The Business Process

The following outlines the connection of the Business System and the relative dependence of its several parts:

Strategic Plan:

The Strategic Plan specifies the direction of the organisation from which the Vision, Mission and Goals flow: these are the Essence of Marketing Thinking. It states and develops the policies to achieve these Goals.

The ‘Corporate Vision’ is an aspirational statement because nothing drives progress like the imagination and the idea always precedes the deed. If the organisation in general, and its chief executive in particular, has a strong vision of where its future lies, there is a good chance the Company will achieve a strong position in its Markets because its Strategies will be consistent and supported by the staff at all levels.

The ‘Corporate Mission’ defines the Company and what it does. It satisfies three essential criteria: 'customer groups' to be served, 'customer needs' to be served, and the 'technologies' to be used.

Business Plan:

The Business Plan is an expression of the application of Income and Expenditure and a statement of the reasons for the Investments and the Benefits to be expected.

Marketing Plan:

The Marketing Plan details the steps necessary to achieve the Income Stream. This states where the Revenue sources exist and how they will be secured. The Market is the only source of earnings for the Enterprise and the Product is the only means of access to that Source. Marketing is responsible for securing the Business Revenue but not the Company Profits because it has limited control over ancillary Costs.

Business Model:

Business Models are frameworks for creating enhanced value by converting the core competencies into a perception of Competitive Advantage. They are Statements of Intent as to how a specific Position might be reached and exploited to generate incrementally beneficial Revenue from a venture.

The EXPRO Industry:

The Oil and Gas Industry is readily segmented into discrete areas of activity that are, pretty much, consistent worldwide. These Packages lend themselves to the creation of Product-Market-Geography (P-M-G) cells and set the scene for developing a Marketing Grid composed of individual Business Models.

photo7The sum of these P-M-G Business Models is the fundamental Marketing Strategy for the Company; the sum of their Revenues is the Income Stream for the Company and their potential for Growth is the Product and Marketing Development Plan for the Company. This cellular, or modular, approach to Business Development is called Marketing-Led because it recognises that the Market is the only source of revenue for any company and the Product-The-Customer-Wants is the only means of access to that source. It negates any notions of Product-Led or Market-Led strategies which are seen as high-risk.

Marketing Methodology:

This methodology identifies the needs and supplies the wants through Research, which mitigates the risk for any new venture. The scope for growth through Product Development emerges directly from the sector-specific-end-user. This flows into a Marketing opportunity with them because close relationships inform of the need for innovation. End-user Innovation is the most important source of ETO knowledge because it is Marketing-led and emerges directly from the customer through Marketing Research exercises that are inspired by the Entrepreneur.

Marketing Management:

Marketing underpins the entire Business Process and the delivery of the Income Stream for the enterprise. Therefore, the scope of Marketing is broad because it encompasses all those factors that influence the ability of a company to deliver Value to its customers.

That is why Marketing is a Strategic Function.

Illustrations of the Power of Marketing:

Intellectual Capital:

Innovation depends on intellectual capital and the ability to identify and exploit it to generate knowledge. Intellectual Capital comprises:

A Learning Organization is one where the firm exploits this and is able to recognise, access, adopt, adapt and apply new knowledge for the benefit of the enterprise. New knowledge occurs at the frontiers of existing knowledge and this acquisition is a necessary requirement for business success in the age of information and the knowledge economy.

Currently, this may not be happening to a sufficiently high degree but a Strategic Approach, catalysed by the Entrepreneur, can change this and improve the effectiveness of the Process.