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RESOURCE MANAGEMENT IN UNSETTLED TIME

Written by: Andy Marken

Article Overview: Management is increasingly concerned about their ability to have a lean, mean focused core team that is supported by long-term external partners that are open to flexible and ever changing needs.

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RESOURCE MANAGEMENT IN UNSETTLED TIME

Up until last year, when things really got tough (fiscally and image wise), it was commonly felt that companies went through three types of management--one that could carry them through the tough start-up period, another that could rapidly ramp the firm up and a third business manager for a growing, successful enterprise.

The same group of people seldom managed the various phases of growth.

This year, management styles has become muddied.

The survival mode of operation is forcing management to conserve their most precious resource: talented people.

Firms are finding they can cut back to a core group of highly talented and motivated people. They are quickly finding they can run "leaner, meaner and better." While there are short term pains, management is realizing they can have a better organization overall.

Re-Assessing Positions, Priorities

Management is quickly finding they must weigh what they are doing internally versus what they should be doing internally. Then they can determine what they should outsource.

Today, few firms do much – or any – of their own production in-house. Many are essentially technology developers and marketers.

They buy cases from specialists; have boards and packages produced and stuffed by specialists; and purchase a complete range of components from specialists.

Many like Dell, HP, Sony, Cisco, Pioneer and others never even take possession of the product. Instead it is shipped direct to the channel partner or consumer.

This approach enables management to adapt more rapidly to sudden industry/marketplace changes. Technology and manufacturing can be changed almost overnight.

Management knows that it takes almost no time for someone to reverse-engineer even the most advanced technology, thus nullifying their perceived advantage.

In addition, the company doesn't need to be tied down to heavy investments in production equipment which has to be prematurely written-off and replaced.

More importantly, they don't have to deal with the problem and expense of hiring, firing, training, retraining and retaining personnel.

Fixed assets not only lock companies into specific technology, they are quickly outdated.

Outsourcing permits maximum flexibility.

It preserves capital.

It can produce dramatic savings.

It frees management to focus its energy on more pressing areas of concern ... like marketing, staying ahead of the competition, focusing on customers.


Marketing Mind-Set Changes

In addition to examining their manufacturing functions, management has to look at their marketing communications activities.

Companies have been cutting their internal advertising and public relations staffs instead of expanding them.

At the same time, the need for solid, diverse communications programs has grown.

The trend is a solid move toward creating marketing partnerships between the agency and the company rather than simply having the agency create ads, pump out news releases, compile mailing lists, refine and execute social network, blogger, press relationship activities.

Partnership Key

Because of the fiercely competitive and rapidly changing environment, management is not only more cost-conscious; they are also more market-/customer-driven. To take advantage of as much of the outside expertise as possible, management has found that they are sharing more of their strategic marketing plans with their agency so that they are better and more effective partners.

Companies are finding that one of the key benefits of a partnership relationship is objectivity. The outside partner has to continually focus on what customers buy and why. They need to tap into the consumers’ wants and needs rather than the features/capabilities so the customer can see that the benefits outweigh the cost of the goods and services.

We all know that people buy from people, not companies.

Companies and agencies that have strengthened the team relationship note that while there are differences in their disciplines, thought processes and approaches; the objectives are still the same…communicate something to someone.

Communications-- whether it is advertising or public relations -- assists the company in selling something to someone ... hopefully a lot of something to a lot of someones.

The new responsibilities the external partner has in the marketing process also places increased demands on the agency to produce measurable results. Agencies are expanding their service expertise in the areas of social networks, citizen journalists and customer communications.

This approach ensures messages —internal and external – are consistent, meaningful and useful for the firm’s overall marketing effort.

While the partnership role provides greater opportunities for the agency, it also places more responsibility on them. Being more involved with the marketing efforts also means they are more accountable.

They have a responsibility to management to provide suggestions and recommendations on efforts that can have a major impact on the company's success and execute the final plan as flawlessly as possible.

To ensure this level of support and improve the partnership relationship, clients involve the external team in sales calls, sales meetings, distributor meetings and trade shows. The result of these additional activities is better-focused communications programs, activities and results.

While the debate continues on internal vs external communications support, corporate/marketing management usually finds that the external partner approach frees up key core personnel and is more cost-effective.

Both parties invest a lot of time and effort in the relationship. The partnership commits the agency to the client's success. The partnership gives the client optimum freedom to change direction almost overnight. All of the parties are familiar with and committed to the companies' success and position in a highly volatile period and marketplace.

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Home > Marketing > Andy Marken > RESOURCE MANAGEMENT IN UNSETTLED TIME
Article Tags: advanced technology, business manager, channel partner, cisco, core group, dell, engineer, fiscally, hp, industry marketplace, investments, management styles, marketers, marketplace changes, pioneer, possession, precious resource, priorities, survival mode, technology developers

About the Author: Andy Marken
RSS for Andy's articles - Visit Andy's website

G. A. "Andy" Marken President Marken Communications, Inc. Santa Clara, CA Andy has worked in front of and behind the TV camera and radio mike. Unlike most PR people he listens to and understands the consumer’s perspective on the actual use of products. He has written more than 100 articles in the business and trade press. During this time he has also addressed industry issues and technologies not as corporate wishlists but how they can be used by normal people. He has been a marketing and communications consultant for more than 30 years involved in the wild early days of the Internet/Web, heyday of the videogame industry and the maturing professional and consumer video industries. His experience includes years with Internet pioneer CERFnet, TCG and AT&T. Andy has worked in the software, Web 2.0, video and storage industry with Panasonic, Philips, Dazzle, Atari, NTI, ADS Tech, Pinnacle Systems, CyberLink, InterVideo, Ulead and Verbatim.

Click here to visit Andy's website
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