Client need
A multinational brewing company needed to enhance its existing Revenue Growth Management (RGM) framework. The organization had comprehensive playbooks, dashboards, and tools in place, but the utilization and belief in the framework was limited. The senior leadership team, including RGM leaders, was not effectively leveraging the available data-driven insights and decision-making capabilities. The organization was challenged to create a mindset shift that would drive alignment across the board.
To achieve this goal, the organization partnered with BTS to develop the capabilities needed to execute the Revenue Management initiatives and drive increased revenue and profitability.
Solution
While the organization had laid the foundation for RGM and had RGM leaders in place, its people needed to shift their mindsets and behaviors to fully leverage the framework. To do so, the organization focused on aligning the senior leadership team and instilling a belief in data-driven decision-making.
BTS worked with the Head of Growth Management globally to understand the organization’s challenges and conduct interviews to identify areas for behavioral change. The resulting program included a business simulation that promoted alignment and drove organizational engagement. The solution was rolled out through a two-day program, with 242 candidates from 24 operating companies participating simultaneously.
The journey included:
- Plan: Leaders received a detailed case study describing a fictional business and Operating Company. They were tasked to develop a strategy to drive Revenue Management using a Strategy Map tool.
- Do: Leaders oversaw a simulated Operating Company in cross-functional teams to drive profitable and sustainable revenue growth in a competitive environment. They leverage insights and analytics to drive Revenue Management across all five pillars while managing multiple regions, channels, and brands.
- Reflect: Leaders received feedback on the simulation decisions and results.
- Apply: Revenue Management experts delivered supporting content between simulation rounds reinforcing key learning points around Revenue Management.
- Implement: Teams identified and committed to individual actions to drive Revenue Management back on the job.
The program was leveraged globally to ensure consistency across the different regions.
Results
The most significant impact of the RGM intervention was the adoption of revenue growth at the senior leadership level. This resulted in a change in behavior and mindset throughout the organization. It shifted the siloed approach of individual RGM leaders to a collaborative effort to drive the business.
The program facilitated ongoing discussions, provided comprehensive data-driven insights, and encouraged partnership to identify revenue opportunities. On average leaders rated the overall experience a 4.55/5 with approximately 400 follow-up actions submitted.
As a result, the organization:
- Strengthened its focus on revenue growth with an increased drumbeat and engagement across departments.
- Gained a clear understanding the five Revenue Management pillars.
- Learned how to use data analysis tools to support decision-making effectively.
- Improved customer relationships by understanding their priorities, constraints, and the impact of Revenue Management initiatives on customer profit pools.
- Collaborated cross-functionally to make better Revenue Management decisions.
- Made decisions to drive value and not just volume.
- Better balance Revenue Management initiatives across the portfolio.
In conclusion, the organization significantly improved RGM by aligning senior leaders, fostering collaboration, and instilling a belief in data-driven decision-making.
