Strategic Business Management and Planning Coca cola Company

Published Date: 23 Mar 2015

In the exact of science Business planning is often described as more than of an art. In organizations this becomes especially true when ones business plans revolve around the cycle of annual budgeting. At this point, business analysts with widespread of experience in the business exert the alleged "spreadsheets from hell" that a small number of people can be aware of modifying them alone. In other companies when compared to Coca Cola budgeting involve continuous revisions and edits to dozens of incoherent spreadsheets. This type of annual budgeting cycles are costly in both time and require more people resources, and they are generally determined by prior history, relatively to a company's strategic plans. In today's dynamic business world, this kind of business planning in an organization makes it difficult to hold growth and to get used to the continuously changing needs. (Michael Mankins and Richard Steele 2005)

To become more responsive and contend effectively, companies need to develop from spreadsheet-based budgets towards a planning situation that can support organized strategic, tactical and operational business plans. This kind of planning atmosphere enables sound implementation strategies and business presentation advice mechanism which allows the executives and profession managers to modify business plans and processes. (Michael Mankins and Richard Steele 2005)

1.2 Organizational structure:

Each and every organisation is made up of more than one person which needs some form of structure known as organisational structure. An organisational chart shows the working process of an organisation and the way in which chain of commands work within the organisation. The way that the company is planned is illustrated for a packaging company. The company is owned by shareholders and to look after their interests the shareholders decide directors. The managers are then appointed by the directors to run the business on a everyday basis. (The Times 100 / Revision Theory / Strategy (Accessed on 28th oct 2010))

The major responsibility of Managing Director is to run the company, which includes setting targets for the company and taking care of all the departments. The in and out movement of goods of the warehouse, supervising drivers and supervising the transport of goods to and from the firm are controlled by Distribution Manager which is his responsibility,.

For keeping nonstop supply of work smooth to all production staff and also for organising manpower to get together the customers' orders, the Production Manager is made responsible. The responsibility for building contact with customers and obtaining orders from those relations is held by Sales Manager. All the financial connections of the company are controlled by company Accontant and he is responsible to produce management accounts and monetary reports. (The Times 100 /Revision Theory/ Strategy (Accessed on 28th oct 2010))

1.3 Understanding the problems:

Strategic planning is essential to business success, but there are evidences which state that most of the companies today are failing in executing their strategies of business. The recent statistics state that Balanced Scorecard Collaborative (BSC) says that nine out of ten companies are lacking strategy execution. Current study of Marakon Associates by 197 senior executives states that 65% of companies accredited that they were better at developing strategies when compared to executing them.

The studies of BSC and Marakon states that there is a major disconnect among the organizations strategic plans, tactical plans and the operational functioning of those plans. The main reasons for this disconnect are discussed below: (Michael Mankins and Richard Steele 2005)

Sufficient time is not devoted by the executives and resources are not used in developing corporate strategies and clear action plans are not created to implement those strategies.

Without allocating suitable resources or budgets to implement business plans, strategies are often defined by executives.

As operational managers are not taking part of the strategic planning process, they are not responsible for execution of plan, and as a result they have no encouragement in making the plans work.

Strategic plans are not communicated by the executives to an employee's in which ways they are related to their everyday objectives, role and responsibilities.

A very little business intelligence (BI) is used by the executives and they are often not aware of problems in the plan execution and make use of them to help them to line up actual business concert with business goals.

To solve these problems executives and managers need planning tools that help them create and manage action plans, interact with employees about those plans and associated business strategies, and align business performance with business goals.

2. Mission, Vision, Values and Goals of Coca Cola Company:

2.1 Mission of Coca Cola Company:

The mission is to create customer products, communications, consumer service, bottling system strategies, processes and tools in order to make aggressive benefit and distribute higher value to

Customers as a better beverage experience.

Through the use of completed drinks customers as a chance to grow profits.

Bottlers as a chance to raise income in volumes.

Bottlers as a brand development and positive financial value Added.

Suppliers as a chance to make realistic income when creating real value-added in an atmosphere of system-wide team work, flexible business system and continuous growth.

Indian society in the form of a contribution to economic and social development.

2.2 Vision of Coca Cola Company:

The vision is to provide outstanding strategic management in the Coca-Cola company system which results in customer preference and loyalty, throughout the company's commitment to them and in an extremely lucrative Coca-Cola Corporate considered beverages system.

Profit: Maximizing return to shareowners while being mindful of our overall responsibilities.

People: Being a great place to work where people are inspired to be the best they can be.

Portfolio: Bringing to the world a portfolio of beverage brands that anticipate and satisfy peoples' Desires and needs.

Partners: Nurturing a winning network of partners and building mutual loyalty.

Planet: Being a responsible global citizen that makes a difference.

Fig: Vision for Sustainable Growth

2.3 Values of Coca Cola Company:

Coca-Cola Company is guided by shared values where both the employees and the individuals of the Company live by their values. The values are that the employees in the Company are expected to keep and works regularly are as follows:

Leadership: To deliver outstanding results, leadership is an initiative taken in order to lead, motivate and drive the team with energy and zeal. It is also taken as courage to shape a better future.

Innovation: In whatever we do, innovation is a continuous strives to progress and to reach the next level of excellence, where it can be imagined, created and delighted.

Passion: It is a deeply commitment in heart and mind in order to deliver an outstanding performance.

Teamwork: Team work is to unite greater strength and work as a group collectively towards the attainment of common goals.

Ownership: Thinking and acting like owners at all levels; taking decisions at the lowest appropriate level as best as possible.

Accountability: For delivering decided targets and goals accountability is defined as individually and transparently to our colleagues.

2.4 Goals of Coca Cola Company:

It is recently announced by CEO of Coca-Cola Company that they will tie top managers' pay to how well the company meets new goals for diversity. It is also said that a position will be created to develop ways to promote minority employees.

The Wall Street Journal recently reported that an e-mail was sent to all employees stating that Coke will set up "a series of goals, objectives and targets" for achieving assortment throughout the company "over the next few months" and that "everyone in the organization, including the CEO, will be held accountable for meeting them." It also been added that "success and compensation" will be attached to meeting the new variety goals, "and the same will be true throughout the management ranks." (Jet. FindArticles.com. 2010)

The U.S. division of the company already tied a segment of managers' bonuses to promote minorities, said by a Coke spokesman. It also distinguished that there are plans to employ a vice president and director of variety strategies who will work on promotion of minorities in the company worldwide. (Jet. FindArticles.com. 2010)

"Diversity, in its broadest sense, is a clear business imperative for our company and its future, and it is a top priority for me," was also stated. "This makes us a better employer and business partner. It helps us compete more effectively in the marketplace. It makes us better neighbours in the communities we serve. And finally, it builds value for our shareowners." (Jet. FindArticles.com. 2010)

3. Current strategic plans of Coca Cola company:

3.1 Strategy formulation and implementation:

The organization's business strategy is defined as a set of objectives, plans, and policies to compete successfully in its markets. In effect, the organization's competitive benefit is specified by the business strategy and how this benefit will be achieved and continued. The organization's core competencies is defined and focused as the key aspect of the business strategy. The business strategy that is actually detailed by strategic plan is typically formulated at the administrative committee level like CEO, president and vice presidents. It is usually formulated in the long range, which is three to five years.

In fact, however, the long-range strategy is the decision that is made over time. In most of the firms, no pattern is showed at all by these decisions, which reflects the truth of having no active business strategy, even though they went through the process of strategic planning. In other cases the decisions accept very little or even no relationship to the stated organization's or official business strategy. The main point is that its true business strategy is told by the organization's actions than its public statements.

3.2 Formulating the Business Strategy:

The organization's vision/mission statement, a range of factors outside to the organization, and a variety of factors inside to the organization are integrated by its relevant inputs to the strategic planning process. Resource Based View one school of thought is considered by the set of resources an internal factor available to the organization as the main driver of the business strategy. (Barney (1998, 2001))

By considering all the inputs, by developing a vision statement, a mission statement, or both a strategic planning is initiated. The organization's values and aspirations are expressed by Vision statements. The organization's purpose or reasons for existence are expressed by Mission statements. In some cases, the vision and mission statements are combined and chosen as a single statement by some organizations. Regardless of the developed vision and mission separate statements or combined statements, the main aim is to communicate organization's values, aspirations, and purpose such that the employees can make decisions that are reliable with and support these objectives. (Collis and Montgomery (1997))

Employees to high levels of performance can be inspired if the effective vision and mission statements are written using their language. According to, foster employees' commitment, in the growth of the vision or mission statement, it is desirable to comprise a wide variety of employees, relatively to enforce top management's view by decree. Individual vision and mission statements that support the organization's overall statement are developed by work groups, departments, divisions, process teams, project teams and so on, once as a whole the vision and mission statements are developed for the organization. For example, if vision mission statement is developed by a university, each college under the university will develop their own unique statement which specifies their role that has to be played to support the overall mission. Similarly, once each and every school under the university develops its own vision-mission statement, unique statements within the school are developed by the departments. The development of own unique statements by its organizational unit promotes wider involvement in the process, helping employees to think how it supports the overall mission in terms of their work, and statements result in more meaningful way to a selected group of employees. (Collis and Montgomery (1997))

4. Cancer Research UK

4.1 Organizational structure:

Each and every organisation is made up of more than one person which needs some form of structure known as organisational structure. An organisational chart shows the working process of an organisation and the way in which chain of commands work within the organisation. The way that the company is planned is illustrated for a packaging company. The company is owned by shareholders and to look after their interests the shareholders decide directors. The managers are then appointed by the directors to run the business on a everyday basis. (The Times 100 / Revision Theory / Strategy (Accessed on 28th oct 2010))

The major responsibility of Managing Director is to run the company, which includes setting targets for the company and taking care of all the departments. The in and out movement of goods of the warehouse, supervising drivers and supervising the transport of goods to and from the firm are controlled by Distribution Manager which is his responsibility,.

For keeping nonstop supply of work smooth to all production staff and also for organising manpower to get together the customers' orders, the Production Manager is made responsible. The responsibility for building contact with customers and obtaining orders from those relations is held by Sales Manager. All the financial connections of the company are controlled by company Accontant and he is responsible to produce management accounts and monetary reports. (The Times 100 /Revision Theory/ Strategy (Accessed on 28th oct 2010))

4.2 Understanding the problems:

Strategic planning is essential to business success, but there are evidences which state that most of the companies today are failing in executing their strategies of business. The recent statistics state that Balanced Scorecard Collaborative (BSC) says that nine out of ten companies are lacking strategy execution. Current study of Marakon Associates by 197 senior executives states that 65% of companies accredited that they were better at developing strategies when compared to executing them. (Michael Mankins and Richard Steele 2005)

Cancer Research UK is pleased by Cancer Reform Strategy, that it is committed by the Government to buid its own strategy for cancer in UK and look forward to support its expansion.

Cancer Research in UK has without doubt undergone great improvements from the time when the first NHS Cancer Plan of 2000 was in print. Services are improved corresponding increase in patients are seen by a team of specialists, and the patients who are taking part in clinical trials also increased. Cancer frequency and survival rates are both rising, improved medical technologies and treatments are constantly provided by the scientific advances, and in NHS radical change has begun to undergo in the structural and policy environment.

It is believed that the Cancer Reform Strategy desires to take action to these developments, to make sure that cancer patients have admittance to services and information now and in future in the best possible way. It is belived by Cancer Research UK that the below mentioned are the priorities for Cancer Reform Strategy:

Outcomes of Clinical data and support based policy.

Speculation, employees and capability of planning and competence.

Cancer research is supported and access to clinical trials improved.

Cancer prevention prioritising.

Inequalities tackled.

Early presentation, detection and screening are improved.

Access to new treatments are ensured.

High excellence, customized information to patients is provided.

Cancer networks are developed.

To deliver improved outcomes cancer services are reconfigured.

5. Vision, Values, Goals and Impact of Cancer Research

5.1 Vision Statement of Cancer Research

Cancer Research UK's vision is "Together we will beat cancer". Our vision is of what we want to, why we exist and the impact of us on society. We are beating cancer is an enormous challenge. Below mentioned are the four ways how we are going to address the challenge: (The Big Give.org.uk, Accessed on 28th Nov 2010)

To progress our understanding of cancer world class research is carried out and finding a solution to prevent, diagnose and treat different kinds of cancer.

To progress the lives of all cancer patients it is made sure that our findings are used.

Helping people to understand cancer, the progress that is made and the choices each person can make.

To achieve the maximum impact in the worldwide fight against cancer, Cancer Research works in partnership with others.

5.2 Values of Cancer Research

Encouraging excellence: We seek out the best and support those who are able to make a disproportionate difference.

Supporting innovation: We use the advantages of our independence and financial security to try radically new things.

Sustainability: We seek to create sustainable improvements.

The Charity supports and respects its historical connections and seeks to support innovative initiatives that aim to modernise healthcare, in particular by researching new and improved solutions, speeding up treatment, delivering care as near to home as appropriate and by making the hospital environment a pleasant experience for patients, visitors and staff and one conducive to healing. (Chelsea and Westminster Health Charity, Jan 2008)

Investing ethically: The Charity investment policy forbids direct investment in tobacco companies.

5.3 Goals of Cancer Research:

Ten goals have been launched by Cancer Research to shape the work over the next decade and beyond. To attain these ten goals, partnerships with charities and other medical research organisations are formed, as well as partnerships with professional and public health bodies, pharmaceutical companies, the Government and our supporters whose perseverance is necessary to our progress. The target is to achieve the following goals by 2020:

1. People will know how to decrease the risk of cancer: Three-quarters of the public in UK will know the main way of life choices they can make to lessen the danger of getting cancer.

2. The figure of smokers will fall radically: Four million smaller amount adults will be smokers, preventing thousands of new cases of cancer every year

3. People below 75 will be smaller amount to get cancer: The probability of a person getting cancer up to the age of 75 will drop down from more than one in four to one in five.

4. Cancer will be diagnosed in advance: when the cancer can be treated successfully two-thirds of all cancer cases can be diagnosed at a stage.

5. People will understand how cancer is started and developed: People will have a clear understanding of the causes and changes in the body of all cases of cancer.

6. Better treatment can be provided with smaller number side effects: Treatments that exactly target the cancer will have some serious side effects will be decreased to slightest half of all patients.

7. More people can survive cancer: There will be an increase in survival rates of all common cancers, with at least two-thirds of newly-diagnosed patients living more than five years.

8. Cancer can be especially tackled in low income communities: The difference of dying from cancer will be reduced by half among the wealthiest and the least wealthy people.

9. People suffering from cancer will get the information needed: More than nine out of ten patients can access the information needed during diagnosis and at the time of treatment.

10. We will prolong to fight against cancer beyond 2020: Adequate scientists, doctors, nurses and communications will be in place to make sure of continued quick improvement in the fight against cancer beyond 2020. (Cancer research uk)

5.4 Impact of Cancer Research:

UK's Cancer Research work till now has saved millions of lives in UK and all over the world. In the last thirty years the Cancer survival rate has been doubled and the work is at the spirit of that development. The scientific research is taken all the way to the patient's bedside from the laboratory bench, funding more than 4,500 researchers, doctors and nurses throughout the UK. Over 100 clinical trials, testing exciting new drugs and treatments for cancer are supported by us. (The Big Give.org.uk, Accessed on 28th Nov 2010)

6. Cancer Research Business Planning:

6.1 Introduction:

It has been published by the Government in July 2004, the governments 10-Year Science and Innovation Investment Framework. This shows the commitment of Government's towards science and research over the next decade, with the long-term objective of the overall levels of investment in research and development is to boost up to 2.5% of gross domestic product by the year 2014. This Delivery Plan states out how Cancer Research in UK is continuing to contribute to the overall achievement of ambitions of framework, which are listed as below: (Study on the Economic Impact of the Research councils 2007)

Making UK as the world-class in each and every area of science, engineering and technology.

More effectively translating the new knowledge that is generated into innovation.

Improving wealth and excellence of life of UK.

Making UK the location for the choice of R&D and adding high value to business.

6.2 Technological change:

Engineering and the physical sciences are considered to be critical across the spectrum of business for the development of technological innovation. Engineering and the physical sciences research council (EPSRC) is the largest Research Council in partnership with TSB, and has their own widespread of direct partnership with industry, together with SMEs, from most important strategic partnerships to their extensive support in every aspect of industry, all the way through knowledge transfer activities and collaborative training. The key Delivery Plan is the priority to broaden the engagement with business and the service sector, working in collaboration with TSB and BERR. (Study on the Economic Impact of the Research councils 2007)

Examples include:

Appealing with financial service and retail sectors to have improvement in the services like advanced techniques to fight against credit card fraud and through the Digital financial system.

Through Network & Security improvement Platform, supporting the Government as a major user to use ICT, like working in affiliation with the Home Office Passport and Identity Agencies.

Contributing to the transformation of energy like well-organized photovoltaic's through Nano science theme, which supports new technologies like plastic electronics, quantum information processing, advanced composites, and beyond silicon electronics.

6.3 Globalisation and Shifting Economic Patterns:

In UK the raises of challenges globalisation for business are growing regularly. Features of EPSRC'S contribution for globalisation include:

EPSRC'S portfolio of Innovative Manufacturing Research Centres (IMRCs) are funding a broad range of study in manufacturing technology, business process engineering, manufacturing management, supply chains. This work has contributed forthcoming Sainsbury Review, which continues to provide a significant proof base for BERR, DIUS and the Treasury in the growth of modernization policy and strategy. (Study on the Economic Impact of the Research councils 2007)

The exploitation of user is driven and Grand Challenges are ensured such that they remain united with the strategic needs of the society and economy.

To be competitive internationally PhD training is realigned, and leverage is gained from international knowledge in partnership with peer funding agencies.

6.4 Global Uncertainty and Terrorism:

EPSRC is maintaining funding partnerships with a number of key stakeholders, in order to tackle the challenges of prevention, discovery and response to crime and terrorism. The crime collection features widespread end-user partnership includes Local Authorities, Home Office Agencies, industry and Police services. Actions that include:

In partnership with Home Office facts in crime and terrorism, originally on container screening at air ports, construction on the accomplishment of previous events on gun crime and hostility terrorism in public places.

Establishing organization with Centre for Protection of the National Infrastructure (CPNI), aiming to increase this to comprise other key stakeholders like the MoD and the Cabinet Office.

Additional partnership with Home Office, Communities and Local Government in areas like conniving out crime and crime-free communities.

EPSRC is the leading Research Council in partnership with MoD Joint Grant Scheme, with negotiations in progress to increase our communication with MoD originally determined during Nanoscience theme.

Defence security also attribute powerfully in our collection of strategic partnerships with industry, in exacting with BAE Systems and QinetiQ.

Emerging affiliation with DFID, construction on worldwide development activity purposeful on Energy. (Study on the Economic Impact of the Research councils 2007)

6.5 Demographic Change:

EPSRC's key interests in demographic alteration are disturbed with ensuring that civilization is clever to increase the challenges that new demographic outline will present, the elderly people in particular. Key areas include:

The Department of Health is collaborated with Healthcare theme of Next Generation, surrounding with in areas like Information Driven Healthcare and Assisted Living, both of them support the cross Council Life Long Health and Wellbeing agenda.

Extensive Quality of Life selection, addressing issues like treatment technology and the comprehensive aim of goods and environments, with well-built appointment with social care agencies both in local Government sector, charity and NHS sectors.

The IMRCs' support for healthcare examination release, with devoted centres determined on the stipulation of communications and on technology appraisal and procurement, operations closely in partnership with NHS stakeholders. (Study on the Economic Impact of the Research councils 2007)

7. Facilities and Infrastructure

7.1 High-End Computing

The stipulation of high-end computing communications are ensured throughout the following performances:

In October 2007 service is commenced known as High-End Computing Terascale (HECToR) which works in collaboration with the sponsoring Research Councils, industry and academic world to make certain good utilization facilities.

The extent and price of stipulation necessary away from HECToR has led to intervention at European-level, by means of methodical case which is previously agreed. EPSRC will spend for technology development activities in the starting 2-year phase due to the funds from the Commission to be matched. (Study on the Economic Impact of the Research councils 2007)

7.2 Other Facilities:

A number of facilities are supported where significant mass and centralisation present more suitable provision than distributed, numerous provision. Continuous investment in the subsequent will make sure that researchers have right of entry to necessary communications in a cost-effective manner:

• Isaac Newton Institute & International Centre for Mathematical Sciences

• Engineering Loan Pool

• Materials science equipment sharing

• Meso-scale facilities

• Capital equipment to support leading-edge research.

International Review of ICT recommendation are followed to preserve the software essential to maintain UK researchers' competitive benefit in the Digital Economy. (Study on the Economic Impact of the Research councils 2007)

7.3 Next-Generation Facility Users:

EPSRC is investing in partnership with STFC, to make sure that greatest importance is obtained from the UK's centrally provided research facilities, which include Diamond Light Source and ISIS Target Station. Funds are provided to support a impartial selection of research with a component of doctoral preparation to develop the next generation of researchers skills by means of these and other facilities.

For HPC outline busines case is developed by means of Architecture Comparison and by a reassess of vendor market positions. In the year 2009/10 the business case will be honed with our not compulsory panels earlier than being that is taken to Council for endorsement after which discussion is done with other Research councils for seeking endorsement from RCUKEG. (Study on the Economic Impact of the Research councils 2007)

8. Similarities between Coca Cola Company and Cancer Research UK:

8.1 Introduction:

Over the years, marketing had difficulties in gaining acceptance in a number of non-profit organizations like Cancer Research UK. One hindrance was the view that marketing really was not necessary (Kotler et al, 1991). Today top companies like Coca Cola recognize the primacy of customer orientation. The customer orientation works back from an appraisal of what customers want to how production and resources can be organized to meet these wants (Doyle, 1998). Most organizations profit and non- profit are not highly customer-centred, even if they want to. But now management has realized that it is the customer who truly determines the long-run success of any strategy that the non-profit organization can join the ranks of the sophisticated customer-centred marketing strategists typically found in the private sector. They begin with the customer and the customer's needs and wants (Kotler et al, 1991).

Despite the differences that exist between for-profit- and non-profit organizations, marketing

Procedures relevant to profit-oriented companies are also applied to non-profit organizations. Target marketing, differentiation, and marketing mix decisions are made (Jobber, 1998). The single most important stage in the strategic marketing planning process is determined by the organization's core marketing strategy (Kotler et al, 1991). All marketing strategy is built on segmentation, targeting and positioning (Kotler, 2003).

Most companies use outside agencies to help implement their marketing communications but managers cannot abdicate their responsibilities for communications. The decisions are too important and too costly for top management not to be involved (Doyle, 1998). Everything about an organization its products, employees, facilities, and actions communicates something (Kotler et al, 1991).

Non-profits are defined legally but it is more crucial to understand the organization's environment and the specific marketing activities that constitute its mission. It is presented that a number of characteristics of non-profit marketing that distinguished it from that conducted by profit-oriented marketing organizations, such as conflicting goals, multiple publics and the subject to public scrutiny (Jobber 1998). What is more important is despite the differences that exist between for-profit- and non-profit organizations, it is agreed that marketing procedures relevant to profit-oriented companies can also be applied to non-profit organizations. The single most important stage in the strategic marketing planning process is determining the organization's core marketing strategy (Kotler et al, 1991).

All marketing strategy is built on segmentation, targeting and positioning. A company discovers different needs and groups in the market place, target those needs and groups that it can satisfy in a superior way, and then positions its offerings so that the target market recognizes the company's distinctive offering and image (Kotler, 2003).

The ultimate objective of marketing is to influence behaviour. Concerning non-profit organizations every contact it has with its publics directly or indirectly is an occasion for influence and the role of communications to influence behaviours by writing: "In the vast majority of non-profit marketing strategies, influencing behaviour is largely a matter of communication. It is a matter of informing the target audiences about the alternatives for action, the positive consequences of choosing a particular one, and motivations for acting (and often continuing to act) in a particular way". (Kotler et al 1991)

8.2 Marketing for non-profit- and public sector organizations:

It is presented that a number of characteristics of non-profit marketing that distinguish it from that conducted by profit-oriented marketing organizations: (Jobber (1998)

• Education v. meeting current needs:

Some non-profit organizations see their role as not only meeting current needs of their customers but also educating them in new ideas and issues, cultural development, and social awareness. These goals may be at conflict with maximizing revenue or audience figures.

• Multiple publics:

Most non-profit organizations serve several groups or publics. There are two broad groups. One of them is a donor, who may be individuals, companies or government bodies. The other one is a client, who includes audiences, patients and beneficiaries. The need is to satisfy both donors and clients, complicating the marketing task.

• Measurement of success and conflicting objectives:

For profit-oriented organizations success is measured ultimately on profitability. For nonprofits organizations measuring success is not so easy. A combination of factors to measure success can lead to conflict and decision-making is therefore complex in non-profit organizations.

• Public scrutiny

While all organizations are subject to public scrutiny, public sector organizations are never far from the public's attention. The reason is that they are publicly funded from taxes. This gives them extra newsworthiness, as all taxpayers are interested in how their money is being spent. They have to be particularly careful that they do not become involved in controversy, which can result in bad publicity.

The starting point for a consideration of strategic marketing in a non-profit organization is a clear perception and understanding of the unique environment in which they operate. It is crucial to understand the organization's environment and the specific marketing activities that constitute its mission (Kotler et al 1991). The major factors affecting the organizations environment are:

(1) Whether it is a donatives' or commercial organization,

(2) Whether its performance are subject to public scrutiny,

(3) Whether marketing is perceived to be undesirable,

(4) Whether the organization is largely volunteer, and

(5) Whether marketing is judged by non-marketing standards.

The missions of non-profit organizations differ depending on the type of demand they seek to influence and the type of activity they are engaged in. The organization's activities can be defined in terms of key concepts of exchange. On the one hand, target customers are asked to "pay" economic costs; sacrifice old ideas, values, and views of the world; sacrifice old patterns of behaviour; or sacrifice time and energy. In return, they can expect products or services, social or psychological benefits or some combination of these.

Despite the difference that exists between for-profit- and non-profit organizations, marketing procedures relevant to profit-oriented companies can also be applied to non-profit organizations. Target marketing, differentiation, and marketing mix decisions need to be made (Jobber, 1998). The single most important stage in the strategic marketing planning process is determining the organization's core marketing strategy (Kotler et al, 1991).

8.3 Customer-orientation:

Today top companies recognize the primacy of customer orientation. The customer orientation works back from an appraisal of what customers want to how production and resources can be organized to meet these wants (Doyle, 1998). "A customer-centred organization is one that makes very effort to sense, serve, and satisfy the needs and wants of its clients and publics within the constraints of its budget" (Kotler et al, 1991). Most organizations are not highly customer-centred.

It has been argued, that marketing can only be successful if it tailors the organization's offering to customer needs and wants. But many professional in non-profit organizations fear that such an approach, taken to the extreme, would goes to "please the masses". They feel that their basic mission will be compromised. Ultimately, we view marketing's role as one of supporting the organizations in achieving its goals. It does this best by devising strategies that start with the customer and not with the organization. But note that marketing is designated as a means to achieve the organization's goal. Marketing is a sub area of management. It is not necessarily at the top of the organization. Clearly and importantly, top management has a responsibility to decide what role it will allocate to marketing. Management must decide which goals marketing can help achieve and how. (Kotler et al 1991)

9. Conclusion:

Most companies will not have a single strategic plan, but they will have a number of integrated strategies set at different levels (Doyle, 1998). Strategic planning is the process of determining objectives (what you want to accomplish), deciding on strategies (how to accomplish objectives), and implementing the tactics (which make the plan come to life.) This process occurs within a specified timeframe (Wells et al 2000). Three major levels of strategy dominate most large organizations: (Hutt et al 2001).

1) Corporate strategy

2) Business-level strategy

3) Functional strategy

It is described that business strategic planning as a three-tiered process. It starts with a business strategic plan, and then it moves on to functional plans such as a marketing plan or a financial plan, and ends with specific plans for the functions. For marketing then, the business might have specific plans for advertising or product development. (Wells et al, 2000). Marketing communications strategy cannot exist in isolation from marketing strategy, which in turn is directly linked to corporate strategy. (Smith et al 1997)