XPO
After the global freight and logistics company XPO launched a suite of successful premium services to its customers, the challenge became scaling that success. Pricing, marketing, sales, and operations all had to move in lockstep to support the new offering, which was far easier said than done.
“Cross-functional alignment is tricky,” said Vice President of Sales Operations Daragh King. The teams needed a common aim, and that turned out to be centering every decision around customers. Rallying around a shared purpose enabled XPO to avoid fragmentation while building momentum. The new services ultimately achieved “escape velocity,” reaching 3,000 customers and sustaining its growth trajectory.
We were able to say, ‘Put the customer in every decision we’re making internally, and if we do that, everyone will be aligned.’
— Daragh King
VP of Sales Operations
Palo Alto Networks
Siloed sales and marketing efforts were generating lackluster revenue results for Palo Alto Networks. That began to change when the teams aligned around the concept of buying groups. Rather than hand off leads to sales one by one, marketing began working with revenue development reps to assemble complete buying groups.
Though this was a significant shift, it also was an extension of existing sales and marketing practices. As Director of Marketing Operations Lauren Daley explains, this shift was a natural fusion of existing marketing and sales practices: Sales already sold solutions to groups, while marketing targeted personas in those groups.
A buying groups pilot generated remarkable results: a 17-fold increase in pipeline progression, a 2.3x increase in deal size, and a 17% greater closed-won rate for opportunities with buying groups attached. These improvements, achieved through tight marketing-sales alignment, “are leading to better revenue outcomes ultimately,” Daley said.
[The results] are huge ... and there’s still enormous upside for the company.
— Lauren Daley
Director of Marketing Operations
First Student
First Student, a leading student transportation services provider, exemplifies how strategic IT alignment can drive business success and differentiation. Executive leadership saw an opportunity to accelerate growth and transform the market by placing technology at the heart of the business strategy.
The CIO and CEO conducted a technology “showcase” process, meeting with every business function to understand their processes, technologies, gaps, and opportunities. Functions provided feedback that directly shaped the technology strategy and roadmap. The intentional effort transformed IT from a support function to a true strategic partner in business success.
The sustained collaboration paved the way for the launch of the First Alt service, a digitally enabled transportation solution for students with special needs that went from ideation to commercial launch in just nine months. This service ultimately doubled its expected revenue, prompting First Student to raise its five-year growth targets.
Ford Motor Company
It’s long been known that a new car depreciates the moment it’s driven off the lot. Ford Motor Company endeavors to change this, believing that an unrivaled customer experience (CX) can ultimately create value for both the customer and the company.
It’s a lofty goal, one that has required some fundamental changes to the way Ford does business. Like most car companies, in the past, Ford focused primarily on vehicle acquisition — the phase called “shop and buy.” But today, the company focuses on creating a consistent end-to-end experience from before purchase to beyond purchase. Former Executive Director of Customer Experience Jim Azzouz says the company had to ask, “How might we restructure the business to add value across all the interactions in our customers’ experience? How do we put rigor around how we show up, from ‘shop’ to ‘buy’ all the way through ownership?”
The answer? Be hyperfocused on your priorities and keep customer value at the center.
The effort has not come without challenges, with Ford navigating uncharted territory. But the team recognizes that “sometimes when we are the most uncomfortable, that’s the area where we have the confidence that we’re on to something special,” said Azzouz.
Ford’s approach to alignment has included four critical steps:
- Breaking down silos.
Knowing its strengths were in vehicle and design manufacturing, Ford decided to apply those strengths to CX — treating new customer experiences much the same way that it treats a vehicle launch. This means breaking down silos and naming one champion who acts as the directly responsible individual for the success of the program. - Establishing a great agency partnership.
Ford has built trust and communication with its agency partner. The company has a long history of mutually designed infrastructure and processes, but it also recognizes that sometimes process gets in the way of people, so Ford makes sure not to stifle voices along the way. - Building a foundation.
Ford recognizes that to scale experiences, it needs to align the right mix of talent. When designing CX, the company involves product management, designers, and engineers from the outset. Each has a distinct role, and each is ultimately responsible for outcomes. - Branding the experience.
The CX team recognizes that a new experience initiative will not be successful unless the customer knows about it and understands its value. That’s why it aligns closely with the marketing team to ensure effective and impactful customer communications.
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