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Objectives

Company Organization Trends

The Marketing & Sales Organization

The Marketing Departments Relation to

Other Departments

Building a Customer-Focused Culture

Improving Marketing Implementation

The Marketing Audit

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(a) Stage 1:

Simple Sales Department

President

Sales VP

Sales forceOther marketing

functions(hired from outside)

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(a) Stage 2:Sales Department w/ Ancillary

Marketing Functions

Marketing DirectorOther marketing functions

(internal staff andexternal support)

President

Sales VP

Sales force

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(a) Stage 3:Separate Marketing Department

President

Sales force

Sales VPSales VP

Other marketingfunctions

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(a) Stage 4 and 5:Modern/Effective Marketing

Company

President

Sales force

Sales VPSales VP

Other marketing

functions

Executive VP

of Marketing & Sales

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(a) Stage 6:Process & Outcome Based

Company

Cross-disciplinary team

with process leader

Marketing

personnel

Marketing

department

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Organizing the Marketing

Department

Functional Organization

Geographic Organization

Product- or Brand-Management

Organization

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Product

Managers

Interactions

Advertising

agency

Sales force

Legal Packaging

Fiscal

Promotion

services

Purchasing

R & D

Manufacturing

and

distribution

PublicityMarket

research

Media

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Three Types of Product

Teams

(a) Verticalproduct team

PMAPM

PA

PM = product managerAPM = associate product manager

PA = product assistant

(c) Horizontalproduct team

PM

R C S D F E

S = sales managerD = distribution specialist

F = finance/accounting specialist

E = engineer

(b) Triangularproduct team

PM

R C

R = market researcher

C = communication specialist

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Product/Market-Management

Matrix Systems

Orlon

Rayon

ProductManager

s

Acetate

Nylon

Dacron

Market Managers

Menswear

Womenswear

Industrialmarkets

Homefurnishings

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The Control Process

What do

we want

to achieve?

Goal

setting

What is

happening?

Performance

measurement

Why

is it

happening?

Performance

diagnosis

What should

we do about

it?

Corrective

action

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The Control-Chart Model

Upper controllimit

Desired level

Lower controllimit

14

12

10

8

6

Advertising

expense/S

alesratio

| | | | | | | | | | | | | | |1 2 3 4 5 6 7 8 9 101112131415

Time period

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Efficiency Control

Sales Force Efficiency

Advertising Efficiency

Sales Promotion Efficiency

Distribution Efficiency

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The Marketing Audit

I. Marketing Environment Audit

II. Marketing Strategy Audit

III. Marketing Organization Audit

IV. Marketing Systems Audit

V. Marketing Productivity Audit

VI. Marketing Function Audit

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Review

Company Organization Trends

The Marketing & Sales Organization

The Marketing Departments Relation to

Other Departments

Building a Customer-Focused Culture

Improving Marketing Implementation

The Marketing Audit