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TOPIC 1: FOUNDATION OF CORPORATE COMMUNICATION In this topic, you only need to know 4 elements: 1. Definition of corporate communication 2. Functions of corporate communication 3. Identify audiences 4. How corporate communication can improve organisational sustainability 1. Definition of corporate communication. - “the total communication activity generated by a company to achieve its planned objectives” –Jackson,(in Van Riel & Fombrun, 2007) - “the set of activities involved in managing and orchestrating all internal and external communication aimed at creating favourable starting points with stakeholders on whom the company depends” – Van Riel and Fombrun (2007) 2. Functions of corporate communication - 5 key functional units (refer page:8, figure 1.3) i. Administration ii. Marketing services and sponsorship iii. Media iv. Brand management v. Advertising 3. Identify audiences - There are 3 In-house public

Topic 1- Foundation of Corporate Communication

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Page 1: Topic 1- Foundation of Corporate Communication

TOPIC 1: FOUNDATION OF CORPORATE COMMUNICATION

In this topic, you only need to know 4 elements:

1. Definition of corporate communication

2. Functions of corporate communication

3. Identify audiences

4. How corporate communication can improve organisational sustainability

1. Definition of corporate communication.

- “the total communication activity generated by a company to achieve its planned

objectives” –Jackson,(in Van Riel & Fombrun, 2007)

- “the set of activities involved in managing and orchestrating all internal and

external communication aimed at creating favourable starting points with

stakeholders on whom the company depends” – Van Riel and Fombrun (2007)

2. Functions of corporate communication

- 5 key functional units (refer page:8, figure 1.3)

i. Administration

ii. Marketing services and sponsorship

iii. Media

iv. Brand management

v. Advertising

3. Identify audiences

- There are 3

i. In-house practitioners

a. Can divided into two sub-groups

(according to Abdullah, 2008)

b. Corporation employ a substantial number

of communication executives for objectives such as:-

1. Promoting corporate image

2. Internalising branding and supporting the selling of products and

services.

In-house public services

In-house private services

Page 2: Topic 1- Foundation of Corporate Communication

ii. Corporate communication consultants

a. The first communication consultancy established in Malaysia was

ERIC WHITE in 1965. Now there are about 45 local and foreign

communication firms operating in Malaysia such as Hill & Knowlton,

Burston Marstellar, Weber Shandwick, Edelman Worldwide and GCI

Worldwide.

b. According to Idid (2004), many local communication firms have

affiliated with foreign consultancies, especially from US and UK which

they also provide a broad range of functions of reputation management,

investor relations, online PR, image and identity management.

iii. Academics

a. Since 1970s, PR/ corporate communication education has been

established in this country under the departments or school of mass

communication or business schools in various local universities and

colleges.

b. Most of academics hold highly academic credentials such as Master or

PhD degree. Some of them are employed based on their working

experience.

c. Universities and colleges offer undergraduate and postgraduate

degrees, including PhDs, in corporate communications and

organisational communication.

4. How corporate communication can improve organisational sustainability

- The values of corporate communication are seen through the lens of internal and

external stakeholders of the corporation.

Page 3: Topic 1- Foundation of Corporate Communication

TOPIC 2: HISTORY AND DEVELOPMENT OF PUBLIC RELATIONS &

COMMUNICATION MANAGEMENT

In this topic, you only need to know 2 elements:

1. Difference between PR and corporate communication (CC)

2. Importance of corporate communication

1. Difference between PR and CC

a. PR – “ PR is the management function which evaluates public attitudes, identifies

the policies and procedures of an individual or an organisation with the public

interest, and executes a programme of action to earn public understanding and

acceptance” (Cultip et al.,2006, p.4)

b. CC – “Corporate communication is a management function that offers framework

for the effective coordination of all internal and external communication with the

overall purpose of establishing and maintaining favourable reputation with

stakeholder groups upon which the organisation is dependant”. (Cornelissen, 2008,

p.5)

Differences between PR & CC

PR CC

Public needs and attitudes; public

interest; public understanding and

acceptance.

Focuses on stakeholder groups.

Identifies policies and procedures. Effective coordination of

communication.

Image building emphases external

relations.

Favourable reputation internally

externally.

Supports top management. Strategic role in top management.

Similarities between PR & CC

PR CC

A management function A management function

2. Importance of corporate communication

Page 4: Topic 1- Foundation of Corporate Communication

TOPIC 3: ETHICS AND PROFESSIONALISM IN

Page 5: Topic 1- Foundation of Corporate Communication

CORPORATE COMMUNICATION

In this topic, you only need to know 2 elements:

1. Definition of ethics and professionalism.

2. Importance of ethics and professionalism.

1. Definition of ethics and professionalism.

i. Ethics – as a guide to professional practice and to provide the basis for

enforcement and sanctions.

- “application of moral values in practice”. (Cultip et.al,2006, p.122)

ii. Professionalism

- “occupational ideal for many non-professionals and is likely to become the ideal

for more with the advance of industrialisation and proliferation of technologically

based occupations”. (Kultgen, 1998,p.9)

2. Importance of ethics and professionalism.

3. Importance of the code of ethics - “adherence to a set of professional norms” (Cultip,

2006)

TOPIC 4: MANAGING IDENTITY, IMAGE AND REPUTATION

Page 6: Topic 1- Foundation of Corporate Communication

In this topic, you only need to know 4 elements:

1. Definition of corporate identity

2. Concept of corporate image

3. Definition of corporate reputation

4. Importance of managing corporate identity, images and reputation

1. Definition of corporate identity

- “visual manifestation of the company’s reality” (Argenti, 2007)

- Model of corporate identity are:

i. Symbolism – visual design for example corporate logos and the house

style (uniform, stationery etc) of the organisation.

ii. Communication – internal & external forms of communication tools such

as event, corporate and product advertising, sponsorship, publicity and

promotions are used to influence consumer.

iii. Behaviour- behaviour of employees, ranging from top management

personnel to lower management and clerical workers such as cleaners.

Directly and indirectly affect a company’s image.

2. Definition of corporate image

- “a reflection of an organisation’s identity” (Argenti, 2007)

3. Definition of corporate reputation

- “ a subject’s collective representation of past images of an organisation that is

established over time” (Cornelissen, 2008)

- Advantages of having good corporate reputation:-

a. Employees – motivated to work hard, job satisfaction.

b. Customers – purchase the company’s products with confident (high level of

repeat sales)

c. Investors – attracted to invest more in the company.

d. Media journalists – encouraged to produce more positive news coverage about

the company

e. Financial – analysis give better and more favourable coverage and

recommendations.

4. Importance of managing corporate identity, images and reputation.

Page 7: Topic 1- Foundation of Corporate Communication