A Process Governance Framework
Lately I’ve been working on a Sales Process Governance framework. Typically I would build a Sales Process Map similar to the one you see below.
But there’s a grander governing framework to ensure that not only the process you see above is continually improving, but also plugs into the wider world of processes at the company.
Enter the process governance framework. A process governance framework is a set of policies, procedures, and practices that help a company manage its processes. It's used to ensure that processes are aligned with the company's values and strategic goals, and that they're executed consistently and efficiently.
One visual I found that I really enjoyed is the following:
It starts with what is called standard tools, notations, and methods. Over the years I’ve compiled a series of tools that may add up to this:
Data dictionary
Customer Lifecycle; Process maps (the sales process map is up above)
GTM system architecture diagram
Standard Operating Procedures (SOPs) and/or Playbooks
OKRs and KPIs
Operating cadences
Building and leveraging the tools above should be sufficient to have a Revenue Operations function humming along.
But the pyramid above add up to something grander. Here is the approach that makes sense.
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The one constant is change
I expect business processes to consistently change. New leaders, new GTM motions, new segments, new buyers. These are external and internal stimuli necessitating change for the better or for the worse. RevOps and other BizOps teams continuously work to modernize the business. If executed well, our GTM partners should find less and less friction to accomplish their jobs. It’s a challenge to even nail down the RevOps tools I mentioned above.
Here’s a breakdown of what each term means and how they contribute to the team’s success:
1. Data Dictionary
Definition: A data dictionary is a document that defines each key data element in your organization’s systems. It details the meaning, relationships, origin, use, and format of the data fields.
Value for RevOps: It ensures that everyone in the organization understands what each piece of data represents, reducing misunderstandings and errors in data analysis. This common understanding is crucial for accurate reporting, performance measurement, and decision-making.
2. Customer Lifecycle
Definition: This is a model that maps out the various stages a customer goes through from the first point of contact to advocacy or churn. Each stage represents a phase of the customer's journey.
Value for RevOps: By clearly defining and mapping the customer lifecycle, RevOps can track key metrics, identify friction points, and optimize transitions between stages. It helps the team understand where to focus resources, personalize customer experiences, and improve retention strategies.
3. Process Maps (e.g., Sales Process Map)
Definition: Process maps visually represent the steps involved in each operational process (like sales or customer onboarding). They detail the workflow, handoffs, and key activities at each stage.
Value for RevOps: Process maps help standardize workflows, identify bottlenecks, and ensure that all teams align with the same process. This clarity is essential for enabling smooth handoffs between teams, ensuring consistency in customer experiences, and improving process efficiencies.
4. GTM (Go-to-Market) System Architecture Diagram
Definition: This is a diagram that shows how different tools and systems in the tech stack integrate and work together to support the go-to-market (GTM) strategy. It often includes CRM, marketing automation, customer success platforms, and more.
Value for RevOps: A clear GTM architecture allows RevOps to ensure that all systems work harmoniously, minimizing data silos and enabling seamless workflows. This integration ensures that data flows accurately across systems, facilitating better insights and smoother handoffs between marketing, sales, and customer success teams.
5. Standard Operating Procedures (SOPs) and/or Playbooks
Definition: SOPs and playbooks provide documented steps and best practices for routine tasks or processes. They guide team members on what to do in specific situations, like handling objections in sales or managing churn.
Value for RevOps: SOPs and playbooks standardize actions across the team, improving consistency and quality of work. They also help onboard new team members faster and support scalability by ensuring everyone has a guide to the best practices.
6. OKRs (Objectives and Key Results) and KPIs (Key Performance Indicators)
Definition: OKRs and KPIs are frameworks for setting goals and measuring progress. OKRs outline broad objectives and measurable results, while KPIs track performance against critical benchmarks.
Value for RevOps: These metrics drive alignment between RevOps and broader organizational goals. OKRs provide direction and focus, while KPIs ensure that progress is measurable. This enables RevOps to track their impact on revenue goals, refine strategies, and allocate resources effectively.
7. Operating Cadences
Definition: Operating cadences are the regular meeting schedules and processes for reviewing performance, such as weekly sales meetings, monthly QBRs (Quarterly Business Reviews), and annual planning sessions.
Value for RevOps: These cadences provide structure and rhythm for checking progress, addressing issues, and aligning cross-functional teams. They ensure consistent communication and enable the RevOps team to proactively adjust strategies based on real-time insights, keeping everyone aligned and accountable.
Each of these elements is essential for building a well-structured, data-driven, and agile RevOps function, allowing teams to manage growth effectively and align with the overall business strategy.
And that’s JUST the base of the pyramid!
Assigning single threaded owners to processes comes next. Here are a handful of roles to think about in your organization:
Main process owners : they are usually executives, who ensure the alignment of 1/ all process improvement initiatives within their value stream or main process, 2/ objectives (and metrics / indicators) of their main process with the organization’s strategic objectives, 3/ their main process with the (possible) subprocesses – including objectives of those, and 4/ are responsible for value delivery of their main process
Process owners / managers : these are process owners on a non-executive level, who manage their process, i.e. they 1/ ensure alignment across other processes and with the higher main process and with possible sub-processes as well, 2/ monitor the performance of their process and 3/ coordinate, align and prioritise process improvement initiatives in their business process
GTM processes:
Lead generation
Lead-to-Opportunity
Opportunity-to-Quote
Quote-to-Cash
Renewal
Change agents : responsible for (process) changes and the change management framework; they 1/ ensure that change management is foreseen when any process and/or technology change takes place, and 2/ ensure cultural change when needed
Process architects (may be the same as the process manager at smaller orgs): the design & implementation of the overall process architecture including 1/ the alignment of process architecture with the overall business strategy, technologies, information & data architecture, 2/ coordinating the work of process analysts & modelers, and 3/ the compliance with process-related standards chosen and used. For RevOps teams this may also include a series of technical architects and analysts to form fit the stack to the newly designed processes.
Centers of Excellence
A CoE is an old yet effective concept. A Center of Excellence is a group of experts that provides leadership, research, and best practices for a specific area of interest within an organization. They own a competency or several competencies within an organization. Teams such as the following below are focused and dedicated shared services.
Sales compensation teams
Business insights and analytics
Deal desk and bid managers
Smaller organizations struggling to identify clear areas for division of labor (specialization) may not yet be ready for Centers of Excellence. Instead, nailing the base of the pyramid and perhaps the second layer will suffice. Beyond that, mid-market organizations may benefit from taking responsibilities off generalist teams and concentrating it within a COE.
You’ll know that a COE is working if and only if the group produces a well-established ROI and becomes self-funded in terms of covering the operating costs through the value delivered. Average labor cost x average labor hours for the tasks at hands should be an easy calculation to estimate.
The Process Board
At the top of the pyramid is a process board. Beyond process owners, these are company executives who sponsor said processes. They may not know all of the intricate details of each process, but they should be in a position to understand if large scale process improvements are warranted. When change(s) may be needed they will designate owners and give direction. Overall, they should create a Governance/Process Design Framework that spans across the entire business and into each functional area. Lastly their input should ensure alignment of the main processes with the overall strategy and across all the organization’s business processes.
The Governance/Process Design Framework is a structured set of policies, guidelines, and roles that define how processes are managed, monitored, and improved across an organization. This framework acts as a guiding structure that ensures consistency, accountability, and alignment of processes with the organization's goals. Here’s what I think are the components of such a framework:
Policies and Standards: establish clear rules and expectations for how processes should be designed, implemented, and managed.
Roles and Responsibilities: define who is responsible for each aspect of process management, from ownership to execution and monitoring.
Process Lifecycle Management: define the full lifecycle of a process, from initial design and implementation through to monitoring, review, and continuous improvement.
Lifecycle Stages:
Design and Documentation
Implementation
Monitoring and Measurement
Review and Improvement
Decision-Making and Escalation Procedures: provide a structured approach for decision-making, including processes for escalating issues or exceptions.
Performance Management and Reporting: establish how process performance is measured, monitored, and reported to ensure alignment with organizational objectives.
Compliance and Risk Management: ensure that all processes comply with regulatory requirements and internal policies while managing risks that could impact process performance or business objectives.
Continuous Improvement and Feedback Mechanisms: encourage regular feedback and iterative improvements to processes, incorporating input from process users and stakeholders.