B2B Sales Performance Evaluation – Impact of Strategy Implementation on Metrics Alignment
Bakke, Satu Heikkinen (2024)
2024
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2024050910432
https://urn.fi/URN:NBN:fi:amk-2024050910432
Tiivistelmä
Strategy implementation and salespeople’s performance are critical topics in many companies. While companies aim to achieve the optimal results from their sales teams, a unified approach to assessing salespeople’s performance is lacking. The purpose of this thesis was to evaluate and create sales performance metrics for the case company based on the newly implemented strategy.
The case company is a European subsidiary of a large international production company, whose main business units are in the United States and Europe. The development work aimed to address two main objectives. Firstly, the target was to examine whether the existing sales metrics were in alignment with the newly implemented corporate strategy or if there was a necessity for the introduction of new metrics. The second objective was to explore the possibility of linking salespeople’s motivational factors with the performance metrics to optimise their overall effectiveness.
The theoretical framework was based on the concepts of strategy, features of salespeople and their role, and evaluation of strategic outcomes. Grounded in the theoretical framework, a strategic sales metrics framework was introduced. The purpose of the framework was to guide the creation of business to business (B2B) sales metrics.
The study was conducted by using a qualitative research method and was based on the action research approach. Based on the literature review, insights from documents analysis, and indepth expert interviews, the development needs were uncovered, and three major contributions were introduced. As an outcome of this development work, a Strategic sales metrics framework was introduced, existing metrics were validated, and novel metrics proposed. Additionally, an unexpected finding emerged, highlighting the significance of knowledge sharing as an important element in the B2B sales team’s metrics process. This finding underscored the need for a reporting structure that would increase the overall comprehension of sales metrics within the organisation. This finding lead to the further outcome, the Insight Analyzer model, to provide structured insights into the metrics.
It is suggested that there are several possibilities for further studies. One potential area of research could involve establishing a metrics framework for other operational departments. Additionally, it would be beneficial to study whether the sales metrics vary across different markets within the case company.
The case company is a European subsidiary of a large international production company, whose main business units are in the United States and Europe. The development work aimed to address two main objectives. Firstly, the target was to examine whether the existing sales metrics were in alignment with the newly implemented corporate strategy or if there was a necessity for the introduction of new metrics. The second objective was to explore the possibility of linking salespeople’s motivational factors with the performance metrics to optimise their overall effectiveness.
The theoretical framework was based on the concepts of strategy, features of salespeople and their role, and evaluation of strategic outcomes. Grounded in the theoretical framework, a strategic sales metrics framework was introduced. The purpose of the framework was to guide the creation of business to business (B2B) sales metrics.
The study was conducted by using a qualitative research method and was based on the action research approach. Based on the literature review, insights from documents analysis, and indepth expert interviews, the development needs were uncovered, and three major contributions were introduced. As an outcome of this development work, a Strategic sales metrics framework was introduced, existing metrics were validated, and novel metrics proposed. Additionally, an unexpected finding emerged, highlighting the significance of knowledge sharing as an important element in the B2B sales team’s metrics process. This finding underscored the need for a reporting structure that would increase the overall comprehension of sales metrics within the organisation. This finding lead to the further outcome, the Insight Analyzer model, to provide structured insights into the metrics.
It is suggested that there are several possibilities for further studies. One potential area of research could involve establishing a metrics framework for other operational departments. Additionally, it would be beneficial to study whether the sales metrics vary across different markets within the case company.