Corporate marketing groups - especially bandwidth-challenged small-to-mid-sized departments - can be so focused on tactics and fire fighting that they jeopardize their marketing investment. There is a tendency to overreact to events, to tackle symptoms rather than underlying fundamental problems and to jump at the opportunity to please the boss. Many times, this kind of tactical knee jerking may be fatal.
Without great marketing, companies won't flourish, especially those in highly
competitive markets. Yet the chaotic nature of emerging or dynamic growth
companies and the tendency to place the marketing burden on too few individuals is
a setup for failure. Promising companies may be left in the dust, or at least
handicapped at the starting gate.
Marketing Operations is emerging as an important discipline for improving
performance and measuring ROI in admired technology companies (like Intel, IBM
and Amazon) who have refined and fine-tuned their marketing organization with an
operational focus. Given the demands that these organizations face today, an
innovative approach is central to solving critical issues like results measurement,
bandwidth constraints and creativity limitations, and building value-added
outsourced supplier relationships and effectively managing budget. Many of the
best practices, efficient processes and systems approach from large company
Marketing Operations can and should be applied by emerging companies that are
serious about their marketing investment. Here's why:
PROBLEM #1
Ill-defined metrics
Today, more than ever, corporate marketing departments need to justify their
existence. The need to measure results is unavoidable. However, the instincts and
skills that make an outbound marketing practitioner great-action-orientation,
verbal and written acuity, persuasiveness, the ability to build strong relationships-
often don't translate into an ability or willingness to scientifically and objectively
evaluate success. Add in broken systems and the organization's unwillingness to
pay for marketing evaluation, and it's no surprise that many marketing departments
are unable to define meaningful success metrics.
SOLUTION
Marketing Operations ensures that the right processes are in place to establish
meaningful metrics at the front-end of marketing process, enabling the
measurement of success at key intervals, and as each program concludes.
PROBLEM #2
Slammed resources
The prevailing attitude of "doing more with less" can leave key people discouraged,
overwhelmed, near burnout, and eventually, circulating their
resumes. The consequences for organizations are costly mistakes, high turnover,
and collapsed programs when key people leave, and missed opportunities to
leverage the "ugly-stepsister-Cinderella-in-waiting" programs that never get off the
ground because of a lack of ownership.
SOLUTION
Marketing Operations addresses these resource limitations by ensuring workload is
effectively allocated, roles are clearly defined, interdependencies are understood,
team members feel satisfied with their jobs and the programs and additional
resources, whether through additional headcount or outsourcing, can be
successfully justified to executive management.
PROBLEM #3
Sketchy institutional memory
Marketing is dependent on accurate information, a historical view into past
successes and failures, and the ability to recognize patterns that link seemingly
unrelated data points. Unfortunately, knowledge in many marketing organizations is
scattered all over the company. It's in the heads of individual workers, on shelves,
on people's hard drives, in long forgotten filing systems. When people leave, a big
piece of organizational knowledge goes with them. Information loss is a huge
productivity killer for marketing teams. Lost insight that must be regained or
reacquired wastes previous marketing investments.
SOLUTION
Marketing Operations facilitates knowledge sharing, an enduring repository of
information and greater decision-making based on fact, as opposed to hunch.
PROBLEM #4
Constrained creativity
The best creativity comes from many brains working together in collaboration. A
consequence of the age of the "individual contributor" director is constrained
creativity. When the entire creative burden falls mostly on one outbound marketing
person, the ability to think out of the box can be severely impacted. Creative
synergy results from many minds thinking as one.
SOLUTION
Marketing Operations enables the creative process to benefit from the synergy of
team.
PROBLEM #5
Failed supplier relationships
Most successful companies can point to strong, long-term marketing supplier
relationships as integral to their success. Likewise, a pattern of failed supplier
relationships is often an indicator of marketing department failure, rather than poor
vendor performance. Unfortunately, companies that have had consistently bad
relationships with outsource suppliers often react by seizing control and bringing
everything in house. While this strategy may provides the illusion of control, it lets
marketing managers deflect blame for failures, rather than teaching them how to
manage their outsource suppliers by taking responsibility for the results. In
addition, this strategy won't scale with the growth of the organization.
SOLUTION
Marketing Operations helps set realistic expectations and mutual accountability
between suppliers and the organization, increasing the effectiveness of outsource
partners by empowering them to act as an extension of the internal team.
PROBLEM #6
Lost discretionary budgets
Use it or lose it. Misuse it and lose it anyway. Many corporate marketing
departments are leaving discretionary budget on the table or allocating it to
the wrong initiatives. This discretionary marketing budget "Catch 22" occurs
because:
? It's very time consuming to manage the budget effectively, especially in companies
with broken financial systems
? Each marketing spend-decision creates more work for the one-person or small-
team
marketing department in terms of project management, measurement, supplier
management, etc.
? Doubt persists about the ability to successfully justify the expenditure to
management
? Focus is instinctively on high-visibility marketing activities and C-level executive
"requests" over fiscal management (marketing people are more inclined toward
marketing than finance)
SOLUTION
Marketing Operations facilitates implementing the system support infrastructure
and financial management discipline needed to protect precious marketing budgets.
PROBLEM #7
Narrow marketing mix
Many companies align their fate with the success of too few marketing programs.
Whether it's lead generation, public relations, trade shows or advertising, the over-
reliance on any one particular program can derail a company-especially if a key
program unexpectedly loses momentum. In the meantime, programs that could
have had strong leverage never get a chance to prove their mettle and are forever
relegated to the "B" list.
SOLUTION
Marketing Operations puts the means in place to launch potentially high-value
marketing programs that would never otherwise get out of the starting gate.
The Bottom Line
In a nutshell, Marketing Operations is an organization's best bet to:
? Ensure that success can be measured and replicated
? Leverage systems and processes to enable consistently excellent performance
? Encourage great marketing departments to stay together
? Allow the marketing organization to flourish, despite the unexpected, but often
inevitable, loss of a key employee.
Gary M. Katz, APR, is president and CEO of CommPros Group, a Santa-Clara, Calif.-
based firm that provides marketing operations services to help companies leverage
their marketing investment, plus a variety of outsourced marketing program
management services to support lean marketing departments. Gary is a veteran with
more than twenty years of experience in the technology industry where he directed
corporate marketing, communications, public relations, lead generation and
qualification, investor relations, and employee communications programs. He has
served as director of communications for ShoreTel, director of corporate marketing
for Aplix Corporation, senior manager of corporate communications for Insignia
Solutions, and as a director, account supervisor, or preferred subcontractor
for more than a dozen leading public relations and marketing communications
agencies. A past president of Silicon Valley PRSA, he holds a master's degree in
organization development from the University of San Francisco and a BA degree in
public relations from San Jose State University.