creating a large pool of items/questions based on the theoretical constructs to be measured.
• Pilot Testing: Administering these items to a sample population to gather initial data.
• Item Analysis: Statistical analysis to assess the performance of each item, leading to the refinement of the test.
• Norming: Establishing norms by administering the test to a large, representative sample to create benchmarks for interpreting individual scores.

3. Statistical Methods: Psychometricians use various statistical techniques to ensure the accuracy and efficacy of tests:

• Factor Analysis: Used to identify the underlying structure of data and to validate the constructs being measured.
• Item Response Theory (IRT): This model evaluates how specific test items function across different levels of the trait being measured.
• Classical Test Theory (CTT): Focuses on observed scores, true scores, and measurement errors to assess test reliability and validity.

Benefits of Psychometric Tests

1. Objective Measurement: Psychometric tests provide objective data that can be quantified and analyzed statistically. This objectivity reduces bias and subjectivity in assessment.

2. Predictive Validity: Well-constructed psychometric tests can predict future performance and behaviors. For instance, cognitive ability tests can predict academic success or job performance, while personality tests can forecast interpersonal behaviors and job fit.

3. Improved Decision-Making: In recruitment and selection, psychometric tests help identify candidates with the right skills, traits, and potential, leading to better hiring decisions and reduced turnover.

4. Enhanced Self-Awareness: For individuals, psychometric assessments offer insights into their own strengths, weaknesses, and preferences, facilitating personal development and career planning.

5. Team Building and Development: Understanding the diverse personalities and skills within a team through psychometric profiling can enhance team dynamics, communication, and collaboration.

6. Educational Placement: In educational settings, psychometric tests can identify students’ learning styles, strengths, and areas for improvement, guiding personalized learning plans and interventions.

7. Psychological Research: These tests are invaluable tools in psychological research, providing reliable and valid measures to study human behavior, mental processes, and the effects of various interventions.

Summary

The science behind psychometric tests involves rigorous theoretical and statistical foundations to ensure they are reliable and valid measures of psychological constructs. These tests offer numerous benefits, from improving hiring decisions and enhancing team dynamics to fostering personal development and guiding educational interventions. By providing objective, quantifiable data, psychometric tests play a crucial role in various fields, contributing to more informed and effective decision-making.

VARINDER DATTA

Certified Career Analyst

The Knowledge Trer

9814020796

INSURABLE INTEREST & ELECTIONS

As I write this edition of Monday Moorings, I am allowing myself to get a bit philosophical.

In the all-pervading cacophony of elections happening in our country, for no reason, I was inclined to draw a parallel between a principle of insurance & elections.

In insurance, when an insurance company underwrites an insurance proposal, there is a guiding principle which is called Insurable interest. It says that insurance can only be granted if there exists an insurable interest. Meaning thereby that there must be a financial loss to someone in the death of another person. Which is why an insurable interest exists between parents & children, husband & wife, business partners, directors of companies. The insurable interest is naturally assumed by virtue of birth or marriage or by being a partner in a firm or when someone joins an organisation as a director based on his specialised skill. Though it is never upfront but this guiding principle is always the underlying factor for determining granting of insurance.

By the same count, an interest exists between a nation & its citizens. And this interest is assumed naturally by virtue of birth of someone in a specific country. A country has a national interest in a citizen and likewise a citizen has in a nation. A country exists by virtue of its nationals and people exist because of the country they belong to. A country which can hold everybody together, can promise peace, safeguard them from any threat, throw opportunities at them to grow and fulfil their aspirations.

India is 140 crores today. Thriving, happening, vibrant, going places & raring to go far & beyond. Languages, dialects, cultures, colours, creeds, food, religions, attires, diverse lands. There is no place like India. Not only in India, but Indians are also now everywhere on earth making those places equally vibrant & happening by their contributions of every kind.

Today, India is in election mode. World’s largest democracy is all agog drenched in the din of the election process to give herself a new government.

If we cut copy paste the insurable interest here, then the national interest of every Indian in their country would be displayed by casting their vote and helping the nation in the forming a new government. Elect a government which can truly reciprocate the aspirations of her nationals. That’s first sign of our insurable interest in our own nation. It is only then that the insurable interest of the country in you gets activated. So, go out. Cast your vote.

I would like end this edition with a quote from John F Kennedy . “Ask not what your country can do for you – ask what you can do for your country,”