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Revenue Forecast Error

Are you hitting your revenue targets consistently?

Description

Revenue forecasting error tells if you underachieve or overachieve your forecasts. Since this metric accounts for predictable growth or decline in revenues, the metric is more sensitive in capturing negative or positive surprises than other revenue metrics.

Motivation

Revenues are the lifeblood of any business. Thus tracking the success in meeting revenue forecasts is the easiest way to identify the health of the business. Ensuring that you keep on track with the sales targets should be at the top of the list of any organization. If revenues are falling behind the targets or are erratic, that is a cause for concern.

Trend chart

Metric Trend Chart

In the OKR goal-setting methodology, metrics are preferably used as part of a Key Result.

There are hundreds of metrics in the Agile Tools ever-growing library.

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