WHEN it comes to developing new producers, our industry has a dismal record. Thankfully, several new producer training schools are now available to help correct this weakness. A huge problem still plagues the process, though. Very little guidance or training is available for those who manage producers. As a result, even promising producers often fail to thrive. Agency owners and managers can help increase the odds their producers will succeed by taking the following actions:
?Dedicate enough resources to help producers develop. For example, budget sufficient funds to send producers to sales schools, provide adequate leads and provide adequate internal assistance. Also, help them develop relationships with field reps and underwriters.
?Ask yourself if you feel threatened by your producers' success. How do you react to producers who might produce more than you? Does your reaction hamper your agency? Some producer-managers cannot handle competition from good producers, so they hire less-capable people. By doing so they can always claim the “top producer” position. This is usually a subconscious act, and I have found it to be more common than one might think. Before dismissing this possibility, give it some thought.
?Consider how you deal with strong personalities. Many agencies hire producers with subservient personalities. Or they hire nice people whom everyone likes, rather than producers with strong personalities. Managers may take this route because they do not like conflict and avoid it by hiring passive producers. Producers with aggressive personalities, however, often are good closers and do not mind making cold calls. Many agencies that shun strong personalities miss out on top producers.
?Dedicate yourself to the producers' success, or appoint the task to someone else. Someone within the agency must work closely with new producers so they can learn quickly how to work productively and sell effectively. This person must go on sales calls with them or arrange to have an experienced producer accompany them. This person also must role-play with them, discuss accounts and coverages with them (on a daily basis at first), and visit companies with them.
Dedicating yourself to your producers' success also means monitoring their progress, a task not limited to tracking their sales. In fact, tracking their sales at first is pointless. Monitoring their sales-related activities (making calls, meeting centers of influence, developing leads, etc.) is far more important when working with new producers. Producers must first build a pipeline before sales will begin pouring into the agency. Their progress toward constructing that pipeline must be constantly monitored.
?Do not expect your producers to be self-starters. Life would be grand if we hired no one but self-starters, but that's an unrealistic expectation. Self-starters often do not need to work for someone else. When they do accept a position, they do not always stay long and can be difficult employees. Most producers, then, need guidance. Provide yours with the framework they need to succeed. Work with them to define their goals. Clearly communicate your expectations, their responsibilities and the procedures they are to follow.
The benefits of successfully developing a producer are more than financial. Many agency owners find it to be one of their most rewarding personal experiences. Some owners, however, come to the realization that they really do not like dealing with the details of developing a producer-usually after failing several times at the attempt. They finally succeed after assigning most of the details to others in the agency or to outside parties. The up-front cost is greater, but the results are well worth it.
The next time you prepare to hire a producer, think about your goals, your personality and your plans for ensuring the producer's success. You won't succeed unless you are committed to dedicating the necessary time and resources.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
