Functional top management teams and marketing organization: exploring strategic decision-making

Abstract

ABSTRACT Marketers play an integral part in the strategic planning process of a firm, both concerning the role of marketing in the strategic discourse, as well as the marketers’ interaction between various levels of hierarchy within an organization. The top management team (TMT) formulates strategic decision and influences the implementation of tactical approaches. Organizations often also mirror their TMT. Organizational strategy plays a critical role in the marketing capability of an organization, as activities are decided based on strategy and organizational goals. A TMT needs to be structurally composed in such a way that the firm is functionally positioned to respond and adapt to challenges in the marketplace continuously. With this in mind, the paper develops a conceptual representation of the interface between marketing organization, strategic decision-making, functional TMTs, and organizational structure. We conceptually assess the impact of functional TMT composition on marketing organization and corporate-level strategy alignment. Our research question focuses on how functional TMT composition and decision-making impacts marketing organization and overall market orientation. At the crossroads between strategic organizational decision-making and leadership, the upper echelon theory and contingency theory serves as the theoretical foundations from which conceptual propositions are developed in the context of marketing organization and market orientation.