Establishing Sales Targets Business Process Questions

Highlighted
Master Anaplanner/Community Boss

Re: Establishing Sales Targets Business Process Questions

Hi @ChrisMullen 

I've read through the other questions others have asked and I just have one additional one.

The basis for next year's projected sales targets is last year (LY) sales.

What do we need to consider about LY sales activities? Do we need to take into account a country or account's last year's growth rate? This would account for partial year sales from a Country or Account that may have been large enough to skew the result. Or, will we take care of that during the override process by the regional sales executives?


Jared Dolich
Highlighted
Community Boss

Re: Establishing Sales Targets Business Process Questions

@JaredDolich 

 

You need to account for how much of a countries product family sales that an account has previously accounted for.  You must also consider the seasonality of it.  You do not need to consider their previous year's growth rate. 

Highlighted
Contributor

Re: Establishing Sales Targets Business Process Questions

Hi, I've just started the course and have just been through the process for setting sales targets.

 

In the Account review process, "Regional Sales Executives can choose to override an Initial Account Sales Target for one or more of their country's accounts".

"When one or more accounts' Initial Sales Target is overridden, the other accounts within the same country will also have adjusted Initial Account Sales Targets in order to maintain the same total Country Sales Target."

 

What should happen if all of the accounts are overridden? 

Highlighted
Community Boss

Re: Establishing Sales Targets Business Process Questions

If should take all of the overridden values. 

Highlighted
Certified Master Anaplanner

Re: Establishing Sales Targets Business Process Questions

Hi @ChrisMullen 

 

I am not clear with the level of override and hold should be done.  User Story 1.7: "As a Regional Sales Executive, during my review of accounts, I need the ability to manually enter a different value to override an individual account’s total Initial Account Sales Target for the year"

 

I understand Initial Account Sales Target is also at Product and Quarter level. Is the override or hold also done at product and quarter level?

 

Regards,

Andre

Highlighted
Valued Contributor

Re: Establishing Sales Targets Business Process Questions

Hello @andre.lie 

 

At Unicorn Candy, the Initial Target is determined based on multiple factors including last year’s sales, %increase or stretch goals for the country amongst other things.

 

However, the regional sales executive should have the ability to adjust/override these initial targets (based on qualitative factors)

So if the initial target automatically calculated  is X, the regional sales executive should be able to change it to Y.

this is what is meant by the snippet user story you provided. 
More requirements regarding the Hold and Override process will be explained further in other user stories. 

The hold and override applies to the Account annual sales target. After finalizing these figures on an account level we like to break it down to the product level, quarterly using the same seasonality. 

Einas
"Give a Man a Fish, and You Feed Him for a Day. Teach a Man To Fish, and You Feed Him for a Lifetime"
Highlighted
Contributor

Re: Establishing Sales Targets Business Process Questions

Hi,

 

1. Need more clarity on how does one determine the overall growth potential for individual account segmentation? 

2. There is a mention of "seasonality assumption" and "product pattern sales" as factors to be considered while reviewing the Account targets. How does one differentiate between the two since both of them sound similar?

 

Thanks,

Ajinkya

Highlighted
Certified Master Anaplanner

Re: Establishing Sales Targets Business Process Questions

Hi @Ajinkya ,

 

Regarding your questions:

1. Are you asking about the Final Sales Targets calculation for the Accounts or about the Country segmentation growth? If it is about the latter, I recommend having a look at 3. USER STORY 1.2. There it is written about a "Stretch goal".

2. Both of them refer to a similar concept, the variation of sales based on time and product. In 5. USER STORY 1.4 are all details explaining the concept. Go through 5.1 / 5.2 / 5.3 to better understand the requirements.

 

Hope this helps! Good luck with the build!

 

Kind regards,

Costa

Highlighted
Valued Contributor

Re: Establishing Sales Targets Business Process Questions

Greeting Mr. Unicorn Candy Company Executive @ChrisMullen 

After reviewing the data we collected, I do have a couple of questions that I hope you will be able to help me.

  1. We discussed the Regional Sales Executive role along with its user stories. Unicorn Candy operates currently in 3 regions, America, Europe, and Asia Pacific. Will a Regional Sales Executive be responsible for all countries within a region (for example  US, Canada, Mexico and Brazil) or countries within a region could be divided between more than one Regional Sales Executive?

  2. In the wireframe, we created for the Target Review Dashboard, you indicated that you would like to see:
    1. PY Actual Sales Revenue
    2. Amount Increased
    3. Initial Country Sales Target
      image.png
      However, it is my understanding from the user stories and the process review session that the stretch target (Amount Increased) is applied to the FP&A Forecast and not the PY Actuals to arrive at the Initial Country Sales Target. Could you please clarify or correct my understanding if wrong?

Much Appreciated.

 

Einas
"Give a Man a Fish, and You Feed Him for a Day. Teach a Man To Fish, and You Feed Him for a Lifetime"
Highlighted
Community Boss

Re: Establishing Sales Targets Business Process Questions

A Regional Sales Executive be responsible for all countries within their region.

 

That is correct.  The stretch goal is applied to the Baseline Financial Forecast.  This is different from the Previous Years Actual. 

 

With the amount increased line item, this is the amount increased from the stretch goal not the amount difference from the last year.  So If I put that I want a 5% increase to the Baseline Financial Forecast, I want to be able to see how much that is in dollars.  Its just the difference between the Initial Country Sales Target and Baseline Financial Forecast.