MkIS support for the marketing management process: perceived improvements for marketing management
Type of Article: Survey
Evaluates which information included in Marketing Information Systems (MkIS) has been important in providing support for the marketing management process. Also analyses what improvements in marketing and sales have been realized by implementing MkIS to support the marketing management process. Furthermore, investigates, in more detail, what operational MkIS sub-systems have contributed to improved effectiveness for implementing and controlling marketing efforts. The results of a survey of 50 Finnish wholesale companies showed that MkIS have supported marketing management in all complementary steps of the marketing management process. Information that is perceived to be useful for the different steps of this process, however, varies. The perceived improvements of studied MkIS usage were higher in marketing than sales tasks. These findings indicated that instead of one MkIS, organizations would be better advised to develop MkIS sub-systems to support the different steps in the marketing management process and also sub-systems to support sales activities directly, although still allowing technical and functional integration when needed. According to marketing managers surveyed, those who invested in more sophisticated MkIS sub-systems such as direct mailing and telemarketing systems, have achieved good results in implementing and controlling their marketing efforts. Later discusses the opportunities for these types of operational MkIS sub-systems.
Content Indicators: Readability**, Practice Implications**, Originality*, Research Implications* Acknowledgements
The authors are deeply grateful to Professor Markku Sääksjärvi of the Helsinki School of Economics and Business Administration for his invaluable support and critique in this endeavour. Introduction
More and more, companies are faced with the need to control an ever larger and rapidly changing marketing environment. The information processing requirements of companies are expanding as their competitive environment becomes more dynamic and volatile (Child, 1987). To handle the increasing external and internal information flow and to improve its quality, companies have to take advantage of the opportunities offered by modern information technology (IT) and information systems (IS). Managing marketing information by means of IT has become one of the most vital elements of effective marketing. By collecting and sharing marketing information and by using it to promote corporate and brand image, IS offer new ways of improving the internal efficiency of the firm. IS allow dynamic marketing communication between personnel in corporate planning, accounting, advertising and sales promotion, product management, channels of distribution and direct sales. These systems also relate to marketing strategy, marketing planning and the entire marketing management process. IS span the boundary between the organization and its environment by connecting the customers and partners to the firm¢s warehouse, factory and management. Today interorganizational relationships and interorganizational information systems (IOS) have become a common form for processing transactions and there are many examples of IOS that create electronic linkages between firms (see Bakos, 1991; Cash and Konsynski, 1985). IT has a key role in new flexible organization forms such as strategic partnerships and cross-functional networks. New organizations will be designed around business processes rather than functional hierarchies (Rockart and Short, 1989) and we will face the need for new kinds of IS in marketing. In fact, IS will be the cornerstone of new approaches to marketing. Management and systems designers should therefore be better aware of the avenues available to integrate marketing and management processes in new innovative ways. The objectives of this empirical...
References: Bakos, J.Y. (1991), " Information links and electronic marketplaces: the role of interorganizational information systems in vertical markets ", Journal of Management Information Systems, Vol. 8 No. 2, Fall, pp. 31-52 .
Bovitz, J. and Dunn, R. (1987 ), "Retail banking and marketing infrastructure", Bank Administration, Vol. 63 No. 9, September, pp. 52-6.
Cash, J.I. Jr, and Konsynski, B.R. ( 1985), "IS redraws competitive boundaries ", Harvard Business Review, Vol. 63 No. 2, March-April, pp. 134-42.
Choffray, J.M. and Lilien, G.L. ( 1986), "A decision support system for evaluating sales prospects and launch strategies for new products", Industrial Marketing Management, Vol. 15, pp. 75-85.
Davenport, T.H. and Short, J.E. ( 1990), "The new industrial engineering: information technology and business process redesign", Sloan Management Review, Vol. 31No. 4, Summer, pp. 11-27.
Fletcher, K. (1982), " Marketing information systems: a lost opportunity", in Thomas, M.J. (Ed.), Marketing: Bridging the Gap between Theory and Practice, Proceedings: Marketing Education Group Conference, Lancaster.
Higby, M.A. and Farah, B.N. (1991 ), "The status of marketing information systems, decision support systems and expert systems in the marketing function of US firms", Information & Management, Vol. 20 No. 1, January, pp. 29-35 .
Kotler, P. (1994), Marketing management: analysis, planning, implementation and control, 8th ed., Prentice-Hall International, Englewood Cliffs, NJ.
Li, E.Y., McLeod, R
McLeod, R. Jr and Rogers, J.C. ( 1982), "Marketing information systems: uses in Fortune 500", California Management Review, Vol. 25 , Fall, pp. 106-18.
Martell, D. (1988), " Marketing and information technology", European Journal of Marketing, Vol. 22 No. 9, pp. 16-24.
Moriarty, R.T. and Swartz, G.S. ( 1989), "Automation to boost sales and marketing ", Harvard Business Review, Vol. 67No. 1, January-February, pp. 100-8.
Morris, M.H., Burns, A
Petrison, L.A., Blattberg, R.C. and Wang, P. (1993), "Database marketing – past, present, and future", Journal of Direct Marketing, Vol. 7 No. 3, Summer , pp. 27-43.
Shaw, R. and Stone, M. (1987 ), "Database marketing for competitive advantage ", Long Range Planning, Vol. 20 No. 2 , pp. 12-20.
Sheth, J.N., Gardner, D.M. and Garrett, D.E. (1988), Marketing Theory: Evolution and Evaluation, John Wiley & Sons, New York, NY.
Talvinen, J.M. (1993), The Usage and Impact of marketing Information Systems in Wholesale Companies (partly in English), Helsinki School of Economics, B 134, May, Helsinki.
Townend, R. (1989), "How BICC turned a deluge of replies into worthwhile leads", Industrial Marketing Digest, Second Quarter, Vol. 14 No. 2, pp. 37-42.
Wilkinson, R. (1991), " Reengineering: industrial engineering in action", Industrial Engineering, Vol. 23 No. 8, August, pp. 47-9.
Please join StudyMode to read the full document