WEBINAR: Q & A Session Summary

Encore Presentation: Retool, Tip and Run Like a Business,
featuring Leslie Larrabee, Director, Center for Training and Development, College of the Desert (llarabee@collegeofthedesert.edu)

 

Download a copy of this webinar presentation.

 
Q: Best webinar ever! Thank you! How did you develop your SME from 7 to 110?
A: We first adjusted our attitude about what we thought Subject Matter Experts were.  We had not been developing partnerships with them, but rather treating them like they were just part of the class (a book, a classroom, laptop, projector, SME).  In realizing that we did not have a service or product without them, we began to cultivate these partnerships and establish protocols, tools and programs that reflected how important they were to us.  We developed guidelines that helped everyone understand the expectations and level of quality we sought.  We reviewed our instructor fees and made adjustments (typically upwards) to reflect the high quality of instructors we wished to attract and make available to our clients.  We began to communicate regularly with our instructor pool, even if we didn’t have a job for them.  We made staff development opportunities available to them and hosted a forum designed just for them.  We made non-training opportunities available to them as well (curriculum development projects, train the trainer projects, in-house consulting, etc.).

It was amazing what happened… in that once we started talking about high quality instructors, communicating our expectations clearly, openly communicated and shared opportunities, willingly paid for the quality we sought… two things resulted… more high quality instructors sought us out and clients willingly paid for these high quality services.  The value proposition was clear, that if you work with us you will get high quality services – and to provide those services we have to have high quality instructors.  Your SMEs are your business!  You won’t find a more committed group of individuals to help you grow the business as they directly benefit from you being successful.
 

Q: When you increased your SME's from 12 - 110, how did you do that? I worry about setting up people but not being able to supply them with classes.
A:  See above for more details… but to address your concern about not being able to supply them with classes… I would strongly recommend you develop a partnership with the ones you have to help you grow the business.  Don’t treat them as passive players that get to sit back and wait for a job to come their way, but offer a referral fee to them for bringing business to you while they are out in the community – or the mention another class at the end of the session they are currently teaching – going to a 60-40% split with your community ed instructors is a great way to get their head in the game!

Q: What's your current annual revenue?
A:
My department’s current annual revenue is just shy of a million dollars.

Q: Regarding the comment about interactive website -- is that where the Lumens product comes in? Or, do you have a separate website that must be maintained?, What role do instructors play in determining program mix? Does your sales person connect with and bring an instructor along on sales calls to define a scope of work for the client?
A: We have a separate website for my department that has a link to the Lumen’s registration site.  I was insistent about a separate website for our department because our audience is so different from the college’s. Your institution can have its own website, with a link directly to Lumens. You can customize a Lumens landing page (website) with your school colors etc. so it appears that the student has never left your school website. No webmaster needed you have the ability to set this up on your own.

Instructors do not determine program mix.  They are sought in response to the market needs.

Depending on the complexity of the sales call our salesperson may bring an SME along to help define the scope of work for the client.  The SME understands up front that this pre-sales work is a cost of doing business and they cannot collect a fee for it.

Q: How much business do you do outside of your immediate area? Do you go after national business? What % of your product is delivered face to face vs. 100% online?
A: We have two regional grants that require us to provide services to the Inland Empire (a region that covers both Riverside and San Bernardino Counties).  We have delivered statewide contracts as well.  We have not delivered a national contract as of yet, but have plans to pursue national opportunities in the future.  We do 80% of our business face-to-face.  20% is done online through our online partners (Ed2Go and Gaitlin). 

Q: How do you compensate your SME’s? In terms of sales person; how is this person supported, where does funding come from, what are his/her responsibilities With this organizational structure how many employees do you have? What is the break down of each area?
A:
  For our SMEs working in community ed, we do a 60-40 split of the gross (40% for them).  For our SMEs working in contract ed, we pay a negotiated hourly rate.  The sales person is paid a commission only plus a small stipend for mandatory meetings that are non-direct sales related.  That means the funding for the position comes directly from revenues generated.  Their responsibilities are very straightforward: close business.  They are provided with the brand strategy, marketing plan and we mutually determine targets to pursue. 

In my current organization I have the following number of employees in the respective areas:

-Leadership: 2 (myself and my dean)
-
Marketing and Sales: 3 (one marketing consultant, one salesperson, one marketing coordinator)
-Programs and Services: 2 program managers, 75 SMEs (temp employees or independent
-Logistics: 3 (2 training assistants and one administrative assistant)
 

Q: How often do your e-newsletters go out? What's the avg. hourly pay for adjuncts or SME’s? What advertising medium do you prefer?
A: I have to admit I am behind in the e-newsletter department.  Want them to go out quarterly… have just hired a marketing coordinator to ensure that happens along with the website updates.

No average rate for SMEs… depends on what they teach.  See questions 1 & 2 for more info.

I prefer anything electronic for advertising (websites, e-news, email blasts), but for this community a PSA in the paper seems to really be the ticket for our community ed programs.  I have stopped mailing schedules to every home… just not a good ROI there.
 

Q: How is the commission structured for your sales person?
A:  This is the current language around compensation in our sales rep’s contract:

Stipend of $50/hr for attending CTD meetings not directly related to sales calls – Not to exceed $3,000.00.

 

Commission Scale

v     15% commission on gross sales amount up to $10,000 of new contracts and additional contracts with existing clients

v     10% commission on gross sales amount over $10,000     of new contracts and additional contracts with existing clients

v     5% commission on student fee for Community Education instructor-led courses

v     No commission for Community Education online courses

v     Contractor will forgo commission in lieu of consulting fees when Contractor secures a contract for services that the Contractor is able to, and does, deliver 

Q: How did you get your college administration support the idea of a commissioned sales person? Are you using Salesforce.com for your e-blasts? Great job!
A:  We have friends in the business office (really good idea to make friends there) and made our case that it didn’t cost the college district anything for us to do this and could, in fact, result in significant revenue for the college district if it was successful.

We use a company called e-Mail Networks for our e-blasts.
 

Q: Please describe what you mean by an interactive web site and how you use it for marketing - beyond simply having class info and on-line registration? Also, what means do you use to drive people to your website
A:  An interactive website to me means that we have ways built into the website for people to engage with it, instead of a passive distribution of information.  We are working towards that with ours at this point, but it is far from the level of interactivity I would like to see.  I want to add a job board for our SMEs, chat capability and industry blogs.  It’s coming… just takes time J

To drive people to the website, the web address appears on every marketing piece you do from an ad to a brochure to your schedule to your business card.  It is the place you send people for more information about everything (events, classes, what’s happening in the industry)…
 

Q: I want to learn more about how fiscal accountability is determined.
A:  I am not certain what the question is here.  We develop an annual budget for the department and monitor it regularly is the short answer… but I think there is more to this question than that.  If the person wants to be more specific about their question perhaps I can be more specific in my answer. 

Q: How did you recruit a sales rep? How many people do you have in each of the functions? What's the commission rate?
A:
We recruited our sales rep by word of mouth.  We started talking to everyone (staff, SMEs, community partners) about our desire for a commissioned rep.  He actually came to us from our SME pool, but has this incredible sales background working with training products.  See question 6 about staffing and question 8 about commission rate. 

Q: You talked about your unit being a "stand alone" unit. Are you set up as a non-profit entity? The way we are established, we cannot carry funds over from one year to the next, so I was curious as to how you handle that?
A:
We are not a set up as a non-profit entity though I know of two colleges in CA that were set up that way.  Neither is set up that way now, as I think it is a tough fit in a college setting.  Happy to share my perspectives on this, but can’t do it in a short answer format.

I have fought the no carry-over battle before… it is a difficult one, but not insurmountable.  Again, this is not a short answer question as there a several ways to address the issue.  Bottom line you have to figure out to retain funds in your division to grow the business.  Lots of ways to do this, some with leadership’s support, some without J.  
 

Q: Who 'owns' the materials that your SME's use? Do you pay for the content development?
A:  Depends on who developed the materials.  If the SME did, they own them and I get to use them.  If I paid for the SME to develop them, I own them.  And if a client paid to have them developed, the client owns them.  I seldom pay for content development that is not directly related to a client’s contract.  On occasion I will invest in a product or pay to have content developed if there is a strong market case for doing it.   

Q: I am very interested in the "simplified strategic planning" (an oxymoron from my experience) framework. Please share the source of this framework.
A:  I first started working with this framework with an independent consultant from Northern California – Marc Porter.  He had developed it as a part of his body of work as an organizational consultant.  I know what you mean about the oxymoron… but it really is much simpler than any other I’ve worked with and really gets to the heart of the matter quickly instead of spending all your time on wordsmithing the friggin’ mission statement. 

Q: How do you identify advisory board members? How long do they serve, when do they meet, etc. What type of content is in your e-news? Is it opt-in only or sent to current students?
A:
  For the ISSE (our service sector initiative) our industry advisory board members from industry actually pay to be members in the ISSE.  It is too much to explain in the short space I have here, but check out our website at www.ISSExcellence.com for more info being a member in the ISSE.  The other advisory board members come from faculty from our service programs in the credit side of the house, representatives from non-credit and not-for-credit, K-12, workforce development board, the regional CVA and economic development agency.

We do not have term limits for their serving on the board.  We meet monthly during our “season” here and are dark for the summer.

It is an opt-in only newsletter, our e-news for our service sector business has the following sections:

ISSE Events
Upcoming Training
Membership Highlights
Resources
Advisory Board
Contact Us
   

Q: Please talk about the role of your SMEs? Do they also teach, or only develop curriculum? Do you use instructional designers to compile your curriculum content?
A:  See other responses related to SMEs for answers about the role of the SME.

We occasionally use instructional designers to compile curriculum content, but that is not the rule.  I have found it to be much more cost effective to buy curriculum developed by reputable firms and customize for our clients, than to start from scratch.

Q: I don't know how to do a simplified strategic plan
A: Call me.  Happy to help.

Q: How do you get existing staff to buy into this concept? How are the sales people to become knowledgeable enough in so many areas? What percentages of staffing do you see in each of the areas between Strategy (20%), Marketing & Sales (30%), Products & Services (20% not including SMEs), and Logistics (30%)?
A:  We got buy in from existing staff by including them in the strategic framework process and valuing the contributions they each made… talked to them about how this planning process and potential reorganization was about making their jobs easier and finding more opportunities for them to use their strengths.  There is more this clearly, but that’s how we got started.

We train our sales staff to use a consultative sales approach.  In this way they are working with the client to identify those gaps in the business where performance is not meeting expectations.  Sometimes there is a training solution, sometimes it’s not.  But the sales person needs to be able to hear clearly what issues the client is facing and then bring those issues back to the program and product people to identify the solutions and prepare a proposal.  

Q: Looking at your website I do not see a link your business and industry training. How do you pay your technical instructors? Credit and Non-Credit.
A:  Yeah, the college just redid their website (literally launched it while I was on the webinar with you) and we got buried under “visitors”… We’re working on rectifying that… but to get to it directly try www.codtrainingcenter.com.

I only handle not-for-credit and fee-based instruction.  See questions 6 & 7 for instructor compensation.

 

 

 

 

 

 

 

 

 

 

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