Marketing and finance: the perfect balance
Although at first glance they may be areas alien to each other, the reality is that both can build a great work team if you learn to distinguish their differences and understand how one can benefit from the other. Since, even when marketing and finance have different approaches, there is a balance point that allows them to carry out their close collaboration.
To reach it, it is first important to be clear that the marketing area always focuses on communication with the outside, as are the clients, while, on the contrary, finances focus on those issues related to the internal, for means of which it is sought that the business is always productive and profitable.
However, today more and more companies seek to optimize their resources in every one of their areas, these two included, which translates into planning and correctly deciding how, when and where resources are used. But where does the marketing area get its resources from? Indeed! He obtains it from that department in charge of the company’s finances. Do you see how they are not so indifferent to each other?
This essential part of the mechanism of operating in silos. Marketing and Finance as independent units or departments are common, however, the modern organizational model that breaks with the pyramid structures of organizations means that more departments that it would seem should be separated should be closer to each other. Above all, finance should be a department with a great general approach to any area within the company to ensure adequate funding and financial management of the resources of each area.
Participation and communication between the areas
Taking the above into account, it is important to be clear about how far the participation of each of these areas reaches and how communication is key so that both collaborate closely.
Decision-making is a clear example of this. Although the finance team is in charge of defining how feasible it is to invest, how much and what would generate greater productivity for the business, it is essential to consider the participation of the marketing area in decision-making, since it can provide relevant information around to predictions before the launch of a product or service, or to communicate whether or not the contemplated budget is sufficient to meet the previously established goals or objectives.
How is the finance department going to determine the appropriate resources without first knowing the scope of the marketing objectives? Marketing is responsible and must be able to transmit with a strategic and tactical plan the necessary resources to be able to achieve the objectives set. This is not possible without a grounded plan that details each of the activities, so finances can have a backing for the investment ensuring that each amount invested has a real return on investment because it will be given an appropriate use with a purpose around the objectives.
Finally, each area must take responsibility for knowing and communicating its processes to speed up correct decision-making. Considering this allows us to assume the implications of each decision, meet the objectives, and generate a greater and better impact to increase the profitability of the business.