what is sales enablement

Free ebook: Sales Enablement Defined for Technology Sales Enablement Professionals

Tectonic forces are at work transforming business relationships away from their traditional dependency on products and services toward a focus on business outcomes and results. Inefficiencies noted within a sales organization are only early warning signs. Left unchecked, these flaws and frictions will eventually wreak havoc on balance sheets. Vendors that understand the fundamental changes at play will evolve their business models to be more holistic and customer-centric and will enjoy higher margins and increased differentiation in the marketplace. Those slow to respond will be relegated to commodity supplier status and forced to drive massive costs out of their selling model to remain cost-competitive and to protect eroding margins. Sales enablement is an emerging, cross-functional discipline designed to bridge the gap between strategy and execution and to accelerate the transformation into a new selling model.

Table Of Contents

Pg 2 - Confronting Change, Vendors Are Adopting New Strategies Pg 9 - Executive Mandates Result In An Epidemic Of Uncoordinated Initiatives Pg 13 - Random Acts Of Sales Support Undermine The Best-Laid Strategies Pg 15 - Sales Enablement Bridges Go-To-Market Strategy And Tactical Execution Pg 21 - Implementation And Success Require Cross- Functional Collaboration Pg 24 - WHAT IT MEANS - Sales Enablement Emerges As A New Strategic Discipline

First 3 Pages

August 4, 2010 Sales Enablement Defined by Scott Santucci for Technology Sales Enablement Professionals Making Leaders Successful Every Day EXECUTIVE SUMMARY Tectonic forces are at work transforming business relationships away from their traditional dependency on products and services toward a focus on business outcomes and results. Inefficiencies noted within a sales organization are only early warning signs. Left unchecked, these flaws and frictions will eventually wreak havoc on balance sheets. Vendors that understand the fundamental changes at play will evolve their business models to be more holistic and customer-centric and will enjoy higher margins and increased differentiation in the marketplace. Those slow to respond will be relegated to commodity supplier status and forced to drive massive costs out of their selling model to remain cost-competitive and to protect eroding margins. Sales enablement is an emerging, cross-functional discipline designed to bridge the gap between strategy and execution and to accelerate the transformation into a new selling model. TABLE OF CONTENTS 2 Confronting Change, Vendors Are Adopting New Strategies 9Executive Mandates Result In An Epidemic Of Uncoordinated Initiatives 13 Random Acts Of Sales Support Undermine The Best-Laid Strategies 15 Sales Enablement Bridges Go-To-Market Strategy And Tactical Execution 21 Implementation And Success Require Cross- Functional Collaboration WHAT I T MEAN S 24 Sales Enablement Emerges As A New Strategic Discipline NOTES & RESOURCES Forrester conducted a variety of research to develop this report, including: analysis of earnings call and investor relations communications from Accenture, BMC Software, CA, Citrix Systems, CSC, Dell, HP, IBM, NetApp, Oracle, SAP, and Symantec; and full-day discussions in both Europe and the US with 30 sales and marketing executives representing Alcatel-Lucent, Ariba, BMC Software, Brocade, BT, Capgemini, Cisco, Fujitsu, Genesys, HP, IBM, Orange Business Services, SAP, Symantec, T-Systems, and VMware. Related Research Documents “Optimize Performance By Driving Enterprise Sales Outcomes”July 17, 2009 “Uncovering The Hidden Costs Of Sales Support”April 13, 2009 “Engineering Valuable Sales Conversations” November 12, 2008 CONFRONTING CHANGE, VENDORS ARE ADOPTING NEW STRATEGIES In their book Confronting Reality: Doing What Matters to Get Things Right, Larry Bossidy and Ram Charan assert: “Whether change is abrupt or gradual, at some point it makes old beliefs and behaviors obsolete. Ignoring that reality, as so many leaders do, is devastating.” In November 2008, Forrester predicted where the technology industry is heading based on the reality that companies are transforming how they do business (see Figure 1). Technology industry executives are responding to these transformative pressures in a variety of ways and expressing these reactions in comments and prepared remarks to their core stakeholders. The emphasis is on: · Focusing on pragmatic, profitable growth. “We’re investing heavily in engineering, we’re investing heavily in sales, and obviously [there are] other parts of the business we need to invest in to scale, but there’s a limit to how much we can do that. And as long as revenue remains at this kind of growth rate, that’s what’s enabling us to stay at our operating margin.” (Tom Georgens, president and CEO, NetApp) ·Continuing to retool the sales engine. “When we think about what we’re trying to accomplish with the team and where we’re going, we’re moving from where we are today and where Citrix has been historically . . . [Citrix clients need to be making] more of a strategic purchase . . . leading more directly or with a [systems integrator] and being proactive in our sales approach. So, it’s a pretty significant change that, as I said, we started last year.” (Al Monserrat, senior vice president of sales and services, Citrix Systems) · Eliminating waste. “We are very focused on being a lean company and doing more with less. Just because you have more people doesn’t mean you get more results. So we have lifted and shifted a lot of the internal resources to be more customer-facing, and therefore more quota is on the street without increasing headcount to begin with. As the economy rebounds, we would do selective hiring in the sales department and we’d probably just focus on sales only and quota-bearing positions, so we can catch the upside.” (Bill McDermott, co-CEO, SAP AG) · Differentiating at the point of sale. The one word I hear clients use most often with me is they talk about Smarter Planet as an aspiration of a way forward for them, of the value that they can get out of this whole point of being instrumented, interconnected, and more intelligent data. It changes the nature of the conversation with the client, and it changes the nature of the sales opportunity we have with them. You can’t do that unless you have an integration engine. And that is one of the biggest competitive differentiators between us and anybody else that is out there in this tech universe.” (Ginni Rometty, senior vice resident of global sales and distribution, IBM) · Transform reps’ selling behavior out of their comfort zone. “So the sales teams have been very eager to try to bring the Perot Systems capabilities in and are doing that with success. Our pipeline for new opportunities is significantly higher than it was six months ago. But it is a