We all know the power of revenue growth management: increased profitability, optimized pricing strategies, and enhanced market penetration – to name just a few. But let’s also be honest about the ongoing challenges RGM presents.
If you’re navigating complex market dynamics, struggling to align cross-functional teams, and failing to innovate and stay ahead, it’s probably time to review your RGM efficiency.
Our latest article provides expert perspectives and practical strategies to help you master this critical business function.
Looking to deepen your understanding of RGM and discover actionable insights to drive your business forward? Don't miss out on the opportunity to unlock your company's full revenue potential.
Take your RGM to the next level
Why RGM and why now?
Maybe you've achieved success with RGM but want to take it to the next level. You know that strengthening your revenue growth management program means understanding key improvement areas across the main RGM pillars. Assessing global guidelines, processes, tools, and KPIs is the necessary next step to ensure a future-proof RGM organization.
Or, you’re confident in your current practices, but seek insights into what others are doing. You want benchmarks, best practices, and examples to learn from. Questions arise about team size and organizational efficiency. Do you have the right balance between global, regional, and local teams?
Efficiency is a critical KPI. Reducing project completion time and the number of people needed is key for accelerating time to market and the ability to scale. It's easy to talk about rolling out new processes across multiple countries and functions. The challenge is spreading a good idea or methodology efficiently in terms of cost and timing.
You’re not alone in seeking RGM best practices
Some companies are great with trade terms. Others master pack price architecture, leveraging different formats and sizes. You might be the experts in launching new products and increasing category value. However, we rarely see one company excel across all RGM layers.
Many are asking if they are best-in-class and how to improve. “Could we industrialize our data treatment?” “Could we make our decision-making more efficient?” These are common questions for those committed to continuous improvement.
You may already have some RGM processes or capabilities in place. However, the goal is always to advance further. We're here to guide you through the transformation.
Five pillars for successful RGM
To integrate RGM successfully in your organization, your business can build on five key pillars.
Equip your organization and people to excel in RGM
RGM has become a standard practice for many companies. But maintaining momentum is tough.
Some team members may see RGM as costly and question its value. The time between identifying a problem and implementing a solution can be long. It’s difficult to roll out RGM efficiently across all areas. To keep RGM fresh and engaging, it's time to bring something new to the table.
But RGM transformation isn't just about boosting internal marketing for RGM activities. It's about creating traction between RGM and corporate processes, ensuring end-to-end integration in your organization.
Our goal is to elevate you to RGM 2.0.
To start a transformation, you need a solid business case, showing the ROI of past projects and their impact on your company. That's why we begin with a deep dive and audit of your current situation, benchmarking against best practices, and identifying areas for improvement. Our tailored scorecard provides clarity around your maturity level across geographies and divisions.
Achieving RGM excellence demands proper resource dedication. We make sure you are assigning the right people with the right skills and seniority to drive RGM initiatives. We demonstrate whether investing in new software or recruiting skilled people is necessary.
We also define the roles and contributions of different structures in tackling RGM topics. We assess if your current RGM roadmap fits your objectives or needs, and help you adjust accordingly. The next step is to define guidelines on key RGM topics and animate your global RGM community.
Shape an RGM-focused culture
RGM transformation is deeply rooted in culture and change management. At Simon-Kucher, we believe that effective RGM starts with thorough training. This includes new joiners who need to learn the basics and seasoned team members who require advanced skills. We ensure everyone is equipped with new ideas and benchmarks to stay ahead.
Training shouldn't be limited to your RGM team. Your sales team, marketing, finance, supply, controlling, and even research and development teams need to understand RGM. Everyone should know what agility means, the stakes involved, the ambitions, and the ways of working. This comprehensive training fosters a culture of continuous learning and adaptability.
Understanding the bottlenecks and blocking points within your organization is just as important. We help you identify these obstacles and work on change management strategies to overcome them. We often assess the Net Promoter Score (NPS) at the start and end of the project. This helps us understand how many people support RGM, grasp its value, and appreciate its impact on their workflow.
We also help you establish a unique and common RGM vocabulary. This ensures everyone speaks the same language and aligns with the same goals.
By focusing on culture and change management, we help you embed RGM into your organizational DNA. This alignment creates a unified approach to revenue growth, fostering a culture of excellence and continuous improvement.
Establish clear governance and processes
RGM touches various departments, making it crucial to clarify who is accountable for what. Everyone should understand their part in the process, from start to finish.
We work with your teams to outline key milestones, KPIs, roles, and responsibilities within your organization. By setting these parameters, we help you create a streamlined approach that enhances efficiency and accountability. Everyone knows the critical points and performance indicators for RGM success.
Communication plays a significant role in this transformation. We ensure that your team is fully aware of the governance structure, knows the steps involved, and understands the expected outcomes. This clarity reduces confusion and fosters a collaborative environment.
It is also crucial to integrate RGM into your sales and operations planning (S&OP) and annual operating planning (AOP) processes. This integration ensures that your RGM efforts are not siloed into a parallel universe with separate meetings and processes. By embedding RGM within these essential planning frameworks, you enhance cross-functional collaboration and ensure that revenue growth strategies are aligned with broader organizational goals.
Embedding these governance and process principles into your organization leads to smoother operations and better alignment across departments. With clear guidelines and defined responsibilities, your RGM initiatives will become more effective and impactful.
Enabling your organization with the right tools
Analytics form the backbone of RGM. To make your RGM efforts sustainable, your teams need easy access to and the ability to leverage data efficiently. We help you consolidate and structure data, often scattered across different countries and channels, into a single, reliable source.
With our own digital consulting business, Simon-Kucher Elevate, we take the guesswork out of decisions by making data the basis of everything. Our tools provide intuitive access, making it simple for your team to use data effectively. They streamline your operations and enhance decision-making capabilities. And they cater to various needs - whether it's managing promotions, pricing, trade terms, or trade investments.
Our software business, Simon-Kucher Engine, offers comprehensive software solutions to further support your revenue growth initiatives. We provide pricing management and optimization software tailored to each sector, all based on Simon-Kucher’s proven methods developed over nearly 40 years. We also offer customized platforms utilizing cutting-edge technologies, including low-code solutions, to meet your specific needs. Our marketing and sales platforms are designed to optimize sales, loyalty, and cross-selling, ensuring a holistic approach to driving growth.
By focusing on data and tools, we empower your organization to make informed, data-driven decisions. This approach ensures your RGM strategies are both effective and sustainable.
Support RGM with KPIs with informative dashboards
At Simon-Kucher, we know that having the right data and sharing it effectively across your organization is key to success. KPIs and dashboards are crucial for monitoring your RGM initiatives.
Creating effective dashboards ensures everyone has access to the same data. This unified vision helps align your team and streamlines decision-making. By consolidating data into a single source of truth, we make it easier for different markets and stakeholders to stay informed.
We focus on defining measurable metrics that matter. These KPIs should be clear and actionable, enabling your team to identify opportunities, assess risks, and determine where to take action. Consistent monitoring of these metrics ensures that your RGM efforts stay on track and deliver results.
Our regularly updated dashboards provide real-time insights and allow your teams to follow up on RGM initiatives promptly. We create a transparent and efficient monitoring system, with ongoing visibility maintaining momentum and ensuring continuous improvement. This empowers your team to make informed decisions and drive your RGM transformation forward.
Transform your RGM with Simon-Kucher
Transform your RGM initiatives with Simon-Kucher and unlock sustainable, long-term growth.
Assessment and benchmarking
- Evaluate current global and regional organizations against industry best practices.
- Identify gaps within your RGM structure.
- Map out internal misalignments using detailed scorecards.
Integration of latest trends
- Integrate the most recent developments and strategies to future-proof your RGM capabilities.
- Develop an RGM 2.0 approach for evolving challenges.
Expert insights and external perspectives
- Conduct internal interviews with key department representatives.
- Leverage expert interviews to understand improvements in the post-pandemic era.
- Deep dive into geographical dynamics.
Knowledge exchange platforms
- Establish a tailored knowledge exchange platform between global RGM units.
- Foster collaboration and alignment across different teams worldwide.
Data-driven decision support
- Back up RGM processes with advanced analytics tools and dashboards.
- Gain real-time insights for informed decision-making.
Unified approach to growth
- Generate profitable growth across the value chain.
- Integrate consumer preferences into RGM recommendations.
- Break silos between functions for cohesive strategy execution.
Ready to unlock your company’s revenue potential? Contact one of our experts today for personalized support and guidance on all RGM topics.
Get in touch and start your journey towards unparalleled revenue growth!
