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FOUNDER’S GUIDE TO B2B SALES THOUGHTS ON PODS The traditional unit of quota is the individual sellers. Sellers then rely on the organisation to staff and allocate supporting resources to ensure their success. Shared supporting resources invariably create conflict as: • Two sellers want the same SC at the same time • Sellers disagree on SDR time split inbound vs. outbound Former customers often make great solution consultants (SCs) but be careful not to damage customer relationships by hiring them. In a pod model, quota is given to, and only to, pod leaders who manage all the resources of the pod. • A pod might consist of one field seller (leader), one inside seller, an SC, two SDRs, and a CSM • Their success is singularly and jointly measured by the success of the pod Pods theoretically maximise collaboration, localise conflict resolution, and lead to improved alignment. • In essence, a pod is a matrix structure that empowers pod over function – the same kind of structure companies often use with geographic regions as they scale However, pods can have several disadvantages, particularly in the early stages of a business. For example, they can: • Inhibit functional leadership and best practices • Impede the recruitment of certain candidates • Under-leverage the individualistic nature of sellers • Reduce accountability beyond the pod leader • Eliminate checks and balances provided by functional leadership Nevertheless, pods are fairly popular these days and worth considering. TO LEARN MORE ABOUT BUILDING • The Sales Learning Curve by Mark Leslie • The Top 5 Mistakes in Scale-ups by Dave Kellogg • Predictable Revenue by Aaron Ross • A Very Simple Compensation Plan For Your First Sales Reps by Jason Lemkin • Simple Math to Set Up a Sales Team by David Sachs • The Ultimate Guide to Sales Compensation by Hubspot • The Startup Owner’s Manual by Steve Blank SPRING 2023 .18

BALDERTON The Founders Guide to B2B Sales - Page 18 BALDERTON The Founders Guide to B2B Sales Page 17 Page 19

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