So here is one from real life actually that got shot down.
One of my targets, in my official capacity, for next year is to help Sales increase revenue (somehow it seems that's always a target). So to achieve that here is what I proposed.
Cut the target and budget meetings down from once a month to once every three months.
See most of our sales managers know at the beginning of a month whether they will achieve their targets. So when they know it's gonna be negative, they go on defense. cutting costs to reach margin targets, squeeze old clients for more and go on sales driven binges by offering everything at lower prices. This then only wrecks havoc on the revenue side, because if you have a bad month you go to the same clients a s always and dump the price even more. It's a cycle.
But what if you knew you had two months to make up you current negative? This would allow you to use a month, that is "lost" anyways to go on offence and take chances with new business. It would free up sales manager to be more proactive and the trickle down would be positive instead of fearfull.
Yes this is all just a theory, but never put to practice it remains that.
Back to the drawingboard.
donderdag 21 augustus 2008
what if...we changed the budget
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