Savvy marketers are serious about their planning and budgeting cycle – even if it gives them pains just to think about it. Marketing is in the midst of a wonderful transformation and capable of acting like a business by being accountable for driving revenue and growth. Helping this business-orientation is the emerging MO leader. This requires a fresh and dynamic new approach to planning and budgeting. We call it SPB&M or MO-led Strategic Planning, Budgeting and Management.
Strategic Resource Allocation and Budgeting
The 5-Step Model for Marketing Operations Led SPB&M Process
Strategic Planning, Budgeting and Management (SPB&M) is an emerging discipline managed by the marketing operations leader that results in a responsive and actionable marketing plan and budget aligned to company and functional goals and KPIs. It takes the planning and budgeting process in marketing from a series of confusing, siloed and disjointed activities at a single point in time to a continuous process that is defined, managed and aligned through-out the company.
Creating the pro forma is one of the most tenuous steps in SPB&M. Putting real money at stake really tests the collaborative bonds built during the first step – “Facilitate Alignment”. So, at TPG, we’ve created a comprehensive methodology that combats the politics and competitiveness that occurs with each budgeting cycle. We’ve found that most organizations, perhaps even your own, follow a predicable path when determining their budget. They start with the current year budget and then adjust that total amount up or down by a nominal percentage for the coming year. While common, it’s an approach that shortchanges this quintessential function of leadership.
Unsurprisingly, there’s a better way to construct your pro forma.
Partner with us to bring our multifaceted approach to pro forma creation – The Four Pro Forma Pillars – to your organization. Because nothing as important as determining which capabilities to fund should rely solely on a single perspective. Also, having an outside perspective enriches the decision, increases buy-in and defensibility, and helps alleviate the negative feelings from marketers who feel they’re losing budget. The four pillars are: Strategic Alignment, Benchmarks, Comparative Performance, and Redundant Spend.
Want to learn more about our industry-defining methodology? Read the Marketing Operations Leader’s Guide to Strategic Planning, Budgeting, and Management (SPB&M) and contact us.
Marketing Operations Leader Guide to Strategic Planning, Budgeting & Management (SPB&M)
The emerging Marketing Operations leader is operationalizing marketing’s role as a digitally responsive growth driver and it requires a fresh and dynamic new approach to planning and budgeting. In this white paper on Strategic Planning, Budgeting and Management (SPB&M), you will learn
- Details on the role of the MO leader in driving the process
- Best practice examples from MO leaders
- A 5-step model for how to operationalize the process
- Tools and barriers
- Next steps for getting started