The Brand Transformation Show by Blirt

How to design KPIs that work. Leading vs Lagging Indicators
In this episode we take you through how to design KPIs that create change and drive performance with least effort. We'll cover the triangle of performance management + a breakdown of leading vs lagging indicators.

We all know businesses run on results, aren't KPIs all about delivering results?

No! And that's the point of this podcast.

• It's helpful to measure what matters most and ignore what doesn't
• It also helps to why we measure what we measure. Not all measurements are equal.
• All outcomes can be put into three categories; Results, Objectives and Activities

What's difference between Results, Objectives and Activities?

• Here's the myth - nobody can manage results. Results are things that hapen to you. You get to these through mutually agreed objectives.
• Objectives are goals with consent... something two or more parties sign up to and work towards achieving together. But you still can't manage objectives..... you can only manage systems and process and lead people.
• Activities are the only things we control. Therefore, this is where our key performance indicators should live. If we manage activities, they lead us to objectives and results.

So, then, we started of talking about Leading vs Lagging Indicators..... how's all this connected?

• Lagging indicators are the things that happen to us... so that's the 'results' and 'objectives'
• Leading indicators the the things that tell us we are doing that if achieved lead us to the result, things like response time or sales calls

What are some common Sales Lagging and Leading Indicators?

Common Lagging Indicators

• Total Sales Volume
• Margin Sold or Discount Given
• Revenue from New Clients
• Average Contract Length
• Renewal Rates
• Acquisition Costs
• Sales Cycle length

Common Sales Leading Indicators

• Sales Activities
• Pipeline Weighted Value
• Opportunities Created
• Opportunities Lost
• Quotes or Proposals Sent
• Completion of training / learnings
• Compliance to a Sales Process

The essential skills of the 'XMarketer' - Marketing Leaders who drive digital transformation.

Today we're breaking down the skills that are the foundations to digital transformation success in the 21st century.

So, how has marketing changed over the last few years?
There have been 5 major technical waves of change that have washed over the marketplace since 2000 - SalesTech, ServiceTech, MarTech, FinTech and AI.

MarkTech really kicked off in 07/08 with the early automation platforms and this lead 10 years of change to where we are today with high data driven marketing organisations. These changes have transformed how we work as marketers, who we work with and what we work on.

What do you mean the X marketer? What's that?
The "XMarketer" is a term we use to refer to marketing leaders who drive change in the experience economy. They lead teams which exhibit leading behaviours and build in them selves the skills the experience marketer needs in the 21st century.

What are the skills? Can we break them down?
The six characteristics of market leaders, teams who deliver CX (Customer Experience) as market leaders are:

• Continuous Improvement (Kaizen)
• Collaborative
• Journey Focused
• Content Creators
• Technology Investors
• Purpose Driven

In individuals, the skills (competency & capability) of the X Marketer are found across the following pillars:

• Brand
• CX
• Content
• Data Analytics
• MarTech (Marketing Technology)
• Leadership Development
• Performance Management

What can an SME Leader do today?
1/ If you lead a team, use tools like - 'T-Shaped' Employee structures to define how a role creates value
2/ If you're a marketing leader, use this skills matrix to frame your learning and growth.

Why another podcast on sales? Surely out of the 500 million podcasts humanity has covered all there is on sales right?

Well no.... here's the problem:

Research tells us the average sales teams look like this:

57% of reps miss targets
66% have no intelligent forecasting
85% have no data on propensity to purchase

The problem is massive in small to medium enterprise, sales people are often thrown into the deep end with any methodology of play books.

Often sales people are either left to their own devices or worse they ignore the implemented sales playbooks thinking 'i know best' - which only results in underperformance.

What is a sales playbook?
A methodology + technology that is personalised to your people and business. It is a playbook that all in the business can understand, use and execute together in synchronicity.

Let's get practice - the three methodologies we cover in the podcast are below.

Note - we believe a methodology should be memorable and if a rep can remember it, they can do it. If they can't or don't learn it, then they clearly won't be using the methodology.

Three examples that I think can be really useful for SMEs:

1/ Spin Selling
A great book by Neil Rackham, go get it rom iTunes or Amazon.
SPIN is an acronym for the four types of questions salespeople should ask their clients:
Situation, Problem, Implication, and Need-Payoff.
These questions help reps identify pain points and challenges and use their own creativity around these topics to explore and build rapport with the customer.

2/ 6 Steps to Sales (Or any agreed outcome via a meeting)

1. Agenda: Global & Specific
2. Position: Check In
3. Fact Find: Identify Anchors / Problems
4. Presentation: Solutions to Anchors, Specifics
5. Summary: Services, Fees, Actions
6. Open: Confirm steps, agreement & alignment

3/ MEDDIC

During the sales process catalogue information against these 6 criteria

Metrics: What economic metrics tell us we've achieved success?
Economic buyer: Who holds the signature to sign off?
Decision process: How will this purchase be made? What are the mutually agreed steps or the steps the purchase needs to follow?
Decision criteria: What are the specific criteria the decision will be made against (both formal and informal)?
Identify pain: What pain in the organisation is causing this purchase?
Champion: Who is selling on your behalf when you are not there?

How can a business leader apply this?

• Find out what your teams are currently doing, see what works, what doesn't.
• Ask different team members what the sales process is, see what aligns.
• Build your own! Take the best of many methodologies and apply to your own situation.

Talk to us! Visit www.blirt.com.au

In this episode, the Blirt team break down how to create customer experience that grows your business

Want to create the business of tomorrow, today? Contact us today!

https://www.blirt.com.au

In this episode, the Blirt team discuss what the customer experience really is, and why you need to know about it.

Want to create the business of tomorrow, today? Contact us today!

https://www.blirt.com.au