MBA stands for “More Bureaucracy Ahead” in sales

It is normally at this point that a weaker and more politically correct writer would begin by excluding groups of MBA graduates from this statement. Even though that would weaken ones stance to do so, watering down bold statements is just not my style. If you have an MBA and you are in charge of a sales and marketing department, you need to read the following words as much as the companies looking to replace or grow these departments. The proverbial bottom line is exactly what is called for here. The pursuit of new business and increased revenue from an academic perspective will only add layers of red tape between your sales staff and its’ collective goal. The reason for this is simple. If learning business strategy in a classroom predicated on books and the world views of professors, you must suspend the most challenging aspect to business; the rapidly increasing speed in which our markets are evolving. As you read a book about finance relating to venture capital for example, what you are actually reading is, at best, several years old. Chances are that the author spent 2-3 years doing research for that book, another year writing it, and then there is the process of editing and printing the book. Plus you need distribution time and time for the professor to acclimate themselves to the “new” material. So what we are talking about is 4-6 years from the time the data was actually relevant. In finance, that may be acceptable. (Probably not but I am not a finance expert) What I do know is that any specific sales strategies that are “learned” in traditional academic settings are inherently flawed because of the common challenge we all deal with in sales and marketing. What is working today will not work nearly as well in two years. This relates to the process strategies, the marketing strategies, the closing techniques, and even the vehicles we use to disseminate our message. Effective managers stay ahead of the curve instead of chasing the leader. The academic process both as it relates to the classroom dynamic and as it relates to the approach is simply out of touch with market realities.

This is true as it relates to the way MBA graduates are taught to analyze the processes themselves. The tools and methodologies in this area evolve and improve with technology as well. A perfect example can always be found within the real world applications. One of my clients has an MBA as their “Senior Vice President of Sales and Marketing”. I never did meet their junior VP or even their regular VP of sales and marketing but that is indicative of the problem. After delving into their market dynamics, we saw a “seem” to exploit. Our client, along with most of their competitors had hired sales reps with impeccable backgrounds that were deeply rooted in industry circles. The problem, as we saw it, was that these circles were comprised of executive vice presidents and the like. The decision maker for their product was primarily office mangers. Essentially, everyone had surrounded themselves with elitists to sell to a middle class psychology.  They were not incapable of selling but we knew that changing our clients’ sales dynamic would greatly lesson the resistance. We wanted to pursue reps that were currently working in retail. I won’t get into why but the psychology just made sense. This recommendation was met with stringent objections from our SVP of Sales and Marketing. Even after detailed explanations, she fought us on making this change or addition. Their industry had operated this way for 50 years and she was not about to buck the trend. We went to the CEO and asked that she allow us to hire two or three to test our theory. Within the first two weeks it was obvious that we were not only right but that the failure to implement this across the board would simply cost them money. Lesson learned. The fact that we won is not what you should focus on. Instead, focus on the fact that we almost lost the argument. Academic elitism is flatly counter productive in the one department of your company that needs the ability to innovate quickly and adapt to real time data in real time. Red tape is not “careful deliberation”, it is costly and will weigh down your sales staff.

Two pieces of advice:

1. Never hire a man wearing spandex shorts, a white tank top, and hat that says “I’d rather be…….” For your next CEO.
2. Never hire someone for the most innovative part of your company that basis their decisions on CYA and “industry best practices”