Causal Modeling & Validation
What is the correlation between the desired processes and activities executed and the results achieved?
What processes and activities yield the highest return?
What territories and sales reps are most productive? Why?
Research clearly indicates the extensive use of causal modeling and validation makes a significant difference in the results achieved. In a survey of 157 companies, only 23% consistently built models to determine the cause-and-effect relationships between strategic processes and activities and financial outcomes. However, firms using causal models and validation techniques had 2.95% higher return on assets and 5.14% higher return on equity*.
Young & Associates takes the guesswork out of evaluating the performance of your sales organization. First, the Performance Indicators are determined based upon the sales processes and activities that are critical to the success of the sales organizations. Next, these Performance Indicators are measured down to the rep level and correlated with the sale results achieved. This analysis keeps the sales force focused on processes and activities that positively impact sales results.
*Coming up Short on Nonfinancial Performance Measurement, by Christopher D. Ittner and David F. Larcker, Harvard Business Review, November 2003.