Many companies experiencing sustained sales growth face, at the same time, structural challenges that threaten their profitability and sustainability. This phenomenon is more common than it seems: growing fast does not always go hand in hand with growing well.
In this context, the Commercial and Operational Management becomes one of the most relevant strategic pillars within an agenda of value creation. This approach is based on two components that, when worked in a coordinated manner, enable organizations to achieve new levels of performance: sales growth and margin and cost optimization.
This article explores how these two focuses can transform a company that grows by inertia into an organization that grows with strategy, control and profitability.
Sales growth: more than selling, scaling with strategy
One of the first signs that a company needs to strengthen its commercial management is excessive concentration on a few customers or industries, the absence of a systematic sales strategy or reliance on informal networks to generate new business.
This translates into a risk for the company, because it is directly proportional: if I lose a customer, I lose an important percentage of the sale; for this reason, when projecting the company's cash flows, it is punished with a greater perception of risk.
Here is how to deal with it, in three essential points.
Customer portfolio diversification
A concentrated portfolio represents a significant financial and commercial risk. Diversification makes it possible:
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- Decrease dependence on a few actors.
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- Strengthen the negotiating position.
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- Generate stability in the face of market changes.
There are three strategic lines to address this diversification:
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- Exploration of new industries that value the company's core capabilities.
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- Geographic expansion, both in local and international markets.
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- Expansion of offerings, developing complementary services or products to penetrate new accounts or increase the average ticket.
Professionalized commercial structure
It is not enough to identify opportunities: they must be captured in a structured way.
Here it is the opposite of the previous point. A good commercial structure gives the impression of good risk management and, in this way, increases the value of a company.
That said, professional business management includes:
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- Market segmentation and prioritization of opportunities.
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- Differentiated value proposition by industry or segment.
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- Commercial funnel management through tools such as CRM.
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- Clear indicators (KPIs) to measure and adjust business performance.
The professionalization of the commercial area organizes the sales process and allows for efficient and predictable scaling.
Customer retention and loyalty
Selling more to those who already buy from you is often more efficient than opening new accounts. That's why strengthening ties with existing customers is essential:
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- Loyalty programs or benefits for continuity.
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- Periodic satisfaction diagnostics.
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- Incorporation of methodologies for Customer Success to promote renewal and upselling.
A solid after-sales management can become a competitive differential in the Commercial and Operational Managementbecause it not only retains revenue, but also converts customers into promoters.
Margin and costs: how to turn growth into profitability
A company can be increasing its sales and yet see its margins deteriorate. This happens when costs grow at the same rate - or faster - than revenues, or when profitability per product, customer or service is not adequately controlled.
Cost control and operational efficiency
Reviewing the cost structure and internal processes is a key opportunity to improve profitability. This includes:
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- Eliminate reprocessing and redundant tasks.
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- Redesign processes to make them more agile and with less friction.
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- Optimize the organizational structure, adapting it to the current size of the business.
The tools to achieve this are varied: from the automation of routine processes, to the outsourcing of non-strategic tasks, to the adoption of more flexible operating models.
Pricing and margin strategy
Many companies do not actively manage their pricing structure, and that means leaving money on the table. A strategic pricing policy can consider:
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- Different price levels according to segment or industry.
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- Rates vary according to urgency, complexity or volume.
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- Higher value-added services at premium prices.
Periodically reviewing and adjusting prices based on cost, perceived value and competition is a key management act to protect margin and maintain a competitive edge. Commercial and Operational Management healthy.
Control and monitoring indicators
You cannot improve what you do not measure. Efficient margin management requires up-to-date and relevant information:
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- Margins by customer, channel or line of business.
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- Budget deviations with early warnings.
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- Operational and financial dashboards that enable data-driven decision making.
The use of analysis and control tools makes it possible to detect opportunities for improvement that would otherwise go unnoticed.
An integrated strategy: growing with control
The key to a good Commercial and Operational Management is to work both focuses simultaneously: it is not a matter of choosing between growing or being more efficient, but of scaling with control and purpose.
By aligning sales growth with active margin and cost management, companies achieve:
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- Financial sustainability.
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- Less exposure to risk.
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- Future investment capacity.
This approach requires a change of mentality: from acting on specific emergencies to designing a long-term commercial and operational strategy.
Where to start?
Companies wishing to optimize their Commercial and Operational Management and move forward on this path can begin with a self-assessment based on these questions:
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- What percentage of our sales comes from our top three customers?
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- Do we know the exact margin we obtain per product, service or customer?
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- Which processes could be digitized or standardized?
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- Do we have clear visibility of month-to-month business performance?
These questions do not seek to diagnose, but rather to activate a strategic reflection that allows prioritizing high-impact actions.
This is how to build business value
The Commercial and Operational Management is much more than a tactical sales review or a cost audit. It is a fundamental pillar for building real and sustainable business value.
Through continuous process improvement, revenue diversification, cost efficiency and a well-managed commercial structure, companies can face the challenges of growth with a solid foundation. It is not just about growth, but about growing well: strategically, profitably and with a long-term vision.
If you want to work your Commercial and Operational Management, contact our Valoriza team and we will help you.
