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Journal of Selling & Major Account Management
The Plateau Syndrome:
The Problem and Alternative Solutions
By Robin T. Peterson and Minjoon Jun
For numerous products and brands, both new and existing, a key ingredient to financial success is the expertise and
motivation of the company sales force. However, plateauing among sales representatives may pose formidable obstacles to success. This paper provides current insights on the nature of the problem and the major types of plateauing.
Further it presents a survey of the sales management and related literature on the causes of and remedies for this condition. Finally, it sets forth the results of an empirical study into why plateauing may arise and how it might be treated in
an effective manner.
Introduction
In many companies, the sales force is one of
the most significant contributors to the
performance of both new and existing brands.
In this regard, sales representatives can be
useful in constructing channels of distribution,
achieving brand exposure, establishing and
enhancing relationships with customers, and
other critical tasks required by marketing
management. Maintaining motivation on the
part of the sales force is a vital requisite for
success (Christen, Lyer, & Soberman, 2006;
Crittenden & Crittenden, 2004).
However, plateauing is fast becoming a critical
managerial and organizational issue due to the
prevailing restructuring and downsizing trend
in today’s business environment (Burke &
Mikkelsen, 2006; McCleese & Eby, 2006;
Nicholson, 2005). The selling function of an
organization is no exception: many sales
representatives experience a plateauing state,
and this can seriously inhibit the implementation of planned strategies and tactics. MintuWimsatt & Gassenheimer (2004) and Feldman
& Weitz (1988a) argue that salespeople who
continue to stay with the company with
limited career advancement first plateau and
eventually become disengaged with their
progress, and less compelled to exert efforts
and show concern for their customers. The
plateaued employees are defined as individuals
whose productivity has leveled off or declined
over a period of time due to lack of
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motivation (Hall, 1997). Their descent has
been likened to a reversal in the path of the
learning curve (Jaber & Guiffrida, 2004).
This paper presents an examination of the
nature, underlying causes and symptoms, and
potential remedies for plateauing. It considers
the coverage of plateauing emanating from the
literature in sales management and other
fields, and sets forth the results of an
empirical study. Despite the managers’
increasing concerns about plateaued employees and their low levels of job satisfaction and
performance (Allen, Russell, Poteet, &
Dobbins, 1999; Burke & Mikkelsen, 2006;
Lee, 2003), relatively little research has addressed in-depth this issue and most of the
research is even outdated. Thus, the current
study represents an attempt to provide a current view on this important issue particularly
in the context of the organizational selling
function.
Review of the Literature
Managers who supervise and otherwise work
with these individuals often learn that some
representatives exhibit various non-productive
mental states and behaviors which can impact
upon their effectiveness (Jelinek, 2006). In
turn, these conditions include high degrees of
stress (Messmer, 2002), role conflict (Kickul &
Posig, 2001), low self-esteem and mental
exhaustion (Moore, 2000), lack of ability to
cope with change ( Judge, Thorsen, Pucik, &
Academic Article
Welbourne, 1999), small levels of job
involvement (Allen et al., 1999), reduced job
satisfaction (Brooks, 1994; Lee, 2003),
inadequate job performance, initiative, and
morale (McCleese & Eby, 2006), and excessive
absenteeism and tardiness (Schiska, 1991).
Further, plateaued representatives are less
likely to engage in adaptive selling than are
other members of the sales force (Levy &
Sharma, 1994). It appears then that plateauing
can pose formidable obstacles to the effective
application of marketing strategy.
Types of Plateauing
It is legitimate to say that plateauing is actually
an umbrella term that is used to denote a
variety of situations and even symptoms.
Research indicates that there are three
common types of plateauing, all of which can
affect sales performance: structural, content,
and life (Bardwick, 1986; Schiska, 1991).
According to Bardwick (1986), this
differentiation of the three types of plateaus is
important because each plateau type may have
its own unique causes and thus require
different remedies. The structural (or
hierarchical) plateauing stems from the lack of
a higher position in the company where the
representative can advance, creating a
restricted opportunity for promotion.
Expectancy theory suggests that many
salespersons are not motivated to achieve
when favorable possibilities for advancement
are not available (Gray & Gray, 1999).
Conversely, content plateauing occurs when a
salesperson knows a job so well that it holds
no more challenge. Finally, life plateauing
takes place when representatives are just
bored, and the work is dull and routine. All
three of these can exert a negative impact on
marketplace achievement.
It is possible for an individual to be under the
influence of more than one type at any given
time. In fact, one type of plateau may actually
cause another type. For instance, a salesperson
plateaued in career advancement (structural
plateauing) may eventually find himself
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become demotivated about his job (content
plateauing) and feel bored (life plateauing),
thereby ending up with receiving an
unsatisfactory performance evaluation.
McCleese & Eby (2006) support such a plateauing chain effect by noting that employees
who are also experiencing structural plateau
may be at higher risk of being negatively
affected by a job content plateau.
Effects of Plateauing
A common consequence of plateauing is
burnout, which involves emotional
exhaustion, depersonalization (a negative,
callous or excessively detached response to
other people, who are usually the recipients of
one’s service or care), and diminished personal
accomplishment (Halbesleben & Buckley,
2004; Cordes, Dougherty, & Blum, 1997).
Research indicates that the exhaustion
component of burnout is often the result of
excessive demands of the job (Demerouti,
Bakker, Nachreiner, & Schaufeli, 2001). It can
also be a response to the chronic emotional
strain of dealing extensively with other people
(Melamed, Shirom, Toker, Berliner, & Shapira,
2006; Maslach & Jackson, 1984). In turn,
salesperson burnout affects sales productivity,
employee retention, and job satisfaction
(Densten, 2001; Sand & Miyazaki, 2000).
Individuals with this condition tend to sell to
make a living, not because they enjoy it, tend
to rush the close, do not take the time to
establish rapport with prospects, and do not
thoroughly handle objections or identify
prospect needs (Peeters & Rutte, 2005;
Anonymous, 2001).
Causes of Plateauing
The plateauing phenomenon has been in
existence and has been reported in the
literature for decades (Ettington, 1997).
However, the incidence and severity of this
condition appear to be rising (Burke &
Mikkelsen, 2006; Carr & Li-Ping Tang, 2005).
What appear to be the antecedent variables of
such an increasingly widespread plateau
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Journal of Selling & Major Account Management
phenomenon? Research indicates that there
are a number of such factors and that they
often interact with each other, further
complicating the difficulties associated with
this condition (Keenan, 1989). One causal
factor appears to be a reduction in the number
of opportunities for promotion that are now
available for sales representatives (Peterson,
1993). Downsizing typically has created
conditions leading to such reduced opportunities
for advancement (Messmer, 2004; McCampbell,
1996). Recently, many firms have made
reductions in the number of managerial positions
which they maintain and have cut layers of
management, in an effort to reduce costs and
maintain flexibility (Lee, 2003). The flattening of
organizational hierarchies means that there are
fewer places in the organization where sales
representatives who seek further advancement
can be assigned. Increases in the intensity of
competition in many industries may signal
continued downsizing and associated lower
numbers of potential promotions.
As noted by Burke & Mikkelsen (2006) and
Allen et al. (1999), this lack of career
advancement opportunities, caused by the implementation of downsizing and restructuring
strategies by many organizations, is compounded
by the fact that the number of candidates
interested in managerial positions has increased
dramatically. The baby-boomers, a very large
cohort group, made up of individuals born
between 1946 and 1964, are aging and now make
up the fastest-growing segment of the workforce
(Barrier, 2002). In fact, they are becoming many
countries’ “aging workforce” (Cox, 1999). A
number of sales representatives are choosing to
continue working rather than retiring, when they
reach ages normally associated with retirement.
In fact, some even work beyond age 90
(Hoffman, 2000). Further, there is a trend for
the retired to return to the work force (Gardyn,
2000). These conditions are resulting in larger
numbers of sales representatives who are
competing for promotion opportunities and
associated diminished probabilities for taking
advantage of these opportunities. Many who
have hoped for or had anticipated promotions
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later in their careers meet with unfulfilled expectations and this is a major source of plateauing.
Reflecting the intensified plateau phenomenon
occurring in many industries, Lee (2003) argues
that experiencing career plateau may no longer
be embarrassing and it may even have become a
normal experience among many employees.
An alternate source of plateauing that has
become more common in recent years is lack
of abilities or skills (Appelbaum & Finestone,
1994). Some individuals do not have the
technical or managerial skills, exposure to
opportunities, ability to respond to changing
job requirements, or ability to adapt to
changes in the work environment needed for
promotions, lateral transfers or other means
of growing within the company (McCampbell,
1996). Further, some have not fit into the
“superman syndrome” demanded by many
organizations for advancement. This
syndrome glorifies speed and toughness with
an accompanying denigration of depth and
tenderness of spirit and demands operating in
a hyperactive-interactive world (Kamm, 2001).
Sales managers themselves have been also a
source of plateauing within some organizations in recent years. Management practices
which produce role conflict have been
contributors (Montgomery, Panagopolou,
de Wildt, & Meenks, 2006; Harris & Lee,
2004). The absence or inadequacy of
practices linked to career planning, development, and support, as well as the lack of
opportunities to play new roles and
participate in workgroups, accentuates the
perception of plateauing (Cravens, Lassk,
Low, Marshall, & Moncrief, 2004; Lemire,
Saba, & Gagnon, 1999). So does lack of
social interaction with peers and a
perception that management views the sales
representative as a productive employee
(Field, 2001). Further, when managers do
not present challenges and opportunities for
growth and when they allow sales jobs to
become overly dull and routine, plateauing
has often set in. Hence, there is a need to
Academic Article
modify sales management activities when
these practices are in effect.
Some, although certainly not all, of the sales
representatives who have arrived at a
plateaued stage are in their middle ages or are
older. It is not uncommon for managers to
adopt a stereotyped image which depicts
senior individuals as non-productive because
of their age. However, this view does not
appear to correspond with reality. To the
contrary, older representatives are often
superior to their younger counterparts as
performers. A recent survey of sales and
marketing executives rated 55 to 65 year-old
salespeople higher than their 25 to 39 year old
counterparts in almost every front, including
being more goal-driven, having the ability to
meet sales goals, knowledge of product,
honesty with prospects, loyalty, commitment
to serving clients, and creativity in solving
problems (Kaplan, 2001). Older personnel
have rates of absenteeism and turnover that
are similar to those of younger employees
(Stanley, 2001). They can be as dynamic and
energetic as younger individuals and may be
more concerned with the long run welfare of
the company than with the immediate future
(Kakabadse, 1999).
Remedies for Plateauing
What steps should be undertaken by
managers in treating plateaued salespersons?
The literature furnishes a wide sphere of
suggestions. This section reviews a
representative sample of these.
Managers can assist subordinates by
pointing out that the company recognizes
that plateauing is a normal occurrence, one
that happens to most representatives, and is
not a sign of the end of his or her career.
Honest feedback can relay clear signals to
the employees, to the effect that they are
important to and are valued by the company
(Tsigilis, Koustelios, & Togia, 2004;
McCampbell, 1996). It may be that a
plateaued representative may not present a
problem:
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“It may not be a problem at all. On the
surface, there is nothing wrong with a
salesperson becoming comfortable at a certain
level of performance. Aren’t salespeople
allowed to become comfortable in their jobs?
Isn’t your warehouse manager comfortable
and competent? What about your customer
service manager or your CFO? Don’t you
expect them to perform, year in and year out,
in a predictable manner? Are salespeople any
different?” (Kahle, 2002, pp.25-26).
In order to determine whether a problem
exists, the manager can ascertain if the
salesperson in question is profitable and
directable. In turn, profitability can be
calculated by comparing the total direct cost
of the salesperson with the total dollars of
gross margin that the representative has
generated. On the other hand, directable
salespersons are those who can be counted
upon to do what they have been asked. If the
employees in question fail either of these two
tests, a problem has been uncovered which
should be addressed (Kahle, 2002). One
source proposes a rather extreme approach to
handling salespersons who are plateaued -discharge them. According to this view, if a
sales representative has failed to meet quota in
recent months, it is probably a sign that he or
she cannot handle selling in a slow economy.
Today, many companies cannot afford the
training and coaching–not to mention salary–
in a poor performing salesperson (McMaster,
2002).
Discharge of plateaued salespersons is an
extreme method, of course, but may be
merited in some cases. However, most
researchers and practitioners in the field
suggest less excessive measures
(See: Ettington, 1997; Anonymous, 1994).
One such measure is to redesign the sales job
so that it is of greater interest to the
representative (Tremblay & Roger, 2004;
Leiter & Schaufeli, 1996). Various firms even
grant salespersons the opportunity to create
their own “dream jobs”, which correlate
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Journal of Selling & Major Account Management
highly with the preferences and expectations
of the sales representative and still satisfy
important needs of the company. Plateaued
salespersons may indicate that they want to
spend their time mentoring younger persons,
selling to major accounts, heading up a
research project, or other activities. (Reingold
& Brady, 1999). These activities may provide a
fresh perspective to work and re-install loyalty
and interest in assisting the organization to
achieve its goals.
In some cases, managers have found it
advantageous to promote promising sales
representatives into higher level positions.
This is not a universally effective technique,
however. Usually there is not a sufficient
number of vacant managerial slots available
and many talented representatives do not want
to be managers (Marchetti, 2006; Orr, 2001).
Further, those who desire managerial roles
may not have the ability to come to grips with
the associated responsibilities. However, promotions are one avenue which sales managers
can consider, in their efforts to combat
plateauing.
An alternative to promotion is to transfer sales
representatives to a different role. One
possibility is lateral, cross-functional moves, as
where a burned out individual is transferred to
a brand management or a product-planning
position (Nash & Stevenson, 2004;
Appelbaum & Finestone, 1994). This can be
expensive, of course, as such transfers often
require training and extensive supervision for
the new responsibilities. Or a salesperson can
be transferred to another position in the sales
department, such as one involving training
and developing compensation systems for
sales representatives. The person who is
transferred may view this as a promotion and
may welcome a fresh set of duties and
responsibilities.
Job rotation may capture many of the
advantages of a transfer (Appelbaum &
Finestone, 1994). Here, the salesperson is
temporarily assigned to a new position or
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positions, which are held on a temporary
basis. This can be of assistance, especially for
individuals who have held sales jobs for long
time periods, in breaking away from a cycle of
tedium and boredom that may be in effect
(Lee & Ashforth, 1996; McCleese & Eby,
2006).
Managerial supervision and motivation
programs can be beneficial in dealing with
plateauing (Kaplan-Leiserson, 2005; Goeters,
2001). Sales representatives can be provided
with the opportunity for training in areas
which enhance their value to the firm–so
called “career enrichment” programs (Wright,
2006; Lee, 2003; Brooks, 1994). Nonmonetary recognition programs, such as the
provision of trophies, honorary dinners, and
mention in company newsletters may be
helpful (Nelson, 2002). A company
atmosphere that allows employees to release
their minds from the job and feeling fresh
when they return to work can help (Losyk,
2006; Gunn, 2004; Messmer, 2002; Hensel,
2000). Sometimes, a hiatus, where the sales
representative is allowed to temporarily take
leave from the job and do something else,
such as volunteering for work with a
charitable organization, can be advantageous
as a means of mental refreshment (Allerton,
2004; Chanen, 2001).
Assigning experienced mentors to plateaued
individuals for assistance with work and
non-work related problems can also be of
value (Salmela-Aro, Naatanen, & Nurmi,
2004; Anonymous, 1999; Appelbaum, Ritchie,
& Shapiro, 1994). Merely talking and listening to
salespersons, informally and in formal problemsolving or performance evaluation interviewing
sessions, can assist in relieving plateauing and providing emotional support (Van Emmerik, 2004;
Kickul & Posig, 2001; Glan, 1992; Schiska, 1991).
In sum, the literature reports a number of possible
solutions for problems associated with plateaued
sales representatives. Individual managers are likely
to discover that some combination of these may
be helpful in resolving these problems.
Academic Article
Based on an extensive review of the relevant
literature and considering the exploratory
nature of the current study, the authors have
developed the following two research
questions: (1) What are the primary causes of
plateauing as experienced by sales representatives and how are the identified causes related
to the three types of plateaus, such as
structural, content, and life, and (2) What
would be most appropriate remedies for the
plateauing syndrome as perceived by sales
representatives? In addition, the authors have
proposed the following six hypotheses that
should be relevant to some sales managers.
These are set forth below.
There is evidence to the effect that those
salespersons who experience one of the three
types of plateauing will also be subject to one
or two of the other types (McCleese & Eby,
2006). This appears to be logical. Both life
(bored) and content (no challenge) plateauing
might be expected to accompany structural
(no advancement) for example. Life and
content combinations could be likely, since
boredom and lack of challenge are probable
mixes. Hence the following hypothesis:
H1: Sales representatives who experience one type of
plateauing will also experience another type.
Those sales representatives who are subject to
a particular type of plateauing may reasonably
believe that a remedy for plateauing that is
especially appropriate for that type should be
provided by management. This chain of
events should not be particularly surprising,
since it would result from straightforward
problem-solving behavior. Accordingly:
H2: Sales representatives who believe that they are
subject to a particular type of plateauing will suggest
appropriate remedies for that particular type of programming.
It is possible that males differ from females in
their plateauing experiences. The superman
syndrome required in some sales jobs, which
emphasizes speed and toughness and a
denigration of depth and tenderness, may not
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23
be compatible with some women (Kamm,
2001). Likewise, women’s close relationships
with family and friends may bring about considerable role conflict and weakened job
involvement in decision making situations
(Kickul & Posig, 2001). These factors can
generate plateauing circumstances.
Accordingly:
H3: Sales representatives who are female will develop
higher degrees of plateauing than will those who are
male.
Another variable that may impact upon
plateauing is age. Not all authorities agree, but
some feel that older persons may be more
subject to this condition because they are less
likely to engage in adaptive selling than are
other members of the sales force (Levy &
Sharma, 1994). Others cite the reasons that
seniors resist change (Judge, Thorsen, Pucik,
& Welbourne, 1999) or become mentally
exhausted (Moore, 2000). Accordingly:
H4: Sales representative pleateauing is positively
correlated with age.
The education of the sales representative may
have a bearing on plateauing. Those who are
more highly educated may become plateaued
because they are bored with routine duties of
the job (Tremblay & Roger, 2004), are unable
to fulfill promotion goals (Gray & Gray,
1999), or lack career enrichment opportunities
(Wright, 2006). Accordingly:
H5: Sales representative plateauing is positively
associated with educational level.
Finally, sales experience with the company
might affect plateauing status. Logic would
suggest, for example, that tenure on the job
could easily be associated with life and content
plateauing. Other factors could enter in. Fear
of downsizing can occasion plateauing and in
some companies senior sales representatives
are among the first to lose their positions.
(Mintu-wimsatt & Gassenheimer, 2004). Some
more experienced members of the sales force
resent the fact that management does not
provide them with training for promotion and
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Journal of Selling & Major Account Management
advancement (Lee, 2003). Others fail to
receive expected transfers and other job
changes and the conditions for plateauing take
form. Accordingly:
H6: Sales representative plateauing is positively associated with tenure within the company.
Method
Sample and Data Collection
As the previous section has revealed,
researchers and practitioners in marketing
management and other fields have uncovered
numerous causes of plateauing and potential
remedies for dealing with this problem.
However, first, a large portion of the literature
on this topic is dated and may no longer
describe current conditions. The previous
section has outlined some of the ways in
which these conditions have been subject to
change, in recent periods. Further, plateauing
is rising in incidence and severity due to the
increasing number of companies adopting
downsizings and restructuring strategies
(McCleese & Eby, 2006). Second, as noted by
McCleese and Eby (2006), most of the prior
research has focused on just one type of
plateaus, predominantly structural plateaus,
rather than all the three types of plateaus as a
whole. Finally, many of the reasons for and
remedies for plateauing which have been
uncovered by scholars and practitioners in
areas other than marketing management have
not been assessed in the context of personal
selling. In an endeavor to fill this research
gap, an inquiry addressing the issue of sales
representatives’ plateau phenomenon was
undertaken.
Two hundred individuals whose titles were
“sales manager” were selected randomly from
the American Marketing Association
International Member and Marketing Services
Guide, for inclusion in the study. Each sales
manager received a cover letter and five
questionnaires in the mail. The cover letter
requested the sales managers to provide the
questionnaires to five sales representatives
Northern Illinois University
whom the sales manager felt to be in a
plateaued state. In turn, plateaued representatives were defined as those whose productivity
has significantly leveled off or declined for a
period of three months or longer. This
definition was adopted after a substantial
review of the literature on plateauing and it is
felt that it adequately reflects the perceptions
of the researchers and sales managers who
have written on the subject. The sales
representatives completed the questionnaires
and returned them to the sales manager in
sealed envelopes for subsequent mailing to the
researcher in a self-addressed metered
envelope. A total number of 385 completed
questionnaires, in usable form, were retrieved,
for a response rate of 38.5%.
Demographics of the respondents were
solicited in the questionnaires. The average
age was 31.4 and 58% were male. In turn 71%
had a college degree or some higher
education. The mean years of service for the
company was six and the mean years of
service in selling was 13. The proportion of
the full-time employees was 96.4%.
The directions given to the sales representatives asked each of them to set forth those
reasons why he or she was not more
productive in accomplishing his or her
assigned goals. They were also asked to state
actions which the company could take which
would enable them to be more productive in
accomplishing their assigned goals. These
directions were adopted from those used in an
earlier study of plateauing (Peterson, 1993).
Specifically, the sales representatives were
asked “What are the reasons why you have
not been more productive in accomplishing
your assigned goals? Please list these in the
space provided below.” This question, then,
requested possible reasons for plateauing in
the eyes of the plateaued. In turn, the question
has been employed in earlier studies of
plateauing (Peterson, 1993). The respondents
were also asked: What actions could the
company take which would enable you to be
Academic Article
Summer 2007
more productive in accomplishing your
assigned goals?” This question has been
employed in earlier studies of plateauing
(Peterson, 1993). Open-ended questions were
used for each of the queries.
Analysis and Results
Two Ph.D. students with experience in
marketing research, sales management, and
content analysis were used to code the
responses into categories. They received four
hours of training and practice in content
analysis before performing their work. Prior to
25
the undertaking of the coding effort, they
conducted a comprehensive review of the
plateauing literature, as a means of developing
a working knowledge of the causes of and
possible remedies for plateauing. The
tabulation process involved counting the
frequencies for each lexicon in use. The
inner-rater reliability of the coders was 91.2.
This figure surpasses the threshold which is
established for such studies (Gross & Sheth,
1989). Once the data had been tabulated and
analyzed, an additional reliability check was
undertaken. The reliability of the survey data
Table One
Respondents’ Perceptions as to the Causes of Plateauing
Reasons for Plateauing
Citing Reason (%)
Category*
Lack of Opportunity for promotion
51.7
S
Burned out
46.0
L
Excessive job demands
41.1
C
Bored with the job
40.3
L
Lack of opportunities for transfer
Lack of support by management
Treated unfairly by management
36.9
35.2
31.7
S
S
S
Not motivated to achieve further
29.5
C
Not trained for new job requirements
22.4
S
Earnings are already adequate
17.7
C
No loyalty to the company
17.5
16.9
10.1
L
S
C
Unable to keep up with technology
7.2
S
Other
2.5
Lack of advancement in the past
Poor image of the company
Note: * S denotes structural plateauing
L denotes life plateauing
C denotes content plateauing
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Journal of Selling & Major Account Management
was assessed by calculating the estimate of
reliability (I) developed by Perreault & Leigh
(1989). The resulting figure was .904, which is
well within the range of acceptable reliability.
The first research question of this study relates
to the causes of plateauing in sales force.
Table One sets forth the frequencies of
response by category. This table reveals that
lack of opportunity for promotion is the most
widely-cited rationale for plateauing. This is
followed by burned out, excessive job
demand, bored with the job, and lack of
opportunities for transfer. The next grouping
is lack of support by management, treated
unfairly by management, not motivated to
achieve further, and not trained for new job
requirements. The list is rounded out with
earnings are already adequate, no loyalty to the
company, lack of advancement in the past,
poor image of the company, unable to keep
up with technology, and “other”.
In the last column of Table One, the causes
for plateauing have been categorized
according to the degree to which they appear
to fall into the structural, life, and content
plateauing classes. The frequency counts for
individual reasons are 7 for structural, 3 for
life, and 4 for content. When the percentages
in column two are added for each class, there
are 202.0 for structural, 103.8 for life, and 98.7
for content. It appears that much of the
plateauing incidence is due to a lack of a
higher position in the company, where the
representatives can advance, creating a
restricted opportunity for promotion. This
finding suggests that management is
well-advised to search for structural content
when attempting to identify factors underlying
plateauing.
The second research question is concerned
with most appropriate remedies for the
plateaued. The frequencies assigned to the
coded responses appear in Table Two.
The most frequently mentioned remedies were
providing opportunities for promotion, avoiding
excessive job demands, job redesign,
Northern Illinois University
furnishing perks for successful performance,
discussing reasons for plateaus and
suggestions for improvement, and providing
monetary incentives for superior performance.
These were followed by more competent
sales managers, talks about problems,
freedom to fail policy, and problem solving
interviews.
Next came assignments to
different sales managers, training,
non-monetary recognition programs, information on job responsibilities, and information
on performance. The least mentioned
remedies were assigning new sets of
prospects, transfers to other departments,
time off, and “other”.
The last column of Table Two categorizes the
remedies for plateauing according to the
degree to which they are associated with
structural, life, and content plateauing. The
frequency counts for individual remedies are
12 for structural, 3 for life, and 4 for content.
When the percentages in column two are
added for each class, there are 645.0 for
structural, 37.0 for life, and 213.0 for content.
These figures suggest that management should
place emphasis on remedies related to
structural content, when attempting to
counteract plateauing.
The preceding pages have presented an overall
analysis of the data pertaining to the two
esearch questions addressed in this study.
Further analysis was conducted through the
assessment of the proposed six hypotheses.
The following section is devoted to this
inquiry.
Hypotheses Tests
H1 stated that sales representatives who
experience one type of plateauing will also
experience another type. The large percentages in Table One provide general support
for this hypothesis. Further analysis is
evident through an examination of Table
Three. It indicates that most of the
respondents were subject to two or three
types of plateauing, in agreement with H1.
Academic Article
27
Summer 2007
Table Two
Respondents’ Perceptions as to Remedies for Plateauing
Citing
Remedy
(%)
Category*
Provide opportunities for promotion
87
S
Avoid excessive demands of the job
82
C
Redesign the job so that it better fits salespersons’ needs
81
C
Furnish perks for successful performance
77
S
Discuss reasons for plateaus and suggestions for improvement
76
S
Provide monetary incentives for superior performance
72
S
Utilize more competent sales managers
65
S
Talk with representatives about their problems
59
S
Have a freedom to fail policy
52
S
Use problem-solving interviewing by sales managers
52
S
Assign salespersons to different sales mangers
44
S
Provide more training for representatives
37
S
Use non-monetary recognition programs
29
C
Fully inform representatives on their job responsibilities
21
C
Inform representatives on how well they are performing
18
S
Assign representatives to a new set of prospects
17
L
Transfer representatives to positions in other departments
11
L
Provide time off–a hiatus
9
L
Job rotation
6
S
Other
3
Suggested Remedies for Plateauing
Note: * S denotes structural plateauing
L denotes life plateauing
C denotes content plateauing
H2 asserted that sales representatives who
believe that they are subject to a particular
type of plateauing will suggest appropriate
remedies for that particular type of
programming. The respondents were not
directly asked for the type of plateauing to
which they were subject. However, three of
the reasons for plateauing that the study
uncovered seem to the authors to
reasonably capture each type. Specifically,
“Lack of opportunity for promotion”
appears to be an appropriate proxy
Vol. 7, No. 3
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Journal of Selling & Major Account Management
Table Three
Percentage of Subjects Subject to One or More Types of Plateauing
Number of Plateauing Types
1
2
3
measure for structural plateauing, “Bored
with the job” for life plateauing, and
“Not motivated to achieve further” for
content plateauing.
Table Four presents data which designate the
percentage of each type of plateauing for each
of the three reasons examined. For instance,
the table indicates that, those who mentioned
“Lack of opportunity for promotion” as a
reason also cited structural remedies 48.2 % of
the time, life remedies 28.6 % of the time and
content remedies 23.2% of the time. In other
words, these individuals concentrated their
responses in structural remedies. A Tukey k
test indicates that the figure for structural is
significantly greater than any other column
value. This suggests that they mainly
suggested appropriate remedies for this kind
Cause
9(%)
58
33
Remedy
7(%)
52
41
of plateauing. Much the same pattern is
apparent for life but not for content
plateauing. Hence, H2 is partially supported:
Those sales representatives who believed
that they were subject to structural and life,
but not content plateauing, suggested
appropriate remedies for that particular type
of programming.
H3 proposed that “Sales representatives who
are female will develop higher degrees of
plateauing than will those who are male. The
sales managers involved in the study process
selected those representatives whom they
deemed to be in a plateaued state. The
resulting percentages were 58% male and 42%
female. Yet, 53% of the sales representatives
in the U.S. are female (U.S. Government,
2006). These figures lend some support to H3.
Table Four
Correspondence of Causes and Remedies for Plateauing
Causes
Remedies
Structural:
Life:
Content:
Bored with the job
Structural
Lack of opportunity for
promotion
48.2(%)*
Not motivated to
achieve further
34.5(%)
Life
28.6
39.3*
33.8
Content
23.2
32.0
31.7
Total
100.0
100.0
100.0
28.7(%)
Note: * indicates where correct responses were significantly greater than other column
values, according to a Tukey k test at the .05 level.
Northern Illinois University
Academic Article
Summer 2007
29
Table Five
Age Distribution of the Sample
Age
U.S. Population*
Sample
Population minus
Sample
16.6(%)
25-34
24.8%
8.2(%)
35-44
24.9
6.1
18.8
45-54
21.1
15.8
5.3
55-64
14.3
30.6
-16.3
65-74
8.2
27.1
-18.9
75 and over
6.7
12.2
-5.5
Total
100.0
100.0
100.0
Source: *U.S. Census Bureau Current Population Survey: 2000.
H4 asserted that plateauing is positively
correlated with age. All of the salesperson
subjects in the study had been identified as
plateaued. Hence, the age distribution of the
sample should provide some degree of
assessment of this assertion. Table Five sets
forth this distribution. It indicates higher
percentages of the plateaued in the sample, as
compared to the population percentages, for
the older age groups and lesser percentages in
the younger groups.
The incidence of
plateauing in the sample did decline somewhat
from the 35-44 to the 45-54 grouping,
however. At this stage, the contributors to
declining performance appear to be taking a
stronger role. Further, plateauing appears to
have fallen somewhat at the 75 and older
level. Those who have reached this age and
still continue to work seem to have
demonstrated significant motivation to
continue in a productive role. These results
fail to provide a support for the hypothesis.
According to H5, plateauing is positively
associated with educational level. Since, all of
the salesperson subjects in the study had been
identified as plateaued, the education level
Table Six
Education Level of the Sample
Source: *U.S. Census Bureau Current Population Survey: 2000.
Education Level
Less than 9th grade
9-12 grade, no high school diploma
High school graduate
U.S. Population*
Sample
Population minus
Sample
4.7(%)
9.5
8.4
10.5(%)
14.4
34.8
5.8(%)
4.9
26.4
Some college or associate degree
Bachelor or advanced degree
18.2
22.1
29.2
33.7
-11.0
-11.6
Total
100.0
100.0
100.0
Vol. 7, No. 3
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Journal of Selling & Major Account Management
Table Seven
Tenure with the Company
Years of Tenure
Percentage of Sample
Years of Tenure
Percentage of Sample
1.0 – 4.9
4.2
25.0 – 28.9
22.4
5.0 – 8.0
7.9
29.0 – 32.9
10.1
9.0 – 12.9
5.3
33.0 – 36.9
5.5
13.0 – 16.9
3.5
37.0 – 40.9
0.0
17.0 – 20.9
19.4
41.0 and over
0.0
distribution of the sample should furnish an
evaluation of this position. Table Six presents
this distribution. It is apparent that, at increasing
levels of education, the percentage of the
sample compared to the population percentage
advances, at a relatively even rate, with the
exception of a small decrease at the high school
graduate level, providing evidence which supports the hypothesis.
H6 proposed that sales representative plateauing
is positively associated with tenure within the
company. Since all of the salesperson subjects in
the study had been identified as plateaued, the
years of tenure distribution of the sample should
assist in a ssessing the hypothesis. Table Seven
sets forth the relevant data. Since, all of the
salesperson subjects in the study had been
identified as plateaued, the tenure level
distribution of the sample should furnish an
evaluation of this position. A curvilinear pattern
is apparent -- as years of tenure advance, the
percentage of the sample that is plateaued
increases (at the 17-20.9 level) and then begins to
decrease at the 29-32.9 level. The forces which
produce plateauing seem to be less influential
during the early years, advance somewhat over a
12 year span, as unfilled expectations, boredom,
and lack of challenge present themselves, and
then decrease eight years later. The latter
decrease may be explained by salesperson ability
to cope with the plateauing influences more
effectively than they could in earlier years.
Northern Illinois University
Discussion, Conclusion and Managerial Implications
While not all studies have found the negative
effects of plateauing (e.g., Feldman & Weitz,
1988b; Nicholson, 1993), there is considerable
evidence to indicate that plateauing leads to
unfavorable outcomes, such as lower levels of
job satisfaction, organizational commitment,
and job performance (e.g., Allen et al., 1999;
Burke and Mikkelsen, 2006; Lee, 2003;
McCleese & Eby, 2006). This paper has
focused on the current state of plateauing by
sales representatives, where their productivity
has leveled off or declined over a period of
time. The review of the management and
other germane literature considered the
importance of this topic and various causes
and remedies which have been uncovered.
Further, the results of an empirical study of
possible causes of and remedies for plateauing
were presented, in order to update and
reinforce past inquiries into this area. It should
be noted that in contrast to the most of
previous plateauing studies focused on a single
dimension (e.g., a structural or content
dimension) of plateauing, this paper is one of
the few empirical studies addressing the
multi-faceted construct of plateauing in an
integrated manner. Considering the possible
interaction effects among the three types of
plateau, the broad approach undertaken by the
current study would be better to capture a
whole picture of the plateau phenomenon and
explore its potential causes and remedies
Academic Article
comprehensively. In fact, most of the sales
representatives participated in the present
study reported that they were experiencing
two or three types of plateauing.
Many of the significant perceptions on
causes of plateauing which the study
revealed related to lack of opportunity to
advance in the organization. These included
lack of opportunity for promotion, lack of
opportunities for transfer, lack of support
by management, not motivated to achieve
further, not trained for new job requirements, and lack of advancement in the past.
In the same vein, many of the important
remedies were related to lack of opportunity
to advance. These included opportunities
for promotion, discussion of reasons for
plateaus and suggestions for improvement,
having a freedom to fail policy, and providing more training for representatives. It
would appear that sales managers would be
well advised to seek means of advancement
for sales representatives, as a means of mitigating plateauing. In addition, as suggested
by Lee (2003), wherever possible, sales
managers should communicate to their sales
representatives the available career paths
and help them achieve their career goals.
Some of the reasons for plateauing related
to burnout, boredom, over-worked status,
and lack of motivation to achieve. The
specific reasons cited include burned out,
excessive job demands, bored with the job,
not motivated to achieve further, and lack
of loyalty to the company. Corresponding
remedies that were suggested were avoiding
excessive demand of the job, redesigning
the job so that it better fits salespersons’
needs, assigning salespersons to different
sales managers, using problem solving
interviews, using non-monetary recognition
programs, assigning representatives to a new
set of prospects, transferring representatives
to a new set of prospects, transferring
representatives to positions in other
departments, and providing time-off .
Summer 2007
31
To combat this perception of boredom,
managers are in need of techniques which
motivate sales representatives, excite them in
their jobs, provide them with new challenges,
and escape the tedium of overly-routinized
and uninspiring tasks. As one of the remedies
for content plateaus, Allen et al. (1999)
suggested that individuals who are highly
involved in their jobs find ways to make their
job tasks more stimulating and challenging
and therefore are less likely to feel job content
plateaued. Further, this initiative would also
reduce the potential negative impacts of the
sales personnel’s role stressors, such as role
conflict and role ambiguity, on their job
performance (Miao & Evans, 2007). Thus, it is
recommended that while implementing, in the
short term, the job involvement initiative in
managing their sales representatives, managers
provide them with an opportunity to enhance
their skill levels and maintain their currency in
the sales profession through training or job
rotations in the intermediate or long term
(Lee, 2003; McCleese & Eby, 2006). In
addition, it is recommended that managers
take into consideration the enhancement of
sales automation, such as the adoption of
CRM software, to mitigate the adverse effects
of boring and overly-routinized tasks while at
the same time meeting the recently increased
demand by clients for customized solutions.
Various respondents’ perceptions on the
causes of plateauing related to monetary
incentives. These include opportunity for
promotion, not motivated to achieve further,
not trained for new job requirements, and lack
of advancement in the past (However,
“earnings are already adequate” is contrary to
this position).
Corresponding remedies
include providing opportunities for
promotion, offering monetary incentives, and
furnishing training. This suggests that sales
managers might combat plateauing through
financial compensation packages which
provide incentives for performance and are
perceived by representatives as fair.
Vol. 7, No. 3
32
Journal of Selling & Major Account Management
Each individual manager should engage in an
ongoing process of seeking out the reasons
for plateauing which may exist in his or her
own organization. These can be expected to
differ in nature and magnitude from one
company to another, of course. Further, each
manager should search for the remedies which
appear to be most appropriate for the sales
representative and company in question. The
analysis results of the present study indicated
that sales representative subject to particularly
structural and life plateaus prefer remedies for
that particular type of programming.
However, it should be noted that searching
for appropriate remedies for plateauing
often requires extended and in-depth
communications with individual sales
representatives over a period of time,
through both formal and informal avenues.
Further, what works for one salesperson or
one company at any given time may not
serve another well. Thus, a combination of
two or more remedies is often the optimal
solution at a particular point in the
individual’s career life cycle.
Plateauing can be a serious problem in any
sales force and, as such it deserves serious
attention on the part of the sales manager.
When this condition exists, there is a waste
of company resources, the firm may suffer
competitively, and individual sales representatives are not in a position to fully enjoy
the benefits which they might receive if they
operated at a higher level. This being the
case, sales managers are well-advised to
initiate actions which prevent, control, and
reverse this state. Managers are encouraged
to experiment with various remedies, in
search of those which bring about the most
effective results. With experience they can
be in a position to develop and refine a set
of techniques and perspectives which fit
their unique needs and fulfills the specific
product, brand management, and promotion
strategies of the company and its offerings.
Northern Illinois University
Finally, the climate of the workplace has
changed in recent years, in such a manner
that the characteristics of senior sales
representatives are often more closely
related to sales success than are the
characteristics of the young. Individuals age
55 to 72 score as well or better in tests of
cognitive thinking–the ability to handle
complex tasks and capacity for multitasking
(Bushko & Raynor, 1999). Companies are
well advised to develop management
methods which will take advantage of these
qualities of older workers (Fusaro, 2001). In
short, as evidenced by the findings of the
present study, the incidence of plateauing is
not correlated with age.
The study has some limitations. The sample
was not selected in a purely random fashion.
Different sales managers might have used
diverse methods of measuring productivity
when they selected sales force sample
members. The three month time period for
assessing productivity may be excessive for
some firms and sufficiently long for others.
It is possible that the respondents were
unable or unwilling to reveal the actual
reasons for their decline in productivity -they may have been susceptible to
attribution error. Despite these limitations,
the results of the study are sufficiently
definitive that they should be of value to
managers and sales representatives in
dealing with plateauing situations. The
gravity of these situations is such that
further studies into this area are
recommended.
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Robin T. Peterson is a Professor of Marketing at
New Mexico State University. He received the Ph.D.
in Marketing from the University of Washington and
has written textbooks and journal articles in marketing management, personal selling and related fields.
Minjoon Jun is a Professor of Management at New
Mexico State University. He received the Ph.D. in
Management from Georgia State University and has
written journal articles in management, e-commerce,
marketing, and related fields.