Who does RevOps report to?
Revenue operations (RevOps) continues to grow as a business practice because it gets results. A study by Forrester shows that 41% of US software and technology companies that adopted revenue operations solutions report major quantifiable revenue benefits, and 69% saw revenue benefits overall. Still, figuring out how revenue operations fits into an existing company structure and its processes can be tricky. After all, the RevOps function is relatively new.
Companies looking to establish a revenue operations department often have questions about how to structure the team and who is responsible for it. Let’s examine the purpose of revenue operations, who RevOps reports to, and how to structure a revenue operations team.
What is the purpose of revenue operations?
A RevOps definition is a business function or team with the purpose of providing oversight and optimization of the entire revenue-generating process. The way that RevOps approaches this is by breaking down silos between the revenue-generating departments of sales, marketing, and customer success. Silos are a major issue in these departments. One study by Teradata found that the state of teamwork across the marketing department is far from ideal, with more than 80% of marketers reporting that internal silos prevent them from having a seamless view of the campaign and of the customer across channels.
Revenue operations uses enablement practices, data, and intelligent technology such as Collective[i]’s end-to-end digital platform solution to bring these departments into alignment and solve the issue of internal silos.
Who does revenue operations report to?
As revenue operations is in charge of the overall revenue process across different departments, it doesn’t make a lot of sense to have RevOps report to one of the departments it oversees. On the other hand, placing RevOps above marketing, sales, and customer success could potentially lead to competition or infighting.
Revenue operations works best when placed at the same level as the other revenue-generating departments. This facilitates collaboration and helps the vice president (VP) of revenue operations work well with the VPs of sales, marketing, and customer success. By putting a chief revenue officer (CRO) in charge of RevOps, sales, marketing, and customer success, a company creates alignment and a clear chain of command.
Smaller businesses or those that are just starting out may find that budget constraints prevent them from creating a multitiered executive structure. Instead, it may be a better solution for revenue operations to report to the chief operation officer (COO) or chief financial officer (CFO).
What is the revenue operations team structure?
Taking a one-size-fits-all approach to the RevOps team structure simply won’t work. Each organization has its own unique needs and factors that influence what the optimal structure for this team will be. When developing the revenue operations team structure, keep in mind the roles and responsibilities of RevOps, such as:
Operations management Revenue operations takes a look at the processes and procedures that exist in order to analyze and revamp them for optimal performance. In some cases, switching to automated processes will help eliminate unnecessary duplication or reduce manual data entry. Tools like Intelligent WriteBackTM are extremely useful for operations management; Intelligent WriteBackTMautomatically cleans up CRM data and keeps it up to date to create a single source of truth. Having dedicated staff that review why and how workflows function is an important part of the revenue operations team.
Enablement An essential part of the RevOps team is team members who create enablement practices and shift the company’s culture to one of removing barriers for revenue-generating teams. These responsibilities can include creating shared objectives, measuring key performance indicators, focusing on customer insights and data, or even simply scheduling regular interdepartmental meetings. To connect revenue-facing teams, enablement tools are key. Virtual DealRoomsTM provides a digital space for team collaboration, eliminating the need for a multitude of disjointed meeting apps.
Insights and data Examining the revenue operations metrics for the revenue-generating departments helps the RevOps team to understand how they function and to identify pain points and optimization opportunities. Team members dedicated to these tasks can uncover opportunities for interdepartmental collaboration and provide the data and analysis needed to improve revenue outcomes. Every day, Collective[i]’s C[i] RecommendsTM identifies and prioritizes the highest-value activities — based on the actions of the top sales performers across its IntelligenceTM network of data and people — that will have an outsized impact on revenue outcomes.
Technology and tools Within revenue operations, it is important to assign staff to oversee and revamp the tech stack, an essential part of RevOps. For many companies, the proliferation of tech solutions inhibits rather than helps productivity. Qatalog partnered with Cornell University’s Ellis Idea Lab and found that 43% of people report spending too much time switching between different online tools and applications, and 48% report making mistakes because they can’t keep track of information stored across online tools and apps.
Teams are quite literally not on the same page, and RevOps staff can solve this by eliminating unnecessary apps and putting into place end-to-end digital solutions like Collective[i].
Each of these areas of responsibility will need RevOps team members who are equipped to find ways to solve operational challenges and develop RevOps strategies that drive revenue growth across departments.
To learn more about how Collective[i] can enable and empower revenue operations teams for companies of all sizes, reach out to us today.Explore Collective[i]