Commercial operations, sales operations, revenue operations… If you feel a little bit lost in the "operations" jungle, you've arrived at the right place. Let's explore the critical roles and components that are specific to commercial operations!
What does commercial operations mean?
Commercial operations refer to the processes within a company that focus on managing the commercial aspects of the business to optimize efficiency and profitability.
And what is actually included?
Commercial operations include sales planning and execution, marketing strategies, customer service, contract management, supply chain management, pricing and margin optimization, sales and marketing alignment, and the handling of data related to these activities.
The Three Core Elements of Commercial Operations
Sales and Marketing
As you might expect, sales and marketing are pivotal elements of commercial operations. Strategies here involve identifying target markets, developing promotional and advertising campaigns, and effectively positioning the company's products or services in the market. Of course, crafting effective go-to-market plans requires a thorough understanding of customer needs and market dynamics (see the skills needed to be a top commercial operations expert at the end of this article).
Supply Chain and Operations
The supply chain plays a critical role in commercial operations by ensuring that products are manufactured, stored, transported, and delivered efficiently. Optimization strategies involve managing logistics, inventory control, and supplier relationships to reduce costs and improve service delivery.
Customer Relationship and Data Management
In today’s digital age, managing customer relationships and data is crucial. Commercial operations utilize CRM systems to maintain contact with customers, manage sales funnels, and enhance customer service. Data management involves analyzing customer data and market trends to make informed decisions that align with business strategies.
Most common roles
Number 1: The Commercial Operations Specialist
A commercial operations specialist focuses on the implementation and optimization of business processes. Their duties include analyzing market data, coordinating with marketing and sales teams, and developing strategies to increase efficiency and effectiveness in business operations.
Their tasks:
Managing daily operational tasks
Resolving technical problems
Handling procurement activities
Evaluating the firm's standing in the marketplace
Developing strategic plans for sales initiatives
Conducting sales evaluations to support sustained business expansion
Exploring new market prospects
Crafting customer interaction strategies to enhance client contentment
Number 2: The Commercial Operations Manager (COM)
The role of a commercial operations manager is to oversee the entire commercial operations department. They are responsible for setting strategic goals, aligning departmental activities with the organization’s objectives, and managing a team of specialists to execute operations smoothly. Sometimes, this role is handled by the Chief Commercial Officer (CCO) himself!
Do you want to work in commercial operations? You might need these skills:
Good communication skills: a must when having such a horizontal role.
Data-driven mindset: do we need to detail this?
Technical skills: commercial operations usually require database manipulations, automations, and scripting.
Sales skills: not required, but a nice addition to be more effective.
