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WAYS OF IMPROVING MARKETING POLICY OF AN INDUSTRIAL ENTERPRISE
Miroslava Vladimirovna Moklyak 1Yulija Mihaylovna Popova 2Svistun Lyudmila Anatolievna 3Sergienko A. G. Yurij Kondratuyk
Ukraine, Poltava National Technical University
1Ph.D., Associate Professor at the Department of International Economics and Marketing 2Ph.D., Associate Professor at the Department Of Finance and Banking 3Master of Science
ABSTRACT_
Nowadays, most businesses enterprises in Ukraine are in difficult economic condition. The situation on the Ukrainian market is next: every company is trying to provide efficient economic activity. Profitable activity mostly depends on the correct management decision in the company. That is why companies need to seek the best solutions for the management and organization of the marketing, including marketing sales policy of the company.
The article is devoted to the problem of improving the strategy of using CRM-systems in the enterprise. The content of the system is shown, as well as stages of implementation of CRM-systems and the benefits of its use at industrial enterprises. Effective management of client base enables enterprises to implement marketing strategies and gain a competitive advantage by finding ways to meet the needs of many different customers. The chosen theme is relevant because today there is a need to improve the existing marketing systems and the development of economic mechanism of marketing products in the domestic industry. Since decentralization in the management of industry affects all stages of the business process, organization, planning, production, marketing and control. Market policy gained specific changes which must be formed in accordance with the change of market needs and opportunities of the enterprise.
Review of scientific literature and publications. The problem of organizing and managing sales in the industry is shown in the works of local scientists such as L. V. Balabanov, V.G. Balashov, V.F. Gamaliy, L.I. Dudnik, A. V. Zozuliov, M. H. Koretsky, E. V. Krykavsky, A. O. Starostin, etc. Sales policy research was also held by foreign authors who are considered to be the classics of marketing: I. Ansof, G. Bolt, F. Kotler, etc. Some theoretical and methodological issues of marketing formation were shown in works of V.V. Burtsev, T.I. Volkova, E.V Golubkov etc. Currently economics does not have integral concept of marketing policy of the entity that takes into account the need to maintain economic stability of domestic manufacturers. It proves that there is a need of further study and research of many aspects of the problem.
The objectives of the research. The purpose of this article is reasoning of the ways of improving the marketing policy of industrial enterprises.
Basic material. Goods sales system is one of the most important marketing strategies of the company. Marketing managers who provide Sales policy make decisions on choosing the optimal marketing channels. The effective use of it will undoubtedly increase profit [2, p.48].
Sale in the broadest sense is all the operations since the product goes beyond the enterprise to the transfer of purchased goods to the consumer. In a narrow sense it is only the final operation, which means the relationship between seller and buyer [7]. Marketers have identified: "lack of effectiveness of marketing activity threatens the existence of the company as a whole" [12, p. 125].
Company sales policy and distribution policy is advisable to focus on:
1) profit in the current period and the perspective;
2) the maximum satisfaction of effective demand of consumers;
ARTICLE INFO
Received 6 February 2017 Accepted 18 February 2017 Published 10 March 2017
KEYWORDS
business, marketing,
sales policy of the enterprise,
CRM-System,
stages of introduction of
CRM.
© 2017 The Authors.
3) long-term sustainability of the enterprise market and the competitiveness of its products;
4) create a positive image in the market and its public recognition, etc. [4].
The main elements of the marketing distribution policies are: distribution strategy, commodity circulation, distribution channels.
Distribution strategy is a complex of management decisions about the type of channel, its structure and scope, as well as control and management of the Structural channel [9, p. 94].
Goods movement is a system that provides the physical movement of goods and services from producer to consumer, including transportation, storage, transactions, transfer of ownership, management of sales channels and service.
The channels of distribution (marketing) is a collection of companies and individuals who perform intermediary functions of the physical movement of goods and assume or facilitate the transfer of ownership of the goods in the way they move from producer to consumer [11].
The marketing policy of any enterprise has significant importance in the organization of its marketing activities.
Let s analyze the sales policy of industrial enterprise on the example of "Globynskiy miasokombinat".
Ltd "Globynskiy miasokombinat" is one of the leading highly mechanized enterprises in meat industry of Ukraine. Today it is one of three top meat manufacturers in Ukraine.
Ltd "Globynskiy miasokombinat" forms in Ukraine's its own sales network for meat products sale.
The investigated company uses extensive marketing method (selling through the maximum number of intermediaries - retail and wholesale). The main sale channels of "Globynskiy miasokombinat":
1) own outlets (54 outlets in Ukraine);
2) supermarkets (29 supermarkets sale production of "Globyno" in Ukraine);
3) stores (48 stores in Ukraine).
Sales system of the investigated company is traditional (all the members are independent from each other).
Marketing department of "Globynskiy miasokombinat" is providing the main tasks and duties for the implementation of marketing. Organization of marketing policy at "Globynskiy miasokombinat" is a duty of a product manager sales-supply agent.
Speaking about the structure of the sale system of the enterprise, it looks like: (Fig. 1).
Fig. 1. Structure of the supply system of "Globynskiy miasokombinat" [the authors ]
Head of Marketing department of Ltd. "Globynskiy miasokombinat" defines, plans and coordinates the economic and financial activity in the areas of logistics, purchasing and storage of raw materials. He controls making timely agreements with suppliers and customers. He controls the execution of sales plan.
Sales-supply agent deals with arranging documentation for the received and shipped goods. He sends inventories to the enterprise or accompanies the goods during their transportation and ensures timely delivery. He performs unscheduled purchase of materials.
Product Manager of "Globynskiy miasokombinat" implements new customers searching for products by telephone calls to potential clients. He examines the possibility of participating products on specialized and general exhibitions and provides connection with regular customers, takes orders, makes applications for production of some products based on the received orders.
Thus, the functionality of the sales department at "Globynskiy miasokombinat" is very limited. After all, even having three employees only two of them are involved in the sales process. They are: head of marketing department and product manager. Supply agent deals with other issues that accompany the supply and sales operations. Knowing the physical and professional opportunities of sales department, we can say that they do not quite meet the current requirements of the market and the declared objective of the company.
The main disadvantages of marketing policy of "Globynskiy miasokombinat" are:
1) Insufficient number of specialists in the commercial department;
2) Absence of education and training for commercial department;
3) Dealer network in Ukraine is not developed enough;
4) Absence of implementing measures to stimulate sales.
The main power of the sales policy of "Globynskiy miasokombinat" is the product and its consumer characteristics because product range is really rich, and production is qualitative.
Analyzing the sales policy of "Globynskiy miasokombinat" we can identify the opportunities of improvement of the marketing policies of the company. We believe that the main focus of optimization marketing policy of "Globynskiy miasokombinat" is to improve the weak parts and search for new areas of improving commercial department of the enterprise. Economic and technical capabilities allow the company to increase the number of employees in the marketing department to 6 people, or increase the number of commercial services by half (from 3 to 6 people). The next step should be the implementation of a program to expand the dealer network in Ukraine. For this a new or expanded commercial department should be allocated a specialist who would be involved in finding reserves for sales in different regions of Ukraine.
It is important to organize certification training for the managing stuff at the investigated enterprise through its participation in various trainings, round tables and conferences.
Another reserve which will provide an increase in sales of "Globynskiy miasokombinat" is realizing a program in sales stimulation at the investigated company.
Thus, these four mentioned approaches for liquidation of gaps at the "Globynskiy miasokombinat" make it possible to increase the effectiveness of existing mechanisms for marketing at the company. But the most significant part in terms of competition is introducing some innovative model in activity of the company or a particular division. This model is CRM system. During recent years it is gaining popularity and shows real performance.
CRM (customer relationship management) is a specific business approach which says that the first place at the company activity takes a client. CRM strategy means that company should create mechanisms of work with commercial clients, while consumers' needs must be the highest priority for the company. This customer focus touches not only the overall business strategy of the company, but a corporate culture, structure, business processes, operations as well [1].
The main aim of CRM-strategy Implementation is creation of a conveyor which involves new customer attraction and existing customers developing. CRM is a business strategy aimed to study and understand the needs of existing and potential customers. Due to the full consolidation of information about customer and former relations with them it is possible to form a plan for attraction and maintenance the clients. It guarantees profits increase. CRM-system considers the customer as the main asset of the company.
To manage the relations means to attract new customers, to convert neutral buyers into loyal customers, to create business partners from regular clients.
CRM-system is a set of applications, features and tools related to the only business logic and integrated into a single corporate information environment of the company. Automation of relevant business processes of marketing, sales and service, make it possible to simplify business and start a new level of business.
Important role in the implementation of CRM-strategy is devoted to information technology. CRM Software is a specialized system designed to automate the same business processes, procedures and operations that are realized as CRM strategy of a company.
We want to mention that the automation of customer relationships is important, but it is not the only or the primary step in building a customer-oriented company. The software is a handy tool that will support the existing regulations and processes, and will grow with the company.
CRM-programs minimize the human factor while dealing with customers and will improve the transparency in the areas of sales, marketing and customer service.
This system includes:
1) business process automation;
To formalize and automation implementation and monitoring processes, Terrasoft CRM offers special tools. Business Analyst will evaluate convenient visual editor that lets a CRM system create a description of all the algorithmic processes of any complexity. Managers can specify tasks performers and participants of the process fix spent time for the task execution. The leaders will be able to analyze the effectiveness of the business processes as well as staff work.
2) Manage customer information;
Clients' database (affiliate company, partners, suppliers, competitors) is actually a valuable asset. Competent management of data in CRM-system allows information to work with maximum efficiency. The client database is consolidated. The company receives full information about their customers and their preferences. Based on this information the company builds the interaction strategy.
3) Sales Management;
The main function of CRM-systems is to help managers plan sales, organize transparent management agreements, and optimize sales channels. The system stores the complete history of communication with clients to help sales departments to analyze customer behavior, to form the corresponding proposals to gain loyalty.
4) Marketing Management;
The basic functions of CRM-system for the automation of marketing are the following: management of direct marketing campaigns (e-mailing, direct mail), research, customer surveys. As the result it helps to improve the automation of the work of marketing and increase customer satisfaction.
5) Product portfolio management;
It is important for any commercial organization to provide products and services of high quality at competitive prices, continuously improve product lines. CRM-System allows you to structure nomenclature and manage the complete range catalog of goods and services. CRM capabilities provide accounting of special prices and discounts, analyze the data and relationships to offer customers optimal service package and determine popular products.
6) Control of working time;
Efficient management and time tracking positively contributes to all the business processes. CRM-system allows employees to record not the use of current working hours, but to plan working capacity for the future as well.
CRM-systems means offer convenient access to the schedule in which employees can plan their own working hours mark the results of the scheduled tasks, view schedules of colleagues. In turn, chiefs have the tools for monitoring the workload and performance of employees.
7) Automation of document circulation;
CRM-system provides all the necessary tools to manage both external and internal company document. These tools provide means of automatic creation of documents templates, making printed documents forms, support options of documents, quickly search of documents in the system, creating an electronic "storage" of documents and more.
8) Communication optimization within the company
Low level of communication between staff and departments makes work inefficient and leads to failure of key business processes. As a result company has profitability reduced.
We believe that the company "Globynskiy miasokombinat" has the reserves for implementation of the mentioned system and through this can really improve sales policy in general. The implementation of CRM-system follows with 8 consecutive stages. Let us consider each of the steps in more detail.
The first step is the choice of a strategy. It is identification of real problems in work with clients, setting the goals and target results after implementation of CRM-systems.
In the second phase for the purpose of argument budget for implementation of the system is set. It is phase for analyze the effectiveness of the implementation. The third phase
involves the selection of the platform which meets most criteria and the project budget with the possibility of adapting CRM-system to these criteria: simplicity of learning and development, program update, handy support CRM-system.
The fourth step is for choosing an executor. It means to involve experts from specialized companies.
The fifth stage is the implementation of the project. At this stage, it is necessary to control the terms of implementation and compliance of the gotten results with the criteria of the proclaimed business processes. This step is followed with installation of CRM-systems; setting up data exchange with other systems; transfer of client base in the CRM-system software from MS Excel, MS Outlook, MS Access; CRM interface settings, and adaptation to the specific of implementation of business processes in the enterprise; training of employees in work with CRM-system.
The sixth stage involves the launch of CRM-system. It is stage for controls of the correct use of the system at the initial stage of its work.
The seventh stage is the collection and analysis of user guidelines for making the requirements to be included in updates of the system.
At last, eighth stage. It is release of CRM system updates based on considering of the errors or gaps [5].
CRM-system allows arranging effective cooperation and exchange of information within the company, preventing appearance of "information gaps" and the loss of important information. The use of CRM systems will help to synchronize the actions of personnel, and perform functional duties of employees in the agreements. It will help to organize automatic distribution of tasks between employees of different departments due to the logic of existing business processes.
Therefore, first of all to improve the marketing policy of "Globynskiy miasokombinat" it is necessary to increase the number of experts in marketing apparatus. And secondly, it is important to improve and train skills of sales department employees. It is also necessary to develop effective dealer network within Ukraine and actively implement measures to stimulate the sales of the investigated company. It makes sense to implement CRM system. The implementation of CRM-system at the industrial plant is the best way to improve its marketing policies that will simplify automation of most business processes and monitoring of personnel.
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