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

Question

Sid Kumar · Accepted Answer

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 these decisions. If we decompose revenue, it's comprised of # of deals * ASP + recurring revenue from your installed base (taking a simplistic view) which are all output metrics. To look at the underlying health of the business in the short-term, I'd look at the input metrics that drive the # of deals, ASP and installed base health and ensure that there are clear drivers aligned to these metrics within the organization. For medium-term to long-term, I'd look at diagnostic metrics to look at the composition of your output metrics (in this case, revenue) and look at what channels and demand sources helped to generate this revenue (e.g. BDRs, Marketing Leads, Partners, eCommerce, PLG, Services). You might look at this on a trended or quarterly basis and assess the relative efficiency or effectiveness of these channels and work with your leadership team to discuss what pivots or shifts you should consider making to accelerate sales velocity.

Cambria Moreno · Answer

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.

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