Recognizing Business Indicators

In automotive, everyone stares at the same KPIs. Units. Gross. CSI. Nothing wrong with that, but KPIs only tell you where you landed. They don’t tell you how much you left on the table. Jay Abraham calls them OPIs.  Overlooked Performance Indicators. The tiny leverage points inside a dealership that almost no one pays attention to. And he’s right. Because when we started examining our own operation through that lens, here’s what we saw: Most of the biggest opportunities weren’t new initiatives. They were already happening… just not maximised. Things like: - How many service customers get an equity scan, every single day. - How quickly calls are returned. - How many unsold showroom ups get re-engaged the same day. - How many customers are actually aware they can leave service in a new car with a lower payment. - How many of yesterday’s RO customers got a follow-up. These aren’t budget items. They’re behaviour items. And when you improve several of these by just 10%? It’s not 10% growth. It compounds. Jay calls it multiplicative, and he’s not exaggerating. We saw it firsthand. No new building. No new staff. No miracle inventory. Just a team willing to question everything, tighten every gap, and squeeze every ounce of value out of the opportunities we already had. The result? One of the best months we’ve ever had. Because we got better at the invisible work that drives the visible numbers. That’s the real lesson here: The dealership doesn’t transform because of a single big move. It transforms because the team stops walking past the small ones. If you’re running a dealership, here’s a question worth asking: What are the OPIs in your business and who’s watching them?

Why Your Sales Metrics Might Be Missing the Mark Too many sales leaders focus solely on revenue numbers - but that's like driving by looking in the rear-view mirror! As a sales leadership team coach, I've learned the real crux lies in tracking leading indicators. Here are the metrics that predict sales success: ✅ Quality Customer Visits * Not just any meetings, but targeted visits with qualified prospects * Track who your team is meeting (decision-makers vs. gatekeepers) 🎯 Customer Intelligence * Deep understanding of prospect needs * Clear identification of desired outcomes * Alignment between customer goals and your solutions Revenue is the result, not the strategy. By focusing on these leading indicators, you can course-correct before it impacts your bottom line. 💡 Quick Tip: Create a simple scorecard tracking these metrics for your team. Review weekly, not just monthly. What leading indicators do you track in your sales organization? Share your insights below! 👇 #SalesLeadership #B2BSales #SalesMetrics #LeadingIndicators DM me for a free 1-to-1 session on how you can develop great sales teams!

𝗔𝗿𝗲 𝗬𝗼𝘂 𝗠𝗶𝘀𝘀𝗶𝗻𝗴 𝘁𝗵𝗲 𝗕𝗶𝗴𝗴𝗲𝗿 𝗣𝗶𝗰𝘁𝘂𝗿𝗲? Many sales and marketing leaders focus on metrics that matter to their individual teams. While tracking website traffic, lead volume, or pipeline velocity is common, have you stepped back to see how these numbers fit into your overall revenue engine? Below is a snapshot of the key metrics each function typically tracks—and the revenue engine metrics you should monitor together for a complete picture: 𝗙𝗼𝗿 𝗦𝗮𝗹𝗲𝘀 𝗟𝗲𝗮𝗱𝗲𝗿𝘀:  • 𝗣𝗶𝗽𝗲𝗹𝗶𝗻𝗲 𝗩𝗲𝗹𝗼𝗰𝗶𝘁𝘆: How quickly deals move through your funnel. Faster velocity means efficient conversion.   • 𝗖𝗼𝗻𝘃𝗲𝗿𝘀𝗶𝗼𝗻 𝗥𝗮𝘁𝗲𝘀: The percentage of leads that turn into opportunities and closed deals.   • 𝗔𝘃𝗲𝗿𝗮𝗴𝗲 𝗗𝗲𝗮𝗹 𝗦𝗶𝘇𝗲 & 𝗪𝗶𝗻 𝗥𝗮𝘁𝗲𝘀: Indicators of deal quality and sales effectiveness. 𝗙𝗼𝗿 𝗠𝗮𝗿𝗸𝗲𝘁𝗶𝗻𝗴 𝗟𝗲𝗮𝗱𝗲𝗿𝘀:  • 𝗪𝗲𝗯𝘀𝗶𝘁𝗲 𝗧𝗿𝗮𝗳𝗳𝗶𝗰 & 𝗦𝗼𝗰𝗶𝗮𝗹 𝗘𝗻𝗴𝗮𝗴𝗲𝗺𝗲𝗻𝘁: Although often seen as vanity metrics, they offer a glimpse of initial interest.   • 𝗟𝗲𝗮𝗱 𝗩𝗼𝗹𝘂𝗺𝗲 & 𝗤𝘂𝗮𝗹𝗶𝘁𝘆: Focus on not just the number, but the qualification of leads (e.g., MQLs).   • 𝗟𝗲𝗮𝗱 𝗩𝗲𝗹𝗼𝗰𝗶𝘁𝘆 𝗥𝗮𝘁𝗲 (𝗟𝗩𝗥): The growth rate of qualified leads, hinting at future sales potential.   • 𝗔𝘁𝘁𝗿𝗶𝗯𝘂𝘁𝗶𝗼𝗻 & 𝗥𝗢𝗜: Which campaigns are truly driving valuable leads and revenue. 𝗙𝗼𝗿 𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗦𝘂𝗰𝗰𝗲𝘀𝘀 𝗟𝗲𝗮𝗱𝗲𝗿𝘀:  • 𝗥𝗲𝘁𝗲𝗻𝘁𝗶𝗼𝗻 & 𝗖𝗵𝘂𝗿𝗻 𝗥𝗮𝘁𝗲𝘀: High retention and low churn show that your team is building lasting, profitable relationships.   • 𝗨𝗽𝘀𝗲𝗹𝗹 & 𝗖𝗿𝗼𝘀𝘀-𝗦𝗲𝗹𝗹 𝗥𝗮𝘁𝗲𝘀: Measure success in generating additional revenue from existing customers.   • 𝗡𝗣𝗦 & 𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗛𝗲𝗮𝗹𝘁𝗵 𝗦𝗰𝗼𝗿𝗲𝘀: Gauge customer satisfaction and loyalty. 𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗘𝗻𝗴𝗶𝗻𝗲 𝗠𝗲𝘁𝗿𝗶𝗰𝘀 𝘁𝗼 𝗠𝗼𝗻𝗶𝘁𝗼𝗿 𝗧𝗼𝗴𝗲𝘁𝗵𝗲𝗿:  • 𝗜𝗻𝘁𝗲𝗴𝗿𝗮𝘁𝗲𝗱 𝗙𝘂𝗻𝗻𝗲𝗹 𝗖𝗼𝗻𝘃𝗲𝗿𝘀𝗶𝗼𝗻: Track the seamless movement from MQL to SQL to closed deal.   • 𝗖𝗔𝗖 𝘃𝘀. 𝗖𝗟𝗩: Compare the cost of acquiring customers with the revenue they generate over their lifetime.   • 𝗨𝗻𝗶𝗳𝗶𝗲𝗱 𝗗𝗮𝘁𝗮 𝗘𝗳𝗳𝗲𝗰𝘁𝗶𝘃𝗲𝗻𝗲𝘀𝘀: Assess how well customer data is shared and used across teams for smarter targeting and personalization. Shifting your focus from isolated metrics to these holistic KPIs gives you clarity on where your revenue engine excels—and where it needs improvement. Together, these indicators provide a comprehensive view of how effectively your organization drives sustainable revenue growth. Are you ready to break down silos and embrace a holistic view of your performance metrics -  to unlock the full potential of your revenue engine?

Key Risk Indicators (KRIs) are measurable factors that help organizations identify and monitor potential risks that could impact their objectives. KRIs provide early warning signs and assist in risk management and decision-making processes. While the specific KRIs vary depending on the industry and organization, some common examples across different areas: 1. Financial KRIs: - Liquidity risk: Cash flow volatility, current ratio, quick ratio. - Credit risk: Default rate, debt-to-equity ratio, credit rating changes. - Market risk: Volatility index (VIX), beta, value-at-risk (VaR). 2. Operational KRIs: - Health and safety incidents: Accident rate, lost-time injuries. - IT systems reliability: System uptime, response time, number of security breaches. - Process efficiency: Cycle time, error rate, customer complaints. 3. Compliance KRIs: - Regulatory violations: Number of non-compliance incidents, fines and penalties. - Policy adherence: Employee training completion rates, policy violation incidents. - Data privacy breaches: Number of data breaches, personal data leakage incidents. 4. Reputational KRIs: - Media mentions: Positive or negative media coverage. - Customer satisfaction: Net Promoter Score (NPS), customer complaints. - Social media sentiment: Analysis of social media mentions and sentiment. 5. Strategic KRIs: - Market share: Percentage of market share held. - Competitive landscape: New entrants, competitive pricing changes. - Technological disruption: Impact of emerging technologies on business models. These examples provide a starting point, but it's important to tailor KRIs to the specific risks and objectives of each organization. Organizations should regularly review and update their KRIs based on changes in their business environment and risk landscape.

Key risk indicators simplified ————- Key Risk Indicators are the “smoke signals” of your organization. Before a fire breaks out, smoke shows up. KRIs are those early warnings that tell you risk is rising, systems are weakening, and trouble is near. If you’re waiting for the fire, you’ve already lost. 1. KRIs are not KPIs. KPIs measure success. KRIs measure threats to that success. If your KPI is “Revenue Growth,” your KRI could be “% Revenue from One Customer.” Too much reliance = future risk. 2. KRIs should be forward-looking. If you measure what happened last year, that’s postmortem work. A smart KRI alerts you before risk materializes. Example: If staff turnover is creeping up in your IT department, your cybersecurity readiness is at risk — even before a breach. 3. Simpler is stronger. Avoid fancy metrics no one understands. Ask: a) What could kill us? b) How would we know it’s coming? c) What number would show the threat rising? That’s your KRI. 4. KRIs live in departments. Not in the Risk Office alone. Procurement knows when a vendor is about to default. HR sees when a toxic manager is bleeding morale. Finance senses when liquidity is drying up. Don’t centralize risk intelligence. Decentralize interpretation. Make KRIs everyone’s business. 5. Three signs of a good KRI a) Quantifiable – must be trackable. b) Thresholded – must show what “normal,” “watch,” and “danger” looks like. c) Actionable – if it crosses the line, someone must move. Examples of practical KRIs: 1. Cyber risk —% of systems with unpatched vulnerabilities 2. Liquidity risk —Cash ratio below 1.2 3. Operational risk—% of critical processes without backups 4. Credit risk —% of loan book in arrears over 30 days 5. Fraud risk —# of overrides without secondary approvals Don’t fall in love with spreadsheets and metrics. Fall in love with foresight. A good KRI doesn’t just measure — it prevents the funeral. I remain, Mr Strategy.

Here 's a comprehensive overview of supplier risks, categorized for clarity and evaluated based on specific criteria. Think of each category as: 1. 𝙋𝙖𝙨𝙩 𝘽𝙪𝙨𝙞𝙣𝙚𝙨𝙨 𝙍𝙞𝙨𝙠: 𝙎𝙃𝘼𝘿𝙊𝙒 👤 Like a shadow, a supplier's past performance can linger and impact future potential. Previous assessments and price fluctuations are key indicators in this category. 𝟮. 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗥𝗶𝘀𝗸: 𝗧𝗜𝗚𝗛𝗧𝗥𝗢𝗣𝗘 𝗪𝗔𝗟𝗞𝗘𝗥 🤸 Suppliers walk a financial tightrope. Their stability, reliance on subcontractors, and production capabilities determine their balance and chances of success. 𝟯. 𝗠𝗮𝗻𝘂𝗳𝗮𝗰𝘁𝘂𝗿𝗶𝗻𝗴 𝗥𝗶𝘀𝗸: 𝗖𝗛𝗔𝗠𝗘𝗟𝗘𝗢𝗡 🦎 Manufacturing requires adaptability. Like a chameleon, suppliers need flexibility, technological prowess, and the ability to maintain low defect rates to thrive. 𝟰. 𝗤𝘂𝗮𝗹𝗶𝘁𝘆 𝗥𝗶𝘀𝗸: 𝗛𝗢𝗨𝗦𝗘 𝗢𝗙 𝗖𝗔𝗥𝗗𝗦 🏠 Quality is fragile. A supplier's efforts in quality management and their ability to deliver on time are crucial to maintain stability. 𝟱. 𝗟𝗼𝗴𝗶𝘀𝘁𝗶𝗰𝘀 𝗥𝗶𝘀𝗸: 𝗥𝗜𝗩𝗘𝗥 💧 Logistics should flow smoothly, like a river. Unpredictable delivery times, poor packaging, and shipping quality create disruptive rapids in the supply chain. 𝟲. 𝗥𝗲𝗹𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗥𝗶𝘀𝗸: 𝗕𝗥𝗜𝗗𝗚𝗘 🌉 A strong relationship is a bridge between you and your supplier. Open communication, reliability, and effective problem-solving build a strong foundation. 𝟳. 𝗦𝗲𝗿𝘃𝗶𝗰𝗲 𝗥𝗶𝘀𝗸: 𝗦𝗔𝗙𝗘𝗧𝗬 𝗡𝗘𝗧 🦺 Good service acts as a safety net after a purchase. A supplier's warranty policies and after-sales service provide a sense of security. 𝟴. 𝗖𝗮𝘁𝗮𝘀𝘁𝗿𝗼𝗽𝗵𝗶𝗰 𝗥𝗶𝘀𝗸: 𝗦𝗧𝗢𝗥𝗠 ⛈️ Catastrophic events are like sudden storms. Disaster recovery plans are the shelters that help suppliers weather these unforeseen events. Ultimately, effective supplier risk management is about building resilience and ensuring a stable, reliable supply chain. When we idenity and quantify these potential risks and implement proactive mitigation strategies, we are in a position to navigate them and reach shores of safety.

Automotive Retail “Push” Model, places Dealers at enormous risk. The forced implementation of aggressive, opaque, new vehicle target-setting, heavily influences dealer network viability.  Sales targets based on internal commitments rather than actual retail market demand, place dealer networks at risk.  Detailed economic and market data is readily available from independent sources like Econometrix and Lightstone Automotive.  If the underlying methodology behind calculating individual dealer  targets is not shared, a lack of transparency undermines trust. Dealers facing aggressive targets are forced to make a difficult choice: chase incentives at great cost, or reject unrealistic targets and risk penalties—including breach of agreement and termination. To achieve inflated targets, dealers frequently offer exorbitant discounts, inflate trade-in values, and carry high levels of inventory, with substantial interest costs. These practices increase exposure to financial losses, particularly when incentives tied to target achievement do not fully compensate for the risks taken. Dealers who elect not to pursue targets are often met with disapproval, and failure to achieve targets is treated as contractual non-compliance, endorsed with threats of termination. “Preloading” is the process by which dealers are encouraged to record unsold vehicles as sales in order to meet month-end targets. These vehicles are technically unsold and unregistered by the dealer, yet they are treated as sold for reporting purposes. This has multiple consequences: Unregistered, “preloaded” vehicles are heavily discounted and invariably sold at significant losses. Inflated new vehicle targets = more preloads = higher losses. Low new vehicle targets = zero preloads = higher margin per unit sold. Overall dealer profitability is a direct function of an opaque new vehicle sales target over which the dealer has no control. Preferred dealers are offered undisclosed incentives. These “special arrangements” are typically concealed. This distorts competition and pricing integrity, favouring some dealers over others, destabilising the broader retail network. In extreme cases, cumulative Annual and Model Range sales targets are implemented, where quarterly incentive clawbacks are applied, including when individual model range targets are not met.  Incentive reversals are tied to wide ranging compliance based dealer standards. Impossible for the dealer to exit as the year progresses, or face financial ruin. It has occurred that vehicle specifications are applied unilaterally and vehicles automatically invoice to dealers, without their permission. The cars you did not order just keep coming....... Collaboration over coercion is paramount - to build trust.

A dealer shared something eye-opening with me on Friday He told me 'We doubled our leads, but our close rate dropped by 30%. Adding more BDC staff actually made us less efficient." This is the hidden scaling problem in dealerships that nobody talks about. Here's the uncomfortable truth: Human operations don't scale linearly. Adding more people often creates: • More communication gaps • Inconsistent customer experiences • Increased training burden • Higher chance of missed opportunities • Growing operational complexity • More management overhead Think about your typical sales process: At 10 leads per day, a skilled team member can provide personal attention to each one. At 20 leads, they're rushing through calls. At 50 leads, they're missing callbacks. At 100 leads, they're drowning in follow-ups. Adding more people isn't the answer. Each new hire: • Needs training • Requires management • Creates new communication channels • Increases process complexity • Adds inconsistency The solution? Intelligent automation of repetitive tasks so your team can focus on what humans do best: building relationships and closing deals. Your BDC team shouldn't be: • Manually looking up customer histories • Copying data between systems • Tracking follow-up schedules • Prioritizing leads by gut feel • Managing multiple disconnected tools These tasks can be automated, leaving your team free to have meaningful customer conversations. The future of dealership operations isn't about having the biggest team—it's about having the most efficient one. The question is: How much of your team's time is spent on tasks that could be automated? #QoreAI #DealershipOperations #OperationalEfficiency #Automotive #Leadership

Behind every great transformation story, there's a number that changes everything. Picture this: Two MediaMarkt stores, similar products, comparable locations. One generates 10.8 percentage points more sales per square meter. The difference? Transformation. This isn't theory – it's our reality at CECONOMY and MediaMarktSaturn. "How do you measure if transformation is working?" It's a question I hear frequently, and one that fuels my passion for what we're building. That's why I'm starting a small series called "Transformation in numbers" where over time I'll share some key metrics that show how our strategic initiatives are creating real value. TODAY’S SPOTLIGHT: Store Modernization Impact This number genuinely excites me: +10.8 percentage points increase in space productivity after store modernization in our financial quarter Q2, compared to the same time last year. Simply put: our modernized stores are generating significantly more sales per square meter compared to our traditional locations after a few months. We're also seeing a +3.5pp boost in visitor frequency. Customers are actively choosing our upgraded stores! And the payback period is really short. Why? Because we're not just renovating MediaMarktSaturn stores - we're reimagining the entire customer experience with four distinct store concepts, tailored to different customer needs: ✅ CORE STORES: Our proven mid-sized format delivering expert advice and full-service experience ✅ XPRESS STORES: Neighborhood convenience with smart product selection and digital integration ✅ SMART STORES: Compact city locations for quick, targeted tech shopping; convenient online pick-up points for Click&Collect ✅ LIGHTHOUSES: Flagship destinations offering immersive product experiences in major cities So, those space productivity numbers reflect something fundamental: better shopping environments drive customer behavior. When we invest in modernizing stores, customers visit more frequently, stay longer, and generate higher returns per square meter. This isn't about aesthetics, it's about growth and operational efficiency. With 64% of our stores already transformed, we're well on track to reach our goal of modernizing over 90% of our European stores by 2025/26. The transformation is working. The numbers prove it. Behind every metric is a customer with a better experience and sustainable value creation. Let's Go! What aspect of retail transformation resonates most with you? #MediaMarktSaturn #CECONOMY #transformation #strategy #ExperienceElectronics Dr. Kai-Ulrich Deissner Kathy Keppeln Sascha Mager Iris Pruefer Alexander T. Rauchut Michael Schuld Andy Wolfe Faruk Kocabaş Guido Monferrini Marcus Tengler

Most supply chains track vanity metrics while missing the numbers that actually matter: I've seen companies celebrate 99% on-time delivery... While hemorrhaging cash from expedited freight. Track 50 KPIs. Miss the 7 that predict disaster. Here's what you should never ignore: 1. Cash-to-Cash Cycle Time Not just how fast you move product. How fast you turn inventory into cash. I've watched companies with "great" turnover ratios go bankrupt because they couldn't collect fast enough. 2. Perfect Order Rate Not just on-time. Not just complete. On-time + Complete + Damage-free + Accurate documentation. One company I know tracked 98% on-time delivery. Their perfect order rate? 67%. That's one-third of customers with problems. 3. Supplier Quality Defect Rate Before it hits your warehouse. Most companies catch defects at receiving. Too late. Track it at the source. One bad supplier can poison your entire operation. 4. Total Cost to Serve Not just product cost. Not just shipping. Every touch, every return, every customer service call. The customer you think is profitable might be bleeding you dry. 5. Inventory Velocity by SKU Not overall turns. By. Individual. SKU. Your fast movers hide the dead stock. I've found millions in slow-moving inventory masked by aggregate metrics. 6. Supply Chain Risk Score Single-source suppliers. Geographic concentration. Financial health. Nobody tracks this until disaster strikes. Then it's the only metric that matters. 7. Employee Turnover in Critical Roles Your planner quits. Institutional knowledge walks out. Track turnover in positions that can cripple operations. The pattern never changes: Companies obsess over operational metrics. Ignore financial health metrics. Celebrate efficiency metrics. Miss risk metrics entirely. Until something breaks. The metrics that matter aren't always the pretty ones. They're the ones that keep you in business. Which critical metric is your supply chain ignoring? ♻️ Repost if you're ready to track what matters ➡️ Follow Kerim Kfuri for philosophy & leadership insights