A Sales KPI or metric is a performance measurement that is used by sales teams and by the top management to track the effectiveness of relevant sales activities within a company. These measures help in optimizing your sales performance, sales funnel, and sales cycle length.

With the set of metrics as Sales KPI (Key Performance Indicator), the Sales department can identify the most impactful data points and take action to reach or exceed sales goals. It also helps to evaluate and track the efficiency of process, find bottlenecks, improve productivity, and streamline the process.

Dhyey consultancy design set of KPIs to help Sales department and management.

1) SELL THROUGH RATE (STR)

Sell-through rate measures the amount of inventory that is sold within a given period relative to the amount of inventory received within the same period.
Formula is % Sell through rate = (total unit sold / stock on hand) x 100

FEATURES:

Sell through rate estimates how quickly a company can sell its inventory, converting it to revenue.
Identify Popular and unpopular products.
STR provides clarity on trending sales, so you can collaborate with your suppliers to order the right products ahead of time, focusing on high-selling items.
Analysis report provide information category wise – item wise – Location wise, unit qty. sold, Total stock -Units available for sale and % Sell through rate during selected period. It also shows closing inventory in stores.

2) STOCK COVERAGE

Stock coverage allows you to estimate the period during which your business will be able to fulfil orders without having to purchase a new product.
Formula is dividing the available stock by the average product demand / consumption over a specific period of time.

FEATURES:

Stock coverage ratio is essential to ensure that business can fulfil customer orders without experiencing stockouts.
Report analysis shows category wise – item wise – Location wise, total usage / Sell during selected period and calculate daily usage unit quantity. It also shows closing inventory in stores.
Metric that shows the period in Weeks and Months - during which a company can meet customer demand with the available inventory in its warehouse.

3) INVENTORY TO SALES RATIO / STOCK TO SALES RATIO

The inventory to sales ratio compares the average inventory value to the net sales value and is one measure of a company’s inventory level health.
Formula is Average Inventory amount / Net sales amount in a certain period.
It is also referred to as Stock to Sales/Revenue Ratio.

FEATURES:

This KPI helps companies determine how quickly they are liquidating stock, and how much capital they have invested in inventory.
It helps determine how efficiently capital is allocated in inventory during a certain time period.

Refer feature list document for detailed features and benefits.

Supported Editions

This app supports the Essential and Premium edition of Microsoft Dynamics 365 Business Central.

Supported Countries

Canada, India, United Kingdom, and United States. Supported Languages English only.

Sales KPI

by Dhyey Consulting Services Pvt. Ltd.