A COMPLETE GUIDE TO FORECASTING
& PIPELINE MANAGEMENT
with Tips from Top Sales Executives
Table of Contents
Introduction 2
7 Habits of Highly Effective Forecasting and Pipeline Management 3
Top Sales Executives Q&A 4
Overcoming the Four Main Challenges of CRM: A Checklist 12
1
Introduction
As the modern sales landscape grows increasingly complex- from artificial intelligence and automation – to
comprehensive sales stack solutions and terabytes upon terabytes of customer data – one thing remains constant:
Pipeline management and sales forecasting is still at the very core of everything we do in sales. They’re the
fundamental processes of any successful organization.
While we seem to spend more and more time clicking around in our CRM, updating client records, or tracking deals
in rogue spreadsheets to get our work done – weather you’re a business leader or sales rep – we still stare at our
opportunities every day and strategize ways to close more deals.
Mastering your sales pipeline- and predicting a more accurate sales forecast overtime, is an effective way to both
increase revenue and better organize your business for long term success.
We interviewed sales leaders – from small business executives – to Vice Presidents at high tech software empires,
to learn about the 7 most effective habits for better managing their sales pipeline and more accurately predicting
forecast.
We also explored the 4 toughest CRM challenges for sales leaders – and built a valuable checklist to help you
overcome them.
Let’s get started with the effective habits we identified!
2
7 Habits of Highly Effective Forecasting
and Pipeline Management Leaders
Build a culture of accountability
Ensure forecasting is a continuous process
Centralize and simplify all data entry
Educate and train your team
Automate appropriate sales processes
Increase customer data visibility
Always concentrate on improving data accuracy
3
Top Sales Executives Q&A
We interviewed the following sales and business development executives for their thoughts on forecasting and
pipeline management in 2018.
Jamie Mulkey
Jamie is an executive sales leader in the strategic training and assessment space. She has over
20 years experience with organizations like HP, Caveon, and Pearson Evaluation Systems. Jamie
brings a mix of background from enterprise and SMB organizations.
Mike Wilson
Mike is the VP of Sales and Marketing at Blue Corona, and award-winning, analytical, in-bound
marketing and SEO company. He brings a wealth of experience and speaks from his recent
executive agency profession.
Ryan Cannady
Mike is the VP of Sales at Deere Credit Union in Illinois. He brinigs nearly two decades of sales
experience from the financial sector.
– And finally, we have a Regional Vice President of Sales for a major software company in
Sillicon Valley. She brings over a decade of experience in B2B software and enterprise sales but
has chosen to remain confidnetial.
We interviewed these executives with 7 quetions that match the 7 habits for highly effective forecasting and pipeline
management in 2018. Onto question 1 for our panel:
4
How do you make sure your team is accountable
to your sales forecast?
We built a process to meet once a month with each sales rep to discuss their opportunities. This provides us with an update
of where their sales prospects are in the pipeline and acts as a reminder to them that they may need to follow up on sales
opportunities.
JM
I hold my reps accountable to their forecast by having them establish a forecast at the beginning of
each period– and challenging their initial forecast by conducting weekly forecast/deal reviews. This is
the lion’s share of the process. Finally, we track their forecasts week over week and results against their
forecast. This allows both the rep and me to see whether they are overly optimistic and then frequently
disappoint at the end of a period, whether they are a sandbagger and miraculously pull deals out of
thin air, or whether they known their deals and they make commitments and stick to them.
MW
We create our forecast from the ground up. Our front-line sales personnel submit their individual
forecasts for the year. We put those through a reality test and a round of discussion, if necessary.
Then we roll those cumulative numbers up to our entire team forecast.
RC
We use Salesforce to forecast commits and best cases and we talk about it every week in 1:1 meetings.
My reps also know my commit and we talk through our biggest and smallest deals in each team
meetings.
VP
5
How do you build a continuous process
for forecasting?
Our monthly meetings are a consistent way of checking in with sales team members. At the end of each month, we produce a
report for executive leadership, giving them a sales forecast update for the next few months. This helps us with forecasting
revenue as well. The greatest challenge is keeping our CRM current. To keep the records accurate, we have one person who
manages CRM sales prospect entries. This way we can keep our records consistent and current.
.
JM We have a weekly cadence and it rarely, if ever, gets canceled. This establishes consistency and
the mindset amongst the team that forecasting is mission critical to our success individually, as a
team and the business as a whole.
After we create our forecast for the year, we break it down into monthly objectives and then weekly MW
and daily activities. We measure our results against our forecast and adjust when we notice signs of
any negative trends. In general, we watch the activities for signs. By the time it hits the results, it's
usually too late. When outside forces, such as a rate increase or a new player in the market, affect
our production, we immediately coach our staff on how to overcome objections and obstacles. For
the past five years, we have not had to make any significant forecast revisions, if any.
RC We use Salesforce. My expectation is it's in the app and supported by the pipeline you have. It's also
important to use proper staging to support your number. No one is allowed to forecast zero
(25k/month is our goal for monthly AE participation) and they understand the expectation is to
contribute. The main challenge is- is 25k always realistic? It becomes a bit harder as you move up in a
segment and you see run rate deals dwindle and the velocity of deals slow down.
VP
6
Do you have any tips to centralize and simplify sales
data entry? Do you have a single view of your sales data?
We use a cloud-based CRM to manage our sales pipeline data, with one person managing the database. Keeping all sales
prospects in one location is helpful. It gives us a snapshot of the sales pipeline, allows us to review sales history, and gives us
status of each sale's progression.
.
JM We use our CRM system for all things pipeline management. We use excel for forecasting. It is
purposely standalone and not integrated because it forces the rep to create (initially), review and
manage their forecast on a weekly basis. To be clear, I do not forecast based on% of revenue based on
stage in the pipeline, I forecast based on a sales person saying - I will close SX this period, here are the
deals that will get me there... I also have these backup deals that will either allow me to
exceed/increase my forecast or cover my forecast should one of my roadmap deals fall out.
Sadly, we are resigned to using a set of fairly intricate Excel spreadsheets. Over the past 5 years, we've MW
refined our spreadsheets annually to the point where now most of the data we need to see is extracted
from one main spreadsheet and the formulas do the work in the background. The two most important
tips I can give are: 1) Start with the end. Think about what you want the data to tell you and work
backwards. 2) Be consistent. Every rep needs to input data in the same manner. When people
customize a spreadsheet to their liking, you lose the ability to aggregate data which is where the real
insight comes from. We had to create spreadsheets then lock down the ability to edit them. Bonus tip: If
you're going to insist on a uniform data entry spreadsheet, you must interview your staff to find out what
they value most and incorporate as much of those preferences as possible across the entire platform.
RC We only use Salesforce. The amount for the opportunity, the next steps, the staging, and the close date
are expected to be updated in near real time. We also use the forecast tab in Salesforce to list commits
and best case.
VP
7
Do you have a standard process to educate your
team on forecasting and pipeline management?
We've been working on this. The process is evolving and as we find new ways to improve the process, we implement them.
JM
Yes and no. I have a system and I set clear expectations . But, I would say that much of the learning
comes from dissecting their deals during our weekly calls.
MW
Every September we provide a breakdown of each position and their production for the previous 12
months-as well as the average production for similar positions. We also talk about trends in the
market and what we expect to see from a growth standpoint. This helps them create their forecasts.
The reality test and ensuing discussion between front-line forecaster and manager are critical pieces
to the process. For pipeline management, we are starting to garner data that shows us application
volume and aging. That will help us standard a process going forward.
RC
We talk about it often. As usual, I'm constantly reminding them to update t hings. But, app rigor is highly
regarded and very important to our senior leadership. It's culturally well known that having the app
updated is table stakes.
VP
8
What can you do to automate sales processes
and what should remain manual in the forecasting and
pipeline management process?
One thought that comes to mind is to send system-generated emails reminding sales team members to let us know of
changes to any sales prospect's status
JM
We could apply a formula to historical trends and - PRESTO! - we have a forecast. I believe the forecast
needs to come from the individual producers first. This gives them buy-in and ownership in what we are
trying to accomplish as a team. It helps them connect to the overall goal and helps them realize they
are the reason that big number is going to happen.
RC
Our sales strategy teams use forecast math to produce a projected finish every week. There's some
sense of automation in that based on staging of the opportunity . We also have an Einstein (Al score)
to give us the probability that something will close. Everything else is still a manual process. As you
move up market (versus small business where forecast math is generally pretty accurate), it becomes
more manual because there are less deals and more reliance on manager forecast judgement.
VP
9
How do you increase the visibility into your sales data?
Do you feel like you have the visibility you need?
Monthly communications of the sales forecast are sent to both executive leadership and sales team members. We also report
on our numbers weekly at the staff meeting. This allows the company to be informed of the sales teams' progress and
motivates employees to have vested interest in how the company is performing.
JM
Through the combination of our CRM system and my Exel system, I believe we have excellent visibility.
MW
We need to add a data warehouse and data visualization tool so our staff has an attractive dashboard
they can see on a daily basis to measure their effort and production against their forecast.
RC
I believe we do. Everything lives in our Salesforce CRM
VP
10
Do you have any tips for ways to improve data
accuracy in your CRM?
Make sure there is a good communications channel to understand the sales numbers as they truly are. Review your numbers
on a regular basis to understand what sales are coming in and when they are coming in.
JM
Audit for accuracy: You get what you inspect, not what you expect. Not only do you have to audit for it,
you have to make it matter when inaccuracies happen. In an extreme case, I think one could make an
argument for rewarding employees for data accuracy. In fact, maybe that shouldn't be in the extreme
case. It should just be the case. Data accuracy, in the long run, is more important than executing the
sales process correctly in an individual sales opportunity.
RC
Unfortunately, I don't think so. Garbage in, garbage out! As they say. It's a constant reminder for folks
to update Salesforce with good information. We do have some dependencies (for example, to move
from stage 2 to stage 3) that require additional information to be entered first. This forces AEs to add
information into the opportunities that they likely wouldn't without the requirement.
VP
11
Overcoming the Four Challenges to a Successful CRM
A Helpful Checklist For CRM Leaders & Administrators
QUALITY
Get the right data in your CRM
Identify Your One Source of Truth Capture Only Relevant Customer Data
Ensure that all users input data into the same Concentrate on the most important customer fields that
system. Eliminate rogue spreadsheets and you must capture and consider eliminating other fields
notepads we use. to improve data entry processes and team focus.
Get Leadership Buy In Simplify the CRM Experience
Communicate the importance of the CRM your Measure how long it takes for users to complete
one source of truth with leadership so all important CRM processes and eliminate any other steps
processes are followed company wide. to simplify their daily work and improve productivity.
Clearly Document CRM Process Clean Current CRM Data
Create CRM guidelines and best practices doc to Regularly audit and clean your data to ensure
make sure all users follow the same naming accuracy and processes remain viable system wide.
conventions across records.
12
Overcoming the Four Challenges to a Successful CRM
A Helpful Checklist For CRM Leaders & Administrators
PROCESS
Complete Your Daily CRM Work – Faster
Create Flexible CRM Processes Optimize Processes Regularly
Create your processes with change in mind. As Clean up fields and records often; monthly or quarterly
businesses needs evolve overtime, the CRM minimum. As your CRM matures, records and fields can
needs to adapt accordinly. become bloated and slow down your team.
Define Communication & Training Plan Focus Prospect List
Create a plan with who to speak with regarding Hone in on prospect lists to indentify accounts that are
process enhancements, requirements, new requests, most likely to generate revenue. This keeps your reps
to maximize CRM flexibility and effectiveness. more focused on revenue generation tasks.
Set Change Request Goals Optimize Reports Quarterly
Create realistic turn-around goals for process Take a look at your CRM tools to determine if they
improvements. Change requests must be implemented are helping your team drive more revenue or if they
in a timely manner to maximize efficientcy and build are adding to complexity to your process.
team trust.
13
Overcoming the Four Challenges to a Successful CRM
A Helpful Checklist For CRM Leaders & Administrators
VISIBILITY
Find the Right Data in Your CRM
Set Goals On Important Data Report Metrics Regularly
Focus on the 3-5 most crucial business goals to Hold weekly or biweekly meetings to share important
avoid over complicating your reports. CRM metrics with stakeholders to ensure the team
remains on track.
Create 3-5 Measurable KPI’s Monitor Team CRM Activity
Keep your quarterly KPI’s actionable concentrating Create views to monitor how users work within your
only on a select few. Anymore can be difficult to track CRM to identify high performers, anticipate challenges,
over a 3 month sprints and adds complexity. and surface bad process habits early.
Create Custom View Reports Optimize Reports Quarterly
Sort and filter the data you need the most often and Take a look at your CRM tools to determine if they
save custom views in your CRM for easy accesibility are helping your team drive more revenue or if they
over time. are adding to complexity to your process.
14
Overcoming the Four Challenges to a Successful CRM
A Helpful Checklist For CRM Leaders & Administrators
CHANGE
Make Changes to Your CRM Process
Assign Ownership For All CRM Activities Log Tasks
Assign a CRM lead that owns and monitors daily Outline all tasks that team members need to complete
project activities and implementation timeline. to get a full understanding of the project scope and
timeline.
Establish Dedicated Data Admin Team Define Approval Process
Assign a support team that helps the CRM lead Discuss who needs to be informed of CRM changes to
manage ongoing tasks, anticipate challenges, and ensure that updates are recieved and implemented in a
offer solutions. timely manner.
Set Duplication Rules Explore CRM Tools
Develop procedures to manage duplicate Assess third party applications and tools that can
records and standardize deletion and/or help the CRM team make ongoing changes and
merging process. improve productivity.
15
Need More Help Streamlining Forecasting
& Pipeline Management?
GridBuddy specializes in helping companies solve their CRM challenges, so IT teams can
spend less time on custom code and sales teams can spend more time selling.
Our experts would love to hear more about your forecasting and pipeline management
needs, to see how we might be able to help.
ONE PLATFORM, COUNTLESS BENEFITS
The CRM Functionality You’ve Always Needed
Inline Mass Cross-Object Conditional
Editing Update Filtering Formatting
16
SCHEDULE A DEMO
Or get in touch with us at [email protected]
GridBuddy solves the challenge of working with lots of data within CRM systems. Our
intelligent grids simplify pipeline management, forecasting, and other custom or
complex sales processes. Unlike other sales productivity applications, GridBuddy can
adapt to any process or specific user, providing the interface needed to quickly
visualize and edit any data from a single screen.
17
Boston – Corporate Headquarters
200 Clarendon St, 22nd Floor
Boston, MA 02116
Businesses run better and grow faster with trustworthy data. Tens of
thousands of organizations rely on Validity solutions – including De- Tampa – Principal Office
mandTools, BriteVerify, Trust Assessments, Return Path and GridBud- 4010 Boy Scout Blvd, Suite 1100
dy – to target, contact, engage, and retain customers effectively. Tampa, FL 33607
Marketing, sales, and customer success teams worldwide trust Valid-
ity solutions to help them create smarter campaigns, generate leads, London – Validity International Limited
drive response, and increase revenue. For more information visit The Charter Building
validity.com and connect with us on LinkedIn and Twitter. Uxbridge, UB8 1JG
