Anda di halaman 1dari 32

PUBLIC RELATIONS AND CORPORATE OBJECTIVE

By Mobolaji Okusaga
Managing Director, The Quadrant Company

Whats Your Companys Objective?

Corporate Objective articulates a Companys manner of doing business and the kind of relationships it need to create with its Stakeholders to deliver on its purpose These objectives are encapsulated in the organisations mission, vision and culture and help set the tone for interactions with its Stakeholders Corporate Objective asks the questions: What is the purpose of our organisation? What value do we intend to create? What kind of ideals bind our stakeholders together? By answering these questions, Corporate objective helps an Organisation to differentiate, plan, execute and deliver exceptional performance

Identifying your Stakeholders


Anyone on the Street

Influencers

Core Target

Corporate Objectives and Stakeholder Theory

Stakeholder theory begins with the hypothesis that values are essentially and decidedly part of doing business It address the Principle of Who or What Really Counts by establishing which groups are Stakeholders in a corporation In traditional input-output models of the corporation, Organisations use the inputs of investors, employees, and suppliers and converts it to usable outputs By this model, firms only address the needs and wishes of four parties: Investors, Employees, Suppliers and Customers Contemporary Stakeholder theory however recognizes other parties such as governmental bodies, political groups, trade associations, trade unions, communities, associated corporations, etc as Stakeholders. The theory recognizes that Stakeholders are constituencies that contribute, either voluntarily or involuntarily, to an Organisations wealth-creating capacity, and may be its beneficiaries and/or risk bearers In fulfilling its Corporate Objective therefore, an Organisation must clearly identify its Stakeholders and strategically relate with them.

The Organisation and its Stakeholders


CUSTOMERS

EMPLOYEES

GENERAL PUBLIC

MEDIA

THE ORGANISATION

GOVERNMENT

SUPPLIERS COMPETITORS

SHAREHOLDERS

What are the Demands of Stakeholder Engagement?

Every organisation relates with different publics from the Shareholders, Staff, Customers, Industrial Unions, Government and Regulatory Bodies, Counter-parties, the Press to the local community. These stakeholders are different in terms of their interests and expectation from the organisation The organisation therefore needs a deep-seated understanding of these interests and expectations to maintain a dialogue, enhance relationships and retain its goodwill among its stakeholders.

Outcomes of a Sound Corporate Objective


Products / Service Quality / Technology Leadership Increased Sales Preference for Companys Products / Service Customer Acquisition / Quality of Customers Growth in Market Share / Market Leadership Turn-over Operating Margin Gross Profit Market Capitalisation / Stock Price Attraction and Retention of Quality Employees

Public Relations in OrganisationStakeholder Dialogue

Public Relations is the art and science of building relationships between an organization and its key publics . Public Relations engenders purposeful communications between an organisation and its publics, it is proactive and future orientated, and has the goal of building and maintaining a positive perception of an organisation in the mind of its publics. In the dialogue between Organisations and their stakeholders, the following branches of Public Relations suffice:

Employee / Labour Relations Customer Relations Investor Relations Media Relations Government Relations Community Relations Reputation Management Issues Management Crisis Management

Its Implication

Generally, Public Relations function as the conduit of the organisation to the world outside Public Relations practitioners must therefore, be abreast with their organisations vision, mission, strategy, corporate concern and culture They also need to understand their place in their companys overall objective and to understand the market environment in which their organisation operates The Public Relations Executive should read the competitive landscape and be able to predict the move of competition He /She needs to be able to identify the organisations different stakeholders and the varying expectations that arise from operations and interaction with these stakeholders Finally, the Public Relations Practitioner must be able to relate his activities with the drive at achieving the organisations objectives.

Creating the Link

Public Relations Executives need to think like a Business Managers by measuring their activities against their Organisations goals They must develop PR metrics which correlate with their Organisations objective PR Executives must initiate programmes which cover the entire competitive landscape with a view to seizing the higher ground for their Organisations In relating with the media, they must think of them as a channel to the Organisations Stakeholders

Stakeholder Relationships
CONSUMERS

PORTFOLIO MANAGERS / INVESTORS


COMMUNITIES BUSINESS LEADERS FINANCIAL ANALYST / BUSINESS PRESS

REGULATORS MAJOR CUSTOMERS DISTRIBUTION / CHANNEL PARTNERS POTENTIAL EMPLOYEES EMPLOYEES

Source: Regis McKenna

Expectation from Relationships

EMPLOYEES / POTENTIAL EMPLOYEES

Career Opportunities, Competitive Remuneration, Good Management Trustworthy, Good/Successful Products


Attract Customers, Make Sales

CUSTOMERS DISTRIBUTION / CHANNEL PARTNERS

REGULATORS
COMMUNITIES

Ethical, Compliant
Philanthropy, Good Corporate Citizenship

Elements of a Good Message


Messages disseminated must be within the Stakeholders frame of Reference Must be relevant and useful to the Stockholder's need Should be distinctive and distinguishable from that of competition Should be able to compel positive action Should deliver intended value

Developing PR Objectives

In developing objectives which are scientific, it is essential to include precise milestones that evaluate progress in the realization of set aspirations. This process may include the following:
1. Map desired communications outcome 2. Spot target segment for desired outcome 3. State expected level of success 4. Identify timeframe for target outcome

Understanding Strategies and Tactics

Strategies are logical and systemic outlines for the attainment of desired goals. It basically considers the big-picture rather than details. Tactics are detailed plans designed for the actualization of strategies. Tactics identifies personnel, timelines, budget and the structure for the attainment of set objectives.

The Five Steps of Strategic PR Management


Step 1
Develop a Strategic Vision and Mission

Step 2

Step 3
Craft a Strategy to Achieve Objectives

Step 4
Implement and Execute Strategy

Step 5
Monitor, Evaluate, and Take Corrective Action

Set Objectives

Revise as Needed

Revise as Needed

Improve/ Change

Improve/ Change

Recycle as Needed

Communication Matrix
TARGET EXPECTATIO N
Positive outcome of outstanding Staff issues Information on Staff Welfare

DESIRED ACTION
understand Managements position contentious Staff issues Spread a positive buzz on career development and staff welfare Positive Articles on Companys Financials and Activities Recommend Stock to investing Public Continuous coverage Buy and recommend companys products

CORPORATE OBJECTIVE
Reduce Staff Attrition Create a harmonious organisation / labour relationship Attract the best talents in the industry

MESSAGE

COMM STRATEGY
Proactive response to Staff enquires Build good internal communications &Information Flow Establish Monthly In-house Journal
Speaking Engagements Opinion Articles Upgrade IR Website Focus Road shows on priorities Drive preference by providing and campaigning highest standards Leverage constant two way communications by constantly requesting feedback Develop internet site as business tool

METRIC

LABOUR UNIONS

Best place to work Understands working smart Develops industrys best hands

Obtain 2x competitors commendation of in Labour Articles Generate 2x competitors buzz on good staff welfare and attract best industry talents

PRESS / FINANCIAL ANALYST

News on Developments within the Organisation Company Financial Results

Increase share of industry voice Generate stability Through good and Consistently improving Financial performance

Best product s Customer friendly Companys Performance exceed industry leaders Best Products Leadership gives access to new markets Easy to do business with Where the customer is truly a king

CUSTOMERS

Quality Products Satisfaction of needs Innovation Trust

Increase market share Widen Customer Base Differentiate and engender preference for products above competitors offerings

2x number of competitors lead 100% increase in product preference against competitors

MEASURING PUBLIC RELATIONS OUTCOMES AGAINST CORPORATE OBJECTIVES

Why Measure?
Guts does not cut it anymore, youve got to be able to justify your activities. If you arent measuring, you are not managing your budget effectively and deserve to be fired. Without data, how do you know whats working and when to intensify or discontinue a line of action.

Determining Measurement Technique

Always match measurement technique to available resources PR measurement does not have to be expensive - soft sounding surveys are an economical way of knowing designated audiences perception of a particular media message on your organisation Quantitative / message tracking can be done internally rather than through a media research firm in order to reduce cost, all that matters is for Management to be able to get the information on which action can be taken. Creating a valid measurement parameter for you activity will help you to be able to justify your budget and prioritize your activities.

Measurement and Evaluation Methods


In-house: - quantitative / message tracking using Excel to plot graphs and charts. PR agency research tools:
- Quantitative Research - Qualitative Research (article type, tone, ideological bent, latent issues)

Media Research: - Competitive tracking studies to measure quantitative and qualitative


indices. - Trend analysis to measure specific trends and influences

Research Firms:
To measure the insight of the target audience beyond the media message using Focus Group Discussions, Surveys and Observation and sampling methodologies

Examples of PR Reporting

Positioning of Company on Issues


Number of times Company was favourably positioned on key issues in the media
Corporate Governance

Industrial / Labour Issues

Product Quality

Philanthropy / Corporate Responsibility

20

40

60

80

100

120

140

180

200

Quantitative / Qualitative Performance Map


Qualitative (times positioned on key issues)

Mention of competing Brands in the media in a Quarter


Brand A

Brand B

Brand C

Brand D

Quantitative (Number of Articles)

200

Lotus Press Coverage Analysis


Percent of impressions containing messages by Company
COMPANY A

COMPANY B

COMPANY C

COMPANY D

20 %

40 %

60 %

80 %

100 %

Positive message

No message

Negative Message

R. Paine and Partners

Lotus Press Coverage Analysis


Cost per message communicated
COMPANY A

COMPANY B

COMPANY C

COMPANY D

N0.00

N0.50

N1.00

N1.50

N2.00

N2.50

Industry Best Practice

Competitive analysis is compulsory in measuring your success. Analysis of messaging, positioning and issues identification are the norm. Analyst and quote measurement are some of the latest trends. Integrating media analysis with web activity and customer outcomes is starting to emerge as a pervasive trend in the developed world.

8 Steps for Effective Measurement


1.
2. 3. 4. 5. 6. 7. 8.

Define your mission Map your needs Identify what you are benchmarking against Select an appropriate and cost effective research methodology Embark on research Analyze result and pick up insights Take appropriate action And then measure again

Matching PR Objective and Spend


With the Outcomes of PR Activities

Prioritize your PR Spend

There is a need to define your focus in alignment with the overall Corporate objective and then prioritize your spend on the following:

Employees Customers Analysts Consumer media Business media Trade media Government officials NGOs and Community Based Associations (CBOs) Religious Institutions Labour Unions Opinion moulders

PR as Profit Centre

Sometimes top management often wonder if they are getting their moneys worth from PR programmes and often believe that PR activities are as ephemeral as the air. To counter this notion, PR executives often points to Ad Value Equivalency, which equates PR hits against the value of an advertisement in the same news media that the article or programme appeared, as a measure of the value of PR in advancing the Corporate objective. But that does not pass the sniff test, what is key to note is that PR sets a criteria for relating with profitable and influential stakeholders and helps prepare the ground for marketing in the sense that its activities go well beyond engendering an awareness for a Product / Company and most importantly, help to build a sustainable platform on which to carry out branding and marketing activities. That platform is GOODWILL. GOODWILL can therefore be said to be the profit procurable from PR activities.

Thank you.