Strategic Public Relations Contribution to Organisation

1. Strategic Public RelationsContribution to Organisation Revision Learning Unit 4 Manual pp 139-151 11 May 2009

2. Revision for 11 May 2009 • Manual pp152-156 Open book test • SCF Arizona brand campaign • Audiences – 3 identified, who else? • Objectives – differentiate between goal and objectives • Theme/messages – identify the messages • Creative rationale – why was this effective? • Results – identify the key success factors DPR3A-LU4-Revision

3. Class test responses [1] • Audiences • 65% of Arizona businesses = 56 000 policyholders • State, country, local leaders/decision-makers • Non-policyholders = potential clients/customers • Internal audiences: Board and staff • Objectives • Goal: Provide policyholders with information they should have in a format they will accept; brand SCF • Objectives: Simple annual report; incorporate vision, mission and long-term strategies – add 5Ws&H to each objective DPR3A-LU4-Revision

4. Class test responses [2] • Theme: Branding our future • Messages • We help make public policy work for you • Safe workplaces and good medical care will benefit you and your workers • Your workers can resolve wage replacements through us • We help your workers get back to work as soon as possible • We are as serious about managing your assets as we are about managing our own DPR3A-LU4-Revision

5. Class test responses [3] • Creative rationale • Responded to policyholders’ comments • Met communication goals and objectives • Jumpstarted branding campaign • Produced unique-looking annual report: look, feel, quality • Enhanced SCF’s public image • Results – key success factors • Team work, interaction and communication • Goal-orientation • On brief, on budget, on time DPR3A-LU4-Revision

6. Class exercise: IBM case study • Manual pp 157-165 • Identify theoretical concepts of integrated communication from case study and discuss • Two-way symmetrical communication With the emergence of new and improved technology, two-way interactive relationships are possible and this interactivity is becoming more important than products • Cases study: IBM business need to foster collaboration between globally distributed, mobile workforce to optimise productivity, contain costs and rapidly respond to market changes; real-time communication is a business-critical requirement – enabled by IBM Lotus Sametime software DPR3A-LU4-Revision

7. Class exercise: IBM case study [2] • Identify theoretical concepts of integrated communication from case study and discuss (cont) • Managing stakeholder relationships The focus is on relationships that are replacing the management of transactions • Case study: Lotus Sametime sotware unifies communications and collaboration - customers and business partners can connect through IBM Lotus Sametime Gateway to communicate, interact, establish relationships, support multiple clients, improved support for users of mobile devices, start chat sessions DPR3A-LU4-Revision

8. Class exercise: IBM case study [3] • Identify theoretical concepts of integrated communication from case study and discuss (cont) • Brand relationships and brand equity Organisations are still emphasising the tangible areas such as production, distribution and pricing by re-engineering and downsizing instead of the soft/intangible side of business such as brand equity and brand relationships • Case study: Lotus Sametime plug-ins made available to staff and they are invited to develop additional ones, enables incremental enhancements, increased productivity, less disruption; users can choose mode of communication in real-time, costs down, customer satisfaction up, people are more productive DPR3A-LU4-Revision

9. Class exercise: IBM case study [4] • Identify theoretical concepts of integrated communication from case study and discuss (cont) • One voice, one look vs sophisticated IC All mixed messages and communication does not have to be geared only to ‘one voice, one look’ • Case study: Include intangibles as well as tangibles, such as improved support for users of mobile devices where users take functionality with them wherever they go and addressing needs of employees wrt web conferencing by adding drop-down menus, improved application sharing to keep costs down; UC2 (unified collaboration and communication) makes it simple to find, reach and collaborate through unified user experience DPR3A-LU4-Revision

10. Class exercise: IBM case study [4] • Identify theoretical concepts of integrated communication from case study and discuss (cont) • Cross-functional processes and planning Successful stakeholder relationships needs a cross-functional process with a corporate focus, core competencies, database management, strategic consistency of messages, marketing of the organisation’s mission and zero-based communication planning • Case study: staff throughout organisation involved in developing plug-ins and additional uses for software, creates global collaborative culture, enables collective business decisions, software capabilities integrated with business processes, brings right people together cost-effectively DPR3A-LU4-Revision

11. Evolution of IC • Early 1990s • Marketing = establishment between brand and customer • Communication = embracing all sources of information including those originating outside organisation • Integrated marketing communication shifted focus from 4 Ps to how customers understood all brand messages • Late 1990s • Communication integration = embrace broader audience than customers • Brand development = relationships between customer and brand and all stakeholders and brand • IT NB communication role and in database development DPR3A-LU4-Revision

12. Evolution of IC [2] • Currently • Communication integration extended from product brand to organisation that markets product • Focus on marketing corporate brand in all that organisation does and creating mutually beneficial relationships • Relationships rely on organisation’s planned messages and all stakeholder interaction • Less focus on short-term message impact, more on long-term relationship and brand loyalty • PR overlaps with general management • Scope of integration expanded from marketing communication to communication of organisation as a whole DPR3A-LU4-Revision

13. Role of PR in business [or coordination between PR, marketing and business] • Communication plays fundamental role in business: • PRPs use knowledge to negotiate win-win solutions, build mutually beneficial relationships and establish mutual understanding between publics and senior management through two-way symmetric communication • Two-way model allows input, provide innovative solutions, allows corrective action • Organisations with symmetrical world-view relies on systems thinking, ie interdependence of organisation and its environment = community building construct of communication management • Organisations focus on communication and internal interaction to foster social transformation, mutual exchange of influence and internal-external balance DPR3A-LU4-Revision

14. Role of PR in business [or coordination between PR, marketing and business] • Communication plays fundamental role in business: • Focus on human level in organisation indicates social cultural context in which organisations are operating • Organisations should behave as reasonable members of communities with whom they interact interdependently • PRPs play a social role in representing organisations and acting in public domain • PRPs play key role in adjusting or adapting behaviours or senior management to bring them closer to publics • Modern marketing overlaps with PR in terms of building relationships with stakeholders, so integrated communication becomes more relevant DPR3A-LU4-Revision

15. Brand definition & characteristics • Brand is a perception of a product or service resulting from experiences with, and information about, the product/service and/or the company that provides the product/service • Characteristics (tangible attribute) • Design (value = intangible attribute) • Performance (brand image = intangible attribute) • Component (image of stores where sold = intangible) • Size/shape (perceptions of users) • Price • Marketing communication DPR3A-LU4-Revision

16. Understanding the concepts • Integrated marketing communication • Useful tool to gain competitive advantage • Advertising, sales promotion, direct marketing, public relations practitioners are finding common ground to selling to individual customers rather than markets • Emphasis more on good relationships than on transactions • Requires database on customers and prospects, contact management policy, communication strategy, marketing objectives, selecting techniques to achieve marketing and communication objectives, ie advertising, direct marketing, sales promotion, public relations and sponsorships • Key = all communication designed to achieve objectives and satisfying customer needs at a competitive price DPR3A-LU4-Revision

17. Understanding the concepts • Integrated communication • Coordinated method or way of thinking about planning, developing and implementing communication programmes now and in the future • Strategic management process of controlling/influencing messages and encouraging purposeful, data-driven dialogue to create long-term relationships with stakeholders • Cross function process of creating profitable relationships with customers and stakeholders by strategically controlling/influencing messages and encouraging data-driven, purposeful dialogue with them DPR3A-LU4-Revision

18. Branding and role of branding in IC • Branding is process of creating a brand image that engages hearts and minds of customers • Brand relationships are at the heart of integrated communication and are affected by brand drivers: • Build relationships rather than just transactions • Focus on stakeholder rather than customers/shareholders • Strategic consistency rather than brand messages • Purposeful interaction rather than mass media message • Market corporate mission rather than product claims • Use zero-based planning rather than last year’s plan • Cross-functional rather than departmental planning DPR3A-LU4-Revision

19. Branding and role of branding in IC • Brand drivers (cont) • Create core competencies rather than communication specialisation and expertise • Use integrated rather than traditional full service agency • Building and manage databases to retain customers rather than acquire new customers • Benefits of brand relationships • Impact on costs • Impact on sales/profits • Benefits to customers DPR3A-LU4-Revision