1. Chapter 22 Managing the Total Marketing Effort Marketing Management
Tenth Edition
Philip Kotler

2. Objectives Company Organization Trends
The Marketing & Sales Organization
The Marketing Department’s Relation to Other Departments
Building a Customer-Focused Culture
Improving Marketing Implementation
The Marketing Audit

3. (a) Stage 1: Simple Sales Department
President
Sales VP
Sales force
Other marketing
functions
(hired from outside)

4. (a) Stage 2: Sales Department w/ Ancillary Marketing Functions
President
Sales VP
Sales force
•Marketing Director
•Other marketing functions
(internal staff and
external support)

5. (a) Stage 3: Separate Marketing Department
President
Sales VP
Sales force
Other marketing
functions

6. (a) Stage 4 and 5: Modern/Effective Marketing Company
President
Executive VP
of Marketing & Sales
Sales VP
Sales VP
Sales force
Other marketing
functions

7. (a) Stage 6: Process & Outcome Based Company
Cross-disciplinary team
with process leader
Marketing
personnel
Marketing
department

8. Organizing the Marketing Department
Functional Organization
Geographic Organization
Product- or Brand-Management Organization

9. Advertising
agency
Manufacturing
and
distribution
Media
Promotion
services
R & D
Product
Manager’s
Interactions
Legal
Packaging
Purchasing
Fiscal
Publicity
Market
research
Sales force

10. Three Types of Product Teams
(b) Triangular
product team PM
R C
R = market researcher
C = communication specialist
(c) Horizontal
product team PM R C S D F E
S = sales manager
D = distribution specialist
F = finance/accounting specialist
E = engineer
(a) Vertical
product team PM
APM PA
PM = product manager
APM = associate product manager
PA = product assistant

11. Product/Market-Management Matrix Systems
Market Managers
Men’s
wear
Women’s
Industrial
markets
Home
furnishings
Orlon
Rayon
Product Managers
Acetate
Nylon
Dacron

12. The Control Process What do we want to achieve? Goal setting What is
happening?
Performance
measurement
What should
we do about
it?
Corrective
action
Why
is it
happening?
Performance
diagnosis

13. The Control-Chart Model
Upper control
limit
Desired level
Lower control 14 12 10 8 6
Advertising expense/Sales ratio
| | | | | | | | | | | | | | |
Time period

14. Efficiency Control Sales Force Efficiency Advertising Efficiency
Sales Promotion Efficiency
Distribution Efficiency

15. 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

16. Review Company Organization Trends The Marketing & Sales Organization
The Marketing Department’s Relation to Other Departments
Building a Customer-Focused Culture
Improving Marketing Implementation
The Marketing Audit