“Revenue Science” Rules & Tools for the 21st Century

Rick McPartlin

In the 21st Century, “Revenue Science” is a must have just like Quality, Lean and Six Sigma were 20th Century must haves for intentionally-successful leaders.

“Revenue Science” brings new roles, new rules and new tools that must be applied by every organization that plans to survive and thrive in this constantly changing world.

Businesses are like the people in our lives. They are always changing but still guided by the laws of science and the human spirit.

Twice a month for the next year standalone pages from a new eBook will be revealed to guide those who want to win The Revenue Game in today’s complex and transitioning world.

Each page from the eBook is a step along the Revenue RoadMap that shows traditional leaders (CEOs, COOs, CFOs, Sales and Marketing) and now the CRO (Chief Revenue Officer) how to predictably grow profitable revenue regardless of market changes.

This is page 5 with 20 more to come. Join us in a new world of “Revenue Generation” by becoming a member of the “Revenue Science” community. Share with us your feedback, experience, challenges, and observations or just come along to observe and learn.

Rule – Remove the “Cost of Chaos” from the “Revenue Generation” process.

The cost of revenue chaos is like body fat, a little is healthy (that is where creativity and innovation come from), but more than 3 or 4% is both throwing money away and holding down top line growth.
The “Cost of Chaos” is a result of things like:
• The complexity of your Product or service, you and your industry’s Business Models, your go-to-market channel and your use of technology.
• Speed of change for Technology, the Market, the Economy and business model considerations like Compliance.
• How much of your money do you spend competing with yourself?
• In the ways you fight “Revenue Science.”

Based on the variables above, The “Cost of Chaos” in a B2B business ranges between 20 and 50 percent of the TOP LINE. For B2C, it ranges between 10 and 25 percent of the TOP LINE.

Forty years ago manufacturing, logistics and supply chain removed their “Cost of Chaos” by applying Lean, Six Sigma, TQM and Theory of Constraints. Today the biggest waste of resource is in the “Revenue Generation” part of your business, and those companies who apply “Revenue Science” will be more likely to survive and thrive.

In the 21st Century, CEOs who want to survive and thrive must apply “Revenue Science” to achieve the one outcome that they must achieve, “continually grow more profitable revenue.” If competitors have a 10 to 50% margin advantage over you, they will put you out of business sooner than later.

What do you think?
Please share your thoughts and experiences with us here!

Comments

comments