Advertise on podcast: The Rep Connection

Originally recorded May 2020

In less than 10 minutes, hear what it means to become a professional manufacturers' representative.

An introduction to MANA's steps to rep professionalism

Insights For Hiring Salespeople for Your Manufacturers' Representative Firm

Entrepreneurial Harvard Business School students often use outsourcing as a tool when they launch new ventures. To explain how the selling function can be outsourced, Harvard Business School invited Manufacturers' Agents National Association (MANA) CEO and President Charles Cohon to speak to its MBA students on how to find, recruit, contract with, and work successfully with independent manufacturers' representatives. Special thanks to: Jodi Gernon, Director, Arthur Rock Center for Entrepreneurship at Harvard Business School, for putting her team on the task of making this event a success, Catherine Cronin, Staff Assistant, Rock Center for Entrepreneurship, Harvard Business School, for her tenacious attention to detail throughout the process, Bob Reiss, Harvard MBA and retired super-rep, for relentlessly encouraging his alma mater to introduce its students to the concept of manufacturers' representatives and for sharing his expertise during the Q&A section of this presentation, and; Dr. Ben Shapiro, Harvard Malcolm P. McNair Professor of Marketing, Emeritus, for joining us and for sharing with our group the advantages of a sales force that is a variable cost instead of a fixed cost.

Peter Zafiro, General Manager, LinMot USA, Inc. is an experienced hand working with manufacturers' representatives and in this episode of Outsourcing Selling he shares how he views working with reps. "I've gone to market with a variety of business models over the years. I've worked with factory direct-only salespeople, hybrids of direct and independent reps and with independent reps only," says Zafiro. "What I've found is that I get the most bang for my buck with reps. Here's why: I've found that reps are simply the most professional salespeople in their territories. They're absolutely dedicated to the sales function in their territory." Reps offer faster time-to-market, he adds: "Whenever I've had to hire a direct person for a territory, it takes a while to get them up to speed, sometimes several years. Then when you've done that you can have a problem with maintaining consistency in your sales force. You'll have the normal turnover every year not to mention the occasions when someone's wife decides it's time to move back home. Once that happens, you have to go through the same process all over again. You can spend upwards of three or more putting your sales team together. When you're all done, you're not going to be as productive as you could be with reps." For more of Zafiro's insights from his experiences, enjoy this episode of Outsourcing Selling.

Years ago, your principal signed a rep agreement with you that protected your commission earnings, so you invested time and hard work to grow that line. Now your principal wants you to sign a new rep agreement. What should you do? In this podcast attorney Randy Gillary shares his recommendations on how to evaluate a principal's proposal to re-write your rep agreement. Principals don't re-write rep agreements because they feel the rep's interests were not sufficiently protected, says Gillary, they do it because they want to reduce the commissions they pay or to terminate the rep without paying post-termination commissions the rep had earned under the terms of the original contract. It's a not-uncommon complaint from reps who call Gillary's firm for legal representation, and Gillary's program to address this situation is fascinating listening for any rep. Interestingly, notes Gillary, of all the principals he's had to pursue on this type of matter, none have ever been a MANA manufacturer member.

In this podcast Charlie Ingram, Vice President, Sales and Marketing, Eriez Manufacturing, gives representatives a chance to see themselves as a manufacturer sees them. For representatives' benefit, Charlie shares his perspectives on sales reports, rep councils, international sales meetings, manufacturers' recruiting practices to locate and onboard new reps, 50+ year representative relationships, and ways representatives can protect their lines with proactive communication. It's a rare opportunity to view representatives through the lens of a manufacturer and a must-listen program for representatives who want to keep their current lines happy and add new lines.