Tho­se who start ear­ly lift billions

  • Tar­ge­ted cus­to­mer acqui­si­ti­on in com­plex mar­kets: PM and sales skills enable pre­cise mar­ket and com­pe­ti­ti­ve ana­ly­sis, inter­cul­tu­ral requi­re­ments ali­gnment, and PoC plan­ning, the key to sys­te­ma­ti­cal­ly win­ning inter­na­tio­nal major accounts.

  • Ear­ly levera­ge effect: Prac­­ti­ce-ori­en­­ted sales and pro­­ject-mana­ge­­ment trai­ning from secon­da­ry school onward dri­ves long-term effi­ci­en­cy and inno­va­ti­on gains that can boost (Ger­man) GDP by seve­ral per­cen­ta­ge points.

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During my ear­ly days in inter­na­tio­nal sales of auto­ma­ti­on solu­ti­ons for the Sou­the­ast Asi­an mar­ket, one of my tasks was to iden­ti­fy and deve­lop new cus­to­mers and mar­ket segments.

Thanks to my com­mer­cial trai­ning and my uni­ver­si­ty stu­dies, I had gai­ned solid exper­ti­se in con­duc­ting mar­ket ana­ly­ses, inclu­ding rea­li­stic assess­ments of poten­ti­al cus­to­mer seg­ments, mar­ket volu­mes, and growth poten­ti­al. I also used clas­sic indus­­try-struc­­tu­­re frame­works such as Porter’s Five Forces to bet­ter eva­lua­te mar­ket attrac­ti­ve­ness and com­pe­ti­ti­ve dyna­mics. While the­se rese­arch and ana­ly­sis tasks were essen­ti­al, they were also very time-con­­sum­ing today, they can be car­ri­ed out many times more effi­ci­ent­ly with the help of arti­fi­ci­al intelligence.

After visi­ting the first cus­to­mers, we eva­lua­ted seve­ral pro­ject pro­po­sals within just a few explo­ra­to­ry mee­tings. The requi­re­ments spe­ci­fi­ca­ti­on pro­vi­ded by the cus­to­mer for­med the basis for our pro­po­sal. We also nee­ded to ali­gn on tech­ni­cal spe­ci­fi­ca­ti­ons, which dif­fe­red signi­fi­cant­ly from Euro­pean stan­dards. Sales and our inter­nal pro­duct deve­lo­p­ment and engi­nee­ring teams con­ti­nuous­ly coor­di­na­ted cus­to­mer requi­re­ments and tech­ni­cal fea­si­bi­li­ty, a clas­sic ten­si­on that can only be resol­ved through inter­cul­tu­ral com­pe­tence and clear communication.

For pri­cing, we reli­ed on tar­get cos­ting: given the region’s inten­se com­pe­ti­ti­on, we first defi­ned the expec­ted mar­ket pri­ce, taking into account the terms of the lar­gest sup­pli­ers, sub­trac­ted our desi­red pro­fit mar­gin, and deri­ved the maxi­mum allo­wa­ble manu­fac­tu­ring cost.

Once we had final agree­ment, we laun­ched the pro­ject through to Pro­of of Con­cept to demons­tra­te tech­ni­cal and eco­no­mic fea­si­bi­li­ty. Stu­dies show that pro­jects using struc­tu­red pro­ject manage­ment prac­ti­ces and tools are on avera­ge 2.5 times more likely to suc­ceed in scope, sche­du­le, and bud­get than pro­jects wit­hout sys­te­ma­tic pro­ject management.

Lear­ning: In one inci­dent, test com­pon­ents from the Fac­to­ry Accep­tance Test were acci­den­tal­ly left in the machi­ne and deli­ver­ed to the end cus­to­mer. This qua­li­ty fail­ure led to a for­mal com­plaint and invol­vement of the customer’s pro­cu­re­ment depart­ment. Had we clas­si­fied this risk ear­ly in the risk manage­ment pro­cess as a “qua­li­ty and FAT devia­ti­on,” mea­su­res such as FMEA and qua­li­ty gates could have pre­ven­ted the issue. Today, 64 per­cent of orga­niza­ti­ons con­duct for­mal risk analyses.

Con­ti­nuous impro­ve­ment pro­ces­ses (Kai­zen) also play­ed an out­stan­ding role for this cus­to­mer. Had we com­mu­ni­ca­ted the customer’s Kai­zen requi­re­ments, con­ti­nuous, incre­men­tal opti­miza­ti­on of all pro­ces­ses, from the out­set and inte­gra­ted them into our qua­­li­­ty-assu­rance con­cept, the FAT inci­dent would have been trans­pa­rent from the start and the com­plaint could have been avoided.

This inter­play of:

  • Ear­ly mar­ket ana­ly­sis and cus­to­mer segmentation

  • Trans­la­ting the requi­re­ments spe­ci­fi­ca­ti­on and coor­di­na­ting inter­nal feasibility

  • Target-costing–based pri­cing ali­gned to mar­ket requirements

  • Pro­of of Con­cept with for­mal risk management

  • Incor­po­ra­ting Kai­zen requi­re­ments in an inter­cul­tu­ral context

…demons­tra­tes how sales and pro­ject manage­ment com­pe­ten­ci­es must be tight­ly inter­wo­ven to ensu­re tech­ni­cal excel­lence, eco­no­mic suc­cess, and the hig­hest level of cus­to­mer satisfaction.

Prac­­ti­ce-ori­en­­ted trai­ning in sales and pro­ject management

The­se examp­les illus­tra­te the poten­ti­al impact of intro­du­cing prac­ti­cal trai­ning pro­grams in sales and pro­ject manage­ment as ear­ly as midd­le and high school. Such pro­grams could yield long-term, posi­ti­ve bene­fits for the enti­re eco­no­my. The posi­ti­ve effect of struc­tu­red sales and pro­ject manage­ment approa­ches beco­mes espe­ci­al­ly clear when con­side­ring the fol­lo­wing scenarios:

Sales trai­ning as a core module

  • 236 per­cent ROI: In one case (US $ 7 bil­li­on in reve­nue, 1 500 sales staff), a struc­tu­red sales-ena­­ble­m­ent pro­gram deli­ver­ed a 236 per­cent return on invest­ment over three years, increased reve­nue by 182 per­cent, and mul­ti­pli­ed pipe­line volu­me by 152 percent.

  • Inves­t­ing in sales trai­ning pays off: on avera­ge, each euro inves­ted returns 4.53 euros (353 per­cent ROI).

Pro­ject manage­ment as an inte­gral component

  • Mas­si­ve was­te from poor pro­ject manage­ment: world­wi­de, appro­xi­m­ate­ly US $ 1 mil­li­on is lost every 20 seconds becau­se pro­ject manage­ment prac­ti­ces are not ade­qua­te­ly applied.

  • 2.5 times hig­her suc­cess rate: pro­jects using reco­gni­zed pro­ject manage­ment best prac­ti­ces are 2.5 times more likely to meet scope, sche­du­le, and bud­get targets.

If one con­siders the macroe­co­no­mic impact of app­ly­ing pro­ject manage­ment instru­ments and sales manage­ment com­pe­ten­ci­es, the fol­lo­wing sim­pli­fied cal­cu­la­ti­on can be pre­sen­ted for orientation:

Assump­ti­ons

  • Invest­ment in sales and pro­ject manage­ment trai­ning: 1 per­cent of Ger­man reve­nue, about € 43 bil­li­on (on a GDP of € 4 305 billion)

  • Sales trai­ning ROI: 353 per­cent (fac­tor 4.53)

  • Glo­bal was­te from ina­de­qua­te pro­ject manage­ment: US $ 1 mil­li­on every 20 seconds

  • Assump­ti­on: tar­ge­ted pro­ject manage­ment trai­ning redu­ces this was­te by 50 percent

Macroe­co­no­mic sca­ling for Germany

  • Germany’s GDP 2024: € 4 305 billion

  • Invest­ment assump­ti­on: if Ger­man com­pa­nies invest 1 per­cent of GDP (≈ € 43 bil­li­on) in com­bi­ned sales and PM trai­ning, then conservatively:

    • Sales uplift: € 43 bil­li­on × 353 per­cent ≈ € 152 bil­li­on addi­tio­nal annu­al revenue

    • Pro­ject manage­ment savings: hal­ving the glo­bal was­te (from US $ 1 mil­li­on every 20 seconds to US $ 0.5 mil­li­on every 20 seconds, i.e., US $ 4.32 bil­li­on per day) yields about € 2.15 bil­li­on saved per day. Sca­led to Germany’s 3 per­cent share of glo­bal GDP, this equ­als rough­ly 64.5 mil­li­on € per day or about € 23.5 bil­li­on per year.

  • Total effect: ≈ € 175 bil­li­on in value crea­ti­on, or over 3.5 per­cent of Germany’s GDP.

Long-term impacts of such trai­ning pro­grams and metho­do­lo­gi­cal competencies:

The Heck­man cur­ve shows that invest­ments in ear­ly child­hood yield the grea­test eco­no­mic and social bene­fits. A playful approach to sales sce­na­ri­os or car­ry­ing out one’s own small pro­jects can lead to high future eco­no­mic poten­ti­al. Child­ren and ado­le­s­cents can learn nego­tia­ti­on by role-play­ing or cal­cu­la­te the cos­ts of their own pro­ject ide­as and ser­vices. Plan­ning and exe­cu­ting small events or deve­lo­ping simp­le pro­ducts while con­side­ring cos­ts are other acti­vi­ties that can be inte­gra­ted into dai­ly life at a young age, offe­ring enorm­ous poten­ti­al for per­so­nal development.

On the macro level, this yields addi­tio­nal advantages:

Orga­niza­tio­nal impacts

  • Acce­le­ra­ted deli­very: with pro­fes­sio­nal PM methods (e.g., clear pro­ject struc­tures, agi­le approa­ches, qua­li­ty gates), pro­jects can be com­ple­ted fas­ter and with fewer errors.

  • Effi­ci­en­cy gains: stan­dar­di­zed pro­ces­ses and risk manage­ment redu­ce over­head and rework, lea­ding to less was­te and more focu­sed teams.

Mar­ket-rele­­vant effects

  • Com­pe­ti­ti­ve­ness: fas­ter time to mar­ket and hig­her pro­duct or ser­vice qua­li­ty boost cus­to­mer satis­fac­tion and secu­re mar­ket share, stu­dies show that 80 per­cent of cus­to­mers are wil­ling to pay more for relia­bi­li­ty and quality.

  • Sca­le effects in new mar­kets: relia­ble pro­ject roll­outs enable com­pa­nies to plan and exe­cu­te inter­na­tio­nal expan­si­ons with lower risk.

Start­up and inno­va­ti­on dynamics

  • Start­up sup­port: pro­ject manage­ment skills lower the bar­ri­er to laun­ching new ven­tures; foun­ders who use PM tools and deve­lop busi­ness plans con­cep­tual­ly increase their chan­ce of suc­cess by 260 percent.

  • Expan­si­on of busi­ness initia­ti­ves: a solid busi­ness plan increa­ses the likeli­hood of suc­cess for entre­pre­neu­ri­al initia­ti­ves by up to 40 per­cent in the first years.

The­se are just a few of the advan­ta­ges of ear­ly trai­ning in sales and pro­ject management.

Con­clu­si­on:

Prac­­ti­ce-ori­en­­ted trai­ning pro­grams that tight­ly inte­gra­te sales ena­blem­ent (with over 350 per­cent ROI) and pro­ject manage­ment (with 2.5 times hig­her suc­cess rates and signi­fi­cant was­te reduc­tions) not only deli­ver excel­lent indi­vi­du­al KPIs but can rai­se Germany’s over­all eco­no­mic per­for­mance by seve­ral per­cen­ta­ge points. Such an inte­gra­ted trai­ning stra­tegy should the­r­e­fo­re be firm­ly embedded in the natio­nal voca­tio­nal edu­ca­ti­on curriculum.

Cita­ti­ons:

pulse-of-the-profession-2018-media-release.pdf

Pro­ject Manage­ment Sta­tis­tics You Need to Know 2024

Eco­no­mic Key Facts Ger­ma­ny – KPMG in Germany

Län­der mit dem größ­ten Anteil am glo­ba­len BIP 2024| Statista

Inves­t­ing in Sales­per­son Trai­ning Can Have Up to 353% ROI: Why it Pays to Deve­lop Your Talent | HireDNA

The Impact of Busi­ness Plan­ning Sta­tis­tics Stra­te­gic Growth

The Dai­ly Groomer

The Total Eco­no­mic Impact of Salesloft

Pro­ject Manage­ment Sta­tis­tics You Need to Know 2024

Pro­ject Manage­ment Sta­tis­tics for 2025 – Iseo Blue

The Heck­man Cur­ve – The Heck­man Equation