My key KPI: Rolling revenue, net profit, and export consignments
Welcome to ‘My key KPI’, a new weekly content series where we ask CFOs and FDs what metrics and measures they use to drive their businesses forward.
The aim is to understand how different finance professionals, across a broad array of industries and sectors, use data to inform their decision making.
This week, we hear from Rob Ross, the finance director of Europa Worldwide Group, a logistics business with £145m in turnover.
After being acquired in 2013, Europa Worldwide went through four years of restructuring. That's enough to send the shivers down any FD's spine. In that time there were redundancies, exiting properties and a financial dip, but now the company has emerged on the other side.
Rob Ross has guided the business throughout and has depended on a few key KPIs to help keep things moving forward. "The ones that have the most impact are a 12-month rolling revenue trend report and net profit. We've gone on such a difficult journey. We've had big dips followed by a big resurgence. Similarly with the revenue. So that's why it's the killer graph that goes in every presentation."
Alongside these two, Ross favours another metric: the number of export consignments. "I'm a big believer you can run most businesses on three KPIs. For us, this includes the number of export consignments. We know if we've done over 3,000-a-week and if we do that consistently, we will have made lots of money. Europa has quite fixed operational costs. We've got to fill our trailers."