Take a CRO view of your business revenue

Take ‘A CRO View’ Of Your Business Revenue | Build A Modern Revenue Engine Series | Part 3
Originally published on Linkedin.

In Part 1 of the series, we outlined a simple formula to build a revenue engine in any business. Then in Part 2, we explore setting your revenue goals and identifying your revenue resources. These are both key inputs into your revenue engine. 

The critical factor in our revenue growth formula is the approach we take…we call it taking A CRO View’… and this perspective when applied to your business opens up new opportunities for revenue growth using the resources you currently have in your business, better.

A CRO View

In this article, we’re going to explore:

  • What is a CRO?
  • How a CRO’s role is different from that of a Sales or Marketing Role,
  • Why ‘a CRO View’ makes ALL the difference to revenue growth.

What Is A CRO?

A CRO refers to a Chief Revenue Officer.

Why do companies want and need one?

Put simply…their role is to increase the opportunities and delivery of consistent net revenue growth in the business. They do this by looking across an entire organisation at ALL of the potential revenue influencing areas.  Then they design and put in place an integrated revenue strategy and engine that aligns all the influencing areas in a way that promotes predictable, consistent revenue growth. This strategy and engine are in alignment with the overall current and future revenue goals of the business.  

Large companies often with vast resources at their fingertips engage a CRO [Chief Revenue Officer] to oversee key revenue influencing areas + resources – pulling all the parts of the business work together holistically rather than in isolation.

But it also benefits SMEs…smaller businesses can gain just as much gain advantage from a CRO View to grow and utilise their resources. The difference is small businesses can get the same outcome but instead of a full-time role, the CRO can help set the initial path by taking a snapshot of the business and if needed help tap the process and outcomes along on an as-needed basis.

How Is A CROs Role Different From A Sales or Marketing Role?

There are significant differences between the role of a CRO and that of a Sales or Marketing Director. Every business is different but as a general rule, the following applies:

THE CRO’S Role.

A CRO’s role focuses on all the functions in a business that can contribute to revenue rather than the more singular focus of maximising the return and innovation from an individual department. 

The CROs role is to align all the different functions of a business to optimise the overall business forward-looking net revenue potential. 

A CRO is often the ” responsible person” to deliver on the net revenue expectations of the business.  

In a larger company, the CRO will often work across all the heads, managers and teams of the revenue-influencing departments and functions. They generally report at the CEO or CFO level and change guidance is often also called for.

THE SALES DIRECTOR’s Role.

Opportunities are missed and revenue is left on the table because many of the core revenue functions are looked at in isolation. Each team is often focused on their individual role, KPI’s and outcomes that often they scarcely have time to consider the bigger picture

The direct result of this and We know this based on 30+ years of experience that many companies have unrealised revenue in their business right now just waiting to be unlocked.

Unrealised Revenue.

Opportunities are missed and revenue is left on the table because many of the core revenue functions are looked at in isolation. Each team is oftenfocused on their individual role, KPI’s and outcomes that they scarcely have time to consider the bigger picture

The direct result of this and We know this based on 30+ years of experience that many companies have unrealised revenue in their business right now just waiting to be unlocked.

Revenue Alignment Gauge Graphic

The key to finding this revenue is to first understand your revenue goals, and client opportunities and identify the revenue resources available to you in your business.  Seeing the opportunities that unlock the unrealised revenue in your business, often requires a change in mindset and a change in perspective.  The change comes in recognising all the potential contributing functions to building revenue and aligning and maximising them ….. and then looking at which department should be responsible for delivering those functions.  

A New Perspective…Take A C.R.O. View Of Your Business.

Reimagining how you look at revenue as a whole, how you access it, and how you approach it is the key to unlocking unrealised revenue in your business in today’s business landscape.

At RMS, We call this taking ‘a CRO View’.

A CRO View

A C.R.O. View is a unique concept that refers to looking at the ‘big picture’ of revenue when overseeing a business… essentially breaking down the silo walls and looking at how all the functions work, how they fit together, how they impact each other…and how to strategically explore how to maximise the outputs and results for your business.

We take the core principles of a CRO’s way of thinking, the way they holistically view revenue generation…and reimagine it for smaller businesses. Allowing you to benefit from the big business CRO mindset without the expense of having one permanently on your payroll.

While people, financial, intellectual, and physical are key resources, using a broader ‘CRO style’ perspective also takes into account other resource areas like contacts, current clients, and industry knowledge… in fact, 100’s of resource areas, that when tweaked + tuned that build the predictability and consistency of growth.

The ultimate goal of ‘a CRO View’ is to ensure the business uncovers & recognises all the revenue growth options open to it, and then continues to realise and grow revenues in a sustainable, predictable manner that is aligned to the business and client needs.u

Benefits Of Taking ‘A CRO View’.

By looking at your business through a different lens and from a new perspective, its possible to see and uncover new opportunities more clearly, and identify areas that may not have otherwise been obvious. 

It allows you to find the cause of the problem not just treat the symptoms. (e.g more leads don’t necessarily mean more sales)  Many revenue problems or lack of revenue are automatically attributed to Sales or marketing but a deeper dive typically raises a plethora of other root causes many of which are out of the department’s control.

And that gives organisations the ability to observe and correct or improve things that might otherwise be missed.

It Allows You To See New Opportunities And Options For Improvement.

A CRO VIew helps adjust a process to achieve a different outcome and to envision a different path forward. It allows you to find ways to do things smarter, better, and faster. It promotes innovation, helping you envision working and putting the revenue pieces together in new ways.
 

It Gives You A Big Picture View.

It brings a big picture view and detailed knowledge of small details to understand how to achieve success, which allows you to bring that big picture view to be communicated this vision with  the rest of your team

 

It Promotes An Optimised Use Of Resources.

A CRO View focuses your limited resources on the right activities to promote revenue growth and helps ensure the alignment of functional and business priorities. Essentially helping your business to do more with less.

It Fosters Good Communication & Teamwork Among The Various Revenue-Related Functions

A CRO View enables cross-functional teamwork within your business that will allow your company to achieve predictable revenue growth. There is a focus on getting everyone to row in the same direction, from their peers in the C-suite to teams across the company.

Revenue growth is the result of active participation of all the revenue-related functions, including sales, marketing, customer service, messaging, etc. And maximum results happen when all these areas are aligned AKA are working in sync towards a clearly defined common outcome.

Identify &E xplore Other Revenue Growth Sources.

A CRO view helps identify and explore these untapped and unrealised revenue and in many cases opens up new sources because many businesses derive the majority of their revenue from only one source. Exploring additional sources of revenue enables the company to maximize its revenue.

Does Your Business Need ‘A CRO View’?

Now that you have a better understanding of what A CRO and a CRO View are and the benefits this can deliver to your business.

How can you tell if ‘a CRO view’s focus would add value in the short and long term to your business?

Ask yourself these questions: 

[BTW- These questions can apply to any size business as can the benefits of a CRO View.]

 ➡️  Do you comfortably understand & utilise all the revenue-influencing functions in your business?

 ➡️  Do your revenue targets have a shared sense of outcome between your teams?

 ➡️  Are your revenue projections and targets based on reliable predicitablity instead of predominantly on retrospective income numbers?

➡️  Do you know, understand, measure and have the ability to change and tweak the revenue generation process of what is or isnt working ?

➡️  Does your process have the continuous opportunty to evaluate and adapt to what your clients not only need now but also in the future?

➡️  Do have a clear list of your options of where new growth and opportunity can and will come from? 

➡️  Do you have a steady stream of high-quality sales opportunities that are converting

➡️  Do you achieve the net revenue % you want from the cost of each revenue $ earnt?

If you answered “No” to any of these questions, your business could benefit from A CRO View to understand the options and then flow into you generating more predictable revenue via tweaking your unique modern revenue engine.

Key Takeaway.

Taking a big picture CRO view by considering all of the revenue influencing factors in a business opens up new currenlty unforseen or realised opportunities for revenue growth.

Conclusion.

Looking through a C.R.O. lens at your business is a key step towards building a robust revenue engine and maximising revenue growth, which in turn will help the business grow and thrive in today’s tumultuous business landscape.

The Revenue Engine Series continues with Why Your Business Needs Revenue Alignment | Part 4  

If you want to build a robust revenue engine to grow your business revenue and take your business from good to great…

We have a solution for every business…find out more HERE

IF IT’S REVENUE-RELATED, WE CAN HELP.
Find Out How…