Page 5 - Management Report Matrix Guide
P. 5
ABOUT THIS REPORT
The GrowthForce KPI Company Scorecard helps you figure out where to focus your time – The most important decision every person needs to make.
It shows your actual results against plan in a view that non-financial managers can understand. It shows actual monthly results side-by-side with the trends of your Trailing Twelve Months (TTM) of your topline revenue, bottom line Net Income and Gross Profit.
ACTIONS TO TAKE
» Look at the top right corner - Gross Revenue TTM trend line
» Then jump to the bottom right corner - Net Income TTM (or
EBITDA) trend
If revenue is trending downward, shift your focus to sales – Analyze the leading indicators from the sales pipeline report, activity metrics and sales efficiency ratios.
If Gross Profit Percentage is below plan – Look at the efficacy of your service operations. Then dig into Profit & Loss by Customer to see which clients are bringing your margins down.
If Gross Profit is okay but you don’t like the bottom line – Measure the ROI on your sales and marketing spend. Then analyze the overhead expenses to make sure each cost generates a good ROI.
Remember that Net Income TTM (bottom right) is the most important trend to watch. Success in business is not based on how much you earn, but how much you keep.
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