Growth and customer satisfaction are enterprises' top concerns in marketing executives' eyes. This research examines how technology, process re-engineering and advanced organizational structures such as shared services and outsourcing can tackle these challenges by making marketing operations more intelligent

1. Advanced Operating Models
Research Insights
Marketing

2. Contents
Survey insight goals 3
Survey parameters 4
Key challenges by function 5
Marketing function impact: CPG, High Tech, Manufacturing 6
Marketing maturity: BFSI vs. CPG, High Tech, Manufacturing 7
Marketing preparedness by maturity 8
Impact of advanced organizational structures 9
Conclusion 10
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3. INSIGHTS NARRATIVE
What are the most pressing
company challenges?
How can functions and related
operations address them?
Which functions are most
effective at it?
Are those functions mature?
Are those functions ready to
transform further?
Can new operating models of
those functions help them
transform? Which ones?
What can the impact of that
transformation be?
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4. METHODOLOGY
Sample of 912 senior executives, 120 from Marketing
Regions Size* Functions
10%
25%
65%
Risk
15%
Operations
40%
Marketing
17% Finance
13%
15% Procurement
16%
84%
5,001-10,000
16%
52% of marketing
respondents are
from the high tech
industry
53% of marketing
respondents are
from North America
84%
10,000+
85% of marketing
respondents are from
larger companies
*Company size defined by number of employees n=912
Source: Survey commissioned by Genpact to an independent research firm. The respondents were selected on the basis of their
ability to make or materially influence operating model decisions, and likely range from senior executives to top management.
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5. CHALLENGES ► BY FUNCTION
Marketing sees growth and customer satisfaction as key
enterprise challenges
% of respondents from
various functions stating
challenge as among the
‘Top 3’ for their company
Overall
Finance
Procurement
Marketing
Operations
Ensure compliance
to regulations
Increase customer
satisfaction
Reduce capital and
asset intensity
Increase growth and
scalability
Enable company’s
innovation
Enable agility and
adaptability
0 10 20 30 40 50 60 70
Manage
risk
Reduce
costs
n=912 executives from a survey commissioned by Genpact with an independent research firm
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6. MARKETING ► CHALLENGES ► BANKING, CAPITAL MARKETS, INSURANCE vs. CPG, HIGH
TECH, MANUFACTURING
Financial sector concerned with compliance and risk; CPG, high
tech, and manufacturing with growth
Importance of the challenge (% of marketing respondents across industry segments stating
that the challenge is among the ‘Top 3‘ for their company)
64
56
67
10
13
22
20
35
51
48
59
17
61
6
44
28
CPG, HIGH TECH,
MANUFACTURING
BANKING,
INSURANCE,
CAPITAL MARKETS
Increase growth and scalability
Increase customer satisfaction
Reduce cost
Enable company’s innovation
Enable agility and adaptability
Ensure compliance to
regulations
Manage risk
Reduce capital and asset
intensity
n=111 marketing executives from CPG, high tech and manufacturing, 18 from banking, capital markets and insurance,
from a survey commissioned by Genpact with an independent research firm
DIRECTIONAL
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7. MARKETING ► FUNCTION IMPACT ► CPG, HIGH TECH, MANUFACTURING
Advanced, data-intensive marketing functions solve
numerous enterprise challenges
Ensure compliance
to regulations
Reduce costs
Increase customer
satisfaction
Increase growth
and scalability
DIRECTIONAL
Manage risk
Enable company
innovation
Enable agility
and adaptability
51 49 49 45 44 28
25
Magnitude of
challenge1
Marketing analytics 42 4 69 58 66 46
60
62 9 76 43 31 54
33
24 13 74 72 39 51
33
Marketing automation and
campaign management
Multi-channel marketing and
customer management
Master data management 37
55 52 59 51 60
% of respondents stating
function can have material
impact on addressing challenge
1 % of respondents stating it is one of the top 3 challenges in their company
n=111 CPG, high tech and manufacturing marketing executives from a survey commissioned by Genpact with an
independent research firm
56
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8. MARKETING ► MATURITY ► CPG, HIGH TECH, MANUFACTURING
Most marketers see their advanced functions as relatively
immature
% respondents stating the maturity of the marketing functions in their organizations
Multi-channel marketing and
customer engagement
DIRECTIONAL
Very mature Mature Somewhat mature/Immature
16 22 62
Marketing analytics 14 24 62
Master data management 11 21 68
Marketing automation and
campaign management
6 20 74
n=111 CPG, high tech and manufacturing executives from a survey commissioned by Genpact with an
independent research firm
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9. MARKETING ► OPERATING MODEL INITIATIVES ► CPG, HIGH TECH, MANUFACTURING
Advanced organizational structures (BPO/SSC) seen as
more impactful than other operating model initiatives
% of respondents stating the initiative can
have a material impact on the function
Radically
improved
use of
technology
45
Business
process
reengineering
BPO or
SSC or
hybrid1
60
56 27 60
47
34
41
45
56
45 58
Impact Index*
Master data management
Marketing analytics
Marketing automation and
campaign management
Multi-channel marketing and
customer management
152
140
130
127
* Function Impact Index combining stated importance of challenges and stated ability of a function to address them
1 BPO: Business Process Outsourcing; SSC: Shared Services; Tech = “radically improved use of technology”
n=111 CPG, high tech and manufacturing marketing executives from a survey commissioned by Genpact with an
independent research firm
DIRECTIONAL
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10. MARKETING ► OPERATING MODEL IMPACT ► CPG, HIGH TECH AND MANUFACTURING
Technology has higher estimated impact but SSC/BPO1 are
considered more often
Average $ impact, bar width proportional to percent of respondents stating that the initiative DIRECTIONAL
will have a material impact
$163M
$144M
$105M
Tech BPR SSC, BPO, Hybrid1
Average
$ impact
Annual $ impact is the impact of operating model initiatives in US$ per annum including reduction of cost, capital required, improvement of
cash and revenue growth
n=111 marketing executives from CPG, high-tech and manufacturing from a survey commissioned by Genpact with an independent
research firm
1 BPO: Business Process Outsourcing; SSC: Shared Services,
BPR: Business Process Reengineering; Tech: radically improved use of technology
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11. In conclusion
CMOs and other senior marketing executives believe that
the marketing function plays a strategic role in addressing
the daunting challenges presented by a slow economic
recovery, demanding customers and continued
uncertainty.
This research examined how those challenges can be
tackled by three levers of operating model
transformation: technology, process re-engineering, and
advanced organizational structures. The related
transformation of operations is an untapped strategic lever
for the CMO as well as the CEO.
However, it is sometimes seen as a formidable
undertaking. Few understand the “IT + analytics +
process operations” nexus sufficiently. Technological
excesses of the past (such as ERP or data warehouses)
are well documented. Some technologies are unproven,
some uses of analytics are unclear, and older technologies
are rigid and expensive to evolve. Finally, it is frequently a
struggle to scale deep analytics throughout the enterprise.
Our experience of advanced operating models,
accumulated over 15 years, clearly indicates that there are
agile and practical ways to transform.
The key is to design, transform, and run the processes that
power advanced operating models so that they closely
align with measurable business goals, thereby avoiding
saddling the company with unnecessary and often
unmanageable complexity.
This approach focuses more rigorously on the sources
of impact and deliberately disregards any practice that does
not yield material outcomes. It also takes a more objective
and holistic look at technology, analytics and organizational
practices. It leverages now-mature “system of
engagement” technologies that complement “system of
record” technologies. It treats analytics (the arc of data-to-insight-
to-action) as a process and determines how to
embed insight at scale into the fabric of other enterprise
processes; it does not take the typical approach of viewing
analytics as a task and a set of technologies. Finally, it
harnesses the process and organizational levers
available from established disciplines, such as
reengineering, shared services, outsourcing, and global
delivery.
We think that there is a smarter way to transform operating
models and address the most complex strategic challenges.
This is a way for CMOs to make their enterprises more
intelligent and generate material impact.
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12. About Genpact
Genpact Research Institute
The Genpact Research Institute is a
specialized think tank harnessing the
collective intelligence of Genpact – as
the leading business process service
provider worldwide - its ecosystem of
clients and partners, and thousands of
process operations experts. Its
mission is to advance the “art of the
possible” in our clients’ journey of
business transformation and adoption
of advanced operating models.
www.genpact.com/research-institute
Genpact (NYSE: G) stands for “generating business impact.” We design, transform, and run business operations including those that are complex and
industry-specific. We believe that our approach, crystallized in our Smart Enterprise Processes (SEPSM) proprietary framework, is more focused, unbiased
and agile than that of our competitors. Our solutions integrate technology, data and processes into advanced and adaptable operating models that foster
growth and facilitate better management of cost and regulations in uncertain times. The result is intelligent operations of a range of functions such as
finance, supply chain, origination and client servicing, compliance, and risk. We have hundreds of long-term clients including more than one-fourth of the
Fortune Global 500. We have rapidly grown to over 66,000 people in 25 countries with key management and corporate offices in New York City. Our global
critical mass doesn’t dilute our flexible and collaborative approach, and our management team drives client partnerships personally. We attribute much of
our success to our unique history – behind our passion for process and operational excellence is the Lean and Six Sigma heritage of a former General
Electric division that has served GE businesses for more than 16 years.
For more information, visit www.genpact.com.
Follow Genpact on Twitter, Facebook, LinkedIn, and YouTube.
© 2014 Copyright Genpact. All Rights Reserved.
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