Adjusted Opportunity Value

Adjusted Opportunity Value is a KPI that is monitored in conjunction with Opportunity Value. The measure Probability of Closure plays an important role in deriving Adjusted Opportunity Value.

Opportunity data is the baseline for computing Adjusted Opportunity Value. Only open opportunities as of the selected date are considered for calculation. Each stage of the Opportunity is assigned with a probability value that is indicative of success rate of winning the opportunity. Adjusted Opportunity Value is the sum product of total opportunity value across all stages of the opportunity with probability of closure.

Stage Opportunity Value Probability of Closure Adjusted Opportunity Value
Review  $25,000  80%  $20,000
Quotation  $30,000  60%  $18,000
Prospect  $45,000  30%  $13,500
Lead  $60,000  10%  $6,000

In the example above, the Adjusted Opportunity Value is $57,500 against the Total Opportunity Value, which is $160,000.

Total Opportunity Value gives the total potential of the pipeline whereas Adjusted Opportunity Value provides the expected yield.