At the end of 2020, we predicted that enablers would see continued pressure in the new year to prove their impact on revenue. Then, almost as if we planned it, we provided a roadmap to revenue attribution.
Today, we’re going to dive into why – why does enablement need to start tying its effort to revenue goals?
The global pandemic has caused uncertainty for organizations all over the world, and revenue teams are often the first ones to feel the impact of that uncertainty. What’s more, the impact of the pandemic on the global economy is still unknown; massive economic stimulus packages have kept the economy buoyant, but we don’t know what’s going to happen when that tap is turned off.
This uncertainty is only exacerbated by political shifts, making predicting upcoming economic policy even more challenging.
This uncertainty makes organizations more risk-averse, and we can expect to see CFOs keeping a tight grip on their company coffers. They’ll be working to make sure that they are resilient enough to get through whatever the next stage of this pandemic is.
Practically, this means that most CFOs are going to be reviewing spending and looking to reduce their cost of goods sold (COGs) to improve margins and cashflow – cash they can sock away for if the economy turns sour.
The best defense for enablers during a rocky economic turn is to prepare ahead of time. Enablers should paint a conclusive picture for leaders showing precisely how their team drives revenue in order to put a dollar figure on their contribution to the bottom line.
Enablement is ExpensiveEnablement OGs can remember when they were a minor part of operations (we see you, guy with the red stapler shoved in the corner cubicle!). Now, most organizations have beefed up the enablement division considerably. Once a one-person job, enablement has evolved into a multi-person team with a unique tech stack all its own.
Adding those people, software, and communications isn’t free. Obviously, I believe that enablement is worth the cost, but there’s no denying that as the function’s evolved, it’s become a bigger and bigger line item on the budget spreadsheet.
That’s why tying the behavior changes as a result of the enablement effort directly to revenue is a must. When the leadership team sees a clear ROI, the whole department becomes an asset, moving enablement from a cost centre to a revenue multiplier.
Enablement Raised its Own Bar
Early enablement pioneers spent years building the image of the function, and telling the world what it is they actually do.
The efforts of that internal championing and campaigning is finally paying off, and enablement is increasingly a need-to-have function for revenue teams.
But the flipside of that is that expectations are now high. The department of broken things has become the department of magical fixes, and they need to to live up to that reputation.
By tying their effort to revenue outcomes, enablement can validate that the vision they sold wasn’t just a pipedream.
Enablement Rolls up to Sales
Enablement increasingly rolls up to sales. Once thought of as a division of operations or finance, the enablers can expect to answer to sales leaders more and more.
While this is an overall positive shift, with change will come growing pains as sales leaders push enablers to move the metrics that they’re measured on, like pipeline and revenue.
Instead of trying to change the sales leadership, enablers can make the transition by providing and achieving metrics that directly align with the sales team’s outcomes and goals. When the goals are aligned, it makes for a seamless 1-2 punch to help not only reach but exceed stated sales and revenue goals.
If you need more details on getting your enablement tied directly to revenue, grab this free eBook to help you.