O. C. Ferrell Michael D. Hartline

Transcription

1 C H A P T E R 11 Marketing Implementation and Control O. C. Ferrell Michael D. Hartline

2 Marketing Implementation the process of executing the marketing strategy by creating and performing specific actions that will ensure the achievement of the firm s marketing objectives. Is intricately tied to the marketing strategy. Both must be done well to achieve the firm s objectives. All firms have two strategies Intended strategy Realized strategy

3 Strategic Issues in Marketing Implementation (Exhibit 11.1) The Link Between Strategic Planning and Implementation Interdependency Evolution Separation

4 The Separation of Planning and Implementation (Exhibit 11.2)

5 Discussion Question Forget for a moment that planning the marketing strategy is equally as important as implementing the marketing strategy. What arguments can you make for one being more important than the other? Explain your answers.

6 Strategic Issues in Marketing Implementation (continued) The Elements of Marketing Implementation Marketing strategy Shared goals and values Marketing structure Systems and processes Resources People (Human resources) Employee selection and training Employee evaluation and compensation Employee motivation, satisfaction, and commitment Leadership

7 The Elements of Marketing Implementation (Exhibit 11.3)

8 Approaches to Marketing Implementation (Exhibit 11.4) Implementation by Command Adv: Makes decision making easier; reduces uncertainty Dis: Does not consider feasibility; divides the firm; employee motivation Implementation Through Change Adv: Considers the relationship between planning and implementation Dis: Clings to power-at-the-top mentality; can take a long time Implementation Through Consensus Adv: Incorporates multiple viewpoints; can make implementation easier Dis: Slows the strategy/implementation process; potential for groupthink Implementation as Organizational Culture Adv: Eliminates barriers; can lead to a strong corporate vision Dis: Increases employee costs; can be painful and time consuming

9 Discussion Question If you were personally responsible for implementing a particular marketing strategy, which implementation approach would you be most comfortable using, given your personality and personal preferences? Why? Would your chosen approach be universally applicable to any given situation? If not, what would cause you to change or adapt your approach?

10 Internal Marketing and Marketing Implementation The Internal Marketing Approach Help employees understand their roles Create motivated and customer-oriented employees Deliver external customer satisfaction The Internal Marketing Process Internal products new strategies, employee tasks Internal prices increased effort and changes that employees must exhibit Internal distribution internal communication of the strategy Internal promotion informing and persuading employees about the merits of the strategy

11 The Internal Marketing Process (Exhibit 11.5)

12 Putting Internal Marketing into Action The recruitment, selection, and training of employees must be considered an important part of implementation. Top executives must be completely committed to the strategy and the overall marketing plan. Employee compensation programs must be linked to the implementation of the marketing strategy. The firm should be characterized by open communication among all employees, regardless of their level in the firm. The firm's structure, policies, and processes should match the marketing strategy.

13 Discussion Question What do you see as the major stumbling blocks to the successful use of the internal marketing approach? Given the hierarchical structure of employees in most organizations (e.g., CEO, middle management, staff employees), is internal marketing a viable approach for most organizations? Why or why not?

14 Evaluating and Controlling Marketing Activities Why are the intended strategy and the realized strategy different? The marketing strategy was inappropriate or unrealistic. The implementation was inappropriate for the strategy. The implementation process was mismanaged. The internal and/or external environments changed substantially between the development of the marketing strategy and its implementation.

15 A Framework for Marketing Control (Exhibit 11.6) Formal Controls (initiated by management) Input controls Process controls Output controls Informal Controls (initiated by employees) Employee self-control Social control Cultural control

16 Formal Marketing Controls Input Controls (prior to implementation) Recruiting, selecting, and training employees Resource allocation decisions Process Controls (during implementation) Commitment to the strategy System for evaluating and compensating employees Output Controls (after implementation) Performance standards Marketing audits

17 Marketing Audit Framework (Exhibit 11.7) Identification of Marketing Activities Review of Standard Procedures for Each Marketing Activity Identification of Performance Standards for Each Marketing Activity Identification of Performance Metrics for Each Marketing Activity Review and Evaluation of Marketing Personnel Evaluation of Customer Support Systems

18 Informal Marketing Controls Employee Self-Control (personal expectations) Job satisfaction Organizational commitment Social Control (small group control) Shared values Social and behavioral norms in work groups Cultural Control (organizational norms) Organizational culture Organizational stories, rituals, and legends Cultural change

19 Scheduling Marketing Activities 1. Identify the specific activities to be performed 2. Determine the time required to complete each activity 3. Determine which activities must precede others 4. Arrange the proper sequence and timing of all activities 5. Assign responsibility

20 Hypothetical Implementation Schedule (Exhibit 11.8)