What’s a PnL management role all about?
Figuring what to look for when hiring for a PnL role for my startup. What are the key levers of the job? How do I assess the right candidate for this job?
Aaron Lee
Stealth
a year ago
PnL management includes
1. Most importantly sales, operations and revenue; this includes identifying customers and getting them to pay for your product/service.
2. Secondly, it includes optimising direct and indirect costs like Cost of Sales/Goods Sold, Customer Acquisition Cost, Salaries, Discounts, RRR (Return, Replacement, Repair), Logistics & Warehousing
3. Give a long term overview to your product and tech teams from a business perspective. Many in Grapevine may not appreciate PnL/Business roles, but a good product alone is not sufficient to get scalable revenue. You need solid customer acquisition, management and service strategy and operations. For the same, the product and process has to be aligned.
PS: PnL management is what I do as a Business Head.
This is a good question. A good candidate can actually be able to perform diagnostic Financial Planning, and check what kind of Cash flow can be generated in all the decisions taken.
Also talk to an experienced CA for a better metric assessment
