Integrating Marketing and Operations Functions for Growth
The Business Challenge
Horizon Retail Marketing Solutions Limited is a retail design and brand communications agency that designs and manufactures innovative bespoke retail displays for world class brands and retailers (e.g. Currys, TomTom, etc.). Horizon has been a successful and profitable business for 12 years and has invested heavily in equipment and facilities. However, growth has been limited and the business has stagnated. The business faces a challenge spanning operations and marketing.
Operational challenges include limited economies of scale, competition from larger firms in digital marketing and omni-channel retailing and tight profit margins. The company do not have in-house expertise, skills and knowledge to introduce process standardisation and business process improvements to consolidate and deliver increased capacity for growth.
Marketing challenges include improving optimising demand management, strengthening key account management and capitalizing on the growing trend of omni-channel retailing. Recognising the changing retail landscape accelerated by COVID-19 the company needed to analyse competitors, understand customer trends, and adjust marketing.
Horizon joined Aston University in a Knowledge Transfer Partnership (KTP) to improve productivity, operational efficiency and market share.
Action Research and Systems Thinking
Action research, systems thinking and the Process Oriented Holonic (PrOH) Modelling Methodology was used to involve employees across departments, to map out existing processes, identify pain points, and co-create solutions.
The project unfolded in three action research cycles spanning product design, manufacturing, and sales/marketing. In each cycle, the team defined goals, collected data on key performance indicators, analysed current processes, implemented changes, and reviewed outcomes using the PrOH Modelling Methodology. This iterative approach enabled continuous improvement across critical business functions.
The participative nature of the action research aligned people with the firm’s strategic objectives. Employees were engaged through a process of consultation and training which improved their skills and the appreciation for building process improvement capabilities. PrOH Model storyboarding workshops revealed the cross-functional nature of challenges showcasing systemic success factors with potential to improve workflows and shared understanding of goals such as increasing capacity and faster order fulfilment.
Due to this being a very recent project and the PrOH Model containing confidential information the PrOH Models create cannot be shown here.
Benefits
Tangible outcomes included new visual management systems, standard operating procedures manuals, organisation charts, and a production schedule board. These helped visualise interconnections, facilitate communication, standardise routines, and track progress through revised control mechanisms, improved safety, space and resource management.
Horizon believes that the systems perspective offered by PrOH Modelling Methodology was crucial for getting employee buy-in and sustaining change. Intangible outcomes included enhanced coordination between departments, buy-in for implementing process improvements, enhanced understanding of safety, wastage and sustainability in day-to-day manufacturing operations. The firm went on to register growth in revenues and acquisition of new clients.
