Zach Faithful 0:00:24.5:

Thank you. All right, so before we jump in, we're just going to give you a quick, high-level overview of our agenda. Oh, I moved the agenda. So a couple of things, I want to do a quick introduction. So my name is Zach Faithful, I'm a leader in our sales planning performance management practice at Deloitte. I've spent about 15 years working in all things sales operations. So customer segmentation, territory quota planning, sales forecasting, incentive compensation management. Prior to joining Deloitte, I was a variable pay advisor supporting a large insurer in their wealth management practice for about 1200 advisors. Outside of work, I've got two kids and I enjoy playing music, drums, guitar and want to be a musician at one point in my life. Jason?

 

Jason Mancuso 0:01:10.9:

Zach's a tough one to follow, but I'm also in our sales performance management practice. I'm a manager. I've been working with Anaplan for about seven years, and again, really across a variety of use cases from incentive compensation to marketing to sales. So really all over the board. So yes, excited to talk to you all today.

 

Zach Faithful 0:01:27.5:

Awesome. So a little bit - feel free to stop us along the way if you have any questions. We'll kind of kick things off with just talking about go-to-market point of view and what does that actually mean? What are the shifts in the market? What are we seeing? How are things moving to more of a revenue operations function? Then we'll give a bit of a walk-through around a couple of case studies for a sales planning transformation as well as a marketing transformation. Okay? Okay, so what is go-to-market planning? So we think about - before we jump into what's shifting in the marketplace, go-to-market planning in the way in which we're defining is all functions between sales, marketing, customer success and service that support your go-to-market execution. Traditionally, these things have operated, historically, in pretty significant silos and they don't really talk to each other, but as you can see, what this slide is representing, the market and the customer buying behavior is starting to shift that feature and functionality to be more seamless. Customers are moving away from buying based off of products and solutions and features and functionality, and it's more IT driven to more of a I need to get business outcomes from my purchasing behavior, and I want to have an experience along the way. 

 

Zach Faithful 0:02:38.7:

That's traditionally go-to-market planning and all the functions that support it, between marketing, sales, service success, haven't really kept up with that, that shift, and as a result, you're seeing now a move to more of this revenue operations, function, feature and operations, which Jason will talk about. So we've got a little animation in a second. So one of the interesting stats we, Deloitte, recently ran a survey internally, for the tech sector, and we found that 61 per cent of the organizations that we surveyed mentioned that customer expectations are shifting significantly and it's causing them to have to make changes in the way in which they manage their execution and how they target those customers. Which is, again, a testament to customers are looking for an experience rather than just buying off of the products that are in the market and best in class. Not only that, throughout the entire journey and the buyer journey, they want to feel as if they're being partnered with. They want more information, more digital experience. 

 

Zach Faithful 0:03:42.4:

They want to have a similar experience from the beginning when they're investigating and researching solutions, as well as once they make their decision on buying, having a partner there helping them retain information and ongoing solutioning and seeing business outcomes as a result. When it's not done right, again, when these functions are operated in silos, it creates a significant disconnect in the way in which you target information and customers, their experience in the process, which ultimately leads to revenue leakage. Now, there's a few things up here on the slides around data, like front office data dispersion. Yes, you think about marketing utilizing a different segmentation of their customer than sales, using a different segmentation of their customer, creating different experiences, driving different lead opportunities, driving different campaigns. Again, sales organization has many different technologies to utilize. So if they're having to operate across different applications, they're not spending the right time on the right opportunities that are the right target customers, that are target rich. 

 

Zach Faithful 0:04:47.7:

Same thing with success. If you think about customer success creates a bad experience for them in terms of how to look at the next renewal for an existing customer where they're focused on customers that have low lifetime customer value, versus customers that have high customer lifetime value. So all of these things, again, if done in silos, can create a significant disconnect and a poor experience to the end user customer, which can result in customer retention issues. So that's kind of led to this go-to-market planning being integrated and revenue operations as a function of the business. So I'm going to turn it over to Jason to give a quick walk-through of that.

 

Jason Mancuso 0:05:30.2:

Yes, thanks Zach. So when we think about what really creates a strong connective tissue for generating a strong go-to-market execution strategy, there's kind of six things you'll see up there, but probably the most important thing is the top left, the customer segmentation. It's really the backbone of what organizations need to actually drive the strategy within their company. If you have the wrong customer segmentation, as Zach just mentioned, there's going to be a disconnect between how the organizations or the areas talk to each other and also introduce complexities, how they plan together, how they talk together, how their targets align, all those different kind of things. So I'm sure you see that in a lot of organizations, but that is really the most critical piece. When we think about the next facet of creating a strong tissue, we think about organizational structure, operationally how are they structured and data governance. So, if they're not having someone drive the businesses together and create that central place for them to collaborate and really execute in planning and all the different activities, you need someone there to put the right people in the right customer segments in order to drive the business to achieve their goals. 

 

Jason Mancuso 0:06:42.8:

The next piece would be your planning process. So with planning, you have your growth targets you're trying to achieve, and so making sure that your customer segments are aligned to your growth targets, you have the right resources there and someone connecting that tissue together and creating a connected planning process is the next fundamental thing. The next thing would be KPIs and metrics. So when we think about incentives, making sure each of the four different areas, sales, marketing, service and success are aligned to the right incentives, that's going to drive the business, again, towards your growth targets and making sure you achieve your goals. The last piece that I'd like to...

 

Zach Faithful 0:07:22.3:

Do you mind if I add something really quickly?

 

Jason Mancuso 0:07:23.8:

Yes, go ahead. 

 

Zach Faithful 0:07:24.5:

So I think one of the big things that we've seen in KPIs is having, again, more of an integrated planning across these functions. Is this element of cost to serve? You think about the overall cost of marketing, the overall cost of success, overall cost of sales. Organizations that are investing in revenue operations have seen approximately five per cent cost savings in the cost-to-serve ecosystem, which is a pretty significant number if you think about the market that they're serving and the revenue that they're driving within their accounts. Another interesting KPI that we've seen organizations measuring against when they're integrated into revenue operations function, is around their segmentation coverage. So not only just like how many sellers do we have covering specific segments, but also their marketing operations team covering specific segments. We're seeing organizations shifting away from specialist roles and expanding the remit of the seller to be a little larger, covering some of the product-specific verticals as well as their overall accounts and investing heavily in customer account or customer success management, so ongoing support to existing customer base. So just, again, another key metric around overall cost to serve, integrated experience, retaining existing customers and driving revenue through your base as well.

 

Jason Mancuso 0:08:44.7:

Yes, that's a good add-on. Then the last thing is just - I want to mention is technology, right. We're here because of Anaplan. When you have the good backbone of customer segmentation, you have the right operational structure and the right metrics all aligned, you need a tool to really help you connect all those things together. So Anaplan has that connected planning experience where you can really create the efficiencies across the org, the collaboration you're looking for, for teams to align their targets and really stage gate that planning process for you. Anything else you want to add, Zach?

 

Zach Faithful 0:09:14.4:

No, I think you covered it. I don't think - I don't want to underestimate the power of aligning on the common definition of a customer. I think it's really important. What we've seen is when marketing has a different view of what your customer base is, then sales has that - then success has - you end up having different interaction points with the same account and it creates a negative experience in a lot of ways, because they're maybe not being targeted by the right sales role or not being - they're getting outreach from marketing leads for an existing customer that has that solution. So there's, I think, an importance in an element of segmentation spanning across all of these functions that obviously, a solution like Anaplan can help with in driving collaboration between marketing, sales success and service. Another one, we keep talking about service and I know we've talked about success, but in the service realm, thinking about headcount planning and existing customer base where you've got inbound calls coming through and contact center making sure that you've got the right set of heads addressing specific calls based off of account and lifetime value of that customer. You do not want to have a service representative spending a majority of their time on an account that has low value. So being able to see that all together in a single source of truth in a solution like Anaplan is valuable.

 

Jason Mancuso 0:10:39.7:

That's a good segway into this next slide. So what are we seeing in companies today? When we think about the four different areas, what most companies today are doing is essentially trying to create their go-to-market strategies within each of these areas. So when we think about how that actually works out, you have different leaders trying to work with - marketing work with sales, sales work with success and service and so on, and you create a lot of overhead and difficulty in aligning across segmentation, you have different priorities, and it introduces a lot of complexity into the process. It can also be very leader-dependent. If you have a leader in marketing that doesn't agree with the leader in sales, how do you actually rectify that? So where we see the space actually moving is towards a COE. Having a GTM COE is actually going to help align and make those decisions for all the organization to make sure customer segmentation is aligned across all four areas, you have the right leading practices implemented and you're actually adhering to the planning process as it should be. So when you look down the board, we talked about customer segmentation quite a bit, but that is the key piece here, and Zach just touched on it, but we also think about headcount as another key piece, making sure your resources are aligned to those customer segments. 

 

Jason Mancuso 0:11:48.4:

So if marketing is generating leads in one area and then you have sales trying to execute on those leads, you have people to support that, right? Then from sales and you're jumping into services and success, you also need people there in the right places to be able to support and avoid revenue leakage across all four areas. So that's where we see the space moving, utilizing a CEO to reduce that revenue leakage across the board, across all these four areas.

 

Zach Faithful 0:12:15.2:

Yes, and I'd say it's moving slow, but it's moving in that direction. As I said, historically, these functions have operated very individually and in silos. We've seen a lot where headcount is over-deployed into one specific function and now, moving into more of this COE approach, you can start deploying them more evenly spread across the other functions and focus them on more higher value things like where are target-rich segments and really looking into the analytics of the data that you're supporting, and not just executing the operations of that function. I think ultimately, some of these things will continue to expand into other features and functions like professional services. If you're a services org, you'll have a COE that covers that as well. As you can see, there's an underlying tone of headcount and segmentation, which is the most critical path or critical capability that we see. Any questions so far?

 

Audience 0:13:11.8:

I have a quick question. What size on the platform do you recommend for COE, especially as you think about all the pressure with carrying those extra overheads and headcount and all that other stuff. So that's question one. Question two is, also similar thing with the COE. With the COE, how do you maintain that alignment and accountability within the functions to make sure that they truly own their number versus whomever is in the COE generating the forecast or generating the plan?

 

Zach Faithful 0:13:46.5: 

Yes, that's a good question. So I think first question, I think it really depends. I can speak from the tech sector specifically. We've seen COEs in fast-growth tech organizations, anywhere from 300 million to a billion investing in revenue operations, and this COE concept, all the way up to the biggest of the big, right? So I think it's just going to depend on is the organization taking the mindset of a revenue operations function, because it is relatively new, but it's also the fastest-growing role in sales operations at the moment. Revenue operations traditionally sits within the office of the CRO, 60 per cent of the time, but it can also sit within the COO org as well as the CIO org. So it's just really going to depend on where your organization is investing. We've seen it from mid-market, all the way up to enterprise. Then second question, I think we touched over it a bit, but it is important as you're establishing - did I go too far? Yes. No. Right. So governance and operating model, when defining or setting up a COE, one, you want to have appropriate roles and responsibilities defined between marketing operations, sales operations, your success organization and your service, if you have a services org.

 

Zach Faithful 0:15:06.2:

I think there is where you're wanting to make sure that, one, you've got the right roles, you've got the right - not only the roles, but also just responsibilities defined between those roles and that you have appropriate ceremonies to govern that COE. Typical center of excellence, they'll have some sort of biweekly cadence, where they're evaluating the outcomes of the business that they're driving, whether it be setting targets or whether it be defining segments. The same is true here, I think for organizations where we've helped set up COEs, every cadence is different. It really just depends. You do have to have champions from each function involved in your center of excellence, and you have to define the appropriate ceremonies that are aligned to your organization so that you're keeping people accountable. Question? All right. So Deloitte, obviously we talked a lot about Anaplan. We do have - and Jason and I sit within our sales planning and performance management practice. We are helping a lot of organizations define and set up these centers of excellence around go-to-market planning, as well as continuing to help them define their roadmap and vision and execute against that vision. Anaplan is a great solution, obviously, with the whole connected ecosystem and some of the various use cases that you can tie together as a platform, which you guys are all here and you know very well. 

 

Zach Faithful 0:16:40.4:

So we wanted to walk you through a couple of examples where we've done this in the market with some case studies. I'm starting with a go-to-market planning budgeting forecasting and use case. So it's a little tough to see the slide, so I'm just going to go off of memory here. This particular account they engaged Deloitte, they were interested in evaluating their go-to-market execution across marketing supply - sorry, marketing success and sales. They didn't have a services org. They wanted to understand generally, where they had gaps, what their current state process looked like, how could they create synergies across the functions? So we helped them define what that vision and roadmap look like up front. We spent, I think, eight weeks with them interviewing a number of their stakeholders across marketing and success and sales, and defined an ongoing go-to-market roadmap for them using Anaplan. We helped them select Anaplan and work with them on defining what are the target prioritization capabilities where they should start focusing their first implementation with. 

 

Zach Faithful 0:17:45.9:

Part of their challenge, majority of their process was manual. I mean, most of their marketing operations, majority of their sales operations function were very manual and/or very home-grown solutions that were no longer supported by IT, and so they were running an adjacent, like shadow IT within the business. They had a global footprint with 13-plus different franchise businesses and they were over-deployed. I mean, I think they had 200-and-something sales operations, marketing operations and success resources supporting their annual and semiannual go-to-market planning activities. So when they selected Anaplan and we helped them find their roadmap, we selected quota planning as the first target use case to execute against, while in parallel working with them on helping define or redefine their customer segmentation strategy. So we did a little bit of an advise upfront work with them on defining their segments to target, while also working with them to implement Anaplan for quota setting and target setting because it was a burning platform issue for them. So as we start, as we work with them, post the defining of the visioning phase and implementing for quota planning and in parallel working on their customer segmentation strategy, we ultimately left in this quarterly cycle where we would release one capability after another, where we ended up getting to the full end-to-end go-to-market suite of capabilities, from segmentation all the way through to compensation planning and modeling. 

 

Zach Faithful 0:19:22.5:

In terms of the value that was added, I mean, their cycle for getting plans out the door and their cycle for getting quota letters sent to sales reps was taking three months. We ended up cutting that down to three weeks, and that was across sales as well as success. We worked with them to figure out where to redeploy some of their shared services, organization and representatives that were supporting the process and the higher value activities, as well as standing up a services department, services organization, and continue to work with them on redefining how we can integrate the strategy around their segmentation into target setting using addressable market and propensity to buy information as well. So it was a really long-standing relationship for Deloitte. It was a very successful program for them as well as for us. I think it was a good testament to seeing the full end-to-end span of planning. Questions on that?

 

Audience 0:20:26.2:

[Unclear words 0:20:25.8] typically see people go through this market planning process is it really an annual initiative or [unclear words 0:20:32.4]. We're always balancing between - we're always trying to balance between stability and consistency, versus agility to changing marketing conditions.

 

Zach Faithful 0:20:45.1:

Yes, I mean most common is annual, semiannual, but then there's the ongoing monthly management of your deployment structure and the impact to whatever targets that you've set based off of your annual and semiannual plans. The heavy-lifting planning process is usually once a year, right? Then from there, you kind of move into an ongoing management, post-targets being set and deployed, quota letters distributed. That ongoing management can be pretty significant if you're in a very highly acquisitive industry, right? Like you're buying companies and you're acquiring companies and trying to integrate their go-to-markets into your go-to-market, where you're creating opportunities for upsell and cross-sell with your existing sellers. We've supported a number of organizations where they feel like they're going through an annual planning cycle once a month, right? Hence why you end up in situations where you've got 13 businesses globally deployed, 200 people managing that process on a monthly basis, and then when you add in the element of it's all done in Excel or it's done in a homegrown application or Alteryx, I mean, you can see where it starts to get pretty painful pretty quickly. So it depends, but yes, most common is annual, semiannual and then ongoing management.

 

Audience 0:22:01.3:

You alluded to the fact that this is changing the outlook with the COE approach, and then with the successful GTM implementations, who's really taking the ownership of change management? Are you being the catalyst or are you putting some onus on the customer?

 

Zach Faithful 0:22:25.6:

When we're doing large-scale transformations like this?

 

Audience 0:22:27.3:

Yes.

 

Zach Faithful 0:22:28.0:

Yes, I mean we typically - it depends, I'll just say that. Most often we advise that we want the business and IT to be a part of change management process, specifically for the end user group. That's when it's most successful. They know the organization. They understand the nuances of their business better than we can. So it's important to have them along the ride. Now, that doesn't mean that we haven't supported change management and helped advise and drive from an advisor lens. Obviously we, Deloitte, is a large professional services firm, so we have organizations that support org transformation programs and we can engage them when necessary. But in all cases, you want to have the business and IT a part of the process. Okay, I'm going to turn it to Jason to talk about marketing planning.

 

Jason Mancuso 0:23:19.9:

Yes, thanks. So marketing is a fun one. This is actually a use case that I'm implementing right now, and so the problem statement for this organization is that they're a large firm, they've been very successful and they've grown very fast and had a lot of success. But with that growth, they've really seen a lot of data integrity issues, a lot of misalignment and complexity introduced into their process. So for them, they've got about 600 marketers that they support, really inputting various campaigns and trying to align their strategy to specific customers and supporting the right customers and actually tracking the performance end-to-end, from the marketing to the sale opportunity to actually the revenue that generated, is very difficult for them. So how successful was my campaign? So that was our problem statement on actually what we're trying to solve right now, and really the backbone, like we talked about before, customer segmentation is very important, but also for them, taxonomy was very important. Really making sure the right definitions of what is a campaign, what is an asset, how do you track that? What is a go-to-market program that you're going to be actually putting out into the market, and what constitutes a program, was where a lot of our time was spent, actually aligning with them to make sure that their marketers knew what was the actual value that they should be inputting and tracking at and planning at. 

 

Jason Mancuso 0:24:41.8:

So that was kind of like the first step. The other piece is, with any kind of large org, especially a large technology company, you're going to see a lot of first-party solutions. Marketing has a lot of bespoke applications that really don't talk to each other. So when we came in, I think we interviewed 40 different people across 20 or 30 different applications, and most of those didn't have bidirectional integration. So the marketer on a day-to-day basis, was actually touching 20 to 30 different applications and their experience was really that disruptive. So connecting that tissue, using Anaplan as that front-end solution for the end-to-end marketer journey was really our goal for what we're trying to implement right now. So how we're doing it, we're taking out a lot of the complexity in their planning process. We're looking at their taxonomy. We simplified it. We've reduced the misallocation from sales to marketing by just taking their roll-ups, the customer segmentation and making sure that they're fairly closely aligned, they can talk to each other.

 

Jason Mancuso 0:25:46.8:

Even in today's world, if you have marketing talking to sales, they can't even have a conversation because how difficult and how different their hierarchies and their customer segmentation is. So it's very difficult for them to operate and track performance in their business. So with Anaplan, we are essentially taking 20 to 30 tools down to about 6. So it's a big win for us to actually consolidate and make that front-end user experience for them. We expect the output to be a big drastic change from the planning cycle to actually putting that out from a PO perspective, actually generating the spend and then putting that into the market activation, execution. So you have to utilize a team to actually put an event out, right, into the market or send an email campaign. So really from front to end, that will be all managed through Anaplan. I think the other important piece to mention here is this is just phase one of their journey. Phase two and phase three is where we're going to see alignment from marketing to sales and these other areas in their business that have already implemented Anaplan and get that connected planning experience that they're really looking for. So it's been a fun one and yes, happy to answer any questions that you might have.

 

Zach Faithful 0:27:08.1:

Well, I think that's all we had.

 

Audience 0:27:09.6:

Sorry, I was going to ask, any pieces of Anaplan functionality that you would like to call out here, were you using Optimizer or anything to optimize campaigns?

 

Jason Mancuso 0:27:20.3:

So because they're a tech company, they are very focused on AI. Obviously, AI with Anaplan is something - like all companies right now are scrambling to catch up. So that's their main focus. We're not using Optimizer or any kind of add-ons right now, but I would say what they have enjoyed the most is just the flat-out, the integrations, the seamlessness and we can bidirectionally integrate with other tools. So if they're doing activation, they create a campaign, they want to go open a PO against that campaign, and then they want to go activate that in the market. That can all be done in Anaplan and they can see what's the status of the activation. I don't have to go jump out to another tool. What is the status of the PO? Having all of that data sets in Anaplan on dashboards for them has really been a leap, a large leap for them in terms of what they experience today. 

 

Audience 0:28:15.1: 

Thank you. 

 

Audience 0:28:19.4

Twelve thousand hours spent, saved, what's the net result of that? Is that a headcount reduction that they're taking? Is it now work has been done, there's additional work or capacity created to do other things? I'm just curious about the net result of that efficiency.

 

Jason Mancuso 0:28:40.4:

Yes, it's twofold. So if you ever meet marketers, the last thing they want to do is be in a tool, right? They want to go market. They want to be creative. They want to actually put campaigns out and work with customers and generating leads. From my experience at least, they pretty much hate all tools. So there's been there's been - no matter what. 

 

Audience 0:29:01.1:

Except Anaplan. 

 

Audience 0:29:01.9:

Except Anaplan, that's right. 

 

Jason Mancuso 0:29:02.9:

Except Anaplan. Anaplan is a top, 1A. So for them, there's going to be a lot of hours saved to go focus on that marketing. So they're able to go actually focus on those activities instead of doing this cumbersome - a lot of times they're spending time trying to answer simple business questions like, how did AI do last year? How did my campaign do? What is the next campaign I want to run? Well, I'm going to go look through all this disparate data systems to cobble together the performance. So that is one thing that's going to help them just go back out into the market. I would say the other is they have a white glove service. Again, marketers, they don't want to open POs and do all those types of things. So they have a literal team dedicated to open POs for them and take on a lot of these administrative tasks. With Anaplan, basically the idea is that they're going to be reducing that team size from twenty to four. So they're going to be significantly reducing headcount and basically offsetting the cost of their implementation with just Anaplan.

 

Audience 0:30:01.5:

So that is [?headcount 0:30:02.6] savings?

 

Jason Mancuso 0:30:03.9:

Yes. Sure. 

 

Audience 0:30:10.4: 

Can you answer me a question around AI? Now other customers are using Anaplan for marketing they're leveraging PlanIQ, which is an Anaplan product, to help with that predictive AI, both on their forecasts and also where they should be going to market, which programs are working and having it make some recommendations there. So there is an AI component of Anaplan that can be leveraged for marketing.

 

Jason Mancuso 0:30:31.3:

Yes, we've broached the subject with PlanIQ and even Optimizer, they currently haven't purchased it, so that's part of the reason, it's a large lift for them, as an organization, just given who they are, to get that up to speed mid-implementation. I think if we had the foresight, leading up to the implementation, probably would be something we would have broached the subject with them.

 

Unknown speaker 0:30:56.4:

Okay. Well thank you everyone for joining, and thank you so much Jason and Zach for your insights. Really appreciate all the great questions as well. We'll take a short break here and then the next session will kick off at 1:45 with Whirlpool and Spaulding Ridge. Thanks everyone.