Track the Right Metrics

Pipeline metrics provide business intelligence information you need to ensure your business development team (and funnel) are doing all the right things. For example, your win rate has a major impact on how many opportunities you need to qualify, capture, and bid on to make your target booking numbers. You don’t need as many if your win rate is higher, and vice versa. Low win rate may lead you on a quest to figure out what fixes you need to make in your process, staff, resources, and other factors.

Other questions that you may be able to answer are: how likely are we to achieve our bookings goal? You may run a report that multiplies qualified opportunities with projected award dates prior to the cut-off date, and their win rates in your pipeline. You could also visualize how balance of your pipeline, and whether your pursuits are on track. Such platforms as GovBD and Deltek CRM, come with visual reports, and Power BI is a free Microsoft add-on allowing to build reports and dashboards to track metrics.

Don’t go crazy with data entry requirements. First consideration in getting good metrics is ensuring that you have just the right amount of data entry.

Select metrics examples you could track through your pipeline, create reports for, and visualize through a dashboard:

  • Active opportunities by stage, priority, lead, agency, and so on
  • Bid, capture, and win rate by customer, type of opportunity, and pursuit size
  • Pipeline revenue by stage – their number, and their value
  • Recent opportunities created or modified over the last month
  • Opportunity status
  • Backlog (won) opportunities revenue
  • Bid & Proposal budget tracking and correlation with opportunities
  • Top partners and competitors
  • Revenue projection and weighted projection (by the Pgo/Pwin)
  • Resource utilization and availability
  • Pipeline velocity (how quickly do the opportunities progress through the pipeline)

You could have wonderful reports and visuals of your data, only if your business developers entered all the information consistently. Unfortunately, this would also slow them down from doing their work. And, there is also the demoralizing factor of having a few dozen fields that are always empty, and your reports that have zero data in them. It is better to stick to the bare minimum of numbers you need to run your business. Essentially, it’s the task of striking the right balance—what data must you have versus what can you live without.

Here are some of the business questions you could answer with metrics. You could see quickly how many proposals have you had to submit to win a certain amount of revenue in the past. Then you can track the changes if when experimenting with your process, people, or tools. You can visualize whether your pipeline is balanced—do you have the right mix of small, medium, and large opportunities? How are your opportunities time-phased?

The right reports will take the guesswork out of your business development health, and will facilitate management oversight, which would lead to the right business decisions, and higher Pwin. You will set realistic revenue growth goals based on real data, will diagnose your problems more easily to have an uptick in the win rate, identify future problems and resolve them before they impact your business, and facilitate rapid growth. It may take you 12-18 months of collecting the historical data to start making the decisions, so the sooner you start, the better.

Ready for More Help?

This report is one chapter of a 34-page eBook, 10 Success Factors for Building a Government Contract Opportunities Pipeline, that delves into the core building blocks of a healthy business development pipeline. The eBook will help you identify and qualify opportunities, choose the right platform for your pipeline, set up an effective pipeline management process, and get the right types of business information to set an effective growth strategy.

The eBook normally is sold at $47, but for a short time we are offering it at a special $19 price.