Presentation on theme: "BD Finance Training. Table of Contents: The BD Bible Stages of working with the Bible Your KPIs Napoleon Tools Cash Flow The Next Step Dream."— Presentation transcript:
Table of Contents: The BD Bible Stages of working with the Bible Your KPIs Napoleon Tools Cash Flow The Next Step Dream Dare Do Share
Why? – Increase your financial knowledge and way of thinking – Tool when communicating with the MD – Will help you control your business and simplify forecasting the rest of the quarter – Will show you where actions are needed – Will prepare you for MD level When? – The file should be used on a daily basis – At least once a week discuss with MD How? – Fill out the information for each campaign your team is working on – Double check and adjust dates – Keep track of your PM efficiency in the Staff tab – Fill out the Team KPIs once a week to keep track of your Average Sales per Week and per PM – This is YOUR file. Feel free to try out different strategies by building different scenarios. But always keep a Master file. Let the FM or AC know if you have any suggestions for improvement. Dream Dare Do Share The BD Bible
The Different Stages Phase 1 – Use the bible to keep track of your team and what’s happening – New BD (1 st quarter) – Not really using the KPIs – Usually very high sales deviation – Not updated more than once a week Phase 2 – Use the bible as a road map – More experienced BDs – Clearly shows the strategy for the quarter, and is realistic – Knows the stats and use them to analyze the current quarter – Uses the file to build the new quarter Dream Dare Do Share
EBIT - The overall target is always to build profitability Incremental margin % - Growth is only interesting if it adds to profits Revenue growth % - Given what is said above, growing top line is of course still essential for developing our business Gross profit - Without a healthy gross profit it is very unlikely your EBIT will be strong Dream Dare Do Share KPIs Targets
Topline – Revenue/Campaign – M2/Campaign – Number of PMs – PME – Revenue/PM – M2/PM Product costs – Production costs/Campaign – P&D/Campaign Staff costs – Staff cost/revenue Daily: Prospects, Offers, Offer Volume, Deals, Closing rates, Hit rates, Discounts Dream Dare Do Share KPIs The KPIs
Questions you should ask: With the estimated revenue, what are the weekly sales needed for the PM? – Does this match what the PM normally does, or you feel they can do with your help? – What has the offer volume and closing % been for this PM? – What did this title do historically? What is the weekly sales needed for the team? – What is the deviation vs needed sales and the historical weekly sales from your team? – If the sales deviation is over 100% what is the explanation? Exercise: What are some of the reason the sales deviation would be over 100%? If you don’t have an explanation, what can you do to secure the M2? Exercise: List some actions you would consider KPI Management Dream Dare Do Share As a PM you have to know your KPIs. As a BD you have to know BOTH your PMs KPIs, and your team KPIs.
Answer: If the sales deviation is over 100% what is the explanation? – More PMs on team? – Offer volume has been stronger? – Closing % has increased? – You plan to do support sales or pre-sales? If you don’t have an explanation, what can you do? – Push the last sales date? – Can you do a support sale? – Can you combine any titles? – Is the revenue too ambitious? – Do you have time to recruit someone new that can get an additional campaign out? KPI Management Dream Dare Do Share As a PM you have to know your KPIs. As a BD you have to know BOTH your PMs KPIs, and your team KPIs.
How can you track the KPIs for your PMs and your team? Napoleon! Enter the Weekly sales from last week in the BD bible every Monday Enter the Sales and Offer volume in a “Team KPI” tab in your bible every Monday. This can also provide you with Closing % per PM KPI Management Dream Dare Do Share
I would suggest each region creates their own exercise since the bibles are not identical Phase 1 Exercise: – Create a bible and enter some common mistakes new BDs do – see if they can spot them. Go over together. – Set up scenarios for the PM 1 PM leaves 1 campaign gets killed How do you get the M2 back on target? Discuss together Phase 2 Exercise: – Create a bible and ask the BD to analyze based on: Where are the risks? Are the Weekly Sales realistic? How do you get the sales deviation down? What strategy would you have for the rest of the quarter to reach the target M2? Dream Dare Do Share BD Bible Exercise
Dashboard – IT representative can go over or/and AC can Support PM Stats – PM Evaluation and Performance Tracking BD Team Viewer Napoleon Tools
Dream Dare Do Share Cash Flow Check the IO as soon as it arrives! Is the IO signed? Is the contact information filled out and correct? Is the client a Mediabuyer? What are the credit days? The normal? If not this should be stated Do we have the correct input in Napoleon? Has the IO been uploaded in Napoleon? IO Check Make sure that the billing template is created and filled out as we go along The PM creates the template but you need to check that it is correct Check the billing template against all IOs Billing template Make sure the PM does the follow up call when the paper has been published Make sure any issues with the publication are brought to your attention When needed you will step in and assist in bringing the money in faster. Usually the FM/AC or the MD will let you know when your assistance is needed Follow up This could be too NA specific – might need to be updated
The Next step for most BDs is the MD role. What new finance task does this role entail? – Estimate file – the MDs work with an estimate file for their office. Goes all the way down to EBIT. – Create Budgets (FY) and Forecast (6 months) – DSO (cash flow KPI) – Overhead costs – Staff Costs Dream Dare Do Share The Next Step