Sharebird

What are the long-term metrics that you prioritize reviewing in running your organization?

I believe organizations that I have been a part of spend too much time prioritizing short-term metrics (pipeline, forecast, YoY growth, etc.), and I notice this is especially true when creating deep partnerships with Sales leadership. What do you look at to determine the future health of your organization (ex: new logo wins, # of partner wins and contribution, growth in pull-through services)? How do you balance focus on short and long-term health?

Answer
7 Answers
  1. Sid Kumar
    Sid Kumar

    Databricks Area Vice President, GTM Strategy & Planning • 3y

    The specific answer here will depend on the type of organization (e.g. B2B/B2C), target segmentation (e.g. Enterprise/SMB) and go-to-market model (e.g. Product Led Growth, Sales Driven). I'd suggest looking at this through teh framework of of leading indicators (input metrics) and lagging indicators (output metrics) which are aligned with your buyer's journey and then determine over which time period it makes sense to evalute these metrics. Factors such as sales cycle will play heavily into thes ...Read More

    4,796 Views
  2. Eduardo Moreira
    Eduardo Moreira

    LinkedIn Director of Sales Strategy and Operations (EMEA & LATAM) • 2y

    Balancing short- and long-term health is essential, it defines the pace at which the company makes its inroads, even if it already achieved some "financial independence" through a healthy LTV/CAC ratio. When thinking about the long term, I’d think mostly of productivity ($/HC), NRR, profitability and vintaged data. Zooming in: Productivity: Analyze sales HC productivity by product/service, sales approach (acquisition, renewal, upsell, etc.), and market/segment. Comparability is key to appropriat ...Read More

    1,935 Views
  3. Cambria Moreno
    Cambria Moreno

    The Riverside Company Director of Revenue Operations • 3y

    Your metrics are divided into run the business and long range plan.

    Run the business:

    • Pipeline generation

    • Forecasting Accuracy

    • Win Rates

    • YoY Growth

    Long Range Plan:

    • Competitive Win Rate

    • Partner Revenue & Growth

    • Revenue role productivity

    • Profitability - big one in our current market

    • Total Addressable Market

    There are a variety of others but the real difference is what will sustain your business vs meet your annual targets.

    1,484 Views
  4. Tyler Will
    Tyler Will

    Intercom VP, Revenue Operations | Formerly LinkedIn • 2y

    Like most RevOps teams, we look at a wide array of metrics that help us understand performance in various parts of the business. It's crucial to look at both short term and long term metrics, so I don't think it's bad to be concerned about the short-term, especially in a highly dynamic environment like we have been in for the past few years of Covid, ZIRP, and inflation. I like the book Cracking the Sales Management Code: The Secrets to Measuring and Managing Sales Performance by Jason Jordan th ...Read More

    767 Views
  5. Justin Trana
    Justin Trana

    Databricks Senior Director Sales Operations • 2y

    New logo lands and partner activity are great measures of long term success. I would also but renewal rates, average deal size, and length of contract terms (e.g. 1 vs 2 vs 5 year deals) as very strong indicators of the long term health of an organization that can easily be measured in the short term.

    1,447 Views
  6. Ignacio Castroverde
    Ignacio Castroverde

    Cisco Senior Director, Global SMB & Mid-Market Sales Acceleration and Program Office • 2y

    To analyze the long-term health of a concern, it is important to measure immediately testable performance criteria together with indicators that shed light on future sustainability and growth. In focus of long-term metrics, here are the key that I attach greatest import to: Customer Lifetime Value (CLV): This measures the total revenue anticipated from an individual customer account. It helps to give us a perspective on whether those relationships you are building will continue yielding returns ...Read More

    694 Views
  7. Kayvan Dastgheib-Beheshti

    Payscale VP, GTM Operations & Business Intelligence • 2y

    When it comes to assessing the health of an organization, there is a mix of short-term and long-term metrics that paint a comprehensive picture. At the heart of every organization's effort lies the goal of driving pipeline, converting prospects into customers, and nurturing those customer relationships for long-term growth. These core metrics serve as guiding lights, shaping decisions not just for the current quarter, but for the trajectory of the entire fiscal year. While metrics like pipeline, ...Read More

    671 Views

Related Ask Me Anything Sessions

Top Revenue Operations Mentors