Client: Mid-Stage Startup – SaaS Industry
Challenge:
Leadership Gridlock Over Sales Performance and Next Steps
Background:
A mid-stage startup led by two founders and a VP of Sales faced stalled growth and sluggish sales performance. Despite attempts to adjust strategies, sales remained below expectations. The founders were divided—one believed the VP of Sales was the issue, while the other felt the problem stemmed from a lack of internal support and structure. This disagreement created indecision, delaying necessary action.
The Problem:
- Sales Performance: Below target with no improvement in sight.
- Leadership Disagreement: The founders couldn’t align on whether the VP of Sales was failing or under-supported.
- Impact: Prolonged inaction or missteps threatened the entire business, putting it at risk of extinction. The potential losses to the founders and investors were significant, adding immense stress and pressure to resolve the issue quickly.
Solution:
To resolve the impasse, the two founders and the VP of Sales completed the CollabGenius Role Based Assessment, which evaluates strengths, leadership styles, and teamwork abilities.
Assessment Results – VP of Sales (Let Go):
The assessment revealed alarming insights into the VP of Sales:
- Resistance to New Ideas: Unwilling and unable to adapt to new concepts or apply them to evolving challenges.
- Poor Team Interaction: Lacked respect for team members' values and personal characteristics, leading to strained relationships.
- Decision-Making Flaws: As an Action Former, he demonstrated poor judgment, lacked agility, and avoided calculated risks.
- Limited Awareness: Failed to predict team reactions or take appropriate action when needed.
- Lack of Initiative: Hesitant to take overt action, even when situations require decisive leadership.
These findings confirmed that the VP’s inability to adapt and lead effectively contributed to the company’s slow sales growth.
Action Taken:
- With precise data, the founders quickly agreed to replace the VP of Sales. • They engaged a search firm that uses the CollabGenius Role-Based Assessment to ensure alignment with the sales role.
- Through this process, they identified and hired a new VP of sales with the company for over seven years.
- This candidate’s strengths and natural leadership qualities perfectly aligned with the demands of the sales leadership role.
Assessment Results – New VP of Sales (Hired):
The newly appointed VP’s assessment highlighted critical qualities:
- Resilient and Determined: Persistent in facing obstacles and able to navigate challenges without becoming discouraged.
- Effective Leadership: A natural Communicator who influences and motivates others, even those with differing viewpoints.
- Development-Focused: Proactively works to develop team members, fostering personal and organizational growth.
- Strategic Problem Solver: Intervenes quickly to reverse negative trends before they escalate into major issues.
- Open to Innovation: Encourages the evaluation of new ideas and perspectives within the team, fostering collaboration and adaptability.
Results:
- Immediate Impact: The new VP of Sales drove noticeable improvements in performance and morale.
- Sales Growth: Sales steadily increased, aligning with company goals.
- Strategic Success: Under the new VP’s leadership, the company achieved significant growth, ultimately leading to a successful acquisition aligned with the founders' exit strategy.