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Let's Put A Lid On Silo Thinking

David Aaker, vice chairman of the strategy consulting firm Prophet and the author of Spanning Silos: The New CMO Imperative, tells Edward H. Baker that marketers must learn to appeal to consumers whose interests transcend individual products and regions.

CMOs must "become more strategic, more connected to overall business strategy, as opposed to being tactical, the guy who merely generates sales leads or creates advertising or builds Web sites," he says. "As soon as you become strategic, you can start tearing down silos." Silos breed inefficiency, waste, and brands with unclear identities -- qualities that are particularly anathema as the global economic downturn deepens.

The most important activity of the CMO is to boost communication and cooperation, Aaker says. In order to move to a central marketing organization from a silo-driven operation, you've got to start rewarding communication, cooperation, team building, and team solutions, he maintains. Don't eliminate the silos entirely, though, which may breed rebellion. Make them work for you by turning them into a source of ideas and a testing lab for the best ideas.

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