What does RevOps do?
A major challenge many companies face, whether they realize it or not, is that different internal teams or departments exist as their own entities, with their own priorities, success metrics, and incentives. Exacerbating the disparity between those teams is that too often, they lack the right data analytics know-how and tools, which can hold organizations back.
Less than half of B2B professionals say their organization’s data sources and insights are well integrated, understood, consistent, validated, and shared across the organization. That complicates operations, making them inefficient, and leads to misunderstanding over business objectives and individual and shared responsibilities.
Still, taking advantage of advanced data analytics and unifying teams provides a key opportunity for forward-thinking organizations to differentiate themselves at a time when only 53% of teams implement more mature analytics, according to Forrester.
To get everyone rowing in the same direction, businesses should look to establish a RevOps framework.
The first step: creating a working RevOps definition.
What is RevOps?
In short, “RevOps” or “Revenue Operations” can refer to a team and a framework that aims to better grow revenue by breaking down communication and information silos — common barriers to a business’s success — between sales, marketing, and customer success teams.
Siloed business teams often have their own priorities and success metrics that sometimes align with those of other teams and sometimes don’t.
While teams may share a common goal, the differences in their day-to-day responsibilities can either complement or contradict each other. Ideally, each team has a clear understanding of how its work fits into the larger objective of the company.
When teams aren’t communicating or don’t have access to shared data to make decisions, duplicate efforts or misunderstandings between teams may arise. A Forrester study reveals that nearly three-quarters of B2B firms identified “managing multiple CRM systems across geographies/technology silos” as being “moderately to extremely challenging.”
Further, while organizations do prioritize increased reliance on data to make decisions, Forrester reports data only informs about half of B2B marketing and sales decisions. This leaves clear room for companies to unify their data and communications protocol to form a competitive differentiator. Yet B2B marketers and sellers too often lack complete and accurate data — and this is where RevOps can make a difference.
Revenue operations vs. sales operations: what’s the difference
Revenue operations may seem synonymous with sales operations, but their scope is different. Sales operations focuses entirely on the sales process and enablement; revenue operations does keep a close eye on sales, but it also keeps a close eye on other revenue-generating teams to get a wide-angle view of the business as a whole. This benefits a company by ensuring the various business teams understand how their work impacts (and is impacted by) other teams.
Comparison: revenue operations vs. business operations
The work of revenue operations and business operations is relatively holistic: Both aim to understand the business as a whole. The easiest way to distinguish the two, then, is in their core mission.
Business operations — consisting of departments such as accounting, HR, and legal — works primarily to support the other teams. A revenue operations will work strategically not just to support these teams but to align them as well.
The RevOps framework
What a particular business’s RevOps framework should look like will vary based on its revenue goals, business model and mission, and other factors. Generally, a good RevOps framework will consist of the following fundamental elements:
A strategy to align and unify revenue objectives;
Processes and workflows that are frictionless, repeatable, and collaborative;
Data analysis that drives insights to optimize and improve existing processes; and
A technology stack that generates insights, automates some manual processes, and can be tweaked for specific circumstances or objectives.
What is RevOps strategy?
Accomplishing the elements listed above requires not only a willingness to allocate resources to RevOps but also a strategy.
First, individual teams need to be aware of how their work affects revenue and how their work impacts (and is impacted by) other internal teams. This transparency increases understanding and accountability throughout the business.
Next, RevOps needs to identify gaps and inefficiencies in existing business processes. Aligning each team’s processes and priorities with those of other teams streamlines end-to-end operations and reduces friction for a more efficient and cohesive customer journey. This may consist of small adjustments or major changes to how one or more teams operate.
Finally, once RevOps has targeted and addressed areas for improvement, it will monitor key performance indicators (KPIs) to further assess how to refine operations and strategize next steps. RevOps can also introduce key software that all relevant teams can use to have the same access to shared data and advanced analytics. Collective[i], for example, offers a suite of artificial intelligence (AI) products that drive insights and streamline communication across teams.
Measuring success: RevOps metrics
There is more to measuring the success of revenue operations than simply looking at the bottom-line impact of changes to business processes. Since revenue growth is the main goal of RevOps, overall revenue is obviously an important consideration — but that number alone doesn’t necessarily provide actionable insights or specific indicators of where to go next.
Gauging the success of revenue operations involves using KPIs to not only understand individual team performance but also — more important — cross-reference the data to see how these teams impact each other. Customer churn, sales pipeline velocity, sales forecasting, cost of customer acquisition, and renewals (as well as upgrades and cross-sells) are powerful metrics that form a foundation for RevOps.
With the right framework in place, RevOps can provide actionable insights and data-backed recommendations for process-level improvement. When one team succeeds, the whole business succeeds.
Even when the metrics look good, the work of RevOps is never finished. As business or market needs change, or new tools and technologies are adopted, RevOps continually monitors KPIs to drive iterative improvements.
Gather insights and make improvements with Collective[i]
It’s never too early or too late for businesses to integrate a RevOps framework and strategy into the organization. Collective[i] provides a number of specific tools designed to modernize sales and improve end-to-end operations.
Specifically, Collective[i]’s offerings empower RevOps teams to:
Create a single source of truth by cleaning up CRM data and keeping it up to date with Intelligent WriteBackTM.
Bring communication channels together in Virtual DealRoomsTM to improve transparency, accountability, and trust throughout the business.
Use IntelligenceTM, Collective[i]’s network of data, to connect revenue-facing teams and better understand the start-to-finish customer journey for more agile selling and frictionless buying.
Help sales professionals identify and prioritize the highest-value activities with C[i] RecommendsTM.
Share the status of prospects in the sales pipeline instantly with all internal stakeholders using Predictive PipelinesTM.
Collective[i] is on a mission to modernize sales through the power of technology, shared intelligence, and human connections. Get started with Collective[i] today to support Revops and start the revolution.Explore Collective[i]