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The concept of Communication strategy (cs) is based on the assumption that corporate communication/ public relations/ communication management is practised as a strategic management function; that it assists the organisation to adapt to its environment by achieving a balance between commercial imperatives and socially acceptable behaviour; that it identifies and manages issues and stakeholders to ensure that organisational and communication goals are aligned to societal and stakeholder values and norms; and that it builds relationships through communication with those on whom the organisation depends to meet its economic and socio-political goals. Communication strategy is conceptualised as a functional strategy, providing focus and direction to the Communication function. It is facilitated by a practitioner performing the role of the communication manager at the functional organisational level. It is the outcome of a strategic thinking process by senior communication practitioners and top managers, taking strategic decisions on the management of, and the communication with, strategic stakeholders. Developing Communication strategy makes the Communication function relevant in the strategic management process by providing the link between the organisations strategic goals and its communication plans. The Communication strategy development process can be summarised as including both the formulation of communication goals in the Communication functions deliberate strategy development (typically as part of the budgeting cycle, for example once a year), as well as the ongoing formulation of communication goals as part of emergent strategy development (the latter resulting from environmental scanning and issues management). The Communication strategy formulation process consists of several steps: Step 1: Develop 'deliberate' communication goals. The organisation's key (strategic) priorities are reviewed, culminating in a series of communication goals and themes aligned to these priorities, representing 'deliberate' Communication strategy. The communication goals focus on closing the vision culture reputation gaps, thereby increasing the effectiveness of the Communication function. Step 2: Set efficiency targets. These are set to supplement communication goals, thereby increasing the efficiency of the Communication function. Step 3: Develop 'emergent' communication goals. Constantly emerging societal and stakeholder issues that are identified in the organisations issues and stakeholder management process are addressed in a series of communication goals and themes that represent 'emergent' Communication strategy. The communication goals focus on closing the vision culture reputation gaps, thereby increasing the effectiveness of the Communication function. Step 4: Develop a communication framework. Strategy development is transformed into strategy implementation by means of the communication framework. The latter provides an opportunity to indicate which communication plans will be developed around each of the goals. Step 5: Set communication budgets . The communication framework is resourced by deploying a budget. Step 6: Set evaluation methodology. The measurement of delivery on communication goals and efficiency targets are planned here. Step 7: Generate communication plans. Properties defined in the Communication strategy for each of the intended Communication plans (e.g. descriptions, communication goals, planning horizons, and responsible people) will feed automatically through to the new Communication plans.
Organisational issues Type 1. Communication is not the cause of the problem, but can provide a solution (e.g. organisational change such as transformation or a merger). Organisational issues Type 2. Communication is not the cause of the problem, cannot provide a solution but can explain the issue (e.g. budget cuts or new legislation). Corporate communication issues. Where too little or no communication with external stakeholders is the problem (e.g. with the media in case of negative publicity; or with investors in case of a volatile share price). Management communication issues. Where too little or no (internal) communication between managers and employees is the cause of the problem (e.g. communication about the organisations vision or staff reductions). (Tactical) communication issues. Where messages are not reaching target audiences (e.g. because of inappropriate communication channels such as television to reach a rural population; or email to reach factory workers; or difficult and technical language used to reach people who are communicating in their second language).
The Communication Functions strategic mandate is to support the CEO in achieving the organisations strategic priorities through its core competence of corporate brand or reputation management. Effectively managing the organisations reputation and/or brand requires perfect alignment of the organisations vision (the leaderships aspirations for the future of the organisation, which is much more than a one-line slogan -- it is the story that clearly paints the picture of the organisations desired future); culture (the way in which the organisation presents itself through the behaviour of its employees); and reputation (the collective perception of the organisation among its key stakeholders, built over time). In striving for the perfect balance between these three elements, the job of the Communication function is to close the gaps that may exist between them. There are potentially three different gaps that need to be closed: 1. The vision-culture gap develops when the leadership moves the organisation in a strategic direction not understood by employees (a management communication issue) or not supported by employees. (In a worst case scenario, the latter is an organisational issue Type 2 where communication cannot provide a solution, but can be used to explain the issue. In a best case scenario, this is an organisational issue Type 1 where communication proves successful in obtaining the support). The reputation-culture gap is caused by a misalignment between the organisations reputation and culture. It usually means an organisation does not practise what it preaches and, therefore, inevitably leads to confusion about what the organisation stands for. (This is an organisational issue Type 1, where communication in the form of perception surveys amongst stakeholders will bring the confusion and its cause to light. This is also a management communication issue in bringing to employees/managers attention the importance of walking the talk. This can also be a corporate communication issue when external stakeholders do not understand the vision because of insufficient communication from management.) The reputation-vision gap is the result of conflict between what the leadership of the organisation sees as its future and key stakeholders perceptions/expectations of the organisation. (This is a corporate communication issue when stakeholders have the wrong perception of where the organisation is going because of insufficient communication by management to them. It is however an organisational issue Type 1 when stakeholder expectations of where the organisation should be going are in conflict with where the leadership thinks it should be going. In this case communication can be used to provide a solution by bringing the societal or stakeholder perspective to management in order that organisational strategies can be adjusted).
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From the above it is evident that the Communication strategy is much more than one-way communication from the organisation to its internal and external stakeholders to communicate the organisations desired future and its strategic priorities. Rather, it is two-way communication to create mutual agreement and understanding of the organisations desired future and its strategic priorities. When employees (internal stakeholders) have a clear understanding of the vision and strategic priorities of the organisation and they know what behaviour is expected of them in order to achieve it, they are likely to behave accordingly (closing the vision-culture gap). When the relevant external stakeholders understand exactly where the leadership of the organisation is taking it (vision) and what it will focus on to get there (strategic priorities), and as they see its employees behaving in a manner congruent with their understanding of where the organisation is heading (closing the reputation-culture gap), they are likely to experience the organisation more positively (closing the vision-reputation gap). The challenge in the development of Communication strategy is to gain insight regarding the relation between the organisations strategic priorities and its internal and external stakeholders agendas, needs and wants. Obtaining this insight will enable you to define the unique contribution of the Communication function resulting in three to five key priorities for the Communication function. View an example of key priorities.
values. The communication strategy will seek to create maximum understanding and enterprise-wide buy-in for the values and behaviours.
Step 1 and 3 of the Communication strategy are concerned with developing communication goals in a manner that will facilitate the effectiveness of the communication function. This is done through alignment with the organisations strategic goals as well as issues and stakeholders in the environment. Step 2 places the spotlight on the way in which the function manages its operations and offers the user an opportunity to supplement the set communication goals with efficiency targets. Step 4 offers the communication framework as a catalytic mechanism to transform strategy development into strategy implementation. Step 5 resources the implementation by deploying a budget. Step 6 leads into the building of a ROI case, by ensuring that what could have been big, hairy, audacious goals and vastly general efficiency targets are specific enough to be measured.
Operational Excellence
For a period in the late twentieth century, many scholars and companies believed that managing operations was the most critical component of any organisations strategy. Inspired by the remarkable results achieved by Japanese companies, most organisations and their consultants placed a high priority on redesigning, reengineering, and continuously improving their processes. Companys efforts to achieve operational excellence were largely successful. Many enjoyed dramatic improvements in the quality, cost and responsiveness of manufacturing and service delivery processes. But there were also huge sacrifices made, and several healthy business practices became casualties of this development. As with every development in business, criticism mounted and through the pen of the gurus the pendulum have since swung from evolution to revolution, from process to people, from step-wise improvement to shifts in performance, and from operational excellence to sustainable strategy. Wisdom gained from the above, is never to pursue efficiency at all cost. Yet, managing operations as a priority is as critical as it was 5 or 10 years ago. Without excellent operations, organisations find it difficult to execute any strategy. In the final analysis the ultimate challenge lies in a combination of Key Strategic Priorities (do the right things) and Operational Excellence (do things right).
nature of efficiency targets set in the communication strategy, communication plan and communication activity will change.
The focus in the Communication Strategy will be placed on strategic management (e.g. strategic alignment, meta-planning, financial /resource allocation, continues learning and improvement, and information system deployment);
the emphasis in the Communication plan will be on project management (utilisation of resources, supplier management, client satisfaction), and in planning Communication activities it will be inputs and throughputs that count (e.g. process quality, task time, cycle time, activity cost).
Planning for operational excellence should therefore happen on every level of planning. The question to ask is how we can improve the utilisation of our scarce resources in bringing about the desired results (achieving our goals, objectives and deliverables). Often this boils down to cost reduction or process improvement. When setting efficiency targets it is important to consider the typical measures to be used in determining success. In order to stimulate thinking and demonstrate the intention with efficiency target setting, a list of targets and measures taken from Robert Kaplan and David Nortons Strategy Maps were adapted for the Communication function. Efficiency target Become the industry cost leader Method
Cost per unit (e.g. staff newsletter), benchmarked against competitors Percentage of annual reduction in cost per output Percentage of cost budget variance Percentage of employees trained in the five core competencies Number or percentage of employees qualified with professional status Percentage of employees with knowledge and training in the core competencies identified for the team Employee survey on culture for continuous improvement and knowledge sharing Number of new process improvement ideas generated Percent of employees process improvement suggestions adopted Number of ideas for quality and process improvement shared across multiple business units Performance improvement from employee suggestions and actions (cost savings, process time reductions). Lead time from request to supplier to receipt of product / service On-time delivery percentage Percentage of transgression on delivery timelines Number of innovations from suppliers Number of suppliers providing communication services directly to internal customers Activity-based cost per communication product Cost per unit of output (printed newsletter) Number of processes with substantial improvements
Develop capacity
Use new ideas from suppliers Achieve supplier partnership Lower the cost of producing communication products Continuously improve processes
Improve process responsiveness Deliver responsively to internal customers (other business units) Increase account share with internal customers (other business units)
Number of inefficient or non-value added processes eliminated Cycle time (from start of production to product completed) Lead times, from request to delivery, per proposal On-time delivery percentage Percent of growth in existing customers business
Conducting advanced media analysis at regular intervals, to understand the agenda and behavioural patterns of key decision-makers (editors and journalists) and publications (electronic and print) in the mass media. Engaging in rigorous monitoring of relevant government decision-makers on all identified issues. Conducting opinion audits (formal or informal surveys) amongst strategic stakeholders, influencers and opinion leaders to determine their opinions on identified issues. Creating channels to track the opinions of stakeholders on these issues over time. Identifying any (all) interest groups or activists that campaign for, or against, or have a vested interest in any of the identified issues.
Issue analysis
Resulting from environmental scanning, analysis of an issue consists of:
Showing insight into the main problem and/or opportunity inherent to the issue (e.g. How does this issue affect the organisation now, or will it impact on the organisation in future?).
Understanding the issue in the context of its life cycle development in order to indicate its status (the Traffic Light Status tool may be used to indicate status). An honest assessment of the type of issue/ risk were dealing with, as not all identified issues can be solved solely through communication interventions (the Issue Typology tool of Steyn & Puth, 2000 is often used to manage expectations upfront and lay the foundation for realistic goals and objectives to follow).
Stakeholder assessment
If environmental scanning is a starting point for the formulation of emergent strategy, then stakeholder assessment is its control focus. The first step in setting communication goals and themes is to identify the relevant stakeholders to an issue. Any issue without an affected stakeholder group is really not an issue at all. The motivation to constantly analyse the internal and external environments of an organisation lies in tracking stakeholder reactions to current issues and detecting new issues. Intelligence gained from environmental scanning may entail:
The opinions, knowledge and expectations of both internal and external stakeholders such as employees, communities, and customers. The agenda of the media as gatekeepers and advocates of particular viewpoints. The agendas of interest groups and activists, who directly seek to influence public policy. The governments position. The implications of an issue on a stakeholder group and the likely behaviour of the stakeholder group as a result. (What are the implications on stakeholder X? What is the likely behaviour of stakeholder X? Possible actions they may take?). The degree to which a stakeholder is already aware of the existence of an issue (usually rated on a 5-point Likert scale). The extent to which the organisation is vulnerable to the likely stakeholder reaction (usually rated on a 5-point Likert scale). It is important to determine the amount of power a stakeholder group has in relation to a specific issue. The amount of power depends on the organisations dependency on that stakeholder group as well as the access that the group has to political processes and to the mass media.
The relative strategic importance of the stakeholder to the organisation. (Is the stakeholder labelled as a primary or secondary stakeholder?)
Stakeholder relationships
There are four approaches in dealing with stakeholders: Approach 1 - Inactivity: The first approach, inactivity, involves ignoring the opinions and values of stakeholder groups and continuing business as usual. For instance, this would be the case when a company starts receiving complaints from customers about defective tyres that they are manufacturing. The company however decides to ignore the complaints and continues selling the tyres. Approach 2 - Reactivity: The second approach, reactivity, involves waiting for something to occur (usually stimulated by a stakeholder group) and responding to that. Continuing the example: After a series of accidents and the loss of lives the Government (Dept. of Transport) commissions an inquiry. Only now does the organisation withdraw its tyres from the market. Approach 3 Pro-activity: The third approach, pro-activity, is anticipatory. It involves trying to predict the behaviour of stakeholder groups, the external changes that may occur and positioning the organisation appropriately. In the above example, if the organisation had been in touch with its customers or dealers through research, they could have investigated the matter before it became public knowledge. This could have
resulted in fixing the problem or recalling the tyres. However, government intervention led to a loss of credibility and reputation. Approach 4 Interactivity: The fourth approach in dealing with stakeholders is the interactive mode that entails active involvement with the stakeholder groups that can influence the future of the organisation. If the organisation had good two-way communication with their stakeholders, they would have identified the problem in its early stages. Even more effective would have been to follow a partnership approach with stakeholders. Partnering would have involved the affected customers, dealers or government in the problem-solving and decision-making processes of the company with regards to the defective tyres. A partnering approach could have strengthened relationships with stakeholders, rather than antagonising them.
Level 1: Evaluating communication activities, products and events (against pre-specified deliverables). Level 2: Evaluating communication plans, programmes and campaigns (against objectives). Level 3: Evaluation the communication strategy (against goals).
The primary aim of the performance measurement management system is continuous improvement and organisational learning through constant feedback. Involvement of all practitioners is important and therefore the system is designed to be accessible, transparent and easy to understand and use. There are three critical principles:
Levels of evaluation
A question often asked is Why setting an evaluation methodology should be part of planning? The answer to this question lies in the essence of strategic alignment. Strategic alignment is a process whereby the imperatives in the organisations top-level strategies (e.g. Enterprise and Corporate strategy) are translated into a functional strategy (e.g. Communication strategy). Consecutively, the functional strategy is deployed into cascading levels of planning and implementation. The number of levels in the planning system is of little importance as long as every subsequent plan, project, programme or activity is in line with the strategic intent. In the process of strategic alignment, planning is rolled down and evaluation is rolled up along the same strategic line. Therefore strategy development and planning are integral parts of the performance measurement system. The evaluation process to measure the success of a Communication function cannot be initiated at the end of the financial or calendar year, or even half way through. The measurement criteria must be built into the strategy development and planning. Without something to measure against, measurement provides results in isolation, with little or no value for evaluation. Measurement becomes evaluation only when compared to a specific norm such as a communication goal, objective, target, or deliverable. The yardstick for performance measurement will always be imbedded in the communication functions planning architecture.
locked in discussions on the merits of focus groups, media content analysis and opinion surveys, or defending the objectivity and randomness or timing of methodologies deployed. The what to measure in communication evaluation is referred to as metrics. Metrics are therefore the various constructs (things) that are to be measured. View list of metrics. Methods, on the other hand, describe the how to (techniques) of communication measurement. In most cases the how to of communication measurement involves asking the relevant stakeholders, be it with a focus group, or survey, or interview. View list of methods. To set realistic metrics, communication practitioners need lots of common sense and at least an elementary understanding of communication theory. Measuring intangible assets like corporate reputation, brand equity, relationships and corporate citizenship is not an easy task. Clustered within terms such as reputation and relationships are many different, more basic constructs like loyalty, trust, satisfaction, faith and admiration. We need to understand what we want to measure before we can ask. Ill-conceived assumptions about what communication can achieve sometimes lead to misguided and overly optimistic goals that make evaluation risky and problematic. This is best achieved with a conceptual construct that displays the full what of measurement in a framework (Likely, 2000:24). The how (techniques of measurement) is an operational matter, for which external advice can be sought.
Level 3 Evaluation
The third level of evaluation, planned in this step of the Communication strategy, measures the performance of the function against its set strategic goals in the longer term. Usually these measures cannot be linked to one specific activity or plan, but relates to the collective performance of the function over time. Movement on indicators such as reputational value and relationship health is a consequence of the value created by Communication Management over a longer period of time. It therefore is known as the measurement of outgrowths or the cumulative effects of the performance of Communication Management on the previous two levels (activities and plans). EFFECTIVENESS: Measurement of the Communication functions effectiveness is critical to link its performance with organisational goal achievement. The majority of communication goals do not directly contribute to increased market penetration, market share, sales and ultimately profitability (the bottom line). Communication Management is often called upon to influence areas important to long-term sustainable success such as key stakeholders perceptions of the organisation. If a communication goal was set in a straight strategic line with an organisational goal, then achieving that communication goal will positively impact on achievement of the organisational goal thereby contributing to the new ROI criteria or triple bottom line. Accordingly, the contribution of Communication Management must be measured in more than direct monetary returns, even in financiallyorientated public and private companies. View an example of selected metrics and methods for measuring effectiveness.
EFFICIENCY: Efficiency metrics comprise the areas in which top management would like to see improvement of the overall management (time, cost and quality) of the function. Metrics can include process improvements, productivity improvements, cost containment or people development culminating in a process of continuous improvement. View an example of selected metrics and methods for measuring efficiency.