chapter 22
Managing the
Total Marketing
Effort^693R&D __ They spend time meeting customers and listening to their problems.
__ They welcome the involvement of marketing, manufacturing, and other departments on each new project.
__ They benchmark competitors’ products and seek “best of class” solutions.
__ They solicit customer reactions and suggestions as the project progresses.
__ They continuously improve and refine the product on the basis of market feedback.
Purchasing __ They proactively search for the best suppliers rather than choose only from those who solicit their business.
__ They build long-term relations with fewer but more reliable high-quality suppliers.
__ They don’t compromise quality for price savings.
Manufacturing __ They invite customers to visit and tour their plants.
__ They visit customer factories to see how customers use the company’s products.
__ They willingly work overtime when it is important to meet promised delivery schedules.
__ They continuously search for ways to produce goods faster or at lower costs.
__ They continuously improve product quality, aiming for zero defects.
__ They meet customer requirements for “customization” where this can be done profitably.
Marketing __ They study customer needs and wants in well-defined market segments.
__ They allocate marketing effort in relation to the long-run profit potential of the targeted segments.
__ They develop winning offerings for each target segment.
__ They measure company image and customer satisfaction on a continuous basis.
__ They continuously gather and evaluate ideas for new products, product improvements, and services to meet customers’ needs.
__ They influence all company departments and employees to be customer centered in their thinking and practice.
Sales __ They have specialized knowledge of the customer’s industry.
__ They strive to give the customer “the best solution.”
__ They make only promises that they can keep.
__ They feed back customers’ needs and ideas to those in charge of product development.
__ They serve the same customers for a long period of time.
Logistics __ They set a high standard for service delivery time and they meet this standard consistently.
__ They operate a knowledgeable and friendly customer service department that can answer questions, handle complaints, and resolve problems in a
satisfactory and timely manner.
Accounting __ They prepare periodic “profitability” reports by product, market segment, geographic areas (regions, sales territories), order sizes, and individual customers.
__ They prepare invoices tailored to customer needs and answer customer queries courteously and quickly.
Finance __ They understand and support marketing expenditures (e.g., image advertising) that represent marketing investments that produce long-term customer
preference and loyalty.
__ They tailor the financial package to the customers’ financial requirements.
__ They make quick decisions on customer creditworthiness.
Public Relations __ They disseminate favorable news about the company and they “damage control” unfavorable news.
__ They act as an internal customer and public advocate for better company policies and practices.
Other Customer __ They are competent, courteous, cheerful, credible, reliable, and responsive.
Contact PersonnelAudit: Characteristics of Company Departments That Are Truly Customer DrivenMARKETING
memoSTRATEGIES FOR BUILDING A COMPANYWIDE
MARKETING ORIENTATION
Many companies are beginning to realize that they are not really market and cus-
tomer driven—they are product or sales driven. These companies—such as Baxter,
General Motors, Shell, and J. P. Morgan—are attempting to reorganize themselves into
true market-driven companies. The task is not easy. It won’t happen as a result of the
CEO making speeches and urging every employee to “think customer.” The change
willrequire a change in job and department definitions, responsibilities, incentives,