Sample · fictional company

Value Room Diagnostic Northfield Software · six weeks after the Read · both layers measured

a year of economic profit, ranked. Number two belongs to Finance.

The Read said go deeper. This is what the Diagnostic found when it measured the organization and the process, priced every decision in one unit, and put them in order. Northfield and every figure here are fictional; the method is the one we run on client data.

Economic profit a year

of ARR, from eight decisions, with no new headcount.

Selling time →

Share of installed hours that go to selling, after the decisions that return time.

Stop funding2

Items in next year's plan cost and return less than they cost.

About 2½ minutes · or scroll and read

01 The instrument

Eight accounts on two layers. One unit.

A dashboard reports what happened. A ledger records what each thing is worth, in economic profit, so a management problem and a pipeline problem can be ranked against each other.

The Read opened the process side. The Diagnostic adds the organization side, measured with the instrument from our research on 228 sellers and their managers.

Economic profit of a decision = gross profit it adds, minus what it costs to run, minus a 12% charge on any money spent up front. Capacity is the account the other seven are paid in, so its hours are never added twice.

02 The organization layer

How the people who run the number are managed, paid and slowed down.

All 45 reps and 6 managers answered the research instrument. The pattern is in three teams: the weakest management scores and the most friction sit in Enterprise West, Mid-Market North and Public Sector.

Team averages on a 7-point scale. Teams are compared with each other, never with an outside benchmark. For friction, higher is worse.

03 The process layer

Eight tests on two exports. Three came back clean.

Forecast history from the CRM and contract history from billing. A test that finds nothing is reported as clean, and we stop there.

04 Where the layers meet

Two methods, measured apart, point at the same three teams.

The Read graded each team's forecast calls against its own history. The survey scored each team's manager. Neither measure was used to build the other, and the three teams that fail the first sit lowest on the second.

Horizontal: management quality score. Vertical: forecast accuracy against the base rate, from the Read. Six teams is a small sample; the point is agreement, not a regression.

05 Capacity

hours installed. go to selling.

Three of the decisions return time rather than money directly: closing out dead deals, running three teams from the base rate, and dropping one approval. Together they put hours a year back into selling.

45 reps at 2,080 hours a year. Selling share stated by Northfield; hours returned are the sum of the three time-returning decisions.

06 Every decision, priced

Eight decisions in one unit. Open any one to see how it was priced.

Organization layerProcess layerLines: low to high case

07 What not to fund

Two items in next year's plan cost more than they return.

The same test that ranks the good decisions also stops the bad ones. Both of these are popular, both are already in the plan, and both lose money on Northfield's own numbers.

08 The decision queue

Do these first, in this order.

Ranked by economic profit a year. Two of the top three have nothing to do with forecasting, and number two needs a signature from Finance and Legal, not from sales.

Show only what sales can do alone

09 The method, and what comes next

Every number traced to where it came from.

Each input is marked measured (from your files or survey), research (from the 228-seller study), stated (by you) or modelled (our default, which you can replace).

Economic profit

Economic profit = gross profit added − cost to run − 12% × money spent up front
Hours returned  = hours × $1,028 per selling hour × 0.5 (marginal hour) × 78% margin
Research lever  = coefficient × gap in SD × one SD of rep output × reps × realization

One SD of rep output is measured from your own bookings per rep. Research coefficients are standardized effects from Arbe Marroche (2026); realization starts at half and is replaced with your own result after the first quarter.

Inputs and sources

What this sample is and is not

Northfield is fictional, so every figure here is illustrative. The structure, the formulas and the sources of each input are exactly what a client receives. Each decision has a low and high case. The ranges overlap, so the queue is a starting order that the first quarter of results refines.

Next, for the budget

Investment Allocation Review

Every request in next year's plan priced against the same standard, including the two that fail here. Memo, committee deck and the open model.

Next, for the number

Implementation and advisory

We install the queue: the Monday Four, the approval change, the manager work. The Ledger stays with your team.

Start where Northfield started

One file. Five business days. No fee.

The Read comes first. If it finds economic profit worth more than the next engagement costs, we go deeper. If it does not, we say so plainly.

hello@thevalueroomgroup.com

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