KPI for Measuring of Average % of Sales Revenue per Sales Person posted in category Sales

WinningKPI - Sales - KPI for Measuring of Average % of Sales Revenue per Sales Person posted in category Sales

This indicator is for measuring the average % of sales revenue delivered per sales person, taking into consideration revenue generated in the measurement period (e.g. monthly or quarterly).

More details:
This is a useful tool for companies to identify the productivity of its sales force.
However, the downfall of the KPI is that it only represents the average %, and cannot identify major differences in revenue between sales staff (e.g. one member delivering 10% of total revenue and another delivering 50% of total revenue). In order to address it, a desired KPI per sales person should be set, and then compared against the achievement of individual sales staff performance (e.g. from a sales team of 4, each individual to deliver 25% of total sales revenue).

Formula:
Total sales revenue/total number of sales staff x100

KPI Units: %

KPI Time Frame: update monthly or quarterly

Posted by Oana Boteanu | Help to protect community: Flag for moderation

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Here are comments:

For example, if a bar makes a monthly revenue of approximately $28 000 a month, and has 6 members of staff, the average revenue per member of staff is of $4600. The business owner can then use this figure to calculate average profit per staff.
If one member of staff costs the business around $1500 (salary + tax + food) the gross profit is around £3100.
This if very useful tool in situations where the business performance is low and members of staff may need to be laid off;
Oana Boteanu | + | September 6, 2012 at 8:08 am

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