First 100 Days of 2006 is Approaching Rapidly
Time To Grade Yourself

By Allen Wright

Can you believe the first quarter of 2006 is almost over? Before the second quarter blips-by you should get into the habit of reviewing your quarterly results against your business plan. At the end of the first quarter with your plan, review all of the components to see how your plan has fit with your results - examining results, note changes and begin adjustments.

TEST YOURSELF

Use the following scoring system to grade your 2006 performance. Give yourself points based (maximum is 10 points) on completed work (there are no partial points allowed).

• 1 point - for recording all Activities and Appointments
• 1 point - for entering actual expenses itemized or in aggregate
• 1 point - for entering all transactions for the quarter
• 1 point - for separately entering transaction expenses associated with closed transactions
• 1 point - for meeting expense projections
• 1 point - for meeting number of closed transactions projections
• 1 point - for meeting activity projections

Bonus: Add 1 additional point for each projection you exceeded in Activities or Closed Transactions and 1 point if you spent less money on Overhead or Personal Marketing than projected.

RESULTS

Point score 0-2
Shame on you, being below your potential. Shape up or your competition will ship you out.

Point score 3-4
Be careful you are really looking like Mr. and Mrs. Average Agent - and no-one really wants to be here. Time to do something to kick it up a notch.

Point score 8-10
You have your act together. Excellent, 2006 should be a great and profitable year for you.

QUICK FIXES TO GET BACK ON TRACK:

Part 1 - Activities and Appointments

To access your business plan, start by examining Activities. Did you record the Activities you are performing each week? This is a MUST-DO and is the basis for making better decisions and running your business like a business. If you didn't, use the "Letter to Thy Self" tool and write a letter stating why you cannot spend 15 minutes a week taking care of your business.

Look at the Activities and examine those categories that you did not complete 100% of the projected number of activities. Write down why you did not complete these activities. Then ask yourself if this is an activity that you need to re-examine?

If so, follow these steps:

• Is the Activity producing appointments for you?
• Does this Activity cost you money out of pocket?
• Are you getting closed transactions from this Activity?

Now look at the activities that you met or exceeded performance projections. Are there similarities between these activities? Do you like doing these activities more than the ones that you did not meet projections? Before determining whether to stop doing an activity that does not seem to produce anything ask yourself the following questions:

• What are the costs associated?
• Is the Activities part of general awareness or specific intent?
• Can I change the Activity to make it more responsive or cost less?

Obviously, activities that have little or no cost are beneficial and should remain in your plan. Review all activities and reward yourself for completion and a job well done.

Part 2 - Expenses

Expenses are the next section to grade. You should have reviewed your expenses after the first month just to make sure everything was being entered. Now is the time to start to look more closely at the expenses you have recorded.

• Are you meeting your plan for Overhead dollars spent?
• Are you over or under budget for any particular Marketing campaign?

After the first quarter you should have a good understanding of the monthly costs you incur just to be in this business. Remember that changes to your business plan will effect other areas, make sure that after you make a change that you check and see what effects that change has had on your total plan and business development. Be careful with cutting Personal Marketing campaigns; make sure the desire to reduce costs does not hinder your business.

Part 3 - Transactions

Review your closed transactions. Examine the transactions you closed so far this year. Transaction review has two parts, closed transactions and associated expenses.

Grading your Closed Transaction

• Are you in line with your projections?
• Is your business coming from the sources you anticipated?

Grading your Transaction Expenses

• Are you recording the associated transaction expenses for each transaction?
• Are you staying in line with your projected directed expenses from your business plan?

You might notice no mention of revenue has been made. When reviewing your first quarter focus on the activities, expenses and transactions. Planning and budgeting is all mathematical. If you are meeting your goals for expenses and closed transactions there are only two reasons you would not be meeting your revenue/income goal. First being the Sale Price of the homes you have closed is less than projected, not much you can do about this. The second is the commission earned or charged was short of your projections. If this is the case, examine each transaction and ask yourself why was the commission lower?

Summary

Your first quarter with your business plan should be focused on reinforcing those success-oriented habits of recording your activities, expenses and transactions. Remember the golden rule of sales management, "If you cannot measure it you cannot manage it."