Decoupling: A conscious approach to value-adds

Author: James Murray
Broken link between two pieces of heavy gauge steel chain

Decoupling: a conscious approach to value-adds

Uncovering the value and opportunities

The decoupling debate first hit headlines in 2006 as a response to the increasing scrutiny of services by procurement people. Even back in 2007, it was estimated that £1 billion savings were up for grabs in U.K. print alone. In the same year, the Incorporated Society of British Advertisers estimated 40 percent of its members had already decoupled press and production services.

Breaking the marketing supply chain down into its composite parts creates the opportunity to streamline, de-duplicate, and reduce cost.

The benefits of conscious decoupling

Here are some of the main reasons for brands to consciously engage in decoupling and outsource their marketing services:

  • Reduce and control operating costs
  • Improve company focus
  • Gain access to world-class capabilities
  • Free internal resources for other purposes
  • To provide adequate support when internal resources are unavailable
  • Accelerate the benefits of re-engineering and process improvement
  • Managing a function that is difficult or out of control
  • Make capital funds available through the liquidation of assets
  • Share risks
  • Improve cash flow

The end results are solutions that allows brands to gain complete control over costs and KPIs, which as a result allow creative studios and other departments to focus on their core functions.

Despite the complexity of global markets and fragmented media, decoupling is about simplicity.

A clear division of labor. A focus on natural capability. A commitment to excellence. A well formed outcome that fulfills the potential of brands. Organizations are decoupling so that they are better able to win the hearts and minds of their consumers.

To learn more about how HH Global has found the value in decoupling for its global brand partners, click here.