Four Key Steps to Enhance Quality of Revenue

Entering the cycle of QOR sometimes takes a higher order capability or switching to a different capability.

Sai Kumar Chandran

In the last 10 years, enough has been said about QOR (Quality of Revenue) and how high-quality revenue enhances bottom lines, ensures sustainable profits, and gives higher shareholder returns.

But a common question many have is: Where do we begin this journey? This question is not only filled with anticipation of an answer but is also heavy with the anxiety of how to really make things happen. Many of us business leaders, intuitively know that if we are not able to sell what we create, things will only become complicated. Hence many of us stick to what is selling and try to improve the delivery of what we have sold. Thus, sales and delivery take precedence, and we are not able to enter the cycle of creating a higher level of QOR.

Entering the cycle of QOR sometimes takes a higher order capability or switching to a different capability. A capability is a combination of skills, processes, systems, and infrastructure. These capabilities have a cost and in business and all costs must be recovered. Keeping this in mind, there is a framework for us to go to market with our QOR strategy. The key is to create a prototype team that delivers a proof of concept as the first step of the QOR experiment. This involves building parallel capabilities in an existing high-performing team, translating that capability into a proof of concept on an existing project or an existing customer and then enhancing relationships with other customers by offering this proof of concept as they step-up work. Once we have attained success with farming revenue, it becomes easy to get hunting revenue, or new accounts/customers.

The key here is to keep the effort big enough so that the customers appreciate the returns. Yet, keep the internal effort at a level from where scaling up is easy, and scaling back is not expensive. Two additional benefits of taking this route are:

  • Enhanced spirit of innovation / R&D in the organization which breaks quality barriers
  • Capability development opportunities for the individuals and teams which participate in this exercise – leading to career enrichment

So, if you are one of those leaders looking for the magical door to enter the journey of QOR, this is it. Start with an existing account or customer, learn, and excel.

Sai Kumar Chandran is the founder of OrbitShift. He is a coaching and consulting practitioner and an entrepreneur at heart. He can be reached at

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