Servicesource International Inc (NASDAQ:SREV) Rides The Growth Challenges In Q2


Dallas, Texas 08/05/2014 (FINANCIALSTRENDS) – Servicesource International Inc (NASDAQ:SREV) reporting of its second quarter results may have been below expectations, but the company has been able to mark progress because of the hybrid operating model it has adopted.

Sharing details of the developments was CEO and Chairman Mike Smerklo. He commented that, “Despite some great expansions and new customer additions, our results this quarter reflect the execution challenges of our hybrid operating model.”

Separating Business Units

Servicesource International Inc (NASDAQ:SREV) is currently in the process of separating the business units for Managed Services as well as SaaS operations. The company has been working towards establishing client-facing teams for the two separate units. The current plan contributes to distinct offerings that are built of a size that will allow of multiple spending levels.

Servicesource International Inc (NASDAQ:SREV) has also announced that it will now begin to focus on Managed Services and operations again. Management expects to see a return track on the growth as well as profitability on this factor, with streamlined focus.

Changes In Management

SREV management also announced on July 31 that it would now have a new Head of World Wide Sales & Customer Success as incumbent Jay Ackerman has announced his resignation. With changes at the top-level, it remains to be seen if new head of Sales and customer services, will bring in changes driving growth.

Servicesource International Inc (NASDAQ:SREV) offer service contract renewals as well as support and maintenance besides subscription agreements for a cross section of clientele. The range of solution includes in-built cloud applications which will allow sales teams to connect and work for client brands, via the Service Revenue Intelligence Platform.

The advantage the platform serves by integrating managed services, data as well as software is that the renewal processing is more managed. The automated process includes- data management as well as placement of quotations, selling as well as service revenue business intelligence.