Growing effective revenue managers

Some companies enjoy much greater success with revenue management than others. The reasons for this are many, but one area where successful companies typically excel is in the quality of their revenue managers. They employ analysts that are more effective and drive more revenue. This is not by chance. Successful companies have understood the value of good training programmes and the importance of measuring performance. They have moved away from training that is purely technical and focuses on the system user's guide and have migrated towards continuous training efforts that include business knowledge and a thorough understanding of the impact of uncertainty. This paper discusses opportunities for improving revenue management education and training programmes. It describes traditional training efforts and their shortcomings and suggests improved training programmes which include the use of simulation tools, business knowledge and measuring the performance of the revenue management analysts as well as the revenue management department.