Most sales leaders are intrinsically competitive.  You always want to know what the best are doing to outpace everyone.  You wonder how your team stacks up to these top performers. Find out how you stack up against the top performers by assessing your company by reviewing SBI’s How to Make Your Number in 2018 Workbook , your comprehensive resource to revenue growth emerging best practices.


This post is about focusing on Key Performance Indicators (KPI) that measure sustainable results. This will ensure your team is doing the right things to be successful. Revenue attainment can be a misleading indicator. There are several other reasons why sales leaders struggle to measure the right metrics.  Below are just a few.


The Problem:

Measuring the wrong KPI’s is like driving down the road with a blind fold.  You are relying on gut instinct and in many occasions, it is reactive.  Here are a few examples of why this happens:


  • Too Many KPI’s-   Everywhere you look on the internet you will find articles on different KPI’s.  Sometimes you will find organizations that measure over a hundred different indicators. This makes it difficult on managers to decipher what is actually “key”.  In addition, many of the key indicators are mutually exclusive from one another.  The performance indicators must support each other to ensure success. Get started using the Sales Performance Guide.


  • Lagging Indicators- Often, organizations make the mistake of measuring lagging indicators as KPI’s.  Some measure profit, revenue per sales person, sales/cost ratio or employee satisfaction.  These are important but they are an indicator of what already happened.  They merely record the outcome of a process.  To pass the test an indicator has to be attributed to an individual or team.  You have to be able to take corrective action during execution.


  • Big Deals- Sometimes teams make their number on a few big deals.  This is not necessarily a bad thing.  However when you live by the big deal, you also die by it.  If you removed those big deals, the results would tell a different story.  A better strategy would be to make your number without big deals.  These bigger deals should be additive to your results.


The Benefit:


Measuring the correct indicators allows you the ability to make the best decisions.  You can be certain you are taking corrective action in areas of your business.  Here are three benefits:


  • Alignment- Defining what you will measure gives you the ability to connect with other functions inside your organization.  Marketing is a good example.  If you measure appointments, you can determine your leads from marketing ratio.


  • Informed Decision Making- The right indicators give you the ability to make better decisions at the critical moments.  They should focus on behavioral change and leading indicators.  This allows you to apply corrective training and coaching.


  • Collaboration- Campaign execution is a good example.  Sharing dashboards with Marketing allows you to communicate real-time.  This allows everyone to streamline a process and become more efficient.


Every businessperson should strive to create exceptional key performance indicators.  They show the ways in which troubled teams can fix their problems.  Successful teams can proactively plan and manage continued success. 


Have expectations gone up and left you wondering if you can make your number? Here is an interactive tool that will help you understand if you have a chance at success. Take the Revenue Growth Diagnostic test to rate yourself against SBI’s sales and marketing strategy to find out if:


  • Your revenue goal is realistic
  • You will earn your bonus
  • You will keep your job


Sales Revenue Growth


Andrew Urteaga

Helps motivate clients to design and implement new sales and marketing strategies so that they stay on track to make their number.

Clients describe Andrew as an industry thought leader. He has deep experience as an executive, having served in multiple positions as a sales leader, with a track record of outstanding performance in F500 companies.


Prior to joining SBI, Andrew held the position of VP of Sales at Avis Budget Group where he was responsible for sales and marketing leadership. He also held a variety of positions with Cintas Corporation, a Fortune 500 multi-national company, including key quota carrying positions in the sales force from sales rep through to executive leadership.


Andrew’s work has included everything from lead generation, campaign planning and sales process to designing complete sales management coaching programs and new compensation plans.

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