1. Organizational Design and
Trends in Marketing
Organizations
Patrick Mosher &
Thomas Dominakus
Program Sponsor

2. Our Discussion Today
• Fundamental Goal of Marketing Organization
Design
• Organization Design Guidelines
• The Good, The Bad and The Ugly
‒ DISCUSSION : How organization design facilitates
or inhibits that goal
• Key Considerations for Marketing
Organization Design in 2013
• Final Thoughts / Wrap-Up
2

3. Key Strategic Questions
DISCUSSION
What Key Strategic Questions do you want to
answer with your
Marketing organization design?
Help Marketers Market!!
3

4. Organization Design Guidelines
1. Customer Centric Organization Design Begins with the Customer
2. Organization Design Does Not Equal Organization Charts
3. Organization Models Show How the Work Flows
4. Every Separation Requires Integration
5. Define only Minimum Critical Specifications
6. Overlaps Are Better than Gaps
7. Constructive Conflict is Good
8. Balance Standardization and Customization
9. Organization Design is Iterative
10. Test the Organization Model with Real Business Scenarios
4

5. An Agile Marketing Organization will…
… invest in capabilities that deliver scale and flexibility
… enable Monitoring and Analytics that drive competitive advantage
… use customer profiling and analytics to deliver relevant experiences at scale
… deliver content across all existing and emerging channels (e.g., Mobile)
… be seamlesslyIntegrated across channels
… create Networked and Collaborative communities
5

6. Sample Organization Model
Analytics / Insights / Learning
Face-To-Face
Engagement
Alternative
Channel
Engagement
ContentCreation
Commercial Operations
R&D
Input
Input
Input
Input
Customer
Operational
Plan
(Go to
Market)
Brand Value
Prop /
Positioning
Brand
Strategy
Customer
Insights
Customer
Strategy
Customer
Brand Insights
Customer
Insights
Content
Insights
Channel
Insights
Operational
Insights
6

7. How is a Service-based Model Different?
Assets Reports Workflows
Business Needs Business Outcomes
DeployedMarkets Brand Campaigns
Today – Standard Model
Plan
Build
Deploy
Run
Support
Business
Needs
Ongoing amortization of costs
• Point solutions recreated for new markets, brands & users
• Multiple vendors managing platforms and services
• Lack of end-to-end process across marketing services
Tomorrow – Service Based Model
Engagement
Requirements
Service
Approval
Service
Delivery
Easy scaling of resources depending on need
• Accelerated, scalable global solutions custom to local
markets
• Single vendor to engage with internal and external
customers and manage process
• Integrated services across transformation, service &
technology
7

8. Agency & Marketing Vendor Model Options
Industry Experience Suggests…
• No one perfect model exists for
all companies/brands - each
one has benefits & risks
• There is no exact number of
agencies – based on business
needs and tolerance for change
• Defining the right long-term
governance & adoption plan
drives success of any model
• Clear understanding of current
state & baseline sets up
success
Not an Exact Science…An Evolutionary Model
8

9. Common Barriers to Success
Barrier Description
Lack of Ownership Owners from Marketing, IT and Operations must have power of mandate for
implementation
Lack of Buy-in Key stakeholders (Marketing, Advertising, IT) must be aligned and committed to
the decoupled model, which requires a communication plan and management to
the business case targets
Agency Influence Without clear mandate, influence of creative agencies can create unnecessary
obstacles. Agency accreditation and contractual commitments are critical to
securing the right inputs to production team
Shallow
Commitment to
Model
Testing and pilots have a place in implementation,but there needs to be a
commitment to making the model work
Reluctance to
Adopt Process
Change
Particularly important within agency and project management organization,
process adherence is key (while recognizing where process must be modified to
meet critical timetables)
Global Market
Hesitation
It’s important that outreach efforts include focus on regional and local markets
who are typically reluctant to adopt global standards that originate from U.S.
market
9

10. The Good, The Bad and The Ugly
DISCUSSION
DISCUSSION A: How does organization design
inhibit marketers effectiveness?
DISCUSSION B: How does organization design
facilitate marketers’ effectiveness?
10

11. Key Considerations
Marketing Organization Designs in 2013
• The “Always On” Customer
• Seamless Integrated Customer Experience
• Customer Contact Governance
• Digital Marketing
• Marketing Content Production
– Insource versus Outsource
– Outsourcing Agency Management
• Role of Analytics in Marketing
– Key skills
– Center of Excellence versus embedded in marketing
11

12. Final Thoughts and Wrap-up
12

13. THANK YOU!
13

14. Session Description
Change is inevitable… and within any marketing organization this is a given that
strongly holds true.
• Digitization has changed traditional marketing models, especially as companies deal with their own
marketing organizations and work with agencies to become more effective and efficient in the
marketplace.
• Marketing organizations are redefining their structures as they are asked to increase performance
with the same budgets or perform the same with decreased budgets.
• If a company does not have the right marketing organization and processes in place, it becomes at
risk to lose profitability in this new evolving marketing world.
• Companies are faced with the difficult tasks of appropriately designing the right organizations and
managing agencies to increase market effectiveness while still transforming their businesses into
high performers.
Learn about the good, bad and ugly of organizational design for a marketing organization in this
open and facilitated discussion by consultancy senior executive, Patrick Mosher. He will share
client examples from a variety of industries on key considerations for successes and war stories of
failed approaches. They invite audience members to share their experiences for an intimate “real
talk” session.
14