As pharmaceutical industry emerges from era of sharp sales force reductions, Cutting Edge Information tracks new investment in training
Consulting firm Cutting Edge Information reports that companies have ramped up training for hospital and specialty reps. There is a particular focus on first-year reps with onboarding and ongoing training now averaging upward of 100 hours in classroom, virtual and in-the-field training.
On-the-job training often involves new reps shadowing tenured reps for a set amount of time. When the mentor believes the new representative is ready, the shadowing reverses. The tenured rep listens in on detailing and analyzes the new rep's verbal and nonverbal communication skills. "Almost all companies now provide this extensive new-hire training," said David Richardson, research team leader at Cutting Edge Information. "What has become more important, however, is to continually adjust and optimize the training for each rep's individual needs."
Data from "Specialty and Hospital Sales Force Management" shows that the average cost of first-year training for new specialty sales reps is $13,500 while the average investment for new hospital sales reps in their first year on the job is $10,200. Some research partners had difficulty reporting benchmarks for the cost of hiring reps with no previous experience because such hiring has been rare for several years.
Some companies have found that switching from the standard one-size-fits-all, three-day meeting to a more targeted type of training has proven beneficial. "One interviewed company segments its rep training similar to college curriculums," said Richardson. "For 'freshman' reps, most courses are required to bring them up-to-speed on scientific and company-specific knowledge. As reps progress to 'sophomore' level, they are allowed a few more electives pertinent to their interests and personal needs."
"Specialty and Hospital Sales Force Management" (http://www.cuttingedgeinfo.com/research/sales/specialty-hospital-sales/) contains best practices and benchmarking metrics for managing next-generation hospital and specialty sales forces. Findings provide decision-makers with guideposts to boost performance with sales call metrics, training benchmarks and breakdowns of sales reps' field activities. The study also focuses on benchmark partners' key goals to build and adjust hospital and specialty sales force headcounts.
For the latest information on pharmaceutical sales force management, visit http://www.cuttingedgeinfo.com/research/sales/ or contact Eric Bolesh at 919-403-6583.
Contacts:
Cutting Edge Information
Eric Bolesh, 919-403-6583