Marketing Plan Evaluation and Control Matricies, and Appendicies In your final s
ID: 2747429 • Letter: M
Question
Marketing Plan
Evaluation and Control Matricies, and Appendicies
In your final sections, you will need to include the above related info. Metrics allow for measuring your performance and how you will determine if you have met your goals. Suggestions might be: how many students do you expect to acquire and when will the enroll. Keep in mind the business cycle of a college/university, it is annually and begins in the fall. I would suggest not just looking at your text but alos other marketing plans that give measurable standards that meet purformance goals.
Appendicies are sources of supplemental information that aids the reader in getting a clearer picture of what you are trying to achieve. For example, if your plan requires hiring additional faculty then you may write a job description that spells out the specifics of the faculty member you are looking for. Other examples may be a program description with courses, examples that come from other institutions, etc.
This paper is due May 1.
Explanation / Answer
A measurements program translates corporate goals and objectives into action. It makes progress toward goals visible; allowing for clear communication, objective analysis and fact based decision making. Analyzing measurements information helps satisfactory results continue and identifi es opportunities for improving results.
Before measuring the new product development (NPD) process, it is important to decide why the measurements are being made. A measurement is one way to understand how well a process is working and what a process is doing. This includes the process design, the selection, qualifi cation, and motivation of the people who carry out the work and the tools, materials and information systems that are used. As the underlying process is changed, the measured result may refl ect that change. Changing a measured outcome requires a change in the design or operation of the underlying process. Measurements can also identify problems or show progress towards goals. Making measurements visible and understood by the people who contribute to the result being measured can motivate change in an organization. Measurements provide the most useful basis for decision making.
Selecting the measurements
Before deciding what to measure, ask yourself this question: “If the measurement goals are achieved, will you be satisfi ed?” This makes it clear that goals and objectives for the organization must be set before measurement planning can begin. Typical objectives might include increasing short or long term profi t, market share, customer satisfaction, reliability, or effectiveness, decreasing cycle time, defects, re-work, costs or waste. How do you decide where to start and where to focus?
What gets measured gets done, so be careful what you choose to measure, you are liable to get it!
Creating the Customer Value Tree Structure
Establishing Priorities
With the detailed tree structure completed, the next step is to identify the vital few attributes that will contribute the most to the overall customer value. The overall priority of each attribute is a combination of its importance and the gap that exists between the current performance and the performance goal. It can be established using the following relationships.
Priority = Importance x Performance Gap
Performance Gap = Desired Level of Performance ÷ Current Level of Performance
The importance is the degree to which a change in this attribute will infl uence the customer perceived value of the product. It is often expressed as a percentage of the entire customer value. The current level of performance is how well your product is performing now with respect to that attribute. The Desired level of Performance refl ects your business priorities and can be set by “shooting ahead of the competition” or by adopting improvement goals that each contributing unit commits to attain.
As an example, suppose that a survey has determined that customers attribute the following importance weights for your product in making purchase decisions:
Product Performance 40%
• Product Price 30%
Delivery, Installation & Service 20%
• Customer Relationships 10%
The research also shows that your products are priced the same as your competitors, but your product performance is not as good. Your product performance is rated a ‘3’ and your competitors products performance is rated a ‘4,’ each on a 5 point scale. Considering this analysis, you decide to maintain parity pricing, but to set a goal of ‘5’ for product performance
Product Performance Priority = 40% x (5/3) = 67%
Product Price Priority = 30% x (1) = 30%
So in this example it is more important to work on increasing product performance than to reduce price.
Use priority estimates to identify a manageable set of attributes to form the basis for the measurements plan. The number of attributes that are manageable by the organization will depend greatly on the maturity of the information systems available to the organization. If the data are collected manually, then only a handful of attributes will be manageable. If sophisticated automated data collection systems are in place, as many as several hundred attributes will soon be manageable. It is preferable to act on a few measurements than to be overwhelmed by too large a set. So start with a small set and use them as the basis for initial decision making.
A measurement plan must specify what is measured, the source of the data, the frequency of data collection and reporting, and the party responsible for collecting and reporting the data.
Goal for the Requests for Repair Service Metric: Considering the importance of product reliability to our customers, and our lagging position on reliability with respect to our competition, we have set an aggressive improvement goal for this metric. The managers of service, installation, manufacturing and engineering, with the support of the people in their departments, have agreed to achieve an improvement of 20% over last year’s average performance. The goal for this year is to receive no more than 4529 service requests in total, across the corporation. This goal has been further allocated to individual products according to the following table . . . Note that some highly reliable products need only maintain the same level of performance they achieved last year. Other less reliable products must meet aggressive improvement targets. Also note that products planned for introduction later this year will be expected to have a reliability substantially better than our current average. Staffi ng, expense and capital equipment budgets include items needed by each department to carry out these improvement plans.
Reviewing, Evaluating and Improving the Measurements program
As the organization’s quality system and information systems mature, the organization will be able to take action on increasingly important metrics. The annual planning cycle is a good time to revisit the overall measurements plan and to move to a more important set of measures. At that time the measurements set can be aligned with the latest corporate goals. The nature of the current performance gaps can be reassessed. Measures originally introduced to identify process improvements can now be used to sustain process control. Measures that will allow for still greater process improvements can be introduced. Opportunities to transform the NPD process may be identifi ed by looking across measurements that identify chronic and systematic process problems. Also, the resources needed to carry out the measurements plan, including implementing improvements identifi ed by analyzing the measurements can be planned for at this time.
Appendix
Financial Performance
• Short term revenue, profi t, growth
• Long term revenue, profi t, growth
• Return on investment, Economic Value Add, Break Even Time
• Development Cost, Product Cost, Service Cost, Warranty Cost
• Financial risk
Customer Satisfaction
Customer Satisfaction Survey
• Product Functionality, Usability, Reliability, Performance, Serviceability, ergonomics and aesthetics
• Timeliness of product availability
• Product return rates, customer complaint levels
• Capture and loss of new customers, contracts and markets. Customer Loyalty
Employee Satisfaction
• Satisfaction Survey, by Employee Group or Job Classifi cation
• Recruitment Rates, Turnover rates, employee complaints and suggestions.
Growth, Innovation and Learning
• Revenue, profi t, growth from new products
• Growth in Market Share, revenue, profi tability
• Patents, copyrights, licenses, proprietary products
• Learning, teaching, innovation activity levels and results • Rate of progress in cycle time reduction, defect reduction, cost reduction, process capability prediction and customer satisfaction.
Process Control
• Manufacturing yields, scrap rates, line rejects, defects, re-work levels, cycle times, order intervals, inventory levels, inventory turns and assets.
• Design change activity rates.
• Sales order cycle time, on-time delivery and defects.
• Supplier performance • Speed of customer call answer and response
• Billing speed, accuracy and problem resolution
• Service call response times, effectiveness
• Financial reporting accuracy, timeliness, usability
• Advertising activity levels and response rates.
• Information systems availability, capacity and response times • Safety, absenteeism, turnover, sickness and accident rates