Literature reveals that the influence of Marketing on firm performance, especially on the bottom line, has been extensively explored, mainly from a resource-based view (RBV) perspective (Hooley et al. 2005; Fine 2009; Nath, Nachiappan & Ramanathan 2010). It seems natural to estimate that Marketing (no matter its forms: Market Research, Marketing mix etc.), as long as it generates sales, impacts in a positive manner the bottom line.
In late 1960s, Ford was facing increasing competition from domestic carmakers and Japanese imports.
Mandate
In June 1967 Ford started planning a new model that would outdo the competition. Lee Iaccoca, Vice-President and head of production at the time championed the project that was meant to deliver what was nicknamed “Lee’s car”. lee formulated a set of performance indicators with specific targets to define the parameters of the new product: “The Pinto was not to weigh an ounce over 2,000 pounds and not cost a cent over $2,000” (Dowie, 1977).
As in all human communication, content and format go hand in hand to deliver a communication message. The content of performance reports only partially addresses communication requirements.
Performance measurement and reporting for control is not the sole purpose of tracking results against targets. One of its very important dimensions is that of enhancing accountability towards stakeholders; in private-owned organizations, reporting is directed mostly to shareholders and managers, whereas in governmental institutions, communication is directed towards the entire community served.