How a European Industry Group Used Talent Analytics to Restructure Its Sales Organization — and Save Over €1M Per Year.
1. THE PROBLEM:
Growing Without Knowing
A leading European industrial group operating across 27 countries was facing a challenge that's anything but uncommon, yet critically underestimated: its sales organization had grown organically over the years, was decentralized by design, and structurally fragmented. Despite holding a stable market position, commercial performance consistently fell short of top management's expectations.
The real issue wasn't just revenue. It was the lack of visibility into the actual capabilities within the sales team. There was no unified view of:
- which employees possessed which commercial competencies,
- how time was actually being spent across the sales function,
- whether Hunter and Farmer roles were effectively filled,
- and where structural overcapacity or misalignment existed.
The company knew that untapped potential was there — but not where exactly, or how significant it was. Traditional HR and performance data simply weren't sufficient to support well-founded structural decisions.
The central challenge wasn't just performance. It was decision-making capability: How do you objectively assess a pan-European sales organization with thousands of customer touchpoints — and realign it efficiently at the same time?
2. THE GOAL:
Commercial Excellence Through Streamlining and Clear Role Logic
Together with top management, a clear target picture was defined, one that went far beyond simple cost-cutting:
- Structural streamlining of the organization without sacrificing market proximity or customer quality
- Increased sales efficiency through clearly defined role models (Hunter vs. Farmer logic)
- Objectification of performance based on hard and soft skill data
- Benchmarking against top industry performers to define realistic target profiles
- Full transparency on how sales time is actually spent, making non-value-adding activities visible
At the heart of it all was one central question:
What does an optimal sales organization in this industry actually look like — measured against the top 20% of performers?
The goal wasn't incremental improvement. It was a data-driven restructuring that would fundamentally reshape both efficiency and cost structure.
3. THE APPROACH:
Commercial Talent Assessment as the Foundation for Decision-Making
To address this challenge, a comprehensive Commercial Talent Assessment was implemented — combining quantitative and qualitative analysis to create, for the first time, end-to-end transparency across the entire sales organization.
The project was built on four core pillars:
1. Hard Skill Assessment
The first step was a systematic evaluation of the technical competency level across the sales force, covering:
- Product and industry knowledge
- Sales and negotiation skills
- Market and competitive intelligence
- Customer development capabilities
The assessment was fully standardized, enabling objective comparisons across countries, teams, and functions.
2. Soft Skill Assessment
Complementing the hard skills, key behavioral and competency dimensions were analyzed — the ones that actually drive commercial success:
- Communication and relationship-building ability
- Results orientation
- Ownership and self-direction
- Adaptability within complex sales structures
This layer revealed not just that performance gaps existed, but why they existed.
3. Tailored Business Case
All participants worked through a company-specific business case that reflected real-world sales scenarios. The objective: analyze decision-making behavior under realistic conditions.
Key focus areas included:
- Product portfolio and profitability management
- Growth orientation
- People management and leadership judgment
This component ensured that not just theoretical knowledge, but actual commercial decision-making ability was assessed.
4. Time Spent Analysis
One of the most powerful levers of the entire project was a detailed analysis of how time was actually being allocated within the sales function.
The findings were eye-opening:
- A significant portion of working time was not flowing into direct customer-facing activities
- Administrative and internal tasks were disproportionately high
- Top performers didn't stand out because of the hours they worked — but because of where they focused those hours
This transparency became a decisive driver for the subsequent reorganization.
4. THE OUTCOME:
Data-Driven Restructuring With Measurable Financial Impact
Armed with comprehensive analysis, a deep restructuring of the sales organization was developed and executed together with the client.
The results were significant:
- ~20% reduction in sales headcount, based on objective performance and role assessments
- Annual cost savings of over €1 million through a leaner structure and reduced overhead
- Clear realignment of roles, with a stronger separation between Hunter and Farmer functions
- Higher sales efficiency, as resources were consistently redirected toward value-creating activities
- Sharper management visibility, particularly around capability levels and capacity allocation
But the most important impact wasn't purely financial. It was qualitative: the organization became clearer, more focused, and more comparable. Decisions around people, roles, and resources could from this point on be made based on data — not gut feel.
5. THE TAKEAWAY:
Restructuring Doesn't Need Assumptions — It Needs Evidence
This case illustrates what large industrial companies stand to gain from a data-driven Commercial Talent Analysis. In complex, internationally grown sales organizations, it's rarely missing individual competencies that limit performance. More often, it's structural inefficiencies and unclear role models that are holding things back.
By combining hard and soft skill assessments, realistic business cases, time-spent transparency, and industry-specific benchmarking, it became possible — for the first time — to build a complete picture of the organization.
The result wasn't a theoretical optimization exercise. It was a concrete, executed restructuring with a measurable financial impact.
For top management, the lesson is clear:
Commercial Excellence isn't just a matter of strategy — it's a matter of transparency: about your people, their capabilities, and how they spend their time.
From Gut Feel to Clarity.
Would you like to explore how this approach could be applied in your organization? Get in touch with us via the contact form or book an appointment directly with Stefan Pogatsch, Head of Consultancy.
Feel free to reach out anytime.
Let’s explore where impact can be unlocked.
Stefan Pogatsch
pogatsch@cpm-group.at
+43 676 6314859
CPM Group GmbH
office@cpm-group.at
Offices:
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