Leading Indicators for Your Sales Team
Many companies today keep up with their KPIs and strategic objectives with a combination of leading and lagging indicators. Research shows that while most businesses understand the importance of both types of metrics, in practice, their KPIs tend to lag (pun intended).
The reason why is simple: lagging indicators are easier to set and easier to measure than their often-ignored cousin.
Lagging indicators are descriptive, and tell you if you have achieved a goal in the past- metrics like total sales volume, average sale cycle, and total pipeline value are some good examples.
Leading indicators are predictive, and tell you how likely you are to achieve a goal- and they can be much harder to set and keep up with.
If you feel like your team isn't always hitting its KPI targets, then it's time to take another look at your metrics. Set a combination of both leading and lagging indicators in order to maximize insight and minimize confusion. To help you started with your leading indicators, here are a few examples:
Learn more about how to move the needle with leading and lagging indicators in our new eBook!