Sales organization more motivated, successful and measurable
Sales organization more motivated, successful and measurable
A world-leading multimodal logistics service provider is experiencing never-ending discussions in its various organizations about whether the money invested in sales always guarantees the right return. A popular doctrine is “success because of sales or despite sales? We were asked to objectify these “gut feelings” in order to be able to invest more efficiently in a powerful sales force in the future.
In order to first analyze the annual sales costs, which are in the three-digit million range worldwide, with regard to the return on sales investments and then to guarantee a permanent increase in effectiveness and efficiency, the existing regionally different conditions needed to be analyzed and the areas with potential for improvement were to be marked. At the same time, the aim was to develop a modern and transparent as well as simple model for target definition and target success control. To put it in a nutshell: Away from faith, towards facts.
Within the framework of expectation management, the relevant stakeholders were first asked about their target expectations of sales as well as subjective and objective perceptions and (dis)satisfaction. The resulting objectives for sales, which could be derived objectively, were transformed into measurable variables and incorporated into the company’s annual overall planning process.
With the help of a database model, all data concerning sales, its costs and resources as well as its degree of target achievement were processed in one central system and presented in a monthly rolling and summing up analysis tool that is easy to use and flexible. The review culture necessary for data discussion was agreed and introduced with all stakeholders.
Today, the company is able to “track” every euro invested in sales worldwide and to track and fine-tune the return, which can be 1:3 or 1:7 (based on direct costs of sales versus gross margin responsible for sales) depending on the sales channel. Vague rumors, subjective perceptions and pure claims of success or failure were objectified, thus putting employee satisfaction and reputation on a solid basis and creating investment security and new planning opportunities for sales expansion and consolidation.