Sales & Marketing Management

Preparing personal performance outcomes (PPO)

There are two parts to this section:

Preparation steps

Staff involvement

Preparation steps

There are four steps in preparing PPO:

1. Management, before the end of a fiscal year, should prepare an outline of
   PPO. These will reflect the management goals that will be in keeping with
   the long-range Business Planning of the business.


2. As soon as the results for the fiscal year are known, managers at all levels
   should discuss PPO with their employees. Integrate the collective PPO at
   each level of the business into the next level, thus producing a consolidated
   PPO for the business.

For example

The field salespeople forecast the next year.

The department managers base their forecasts on the forecasts of the

field salespeople.

The division managers base their forecasts on the forecasts of their

department managers.

The owner of a business will base business forecasts on the total

forecasts of the division managers.