Headquarters and subsidiaries: a love-hate relationship? 5 ways to make it work

Some companies grow through fully integrated models. Others expand step by step, by country, by product line, by customer segment. Along the way, they inherit acquisitions, varied sales models, different distribution networks, and operate with mixed levels of commercial maturity. As a result, they form what we might call an "archipelago model": strong, autonomous teams, deeply rooted in their markets, but rarely aligned on tools, methods, or performance indicators. This structure is common in international or multi-business groups. And it’s not a flaw. It enables agility, local customer intimacy, and market-specific execution. But past a certain scale, fragmentation starts to hinder overall performance. Messaging becomes inconsistent. Tools multiply. Customer experience varies from one region to another. And it becomes difficult to steer results, unify priorities, or launch coordinated marketing plans.

Here are five practical levers to structure an archipelago-style commercial organization without undermining what makes it strong.

Lever 1. Put the customer back at the center

When commercial structures become fragmented, there’s a risk of focusing inward: tool implementation, budget arbitration, internal turf wars. But the customer doesn’t see business units, silos, or internal tensions. What they want is a seamless experience, clear messaging, and a coherent value proposition. Some companies use this customer expectation as a strategic anchor. At EssilorLuxottica, for instance, customer journeys are defined at group level, while local teams are free to choose the best ways to deliver on them.

Marketing and sales functions can play a pivotal role here:

• by defining shared experience standards

• by tracking customer satisfaction through common KPIs

• by building unified activation platforms

The customer becomes the bridge between entities and often the spark for renewed cross-functional energy.

Lever 2. Empower local teams to shape strategy

In archipelago organizations, local and regional commercial leaders often have deep market knowledge. But they’re sometimes limited to execution. Some groups take a different approach. L’Oréal, for example, follows a model of “universalization”: global vision with strong local adaptation. Country leaders contribute to commercial strategy, influence global marketing plans, and lead activation in their regions.

To make this work, local teams need:

• clear visibility into group-wide goals

• room to adapt based on their market realities

• regular forums for sharing and coordination across geographies

Commercial strategy shouldn’t be imposed from the top. It must be co-created with the people who will make it real.

Lever 3. Share what works, don’t just standardize

In multi-country or multi-business groups, pockets of commercial excellence often exist but remain isolated. A sharp segmentation approach in one market, an innovative sales method, a successful campaign may never make it beyond its local context.

The goal isn’t uniformity. It’s creating conditions for good practices to travel:

• short, digestible sharing formats

• cross-market feedback sessions

• a reference library of reusable tactics

This is what we might call structured bottom-up flow: recognizing what works and letting others adopt it voluntarily. What people choose to use spreads faster and sticks better than what they are told to adopt.

Lever 4. Build real sales and marketing communities

In dispersed organizations, formal coordination alone isn’t enough. Commercial and marketing teams benefit from being organized as peer communities, horizontal networks that:

• foster connection

• share tools

• create a common language across the group

  
  

Michelin, for example, relies on professional communities to strengthen consistency without enforcing rigidity. In many organizations, it’s these informal networks, not the org chart, that keep knowledge and messaging flowing.

Structured as networks, sales and marketing teams become engines of long-term coherence.

Lever 5. Design tools for autonomy, not control

In a fragmented structure, forcing a single CRM or marketing platform often creates friction. Markets vary in sales cycles, customer profiles, and operational needs.

The alternative is a modular system:

• a shared data backbone (core KPIs, customer tracking)

• customizable modules tailored to local contexts (interfaces, sales flows, localized automation)

The goal is not to standardize how people sell but to make performance visible and actionable. In this way, digital becomes a tool for convergence without rigidity.

Conclusion

An archipelago-style commercial organization is not a weakness. It reflects history, logic, and a successful adaptation to local markets. To unlock its full potential, companies must align without flattening, and structure without silencing local strengths.

Sales and marketing functions play a key role here:

• They stay closest to the customer

• They control messaging, data, and channels

• They can create links where the organization remains fragmented

  
  

Refocus on the customer. Lean on local teams. Make best practices visible. Connect people. Simplify systems. That’s where lasting commercial performance takes root and grows.