PBL 1

         Storytelling and corporate communication is the first topic discussed. We were shown the corporate video of Google company to obtain further insight into the concept of storytelling.  

After quite productive discussion we indicated the problem and came up with three learning objectives.

Problem: What is effective corporate communication?

LO:      1. How to communicate with stakeholders?
            2. How to structure a message?
            3. What is the goal of corporate communication?



1. How to communicate with stakeholders?

Corporate communication is a management function that offers a framework for effective coordination of all internal and external communication with the overall purpose of establishing and maintaining favorable reputations with stakeholder groups upon which the organization is dependent. (J.Cornelissen, Corporate Communication)

The future of any company depends on how it is viewed by key stakeholders. Influence of crises – how the company managed to keep its positions, revenues, etc. Reputation of the company.

Stakeholders: shareholders, investors, customers and consumers, employees, and members of the community in which the company operates.

Types of stakeholders are presented in stakeholder model below and categorised  then into contractual stakeholders and community stakeholders. Contractual stakeholders are those groups that have some form of legal relationship with the organization for the exchange of goods and services. Community stakeholders involve those groups whose relationship with the organization is non-contractual and more diffuse, although their relationship is nontheless real in terms of its impact.

Different stakeholders are provided with the type of information about the company’s operations in which they have an interest. Financial investors and shareholders, for instance, will need to be provided with the financial information concerning the organization’s strategy and operations (through annual reports, shareholder meetings), while customers and prospects need to be supplied with information about products and services (through advertising, sales promotion, in-store communication). It’s important that an organization provides each stakeholder group with specific information and builds a strong reputation across exchanges with all of these stakeholders.

First step: identifying and analyzing the organization’s stakeholders. Two models: stakeholder salience model and the power-interest matrix. They identify the importance of stakeholders to the organization, classify and prioritize. The more salient or prominent stakeholders have priority and therefore need to be actively communicated with.

British American Tobacco is an example of a company that has engaged with stakeholders on the whole range of social and environmental issues within its supply chain and in the marketing of its products. 

Channels of communication with stakeholders.

Resource:

Cornelisse J. 2011. 3^rd ed. Corporate Communication. A guide to theory and practice.

2. How to structure a corporate message?

The corporate messaging strategy is how the leadership of the company talks to all people. The message itself should be consistent and transparent and should be a tool that is used to build trust and develop relationships with customers, clients, employees, etc. Creating a corporate messaging strategy that will be effective in building these relationships can be accomplished via market research. (Forzen Fire, 2014. URL: http://frozenfire.com/what-is-a-corporate-messaging-strategy/)

Companies use corporate messaging hand in hand with public relations to develop and maintain company branding. Without a central corporate message, investors and consumers might wonder what the goals and motivation of the company are. Small businesses use the same corporate messaging techniques to solidify their position in their market and inform the community in which they operate.

Central Message

One of the key components of corporate messaging is the actual message the company intends to convey to the public, its shareholders and employees. The message varies depending on the type of company and product sold. For example, the corporate message of a large retail store might be to have "the lowest prices for customers while producing quality products in an environmentally conscious way." The central corporate message typically is created at the executive level in company management.

Strategy

Corporate messaging involves the strategy public relations employees and other company spokesmen use to get the message out to the public. The strategy might include updates on a company social media page, television commercials, print advertisements, press statements or a combination of all of these.

Communication

Internal company communication is essential to effective corporate messaging because it ensures that everyone working for the corporation understands the central message of the company.

Damage Control

Damage control is a part of corporate messaging used when the company fails to satisfy its central message for one reason or another.


Resource:
Chron website. 2014. What comprises corporate messaging? URL: http://smallbusiness.chron.com/comprises-corporate-messaging-26226.html




Before creating a corporate message one should consider the following questions:
• Who are you and what is your story?
• What are you selling?
• Who are you selling it to?
• Why should they care?
• Who is your competition?
• How do they communicate about their product or services?
• What differentiates you from your competition?

The message  is communicated to your target audience, the people who are going to purchase your product or service via many different avenues. They include your company name, your tagline, website, verbally in person, advertising and signage – to mention just a few. Once you have defined who your audience is, create a user profile of them. Are they male or female, age, sexual preference, nationality, income bracket, education, what do they do in their spare time, what do they wear, what vehicle do they drive, are they married, have kids or have pets. The best way to understand your target audience is to talk with them. Find out what type of language (verbal and pictorial) communicates effectively to them.

As we live in a fast paced society you only have a few seconds to impress someone. As your company name is often the first point of contact you want it to impress right off the start.This is why it is critical to have a company name that is aligned with your corporate message.

Your message has to be truthful and honest. If you are claiming that you have the best, fastest, cheapest widget in the world you better deliver. Because if you don’t people are unlikely to be a return customer. Additionally, they are likely to communicate their disappointment with friends, family and colleges, spreading a negative brand association with your company. This alone can cripple a company.

Resource:
Industrial Brand. 2014. URL: http://www.industrialbrand.com/ass-fruit-how-to-create-a-successful-corporate-message

Examples: 

1. Here is the link to the example of a corporate message of Hyundai motorcompany (from CEO to customers): http://worldwide.hyundai.com/WW/Corporate/CorporateMessage/index.html

2. And Google Executive Chairman's message to investors: https://investor.google.com/corporate/message.html

3. Panasonic corporate message: http://panasonic.net/corporate/message/

3. What is the goal of corporate communication?

The objective of building, maintaining and protecting the company’s reputation is the core task. The sustainability and success of a company depends on how it is viewed by key stakeholders, and communication is a critical part.

Give information about the company.

Focus on the organization as a whole and on important task of how an organization presents itself to all its key stakeholders, both external and internal.

Resource:

Cornelisse J. 2011. 3^rd ed. Corporate Communication. A guide to theory and practice.

Corporate communications departments play a key role in how investors, employees and the general public perceive a company. They often report directly to a company’s chief executive officer and serve as advisers in managing a company’s reputation. They help leaders prepare for media interviews, develop messages to deliver to investors and employees and suggest new initiatives to keep companies on the cutting edge of communication with their stakeholders.

Media Relations

This may be the function for which corporate communication managers are best known. Media relations work includes writing and distributing news releases and responding to media inquiries. Corporate communicators oversee all planning for news conferences, including selecting the site for an event, arranging for banners and other graphics to be displayed at the event, preparing packets of information to distribute to the media and preparing executives to speak at news conferences. Media relations also involves arranging for spokespersons to appear on local television and radio programs. Corporate communicators monitor newspapers, television news broadcasts and other outlets to see what the media is saying about the company and to devise strategies to address misinformation.

Public Relations

Building relationships with customers and responding to inquiries from the public fall under the public relations function of corporate communications. Duties in this area include producing newsletters, brochures and other printed materials designed for the general public. Corporate communicators also manage a company’s website and social media presence, which includes monitoring what customers and clients are saying about the company on social networking websites and responding to inaccurate posts or requests for information. Communication professionals may respond directly to calls and emails from citizens and customers with questions about a company’s plans or activities. They arrange for speakers from the company to make presentations to local community groups and may facilitate group tours of a company’s operations.

Crisis Communication

When an event occurs that threatens public safety or a company’s reputation, corporate communicators function as advisers to CEOs and senior leaders in managing the crisis. Special training in the issues unique to crisis communication helps corporate communicators prepare for events such as chemical spills, violence in the workplace, an accidental death on the job, layoff announcements and allegations of company wrongdoing. They often work with staff throughout their organizations to develop crisis communication plans before disaster strikes. A crisis may require communications staff to work with attorneys, government regulators, political officials, emergency response personnel and communications staff from other companies when developing crisis messages.

Employee Communications

In addition to conveying a company’s messages to external audiences, corporate communicators may also be called on to function as employee communications managers, which includes designing printed publications and writing emails to announce company news, benefits information and training opportunities. Corporate communicators may facilitate focus groups to learn what issues matter most to front-line employees. They advise senior leaders on how to improve relationships with their staff and gain support for their initiatives. The corporate communications staff may also manage a company’s Intranet and internal blogs.

Resource:

http://smallbusiness.chron.com/functions-corporate-communication-department-23716.html