As many of you many know, each year the renowned executive search firm, SpencerStuart studies the tenure of CMO’s. In the most recent published study the average tenure has improved and climbed to a whopping 26.3 months. This past week, I am pleased to report that I am now officially, above average. While many would debate this point with me, I am limiting my self-assessment to the math of my tenure.
In this posting, I’d like to discuss two items; what causes the short tenure and what can be done about it.
Let’s look at the causes first. I think that there are several factors that contribute to this ugly statistic. Many companies bring in a new CEO and often one of the many fashionable commitments that he or she will make to the board is that he or she will “build the brand”. It’s a noble goal, but it takes time, money, and a long term commitment to see results. Also, as the economy and competitors shift, CEO’s are often under pressure to grow the bottom line. Since marketing is viewed as an expense by accounting and not as an investment similar to R&D. These two elements conspire to create short-term thinking and quick exits for many CMO’s.
What can we do about it? CMO’s that survive have to do 3 things to survive.
- Be integral – Find the areas where marketing can become inextricably linked with the operation and the needs of the business. If you’re providing a valuable service to a receptive audience, it’s much harder to be marginalized in tough times.
- Be flexible – When we arrive, every CMO has a 100-day plan. That plan and all others after it must respond to the business needs and shifting of the competitive and economic landscape.
- Play well with the other kids in the sandbox – In the end, all business is personal and being trusted will help you connectivity to the areas of the business that need you service and it will get someone to go to bat for you when the tough decisions are being made.
So, as an officially “above average” CMO, I’d like to hear other TMCA members’ thoughts as to what drives the early exits and what else we can do about it.
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