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The 4th Annual South East Asian International Seminar (ASAIS) 2015

Design Strategy and its Interface with Manufacturing and Marketing: A Conceptual
Framework Comment [ABU AHMAD1]: In
general, the work is interesting, but the
English should be improved and don’t write
Ali Masjono1 long sentence. Please make it concise and
simple. The article format does not meet the
Accounting Department common format of scientific writing.
Jln Prof Dr. GA. Siwabessy. Komplek Kampus UI 16425
email : amasjono@gmail.com.

Abstract

This article discusses a concept interfacing between marketing and manufacture using a literature study, in this
study there was no hypothesis proven, but the result prepares an alternative hypothesis for another researcher to Comment [ABU AHMAD2]: This
develop further, and this article produces a Conceptual Framework. The problem focuses on the study of the statement incline the quality of paper.
interface between marketing with manufacturing associated with the performance of both. The aim of this study is Comment [ABU AHMAD3]: This
to identify what types of interfaces that exist and whether the interfaces can improve the performance of both. The sentence is too long, Please make it
result identify six interfaces which are used as the main interface between the manufacturing and marketing, the shorthen..
interfaces are contract, interpersonal communication, promotion, ERP (Enterprise Resource Planning) and conflict. Comment [ABU AHMAD4]: Better to
It is strongly recommended to explore ERP as the main interface of marketing and manufacture to improve their combine them, because both sentences are
performance. similar.
Comment [ABU AHMAD5]: Where is
Key Word: Interface, Manufacture, Marketing, Contract, Interpersonal Communication, promotion ERP and the significant result??
conflict.

INTRODUCTION
Manufacturing and marketing are two opposite entities, these entities have their own vision and
mission operations, however in an enterprise these entities can not be separated from one another.
Implementation of these entities have the same target; customers. Manufacture wants goods
produced bought by customer, while marketing wants to sell products of manufacturing to the
customer. A good combination between the two will have an impact on customer satisfaction.

In some cases, the enteprise strictly separates manufacturing with marketing, but there is a bond
between these two entities, the bound is ownership issues. The owner owns both manufacture and
marketing, so these two different business entities operate by one possession. This situation is very
favorable for the owner of a business entity.

Referring to the paragraph above, it appears that the ownership of enterprises is a key element of a Comment [ABU AHMAD6]: It is
unnecessary word. The paragraph is very
successful marketing strategy, the owner acts as main controller of both entities and this situation short with only one sentence, please
positioning customers as a target that does not have much choice in selecting products. combine with the previous paragraph.

Owner

Manufacture Marketing

Figure 1 Manufacture dan marketing without Interface Comment [ABU AHMAD7]: What is
the benefit of this figure? This figure was
not mentioned in the text. The figure should
Sometimes, when marketing entities outside the ownership of manufacturing and both entities explain something and be mentioned in tect.
associated with long-term engagement. Here, the role of marketing rather freely because marketing
can market similar products from different manufacturers and consumers are in a strategic position
due to benefit from the many choices, and increase customer satisfaction due to many options
available. Owner Owner

Interface
Manufacture Marketing

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The 4th Annual South East Asian International Seminar (ASAIS) 2015
Comment [ABU AHMAD8]: Idem for this
Figure 2: Manufacture and Marketing with Interface figure.

Based on the explanation above, this paper focuses on discussion of the strategic design and Comment [ABU AHMAD9]: It is redundant
word.
interfaces between manufacturing and marketing; a conceptual framework.
Comment [ABU AHMAD10]: The paragraph is
too short, please add the benefit of the work related
to the aaplication, etc.
TEORI
A concept that focuses on manufacturing performance was introduced by Bozarth (1993) and Comment [ABU AHMAD11]: Theory not Teori

described three types of focuses in manufacture relationship and competitive factors that affect Comment [ABU AHMAD12]: Passive or active
verb? It is confused.
manufacturing companies’ performance. The first focus is on manufacturing characteristics, second
focusing on the requirements (demand) market and the third focus on conformance and
manufacturing markets. This concept is illustrated how the three-dimensional focus can affect the
performance of the manufacturing. From the model, there are three hypotheses; the first high
internal consistency between manufacturing characteristics will have an impact on the performance
of individual posistip in manufacturing companies. Both internal consistency requirements
(demand) marketing tends to increase manufacturing characteristics, thirdly, the high suitability of
marketing-manufacturing will positively influence to the overall manufacturing performance.

The company's performance has also been investigated by the New, CC; Szwejczewski, M (1995),
which produces first draft (initial research) focus on manufacturing to make for a stock or to make-
to-order. A concept (Early Supplier Involvement (ESI) to involve suppliers early raised by
Dowlatshahi, S (1998). This concept ekplores ESI-based product development practices. ESI
concept consists of four building blocks that are design, procurement, supplier and manufacturing,
where each block has a unique role in the ESI.

The above ideas appear that each has a concept to achieve manufacturing performance, the concept
Bozarth (1993) focuses on the three main focus in achieving manufacturing performance, while the
New, CC; Szwejczewski, M (1995) focus on the manufacture and the last two Dowlatshahi, S
(1998) involving the suppliers. The Last concept involved a supplier in performance measurement,
where one of the hypotheses was that the high suitability of marketing-manufacturing will be a
positive influence to the overall manufacturing performance.

Studies conducted by Norburn, Dunn, Birley and Box (1995) on the quality of inter-functional
relationships between marketing and production function (manufacture) produces a company with Comment [ABU AHMAD13]: Does a study can
produce something?
a clear focus on marketing and have a customers orientation approach clearly shows the level of
small conflict and the level of cooperation marketing and manufacturing are high.

From the paragraph above, a phenomenon that appears that there is no distinct line between
marketing as with manufacturing as a form of ownership. The phenomenon that occurs today is
strict separation between manufacturing and marketing. This phenomenon is seen that many
emerging new model of retailer, such as Indomart, Seven Eleven, Alfamart which acts as marketing
and theya are clearly separated with manufacturing. This phenomenon has brought many changes in Comment [ABU AHMAD14]: It should be they.
the concept of direct selling.

Gaps identified from the literatures review above that there are no clearly seperation of the two Comment [ABU AHMAD15]: Better to delete
entities, manufacture anda marketing is under one ownership control, but the fenomenon shows that it.

marketing and manufakatur are two different entities and they are seperated by the the ownership Comment [ABU AHMAD16]: separation
status. Comment [ABU AHMAD17]: It is too long
sentence, and confused.

BUSINESS FENOMENON
Business phenomenon that occurs is the emerging minimarket. On one hand, the proliferation of
minimarket indicates modernization, but on the other hand there has been a destruction of the
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The 4th Annual South East Asian International Seminar (ASAIS) 2015
existing retail business (traditional grocery shop). It causes include minimarket have legal certainty
and the good performance between marketing and manufacturing, while on the other hand Comment [ABU AHMAD18]: Choose
one, while or other hand.
traditional grocery shop has no legal certainty and weak to compete and do not have a direct
relation to the manufacture.

Another phenomenon is a business unit in producing products much dependent on an order from
manufature, if manufacture stops ordering, the business unit will die, because it is so dependent.

So there are two powerful phenomenas identified, the first phenomenon mutual business dependent
and mutually independent. Both are in a different position, very dependent but also very
independent.

RESEARCH PROBLEMS
Focuses on this study examines interfaces between marketing and manufacturing associated with
the performance of both. Gap were identified from the literatures (researh gap) is there is no a Comment [ABU AHMAD19]: Researc
h? Please use autocorrection provided by
concept (a research) yet that identifies an interface between marketing and manufacturing where MSword.
both are different entities (ownership), both in terms of legal status and ownership status. So the Comment [ABU AHMAD20]: Two
focus of this study is to identify what types of interfaces that exist and what the interface can “is”?????
improve the performance of both.

I1

I2

I3
Perfomance Manufacture Marketing performance

I4

I5

I-n

I= interface 1-n
Figure 3: the problem concept

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RESEARCH QUESTIONS
Questions that arise are how many types of interfaces that exist between marketing and
manufacturing, whether the interface can improve marketing performance and manufacturing Comment [ABU AHMAD21]: Confused. Many
“that” words are used.
performance. All interfaces will be identified and correlated to the level of the concept, which will
offer an optinal research.

RESEARCH OBJECTIVES
The purpose of this review is to identify types of interfaces that exist between marketing and Comment [ABU AHMAD22]: This is review
article or research article?
manufacturing, to identify whether the interface can improve performance of marketing and
manufacturing by providing alternatives hypotheses to be proven, and identify correlation between
the manufacture anda marketing.

RESEARCH BENEFITS
The benefits of this study are to provide a clear concept of the interface between marketing and
manufacturing, and to provide a variety of advanced research alternatives that can be implemented
by various parties. Comment [ABU AHMAD23]: These items
should be described in Introduction, the use of
subsection isn’t needed.
RESEARCH METHODOLOGY

Library research focused on various researches that have been done by other researchers. This Comment [ABU AHMAD24]: What??
method will examine various interfaces that are never investigated well as the models their Comment [ABU AHMAD25]: Use conducted
not done.
produced. This Methos also reviewing experienced from the perspective of those involved; human
interaction in manufacture, human interaction in marketing. Efforts to understand whether human Comment [ABU AHMAD26]: Confused.

interaction can enhance the performance of marketing and manufkatur. Method for analysing are Comment [ABU AHMAD27]: Method?
contrasting, equalizing, and exploring a gap from various studies. Pros and cons of the various Comment [ABU AHMAD28]: Where is the
verb?
studies will be compared to determine that there is a gap between the researches. (Bogdan, Biklen,
1998).

ANALYSIS AND DISCUSSION

Of the various interfaces which are identified in the literature review, there are five interfaces which Comment [ABU AHMAD29]: ??
used as the main interface between the manufacturing and marketing; the identified interfaces are
Strategic Policy, contract, interpersonal-communication, promotion, ERP (Enterprise Resource
Planning) and conflict. It was identified that most researchers used their interfaces where
manufacture and marketing in one ownership, this study identifies that chosen interfaces have never
been used for measuring the marketing performance in term of separate ownership of marketing and
manufacture.

The strategic policy of each company can be used as a foundation for strategic decisions related to
performance marketing and manufacture. Each company has a strategic policy of each, so that the
necessary interfaces contract, promotion, interpersonal communication, conflict and ERP so that
each company's policy can be synergy

The contract is the most widely used interface to closer-to two different entities under different legal
status and its vision and mission. In practice most contracts are easy to implement and has a definite
legal force. When the contract is implemented, sometimes necessary revisions to adjust both parties
are desired. Even the other interface will be used if the interface contract has been passed or signed.

Interpersonal communication becomes an interface between manufacturing and marketing. This


interface is the core of human resource involvement of both entities to encourage achievement of
the performance of each.

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The 4th Annual South East Asian International Seminar (ASAIS) 2015
Both; marketing and manufacture need promotion to improve their performance. For certain
situations, promotion spearhead to remind customers to keep customer aware of products. Entities
manufacturing require promotion to marketing entities to keep reminding the entities marketing.
Keep in mind, these research entities manufacturing and marketing entities are two different legal
status and ownership.

ERP becomes interface due to the situation today's technological advances, the technology can
replace the role of interpersonal communication. The role of computer networking system has
shortened the distance between entities manufacturing and marketing and has expanded its
marketing network.

Conflicts used as an interface because conflict holds potential problem that can rise unexpectedly,
so it should be anticipated by both entities. Sometimes conflict can improve performance if
anticipated due to a conflict in dealing with good and look for a solution that could benefit both
entities.

CONCEPTUAL FRAMEWORK

Figure 4: Manufacture-marketing interface; conceptual Framework


Figure 4 illustrates the concept of framework interfaces between manufacturing and marketing, Six Comment [ABU AHMAD30]: The text
related to the figure should be positioned
entities associated with the interface Strategic Policy, contract, interpersonal communication, before the figure.
promotion, Conflict and ERP.

Strategic Policy
Strategic policy becames a determinant of the success of the two parties so that the specified
interface can not be separated from the strategic policy. The performance of each entity are closely

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The 4th Annual South East Asian International Seminar (ASAIS) 2015
linked to the role of each interface has been determined. Strategic policy influence is illustrated in
figure 5 below. Comment [ABU AHMAD31]: Delete this.

Figure 5: Strategic Policy Manufacture-Marketing Interface; Conceptual Framework,


From figure 5 shows that a hypothesis can be drawn is a strategic policy of each influaces
performance marketing and manufacturing. This research has not yet to prove this hypothesis, so Comment [ABU AHMAD32]: Yet is a verb??
needs further research. Comment [ABU AHMAD33]: Combine it with
the previous paragraph.

Contract
The concept of a contract interface spawned a hypothesis which can be verified by further studies.
The hypothesis is "Contract will affect the performance of manufacturing and marketing"

Figure 6: Contrac Manufacture-Marketing Interface;Conceptual Framework


Interpersonal Communication

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The 4th Annual South East Asian International Seminar (ASAIS) 2015
The interaction between marketing and manufacturing can occur due to human intervention
occurred between them and interpersonal communication to enhance the performance of each. At
the interface of strategic policy and contract occurs interpersonal communication. Then the
hypothesis can be drawn with this interface is interpersonal communication will affect the
performance of manufacturing and marketing.

Figure 7: Interpersonal Communication Manufacture-Marketing Interface;Conceptual Framework

Promotion
Directly or indirectly, the promotion will be the backbone of both activities. Marketing and
manufacturing will highly depend on the customer, and then this interface is important to know
whether this interface can represent the complexity between manufkatur and marketing. The
hypothesis that can be drawn from this interface is the promotion will affect the performance
marketing and manufacturing.

The question that arises in this context is the extent to which each promotion will improve
performance, the extent to which performance together will enhance the performance of each. Here
the role of strategic policy will be very strong in improving the performance of both. The
hypothesis that cans be drwan by linking policy and promotion strategy is "the promotion of a
strategic policy of both parties will improve the performance of each."

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The 4th Annual South East Asian International Seminar (ASAIS) 2015

Figure 8: Promosi Manufacture-Marketing Interface;Conceptual Framework

Conflict
Conflict management is needed to overcome the problems that arise after the interaction between
marketing and manufacturing. In many cases, conflicts occur due to inequality interpretation of
both. Strategic policy role will be crucial in mediating the conflict.
The hypothesis that can be drawn from this interface is the interface conflict will affect the
performance of manufacturing and marketing.

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The 4th Annual South East Asian International Seminar (ASAIS) 2015

Figure 9:Konflik Manufacture-Marketing Interface; Conceptual Framework,


ERP (Enterprise Resource Planning) for the current situation over the various interfaces can be
integrated with ERP. By using ERP, all entities in an organization integrates together in a single
ERP interface. If two different organizations have ERP, respectively, the technology can be
integrated with an interface in which the two are closely linked and highly dependent on achieving
the performance of each.

Manufacturing and marketing of two different organizations will be integrated with ERP interface
easily; links will both support each other and connected to each other in realtime.
The hypothesis that can be drawn from this interface is the ERP will improve the performance
marketing and manufacturing

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The 4th Annual South East Asian International Seminar (ASAIS) 2015

Figure 10 ERP Manufacture-Marketing Interface: Conceptual Framework


CONCLUSION
From the various analyzes in previous paragraphs there are several interfaces and each interface has Comment [ABU AHMAD34]: This word is verb
not noun, while you should put noun here.
a hypothesis, respectively. The interfaces are the Strategic Policy, Contract, Interpesonal
Comment [ABU AHMAD35]: Don’t use
Communications, Promotion, ERP and Conflict, which is the strategic policy, became the main pervious, above, etc..paragraph. Directly describe
interface to another interface. the important finding of your results.

Some proposed hypotheses are Comment [ABU AHMAD36]: Hypotheses is


placed after the conclusion??
 Strategic policy influences marketing and manufacture performance
 Contract incluences marketing and manufacture performance
 Interpersonal communication influences marketing and manufacture performance
 Promotion incluences marketing and manufacture performance
 Conflict influences marketing and manufacture performance
 ERP Influencess marketing and manufacture performance

FURTHER RESEARCH
It is strongly recommended for researcher to study further the relationship between manufacturing
and marketing with ERP interface. Current situation and the support of excellent technology, then
this interface will be the primary interface because of the ease and high accuracy as well as the
automation of various functions in marketing and manufacturing.

BIBLIOGRAPHY Comment [ABU AHMAD37]: Read the


template, as some references are contrast to the
guideline, such as the name of journal is in italic
[1]. Anderson, James P. (1979), “The Marketing/Finance Interface,” in Educators Conference format?
Proceedings, Neil Beckwith e t a l . , eds. Chicago; American marketing Association, 325-
29.

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The 4th Annual South East Asian International Seminar (ASAIS) 2015
[2]. Baljit K. Sidhu & John H. Roberts (2008).” The marketing accounting interface – lessons
and limitations”. Journal of Marketing Management. Volume 24, Issue 7-8, pages 669-686.
[3]. Bogdan, Robert C. Dan Biklen, Knopp S. 1998. Qualitative Research In Education: An
Introduction To Theory And Methods. Boston: Allyn And Bacon, Inc.
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[5]. Dowlatshahi, S (1998).” Implementing early supplier involvement: a conceptual framework”
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[6]. Donald D. Hoffman (2009). “Object Categorization”; “Human Vison Perspektive, The
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[11]. Investopedia. (2015). “Just In Time. JIT”
http://www.investopedia.com/terms/j/jit.asp
[12]. Lusch, Robert F. (1979), “Th e Marketing/Accounting Interface,” in Educators
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[13]. Rho, Boo-Ho, Yong-Seok Hahm and Yung-Mok Yu (1994), “ Improving Interface
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[15]. Zou, Shaoming, Myers, Matthew B. (1999) “The R & D, Manufacturing, and
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Marketing
Vol. 12, Iss. 3, 1999 http://www.investopedia.com/terms/c/contract-
theory.asp#ixzz3WFZT7pjI

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