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Home Business Insights

The nine myths, two realities of revenue operations

Laura Cross by Laura Cross
September 22, 2023
Photo by RDNE Stock project: https://www.pexels.com/photo/overhead-shot-of-a-pen-and-notebook-on-charts-7947837/

Photo by RDNE Stock project: https://www.pexels.com/photo/overhead-shot-of-a-pen-and-notebook-on-charts-7947837/

Revenue operations has garnered much attention as a way to overcome challenges as B2B organisations tend to look to operations teams to harness and optimise resources.

Organisations would benefit from elevating and empowering operations teams, delivering a revenue operations' capability that integrates and unifies plans, processes, data, technology, and talent across the revenue ecosystem.

This not only drives a better customer experience but also brings an orderly approach to predicting and responding to today’s dynamic market environment.

Revenue operations requires new capabilities, roles, processes, and a change-agent mindset from operations leaders — all of which can propagate concerns, threats, myths, and misconceptions about what revenue operations is and what it should be responsible for.

The nine myths in revenue operations include:

Laura Cross, principal analyst
  1. It’s a land grab.
  2. It’s a cost-reduction exercise.
  3. It kills agility.
  4. It’s a miracle cure.
  5. It’s omniscient.
  6. Leaders are superheroes.
  7. It kills specialisation.
  8. It requires headcount centralisation.
  9. It’s short-term-focused.

Reality number one: revenue operations structures are tailored

Embedded in several of these myths is a fear that operational headcount centralisation tips the power of control across the revenue ecosystem.

Successful revenue operation organisational structures span everything from a completely decentralised model to a structurally unified centralised operations structure.

The ideal for many organisations may be a hybrid approach through a CoE (center of excellence) for select responsibilities such as data, analytics, and technology, for example. 

In this structure, operations functions — marketing operations, sales operations, and customer success operations — all work with the shared CoE for their respective data/technology requirements.

Regardless of the organisational structure, the goal of revenue operations is to reap the benefits of alignment and integration across the revenue ecosystem to maximise customer value and accelerate growth.

Combining all ops functions into one without creating new capabilities, responsibilities, processes, or a change-agent mindset loses the big picture.

Reality number two: revenue operations is a strategic partnership

Revenue operations--coordinating efforts among sales, marketing, and customer operations--forms a strategic partnership that best supports the C-suite.

Operations teams enable growth and exceptional customer experiences by optimising resources.

To deliver on this vision, marketing operations, sales operations, and customer operations need to break down silos and integrate their actions.

This partnership across operations personnel allows unified insights to be fed to executives at a critical time during strategic planning, aligns planning processes across the organisation so that individual functions are working in a cohesive fashion, and project-manages the execution and adaptability of plans in an agile fashion when markets change.

Through this unified revenue operations capability, the C-suite, especially the CEO and finance executive, empower the organisation to maximise its commercial potential and optimise resources, reducing duplication, overlap, and rework.

First published in Forrester.

Related:  How organisations can enhance revenue management strategies
Tags: b2bForresterrevenuerevenue management
Laura Cross

Laura Cross

Laura Cross is a results-oriented B2B marketing professional with over 25 years of experience in demand marketing, marketing technology, channel marketing, and marketing operations. She is an independent, proactive thinker with excellent communication, logic, and analytical skills. Today, Cross works with Forrester’s B2B marketing operations and revenue operations clients with marketing processes, including but not limited to marketing planning; campaign and program planning as well as centers of excellence; marketing operations and revenue operations operating models; and team organization. Cross previously worked with Forrester demand and account-based marketing (ABM) clients, creating extensive research to design, build, and deploy campaigns, programs, and tactics. She also worked with clients on lead management best practices, waterfall processes and optimization, and demand program measurement and optimization. Previous Work Experience Cross has held senior marketing positions at Epicor Software, American Express Corporate Services, Kofax Limited, and Ingram Micro. She was an early adopter of marketing automation and sales force automation solutions as a customer of Eloqua (now Oracle’s Marketing Cloud) and then a member of Eloqua's best-practice consulting team. At Eloqua, Cross worked with more than 500 customers over seven years, helping them improve their sales and marketing processes and increasing their overall efficiency and effectiveness. Education Cross is a graduate of the University of Southern California, Annenberg School for Communications and Journalism with a BA in public relations.

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