Marketing Implementation and Control

Chapter 11
Marketing
Implementation
and Control
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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
 Intricately
tied to the marketing strategy. Both must
be done well to achieve the firm’s objectives.
 All


firms have two strategies
Intended strategy – What the firm wants to happen
Realized strategy – The strategy that actually takes place
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The Link Between Planning and
Implementation
 Interdependency

Implementation depends on strategy; strategy depends on
implementation
 Evolution


Planning and implementation must evolve over time because
environmental factors constantly change.
There is no single, correct way to implement a strategy.
 Separation

While planning is often done at the top of the organizational
hierarchy, implementation occurs at the frontline of the firm.
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The Separation of Planning and
Implementation (Exhibit 9.1)
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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.
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The Elements of Marketing
Implementation
 Marketing

How the firm plans to meet its goals and objectives
 Shared

Goals and Values
The “glue” of successful implementation
 Marketing


Structure
Formal lines of authority; how the firm is organized
Centralization vs. decentralization
 Systems

Strategy
and Processes
Work activities that absorb inputs to create information and
communication outputs that ensure the firm’s operation
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The Elements of Marketing
Implementation (continued)
 Resources

The firm’s tangible and intangible assets that can be used to
implement the marketing strategy
 People



(Human Resources)
Employee selection and training
Employee evaluation and compensation
Employee motivation, satisfaction, and commitment
 Leadership

The art of managing others; how managers communicate with
employees and motivate their employees to implement the
strategy
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The Elements of Marketing
Implementation (Exhibit 9.2)
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Approaches to Marketing
Implementation (Exhibit 9.3)




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
© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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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?
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Internal Marketing and Marketing
Implementation
 The



Help employees understand their roles
Create motivated and customer-oriented employees
Deliver external customer satisfaction
 The




Internal Marketing Approach
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
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Internal Marketing Process
(Exhibit 9.4)
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Putting Internal Marketing into Action
1.
The recruitment, selection, and training of employees
must be considered an important part of
implementation.
2.
Top executives must be completely committed to the
strategy and the overall marketing plan.
3.
Employee compensation programs must be linked to
the implementation of the marketing strategy.
4.
The firm should be characterized by open
communication among all employees, regardless of
their level in the firm.
5.
The firm’s structure, policies, and processes should
match the marketing strategy.
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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, is internal marketing
a viable approach for most
organizations? Why or why not?
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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.
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A Framework for Marketing Control
(Exhibit 9.5)
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Formal Marketing Controls
 Input


Controls (prior to implementation)
Recruiting, selecting, and training employees
Resource allocation decisions
 Process


Commitment to the strategy
System for evaluating and compensating employees
 Output


Controls (during implementation)
Controls (after implementation)
Performance standards
Marketing audits
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Marketing Audit Framework
(see Exhibit 9.6)

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
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Informal Marketing Controls
 Employee


Job satisfaction
Organizational commitment
 Social


Control (small group control)
Shared values
Social and behavioral norms in work groups
 Cultural



Self-Control (personal expectations)
Control (organizational norms)
Organizational culture
Organizational stories, rituals, and legends
Cultural change
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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
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Hypothetical Implementation Schedule
(Exhibit 9.7)
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© 2014 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.