manager. Following this, we will consider a process that could prove more effective for the larger companies where several representatives share responsibility for a common territory. This is the peer appraisal process where the reps and managers appraise each other with senior managers simply reviewing and rubber-stamping appraisal outcomes.

Firstly lets consider the merits of the standard method of appraisal for both sales representatives and sales managers in today's pharmaceutical industry. This is still the manager-to-representative or manager-to-manager appraisal. If undertaken correctly, this approach can be both productive and motivational, but such an outcome hinges on a number of factors.

1. The manager who facilitates the appraisal must be capable, with good appraisal skills, up-to-date correct information and have no favourites within the team.
   
   
2. The appraisee must also have good influencing skills, ensure that their appraisal information is up-to-date and be well prepared to present their case.
   
   
3. Theoretically, the end of year appraisal should be a rubber-stamping exercise and in effect should be a 4th Quarter Review. As the previous three quarterly reviews will have been structured to review business and personal development plans and to monitor each, the 4th quarter review should invariably hold no surprises.

As straightforward as this sounds, there are commonly a number of challenges that both representatives and managers face in getting to a situation where the year-end appraisal is as straightforward and painless as it should be.

1. Many managers do not hold structured quarterly reviews where time is taken to analyse fully the representative's or manager's business and development plans. In the sales representatives case, ad-hoc reviews are taken on field visits and by year-end there is an almighty scramble for data, along with the frantic preparation of a presentation in order for some last minute influencing.
   
   
2. Often, managers begin the year-end appraisals with their mind already made up regarding outcomes, performance and ratings for their respective team members. Decisions are made with only limited, top-line information and perhaps an element of 'gut-feel'.
   
   
3. In tandem with the above, the individual being appraised will often have a mindset that says, "I'll just have to accept my managers opinion of my performance".

Poorly managed, ineffective appraisals lead to de-motivation and reduced ineffective teamwork. Let us now consider steps that managers can implement to ensure that their one-to-one appraisals are more effective and motivational:

• Ensure that they have good and effective appraisal skills.
  
  
• Have an open mind and be prepared to consider facts and figures, rather than making ill-informed judgements.
  
  
• Organise regular reviews where you are guiding and coaching team members towards their appraisal aims. This allows the manager to keep their team on-track and, at any given point during the year, to know when things are moving in the wrong direction. Quarterly reviews would be a worthwhile goal, with anything less frequent often proving to be a false economy.

If a manager follows these steps then the year-end appraisal is very much a rubber-stamping exercise and can be used to start the planning for the following year, rather than just concentrating on the year just passed.

What about larger companies and their sales teams? As a result of mergers, companies often have several representatives selling the same products within the same territory. As a result, teamwork is the buzz-word and in some cases representatives and managers have a teamwork measure within their objectives. Such teams tend to be larger, with one manager often steering the efforts of upwards of ten representatives. In such situations, field visits are less frequent and the manager will have fewer opportunities to observe and work with their respective team members.

Where this is the case, peer-appraisal, where the representatives in a particular territory appraise each other, can be highly effective. After all, such teams tend to meet on a regular basis to discuss appointments, share meetings and information. As such they start to gain a good appreciation of each other's skills and capabilities. The least that should be happening is peer-to-peer feedback. Sadly this approach is seldom adopted and companies still insist on their managers performing one-to-one appraisals.

The reasons for not moving to peer appraisal (as per manager feedback) include the following:

• "Not enough time to train the reps in how to perform peer appraisal."
  
  
• "No internal expertise to ensure good skills uptake and to facilitate such peer meetings."
  
  
• "It's quicker and less stressful just to tell them what they are getting."
  
  
• "The manager is "scared" of giving up control, either in terms of how they might look to their senior managers or in terms of their belief in the ability of their representatives to give themselves "honest" appraisal ratings."
  
  
• "It's change - and not the way we do things round here."

Conversely, the following reflects some positive managerial feedback:

• "Done well, I can see a lot of honesty coming out. I know that there is discontent when some representatives appear to get a better appraisal rating than perhaps they should get."
  
  
• "It would help the representatives grow as a result of the fairness and honesty. It would also help the trust levels between representatives and managers."
  
  
• "We would probably get a better picture of reality."
  
  
• "I believe that the skills of the representatives and managers would increase as a result."
  
  
• "Although I am wary of how best we could do this, I see that it could free up a lot my time"

Despite the shift in mindset that is required and the fact that such change does not happen overnight, there are numerous advantages and a solid case to make in favour of peer. To pave the way for such change, the following are points for consideration:

1. Managers need to have the mindset that says "My team is composed of mature, capable adults who given time, support and the right skills, will make this initiative work". If as a manager, you do not have this mindset - do not attempt this. In fact, where a manager does not display this mindset, many would contest their suitability to lead a team - full stop!
   
   
2. Managers should be leading the way and in their own particular management team, be going through the process first.
   
   
3. Managers must have the skills to ensure the process works. The main skills are that of giving and receiving feedback and of facilitation. These are two particular skills where managers often fall short and would benefit from further time invested in training.
   
   
4. Communication must be of the highest order. People must know what is happening, why it is happening and what the various steps are, that will enable such positive change. As in any selling situation, the benefits to every individual must be clearly spelt out and each manager should take time with each individual to make sure they fully understand what is happening and what the benefits are to the individual.
   
   
5. Planning skills are of vital importance. In the early days time must be allocated for training and trial runs. In today's high-pressure industry where focus on results prevails, time invested on any form of development is all too frequently an after-thought.

All in all my experience of supporting the implantation of such a peer appraisal scheme (and also of taking part) is that it is fraught with emotion and negativity to begin with, but with perseverance and patience, when implemented well it is definitely the way forward for the larger teams where reps have daily contact with each other. Provided the managers are supportive, capable of leading the way by demonstrating the skills and not afraid to trust their representatives, then peer appraisal can work, and work incredibly well. But make no mistake - this process it is very tough in the short term. As a manager or representative, do you have the skills, mindset and determination to give this a try or are you too scared to upset the apple cart?

About the author

Allan Mackintosh is a Professional Management Coach specialising in coaching and developing people skills in new and existing managers. He can be contacted on 00 +44 (0)1292 318152. Click here for further information.

Allan has spent almost twenty years working in pharmaceutical sales and sales management roles, the last six of which have been spent working as a management coach. This coaching experience has covered three mergers and as a result he has gained valuable experience in supporting both individual managers and management teams through considerable organisational change.

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