Modules
Class 12: Measurable, Actionable and Repeatable
Transcript
Hello, friends. Welcome to a tradition unlike any other. This is the rev ops MBA with Brian Kreutz.
My definition is revenue operations is the the science of sustainable revenue growth. It's more a science to me than it is like a framework or methodology.
It's all about sustainable revenue growth. Right? Increasing revenue, decreasing cost. The reason I think it's a science more than like a framework or a methodology is because it needs to be measurable, actionable, and repeatable.
Whatever you're doing in rev ops, if it is measurable, actionable, and repeatable, you're gonna be a lot more successful in influencing whatever you're trying to influence. If you're trying to get your company to have sustainable revenue growth, which I think most companies want, then you need a scientific approach to make it measurable, actionable, and repeatable. So what do those mean?
First, what makes it measurable? These are all of our favorite reports and dashboards that we that we said were, a lot of the things that keep us up at night or our top focus on our, focus up focus up.
We can report on so many things in the CRM. The CRM has think about it. You have tens of thousands of contacts and companies and deals and all those custom properties and all those data points, and you can do so much to make it measurable. Almost any project or initiative that you can do, whether it's in rev ops or any part of the business, if that data is available in the CRM, you can make it measurable.
You shouldn't be working on anything if it's not measurable here. How can you say if something's been successful if you can't build a simple report that shows the impact of it or shows at least how you're going to measure it? It doesn't always have to be positive measurements. It can be measurement about low adoption or, you know, bad process here. But if it's not measurable, it's gonna be hard to manage.
What makes it actionable? And so the levels of rev ops maturity is kind of an idea that I'll go through in a couple sessions. But based on where you like, how mature your business is rev ops wise, you're able to make it actionable, at kind of a larger scale. And so the higher up the levels of the stage you get, the more actionable it can be.
So in stage one of maturity, you're just trying to get your process and your data into your CRM. Maybe you have this big integration or a big migration, that you have to get the data correct. Maybe the data in your system has a tons of duplicates and you don't trust any of the data. Maybe your process isn't adopted yet and you're really not having revenue growth with, flow through your CRM if you want.
Well, if that's the case, it's not very actionable. You don't trust the data. If the data is not even in there, makes it very, unlikely it's gonna be actionable. So if you're in stage one, you wanna get to stage two as quickly as possible to make it actionable.
Stage two, we call it the foundational or primary KPIs. What are the key parts of your customer journey that you can track?
And you can track the amount of customers that go through it and the converge rate between each stage. Once you have that, you can begin to get actionable from a high level in your business, different parts that you can, impact.
Now once you have those foundational KPIs in the process behind them, correct, and in the, you know, CRM or whatever system you use, stage three, you can iterate or iterate the business through these foundational KPIs. So if we're making these things measurable, how do we make it actionable? Well, we take that. We look at insights.
We look at what's working, what's not working, and we figure out how we want to improve it, and we make iterate our our business processes through these foundational KPIs to make it more actionable. Sage four has had a partition data. So all these custom properties, all these standard properties we have that we can slice data by, you'll get closed won deals. You can do it by by sales rep, by product, by average deal size, by geography, by deal source.
All these different data partitions make it that more actionable.
And then finally, stage five, what we're trying to get to is we're trying to drive business improvements. If the things you're working on a daily basis are not driving business improvements, then you're looking at it from the wrong way.
Finally, what makes it repeatable? We wanna we wanna take action and make those results repeatable over and over again. This is why I call it a scientific approach because I love using the scientific method for this. This is something I learned in, like, third or fourth grade that I haven't really used a ton since then until it finally dawned to me that, you know, rev ops and a lot of operational things within companies, it's just simply using the scientific method.
We're asking a question. We're doing a problem statement. What do we wanna fix? What do we not wanna fix?
What's a theory that we have? Did we hit our revenue goal? Like, simple as that, asking a question. We're done doing the research.
This could be internally or externally.
When we're doing research, we're looking at those reports. We're looking at some of these metrics. We're forming a hypothesis.
Why or why not we hit our revenue goal, for example?
After that, we're playing an experiment. This could be a full blown discovery, discovery session, a full blowed, and a full rollout as an experiment, or you can experiment on a, you know, a very small section or, you know, kind of one team first to see exactly how it goes. Then you analyze the data. Again, going back to the reporting, you need to analyze the data based on your experiment. Then you draw conclusions. These are the insights. These are your recommendations, and then you repeat the process over and over and over again.
But if you look at any of the projects you're working on, doesn't matter what role you're in or what department you're in, and you go through these seven steps and take a scientific approach, I promise you, you're gonna be more successful.
So to recap, I think revenue operation is the science of sustainable revenue growth, and it's because it's measurable, actionable, and repeatable.
So what's the end state of this? Drive business performance using a scientific method. If I need to sum up what it is and what the end state is, it would be this.