Improving Sales Alignment for Consulting Revenues
Situation
An information services provider's consulting practice needed to return to growth following restructurings that reduced morale and headcount, with nearly 50% sales force turnover. Sales metrics focused on annual signings led to concentration on larger TCV opportunities, causing heavy discounting, prolonged cycles, and margin compression. A $1M December contract might contribute less in-year revenue than a $25K June contract due to milestone-based recognition.
Project
JCY Advisors developed a scenario-based full-year monthly forecast model showing expected revenue and minimum sales pipeline requirements. The model analyzed historical sales and delivery metrics, established conversion rates and cycle times, incorporated Finance guidance with buffer, estimated project backlog and pipeline carryover, and evaluated historical productivity metrics to confirm achievability.
Results
The forecast model enabled systematic accountability and performance optimization:
Monthly accountability established for pipeline generation and closing sufficient to drive revenue targets
Identified and quantified significant pipeline gap early in Q1
Enabled sector-specific campaigns returning business to growth trajectory
Quantitative identification of over/underperforming sellers and products
Valuable insights delivered to Sales, Consulting, Marketing, and Product functions