Sales KPI

Umsatzrentabilität B2B steigern

How to calculate and increase return on sales with predictive analytics?

 
How can B2B manufacturing and distribution increase return on sales (ROS) using strategic sales controlling and predictive sales?

Is there a sales and marketing KPI that manufacturing and industrial distribution companies can use to measure the efficiency of their teams? Yes, there is, The Return on Sales or ROS.

Sales executives also define ROS as a net profit rate. It tells a company how much of every dollar it takes in turns into profit.
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How to set more realistic targets using predictive analytics

How to Set More-Realistic Sales Targets using Predictive Analytics

To replace the legendary Jack Welch as CEO, the General Electric (GE) Board had selected Jeffrey Immelt in November 2000. As he took the reins, Immelt set an ambitious sales target: “We believe that GE can grow two to three times faster than world gross domestic product, which translates to about 8 per cent sustained sales growth.”

To give you some perspective, the industrial segment of GE had grown 4 per cent historically.

Likewise, on December 4, 2003, Rockwell Automation announced that its board of directors had elected Keith Nosbusch as president and chief executive officer.

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Algorithmic Management in B2B Sales

Artificial Intelligence in Sales: B2B Algorithmic Management

Modern data-driven management in B2B sales is where Big Data meets Artificial Intelligence

Although algorithmic management boasts a fancy, new name, managing a workforce using data is not necessarily a new postulate. Just remember that “The Principles of Scientific Management” were published by Frederick Taylor in 1911 and soon became a culprit of the data-driven management.

Algorithmic management is Taylorism in times of big data and artificial intelligence. It uses machine learning to manage and control workforces. Millions of people employ algorithmic management when ordering food, buying online or taking a cab. Millions of workers respond to algorithms. For some, the future of management, for others a depressing picture.
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Correlation does not equal causality – KPIs in Sales

Watch your step! Sales managers and managing directors in B2B confuse correlation and causality.

Data-based decisions in sales are not always ad-hoc better than intuition. The reason for this is the frequent confusion between the terms causality and correlation.

How nice it would be if managing directors or sales executives regularly knew why something happened. Why individual customers churn; why one product does not sell well or sells more than others; why in the end a promising sales lead does not become a customer, regardless of how good our salespeople are.

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vertriebskennzahlen-predictive-sales-analytics

How Predictive Analytics is Transforming the Sales Performance KPIs You Must Be Measuring

A straightforward question: is your sales team using the same sales performance KPI they did five years ago? If your answer is yes, you better watch out, you might not be using the right KPIs.

 

Of course, sales per quarter and sales quota attainment are still sensible KPIs to measure. However, total revenues or sales vs quota are lagging indicators. They are “slow KPIs” in the nowadays dynamics B2B sales world. They come way too late.

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