How Rev Ops Can Grow Your Business
eBook | 12 pages
How Revenue Operations Can Grow Revenues, Profits and Value in Your Business
2 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute WHAT THIS MEANS TO YOUR BUSINESS Any business can unlock more growth and value from their existing revenue teams and commercial assets by enabling the Revenue Operations blueprint provided in this analysis. The key is to understand the specific ways a Revenue Operations model can accelerate revenue, profit and value growth in your unique business and commercial model. Fo r example: ● C EOs and CX Os in slow growth industries can generate higher valuations by focusing their revenue teams around a more precise set of high opportunity clients, creating a culture of continuous improvement in the commercial process, and eliminating price, margin, and revenue leakage along their customer journeys. ● Executives leading large complex enterprises can become more agile by breaking down functional silos, leveraging prescriptive commercial insights to improve the speed, engagement, and produ ctivity of their selling teams, and demanding higher returns on their data, technology, and content assets. ● Organizations undergoing business model transformation can accelerate the shift to a more predictable and profitable recurrin g revenue model by aligning sales, marketing, and customer teams around a common purpose of generating customer lifetime value and a superior customer experience. ● Hyper - growth cloud companies can create exponential growth with high levels of net recurring revenues by unifyin g commercial operations, revenue teams and assets around a single customer journey and enabling ABM, 1:1 personalization, guidance, and coaching at scale in real time. Every business has a unique commercial model and faces their own growth challenges. Busi ness leaders need to understand where and how they should be transforming their commercial operations to generate the greatest impact and buy - in with the least amount of time and effort. To help CEOs and CXOs zero in on the actions that are most relevant t o their business, the faculty has developed a series of common commercial archetypes that describe typical growth challenges facing B2B firms in the current marketplace. For example, large and complex enterprises face significant challenges as they try to accelerate growth at scale and adapt quickly to changes in market demand, new product innovations, and competitive actions.
3 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute Complex enterprises with revenues of $500 million or more struggle to grow and adapt to market demand because they are stifle d by functional silos which lead to the fragmented management of revenue teams, the cross functional customer journey, and the ope r ations that support sales, marketing, and services. This can lead to an overly complicated commercial technology portfolio and disco nnected customer engagement data sets as well as key points of failure where revenue and margins are lost in the customer jo urney. Slow growing enterprises with limited demonstrated ability to sustain growth or capture new markets suffer from lower than average growth and valuations relative to their industry peers. The average enterprise listed on the S&P 500 grows at 3.9% and has a value of 18 times earnings before interest, taxes, and depreciation (EBITDA). 52 Even large and slow growing o rganizations in mature markets can generate more profitable growth by tightly managing their commercial processes and intelligently allocating their commercial resources to the activities, accounts, and opportunities w ith the greatest potential. “Margin ma ximizers” generate more profit at lower cost to sell by demanding that every commercial asset and resource demonstrate a financially valid return and tuning their commercial architectures to generate the most profitable sal es from limited resources. C EOs a nd CX Os that seek to grow at scale are increasingly unifying the commercial operations that support sales, marketing, and customer support to generate more scalable growth from their revenue teams. To do this, the CEOs of “Agile Enterprises” are p utting in place growth leaders with a broad span of control over all revenue teams, and a mandate to better leverage technology as a fo rce multiplier and transform the commercial model to become more data - driven, digital, and accountable. Investors and boards are p utting pressure on every business to generate more predictable and profitable growth by transitioning some or all of their offerings to a recurring revenue model by introducing cloud solutions, SaaS offerings or subscription service s. Business model transf ormation like this requires strong leadership from the top to create incentives and systems that align product, marketing, and customer success teams on generating annual recurring revenues and the high growth rates required to make the transition to a clo ud business. Businesses that successfully transform into cloud businesses are rewarded with earnings multiples in excess of f orty five times EBITDA. 54
4 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute
5 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute WHAT YOUR ORGANIZATION SHOULD BE PRIORITIZING The Revenue Operations Maturity Model provides a blueprint for identifying the unique steps an enterprise can take to continu ously improve revenues, profits, and firm value. The high level benchmark analysis below illust rates the key areas. Enterprise CXOs should focus as they deploy the elements of the Revenue Operations model that will yield immediate and measurable results. A custome r analysis like this can be generated in a few hours using the assessment tool at the e nd of this report. ENTERPRISE COMMERCIAL MODEL ARCHETYPES Archetype Growth Dynamics Key Drivers Transformers Transformers are transitioning some or all of their revenues to a subscription, SaaS and cloud based business model. Business model change increases the importance of net recurring revenues, the customer experience, and customer lifetime value as a focus o f the revenue team. The average mature SaaS business grows at 19% or higher in transition to support double digit earnings multiples and maintain cash flow as the revenue profile shifts and cover large, fixed costs. 54 ● Common purpose: Redefine incentives to focus revenue teams on customer lifetime value, retention, and annual recurring revenue. ● Sales force redesign: Reengineer roles to elevate sales development, customer suc cess manager and specialist roles and focus team resources on growing customer value. ● Key Performance Indicators: Enable quantifiable measures of opportunity potential, seller performance, account and pipeline health based on customer engagement and selle r activity data. ● Shrink the lead to cash cycle: Integrate enablement, engagement, and readiness solutions to accelerate sales Agile Enterprise Agile enterprises turn their focus on maximizing their lifetime value of their customer by cross selling the full breadth of their product portfolio and aligning revenue teams on the highest potential accounts. They maximize firm value by using team - based selling approaches to grow total contract value and customer lifetime value and pivoting their go - to - market s trategy to expand their addressable markets and drive high levels of growth at scale. ● Data - driven selling: Enable real time proscriptive sales guidance and 1:1 coaching at scale across all customer facing sales, marketing, and success functions. ● Leadership : Put in place a single CXO (Chief Revenue Officer) to align commercial teams around the customer with a broad transformation remit and authority. ● Sales force design : Reengineer the sales team roles to elevate sales development, customer success manager and specialist roles and focus team resources on growing customer value. ● Operations: Unify commercial operations to better leverage customer insights and scalable technologies across the enterprise. Margin Maximizers Enterprises that maximize marg in and price while controlling cost to sell through optimal allocation of resources, sales force emphasis, revenue enhancement technologies and the shift to digital and virtual selling. These businesses must maximize earnings growth to justify purchase pri ce valuations by PE investors that have grown to exceed 13 times EBITDA. ● Accountability : Define financially valid criteria to prioritize, size, allocate and measure the performance of all commercial teams, budgets, operations, and enablement assets. ● Commercial process management: Establish a single point of management across the enterprise customer journey to eliminate the handoffs and “air gaps” in the prospect to cash cycle to limit revenue and margin leakage. ● Revenue Enhancement: Invest in CQP and fulfillment tools to reduce revenue, price, and margin leakage in the lead to cash cycle. Complex Enterprises Complex enterprises struggle to grow and adapt to market demand because they are stifled by functional silos, the fragmented m anagement of selling resources, and overly complicated technology portfolio and disconnected customer data sets. Complex enterprises must focus and align their revenue teams and resources on the highest opportunity accounts and find ways to leverage techno logy as a force multiplier. ● Architecture: Reengineer segmentation, account priorities, and coverage model to realize more market opportunity and focus resources on customer value. ● Predictive Selling Insights : Use predictive insights to significantly focus account priorities based on potential, pr opensity to buy and coverage difficulty. ● Evaluate commercial asset effectiveness: Assess the growth technology portfolio, customer data and content assets to ID ways to rationalize the technology and eliminate waste, redundancy, or non - performing assets an d streamline the seller experience.
6 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute Hyper growth cloud businesses face a different set of challenges as they seek to achieve the growth and recurring revenues re quired to achieve the valuations their investors expect upon exit. An analysis by Blossom Str eet Ventures of 49 recent SaaS business IPOs found the businesses were growing at over 50% year on year with net recurring revenue ratios over 100%. Investors rewarded these fi rms’ valuations of over 15 times revenue. 53 Many businesses with SaaS offerings and innovations take on growth capital to fund organic growth but fail to achieve the lev el of scalable and sustainable growth required to penetrate the large addressable markets they target and to justify the valuation their investors made. Armed with enough growth capital, many organizations pursue a “growth at all costs” strategy and spend a significant portion of their budget on building revenue teams and go to market programs to drive double digit growth. But withou t disciplined leadership and a focus on finding ways to create consistent and scalable growth, these businesses can become “gas guzzlers” that fail to gener ate growth commensurate with the dollars invested or share of the market because they lag the compet ition. Other firms achieve high levels of customer acquisition but at the expense of the customer experience and user adoption. These organizations risk becoming “leaky buckets” that lose customers after the back end of the customer journey through churn, lack of user
7 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute adoption or low levels of perceived value. These organizations are not able to sustain the net recurring revenue ratios requi red to justify the high valuations their investors and employees are counting on. The following page outlines typical commercial model archetypes for a hyper growth business, and the key aspects of the Revenue Operations model they need to focus on to take their growth to the next level. HYPER GROWTH COMMERCIAL MODEL ARCHETYPES Archetype Growth Dynamics Key Drivers Cloud Climber Fast growing cloud first businesses that are growing revenues at double digit rates by focusing on speed to market, optimizing the customer experience and scalable selling technologies and channels. The average SaaS business IPO grew at over 50% with net recurring revenue ratios over 100% and firm valuation of over 15 times revenue. 53 • Operations : Unifying commercial operations to leverage customer insights and scalable technologies across the enterprise. • Architecture: Reengineer roles and segmentation in commercial architecture to realize more market opportunity and focus resources on customer va lue. Leaky Buckets SaaS businesses that are able to acquire new customers at double digit rates but are unable to sustain net recurring revenue ratios of over 100% because their revenue teams are not aligned on the customer experience and there is significant revenue, opportunity, and margin leakage in the customer journey. • Common P urpose : Redefine incentives to focus revenue teams on customer lifetime value, retention, and account health. • Leadership: Put in place a single CXO (Chief Revenue Office ) to align commercial teams around the customer. Gas Guzzlers Pre - IPO cloud and SaaS businesses that are investing a significant percentage of their capital into generating hyper growth, preference and share but unable to achieve scalable and sustainable growth. Gas guzzler revenues are not growing enough to justify rising selling costs and seller performance is inconsistent due to unfocused territories, accounts, and very low returns on commercial selling assets. • Leadership: Create 100% accountability by defining financially valid criteria to prioritize, size, allocate and measure the performance of all commercial teams, budgets, operations, and enablement assets. • Operations: Map the cross functional customer journey to ident ify and eliminate the handoffs and “air gaps” in the prospect to cash cycle to revenue and margin leakage with a single point of management of the customer journey across the enterprise. Failure t o Launch SaaS businesses that are unable to generate the hi gh levels of organic growth and share of the total addressable market needed to generate valuations that justify capital invested and losses incurred because of inconsistency and failure to leverage scalable technologies in their commercial models. • Archite cture: Reengineer roles and segmentation, and coverage model to realize more market opportunity and focus resources on customer value. • Insights: Use predictive insights to significantly focus account priorities based on potential, propensity to buy and cov erage difficulty.
8 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute SMART AND IMPACTFUL WAYS TO STAIRSTEP YOUR ORGANIZATION TO COMMERCIAL TRANSFORMATION One of the biggest obstacles to commercial transformation is that it is perceived to be a “bridge too far.” The CEOs, executi ves and operations managers interviewed in this analysis voiced common concerns about the perceived amount of change involved and the time and commitment it will take to realize benefit from a Revenue Operations model. The leaders who have had success transforming their commercial models have realized three important things. ● Commercial transformation is a process of continuous incremental improvements . Much of the current research on Revenue Operations creates perceptions that all of these changes have to happen at once to realize performance gains. Seasoned executives understand that moving to a revenue operations model in the front office is very similar to applying the principles of Lean Manufacturing, Six Sigma, Kaizen, and Total Quality Management to back offic e processes. ● Transformation starts at the top . Delegating change management to the operations function is a common reason efforts to align marketing, sales and customer success get stalled or fail. Organizations that have successfully moved the needle lik e Avaya, Cisco, Honeywell, GHX, Splunk, and Pentair have CEO support for transformation and have put in place executives with “CXO” roles with a remit to better manage commercial assets, the operations and enablement infrastructure, and the customer journey across the enterprise. ● The cost of not changing is greater than the pain of change in terms of diminished competitive differentiation, the ability to realize opportunities in the market, higher selling costs, seller attribution, and account churn. The le aders of GHX, iconectiv, Inmar Intelligence, Fortive and Honeywell have all taken similar steps to achieve commercial transformation. They are putting in place a CXO to lead that change, instilling a culture of continuous learning and improvem ent, and stai rstepping their way through a series of high impact changes to the commercial model. For example, Peter Ford , the VP of Global Sales at iconectiv, takes inspiration from how Dave Brailsford, who led the British cycling team to Olympic gold, broke down each element of the race and striving for just a 1% improvement rate for each. Ford has enli sted a similar marginal transformation process to improve the performance of his revenue team. “I don't believe that there is a single thing that contributes to the transformation of a sales organization,” Ford recalls. “What I did was break down the elements, keepi ng my eye on those that would bring the quickest gains. Ultimately, I found that it came down to focusing on people, process and tools.” Likewise the leadership at Fortive is driving growth by applying the principles of lean manufacturing and continuous improvement to fr ont - office processes – including sales and marketing, new product development, innovation, and market development. The Revenue Operations Maturity Model within this analysis lays out 16 discrete steps your organization can take to better al ign commercial revenue teams, operations, systems, and processes to grow faster at lower cost. Individually, these actions can be piloted, sequenced, and measured to create financially viable and bite sized stairsteps that move your organization through a transfor mation in ways that are politically, practically, and financially achievable. Collecti vely the sum of these steps can yield transformational results. To help CXOs visualize the steps they can take in the short, medium, and long term to grow faster and more profitably, the fa culty has synthesized the learnings from this analysis to create a step by step approach to commercial transformation. The table on the following page provides a menu of common steps organizations are taking to improve. Each of these steps creates measurable value, proof of concept, and buy in. Over time they add up to significant impact on growth, profits, and firm value. This roadmap represents an illustrative and commonsense blueprint for how your organization can sequence and scope the changes involved in commercial transformation. With an investment of only several hours, it is possible to create a much more bespoke Revenue Operations Roadmap using the Maturity Assessment provided at the end of this report to assess the state of their commercial transformation and i dentify the most financially viable way to “stairst ep” their organizations towards greater alignment of sales, marketing and CX teams, assets, systems, and processes.
9 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute A STEP BY STEP APPROACH TO COMMERCIAL TRANSFORMATION Step 1 Step 2 S tep 3 S tep 4 90 Days 180 Days 12 Months 18 Months • Operations: Assign an executive to measure the performance of commercial process, operations and analysis and establish a center of excellence to coordinate operations resources, enablement capabilities and assets across the enterprise customer journey. • A rchitecture: Quantify the potential to increase rep engagement, productivity, speed at lower cost to sell by adjusting coverage, roles, account priorities, incentives, and seller emphasis. • Insights: Use predictive insights to significantly focus account p riorities based on potential, propensity to buy and coverage difficulty. • Enablement : Prove the impact of data - driven selling by piloting real time coaching and guidance by combining existing customer engagement and seller activity data • Asset Management: E valuate the sales technology portfolio and customer data assets to identify immediate ways to rationalize the technology stack to eliminate waste, redundancy, stranded or non - performing assets and streamline the seller experience and improve adoption. • Lea dership: Create 100% accountability by defining financially valid criteria to prioritize, size, allocate and measure the performance of all commercial teams, budgets, operations, and enablement assets. • Operations: Map the cross functional customer journey to identify and eliminate the handoffs and “air gaps” in the prospect to cash cycle to reduce revenue and margin leakage and identify the moments that matter. • Architecture: Modify the go - to - market strategy, sales force design, and TQP plan to double the engagement, speed, and productivity of revenue teams while reducing the associated cost of sales. • Enablement: Enable real time sales guidance and 1:1 coaching at scale across all customer facing sales, marketing, and success functions • Insights: Define and enable KPI that quantify opportunity potential, seller performance, account and pipeline health based on customer engagement and seller • Asset Management: Redeploy operations resources from functional silos to streamline the administration of data, technol ogy, and content. • Leadership: Install a single growth executive (CXO) to align and manage all sales, marketing, partner, and customer success teams and establish a common purpose to grow customer lifetime value. • Operations: Integrate sales operations and sales enablement and marketing operations to provide end to end management of all customers facing teams and assets along the customer journey • Architecture: Redefine territory boundaries and quota assignments based on more precise data inputs • Insights: Es tablish a center of excellence for customer analytics to generating more commercial insights from customer engagement and seller activity assets • Enablement : Converge readiness, enablement, and engagement solutions into a RevOps platform that supports ongoi ng, closed loop and real time training and development to accelerate ramp, improve the readiness and skill across the entire revenue team, and retain top talent • Asset Management: Reconfigure the commercial technology stack to support digital selling by re ps and create a closed loop integrated learning and development process. • Leadership: Centralize all operations supporting growth under a CXO with a broad transformation remit and authority to lead change • Architecture: Fully align incentive compensation across sales, marketing, and customer experience around customer lifetime value, CX, and corporate growth objectives. • Enablement: Redeploy operations and analytics resources to create capabilities that create scalable an d non - linear growth including 1:1 personalization at scale, real time training at scale, response management, data - driven sales resource allocation, and ABM. • Insights: Develop effective analytics to assess customer sentiment, trust, distress, and intent i n real time during customer interactions to improve the customer experience, conversion, and relationship quality. • Asset Management: Build the commercial technology roadmap around core platform partners who can aggregate, orchestrate, and convert customer engagement and revenue intelligence data into commercial insights in real time.
10 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute A 90 DAY ACTION PLAN There are four steps every organization can take to start transforming their commercial model and agree on the best steps to take to grow faster and more profitably. The faculty of the Revenue Enablement Institute can help your operations team to demonstrate, quantify, and prioritize the top opportunities to create growth, profits, and value by moving to a Revenue Operations model. The Revenue Enablement Institute has developed an assessment tool based on the 72 point Revenue Operations Maturity Assessment in this report. This powerful and intuitive tool can help your leadership team to quickly assess the state of their commercial t ransformation and identify the most financially viable way to “stairstep” your organization towards greater alignment of sales, marketing and CX teams, assets, systems, and processes. CONDUCT A REVENUE OPERATIONS MATURITY ASSESSMENT Our faculty can help your operations team to test and prove the impact of data - driven selling by piloting real time coaching and guidance. Our team will help you to get control of your conversational, CRM, email and calendar data sets and pilot real time call guidance and coaching with front line development reps, account reps, and Customer Success Managers (CSM) in sixty days. PILOT REAL TIME GUIDANCE AND COACHING IN 60 DAYS Our expert faculty can audit your sales force design and go - to - market architecture to estimate the potential to unlock more revenue and margin growth by re - calibrating coverage, selling roles, account priorities, product emphasis, the mix of engagement, and deployment of your revenue teams. Making several small changes to y our commercial architecture can add up to big changes in revenue contribution, profit contribution and quota attainment. AUDIT YOUR COMMERCIAL ARCHITECTURE TO SIZE THE OPPORTUNITY TO IMPROVE Our faculty can help your operations team to evaluate your commercial technology portfolio and customer data assets to identify immediate ways to rationalize the technology stack to eliminate waste, redundancy, stranded or non - performing assets and streamline the seller workflow, simplify the seller experience, and improve adoption. CONDUCT A COMMERCIAL TECHNOLOGY PORTFOLIO REVIEW
11 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute ABOUT THE RESEARCH This research initiative was led by the expert faculty of the Revenue Enablement Institute in collaboration with over 45 indu stry practitioners and experts. To define and execute this best - practice analysis, our faculty of leading academics, experts, and practitioners in the field of Revenue Enablement and sales management has conducted interviews with 106 CEOs, growth leaders and sa les effectiveness professionals and experts between January 2021 and June 2021. In parallel, our research team surveyed 622 sales professionals and evaluated the top 100 technologies that are converging to define and enable the 21 st Century Commercial Mode l. These experts lent their research and decades of practical experience and external validation to the recommendations about ho w organizations are transforming the operations that support revenue growth to get sales, marketing, and service organizations t o work as one revenue team and make the selling process faster, more digital, data - driven, and measurable in the face of changing buying behavior and underperforming growth assets. The faculty contributing directly to this analysis include: Stephen Diori o , Executive Director of the Revenue Enablement Institute. Mr. Diorio is a leading authority on commercial transformation, sales and marketing performance measurement, virtual selling channels, and revenue enablement. He is the author of Beyond e: How Tech nology is Transforming Sales and Marketing Strategy. Howard Brown , Founder and CEO of ringDNA. Howard is an established authority in revenue science, enablement, and operations. For the last ten years he has been leading innovation in how AI can modify selling behavior and improve seller consistency, performance, and readiness. A trained clinical psychologist, Howard is at the vanguard of the technical and psychological advances in the science of revenue. Howard’s team at ringDNA is pioneering way s advanced analytics and AI can provide sales and service teams the coaching, guidance, skills, and customer empathy they need to excel. Greg Munster , Managing Director of Sales Transformation, the Revenue Enablement Institute. Greg is a leading authority in sales enablement and customer - centric go - to - market transformation. Greg has led numerous business transformation initiatives to drive revenue optimization and customer success at industry leading global technology firms inclu ding Canonical, IBM, Lenovo, and Red Hat. Greg has over a decade of practical experience in the design, implementation and adoption of the sales technology portfolio including CRM, CPQ, Digital Asset Management and Learning Management within enterprises. Jeff McKittrick , Managing Director Digital Selling Platforms, the Revenue Enablement Institute. Jeff is a leading authority in revenue enablement with over 15 years of sales operations leadership experience building and implementing digital selling and sales enablement platforms at Cisco, Hitachi Vantara, and WalkMe. Jeff and his team at Hitachi Vantara won Sirius Decisions’ Program of the Year for Sales Operations for their work on creating the Digital Selling Platform. Leonard Ferrington , Managing Director, Summit Partners. Len has a 16 - year track record of successfully funding, guiding, and growing enterprise solutions that leverage advanced analytics, AI, intelligent business automation, e - learning and unified communications to grow rev enues and build highly effective teams. He and his team at Summit Partners have focused expertise in solutions and innovations that can enable virtual selling as part of the 21 st Century Commercial Model and the new buying reality. Corey Torrence , Senior Managing Director, Blue Ridge Partners. Mr. Torrence is an authority on sales transformation and revenue operations. He has helped over 300 organizations unlock new growth by designing new organizational approaches, incentives, and systems to optimally reallocate sales time and resources to the best customers, markets, and territories. This steering committee was supported by contributions from academics and subject matter experts from the Revenue Enablement Faculty including David Edelman, Chris Hummel, Michael Smith, and Bruce Rogers and Professors David Reibstein, Leonard Lodish, and Raghu Iyengar of Wharton, and Bob Kelly the CEO of the Sales Management Society.
12 | Enabling Revenue Operations in a 21 st Century Commercial Model Copyright © Revenue Enablement Institute ABOUT THE REVENUE EN ABLEMENT INSTITUTE The mission of the Revenue Enablement Institute is to educate and arm a new generation of growth leaders with the state - of - the - art management tools, skills, capabilities, and practices they will need to accelerate revenue growth and adapt to the new buying reality. Our facul ty of academics and experts are actively working with owners, CEOs, and their growth leadership teams to develop research, education, and management tools to help them transform sales, marketing, and service systems into high performing growth team s. Our efforts focus on the five key enablers of profitable and sustainable growth. 1. LEADERSHIP – Successful sales and marketing transformation will require new skills and leadership approaches. The next generation of growth leaders must be coaches that find ways to get revenue teams to work together, and find better ways to use data, information, and technology as force multipliers. 2. TEAMWORK – Growth leaders will need new managerial architectures that break down organizational silos and foster teamwork across sales, marketing, and service at scale across the enterprise. Old hierarchical command and control approaches will be too slow, culturally toxic, and introduce too many points of leakage and failures as revenue opportunities move across functions. 3. COMMON INCENTIVES – Revenue teams can only succeed if they have a common purpose. Growth leaders must define a single scorecard for success that will give disparate sales, marketing, and customer success teams the incentives to work tog ether to grow revenue and customer lifetime value. Hierarchical, functional, and waterfall metrics based on linear sales funnels and independent functional roles will fail to either foster teamwork or address current customer behavior. 4. INSIGHTS – All customer - facin g employees need a fully transparent, 360 - degree, real - time view of the entire buying journey if they are going to play like a team. Revenue teams must act on buying signals, location - based opportunities, or churn triggers in service within minutes instead of hours or days. Sharing information horizontally across the enterprise to inform and support teams from across geographies, business units, and market segments is now the key to growing revenues, profits, competitiveness and shar e price. 5. RETURN ON SELLING ASSETS – Revenue leaders must find ways to use technology as a force multiplier and team enabler if they expect to succeed by dramatically increasing historically low levels of salesperson productivity, technology adoption an d return on selling ass ets – content, technology, data, and automation. To do so, they must find ways to use AI - driven sales tools and workflow automation to automatically enforce new sales methodologies into daily practices, input data into CRM profiles, and deploy al l the expe nsive content, thought leadership, and playbooks created by marketing. We hope this excerpt of Enabling Revenue Operations in a 21st Century Model was helpful to you. If you’d like a copy of the full report at no cost, we invite you to reach out to us at ringdna.com to further discuss how we can support Revenue Operations at your company. BUILDING AND ENABLING A 21ST CENTURY REVENUE OPERATIONS MODEL
