11

Corporate Communications: Corporate Communications:

A Dimension of Corporate A Dimension of Corporate MeaningMeaning

22

ObjectivesObjectives

Appreciating the complexity of Appreciating the complexity of corporate communicationscorporate communications

Understanding Common Starting Understanding Common Starting Points (Points (CSPsCSPs) and the Sustainable ) and the Sustainable Corporate Story (Corporate Story (SCSSCS))

MODEL(S) OF THE MOMENT:MODEL(S) OF THE MOMENT:THE NEW CORPORATE THE NEW CORPORATE COMMUNICATIONS WHEEL ANDCOMMUNICATIONS WHEEL ANDTHE T W O CORPORATE THE T W O CORPORATE COMMUNICATIONS MIXESCOMMUNICATIONS MIXES

33

Marketing and Corporate Marketing and Corporate Communications: What are the Communications: What are the

differences ?differences ?

MARKETING CORPORATEMARKETING CORPORATE customer multiple stakeholderscustomer multiple stakeholders defined set of channels multiple channelsdefined set of channels multiple channels controlled communication variety of communication controlled communication variety of communication

typestypes positions a product or service positions an entire positions a product or service positions an entire organisationorganisation more room for creativity less room for creativitymore room for creativity less room for creativity needs to be consistent with needs to be consistent needs to be consistent with needs to be consistent

withwith product/brand attributes corporate product/brand attributes corporate

identity/corporate identity/corporate brand attributesbrand attributes

44

THE NEW CORPORATE COMMUNICATIONS

WHEEL

The New Corporate Communications Wheel:

Balmer and Greyser. Adapted from D. Bernstein (1984)

Influen

ti

al

Groups

The Trade

Governmen

t(s)

The

Med

ia

Fin

an

cia

lCustom

ers

General

PublicInternal

Pros

pect

ive

Empl

oye

es

Local

Bu

sin

es

s P

art

ners

Advertisi

ng

Products/ Services

Direct M

arketing

and

Correspondence

Corp

ora

te &

Mark

etin

g

PR

Personal

Presentatio

n

Impersona

l

Presentati

on

Literature

Point of

SaleP

erm

ane

nt

Med

iaN

ew

Med

iaSp

onso

rshi

pTHE

CORPORATION

Brand

Busine

ss

Partnerships

Allia

nce

s

OR

I

V

NE

NM

E

NT

ORI

V

N

E

NM

E

N

Tand

TheIndustry

Corporate

Country of Origin

55

Model of the Moment: ii Model of the Moment: ii (A process for using the Balmer and Greyser’s New (A process for using the Balmer and Greyser’s New

Corporate Communications Wheel * Corporate Communications Wheel * * adapted from Bernstein )* adapted from Bernstein )

1 DEFINE ALL STAKEHOLDER GROUPS1 DEFINE ALL STAKEHOLDER GROUPS

2 IDENTIFY COMMUNICATION 2 IDENTIFY COMMUNICATION CHANNELSCHANNELS

3 PRIORITISE STAKEHOLDERS3 PRIORITISE STAKEHOLDERS

4 IDENTIFY APPROPRIATE CHANNELS 4 IDENTIFY APPROPRIATE CHANNELS FOR EACH GROUPFOR EACH GROUP

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5 TAKE ACCOUNT OF THE IMAGE OF: 5 TAKE ACCOUNT OF THE IMAGE OF: COUNTRY OF ORIGIN and of THE COUNTRY OF ORIGIN and of THE INDUSTRYINDUSTRY

6 additional elements identified by Balmer 6 additional elements identified by Balmer and Greyserand Greyser

TAKE ACCOUNT OF THE CORPORATE TAKE ACCOUNT OF THE CORPORATE

BRANDING COVENANT (where appropriate) BRANDING COVENANT (where appropriate)

PARTNERSHIP(s) and the effect of PARTNERSHIP(s) and the effect of ENVIRONMENTAL FORCESENVIRONMENTAL FORCES

Model of the Moment: iii

77

…………model of the moment: ivmodel of the moment: iv

Provides a foundation by which a Provides a foundation by which a significant part of a corporate significant part of a corporate communications strategy can be communications strategy can be established.established.

Illustrates the VAST SCOPE of the TASK Illustrates the VAST SCOPE of the TASK (comparing corporate communications to (comparing corporate communications to marketing communications) For instance, marketing communications) For instance, 11 stakeholder groups and 11 channels 11 stakeholder groups and 11 channels results in 121 considerations alone!results in 121 considerations alone!

88

Common Starting Points Common Starting Points ((CSPsCSPs): what are they ?): what are they ?

An early example of an integrated An early example of an integrated approach to corporate communications approach to corporate communications (developed by Van Riel) (developed by Van Riel)

Rationale: to achieve CONSISTENCY in Rationale: to achieve CONSISTENCY in corporate communications activities by corporate communications activities by establishing COMMON STARTING establishing COMMON STARTING POINTS that underpin ALL FORMAL POINTS that underpin ALL FORMAL corporate communicationscorporate communications

99

Common Starting Points Common Starting Points continuedcontinued......

CSP is an integrated and interdisciplinary CSP is an integrated and interdisciplinary approach taking account of STRATEGY, approach taking account of STRATEGY, IDENTITY and IMAGE.IDENTITY and IMAGE.

CSPCSP process: representatives from the process: representatives from the corporation’s various communications corporation’s various communications departments establish commonalties departments establish commonalties (based on the above) which form the basis (based on the above) which form the basis of all formal corporate communications.of all formal corporate communications.

1010

The Sustainable Corporate The Sustainable Corporate Story (Story (SCSSCS))

What is it? A realistic and What is it? A realistic and relevant description of key relevant description of key aspects of the organization aspects of the organization (origins, vision and mission)(origins, vision and mission)

How is it distinct? It is derived How is it distinct? It is derived from an organization’s from an organization’s distinctive characteristics (distinctive characteristics (its’ its’ identityidentity))

1111

The Sustainable Corporate The Sustainable Corporate Story…………....continuedStory…………....continued

Perceived Benefits? Perceived Benefits?

Via communicationsVia communications distinctiveness of message and distinctiveness of message and consistency of message is consistency of message is achieved. achieved.

1212

The Sustainable Corporate Story….. The Sustainable Corporate Story….. continuedcontinued

Van Riel suggest that the following should Van Riel suggest that the following should underpin sustainable corporate stories in underpin sustainable corporate stories in that they should be:that they should be:REALISTIC (REALISTIC (based on the identitybased on the identity))RELEVANT (RELEVANT (offer added value elements offer added value elements for stakeholdersfor stakeholders))

RESPONSIVE (RESPONSIVE (allows for two way allows for two way symmetrical communicationsymmetrical communication))

SUSTAINABLE (SUSTAINABLE (needs to meet the sundry needs to meet the sundry demands of various stakeholder groupsdemands of various stakeholder groups))

1313

What are the parameters What are the parameters of corporate of corporate

communications ?communications ?

Just as there is a marketing mix, Just as there is a marketing mix, services marketing mix, promotional services marketing mix, promotional mix (communication mix) a number mix (communication mix) a number of authors have attempted to of authors have attempted to articulate a articulate a

CORPORATE COMMUNICATIONS CORPORATE COMMUNICATIONS MIXMIX

1414

TWO CORPORATE TWO CORPORATE COMMUNICATIONS MIXESCOMMUNICATIONS MIXES

(a) THE CORPORATE (a) THE CORPORATE COMMUNICATIONS MIX OF VAN RIEL COMMUNICATIONS MIX OF VAN RIEL

andand

(b) THE TOTAL CORPORATE (b) THE TOTAL CORPORATE COMMUNICATIONS MIX OF BALMER COMMUNICATIONS MIX OF BALMER AND GRAYAND GRAY

1515

Van Riel’s Corporate Communication Van Riel’s Corporate Communication MixMix

Comprises:Comprises: Management Communication:Management Communication: managers managers

need to establish a shared vision and trust need to establish a shared vision and trust WITHIN the organizationWITHIN the organization

Marketing Communication:Marketing Communication: the traditional the traditional marketing communications mixmarketing communications mix

Organizational Communication:Organizational Communication: communicating to the various external communicating to the various external groups (encompassing a plethora of groups (encompassing a plethora of corporate-level communications corporate-level communications functionsfunctions))

1616

Balmer and Gray’s Total Corporate Balmer and Gray’s Total Corporate Communications MixCommunications Mix

Encompasses:Encompasses:

Primary Communications:Primary Communications: the the communications effects of products, services, communications effects of products, services, management, staff and corporate behavior.management, staff and corporate behavior.

Secondary Communications:Secondary Communications: controlled forms controlled forms of communications such as advertising and of communications such as advertising and prpr

Tertiary Communications:Tertiary Communications: word of word of mouth/spinmouth/spin

1717

Finally……………...Finally……………...

If the importance of corporate If the importance of corporate communications are not communications are not understood/managed this can lead to understood/managed this can lead to communications that are communications that are

diffuse, diffuse, confusing, confusing, contradictory and sometimescontradictory and sometimes prolix.prolix.

1818

One More Time: why are One More Time: why are corporate communications corporate communications

important?important?

Bernstein (1984) argues that:Bernstein (1984) argues that: many business failures are caused by many business failures are caused by

poor corporate communications.poor corporate communications. many businesses lack a clear, many businesses lack a clear,

overarching, corporate communications overarching, corporate communications platformplatform

managers NEED to communicate to managers NEED to communicate to internal and external groupsinternal and external groups

fragmentation across communication fragmentation across communication disciplines (pr, advertising, print, disciplines (pr, advertising, print, investor relations) causes many investor relations) causes many difficulties.difficulties.

1919

Summary: iSummary: i

Corporate Communications is broader, and more Corporate Communications is broader, and more complicated than marketing communications. complicated than marketing communications.

It is complicated because of the existence of It is complicated because of the existence of multiple channels of communication in addition multiple channels of communication in addition to multiple stakeholder groups.to multiple stakeholder groups.

Moreover, individuals invariably belong to Moreover, individuals invariably belong to multiple stakeholder groups.multiple stakeholder groups.

Common Starting Points/the Sustainable Common Starting Points/the Sustainable Corporate Story are two routes by which Corporate Story are two routes by which organizations may achieve consistency in their organizations may achieve consistency in their communications.communications.

2020

Summary: iiSummary: ii

Van Riel’s Corporate Communication Mix Van Riel’s Corporate Communication Mix and Balmer and Gray’s Total Corporate and Balmer and Gray’s Total Corporate Communications Mix afford two contrasting Communications Mix afford two contrasting perspectives on the area.perspectives on the area.

The New Corporate Communications Wheel The New Corporate Communications Wheel (Balmer and Greyser) affords a framework (Balmer and Greyser) affords a framework for prioritising stakeholder groups and for prioritising stakeholder groups and channels and takes account of other channels and takes account of other important factors such as corporate brand, important factors such as corporate brand, country of origin, and industry image.country of origin, and industry image.

2121

Seek first to understand, then to be Seek first to understand, then to be understood.understood.

Stephen CoveyStephen Covey