Return on Investment Analysis for the Sales Indicator

"Employee Performance Solutions"

Solutions

Job Matching

Integrity / Work Ethic

Management Development

Employee Management

Let's Assume:

A company has 10 sales people.
Each sales person earns $20,000 base wages annually.
According to the 80/20 rule, 2 of the sales people are responsible for 80% of the total sales. The other 8 sales people produce only 20% of the sales.

Let's be conservative and say it would take 6 top sales people to perform as well as the current 10 sales people.

Saving the base wages of 4 people at $20,000 each annually, would save the organization $80,000 per year.

The investment of 24 sales indicators, after benchmarking the position, to pick the top performing 6 people would cost only $1,416.

Return On Investment (ROI) = $80,000/$1,416 = 5,649% !!!

That's over 50 times return on the investment EACH YEAR!

This is why so many organizations are using the Sales Indicator.

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