In the talk we will discuss how to break down the company’s overall goals all the way to your BI team’s daily activities in 3 simple stages: 1. Understanding the path to success - Creating a revenue model 2. Gathering support and strategizing - Structuring a team 3. Executing - Tracking KPIs Bios: Omri Halak -Omri is the director of business operations at Logz.io, an intelligent and scalable machine data analytics platform built on ELK & Grafana that empowers engineers to monitor, troubleshoot, and secure mission-critical applications more effectively. In this position, Omri combines actionable business insights from the BI side with fast and effective delivery on the Operations side. Omri has ample experience connecting data with business, with previous positions at SimilarWeb as a business analyst, at Woobi as finance director, and as Head of State Guarantees at Israel Ministry of Finance.

1. Omri Halak
Director of Business Operations
BI STRATEGY FROM A BIRD'S
EYE VIEW
(How to become a trusted advisor)

2. What is Business Operations?
Mission:
Ensuring effective and
useful utilization of our
set of information
systems
Integrations
Data Flow between
dept.
Major IS
Business Operations
Sales OperationsBI
Sr. Analysts
BI Developers
Applications Strategy
Jr. Analysts
IS Managers
Sr. Sales Ops
Managers
Jr. Sales Ops
Managers
Strategy Analysts
Mission:
Driving data driven
decision making across
the entire organization.
Revenue model
KPI’s & Goals setting
Monitoring KPI’s
Advanced analytics
SaaS Metrics
Mission:
Increasing the sales
productivity by
Improving processes
and enabling sales
management.
SF Admin
Sales Reporting
Forecast
Comp Plans
Mission:
Building long and short term
company strategy vs.
competitors, market and
partners.
Pricing & Packaging
Competitors attack plans
5 yr plans
CFO

3. Notes
B2B SaaS companies
Super proactive approach - create answers before being
asked
One size doesn’t fit all - make your own adjustments
Questions - stop me at any time

4. Agenda
Understanding the path to success
- What are the right kpis for you? Logz.io use case
Gathering support and strategizing
- How to build your team? SW use case
Executing

5. Path to success
(Creating a revenue model at Logz.io)
Annual ARR Target
Monthly ARR Target Monthly Expected Churn
Monthly Expected Expansion
Monthly NB ARR
Target
Avg. Deal Size
# of New Accounts
# of Opportunities
Created
Win Rate
Rep Personal
Quota
# of Sales Reps
Needed
Current ARR

6. A. Get the company’s
goals for the next
year/2 years
Path to success
(Creating a revenue model at Logz.io)
Time(Q)
ARR($)
Actual Plan
B. Portrait the quarterly
growth from current ARR to
Goal ARR
- linear quarterly growth
- linear growth rate
- Seasonality factors
Actual Dec ‘18 - $18M
Target Dec ‘20 - $42M
Linear growth: $2M per Q
Linear growth rate:
(42/18)^(1/24)= 3.6% QoQ

7. Path to success
(Creating a revenue model at Logz.io)
Annual ARR Target
Monthly ARR Target Monthly Expected Churn
Monthly Expected Expansion
Current ARR
Monthly NB ARR
Target
Avg. Deal Size
# of New Accounts
# of Opportunities
Created
Win Rate
Rep Personal
Quota
# of Sales Reps
Needed

8. C. Make educated assumptions
on Churn and expansion
D. Change the questions you ask
Path to success
(Creating a revenue model at Logz.io)
“What can we reach?”
“Can we reach it? Why not?
What resources do you need in
order to get there?”
ARR Cycle
+ Beginning ARR
+ New business ARR
+ Expansion ARR
- Churn ARR
=
End ARR
ARR Cycle
+ End ARR
- Beginning ARR
+ Churn ARR
- Expansion ARR
=
New business ARR
ARR Cycle
+ $20M end
- $18M beg
+ $0.2M chu
- $0.5M exp
=
$1.7M NB

9. Path to success
(Creating a revenue model at Logz.io)
Annual ARR Target
Monthly ARR Target Monthly Expected Churn
Monthly Expected Expansion
Monthly NB ARR
Target
Avg. Deal Size
# of New Accounts
# of Opportunities
Created
Win Rate
Rep Personal
Quota
# of Sales Reps
Needed
Current ARR

10. E. Reverse engineering of the
funnel
F. Make educated assumptions
on Avg. Deal Size, Win Rates,
Conv. Rate
G. Understand Ramp Periods,
SDR:AE ratio, Hiring constraints.
Path to success
(Creating a revenue model at Logz.io)
“How many Leads do we have?”
“How many sales reps?”
“How many Opportunities can we
open?”
“How many Opportunities can we
close?”
“How much new business can we
close?”
“How much new business do we need
close?”
“How many Opportunities do we need to
close?”
“How many Opportunities do we need to
Open?”
“How many Leads do we need?”
“How many sales reps?”
“How many SDRs to support them?”
$1.7M NB
$17K per deal
=
100 new accounts
$1.7M NB
$340K per AE per Q
=
5 AEs

11. Path to success
(Creating a revenue model at Logz.io)
Monthly Expected Expansion
Monthly NB ARR
Target
Avg. Deal Size
# of New Accounts
# of Opportunities
Created
Win Rate
Rep Personal
Quota
# of Sales Reps
Needed
# of Leads required
# of Visitors required
Conversion Rate
Conversion Rate

12. H. Understand cohort
conversion rates
I. Apply to model by calculating
back the cohort
Path to success
(Creating a revenue model at Logz.io)
Opps/Cohort 0 1 2 3 4 5
January 2018 100 2 4 6 1 0 0
February 2018 100 6 4 6 0 0 0
March 2018 100 12 4 6 2 0 0
April 2018 100 11 5 6 1 3 0
May 2018 100 14 4 9 1 2 0
June 2018 100 13 1 6 0 1 0
July 2018 100 13 8 6 1 1 0
August 2018 100 12 9 7 0 2
September 2018 100 15 12 7 1
October 2018 100 8 22 8
November 2018 100 9 12
December 2018 100 11
10.5% 7.7% 6.7% 0.1% 0.1% 0.0%
$1.7M NB
25% Win Rate
=
$6.8M new pipeline created

13. Path to success
(Creating a revenue model at Logz.io)
Monthly Expected Expansion
Monthly NB ARR
Target
Avg. Deal Size
# of New Accounts
# of Opportunities
Created
Win Rate
Rep Personal
Quota
# of Sales Reps
Needed
# of Leads required
# of Visitors required
Conversion Rate
Conversion Rate
Costs CAC expected

14. J. Turn assumptions and targets
into KPIs
Path to success
(Creating a revenue model at Logz.io)
Marketing KPIs
# of SQLs
# of MQLs
# of Leads
# of Website Visitors
Conv. Rates
Sales KPIs
$ New Accounts
Win Rate
# of opps
Avg. opp value
CS KPIs
$ Expansion
Expansion Rate
$ Churn
Churn Rate
HR KPIs
# of sales reps
# of SDRs
Ramp-up period
Finance KPIs
Quota Coverage
Cash in/out
CAC - LTV/CAC, Time 2 recover
Product KPIs
DAU/WAU/MAU
User Usage
Feature releases

15. Gathering support
and strategizing
(How we build our team at SW)
Marketing KPIs
# of SQLs
# of MQLs
# of Leads
# of Website Visitors
Conv. Rates
Sales KPIs
$ New Accounts
Win Rate
# of opps
Avg. opp value
CS KPIs
$ Expansion
Expansion Rate
$ Churn
Churn Rate
HR KPIs
# of sales reps
# of SDRs
Ramp-up period
Finance KPIs
Quota Coverage
Cash in/out
CAC - LTV/CAC, Time 2
recover
Product KPIs
DAU/WAU/MAU
User Usage
Feature releases
A. Organize the KPIs in the
funnel order
B. Assign your analysts (option
developers as well) according to
KPIs as business partners to the
relevant stakeholders.
C. Become a trusted advisor to
the business owners.
Top of Funnel
Middle of Funnel
Bottom of Funnel Cross Funnel
Handovers

16. Gathering support
and strategizing
(How we build our team at SW)
D. Create the alignment of the
business inside the team
E. Work on projects in hybrid
teams
F. Meet daily/weekly/
monthly/quarterly basis
Top of Funnel
Middle of Funnel
Bottom of Funnel
Cross Funnel
Daily Stand-up meetings - 15 min.
Weekly Sync - 60 min.
Monthly Report - 90 min going over the full report

17. Executing
A. Understand, per KPI, what
is the frequency it updates.
Track accordingly.
A. Dependencies -
underachievement in KPI
X will affect KPI Y in the
following month
A. Create a set of leading
indicators to better
forecast shortcoming in
the next period.
A. Communicate your
analysis results
A. Alignment, Alignment,
Alignment
Weekly
# of Leads
# opportunities created
win rate
$ closed won
Monthly
# of Leads
# opportunities created
win rate
$ closed won
Quarterly
# of Leads
# opportunities created
win rate
$ closed won
Monthly
ARR
Target
Monthly
Expected
ChurnMonthly
Expected
Expansion
Current
ARR
Monthly
NB ARR
Target Avg. Deal
Size
# of New
Account
s
# of
Opportu
nities
Created
Win Rate
Rep
Pers
onal
Quo
ta# of
Sales
Reps
Needed
# of
Leads
required
# of
Visitors
required
Conversion
Rate
Conversion
Rate
Costs
CAC
expected
Conversion analysis, Win Rats, cohorts, Avg. deal size by segment are all extremely interesting
to your stakeholders!

18. Questions?

19. Omri Halak
Director of Business Operations
We are hiring!