How do you know when it's time to overhaul your sales process? It's a question with implications for everything from hiring and training to costs, both in dollars and time, as you research and implement the changes. That's why many companies put off updating their sales process even when they suspect their old process may no longer be working in today's market. So how do you know definitively if yours is one that needs attention? Ram Charan, advisor to companies such as General Electric, DuPont, and The Home Depot, and author of What the Customer Wants You to Know (Portfolio, 2007), says there are nine indicators that your sales process is out of date and must be fixed:

1. Your reps interact mostly with customers' purchasing departments. That's the way it used to be. Today, decision makers reside in functions such as sales and marketing, engineering and manufacturing – and the purchasing department simply executes the orders for them. 　

2. The entire sales discussion revolves around price. Sure, your reps are going to talk about your great technology and your company's reputation, but if the basis of the discussion is price – if customers keep pushing for more discounts and reps aren't countering with a reduction in value to match the reduced price – you've got a problem. 　

3. Sales training is mostly exercise-based training that shows reps how not to take no for an answer. This kind of training, which often includes role-playing exercises and inspiring videos, can boost spirits in the short-term but doesn't get to the real problem between supplier and customer. 　

4. Management is constantly adjusting the incentive schemes. Manipulating incentives to force the sales team to get better pricing and margins simply gets reps figuring out how to close deals without price reductions. But it doesn't create value for the customer. 　

5. The sales force that is spread too thin is reorganized to focus more intensely on customers. While this allows reps to spend more time with customers, it doesn't solve the fundamental problems afflicting the sales process. "It results in more man hours to achieve approximately the same return," says Charan. "This is sometimes a necessary move, but it is seldom a sufficient move." 　

6. Salespeople are not included in the design of the company's offering. By excluding them, you lose the insights of those who best know your customers and best know what they need to present your product competently. 　

7. There is little thought of or interaction with your customers' customers. Sales is a chain reaction. If your customers' customers are happy, your customer will be happy. Do you know how your product fits into the overall package your customer offers to his customers? And does your sales process address this critical link? 　

8. Your salespeople are internally focused. How much of your salespeople's time is spent in internal meetings and doing administrative tasks? In most companies, it's a lot. How can you reduce this burden to give your reps more time with customers? 　

9. Sales management is convinced it is doing a good job. They're making their numbers and doing what they've been asked to do. "But the whole DNA of the sales force is focused on chasing orders, booking the revenue, being accessible to the customers, and doing the necessary follow through on their post-sale requests," says Charan. "Neither the sales force nor sales management has the business acumen or skills to intelligently analyze how the customer makes money, what the customer's financial and other priorities are, and how they relate to the seller’s organization and offerings."