Sales vs. Account Managers: When to Separate the Two

One of the main questions I receive from owners and executives in the staffing industry is whether they should have sales actively manage accounts, or if they should separate the two functions. So that we are all talking the same language, let me define the two:

Sales: A sales person that is not also an account manager is responsible for bringing in new business. Typically, they are measured by how many new accounts they can open in a 12 month period as well as the gross profit generated in those new accounts only. At some point once the account is open, the duties of managing the day to day activities in the account is then turned to another on the team.

Account Management: An account manager is not responsible for new sales, but they are responsible for growth within their account base. They take in new job orders, break into new departments, and possibly will sell if they are given a referral. They are measured on gross profit growth within their accounts, job orders taken, turnover rates, etc.

When is it a good idea to separate the two tasks into separate positions?

Most newer or smaller agencies cannot afford to or do not have enough business to have these two roles separated, so it is very common to have one to five or six sales pros who manage the accounts they bring in. A new person to the team may be given a handful of accounts to manage while they also have responsibilities to land new business.

When you get to a point where you have grown and are wondering if you should separate the tasks, I recommend the following:

• Complete a time study with your team to see how many hours on an average day they are spending on prospecting, new sales meetings, and other "sales" tasks. See how many hours on an average day they are nurturing existing accounts. If they are spending more than half of their days nurturing existing accounts, I'd suggest separating the roles so you can continue to grow.

• Meet with your team to see who on the team will be most effective as hunters (sales) vs. nurturers (account managers). You need to decide who has interest in one role or the other and who is the best fit.

• Devise a process for when a new account is landed to get it transitioned over to an Account Manager. The last thing you want is to make your new client feel like they are unimportant by a sudden change in their contact with your company. You may want to have an account manager present in meetings as the contract is being signed so they are familiar with this person and the process.

• Ensure that the new metrics are clear and are designed to separate the roles. Don't have an account manager accountable for new sales, and don't make a sales person accountable to take in new job orders once the account has transitioned.

• Don't allow the sales rep to fully walk away from the account. They should still have some activity to partner with the account manager to help grow in the account and also give your client a sense of comfort that they have more than one point of contact.

At the end of the day, this is a judgement call, but an important one that will either stunt your company's growth or help it continue to grow sustainably. If you are stuck on this question, feel free to reach out and we can discuss to make sure that the decision is well thought out and that the transition goes well with little to no hiccups.