For example, for companies founded earlier in the evolution of cloud computing, we might find that IT / Operations accounts for a much larger segment of the company, until many office IT functions were outsourced to the products of other companies. Spotify Model – The Spotify model is based on the Agile framework, with the addition of a cross-functional structure integrating teams together based on functionality, expertise, and role. The sales ops team must work with marketing ops to integrate with demand generating functions to meet goals and forecasts. Why is this a good thing? Giving teams full ownership of a module or feature allows them to work on that feature at their own pace, with no bottlenecks, and no delays except where features or models interact with other parts of the application. It’s a great way to implement Agile and cross-functionality, without creating silos or isolating experts. prevent and mitigate churn in your installed base, 5 Keys to a Revenue Intelligence Platform, Why Now is the Time for Revenue Intelligence, InsightSquared Brings its Revenue Intelligence Platform to HubSpot, Behind the Scenes of a Major Product Launch: Keys to Success. So, while teams are composed of people from different disciplines, those people are connected to other persons with the same business area, area (such as “Front-end), and common interests (such as “Quality Assurance”). Larger teams are more stable and reliable (They won’t drop work productivity if someone is sick or takes parental leave) but slower and less agile. Vision to Value Framework Copyright © 2020 Luis Gomes de Abreu All rights reserved. Product development needs both. Of course, Agile comes in many “flavors” and you’re free to choose the model you want. In most cases, small teams should include 3-5 people and large teams should comprise 6-10 people. While there is no one-size-fits all structure for product development teams, the following roles add value to development. Other organizations use their own rules. I received this proposed structure just as the company was raising capital and hiring staff to scale its business and attack multiple industry verticals at once. After a first seed investment, the founders have the chance to extend the team and create new positions. The team must fit the module or feature, and that often means building teams in different sizes, with different goals, and completely different work methods. It’s faster, more efficient, and allows your team to be as innovative as necessary to solve presented problems. Product development teams are the most crucial point in any SaaS pipeline. The team receives external support from a scrum master serving other teams with the same business function. Services groups range in proportion, but are significant in every organization, making up 10-30% of the company. Start with Responsibilities – Teams are normally designed around a “purpose” or “goal” such as “delivering a mobile experience”. Your email address will not be published. Developer – Most teams need at least 2-4. This article includes basic information for structuring product dev teams and offers some tips and advice from the book, Vision to Value. What should one of these teams look like? Weekly meetings are held with a support consultant to track updates to customer needs and user perspective. Dropping a new laptop in the hands of a hire with a Google Apps account is a viable solution now, but wasn’t ten years ago. If you determine something can’t be built 5 months into the process, everything must be scrapped and you have to start over. The company is a software as a service (Saas) provider that has developed a new virtual trade show platform. The most important part of any business is its customers. To keep your costs in line, lead generation and marketing efficiency has to grow beyond headcount. In our set, the Services org averages 2.5 people before 50 employees, and 17.5 after 50. Of these, Scrum is the most popular. Cloud governance team: To balance the cloud adoption team, a cloud governance team is dedicated to … You could also develop your own, but with hundreds of quality team frameworks and models on the market, it’s faster and more efficient to adopt something and adapt it to your needs. The Services organizations (delivering the product to customers) in these companies is always small – representing at most four employees. The ideal structure of your SaaS company’s marketing team and the profile of your team members may vary depending on how long you have been operating and whether you rely on external financing. Providing great customer support keeps those customers happy, and it helps your business grow. Your email address will not be published. There is no one best way to design a product development team. In most cases, product development teams should be cross-functional because it enables you to better utilize skills from across departments, rather than forcing teams to transfer work between teams. Businesses of all sizes employ sales operations teams. The company is in the hunt for a real sales process that is repeatable and can be taught to new employees. The marketing group should probably scale past one or two people to unlock more programs–all of the companies in our set had reached at least a four person team. These cross-functional groups allow Spotify to create small, highly autonomous squads that remain connected to others across the organization. Learn how to understand your capacity needs, the amount of resources you need to hit your goals, and develop the right sales ops team structure. When you first launch, chances are, roles and teams are poorly defined, if at all. Why? The more an organization uses SaaS and automates processes, the higher the number of users IT can support If we go further with this research, it would be interesting to see how this has changed over time in more companies, and review by when the company was founded as well. Along the way, he's launched other ventures such as Grappster and Wallylabs, participated in numerous startup initiatives, and is the author of Vision to Value. In a survey from that post, we collected data on 13 more SaaS organizations ranging from 13 to 244 employees, and their headcount breakdown by department. Yet, enterprise businesses must deal with managing a large number of sales processes and team members. Vision to Value offers a high-level Agile framework, with everything you need to structure teams, implement scalable processes across teams and pipelines, and scale operations in SaaS organizations. Last month, we reviewed two SaaS companies, HubSpot and InsightSquared, and contrasted how employees are distributed by department at their Series C stage.Briefly, we found that Sales roles represent 30-40% of company headcount, and that Services scales quickly behind Sales to deliver on boarding, customer support, and other needs to make sure new customers are well served. Support Operations: Helps with tooling, automation, and improving the overall customer support workflow. They have about ten staff and $2M in annual revenues. Because they haven’t found a process for selling the software in a repeatable fashion, the marketing and sales engine hasn’t begun to grow up. For this reason, you should consider designing teams around responsibilities. In our survey, seven SaaS companies with fewer than 50 employees shared their breakdowns. The IT Leader’s Checklist for SaaS Operations 4 Build your SaaSOps team structure with: One SaaSOps professional for about every 50–150 users. Notify me of follow-up comments by email. Size – Small teams are agile, flexible, and can quickly make decisions. B2B SaaS Org Chart: ~25 FTE. Save my name, email, and website in this browser for the next time I comment. Salesforce,, AppExchange, Sales Cloud, Service Cloud, Chatter, and others are trademarks of, Inc., and are used here with permission. At Nmbrs, we use a variation of the Spotify Model. This can result in difficulty as that goal or purpose is completed or changed. For instance, companies such as Novartis and the EMC Corporation hire and retain thousands of sales … Agile allows you to develop in small, flexible steps, make changes based on obstacles as you go, and essentially work backwards from creating value to how your product must start. Some other, very popular, agile-based frameworks include Scrum, Crystal, Dynamic Systems Development, and Feature-Driven Development. Product Development Team Structure for SaaS Organizations, How to Maintain Business-as-Usual When Working from Home, Team Predictability in Agile Environments.

saas operations team structure

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