05 Sep How Oracle CPQ turns actions into commerce
Thomas Gray once said, “Commerce changes the fate and genius of nations.” Commerce is, at its core, the exchange of goods or services for money. While Gray is viewing the effect of commerce on the macro level in the quote, the micro level is represented by individual companies, like your own, with the main goal of exchanging goods or services for revenue. That’s dependent on your sales team, whose daily tasks have the most direct impact on commerce for your company. The rules around how your products and services are turned into revenue by your sales team need to be centrally managed and easily understood to ensure that sales happen smoothly.
So, how can you have a major impact on commerce for your company? By utilizing product configuration information, customer information, pricing and discounting information, and required approvals and combining them all together to enable the sales team to deliver accurate and persuasive quotes to potential customers. Oracle CPQ does that, and more, through the definition of commerce attributes and views, approval processes and rules, and sales lifecycle stages.
Definition of commerce attributes and views
Product knowledge is an essential sales skill, and that starts with the ability to set up all of the parameters and fields that are necessary to ensure that your products, no matter how complex, are sold properly. You need to have complete control over all product and pricing rules, including configurations, industry availability, discounts, and all of the individual variables that are so important for your sales team. Apart from the backend attributes and fields, you also need to have control over the frontend view of your tool. Oracle CPQ gives you the power to completely change the way your company’s sales tool looks through an easy-to-use commerce layout editor. All of that comes together to ensure complete control over the information and look-and-feel of your commerce tool.
Approval processes and rules
After the information and views are up to snuff, you need to determine the process by which your sales and pricing are approved, as well as where the information goes in your organization. This has a direct impact on errors or unapproved pricing going out, and errors often have a high cost. Oracle CPQ makes it easy to define who approves which transactions, or you can set pricing floors and ceilings that trigger reviews. And, when your organization changes, you can easily adjust those approvals based on those personnel changes.
Sales lifecycle stages
Depending on where the potential customer is in the sales lifecycle, the salesperson should be adjusting deliverables and quotes to close the deal. Generally, the sales lifecycle in Oracle CPQ has six steps: start, pending, submitted for approval, approved, order submitted, and trashed. You are able to manage the rules dictating how the client moves through those steps of the lifecycle, which you can define. You can also define the rules and profiles for clients that help you match your sales environment.
Your company was built to do commerce. Your initial idea probably had a structure similar to this: if I offer X product or service, I can make $Y. That’s commerce at its simplest. In the real world, especially after you’ve developed solutions to solve complex problems, the calculus to commerce can seem much more complicated. But using Oracle CPQ can make commerce simple and easy for your entire organization.
For more information about how Oracle CPQ makes commerce simple, contact us at Simplus today.