Saturday, March 19, 2011

What are the functions of CMO?

There are five key functions for a Chief Marketing Officer (CMO )in leading marketing within the organization:

1. Strengthening the brands
2. Measuring marketing effectiveness
3. Driving new product development based on customer needs
4. Gathering meaningful customer insights
5. Utilizing new marketing technology.


Other Related Posts :  


Profit Addition Through CFO


Redefining Strategy through LOGO

Dynamic Work Place of TODAY



Wednesday, March 16, 2011

Profit Addition through CFO

All CFOs view profitability as a central part of their existing jobs, still they are not viewed as the person getting profit to the company.  The CFOs need to restructure their role in the organization. For this objective, CFOs must go beyond broad, departmental performance measures to build grassroots profitability management processes into their companies' core management activities. This task has three key components.

First and foremost, the effective CFO needs to develop a systematic understanding of the company's baseline profitability through profit mapping.

This will reveal

1.Areas of high profitability, of
2.Low profitability, and
3.Negative profitability

Second, building a set of ongoing organizational processes for profitability management is a critical CFO job. i.e. integrating profit map information into day-to-day jobs throughout the company.

Third, transition management from the existing compartmentalized system to the dynamic integrated operational system.

Together, these can lead to major increases in revenues, profits, and cash flow of the company with the existing infrastructure  and not with any major capital investments.

Other Related Links :
What are the functions of CMO?

What is Total Marketing Orientation?


Tuesday, March 15, 2011

Basic Principles of Economics.

The ten basic principles of Economics are as follows. First four of these are related to individuals, next three are related to producers and last three to the governments:


1. People Face Trade Offs
2. The Cost of something is what you give up to get it.
3. Rational people think at the margin
4. People respond to the incentives
5. Trade can make everyone better off
6. Markets are usually a good way to organize economic activity
7. Governments can sometimes improve market outcomes
8. A country’s Standard of living depends on its ability to Produce Goods and Sevices
9. Prices Rise when the Government Prints too much Money
10. Society Faces a Short run Trade off between inflation and unemployment.

Other Related Posts :

Factors of Production

Determinants-of-Supply

Ttoday's Dynamic Work Place



Friday, March 4, 2011

Redefining Strategy Through Logo

The consumers or brand fans most of the time accept change of logo as a mark of change, yet sometimes they fail to react positively. Result – like GAP, the brand has to resurrect the old logo. PepsiCo's Tropicana re-branding expedition had also met with a similar fate.

The reaction and involvement of brand followers of GAP on internet through face book and twitter opened a new avenue to involve consumers in the brand. Airtel tried this by inviting them to name the logo like Nike's Swoosh and Michelin's Bibendum.

The logo is the first identity that comes across the consumers. It is the face of the company. Hence, rebranding it has its own dangers. Still, the marketers have to do it some times. The reasons can be:

1. A need to inject vitality and youthfulness in to the brand (the colour in the Godrej logo).
2. Make it contemporary and more importantly connectable (Café Coffee Day's dialogue box logo);
3. Diversification and brand extensions (Starbucks removed the word coffee from its logo),
4. Expansions into new geographies (Airtel, Mahindra & Mahindra),
5. A change in the strategy of company.(Dell, American Express and Arvind)
6. Ventures in to new businesses (Videocon) and
7. In some cases re-branding happens when companies' try to draw attention.

The iconic Apple logo didn't always have bite. The first logo depicted Sir Isaac Newton under an apple tree. The changed identity may not find immediate acceptance by all. If it is well thought off and connect connects with the consumers then it becomes an integral part, like the current logo of Apple.

According to Young Kim, creative director, Siegel+Gale, "Re-branding is not just about changing a logo. It has to be strategic." Re-branding fails if enough time has not been spent on planning and communicating the reason for the change, both internally and externally.

Some companies use a rebranding exercise as a catalyst to refresh their manifesto, recharge their employees and boost trade sentiments. Such initiatives unless supported by deeper intent which has to be long-term impact on product, promise and experience — would come through as superficial changes which do not have any enduring values.

Indian companies see the logo as a quick fix. They want to be more contemporary, cooler and youthful. But they do not go through real transformation to change the culture and align the organisation to support what the logo is meant to convey.

A logo is the ultimate and most visible manifestation of a brand, the picture that is supposed to say a thousand words, and evoke a thousand conversations conducive for the brand's existence, acceptance and growth.

The logo is an influential branding instrument and can turn on a range of human emotions. But a logo change is certainly no more a private affair, it needs a lot of research.

First, correctly estimate the equity in a pre-existing logo, and sometimes go as far as looking at the different parts of the identity in isolation and decide which parts still have relevance and which do not.

Understanding and developing a logo is both art and Science.

• The art of a logo is about the personality reflected through iconology, colour, fonts, shapes spaces within. The art is in the feeling and emotion and surprise associated with a mark.

• The science is about reflecting facts, logic & messaging. The science behind the development of a logo is part research — the mark needed to create an impact and also part design, to shape an idea in a distinctive way.

Both have to work in tandem — and in sync to work for the brand. It can be as simple as a unique colour, type treatment, or even a symbol. But this must be applied in context with the audience's culture.

The two successful transformations have been of the Café Coffee Day and British Petroleum (BP). Café Coffee Day changed its logo to an open dialogue box to position itself to a social hub. British Petroleum (BP) for example understood that using the colours of green and yellow would signal environmental sustainability and help change the perception of the company.

The colour of the logo plays an important part both in its appeal and communication. Each colour has its own significance.

1. Yellow and black is the most readable (scientifically proven) combination — highway signs are done in this combination mostly.

2. Blue is vast, calming, and relaxing and is known to create a connect with expertise, precision, technology and efficacy, hence brands in blue are likely to become believable quickly.

3. Pink and orange evoke certain taste-buds and are generally great for creating a multi-sensorial experience just through colour.

Old Airtel Logo
4. Red colour is supposed to be exciting, aggressive, and passionate and therefore evokes a subconscious emotional response from the viewer. Red stimulates and engages the most.

The colours keep changing as brands and markets evolve. So when the over 110 years old brand Godrej decides to add vigour to itself, they kept the logo intact and added colour — Green for Harmony, Blue for the imagination and technology and Ruby for Passion and Dynamism.

But as far as branding is concerned the king of all colours is Red. A brand in red has the advantage of being noticed and registered in the minds of receivers. But, if the brand fails to create distinction in form or shape (or typography), it would get lost in the red ocean. Red needs black or white to contain it and create distinction.

Other Related Posts

Total Marketing Orientation

Functions of Chief Marketing Officer

Todays Dynamic Work Place


Saturday, February 19, 2011

Factors of Production & Entrepreneurship

Que : Which are the factors of Production?

Ans : Economists have long recognized the four distinct factors that people use to create the things they want.

The Four "factors of production” in Economics are :
i. Land,
ii. Labour,
iii. capital and

Each factor plays a unique role in the production of goods, and each factor is clearly distinguishable from the others.

Land is the passive factor in production.

Labour uses capital on land to produce wealth.

The tangible goods produced by labour, which satisfy human desires and have exchange value is called Wealth.

When labour satisfy desires directly, without providing a material good, we call that "Services".

Thus labour provides the economy with "goods and services".

The process of co-ordinating Land, Labour and Capital for production is known as entreprenuership. The person who takes this ativity is called enterprenuer.

Which are the determinants of Supply

The main six determinants of supply are :

1. Prices of different goods including substitutes
2. Number of suppliers
3. Production function and technology
4. Prices of different inputs including wage rates, interest.
5. Producers' future expectations
6. Government Policies, Duties and Taxes

Other Related Posts  :

Basic Principles of Economics

Factors of Production






Friday, November 12, 2010

MIS Case Study DATABASES BEHIND MYSPACE

Site: http://myspace.com/

Case Summary :

Myspace became the most popular social networking site in the United States in June 2006.[8] According to comScore, Myspace was overtaken internationally by its main competitor, Facebook, in April 2008, based on monthly unique visitors. This growth and failure to sustain the leadership are the lessons for managers to follow.

The CHALLENGE to MySpace 

MySpace.com was one of the fastest growing site on the Internet with 176 million MEMBER ACCOUNTS in May 2007 and 260,000 new users registering each day. Often criticized for poor performance, MySpace has had to tackle scalability issues few other sites have faced.

How did they do it?


When growth spruts so fast and un-anticipated for any business then the challenge is tough. In such a scenario the plans fail so frequently that management starts feeling that no planning is better. But that myth calls for the down fall.

Comparison Table of MySpace with News Other Sites

Initial Architecture of MySpace :


In the initial phase they adopted two web server architecture and


  • Data base server
  • MS SQL Server


This was suitable for small to medium sites for simplicity. As the members grew shartfalls in the initial setup start getting visible. MySpace team tried to attend and resolve them to a certain level.


The Problems & Resolution


Prob.1. : Database servers reached their I/O limits when MySpace reached 2 million accounts.


Effect was site lag behind in Content update


Solution Attempetd : MySpace switched to vertical partitioning model where separate database supported distinct functions like –

  • The Myspace.com Handbook: The Complete Guide for Members and ParentsLog-in Screens
  • User Profile 
  • Blogs

Problems-2  : When MySpace reached 3 million accounts some functions grew very large.


Effect was one database server proved insufficient

Resolution  : Requirement was scale up strategy. MySpace added many cheaper servers to share the database workload. And Distributed Architecture.


Data of 1 million accounts per separate instance of SQL server.


Problem.3 : Grwoth in accounts led to performance issues and waiting time increased drastically.


Resolution -In 2005 added layer of servers between database servers and web servers. This reduced load on database server.

Problem.4 :When MySpace Crossed 25 million accounts Effect was seen on the performance and I/O speeds

Resolution -Moved to 64-bit SQL server to work around their memory bottleneck issues. Their standard database server configuration uses 64 GB of RAM.


Failure isolation. Segment requests into web server by database. Allow only 7 threads per database. So if the database is slow only those threads will slowdown and the traffic in the other threads will flow.

Further Task for Developers
MySpace still faces overloads more frequently than other sites.
Login errors occurs at 20 to 40%.


Site activity continues to challenge the technology. Developers continue to redesign Database Software and Storage System. Task is never ending


Conclusion : 
Since the beginning, MySpace.com has operated in ad-hoc fire-fighting mode, evolving its architecture to oil whatever new squeaks presented themselves. MySpace.com continues to experience significant performance and reliability problems, but they’ve never been showstoppers. Lack of long term planning by the MySpace team gets reflected in the case and this has costed them the loss of leadership advantage. Face Book, Twitter and You Tube with similar business model have marched ahead.


Other Posts :


Handling Multinational market on web by Nokia


Loreal collaboration through MS Share Point


Mode and media for Communication.

Demand Paging