What is the speed of ROI for your human capital?
I was speaking to the founder of a technology company who is embarking on a funding round so he can scale the operation for acquisition.
We started to talk about the variables that affect valuation (one of my four core levers when advising clients) and the impact of human capital.
Attracting great talent is of course important but once you have managed to attract them, how quickly can you imbed strong capability? In other words, what is their speed of ROI?
The greater the speed that you can enter a sales person into your business and equip them to be affective as revenue generators, the more valuable your company becomes. But this system must be duplicatable. it must work, not just sometimes, but every time.
You may not be looking to sell your business, you may run a region, a country or a sales force, but this still has merit. You see, the faster that you attract talent and, through an effective system, equip them to be capable, the more valuable YOU become.
As a sales or business leader, focus must be directed at how you can refine the system and shorten the ramp up time of your sales personnel.
Now that’s a worthwhile investment with a solid, and fast, ROI…
…Over to you…