The constantly pressing problems of personnel in consumer selling can be successfully solved

be the most important, is problems of per' sonnel the men who represent your company in the eyes of the customer. These men may be called yardmen, salesmen, clerkso order takers, or truck drivers but they are usually all the customer uses to judge the character of your particular business.

By REED TAWTON monogemenl consuhonl

In the contractor trade, your customer may go months doing business with you and never meet any of your personnel ex' cept the truck driver. How he delivers the load and how he carries back word of prob' lems may determine whether you continue to supply that contractor.

So your salesmen used to spend most of their time sitting at a big wooden desk, talking on the telephone or figuring on a yellow tablet. You didn't mind as long as business was good. But when the phone quit ringing and tlle notes on the yellow tablet were just doodles, you began to get worried.

The personnel of traditional lumber yards have always been noted for knowing their product thoroughly, and being firmly convinced that only wood will do. Besides this they are informal, reasonably courte' ous, and very helpful.

fN PREVIOUS articles I have discussed I the money, facilities, neighborhood, and management necessary to consider re' directing a lumber-building materials deal' erts operations from total contractor interest and diverting a major part of the effort toward securing a share of the con' sumer, do-it-yourself trade.

One additional element, which may well

Now that you're looking at the consumer business where a salesman's personal con' tacts and long time friends are not so important, you must take a new look at the men around you.

Let's assume that one reason for your staying in business is to make more money, not just to keep ten men off the relief rolls'

The best way to get personal interest from all your personnel is to get every one of them involved in your net profit picture. In the consumer business, improper yard handling, or sloppy inventory control can make or break you, so you owe it to your' self to have the men responsible for such activities directly interested in helping all of vou make moneY.

'i'h"r" u." five ingredients to a good personnel program.

GOOD E]\IPLOYMENT PROCEDURES-

Hiring and firing of personnel is neces' sarily the job of the owner-manager in small businesses. Recommendations and ratings can be effectively handled by man' agers and supervisors, but the owner-man' ager must keep close personal responsibility for the actual hiring and firing.

But this doesn't mean that you have the right to lose your temper once a month and threaten to fire your switchboard girl. Just like a threat to murder, you must reserve that statement for the occasion when you really mean it and no other time!

Most hourly and "low-man-on-the-totem pole" personnel would not have any trouble finding another minimum wage position, so your threat is more of a promise. In fact, the way some states treat unemployment compensation, you would be doing some people a real oofavor" by actually firing them.

The proper interview techniqug is an art beyond the grisp of most small operators. How often the boss spends an hour or two telling an applicant about the company's history and how he took over from his uncle or bought out his sisters to build tle empire he runs now. At the end of the so-called interview, most prospective bosses have exposed all their weaknesses and strengths to an intelligent applicant, but know notling about the new salesman except what is on the application blank.

The U.S. Small Business Administration publishes a number of good pamphlets for small businesses which have sample inter. view forms and some pertinent questions which should be asked. And they will tell you how to gracefully say "no" to the wrong man.

Not long ago one owner hired a new salesman after checking on his ability with his former employer by telephone. A couple of months later he learned from a mutual friend thdt the previous employer had actually let the man go because he was suspected of stealing. When the former employer was asked for the truth, he replied, "Sure, Charlie had been stealing from us! But you didn't ask me why we fired him, all you asked was whether he was a good salesrnanlt'

I am sorry to say that this story is true. National Cash Register and other com. panies have some outstanding aids to help the operator of a business prevent theft and "shrinkage", insurance and securities combinations. If you do not have adequate benefits, you could lose your best men at a time when you need them the most.

FOURTH coALS & INCENTIVES-Sales and earnings goals must be prepared in a written plan for everyone to study and plan by. Unwritten, vague goals and incentives are a major cause of misunderstanding between management and employees.

Sfory d] s Gfonce

Five ingredients are detailed here as a way to solve the personnel problems that inevitably result after a changeover to selling the consumer remember, your people become you and your company in the eyes of your customers.

One of our associates recently reported to the owner of an auto accessories business that his branch manager was not honest in his reports. The owner said, "Oh, I know that he cheats a little, but that's part of our unwritten agreement. I pay him a moderate salary and he pads his expenses a little. W'e both know all about that."

a cashier system will permit your salesmen to concentrate on the job which they can do best .,selling.

You need to keep your salesmen proper. ly informed on which Iines are most prof. itable, how and when to close out a die. continued item. It is your responsibility to advertise and merchandise in such a way that enough people come in the door each day lor the salesman to practice his specia} ty. There is no such thing as a salesman who has time to sit behind his desk, smoking a big, black cigar.

At the same time, each yard man, every cashier, the bookkeeper, and your truck drivers deserve your attention and an opportunity to get a pat on the back or an ailditional $10 bill for that extra job well done. Christmas bonuses.which are a regular tra. dition, are money wasted. Why don't you budget most of that amount for distribu. tion through tle year? Let the employees know now how you plan to pay them the money and then, if Novernber and December are exceptional months, give them some extra.

You'll be doing them and yourself a favor. Employees should have incentives to work harder throughout the year, not just dur. ing seasonal increases, and you'll be teach. ing them how to set aside and plan for added holiday expenses, rather than lacka. daisically knowing that the paternalistic boss will come through with an extra $50 to $100 Christrnas eve.

An unearned bonus is as detrimental to your business and your employees as no bonus plan at all.

Second

PLANNED TRAINING PROGRAMf6q1 paint and plywood suppliers, among others, will be delighted to have the opportunity to conduct formal training classes for new and old personnel. Some of these are correspondence programs which oan be con. tinued in a manner to keep everyone abreast of changing products.

Again, this is a technique which does not ctist you a cent. It will certainly make you money when done right.

THIRD rRINGE BENEFITS-Your insurance man and your attorney should meet regularly with you to plan an aggressive program of fringe benefits which you can af{ord, rather than waiting for an employee g{oup to tell what ycu can afford.

There are a number of good pension and investment programs now geared to

What the owner didn't know was that his manager had fully-outfitted two stores of his own from the "bonus" he took from his boss and was actually able to cut prices and alrnost bankrupt the business before the owner finally got smart and instituted a written salary plus profit incentives pro gram. . .with a new branch manager!

FIFTH

.{DEQUATE SUPERVTSTON & MANAGEMENTSuccessful sales personnel have traits of initiative and independence which are the bane of the boss' existence. However, you must learn to cajole, encourage, manage, and control your operation and the people who work for you.

If you treat a good salesman like a mere employee, in time that's what he'll become . a clerk behind the desk, and you'll never realize the potential from your in. vestment in him.

Proper receiving practices, including pricing and inventory control coupled with

Of course, you must continue to supervise the people who work for you. If they had all the resources, financial and mental" which you have tley'd be in business for themselves, in competition with you.

Why not ferret out those men who are capable .and plan how, through incentives and profit-sharing you can put them in business for themselves , ar,d vou.

REED tAWTOfrl, fhe outhor of this fourth instollmenl in his series, exclusive lo The Merchqnt Mcaozine, isq recognized outhority in morketing ond merchondising, thru his own ftrm of Reed lowton ond fusociqtes.