22-1,Chapter 22 Managing the Total Marketing Effort by,PowerPoint by Milton M. Pressley University of New Orleans,22-2,The marketing organization will have to redefine its role from managing customer interactions to integrating and managing all the companys customer-facing processes.,Kotler on Marketing,22-3,Chapter Objectives,In this chapter, we focus on the following questions: What are the trends in company organization? How are marketing and sales organized in companies? What steps can a company take to build a stronger customer focused culture? How can a company improve its marketing-implementation skills? What tools are available to help companies monitor and improve their marketing activities?,22-4,Trends in Company Organization,Main responses of companies to a changing environment Reengineering Outsourcing Benchmarking Supplier partnering Customer partnering,Merging Globalizing Flattening Focusing Empowering,22-5,Outsourcing can save companies money by passing on to another firm the overhead involved with maintaining specialized staff positions, or eliminating the need to maintain specialized equipment that does not directly support their core business. What are the potential risks associated with outsourcing?,Discussion Question,22-6,Figure 22.1: Stages in the Evolution of the Marketing Department,The Evolution of the Marketing Department,Marketing Organization,22-7,Marketing Organization,Simple Sales Department Sales Department With Ancillary Marketing Functions Separate Marketing Department Modern Marketing Department / Effective Marketing Company Process-And Outcome-Based Company,22-8,Marketing Organization,Organizing the Marketing Department Functional Organization Field sales Customer service Product management Geographic Organization Area market specialist,22-9,Organizing a marketing organization geographically can allow marketing managers to focus on regional and cultural differences in their market segments. What are the reasons why geographical segmentation might be a bad idea? What could be done to minimize these problems in geographically organized marketing departments?,Discussion Question,22-10,Krispy Kremes Web site promotes new store openings,22-11,Marketing Organization,Product- or Brand-Management Organization Product and brand managers have these tasks: Develop a long-range and competitive strategy for the product Preparing an annual marketing plan and sales forecast Working with advertising and merchandising agencies to develop copy, programs, and campaigns Stimulating support of the product among the sales force and distributors Gathering continuous intelligence on the products performance, customer and dealer attitudes, and new problems and opportunities Initiating product improvements to meet changing market needs,22-12,Figure 22.3: The Product Managers Interactions,22-13,Marketing Organization,Pearson and Wilsons five steps to make the product-management system work better Clearly delineate the limits of managers role Build a strategy-development-and-review process Take into account areas of potential conflict Set up a formal process that forces to the top all conflict-of-interest situations Establish a system for measuring results,22-14,Marketing Organization,A Second Alternative is to switch from product managers to product teams Vertical product team Triangular product team Horizontal product team Third Alternative: Brand Asset Management Team (BAMT),22-15,Figure 22.5: Managing Through Teams at Kraft,22-16,Marketing Organization,Market-Management/Customer Management Organization Market-management Organization Markets manager Customer-management Organization Product-Management/ Market-Management Organization,22-17,Marketing Organization,Corporate-Divisional Organization No corporate marketing Moderate marketing Strong corporate marketing Marketing Relations With Other Departments R&D Engineering and Purchasing Manufacturing and Operations Finance Accounting and Credit,22-18,Marketing Organization,Building a Companywide Marketing Orientation Transforming into a true market-driven firm requires: Developing a companywide passion for customers Organizing around customer segments instead of around products Developing a deep understanding of customers through qualitative and quantitative research,22-19,Marketing Organization,What steps can a CEO take to create a market and customer focused company? Convince senior management of the need Appoint a senior marketing officer and a marketing task force Get outside help and guidance Change the companys reward measurement and system Hire strong marketing talent Develop strong in-house marketing training programs Install a modern marketing planning system Establish an annual marketing excellence recognition program Shift from a department focus to a process-outcome focus Empower the employees,22-20,Strategic innovation resource: Brighthouse,Injecting More Creativity Into the Organization,Marketing Organization,