Internal Communication Report

Internal Communication Part I: Definition and the Changing Environment Part II: Organizing Internal Comm Efforts Part III: Implementation Part IV: Management’s Role in Internal Comm Report by: Bryce Caluag-Oliveros

Report Objectives 1. Review Corporate Communication Concepts learned so far. 2. Define the Importance of the subject 3. Discuss the Importance of Internal Communication in depth to enrich the audience with the knowledge that will contribute to the skills required to be an excellent communicator. – – – –

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Internal Communications and the Changing Environment Organizing Internal Communication Effort Implementing an Effective Internal communications Program Management’s Role in Internal Communications

Set specific and simple application of skills.

Internal Communication & the Changing Environment In this Section: 3. Define what internal communication 4. Define and explain what a company culture is. 5. Elaborate and discuss how the environment changed and it has evolved. 6. Application

What is Internal Communication? • It is the transfer of information via channels such as: memos, intranet, publication or broadcasts, etc. • An in-depth definition is creating corporate culture that drives organizational change.

What is Corporate Culture? • As defined on BNET.com a management resource center: The combined beliefs, values, ethics, procedures, and atmosphere of an organization. The culture of an organization is often expressed as "the way we do things around here" and consists of largely unspoken values, norms, and behaviors that become the natural way of doing things. An organization's culture may be more apparent to an external observer than an internal practitioner.

Internal Communication Today • Today’s employees are well educated, have higher expectations of what they will get out of their careers • We are in the information era where data and information are a click away. • According to one of the articles I have read, Gen Y people seem to be job hoping not due to fickle mindedness but according to recent human resource behavior researches, today’s generation is more passionate and the lack thereof encourage them look for a job where they feel they belong where if ignited spurs a very passionate and productive talent to keep.

Internal Communication Today • The increasingly complex and highly competitive nature of today’s business environment puts greater pressure on employees and also calls for a more concerted effort in the area of internal communications. • Today’s employees increasingly are demanding participation in the conversations that re driving organizational change. This participation if vital to keeping employees at all levels of the organization • Communication must be a two-way process.

Survey Says!!! According to Survey by TNS: • 40% workers feel disconnected from their employers; • 2 out of every 3 do not identify with or feel motivated on company Goals • 25% “showing up to collect a paycheck”

Internal Communication Today • If managers provided information to employees and also listen to them, where such action are key to building a strong connection with the employees thus, good morale increases productivity and drives the organization to its vision, mission and goals. • To focus and strengthen communication efforts, the challenge is to ensure the sincerity of the communication they are receiving through the manager’s ability to engage employees in vision and mission.

Engage or not Engage at all… • Same goes with a company you try to engage with some and they yes, and some, would say no, so the next question is “pare, what would I do for you to marry me?” same as communicate to the employees, “this is the case, how can WE MAKE IT WORK FOR A COMMON GOAL?”

So What is Internal Communication? • Strong internal communications – productivity – will thus continue fostering increased workforce loyalty and to play a pivotal role in a company’s employee retention and over all success.

ORGANIZING INTERNAL COMMUNICATION EFFORT Part II: Organizing Internal Comm Efforts Report by: Bryce Caluag-Oliveros

How Do We Organize a Program? In this Section: 3. Recap definition of Internal Communication and the Changing Environment 4. Demonstrate the next step to organize and/or start and Internal Communication Effort 5. Describe the business function

How Do We Organize a Program? • The first step to organizing an Internal Communication Effort is through a Communication audit. • Another way to assess the effectiveness of a company’s internal communication efforts is by determining what employees’ attitudes are about the firm

Effective Internal Communications

What is the Goal? – The main goal to reinforce employees’ beliefs that they are important assets to the firm

Understanding the Business Function • In the past, Internal Communication was handled by the Human Resource Department (HR), although the business function crosses over to Corporate Communication department. • Some companies perceive it more beneficial to delegate the internal communication to the Corporate Communication department to create continuity between both general and HRrelated communication strategy and execution. • Large, multidivisional firms on the other hand have a representative in every department or division that reports to the Chief of Staff.

Understanding the Business Function • In some companies they outsource all communication tasks to experts • The internal communication strategy must work closely in conjunction with external communications to integrate the messages disseminated to both internal and external audiences. • “David Verbraska, corporate communication general manager at Pfizer explains: “Employees wear many hats – they’re stockholders, recruiters, customers and memers of the community… Management must understand that the internal audience could be even more important to a company than external for all the right business reasons, andthere are consequences in not aligning the areas”

How To Suceed with Employees 1. 2. 3. 4. 5. 6.

Open and honest exchanges of information Clear, easy-to-understand materials Timely distributions. Trusted Sources Two-way feedback systems Clear demonstrations of senior leadership’s interest in employees 7. Continual improvements in communication 8. Consistent messaging across sources

IMPLEMENTING AN EFECTIVE INTERNAL COMMUNICATIONS PROGRAM Part III Report by: Bryce Caluag-Oliveros

Implementing an Internal Communication Program? In this Section: 3. Recap of the changing environment that affects internal communication and how to organize efforts to strengthen communication efforts with in the company and its connection to external communication 4. After making a communication audit that identifies the strengths and weaknesses of the communication effort, discuss the next steps to implementing an EFFECTIVE internal communication program.

Channels of Internal Communication • Personal one-on-one through counseling, coaching, team meetings • Programs that use technology like email blasting • Intranet • Office Activities

Communicating Up and Down What is the Importance of Communicating from UP to Down? • When high-level managers isolate themselves physically and psychologically from other employees, effective communication cannot happen therefore there is need to communicate from ‘up and down • Communicating up to down is opening communication lines from senior management down to the front-liners of the firm which are key driving force that leads a firm to success and lower employee turnover

What does survey and studies say? Nationwide survey of over 5,000 employees in U.S. shows the following data: • Greatest criticism employees have of companies is that they do not encourage upward as well as downward communications • Less than half (45%) of employees think senior leaders opens and/or creates a two-way communication line • Less than half (49%) of employees say there are existing communication systems to raise questions and issues with senior leaders.

Best approaches and examples of Two-Way Communication • The best approach to communicating with employees is through informal discussions between employees and supervisors • Employees need to feel secure enough in their positions to ask question and offer advice with out fear or reprisals from top management. • The kind of open communication and care for employees as a hallmark of his leadership style (Continental Airlines) CEO Gordon Bethune has been credited for a significant improvement in employees morale and overall corporate culture at Continental

Best approaches and examples of Two-Way Communication • Jet Blue has a low annualized employee turnover rate of between 10-12 percent compared to the industry average of approximately 20 to 24 percent. • Conversations with management promote feeling that employees themselves are serving as catalysts for organizational change • Respecting employees as well as listening and interacting with them form the basis for an effective internal communication program.

Making time for Face-to-Face Meetings Why is it important? •

When Colgate-Palmolive Mennen deodorant plant in Morristown was handled by Rob Frazier one of the problems involved “no communication going on” where one of the consequences was loss of $10 million a day and morale was at an all-time low. The Solution: Rob Frazier met with employees by ten to understand their challenges (communication audit) then this was followed by morning “check-ins” where in those short meetings they talked about how the previous day was, also a chance to find problems, raise questions and solve problems. – The Effect: Employees went back to work ready to contribute to the plant’s success. – Cost: 15 minutes of Frazier.

Communicating Online • The technology of company intranets in the late 90’s provided a new channel through which companies could reach their employees quickly and broadly with important news on events and key management initiatives. • The intranets also serve as interactive platforms where employees can rally together and share their views on company programs and activities that contribute to building trust.

The IBM Case • Since IBM serve clients in 170 countries, the firm created the “JAM” technology which enables the employees to log in and input real-time comments in a discussion forum that tracks thousands of discrete conversational threads during a companywide “Jam” Event. – CEO Sam Palmisano followed a six-month review of IBM’s management organization with the topic on IBM’s culture and how those values would drive innovation and industry leadership going forward. – After the detailed analysis Palmisano announced IBM’s new set of corporate values, essentially written by the employees themselves through the ideas expressed via the jam.

• EFFECT: Employees where hungry for the new values that they authored: in the 10 days following the announcement of the new values, more than 200,000 people downloaded the document on the intranet

Maximizing Intranet and the Effective Mix of Communication Channels • The new digital technology that brought about the internet, while extremely powerful, must be used thoughtfully if it is to enhance communication rather than detract the impact of management’s messages. • A strategic approach is required to mix different communication channels based on the communication audit. • Companies need to invest a considerable amount of thought to make sure that their messages are getting through to employees and information is easy to find to always ensure high productivity.

Maximizing Intranet and the Effective Mix of Communication Channels • An effective internal communication strategy should focus on both content and channel, recognizing that use of multiple channels offers the best potential for success. • While video and online communication channels are often expedient and engaging, they should not be used as a substitute for personal, faceto-face communication between all levels of management and employees.

Create Employee-Oriented Publications What is it and Why is it important? • Another communication channel is the print medium. This is a channel that can be used for employees with no email access. • A point of consideration for company is to ensure that the company publication provides materials that will be able to communicate with the employees and make them feel that they are part of the firm’s success

What is it and Why is it important? • Like any other publication, a strong communication is required that is creative enough to get the attention of the audience who are sophisticated consumers. • Other print materials are produced in lieu to important events, and/or subsequent thereof • The tone of publications also should be realistic as many employees will see through and distrust anything that seems more like a propaganda than a genuine communication.

Back to Pfizer Case • When Frazier took over the Mennen plant where no internal communication was present, he took over the newsletter and soon posted the “12 Characteristics of an Excellent Manufacturing Operation where the no. four entry was on excellent communication.

Communicate Visually What is it about and Why is it important? • Communicating a message that will bring about pride, motivation and relevant information can be done effectively through different channels and one of them is through the use of visuals considering that employees are becoming more visually oriented • There is a higher probability of recall when communicating a message is done using the sense hearing and visuals which stimulate the brain’s retention

Let the creativity Flow • With the technology today, big companies have studios that produce that is made available “Video Magazines” employees. • Web casts from the head quarters are also ways to commune a message. • Visual communication need not to be high-tech. It is a question of what will work for the firm and the target audience.

Cases Cases Cases • Jet blue holds meetings on the last Friday of each month, when the president spends two hours discussing industry happenings and hosting a live Q&A session. While 200 employees attend in person, the other thousand can access the video via the intranet. • Citigroup hosts the longest-standing quarterly employee broadcast—reviewing financial performance, other key company initiatives and accomplishment. • Colgate-Palmolive’s Mennen plant uses a whiteboard that reveals details about breakdowns, production goals, sick leaves, birthdays, vacation schedules, etc. also a visual measure of success and a source of motivation and pride using a race car scale. It is an inexpensive, easy to implement yet, it works for the firm.

Focus on Internal Branding What is it? • From the marketing word ‘branding’ It is creating a brand that has a recall • A web definition from businessdictionary.com is: Branding aims to establish a significant and differentiated presence in the market that attracts and retains loyal customers.

Why is it Important? • Just as branding campaigns aim to create an emotional tie, in the same sense with internal communication where the connection is created with employees. • Internal branding is also important to building morale and creating a workplace where employees are “engaged” with their jobs • Most of the time, and internal branding campaign should be simultaneously happening with external communication efforts done by the firm. • Internal Branding’s goal is to improve employee morale and ultimately, better results for the company.

Understanding vs. Believing • Employees may understand the company’s brand promise or key services but until they believe it can they really help the company carry it out excellently.

Essence of time When is the best time to start an internal branding campaign? •

The launch of new advertising or re-branding campaign is also an appropriate time to think of internal branding campaign Example: – Nike links internal and external marketing by granting numerous senior executives the second title of “Corporate Storyteller” – talking them to share stories with Nike employees that echo the company’s ad campaigns, instead of focusing solely on financial results – Volkswagen took a similar approach when it introduced its “Drivers wanted” advertising campaign. IN lieu of electronic communications and PowerPoint presentations, staff and dealers watched a creative file that brought the campaign’s slogan and essence to life, instilling in them the spirit of the relaunched brand they would be selling to customers around the world.

Essence of time • During mergers – Example: The merger of British Petroleum with Amoco and then ARCO it re-branded itself as BP evangelizing that the merger was “beyond petroleum”. The Campaign reinforced a company that is an open, collaborative, “new-economy” culture.

• When the results of the internal communication audit reveal that employees are not connecting with the company’s vision or when morale is low.

Consider the Grapevine What in the world is a grapevine in context of communication??? • An informal communication network including everything from private conversations between two employees to the latest anecdotes shared in the cafeteria. • In the local context, “Chismis”, “Chikka” • This informal communication can either help a firm or break a firm • The firm should take into consideration that half of all the employees credit the grapevine with bringing them word of major corporate changes. This informal medium distributes messages faster and more credible forms than formal channels.

A deeper look into the Grapevine • 17% of employers think that workers rely on the grapevine for information. • Statistics reveal that over 90% of companies do not have a policy for dealing with the grapevine or for managing any other informal communication network. • 89% of managers conceded that the grapevine transmit negative information which is an indicative of a lack of trust concerning other employees, supervisor, or organizational policies

Implications of the Grapevine • If employees do not receive complete or timely information from their employers, they will have not choice but to rely on one another – as well as external sources – to fill in the gaps. • The stronger the sense of trust, commitment, and engagement between employees and management, therefore the less often employees will resort to the grapevine as the chief means of expressing their voice nd hearing those of fellow employees.

MANAGEMENT’S ROLE IN INTERNAL COMMUNICATION Part IV Report by: Bryce Caluag-Oliveros

In this Section 1. Another Recap on what has been discussed about internal communication 2. Define what the management’s role in Internal Communication and driving the firm to success 3. Integrate the concepts that was learned as well as application for future references,

The Driving force of the Senior Management • The CEOs are the “CULTURE CARRIERS” and visionaries within the company, and all communications relating to organizational strategy start with them. • Robert Dilenschneider, founder of The Dilenschinieder Group describes the new CEO as: Men and women who shod the trappings of imperial power, work with their boards of directors in new, dynamic relationships and find fresh ways to unleash the creative potential of their people, from middle managers to front-line workers. • Physical presence and interaction are an important start.

Putting Effective Practices on the Floor • J.P. Morgan’s CEOs and senior managers position their desks in the midst of their employees physically, working at standard desks and in cubes, to boost camaraderie, engage employees more directly, and create a sense of shared culture and responsibility among employees from the bottom to the top of the ladder. • Senior Managers need to work closely with internal communications professionals to ensure their messages are received and, most importantly, understood by all employees

Putting Effective Practices on the Floor • To achieve a ‘micro’ level understanding of what strategic goals or initiatives mean to individual, internal communication professionals should work with front-line managers to help make messages relevant to the employees who report directly to them.

Integrate it Baby!!! • Managers need to get out from their desks, put down their cell phones and get away from their computers and go out and get to know the people who are working for them. • Everybody has a basic need for interactions • The most important factor in internal communications begins with the manager who has a basic responsibility to his or her employees, the responsibility to listen.