Salesforce RLM which stands for Revenue Lifecycle Management is a specialized module that caters to the need of sales force in all its phases starting from the creation of opportunity to the recognition of revenues . However, it will also make it easier to understand where Salesforce RLM stands out the most? This blog is an initiative by Tenetizer Technologies highlighting the top-indicator use cases where Salesforce RLM can contribute towards improving efficiency and growth in your organization.
RLM solutions are closely associated with key capabilities like Configure, Price, Quote (CPQ); orders and contracts; billing and invoicing; and revenue recognition tightly integrated into Salesforce. Thus, through the actual automation of these activities, Salesforce RLM provides businesses with the benefit of improving the accuracy, as well as the overall efficiency of operations, directly affecting financial performance.
Complex product configuration and pricing.
Companies with complex products that require special rules regarding price quotation and order placement are vulnerable to several disadvantages. However, the use of Salesforce RLM’s CPQ tools can help in avoiding this because it centralizes product configuration, price determination and quoting.
Use Case: Technology company with flexibility in the design of both the physical and the computational parts of a product. Salesforce RLM enables the sales team to define factors such as product features and pricing rules within minutes and produce accurate quotes. It eliminates time-consuming and human-related mistakes in handling customer needs and quickens the sales cycle to satisfy the needs of the customers with an appropriate solution.
Subscription-Based Business Models
Overseeing the different stages that customers go through during the subscription process right from subscribing to the services all through to renewals and even churnage is a difficult nut to crack for subscription-based organizations. The functionality of the Salesforce RLM is also perfect to handle these important processes of subscription management.
Use Case: A SaaS company offering a licensed software through cloud-based software on licensee’s monthly, quarterly, or annual fee. With Salesforce RLM, the company can automate the billing of subscriptions, keep track of renewal, and analyze subscription behavior of the customer. This helps to bill customers on time and minimizes client dropout while at the same time increasing its customer satisfaction.
Usage-Based Billing Models
Usage billing requires accurate tracking of usage and subsequent billing to the customer, making the system an essential component in business that adopts this billing model. Revenue management A couple of billing use cases, which are supported by Salesforce RLM’s enhanced billing capabilities, is usage billing.
Use Case: This is a company within the telecommunication industry which offers its service in exchange for charges given to clients in accordance with the data usage, calls made and other features offered. Salesforce RLM allows the provider to monitor the pure utilization and provide correct invoices according to the standard billing policies. This helps to reduce prescription and pricing differences that lead to hitches in the flow of funds.
Revenue Recognition Compliance
This means that companies should adhere to the specific guidelines in newly implemented revenue accounting standards including ASC 606 and IFRS 15. Salesforce RLM also features simplify, automate, and enforce revenue recognition guidelines for compliance.
Use Case: Example: A global service provider that requires fresh information that reflects the accounting standards applicable to multi-element arrangements of hardware, software, and services – ASC 606. Salesforce RLM enables organizations to operate the right amount of revenue based upon certain prescribed guidelines, which makes it easier to do the accounting and even prepare for an audit.
Contract Lifecycle Management
This involves protecting renewals and ensuring there is minimal revenue loss, all of which are achieved through efficient contract management. Salesforce RLM brings extensive coverage of contract lifecycle management features for the enterprise.
Use Case: The case of a manufacturing company which has started undertaking multiple contracts with suppliers as well as customers. Salesforce RLM brings added efficiency into the contract management, and it reduces the time needed to update or renew them, while issues related to the contracts are also resolved promptly.
Complex Order Management
Businesses with many orders and order-related issues, coupled with the order items, which are products and services, seek an enhanced order management system. Salesforce RLM Introduces the efficient process of order management.
Use Case: An e-commerce company handling varieties of products and enhancing the possibilities of selling these product in bundles and package. Proprietary Order Management: Salesforce RLM improves order management directly and indirectly through handling all orders and integrating with other departments responsible for inventory. On the one hand, this minimizes the amounts of time that may be needed to process or work on various tasks or orders, while on the other, it makes for improved customer experience.
Cross-Selling and Up-Selling Opportunities
There is usually an incredible opportunity of improving revenues through cross-sell or up-sell, which need to be perfectly identified and exploited. Some of the guided selling features of Salesforce RLM are beneficial for the sales teams in identifying these opportunities.
Use Case: A medical technology company that provides a variety of medical products and services involving the manufacturing of different medical instruments and designing of various software. Salesforce RLM leads customers to convert to cross-sell or upselling opportunities as appropriate with the utilization of purchase history or choice of the customers. This means achieving more sales per unit and improving the overall satisfaction of consumers.
Saleforce RLM benefits are as follows anytime across use case:
Enhanced Efficiency: When intensive calculations and illustrations are involved, much time and energy would be saved by the use of automation thus enhancing efficiency in business real-life models and reactions.
Improved Accuracy: The thing here is that the issue of an accurate quote, an invoice, and the correct manner of recognizing revenue avoids such issues and keeps the organization on the right side of the law.
Better Customer Experience: It helps in simplifying billing, renewal and contracts so that they are properly billed and renewed on time and lead to improved customer satisfaction and customer retention.
Why Tenetizer Technologies to Choose for Salesforce RLM Integration?
Salesforce RLM is a powerful tool for revamping revenue operations, and executing it to its optimal capacity is a task best handled by a specialist. As a Salesforce consulting partner, Tenetizer Technologies has the experience and expertise in deploying the Salesforce RLM solutions that fits your organization.
Are you prepared for making the Salesforce Revenue Lifecycle Management turn? Please refer to the following link for more information on the selection process of the consultant to assist in your Salesforce RLM.
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