THE INTERFACE OF MARKETING & HUMAN RESOURCES

At SRC, we have consistently argued that marketing is the responsibility of the whole organization and that its influence permeates organizational functions and processes, or at least should.

There is little doubt that people are an organization's most vital assets (it is fair to say that this concept is given only lip service by most firms), as without people, nothing would get done. In terms of customer satisfaction and service, those employees that deal with the customer in any form are vital human resources, and indeed marketing assets. Assets are not costs. A fund manager that invests your money and then returns that exact same amount (or less) after a specified time period would be unlikely to get your money again. An asset, like people, must be invested in so it grows and develops. Picture your business and answer the following question:

How much time and resource has been spent on making sure your people can deliver the right levels of service?

You can be sure it is probably not enough. Remember, we are not just talking about technical competence here. If marketing is about achieving customer satisfaction, a major part of that satisfaction is going to be achieved through direct dealings with the customer. Delivering on the marketing concept takes a whole company effort, this is known as integrated marketing.

The key question is not does the management of human resources affect marketing efforts but how can we utilize the concept to ensure that our human resource management practices are up to the task.

Consider the following scenario:

After spending 6 months and many hours of effort, you finally secured that big client. Not only that, in a very competitive environment, you beat out some of the major players and the client could add considerably to your image and long term revenue growth. During the relationship, the client has reason to contact your accounting or credit department. Not only does he/she find the invoice difficult to interpret, he/she receives less than courteous service when making general queries about credit terms etc. This causes ongoing problems that last some time. When renewal of the order comes up, the client decides to find someone who is easier to do business with!

Infrequent, unlikely – perhaps, but not as uncommon as you may expect. The customer's level of satisfaction stems not only from the use of your product/services and the designated marketers in the organization, it stems from a number of intangibles including many possible contact points inside your organization. These are frequently called ‘moments of truth.' Marketing is as much to do with experiences as anything else, and if the customer experiences less than the very best, there is a good chance you may lose him/her.

What can you do to ensure the chances of this happening are reduced to the absolute minimum. There are a number of areas to consider:

• Hiring – when bringing in new people into the organization, make sure they have the necessary interpersonal skills as well as technical ones

• Training – think of training and development as an investment. Research shows that one dollar spent on training is often returned many times over in increased productivity and lower turnover levels

• Communication – this is one of the most vital areas in any organization. Staff must understand how they contribute to customer satisfaction and know their role as a marketer. Research shows that managers frequently over estimate how much they communicate as studies that investigate subordinate perceptions find substantial incongruence

• Motivation - at the end of the day, none of these tactics will work if people do not want to deliver superior service. People work for many more reasons than money alone. You must find out on an individual basis what needs your people have and strive to meet them. Typically, greater involvement and participation are key factors. People at all levels want to know how what they do on a daily basis contributes to the success of the organization. Why does Giordano consistently deliver some of the best service in town?

FINAL THOUGHTS

Never underestimate the importance of all your people in coordinating the marketing effort. It is tragic to see firms put substantial effort on the business development side and lose it due to poor follow up and investment in their most precious asset, their people.