Research Brief:
Sales Manager

Setting:
A major international media company sought to incorporate an assessment of personality into the employment selection process of future sales managers. Secondarily, the company hoped to identify the personality characteristics of top performing sales managers in order to build effective coaching and development programs for incumbents. For these purposes, the company provided a sample of 56 incumbent sales managers, for whom CPQ results were matched with performance and tenure data. The resulting sample provided the basis for the development and validation of the Sales Manager selection model discussed in this report.

Model:
Based upon the data provided by the company, a model was developed using quantitative performance criteria. Specifically, the model identified ideal ranges on each of the CPQ's "basic eight" scales and calculated an overall score based on the individual's results in comparison with the ideal. This score was reported as a low, moderate or high rating based on an overall assessment of compatibility to the sales manager role.

Findings:
The model provided a statistically significant correlation (r=.518, p<.01) to performance based on 2003 gross earnings data provided by the company. Specifically, incumbents scoring in the higher ranges of the sales manager model achieved average gross earnings of $149,809, compared to an average of $121,438 for lower scoring incumbents. The sales manager model indicated that higher scoring candidates, if hired, would be inclined to perform at a level that was 23% greater than that of lower scoring candidates (representing an average difference of more than $28,000 in annual gross earnings).

Conclusion:
The sales manager selection model yielded a highly predictive means of identifying individuals with the propensity to reach desired levels of performance based on the CPQ scales (measuring drive, motivation and leadership style). This study provided strong evidence of criterion validity as well as financial impact (utility) to support the utilization of the sales manager model for employment selection and leadership development purposes.