Creating a hig h p erform ance Corp orate and Pub lic Affairs function

Pam ela Catty, June 2 0 0 8

Creating a hig h p erform ance function

Critical success factors functional strateg y alig ned to b usiness g oals structure em b ed d ing function in the b usiness w hile enab ling integ rated stakehold er p lanning and com m unication cham p ion team
focussed on b oth w hat and how

Develop ing functional strateg y

Strateg y inp uts w hole of b usiness strateg y and g oals
w hat can the function d o to enab le b usiness success?

stakehold er aud it
w ho are they? how d o they view the b usiness? w hat d o they think of the w ay the w e com m unicate?

Develop ing functional strateg y

Strateg y m usts keep it sim p le
on one-p ag e b ib le for every team m em b er

g et b uy-in from the line

m ake it your contract w ith b usiness set clear p erform ance m easures
linked to b usiness outcom es

continuous evaluation and review

Corp orate Affairs

OUR STRATEGY
CORPORATE AFFAIRS Purpose: To contribute to and win support for CML becoming Australias number one retailer Objectives: To partner the business to: Build CML's reputation among all stakeholder groups. Foster understanding & support of external stakeholders (investors, analysts, shareholders. media, government, community,) for CML's 5 year strategy. Inform, motivate and engage managers and staff in pursuit of CML's vision, goals & strategy. Identify, facilitate & manage opportunities, issues & risks. Assist the board, senior executives and brands to understand implications of decisions and policies for all stakeholders.
Delighting the Customer Engage CML team members in development and implementation of Coles Myer values Implement CSR strategy - environment/brand community strategies/ethical supply code Continue to enhance investor and media sentiment - access to senior management/exposure to operations Develop internal communication - organisational line manager training/SMT portal - operational comms Engage ELT & SMT in strategic Government Relations big v small/pharmacy/liquor Best team Bed down and leverage new FL&F structure - develop relationship with marketing and consumer PR Integrate Government & Regulatory Affairs structure - co-ordinate regulatory affairs across brands Individual development plans - two development opportunities per person Leverage Centre of Excellence - cross-functional teams/maximising resources/processes Development of CA portal Growing Shareholder Value Reduce costs

Priorities:

Measures of Success:

1% reduction in electricity
consumption Corporate Confidence Index: - Communicates well with investment community (target 4.8; stretch 5;) - Good information disclosure (target 4.6; stretch 4.8) - Informative management analysis of results (target 4.6; stretch 4.8) Good access to management (target 4.2; stretch 4.4) - Good exposure to operations (target 4.4; stretch 4.6) Internal customer survey target = 89% stretch = 91% Employee Climate survey results target = 74% stretch = 76% Cost reduction target = 3% stretch = 5%

Develop ing functional structure

Structure m usts
g ives function voice
seat at the tab le

alig ns w ith w hole of b usiness structure

em b ed s function in b usiness

enab les integ rated stakehold er m anag em ent and com m unication
o rg anisational rad ar avoid s d up lication
centre o f excellence m o d el

f l t, non-hierarchical and cross-functional a

Corp orate Affairs Structure

Group General Manager Corporate Affairs CAM Smarkets General Manager Government /Reg Affairs Manager Corp Social Resp onsib ility General Manager Media Relations General Manager Internal Communications General Manager Investor Relations CAM CMLG CAM Coles Express CAM Myer

Brand & Function Leadership teams

Corporate Affairs Officers

CAM Kmart CAM Officeworks CAM Target

Corporate Affairs Managers sit on brand/functional leadership teams and report to GGM Corporate Affairs Corporate Affairs Officers rotate through functional areas every six months

CAM Supply Chain CAM IT CAM HR

Develop ing a cham p ion team

Team m usts
hire the b est p eop le
skills AND b ehaviours

d evelop rig ht culture

d evelop values - w hat AND how team f i st r

coaching for success

team and ind ivid ual d evelop m ent p lans

p eop le p lan
succession second m ent