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The Future of Organizational Communication

The Future of Organizational Communication. A Market-Driven Approach Jim Shaffer IABC International Conference June 28, 2005. © Jim Shaffer Group. Key Points. The traditional model of the past and present The pressure to add value The Future is being built now Manage the system

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The Future of Organizational Communication

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  1. The Future of Organizational Communication A Market-Driven Approach Jim Shaffer IABC International Conference June 28, 2005 © Jim Shaffer Group

  2. Key Points • The traditional model of the past and present • The pressure to add value • The Future is being built now • Manage the system • Create the communication culture • Change work to increase value • Improve performance • Build the capability • Align the culture with the function • Implications—what does it mean to me?

  3. Business Results Usefulness Support Satisfaction Ownership Perceptions Attitudes Traditional Process Measures Awareness Traditional Work The past and present Traditional information delivery through electronic, visual and written channels. Process-focused distribution business.

  4. Pressure for value Value Customers Business Leaders Practitioners

  5. Pressure for value • Customers are only willing to pay for value • Value adding means performing work for which the customer is willing to pay • Adding cost but not adding value is waste Customers

  6. Pressure for value • “We need communication people in the future who focus on impact and results, not on activities.” • “I want them thinking ahead—letting me know what could prevent us from taking our performance to unheard of levels. I’m not so much interested in another newsletter or video. I’m interested in the things that make a difference to our share price.” Business Leaders

  7. Pressure for value • “I want to go home at night knowing that this company is measurably better because I did what I did today.” • “I want to be valued for adding value.” Practitioners

  8. The past and present • Little to no measurable value added to the business • Viewed as cost center • Limited growth or opportunity to practitioners …but the future is brighter because we’re building it and know what’s possible…

  9. The future of organizational communication • Continued customer and competitive pressures for value • Nowhere close to maximizing people resource • The communication system drives performance Opportunity!

  10. Leaders Systems Formal Channels Future: Focus will be on the communication system rather than a small piece of it The Communication System DECISIONS ACTIONS BUSINESS RESULTS CONTENT

  11. Future: Businesses will build create the communication culture that helps them win

  12. Stage 1 Stage 2 Stage 3 Deliver Information Improve Performance Build Capability Roles High Leverage Curve Low Stage 1 Stage 2 Stage 3 Future: Work will move higher on the leverage curve

  13. Stage 2: Improve performance Improve Performance • Eliminates communication flaws • Lack of information • Slow moving information • Inaccurate information • Mixed messages • Focuses where it matters most • Insurance • Pharmaceuticals • Food and lodging • Airlines

  14. Pilot started here Future: Work will create dramatic performance lift 9% productivity increase 82% cost reduction Manufacturing $300,000 savings

  15. Future: Work will create dramatic performance lift Billing cycle reduced 10 days Turnover cut 10% Savings: $6-9 million Services 1.4 million process steps out

  16. Future: FedEx’s current work represents the future model • Improve export volume in largest hub • Identify communication barriers • Create work team of couriers, ramp people, sales, call centers, staff support • Establish baseline and measure throughout • Facilitate sales and operations communications • Create incentives that communicate that export volume is important • Build better communication tools for customers and employees • Result • Nearly 1,500 additional qualified leads • Export volume up 9% and 37% in two districts • Being broadened across company

  17. Future: Organizations will seek strategic advantage through their ability to manage communication Build Capability • Organization capabilities are the collective abilities of an organization to execute its strategy. • Communication capability refers to the entire organization’s ability to manage the communication system.

  18. Future: Maturity Stages 2 and 3 will integrate and provide additional organizational lift Conduct projects Business Goals Business Strategy Improve Performance Build Communication Capability Align the organization

  19. Future: Organizations and their functions will align cultures and roles

  20. Future: Implications • Lower versus higher value work will be more delineated than now. Decide where you want to be. • New competencies and mindset will be needed. • Results versus process focus • Business skills; how businesses work and what they’re trying to do • Analytical skills; lucid, rational well organized analysis • System skills; organizations are systems • Get into performance projects now. It’s transportation to higher maturity levels. • The education system needs to produce more business-oriented people to manage organizational communication.

  21. For more information, contact: Jim Shaffer Jim Shaffer Group Jimshaffer@jimshaffergroup.com www.jimshaffergroup 410-268-7050

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