The importance of strategic communications
Too many CEOs, mid-level managers and executives seem to believe that corporate communications is all about schmoozing with people at a networking function. Nothing could be further from the truth. Public relations (PR) – or media relations or strategic communications – is an essential management function critical to the success of any organisation.
Successfully implemented, strategic communications activities can add thousands of dollars in value to an organisation for minimal cost.
My definition of strategic communications is:
the development, nurturing and strengthening of relationships with stakeholders that add value to an organisation and help it achieve its organisational goals.
That value can be measured by shareholder value, human capital, customer service, market share or brand awareness. My definition is broad because strategic communications encompasses a wide range of functions. My premise is that responsibility should be shared throughout an organisation, from the mailroom floor to the CEO’s door!
However, for marketers, PR is not a stand-alone function. It is one of the options that can be included in the broader marketing mix or marketing communications and should be integrated into the marketing plan.
There is potential for synergy between PR and other marketing elements, but it is important to understand the key differences between PR and other marketing activities, such as advertising (see Table 1).
The main difference is that PR, especially media relations through editorial coverage, brings credibility and third-party endorsement. It is cost effective but time consuming, and you lose control of the message because you are working through a third party, in this case the media.
Table 1: The differences and similarities between PR and advertising.
| |
Advertising |
PR |
| Message control |
Total |
None |
| Cost |
High |
Medium |
| Cost-time |
Low-medium |
High |
| Credibility |
Low-medium |
High |
Source: T. Eiler, Measuring results in uncertain times: using measurement to support strategy and execution. 2003. Published by Delayahe.
URL: http://www.delahaye.com
Strategic communications
Management, especially top-level management, drives the development of a culture that adds value to an organisation through a range of strategic communication activities. Virgin Blue, the most successful start-up in aviation history, is a classic example of how a multi-billion-dollar company was built from scratch using PR as a driver of sales, brand recognition and access to the marketplace.
Organisations can develop a corporate culture where the relationship with external stakeholders, such as the media, is built on trust and high levels of information rather than secrecy.
The PR ladder of corporate culture
My experience has shown there is a ‘ladder’ upon which most organisations sit in their approaches to PR (see Figure 1).
| Figure 1: Rungs to riches – how PR adds millions in value to an organisation |
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At the lowest or secretive rung, the corporate culture is one of ‘who cares, as long as we’re not caught and no one finds out what we’re doing’.
At the second or reactive rung, the organisation does a lot only when an issue is raised and it becomes a crisis.
At the third or operative rung, PR and media relations are based on systems rather than deep and meaningful relationships and are often driven by policies, procedures, rules and regulations. This quote from a corporate policy manual sums up the situation: “The Media Policy was developed in response to Audit Report 226 – Public Relations Management”.
At the fourth or proactive rung, an organisation is continually working on its relationships in a proactive way and always looking to strengthen them.
The top rung, collaborative, is where the culture is defined as ‘this is how we do business around here’. This is driven by the values and leadership qualities of both management and individuals and there are deep relationships with all stakeholders, including the media.
Critical success factors
There are three critical success factors for a management that wants to go from being media shy to media savvy:
- Promote a sense of responsibility at all levels. Remember, every member of the organisation is responsible for PR and adding value to enrich relationships with stakeholders.
- Involvement and co-operation from all levels of an organisation.
- Develop a learning culture, where an organisation values being across the latest trends, encourages best practice, and actively eliminates undesirable behaviour and actions that have an impact on the quality of relationships with stakeholders.
Strategic communications checklist
Here is a checklist to ensure that an organisation builds strong relationships with stakeholders that add value.
- Are our vision and values aligned to this goal?
- Do we have a clear policy on how we develop, nurture and build stakeholder relationships?
- Do we have visible management commitment to this goal?
- Do we have adequate and appropriate resources and support, such as media training for all key executives?
- Do we have robust processes and systems in place, especially during a crisis or emergency?
- Do we have effective communication and partnering with our stakeholders?
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