Company Background

Headquartered in Philadelphia, Lincoln Financial Distributors (LFD) is the wholesaling distribution organization of Lincoln Financial Group (NYSE: LNC), a financial services holding company with consolidated assets of $93 billion and had annual consolidated revenues of $4.6 billion in 2002. Through its wealth accumulation and protection businesses, the company provides annuities, life insurance, 401(k) plans, 529 college savings plans, mutual funds, managed accounts, institutional investment and financial planning and advisory services.

Emergent Company Highlights
Workforce Need: To attract and retain top performers and enact sales culture transformation to expand skills and training of workforce

Emergent Practices: Focus on leadership development, culture change initiatives, ongoing training opportunities and developing female executives

Programs: “Marks of Excellence” coaching and development program, “Discovering Your Value” program for sales managers, E-university online classes, “Leader’s Edge” program for women

Key Statistics:

• Created a 23% increase in sales (from 2001 - 2002) in a down market for financial service firms
• Productivity increased by 24% per salesperson in 2002
• 15 times ROI for coaching and development practices
• 30 - 50% increase in sales force assessment scores
• Sales culture change led to behavior change
• New hire talent assessment scores rank higher than original sales force

Awards Won:

• Named to list of top 30 employers by National Association of Female Executives (2002)
• Named as top company by Working Mothers Magazine (16 consecutive years)

Emergent Practices Description
When LFD merged four separate sales organizations and debuted its unique distribution model, LFD realized a sales culture development program was necessary for a successful implementation and to help its employees flourish and enhance their skills. After LFD had carefully measured the competency of its existing salespeople and managers by examining each employee’s set of behaviors, motivators and effectiveness, it was determined that the sales force needed additional training and skill development to effectively sell LFD products and to become more consultative to clients. It was also noted that managers needed to act as coaches for their direct reports, spending more time on developing their skills and career paths.

In addition to the culture change, LFD also modified its recruitment practices to find and attract candidates that would be successful at the company. Hiring managers used the behavior, motivator and effectiveness scores from its top performers to create a set of behavioral questions and list of successful qualities to determine a candidate’s chance of success if hired.

After one year, LFD had increased its sales by 23%, increased productivity by 24% per salesperson and witnessed a 30 – 50% increase in assessment scores by its sales force. New hires also had stronger behavior, motivator and excellence scores than the LFD workforce when the program started.

Lincoln Financial also offers a comprehensive E-university to help its wholesalers develop and enhance skills related to the financial services industry and general business and sales practices. A “Leader’s Edge” program for women was also developed to help female workers excel in their careers.