MOTOROLA and the Stylized M Logo are trademarks or registered trademarks of Motorola Trademark Holdings, LLC. All other trademarks are the property of their respective owners. © 2010 Motorola Mobility, Inc. All rights reserved.
Earley & Associates - Insight Session 3
e-Taxonomy and marketing operational excellence
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 2 Page
Agenda
10/27/2010
• Introduction
• What’s on your CMO’s Mind?
• The Business of Marketing and Marketing Operations
• Enterprise Marketing Management strategy
• The confusion of one word!
• 5-step approach to a common language for marketing operations
• Why create a unified marketing operations e-Taxonomy?
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 3 Page
Issues facing the CMO and Marketing
• CFO wants visibility into marketing performance – “What is all this money buying?” – CEO and Board demand more accountability – Sarbanes-Oxley compliance
• Disconnect between the languages of finance and marketing
• Quarterly financial reporting
• Turnover of C-level executives
• CEO urges marketing to become a center of innovation and growth
• Flat or reduced budgets and headcount in marketing, with expectation marketing will deliver at same level of effort and quality
• Staff turnover together with lack of “corporate memory” about marketing strategies, plans and programs, assets
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 4 Page
Issues facing the CMO and Marketing
• The Challenging Economy
• “Internet effect” • 24x7 markets • Faster time-to-market • Consumers have more choice • New competitors where they did not exist before
• Traditional competitors have become more effective marketers
• Proliferating communication channels
• Social networking – how do I use it effectively?
• Agencies as project resources versus long-term Agency-Of-Record
• Agency staff turnover
• Short-term, quarterly financial reporting for public companies
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 5 Page
CMO’s add operations to their agenda
10/27/2010
© 2009, CMO Council
© 2009 CMO Council
© 2009, The Lenskold Group
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 6 Page
Constitution of the ANA
10/27/2010
ANA Marketer’s Constitution 1. Marketing must become increasingly targeted, focused and personal. 2. Marketing must build real, tangible and enduring brand value. 3. Marketing must become more effective--more creative, insightful and accountable. 4. Marketing must become more integrated and proficient in managing expanding media platforms. 5. The marketing supply chain must become more efficient and productive. 6. The marketing ecosystem--including agencies, media and suppliers--must become increasingly capable. 7. Marketing professionals must become better, highly skilled, diverse leaders. 8. Marketing must be indisputably socially responsible. 9. Marketing must be unencumbered by inappropriate legislation or regulation. 10. The marketing discipline must be elevated and respected.
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 7 Page
An academic viewpoint
10/27/2010
Marketing is the “least efficient process in business today!”
Dr. Philip Kotler Northwestern University
Dr. Robert Shaw Cass Business School
Source: “Rethinking the Chain,” Marketing Management, American Marketing Association, July/August 2009.
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 8 Page
Coca Cola tackles global efficiency
10/27/2010
“Investors want to see how they’re going to achieve the growth they’ve projected.
Marketing efficiency is one of the contributors
to that…”
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 9 Page
Imperatives for the CMO and Marketing
• Demonstrate value - Identify more accurately and conclusively the return on marketing investment at all levels of detail
• Execute effective programs - Gather and analyze significant amounts of customer data to enable greater insight into what customers need, and how and when they buy
• Execute programs efficiently - Gather and analyze operational and financial data to improve the effectiveness of programs while driving down the cost of marketing
• Establish a corporate memory for marketing - Preserve and protect staff knowledge and marketing intellectual property, as well as digital assets, to ensure legal and contract compliance, facilitate reusability and ensure continuity of plans and strategies across years
10/27/2010
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 10 Page
The business of marketing
The “business of marketing” is --
the organization and management of internal and external supply chains -- to produce insight‐driven programs --that launch on time and on budget -- are aligned to corporate objectives -- and demonstrate a return on investment at or above the company’s minimum acceptable rate of return*.
* Companies often use 12% as the “hurdle” rate.
10/27/2010
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 11 Page
Marketing Operations is the fifth role of marketing
10/27/2010
Marketing Operations
Brand
Voice of the
Customer
Product & Innovation
Life Cycle Revenue
MARKETING OPERATIONS A marketing operations function creates excellence across all 5 roles by allowing each role to focus on, and excel in, its own area of expertise.
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 12 Page
Marketing Ops has five major responsibilities
10/27/2010
Responsibility Advantage
“Chief of Staff” to the CMO Focus the CMO on strategy and innovation, and focus a senior officer on marketing operations and finance
Marketing Governance Better manage the marketing investment portfolio and ensure alignment of investment with corporate goals
Project Management Office Better manage marketing process and ensure “on time, on budget” programs
Shared Services Eliminate duplication of resources and drive down cost of purchased services, improve productivity, and ensure consistency of brand and message across all programs, and communication channels
Enterprise Marketing Management Strategy
Ensure proper alignment of marketing staff, marketing operational processes and marketing automation with the objectives of the marketing department, and the company overall
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 13 Page
Enterprise Marketing Management Strategy
10/27/2010
• An enterprise marketing management strategy defines a goal:
– Alignment of technology to support corporate and marketing objectives
– Role-based application functionality – Marketing data in a central repository
• Enables analytics and insights • Promotes reusability of content • Assures compliance • Promotes knowledge management • Establishes a “corporate memory” for the
marketing organization (a logical marketing system of record)
• A taxonomy, process and organizational alignment are key success drivers
• Long-term horizon for full realization of benefits
Measurement: Reduced risk of non-compliance, reduction in production cycle times, reduction in “on boarding” time, cost savings, brand consistency, department productivity improvement
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 14 Page
The challenge of one word is a simple reason for a marketing taxonomy
10/27/2010
Campaign What does this word mean to you? a. A television advertisement b. A direct mail shot or email shot c. An entire program including all marketing tactics for one or
more products d. All of the above
What then, is campaign management?
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 15 Page
Steps in developing an e-Taxonomy for Marketing Ops
• Determine its purpose
• Determine the scope it will cover
• Define process and structure for marketing ops
• Build a language (a taxonomy and metadata)
• Implement through a Marketing Resources Management applications
10/27/2010
eTaxonomy - the art and science of integrating taxonomy into deployable IT solutions. Seth Earley, Oct 25, 2010 e-Taxonomy: The Breakfast of Champions
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 16 Page
What purpose will the taxonomy serve for marketing?
10/27/2010
EFFICIENCY EFFECTIVENESS
• Measurement • Analytics & Insights • Management • Financial Reporting • Value Reporting
• Standard processes • Store and access artifacts and digital assets • Common global language • A corporate memory • knowledge management
E-Taxonomy
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 17 Page
An all-encompassing e-Taxonomy could unify a marketing automation ecosystem
10/27/2010
COMPANY
SALES MARKETING FINANCE
Lifecycle MarketingDemand Management
Customer Service
MarketingCommunicationsMarketing Svcs
Sales OperationsMPM/
Analytics &Research
Brand/ProductManagement
CompanyWebsite
MarketingData Mart
AnalyticTools
CompanyIntranet/Extranet
KPIDashboards
Procurement------------
Accounting
Entity
Function
System
CRM CampaignMgmt **
Optionally, could connect directly to an ERP system
for replenishment of packaging & print materials
(i.e., user manuals)
SFADatabase
SalesEnablement
LegendCRM: Customer Relationship MarketingERP: Enterprise Resource PlanningKPI: Key Performance IndicatorsMOM: Marketing Operations ManagementSFA: Sales Force Automation
VENDORSAGENCIES
Knowledge ManagementRepository
Content ManagementRepository
Corp. CommPR
PR/MediaManagementApplication
DigitalAssetMgmt
MarketingOperations
Mgmt
MARCOM Self-Service
EMPLOYEES
CorporateInfo Systems
Channel &PartnerMgmt **
CUSTOMERS
© 2007 MarketSphere Consulting LLC
Rented Lists/External Sources
**Note: Companies operating Partner & Channel Management programs use PRM solutions.
Ver 2.2
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 18 Page
What is your company’s marketing planning to execution model or cadence?
10/27/2010
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 19 Page
Building a language: e-Taxonomy in practice
10/27/2010
Task Project Steps Milestones
Plan Annual or Quarterly Plan Corporate or Business Unit
Program Marketing Objectives Product Objectives
Project Marketing Tactics Internal Requirements
What financial and operational metrics are required?
What digital assets are associated with a Project? Is vendor information required for a Task?
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 20 Page
Implement the e-Taxonomy through a Marketing Resources Management application
10/27/2010
MOTOROLA FIREWALL
DAM-only Users
Digital Asset Management
Asset & Metadata Repository
AgenciesUsers
Unica
Unica Database
MarketingFinanceProcurementLegal
Global Brand teamOther internal users
Unica Portal
Note: This concept map does not take into account the physical location of the applications software or the related databases.
** Requires integration with corporate accounting and/or procurement applications.
Print & Production Vendors
·∙ Project Templates·∙ Workflow Templates
·∙ Projects (Work-In-Progress)·∙ Project Financial Information**·∙ Approvals·∙ Marketing Calendar·∙ Campaign Plans/Offers/
Treatments·∙ Information & Status Reporting
·∙ Historical Project Information·∙ Financial and Results Metrics**
The Collective
FOR ILLUSTRATION
ONLY
·∙ Finished Goods·∙ Work-in-Progress·∙ Components·∙ Rights Mgmt Information·∙ Usage Statistics·∙ Security Information
Link to Task
Oracle12
Purchase OrdersPayables
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 21 Page
Why a unified e-Taxonomy for marketing ops?
• Enables consistency in a global, multi-product business, across teams, and across product lines
• Permits consistent management analytics – operational, financial and customer
• Improves dialogue between marketing and finance through accurate translation of terms
• Allows employees to move more easily between business units while remaining productive
• Facilitates rapid response to market changes
• Reduces cost through lower re-work, un-necessary and duplicate work
10/27/2010
EARLEY & ASSOCIATES e-TAXONOMY AND MARKETING OPERATIONS 22 Page
About the presenter
10/27/2010
Mayer G. Becker is in charge of global marketing operations for Motorola Mobility, Inc., which encompasses the Mobile Devices and Home business units. In this role he reports to the CMO and ensures that the department operates both effectively and efficiently. Among his areas of responsibility are marketing finance, metrics and measurement, strategy and planning, and technology. Becker came to Motorola from MarketSphere Consulting, where he was instrumental in building the Enterprise Marketing consulting practice. Among his clients were Walmart, MGM MIRAGE, Enterprise Rent-a-Car and Sony Electronics. In the past, he served in management-level roles at United Airlines, Tribune Company, Hill & Knowlton, CA, and ADP. Mayer earned a B.Sc. from Jacksonville University, and an MBA from the University of Memphis. He is a member of the Marketing Executives Networking Group (MENG), and a past member of the American Marketing Association, and the Business Marketing Association.
Contact information: [email protected] LinkedIn: www.linkedin.com/in/mayerbecker