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June 14, 2024
Overview
Challenges
As companies face rising costs and changing market dynamics, there is a pressing need to rethink traditional sales structures. This report aims to equip revenue leaders with actionable steps to optimize their organizational designs.
Summary
The article explores how Chief Revenue Officers (CROs) can optimize their organizational structures for revenue growth amidst evolving challenges and expectations. It digs into current models and the need for innovation as technology companies confront cost pressures and changing customer engagement dynamics. The insights are essential for CROs to improve efficiency and effectiveness in revenue generation.
Included in the full report
Rethinking Revenue Structures:
Historical practices for designing sales organizations need to be adapted due to new pressures on revenue generation.
Sales Representative Calculation:
Proper sales organizational design begins with calculating the necessary number of representatives based on revenue objectives.
Role Structuring:
Key sales roles should be structured around three main models (Island, Assembly Line, Pod) to improve performance based on company complexity.
Adapting to Customer Engagement:
The transition in customer purchasing preferences necessitates a reevaluation of the go-to-market strategies.
Cost Management Innovations:
CROs face demands to innovate organizational structures while reducing SG&A costs to improve profitability.
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