Presentation on theme: "L10 International Organisation and control. Overview introduction/ components of an audit typical problems encountered types of report available B)Marketing."— Presentation transcript:
Overview introduction/ components of an audit typical problems encountered types of report available B)Marketing plans: checklist planning matrix feedback mechanism e.g. Hoechst C)Controls : strategic control quantitative control qualitative control D)Marketing information systems [M.I.S.] : simple systems advanced systems E)How globalisation & increasing strength of the subsidiary affects M.I.S. » A) Market Audits
A) Marketing audits: global and international markets
The components of an audit in more depth 1 The market environment
2 Audit the marketing strategy being used Examine the business mission Examine the corporative objectives Examine marketing objectives and plans are they coherent with the above? Examine the strategies followed- have they worked ?
3 Audit the organisational structure itself *Formal structure- is there a better structure? Consult organisational experts -are organisational changes necessary e.g. for a new market entry ? *Functional efficiency-how well did the organisation deal with a new product launch or a large order? * Interface efficiency- how quickly does communication flow between departments? How long does it take to get a decision / approval to do something ?
4 Audit the systems being used Audit the marketing information system ( see later)- is it providing the right types of information when and where needed in the organisation ? The market planning system- are all parts of M.P.R. delivering coherent plans for each of our markets ? The marketing control system- is it focussing on all feedback processes ? Does it enable us to identify if our sales performance is above, or below target?
6 Audit the marketing function Here we are auditing our selves. Start by examining each part of the marketing mix used in each overseas market? Compare point for point with competition Do we need to change anything in the product? Do we need to increase/ change our advertising? What about competitiveness of our price? Do we need to review / change our modes of entry ?
B) Marketing plans: checklist Preliminary analysis consists of preparing reports that deal with cultural analysis, economic analysis and competitor analysis.[ see next slide] Next adapt the marketing mix variables. E.g. show how you will adapt each of the variables in the light of your research findings. N.b. It may be the case that certain variables do not need to be adapted
Diagram of a simple marketing information system
Diagram of a more advanced marketing information system
General sources of information / reports Balance sheet Profit &loss account Production output Market share Cash &credit statement Inventory levels Sales per product Performance review of personnel Report on local economic & political conditions
E )How globalisation& increasing strength of subsidiaries produces differences in M.I.S.systems The stages of globalisation are ? As companies globalise more and more functional areas transfer from the parent company [ headquarters] to the subsidiary.Let’s compare the subsidiary to the parent to see why the former is more effective in the marketplace
A comparison of a parent company [H.Q.] v globalizing subsidiary in terms of effectiveness in the market place.
Typical problems identified in H.Q. and subsidiaries
How a globalising subsidiary might change the M.I.S. Since the subsidiary is now taking more of the marketing decisions i.e. locally it requires better intelligence/ information plus marketing research and rapid data analysis. Hence these functions within the MIS will move locally /to the subsidiary.Monitoring and decisions related to the market environment will stay with the subsidiary H.Q. will still retain planning and overall control functions plus finance / budgets.However implementation and organisation decisions will probably move to the subsidiary. Local analysis and reportage from the subsidiary will probably also be distributed to H.Q. Often these reports are consolidated with those from other subsidiaries,as well, and sent to H.Q.