Capabilities value map best practice

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Capability Value Map

Best Practice

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Best Practice Overview

 It is important to define early in the program which metrics will be

monitored and how they will be measured, so that the benefits

achieved can be closely tracked. For example, progress on the

following business goals could be tracked with these metrics:

– Increase revenue by acquiring new, profitable customers: Percentage

Accepted Leads to Sale

– Increase revenue by retaining customers: Percentage Sales to Repeat

Customers

– Reduce costs by reducing sales costs: Average Number of Sales Calls

per Sale

 We have provided a template to assist in building your objectives

and how you will measure them as well as a value map to tie

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Why complete a CVM?

Define and prioritize your business objectives

 Map Salesforce capabilities to business objectives

–

Provide feedback to modify the CRM strategy and implementation

–

Establish tools for change management

 Articulate definition of success

–

Provide a way to measure results

–

Set and gauge the level of success in meeting CRM objectives

 Hold individuals accountable for results

–

Make mid-course corrections as necessary

–

Create transparency regarding goals and progress at the macro and

individual level

–

Eliminate the need for “oral history” and replace it with data on the

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Define KP Is

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Define KPIs

• Pick limited set of metrics

• Tie each metric to an objective

Vision

Strategy

Objectives

• Provide visibility to how the initiative is tracking against business goals

• Identify areas where program is not achieving business results and provide corrective actions

• Develop a single, consolidated list of program metrics used by all regions and user groups

Operationalize

• Identify salesforce.com

capabilities

• Build, configure and deploy

application

Validation

• Audit data to create

credibility

• Empower managers to

change behavior and

business process based

upon reports/dashboards

results

Capability Value Matrix Process

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Capabilities Value Map

Tie business objectives to Salesforce capabilities

Revenue Generation

Value Drivers Business Objectives Capabilities Salesforce for

Google Adwords

Increase Revenue Acquire New Profitable Customers

Marketing Campaign Management &

Measurement

Web-2-Lead/ Lead

Assignment RulesLead Generation & Qualification

Legend

Marketing

Sales

Service & Support

PRM Data-Insight Partner/External Force.com Platform Grow Existing Customers Increase Sales to Existing Customers KPI

Customer Retention Increase Retention of Existing Customers Customer Profitability Improve Sales

Effectiveness Cost Avoidance Avoid Strategic

Project Costs Cost Reduction Reduce Business

Operation Costs Maintenance Risk _{Legacy Platform Use}Remove Risk of

Regulatory Risk Reduce Risk from Regulatory Compliance Customer Satisfaction Improve Customer

Interactions & Insight User Satisfaction Improve User

Partner Lead Collaboration Partner Deal Registration Competitor Data Management Account Management Planning Cross-sell and up-sell Personalized Customer Interactions Marketing Campaign Management & Measurement Customer Survey Customer Segmentation Customer Value Management Personalized Customer Interactions Customer Self-Service Team Selling Customer Survey Salesforce Ideas Incentive Program Management Account Management Planning Consistent Sales Methodology Automatic Competitive Information Account Intelligence Salesforce Mobile/Offline/ Outlook Connect Force.com Platform Infrastructure & Hardware (Force.com) Project Management Centralized Marketing Encyclopedia Sales Process Consistency Service Process & Escalation Automation FAQ & Knowledge Database Expense Management

Force.com Platform Salesforce Applications & Releases

Audit & History Tracking

Usage Patterns

Customer

Self-Service Product Configuration, Pricing & Quoting

SLA

Management Sales Process _Consistency Contact Data _Management Customer Survey

Personalized Customer Interactions

Microsoft IntegrationCustom Interface Online Product & _Services Mobility Competitor Data Account Data Reports & Analytics

Product Configuration, Pricing & Quoting

Partner Lead Collaboration Opportunity Pipeline Visibility

Vision

Cost Savings Risk Mitigation Satisfaction Compliance Salesforce to

Salesforce Approval WorkflowWorkflow Engine/

SAP/Oracle

Connect Sandbox Salesforce Ideas

Center of Excellence Salesforce Content Activity Management Improve Customer Satisfaction CTI Integration SLA Management Workflow Engine/ Approval Workflow Data Quality Dashboards AppExchange

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Best Practices

Use a Capability Value Map to prove the business case

 Objectives -

Define and prioritize

–

Focus on business objectives (drive more revenue, sales rep productivity, retire existing apps, etc.)

 Design KPIs / Metrics -

Quantifiable measurements agreed upon in advance

–

All business behavior can be measured

–

Quantifiable measurement indicates if business is making progress toward goals and objectives

–

KPI’s bridge the gap between business objectives and Salesforce capabilities/roadmap

 Operationalize -

Mechanisms for tracking and viewing progress

–

Translate objectives into actual Salesforce capabilities

–

Configure and build application based upon capabilities

–

Deploy Salesforce dashboards and reports designed to capture measurements

 Validate –

Is the data telling you what you expect

–

Identify who owns the data in the reports and dashboards

–

Empower people to change business processes based upon the data

–

Embed a discipline of dashboards/reports into the management process

–

Be candid and pragmatic about what the data tells you

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Worksheet Example

Best practice – create a business value matrix

SFDC Captured

Medium Medium

Average number of calls made per closed opportunity Average Number

of Sales Calls per Sale

Reduce number of sales calls per sale

SFDC Captured Low Medium Average number of active opportunities managed by AM Average Number of

Deals per Account Manager Increase number of deals managed by each user Reduce Business Operation Costs (Sales) Cost Reduction SFDC & Other Not Captured Low High Measure repeat purchase deals against all deals Repeat Purchase Rate Increase repeat purchase rate SFDC & Oracle Not Captured Low High Percentage of sales associated with repeat customers % of Sales to Repeat Customers Increase sales to existing customers SFDC Not Captured Low High Percentage of

deals with up sell Sales Generated Up sell Increase up sell Increase Retention of Existing Customers SFDC Not Captured Low High Percentage of sales associated with new customers % of Sales to New Customers Increase number of new customers SFDC Not Captured Low High Percentage of leads accepted that have been

closed % of Accepted Leads to Sale Increase sales to new customers Acquire New Profitable Customers Increase Revenue Source Readiness for Capture Ease of Capture Priority Definition How to Measure the Behavior Changes – Metric Behavior Changes that Lead to Outcome Business Objective Value Driver