What Should You Be Measuring?
Measuring effectiveness is highly contextual to the organization and its initiatives. There are two types of measurements – leading and lagging. Each plays a role in measuring the effectiveness.
Let’s dive into each.
Leading Indicators: Measurable factors that can reasonably predict future performance |
|
Example KPI: |
As Measured By: |
Participation in Sales Enablement Program |
100% of your sales team completes the Sales Enablement activities. i.e. Sales Training, Sales Coaching, Job Aid Usage, etc. |
Certification |
100% of the team completes and passes the multi-tiered Certification Program. |
Pipeline to Annual Quota Ratio |
Pipeline to quota ratio improves by 2X. The increase in pipeline is a result of training on more effective prospecting. |
Lagging Indicators: Measurable factors that change as a result of a particular pattern or trend |
|
Example KPI: |
As Measured By: |
Quota Attainment |
Percentage of reps that achieve quota increases by 5%. As a result of the Sales Enablement Certification Program. |
Close/Win Rates |
Close Rate improves by 5%. As a result of the Sales Enablement Certification Program |
Deal Size |
Deal size increase by 10%. As a result of the Sales Enablement Program. |
The above examples are just a starting point to measure your effectiveness. But they give you a feel of the types of metrics you should be tracking.
Why track both leading and lagging indicators? The answer is straight forward. If your leading indicators are pointing to failure, you can then course correct. Determine what the source of the problem is. And fix it. Your lagging indicators will tell you if you have succeeded or failed in your initiative. It’s that simple. Did you meet your goal or not?
No matter the initiatives, defining and measuring indicators is essential. How else would you know if your initiative is a success or failure?
The same is true for Sales Enablement. You first need to define your goal of the initiative. Then you need to track both leading and lagging indicators. This will determine success or failure.
Sales Enablement is a need, not a ‘nice to have’ in today’s selling environments. Prove its value to the organization by measuring the initiatives. Ensure you are tracking to success. Download our annual Research Report to help you do this.