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Organization and Management

Organization and Management

Big budget advertising is a relative new industry. The developed commercial economy that supports advertising on a large scale was only established in most Western countries in the 19th century. The advertiser of that period had little need for agents.

The publisher of magazines and newspapers, however, often found it difficult to sell space in their pages to advertisers and therefore began to commission brokers to go out and sell advertising space. These so-called space brokers were the first advertising agents. Present-day advertising agencies have continued to act as space brokers in that they purchase space and time on behalf of the advertiser
Their commission; however come from the media owners. Invariably, the commission represents a major portion of the income of the modern advertising agency. But the fee method of agency compensation has become increasingly important and is now generally use for such non-commissionable service as research, market analysis and public relations.

Generally, there types of organization are identified in the production of advertisement for the various media. These include;
1. Manufacturer/Advertiser
2. Retailer Advertiser
3. The Advertising Agency

The Manufacturer/Advertiser
Some large manufacturing organizations in addition to production also perform the functions of marketing including sales and advertising. The company may have in-house specialists in various area of copy writing, design an artwork, media planning, placement and monitoring as well as production.
The various function may also be fanned out to hot-shops or the organization may depend entirely or in part on its overseas associates for the production of its advertising needs without resources to an advertising agency in Nigeria.

Retailer Advertising
Small sales outlets, which cannot afford the cost of retaining the service of an advertising agency, usually undertake retailer advertising. But such organizations are not usually fastidious over creativity. Their main concern is to have their messages put across in the various media.
Some retailers engages the services of creative hot-shops for designs but the majority pass whatever message is intended for their audience direct to the media on who they mostly depend for creative input. Some large retailers have advertising personnel who handle their advertising activities.

The Advertising Agency
The advertising agency is a service organization, which brings together professionals in divers disciplines, and channels their expertise principally towards the satisfaction of a client’s marketing and/or corporate goals and aspiration
It is a specialized organization of advertising practitioners, which creatively employs divers strategies, using audio and visual aids to stimulate human instincts and desires in order to elicit in consumer favorable dispositions towards a client’s ideas, goals or services.

In order to achieve its objectives, the advertising agency has to deal with not only its clients but also third parties as media owners, advertising contractors, production outfits, modeling agencies and models. As a corporate citizen that harnesses the activities of professionals recognized by law, it also deals with statutory organization and the public.
An agency is a flexible and people-oriented business whose main resources are people. It follows, therefore, that the effective and efficient harnessing of these resources is the hallmark of professionalism in agency management. The essential personnel of an agency include;

Client Service – Account Managers

Creative – Copywriters, artists, radio and film producers

Media – Media planners and media buyers

Others – print buyers, progress/traffic personnel

Apart from these strictly advertising persons, there are other professionals and sundry experts without whose input the agency would operate at less than optimal level. These include accountants, researchers, messengers, drivers, secretarial hands and other clerical and non-clerical personnel. The successful management of an advertising agency involves efficient coordination of the collective effort of the diverse groups that makes up the organization.

Function of an Advertising Agency
The main function of an advertising agency are to create produce, place and monitor advertisements to ensure that the target consumers receive the desired information and are favorably disposed towards the clients’ ideas, products and services at all times. In this regards the agency is required to;
1. Be familiar with the nature and objectives of the client’s marketing or corporate goals to ensure that the agency’s proposal and ideas satisfy those needs
2. Create and maintain the popularity and acceptance of the idea, product or services in the consumer
3. Improve the image of the idea, products or service in the mind of the consumer
4. Stimulate a desire to try the product by new consumers
5. Build and sustain brand loyalty by placing advertisement in the most effective media
6. Monitor the placement of booked advertisements to ensure that the audience is reached, the client’s confidence in the campaign is maintained and to justify the advertising speed.
Prompt and efficient services are the hallmark of a good agency. The agency must also be creative and keep abreast of changing paradigms in the advertising industry as well as technological innovations to meet the challenges of the time. Above all, the agency must aim at profitability in its operations to ensure corporate survival

Types of Advertising Agencies
Advertising organizations may be classified by size into big, medium, and small agencies. Varying levels of turnover (billings), personnel, facilities, clientele and international affiliations characterize these categories. In recent times in Nigeria, however it has become harder to verify the billing of agencies, just as published newspaper circulation figures have become more and more unreliable data.

This development has come on the heels of corporate confidentiality among the all private (limited liability) companies, occasioned by unhealthy rivalries, which are characterized by account poaching/snatching among agencies in the industry. Consequently, it may be safer or more convenient to classify agencies in Nigeria along the lines of;
1. Big, first generation agencies, which mostly enjoy the patronage of the multinational conglomerates. These usually have foreign agency affiliations and their billings run into hundreds of million Naira
2. Medium-sized outfits of varying ages some of which have made inroads into the multinational companies. Some of these are also affiliated to foreign advertising concerns, which provides them considerably technical assistance and linkages in winning new clients. Their billings run into the N50 million and above segment.
3. The small agencies with not more than 10 employees. These thrive on the patronage of between one and three major clients with other support accounts. Total annual billings of such small outfits do not exceed N50 million
4. Design Groups and Hot-Shops – These are small, usually one man outfits or partnerships, run by copywriter and artists for creating copy, designs and the production of advertisements. Some small agencies “Farm out” their copy or design/artwork needs to these small firms. Sometimes too, they may be briefed directly by small advertisers who do not patronize full-service agencies
5. Media Brokers – These offer expertise in the field of placing advertisements in the media for maximum effectiveness. When required to create advertising, they usually resort to design groups and “hot-shops”

Agency Management
Most authorities agree that management is an art. Generally business management is defined as the art of accomplishing design results through and with the members of the organization. In the view of Filley and House (1969), management is a process, mental and physical, whereby subordinates are brought to execute prescribed formal duties and to accomplish certain given objectives.

Terry in 1964 defined management as a distinct process consisting of planning, organizing, actuating and controlling performed to determine and accomplish the objectives. According to him, the major constitutive factors in management include leadership, planning, staffing and controlling.

Koontz (1959) classifies schools of management according to the principles that such theory emphasizes. Thus, the “Management Process” school emphasizes managers’ functions in getting things done by people who act in groups.

The Empirical School stresses case study to derive experience and principles from the success and failure of others. But the Human Behavioral School focuses on interpersonal relations and on understanding what people expect from work situation and how they operate in groups. The Social System School, however, views management as a co-operative, social system of cultural relationships, which emphasizes communication and personal behavior.

Overall, what is evident is that management has everything to do with people and actions. It involves spectrums of all those who have any authority or jurisdiction over other workers or who participate in executive decision-making, planning and execution, thus distinguishing them from other members of the labor force.

Management may therefore be hierarchically divided into three;
1. Executives at the higher end who chart the course or initiate entrepreneurial risks and set creative directions for an enterprise
2. Middle Managers who creatively rearrange or strategically manipulates the movement of material or relationship of people. They spend time planning organizing and coordinating the work done by those who report to them directly or indirectly
3. Supervisors who oversee detailed procedures and activities. They appraise and report back or merely apply predetermined sanctions.

In equating it with leadership, management can be described as the art of getting the job done through people. The manager is invariably responsible for accomplishing the objectives planned by the company by effectively directing the people, their equipment and material as well as guiding the efficient use of time and procedures.

To achieve lofty objectives, is is mandatory that agency managers develop the ability to deal with people. The manager’s attitude towards persons on the staff of the organization is the key to giving them purpose and guiding them in carrying out their duties.

He must therefore have some understanding of their abilities, their wants, feelings and behavior pattern and be able to communicate with the effectively.

He must posses or at least develop such characteristics of leadership as intelligence, knowledge, judgement, personal integrity, sense of responsibility, positive attitude to work friendliness, enthusiasm, decisiveness, sense of direction and a dose of showmanship.

Organizational Structures and Processes
The duties of a manager are reflected in the administrative structure which consists of both his managerial colleagues and the clusters of personal for who he is responsible on behalf of the company. All these component parts, managers and line staffs, in their various levels of activities, constitute the administrative process, which ensures the smooth running of the organization.

Therefore, it can be safely asserted that process is more important that structure in management. The process gets the job done and achieves the goal pf the enterprise, especially in such a flexible and people-oriented business as advertising. However structure is important to stabilize the organization and to clarify efficient relationships among personnel with various responsibilities for that process.

Although the organizational chart reflects the management structure of relationships among departments and to some extent, among people working in the various departments, it cannot reveal all the complexities of the human relationships in an organization. Besides, there is no such thing as a perfect plan for any organization. This is because no two organizations will operate effectively with the same organizational structure.

Even within individual company’s organizational relationships, there must be room for flexibility in order to emphasize efficient process carried out by human beings under equally flexible conditions. Each organizational structure should therefore, be tailored to facilitate the maximization of goal achievement within the organization.

is abreast of the job situation in every department and hounds all concerned ensure that all jobs are executed on schedule, move on to the next department and are concluded as well as charged out as and when due.

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