Chapter 1

An introduction to public relations

What is Public Relation?

A public relations is the aspect of marketing which manages the flow of information from
the company to the public. Depending on the scope of the business operation, public
relations may also need to separately manage the flow of information from the company
to two other major stakeholders, the government and the military, which may also require
the company to position itself within political affiliations. Public relations is distinct from
an advertising campaign in that advertising aims to build product exposure and
association, while public relations focuses on public perception of the company itself.
There are two major parts to public relations: promoting a positive view of the company,
and damage control.

Scott Cutlip, Allen Center and Glen Broom (2000), the noted authors of "Effective Public
Relations", which is often referred to as the "bible" of the field, suggest that the evolution
of the public relations function within organizations and society is reflected in the
changing views and definitions of PR. As such, Cutlip and his colleagues aptly define PR
as "the management function that establishes and maintains mutually beneficial
relationships between an organization and the publics on whom its success or failure
depends." In the same context, PR can be more easily described as "a management
function that utilizes communication strategically" (Ledingham and Bruning, 1998) to
develop beneficial relationships between organizations and their stakeholders.

Although there are numerous communication techniques and strategies that are used as
part of a PR professional's public relations program, the foundation of most successful
PR efforts today is rooted in building and maintaining relationships. Effective public
relations involves a keen understanding and commitment to the interests and needs of an
organization's internal and external publics. Cutlip, Center & Broom (2000) note that the
changing view of public relations as a management function, which emphasizes building
and maintaining relationships, reflects the evolution and maturation of PR in
organizations and society.

Based on the current literature, the days of the one-way concept of public relations, which
relied heavily on propaganda and persuasive communication, are nearly gone. Most
contemporary models promote PR as a two-way concept which emphasizes
communication exchange, reciprocity, and mutual exchange (Cutlip et. al., 2000).
Because of this shift, it is believed that the concept is expanding to include organizational
adjustment, the addition of counseling management and the implementation of corrective
action in the role of public relations.

PR as an IMC tool:

Public relations (PR) is a facet of modern-day integrated marketing communications

(IMC). It is a communication medium that businesses of all sizes use to reach their
intended or target audience(s).

PR efforts make use of a general formula: objectives + strategies + tactics + evaluation.

Objectives are the clearly definable and measurable communication goals to be achieved.
For example, increasing community knowledge of XYZ Firm 15% would be a well-
defined, measurable objective.

The strategies are what gets done in order to achieve those objectives. Making XYZ Firm
more proliferate through one-on-one communication with consumers is an example of a
strategy.

Tactical measures are the specific things that are done to implement the public relations
plan. The XYZ-Firm-sponsored booth at the community fair, wherein prospective
consumers can chat with members of XYZ, all while sipping complimentary coffee-this
is a PR tactic. Tactics are all about getting out there and getting dirty, so to speak. Tactics
are about action.
And finally, evaluation is used to determine if the PR plan worked in achieving desired
objectives. Did XYZ Firm meet, exceed, or fall short of its set objective of a 15%
increase in community knowledge? Marketing research techniques are necessary to
determine this. It is here that I must add that PR is two-way, cyclical communication
because evaluation determines the revision and direction of the objectives. After
evaluation and revision the process starts all over.

Typical businesses have a lot of publics they relate to. Government, customers, news
media, employees, community-these are all publics that need to be considered in a firm's
PR communication efforts. Deciding what means to use to reach and communicate with
these publics is up to the individual firm, and more importantly, what market research
determines is necessary. For example, a firm that wishes to foster goodwill in a
community that has a dominance of "green minded" residents may find sponsoring a
community cleanup, or planting trees to be effective PR tactics. Another example of PR
in action: employee newsletters. These communication vehicles seek to involve
employees in their workplace and to establish good worker-to-employer communication.

These examples are a bit over simplified. PR is not easily explained in a few paragraphs-
there's a reason that colleges offer full majors in PR! The fact is, there are many public
relations tools used by different businesses. There's no "one size fits all" in PR. While a
large publicly traded entity needs to have good investor relations (i.e. annual reports, SEC
filings, etc.), a "mom-and-pop" hair salon may need to focus more on fostering good
community relations in the locale it operates in.

Determining a firm's essential publics, and the most effective ways to establish two-way
communication with those publics is at its heart what public relations is really all about.

Purpose or Role of PR:

What is the purpose of Public Relations? There are a number of diverse opinions as to the
appropriate definition of public relations and, indeed, there are many reasons given for
the role of PR persons or departments, particularly within the organisational context.

Perhaps one of the most appropriate definitions is that provided at a recent international
public relations conference, which stated that: -
"Public relations practice is the art and social science of analysing trends, predicting their
consequences, counselling organisation leaders, and implementing planned programmes
of action that will serve the organisation's and the public interest" (Baines et al 2004,
p.7).

Therefore it can be seen from this that the essence of public relations, at least in the
commercial environment, is to increase the level of understanding that exists between the
business and the various stakeholders that are either involved with that business, or ma y
be affected by its actions. This is different to the commonly held view that the role of PR
departments was to influence public thinking about a particular issue within the business,
although an element of that still exists.

However, the modern role of public relations within a corporate environment is to act as
an umbrella through which all message communications about the business are
channelled, with a view to ensuring that this message is portrayed in an accurate and
honest manner. Therefore there task is important. For example, they need to be constantly
updated about information that has appeared in the media about the company. Where
such incidences occur, the PR department needs to check its authenticity, especially if
company sources are quoted. It also needs to correct misleading or inaccurate
information. To this extent, they can be seen to be protecting the company. Nevertheless,
they are also protecting members of the public, including consumers and shareholders by
making sure in the first instance that the information they receive is correct and therefore
cannot cause harm to them. In terms of the shareholders, making sure the company is not
harmed financially by what is said about it, which protects shareholder investment.

In reality, public relations departments have to perform the task of listening as well as
sending out messages. They should be the ears as well as the eyes and mouth of the
corporation. This means they have to gather information from every possible area and
media and store this information for immediate or future reference. Only with that depth
of research will the PR department be able to react efficiently and effectively to any
incident that arises, which is likely to affect the company.
Of particular importance is the role of the PR department during times of crisis that affect
the corporation. This might be a financial crisis, where the company is struggling to meet
growth targets. Alternatively, if it is a physical crisis, such as an accident, fires or
terrorism incidences, the PR target is threefold. Firstly, it needs to sure that everything is
done to make sure that everyone is safe or taken care of. The second task is to make sure
that the media has accurate information so that the public are kept properly informed, and
that this information is regularly updated. The third step is to inform the media and public
when recovery has taken place and it is business as usual.

Public relations therefore are the centre for communication in all of its guises and
designs.

PR vs Advertising

Many people confuse public relations with advertising, but there is a world of difference
between the two disciplines. Advertising is destined to sell a product or service by means
of eg. a TV commercial or newspaper advertisement, whereas the role of PR is to inform
and educate by means of a whole variety of promotional activities which result in media
editorial coverage. Listed below is a simple checklist highlighting the main difference
between PR and advertising?

Advertising
• Advertising is paid for by buying space in the various media available.
• Advertising is something a company says about itself. It can say almost anything it
wants to as long as it does not infringe advertising codes or laws.
• With advertising a company has control over what and when it will appear.
• With advertising, you get as much as you pay for.

Public Relations
• Editorial space is not paid for. It is only available on merit.
• PR is all about disseminating information about a company; correctly projected it will
reach a wide audience.
• Editorial material is based on information that has been supplied or that the media has
obtained independently. You have no control over what happens, so don’t ask!
• The amount of space a paper or publication devotes to a story is purely an editorial
decision. One favorable paragraph or short story can be worth a whole page of
advertising - and it’s free.

Public Opinion: “Public opinion is the aggregate of many individual opinions on a

particular issue that affects a group of people.”

What’s public opinion, and who’s your public?

Politicians, communicators, social philosophers and business owners have been infinitely
interested in public opinion since the 1300s. Journalist Walter Lippmann defined it in his
1922 book, Public Opinion, as “primarily a moralized and codified version of human
preconceptions.” The definition developed in the later 20th century to encompass
“prevailing frame of mind – most often from an array of differing opinions – publicly
expressed by a significant number of persons on an issue of public concern” (Bernard
Hennessy, 1970).
By the 1980s, the concept of publics had evolved to the recognition that no one
“prevailing frame of mind” could explain public opinion, or, more relevantly to business,
be used to create campaigns to influence public opinion. Seitel and Fraser in their
widely-used textbook, The Practice of Public Relations, listed four categories of public
opinion:
The general public or “nonpublic” – having “little interest in the facts surrounding
public issues or the issues themselves.”
The attentive public – “knows that certain issues are prominent in the public arena.”
The informed public – “not only knows the issues but participates in the dialogue
concerning them.”
The elite public – “initiates and defines the issues and manages the public discussion
about them.”
What has changed since the new millennium and the development of social media? One
could argue: everything. While we still have the nonpublic, those with little or no interest
in public issues, as well as attentive, informed and elite publics, the ability of the latter
three to influence policy and issues formation has been merged and blurred by the power
of social media.
At one time, before the breakdown of traditional gate-keeping institutions, the elite public
– corporate giants, politicians, philosophers, editors, reporters, writers and religious
leaders, among others, were the initiators and definers of the issues that arrived on the
radar screens of most consumers. Concepts of consumer tastes, fads, reforms, revolution,
war and peace and movements such as labor, civil and women’s rights and became
mainstream through the noted thinkers and leaders of the time.
Businesses have had a long tradition of working through these gatekeepers to promote
products and services.

Why is it critical to PR work?

The heart of public PR work lies in attempting to influence the public opinion process.

Most PR programs are designed to:

a. Persuade people to change their opinion.
b. Crystallize uninformed or undeveloped opinions.
c. Reinforce existing opinions.

Public Image:
Promoting a positive image of the company requires the company to first define itself. It
may seem strange that self-definition is necessary, but the fact is that if the company is
not secure in the identity it wishes to project, its competitors will do so for it, as Apple is
doing very effectively for all things PC and Vista. Once the desired image has been
identified, the job of the public relations team is to create publicity for the company that
will help to reinforce this image.
For example, the public relations team may ensure that the company has been nominated
for industry awards it is likely to win. It will develop press kits and specific press
statements for new releases. In larger companies, the public relations team will also
manage internal communications of major announcements as part of building employee
loyalty.

One gray area which falls between advertising and public relations is corporate
sponsorship, where a company financially supports an event or individual in exchange for
having its name linked with it. This is almost always a positive move for the company,
but sometimes it can also horribly backfire if, for example, a high-profile sponsored
athlete has been found to be using steroids.

Damage control
Press releases and other PR activities can also be used for damage control
purposes. Damage control is the process of countering the extreme negative effects a
company gets when it receives bad publicity. Domino’s Pizza was forced to engage in
damage control after two of its employees created a video doing disgusting things to
pizzas and then posting it to YouTube.

If the publicity is particularly bad, as it was for Domino’s, a company might hold a press
conference or prepare a speech for the top executive to give. For example, the president
of Domino’s spoke on video to try to control the damage to Domino’s business. The
company then posted the video on YouTube
Damage control is of two general types:

1. Preventative: Prevention requires anticipating potential damage to the company so

as to avert it entirely, or else manage the language and circumstances of its
release.
 2. Reactionary: Reactionary damage control usually occurs in response to a
competitor's smear campaign, or after an event which does not show the company
in a good light.

Spin or cherry picking:

At the extreme end of dealing with potentially bad news is the spin. Spinning a piece of
bad news refers to specific techniques used in the manner of its release and subsequent
follow-up information such that the story is made to look much better than it really is. For
example, pharmaceutical companies traditionally publish only those studies whose results
show their products in a positive light, while the results from any other studies are never
released, and may even be buried so deep that those outside the company may never learn
they existed at all. This spin technique is called cherry picking, because it concentrates on
the good to the complete exclusion of the bad. Another common spin technique is to time
the release of controversial company information so as to coincide with other, outside
events which will either reinforce the positive view or drown out the company
information altogether. Other techniques rely on sloppy logic and especially the taking of
unproven assumptions as facts. Because the ultimate aim of a company is to build a
positive relationship with its customers, spin tends to be generally discouraged in PR
circles. However, skilled use of these techniques is only recognized as spin if someone
finds out.

Specific media structures through which the company spokesperson can promote the
company message are talk shows, keynote addresses, mass media of the appropriate
political or business leaning, and even books. The Internet age has added electronic
newsletters and websites to the possibilities. One tactic that is probably used much more
than is publicly acknowledged is the third party technique, where seemingly third-party
organizations are created by the public relations department for the specific purpose of
promoting values which support the company. For example, the genetic technology
multinational Monsanto is known to have created Internet forum identities which then
employed active public relations strategies to tear down opposing arguments and redefine
them into something more favourable to Monsanto.

While small businesses usually manage their public relations themselves, larger
businesses now have the option of hiring a public relations agency to work with their own
PR people, which may have a wide area of expertise or be highly specialized to a specific
market or product type. Which type will best suit the needs of the company depends on
the nature of the company and its products.

Chapter 2
Writing a press release

One of the most important aspects of PR is informing the public through editorial
coverage. This is achieved by continuously supplying relevant, newsworthy information
(and not what the client or employer wants to see in print) to the appropriate media, either
by personal contact or by press releases.

A press release is used to communicate information to the press and broadcast media. It is
an efficient yet inexpensive PR tool, but care should be taken in the projection of the
information given that the release will be competing alongside all other news material
which flow into the offices of the media. It must be written in a from capable of catching
the eye of the impatient news editor, copyeditor or specialist reporter.

Wherever you target your story, always ensure you're aware of the relevant copy
deadlines, so that your material arrives on time. It's a fact of life that old news ends up in
the bin. Ideally the releases should be tailored to the targeted media. For example, stories
sent to the local press and radio stations should also have a local angle. Research shows
that tailoring does improve the chances of publication.

The 10 golden rules for writing Press release:

Before you put pen to paper, think carefully about what you want to say, the audience
you are seeking to address and, of course, the media to whom you are sending your
release. The ten golden rules represent the priorities to bear in mind when putting
together a draft, the main task being to answer all the questions in the reader's mind.
1 Always put the date at the top.
2 Start with a good, strong headline, supported by the essence of the story in the very first
paragraph - what?
3 Place the company's name prominently in the opening section - who?
4 Demonstrate that the story is of local or national importance - where?
5 Give a brief indication of company thinking behind the new development - why?
6 Provide information on the time-scale of the news story - when?
7 Include an editor's note, with basic facts such as company background for recipients not
familiar with the organization.
8 Feature a contact name, brief them to take calls and provide further details
9 Support the name with a telephone, fax number, email and website addresses, if
appropriate.
10 Above all, keep it short, informative, interesting.

UNLESS YOU FOLLOW ALL THESE RULES, YOUR RELEASE COULD WELL
BE ONE OF THE 90% THAT END UP IN THE BIN!

Some style guidelines for news releases;

You want your press release to form the basis of a news story in a newspaper or
magazine. You should, therefore, write the release as it would ideally appear. All
nationals and major regionals will always rewrite to make the release fit their own style.
But, a good release will go unedited into smaller regionals and trade journals. If,
however, the release is pure propaganda puff, and could not be published as it is, a news
editor is more likely to bin it than rewrite it! Your approach, therefore, should not be
"how do I write a press release?" but "how do I write a news story?"
Every newspaper has a 'house style' book - a set of guidelines for its journalists to follow.
Below is an extract from the introductory section from the FT Style Guide which serves
as an excellent guide for writing press releases.
1. Try to answer the questions of who, what, where, why, when and how much
within the first three paragraphs of a story.
2. Make every word count. Use short simple sentences and short words rather than
long ones. Make one striking point in the opening sentence of a story, ideally
using 14-20 words, not more than 25.
3. Prefer the active voice to the passive, the transitive verb to the intransitive.
4. Prefer the full stop to other forms of punctuation. Use 'and' and 'but' sparingly at
the start of sentences and, especially, paragraphs.
5. Keep paragraphs, particularly the first, to no more than about 40 words. Avoid
using the same opening word in successive paragraphs. Remember Fowler's
contention that the paragraph is a unit of though not of length.
6. Write in the language of everyday speech, not that of politicians, lawyers or trade
unionists. Use English words to foreign ones unless no accurate equivalent exists.
Explain anything the readers may not understand.
7. Do not let your own opinions invade a news story. Do not tell the reader what to
do or think.
8. Explain early in the story the function of the Organisation/s you are writing about.
The writer should do this; the sub should not have to.
9. Keep abstract nouns to a minimum (situation, condition, and problem) and
consider whether words such as 'really', 'however', and 'for instance' are needed.
Do not ascribe eyesight to months ('next month should see an improvement in the
figures…'). Such vaguely metaphorical terms can always be avoided. Give words
a precise meaning.
10. Be accurate in the use of quoted matter, especially in headlines.

11. Remember what part of the paper you are writing for. Phrases and abbreviations
that may be acceptable in the financial and markets section may need fuller
explanation in the news and features pages.
 12. Do not pepper our stories with too many acronyms; they are a visual distraction
and are often unnecessary.
13. Remember that two-fifths of FT readers live outside the UK. Therefore, avoid the
words 'we' and 'here' when referring to the UK; also with the seasons of the year
and points of the compass.
14. Bear in mind the possibility of libel and send a story to the lawyers if you think
there is a risk.
(Extract from "Financial Times Style Guide" Published by FT Management)

Chapter 3
Public Relation Tools

Good public relations efforts can help a firm create rapport with its customers, promote
what it has to offer, and supplement its sales efforts. Many organizations that engage in
public relations have in-house PR departments, media relations groups, or investor
relations groups. Other organizations sometimes hire external PR firms or advertising
agencies to find and create public relations opportunities for them. PR specialists must
build relationships with people at different media outlets to help get their stories placed.
Universities, hospitals, government organizations, and charitable organizations often hire
PR people to help disseminate positive information about their services and to increase
interest in what they do.

PR specialists also help political campaign managers generate positive information in the
press. PR specialists can handle damage control and put a positive view on situations
when something bad happens to an organization or person. In foreign markets, PR
agencies may help ensure product concepts are understood correctly. Getting all PR
stories placed in desired media is not guaranteed. A lot of time and effort is spent getting
to know people who can help publish or announce the information to the public.
Companies use a variety of tools for their public relations purposes, including annual
reports, brochures and magazines for both employees and the public, Web sites to show
good things they’re doing, speeches, blogs, and podcasts. Some of the most commonly
used PR tools include press releases, sponsorships, product placements, and social media.

The types of key tools available to carryout the public relations function include:

• Public awareness campaign

• Media Relations
• Media Tours
• Newsletters

• Special Events
• Speaking Engagements
• Sponsorships

• Employee Relations
• Community Relations and Philanthropy

Each of these PR tools is discussed in detail below.

1. Public awareness campaigns: There are subtle differences between a PAC and
an advertising campaign. The primary meaning of "awareness" in the
communication industry is to make a target audience "aware of" a product, service
or issue (e.g. a new law about the importance of recycling). In other words, the
aim of a PAC is simply to inform people. The aim of an advertising campaign, on
the other hand, includes the task of raising awareness about the product or service,
but it goes further; it aims to stimulate an action among the target audience, for
example the purchase of a particular product or service, or increased "brand
awareness" when browsing in a supermarket. Most public awareness campaigns
are commissioned by public institutions or NGOs with the purpose of informing
the public about an issue or new obligation, almost of all of which are considered
to be in the public interest. Advertising, in its non-commercial guise, is a powerful
educational tool capable of reaching and motivating large audiences. The same
 advertising techniques used to promote commercial goods and services can be
used to inform, educate and motivate the public about non-commercial issues,
such as AIDS, energy conservation, and deforestation. Eg. Aircel save Tiger
campaign.
2. Media Relations: Historically the core of public relations, media relations, includes
all efforts to publicize products or the company to members of the press — TV
and Radio, newspaper, magazine, newsletter and Internet. In garnering media
coverage, PR professionals work with the media to place stories about products,
companies and company spokespeople. This is done by developing interesting
and relevant story angles that are pitched to the media. It is important to
remember that media placements come with good stories and no payment is made
to the media for placements. In fact, in order to maintain the highest level of
credibility, many news organizations bar reporters from accepting even the
smallest gifts (e.g., free pencils with product logo) from companies.

Key tools used in media relations include:

• Press Kits - Include written information such as a news release, organization

background, key spokesperson biographies and other supporting materials that
provide information useful to reporters.
• Audio or Video News Releases - These are prerecorded features distributed to
news media that may be included within media programming. For instance, a local
news report about amusement parks may include portions of a video news release
from a national amusement park company.
• Matte Release - Some media, especially small local newspapers, may accept
articles written by companies often as filler material when their publication lacks
sufficient content. PR professionals submit matte releases through syndicated
services (i.e., services that supply content to many media outlets) or directly to
targeted media via email, fax or snail mail.
• Website Press Room - While hard copies of materials are used and preferred by
some media, marketers are well served by an online press room that caters to media
needs and provides company contact information.
As PR people know, many story ideas for newspapers, magazines and television news
often start with a suggestion from a PR person. If things work out, a reporter or editor
will, at best, write a positive story with the company as a key feature or, at minimum,
include the company’s name somewhere within an industry-focused article.

3. Media Tour: Some new products can be successfully publicized when launched
with a media tour. On a media tour a company spokesperson travels to key cities
to introduce a new product by being booked on TV and radio talk shows and
conducting interviews with print and Internet reporters or influencers (e.g.,
bloggers). The spokesperson can be a company employee or someone hired by the
company, perhaps a celebrity or "expert" who has credibility with the target
audience. One common use of the media tour is the book tour, where an author
travels the country to promote a newly released book. A media tour may include
other kinds of personal appearances in conjunction with special events, such as
public appearances, speaking engagements or autograph signing opportunities.
4. Newsletters: Marketers who have captured names and addresses of customers and
potential customers can use a newsletter for regular contact with their targeted
audience. Newsletters can be directed at trade customers, final consumers or
business buyers and can be distributed either by regular mail or electronic means
(i.e., e-newsletters delivered via email or rss feed). Marketers using newsletters
strive to provide content of interest to customers as well as information on
products and promotions. A bookstore may include reviews of new books,
information on online book chats and information on in-store or online
promotions. A food manufacturer may include seasonal recipes, information on
new products and coupons. Online newsletters offer the opportunity to link to
stores carrying the marketer's products. Effective newsletters are sought out by
and well received by interested audiences.
5. Special Events: These run the gamut from receptions to elegant dinners to stunts.
Special events can be designed to reach a specific narrow target audience, such as
individuals interested in college savings plans to major events like a strawberry
festival designed to promote tourism and regional agriculture. Stunts, such as
building the world’s largest ice cream sundae during National Ice Cream month
 captures the attention of an audience in the immediate area, but also attracts the
attention of mass media such as TV news and major newspapers, which provide
broad reach. The Oscar Mayer Weiner mobile is a classic example, providing a
recognizable icon that travels the country garnering attention wherever it visits.
As with all PR programs, special event planners must work hard to ensure the
program planned conveys the correct message and image to the target audience.

6. Speaking Engagements

Speaking before industry conventions, trade association meetings, and other groups
provides an opportunity for company experts to demonstrate their expertise to potential
clients/customers. Generally these opportunities are not explicitly for company or product
promotion; rather they are a chance to talk on a topic of interest to potential customers
and serve to highlight the speaker’s expertise in a field. Often the only mention of the
company or its products is in the speaker biography. Nevertheless, the right speaking
engagement puts the company in front of a good target audience and offers networking
opportunities for generating customer leads.

7. Sponsorships: Companies and brands use sponsorships to help build goodwill and
brand recognition by associating with an event or group. Marketers can examine
sponsorship opportunities to find those that reach target groups, fit within a
specified budget and provide sponsorship benefits that suit the marketer’s
objectives. There are numerous local, regional, national and international
sponsorship opportunities ranging from a local art center or theatre to the
Olympics. Most organizations seeking company sponsors provide information on
the variety of sponsorship levels which include data on event audience, exposure
opportunities, which can include signage, T-shirts, public announcements and
numerous other opportunities, receptions and much more. Marketers can use this
information to help match sponsorship opportunities with the company’s
objectives.
8. Employee Communications: For many companies communicating regularly with
employees is important in keeping employees informed of corporate programs,
 sales incentives, personnel issues, as well as keeping them updated on new
products and programs. Companies use a variety of means to communicate with
employees, including Intranet, email, online and print newsletters. In larger firms
an in-house PR department often works in conjunction with the Human Resources
Department to develop employee communications.
9. Community Relations and Philanthropy: For many companies fostering good
relations with key audiences includes building strong relationships with their
regional community. Companies implement programs supportive of the
community ranging from supporting local organizations and institutions (e.g., arts
organizations, community activities, parks) to conducting educational workshops
(e.g., for teachers, parents) to donating product for community events and
charitable fundraisers. The goal is generally to develop a positive relationship
with members of the community (i.e., be known as a good neighbor). Effective
community relations can help a company weather bad publicity or a crisis
situation that can unexpectedly arise due to a problem with a product, unethical
behavior by management, or even by false rumors. Some companies also make an
effort to contribute to charitable organizations, often organizations that have some
relationship to the company’s mission or to a key principal of the company.

Chapter 4
Role of Public relation in developing corporate Image
Corporate image: The image which is conjured up by mention of a company's name.
This can be positive or negative, weak or strong, and it is argued by some that it is the
sole purpose of any public relations campaign.

A corporate image refers to how a corporation is perceived. It is a generally accepted

image of what a company "stands for". The creation of a corporate image is an exercise in
perception management. It is created primarily by marketing experts who use public
relations and other forms of promotion to suggest a mental picture to the public.
Typically, a corporate image is designed to be appealing to the public, so that the
company can spark an interest among consumers, create share of mind, generate brand
equity, and thus facilitate product sales.

A corporation's image is not solely created by the company: Other contributors to a

company's image could include news media, journalists, labour unions, environmental
organizations, and other NGOs.

Corporations are not the only form of organization that create these types of images.
Governments, charitable organizations, criminal organizations, religious organizations,
political organizations, and educational organizations all tend to have a unique image, an
image that is partially deliberate and partially accidental, partially self-created and
partially exogenous.

Corporate image and product positioning

A corporate image should be consistent with the positioning of the company's product,
product line, or brand. Any in congruency between the overall corporate image and the
positions of individual product offerings will be confusing to potential customers and will
tend to reduce sales revenue. For example, an oil company that has the image of being
environmentally unfriendly will not be successful selling products that they try to
position as "green". A company in such a situation should either: withdraw from the
"green market", invest in promotional activities that will recast their corporate image in a
greener hue, and/or follow a more environmentally friendly path. A good overall
corporate image can be seen as the sum of all the images associated with the firm's
individual product positions.

The corporate name and logo must also be consistent with the overall corporate image. If
you wish to craft a scientific/technical/innovative corporate image you would not call
your company Mystic Sunchild, nor would you use a logo like the NBC peacock.

Likewise with advertising themes and distribution partners; they must also be consistent
with your overall corporate image. If, for example, you wish to create a luxury/high-end
corporate image, you should not distribute yourde products through Walmart nor use
slapstick advertising themes.

A successful corporate image must also be believable. That is, the image must be
relatively close to your actual behaviours to be credible.

Basic principles of corporate PR

Corporate public relations seek to project the image and identity of the organization.
Based on the facts and figures as well as on the subjective impressions and feelings
,image itself is a product of public mind .in order to project the identity of the
organization , the PR needs to know both – facts that people know as well as the
impressions that they carry about the organization . Therefore corporate PR manages the
reputation of the organization.

Corporate image and identity needs constant bolstering as the process is dynamic. In its
efforts to gain commitment the PR makes commitment the PR makes a comprehensive
communication plan and gets into the act of managing the strategic asset

Today business and industry have new bottom-line – public acceptance, therefore PR has
to respond with a communication policy whose bottom line is credibility. In this
connection the corporate PR practices must meet the generally accepted standards of
public approval.

The following are a few essential guidelines of corporate public relations.

1. Corporate public relations are a share responsibility and therefore must be truthful
and believable.
2. As a ‘caring entity ‘ and a ‘ good citizen ‘ ,PR believes that corporate public
relations programmes is an investment in the image building of the organization.
3. PR is never open to and responsive to public concern
4. PR recognizes that ones own views is subjective and never influence the
organization to take corporate convictions for reality.
5. In terms of corporate communication PR thinks of sharing with the community
the values which it uploads and for which it wants to be known.
6. corporate communication is a faith and a commitment which under no
circumstances can be compromised
7. corporate PR always believes and therefore never subscribes to any crash
communication plan
8. Finally PR maintains excellent communication relationships both at the corporate
and at the unit levels with the internal as well as the external publics.

Chapter 5
Corporate Communication
Definition Of Corporate Communication: There are many definitions related to
corporate communication and all of them refer to the main aspect of sharing information
and knowledge. As communication is the process of sharing information, in the same
way corporate communication refers to the communication that is issued by a company,
either verbally or written.

Corporate communication can be divided into internal corporate communication as well

as external corporate communication. Internal communication is the communication that
is exchanged between the employees of the company, between various divisions of the
company or communication used for making announcements with regards to the growth
of the business and its vision and other things.

In the present world internal communication is the key for any business to grow. Internal
corporate communication would include inter office correspondence through the intranet,
official website etc.

External corporate communication would include the information that the company sends
out to the shareholders and other agencies of the company about its business, its
performance, its growth etc. The main aim of external corporate communication is to
enhance the company’s reputation amongst the shareholders.

External corporate communication would include annual reports, billboards, company

brochures etc. In today’s corporate world, external corporate communication is very
important because only through such communication an upcoming company ca
n make its presence felt and keep the people post about its developments and growth.
Silence may be golden, but the same does not hold true for the corporate world and
without corporate communication, internal as well as external, a company cannot perform
up to its fullest and eventually cannot survive in the long run.

Internal Corporate Communication

While most companies put long hours and lots of thought into the development of
external communications with the public and their share holders, according to the
Performance Management and Appraisal Help Center, very few companies put the same
work into developing their internal communication strategies. This puts them at a
disadvantage, as the center goes on to explain, "Strategic internal communication
planning can be a proactive approach to building a better, more directed and efficient
workforce." Understanding what corporate internal communications should look like can
better equip you to modify your own internal structure for future success and
improvement.

Formats

Internal communications are formal messages established and dispensed by the company.
In a corporate setting, these communications can be delivered in a variety of formats.
Paper communication may include memos, newsletters, brochures and payment
enclosures. Today, a lot of communications that previously were transmitted on paper are
now being sent via email. Digital internal communications may also include employee
websites and intranets.

Verbal internal communication is usually delivered in forums and meetings, where staff
or management will transmit information in a dialog format. These venues qualify as
internal communication as the content addressed has to do with direction, organization,
evaluation or structural issues. In other words, because a brainstorming session, for
example, is not about a policy or overarching issue, it would not qualify as internal
communication.

Finally, training materials and policy books are a static form of internal communication.
They serve as references and communicate company goals and procedures.

Planning

Effective internal corporate communication requires planning. It should be a part of the

larger communication strategy developed. A corporate communication planner will
isolate formats to use and match them up with goals.

The goals of internal corporate communication will vary based on the company in
question. For example, some companies may use written communication for concrete
goals such as making directive clear, whereas other companies will use digital
communication to help facilitate organization of employees. For some companies,
motivational messages may be better delivered through verbal communications, while
with companies whose workforce is largely telecommuting or spread out throughout the
country, digital communication is a more reliable and consistent method of
communication.

Effectiveness

Internal corporate communications are most effective if they take on certain qualities.
First, internal communication should be consistent. You should transmit motivational
messages and company values in a regular, predetermined format to foster better levels of
comprehension and information retention.

Moreover, internal communications should be structured. Arranging information in an

organized, easy to follow format helps the senders ensure that they have covered
everything they need to, and allows the recipient to better understand and remember the
information presented.

Finally, internal communication should be timely and transparent. The book

"Transparency: How Leaders Create a Culture of Candor" explains that companies that
are honest and upfront about company developments as they happen encourage trust and
loyalty in their workforce, leading to a more creative and productive workplace.

Benefits

Effective internal corporate communication can greatly affect the problem solving
capabilities of a company. According to managerwise.com, a management resource
database, successful internal communication structures create a defined way for problems
to be discussed between management and staff. Not only does this lead to better dialog
and solution development, it also allows the workforce to address and resolve problems
before they become crises.

Atmosphere

Effective internal corporate communication can improve the atmosphere in a workplace.

Employees, feeling more informed, are more likely to be productive and satisfied in their
jobs. Management, more informed about the pulse of the workforce, is better able to
address the concerns of their employees, increasing morale in the workforce. Finally, it
helps to grease the skids on the road to change. When information is effectively
transmitted, fears and rumors can be mitigated, allowing for a more fluid transformation
when policies are altered.

Internal communication is necessary to ensure that there is transparency in the

organization and views of all employees are taken into account. In earlier times, internal
communication was limited to surveys and open sessions. These days, however,
companies have adopted an online system of internal communication that has brought all
employees on a platform, enabling them to share their thoughts. The chief benefit of
having an employee interface is that it encourages them to share their thoughts more
freely. Moreover, it helps in addressing crisis situations promptly.

External Corporate Communication

External corporate communication process includes communication of the corporate

organization with its current/potential investors, customers and other corporate entities.
The external corporate communication process includes elements like advertising,
marketing and public relations. The external communication is responsible for the way
the company portrays itself to the entire corporate world. Thus, external corporate
communication is instrumental in creating the brand image or brand identity. The
advertisement campaigns and promotional events can be included in external corporate
communication as well. Television ads, newspaper ads, radio jingles, promotional events,
or even business proposals, affiliation or partnership proposals are included in external
corporate communication.

External corporate communication has a wider role to play. It is a medium that facilitates
close interaction between the organization and media. Companies send regular press
notifications as well as press releases to various media channels to increase their visibility
in the market. Likewise, a number of organizations hold special events that draw the
press's attention and give the company a positive image in the market. Corporate
communication initiatives are designed at tactical and strategic levels. At the tactical
level, the activities are developed in keeping with the latest happenings within the
organization. For example, brand promotion of a new product launched by the company
will come under the tactical strategy initiatives. Alternately, at the strategic level,
companies design their communication to build a strong brand name in the market. This
procedure can take up several years and the results are mostly gradual. However, these
initiatives provide long term results to the organization

Chapter 6
PR Campaign
A good public relations campaign will help develop the image and reputation of your
business. A campaign is a program of promotional activities intended to
accomplish a specific objective.

A campaign may be short and tightly focused or long with a broader focus. For example,
a florist might develop a short and focused public relations campaign for
Secretary's Day or Mother's Day. A longer term, broadly focused public relations
campaign might have general messages promoting giving flowers as a form of
expression to others. Public relations campaigns can even help condition your
market to being more responsive to your advertising and encourage them to
patronize your business.

The elements to consider in creating a public relations campaign include:

Audience or Publics: A group of people to whom your company needs to be responsive

and responsible. This includes customers, prospective customers, colleagues,
employees and their families, government representatives, shareholders or investors
and your neighbors.

Goals of your campaign: What is it that you hope to achieve? Do you want to attract
new customers? Enhance your company's image and reputation? Create closer ties
with the community? Educate the public about your industry?

Medium of communication: Print journalism? Broadcast media? Your Web site? Word
of mouth? An exhibition booth at a community event? A billboard?

Framework of your campaign: What steps need to be taken in order to achieve your PR
goals? What is the outline of your PR campaign? How long will the campaign be?
What is the budget? Which staff members are to be involved? What needs to be
done?

Activities: The actual steps taken to advance your cause and achieve your goals such as
giving a speech, donating to a charitable organization, sponsoring a community
event, organizing a blood drive, or giving your employees holiday bonuses.
Phrasing of the message: What are the reasons why your business is involved in the particular activity?
What is it that you want to say? Why was this public relations campaign developed? Public
relations messages are different from advertising slogans. For example, Nike's ad slogan is "Just
Do It." While its public relations message might be that athletic activity is a vital component to a
rewarding life.

The steps in planning and creating an effective media campaign are:

Step 1. Decide what you want to achieve. Some examples are:

• Gaining positive coverage or exposure of your product or service

• Enhancing your company's image and reputation
• Attracting and communicating with prospective clients
• Creating a closer community or professional ties

Step 2: Clearly define a hook that will increase the interest of the media.

• Tie your story in with a news event of the day or week

• Develop a community program around your story
• Conduct a poll or survey
• Issue a special report
• Celebrate an anniversary
• Present an award or scholarship
• Gain an endorsement from a celebrity
• Sponsor a committee program or athletic team
• Tie your story in with a holiday
• Announce an appointment or promotion
• Conduct or attend workshops and conferences
• Adapt a national news report to a local level
• React to decisions by other companies

Step 3: Compile a media list database

 • Utilize media source directories such as:
o Bacon's Newspaper Directory
o Bacon's Publicity Checker
o Broadcast/Cablecasting Yearbook
o Editor and Publisher Yearbook
o Hudson's News Media Contacts Directory
o United Way Media Factbook
o Gale Directory of Publications and Broadcast Media
• Analyze and target media outlets by considering such things as:
o customer demographics - Does it reach your target market?
o the types of stories the media outlet covers - Does your story fit?
o distribution levels - How large is their market?
• Create databases or charts of:
o contact names, numbers and addresses
o deadlines and frequency of publications and program schedules

Step 4. Develop a Press Kit or media packet

Step 5: Prepare a pitch letter

• A pitch letter is a short, one-page piece of correspondence that accompanies a

press release or a press kit.
• The letter should immediately explain why the media's audience would be
interested in your company's news story.
• You may want to include a few catchy details and suggest possible approaches to
the story as well.

Step 6. Mail the materials, then follow-up.

Contact the reporter, media representative or public service director and make sure they
have received the materials. Maintain contact with them by sending updated information,
such as additional individual press releases, recent articles or new charts, on a regular
basis. Some helpful hints to placing follow up calls are:

• Be organized before you place the call.

• Try to call during the morning or early evening hours. This is usually "down
time" for reporters.
• Open the call by asking if they are on deadline. If they are, ask for a good time to
call back. If they aren't, be ready to pitch your story in 1-2 minutes.
• Assume that the contact is overloaded with written materials advising them of
upcoming events and reports.

Be prepared to resend your news by fax or email. Ask for their fax number or email
address.

Chapter 7
Crisis Management

Crisis management is the process by which an organization deals with a major

unpredictable event that threatens to harm the organization, its stakeholders, or the
general public. Three elements are common to most definitions of crisis: (a) a threat to
the organization, (b) the element of surprise, and (c) a short decision time. Venette, S. J.
in her book, ‘Risk communication in a High Reliability Organization’, argues that "crisis
is a process of transformation where the old system can no longer be maintained."
Therefore the fourth defining quality is the need for change. If change is not needed, the
event could more accurately be described as a failure or incident.

In contrast to risk management, which involves assessing potential threats and finding the
best ways to avoid those threats, crisis management involves dealing with threats after
they have occurred. It is a discipline within the broader context of management consisting
of skills and techniques required to identify, assess, understand, and cope with a serious
situation, especially from the moment it first occurs to the point that recovery procedures
start.

Planning For A Crisis

A Crisis management plan is necessary because news and information is traveling faster
than ever. Companies must be able to quickly answer questions and allegations about
looming crisis.

There are more examples of organizations getting crisis management wrong than doing it
right. When crisis strikes, most companies are unprepared and poorly handle the
situation. Organizations might try stonewalling the situation, toughing it out or
pretending the crisis will pass, but they only make the situation worse. Organizations who
waste valuable time at the beginning of a crisis can expect to see a loss in revenue and
plummeting stock prices.

The organization's most important asset is at stake, their reputation. It is useless to

conceal the truth from the public because eventually someone will blow the whistle.
Firestone continued to sell faulty tires to the public when they knew there was a problem
with the product. After many deaths, Firestone recalled millions of tires, and the public
wondered how long Firestone knew about the problem. Now Firestone is on the verge of
declaring bankruptcy and going out of business because they made poor crisis
management decisions.

Johnson & Johnson did not share the same fate as Firestone when crisis struck the
company in 1982. One of Johnson & Johnson's well-known products, Tylenol was
tampered with. Someone had been placing cyanide pills inside of Tylenol bottles, and it
was killing people. Johnson & Johnson reacted quickly and pulled their product off the
selves. Instead of suffering long-term damage to their reputation, Tylenol regained
consumer confidence quickly because their crisis management plan told them to act in the
interest of the consumer.

Sometimes crisis management is used to protect a company from its customers. In 1991,
a Pepsi customer claimed to have found a syringe in a can. Once the story hit the press,
there were numerous reports of people finding screws, syringes and bolts in Pepsi cans.
The Pepsi Company immediately denied that this was possible and that these claims were
fraudulent. Pepsi started running ad campaigns against these incidents saying that they
were "copycats" and Pepsi cans are "99.9% safe." This gave Pepsi enough time to
discover what was happening. A grocery store surveillance camera caught a customer
placing a syringe in the Pepsi can. Pepsi now had the proof they needed to refute the
claims that their soda was unsafe to drink.

Tactical plan to manage crisis has six steps as given below:

Step: 1
Starting With an Approach
A company must develop a plan that begins with a corporate statement. The statement
should outline the company's crisis management approach. All actions should have a
decision base. The organizations ethics and philosophies should delineate what the
company plans to protect. The company should try to look at all events that could create a
potential crisis for the company. The organization should consider all twists, details and
turns of events. All decisions should be made in advance so that the company may act
quickly.

The organization should use a simple experiment to consider what is most likely to
happen. If more than one percent of the organization's stock price is affected, how much
will it affect stockholders? Most companies suffer a 5 to 50 percent loss of stock price.

1.) Develop a corporate statement outlining the company's crisis management plan. This
plan will guide all behavior and decisions for all corporate actions.
2.) The statement should summarize all of the organizations philosophies, ethics and
plans to protect.

3.) The organization should list the most probable events to affect them. List all twists,
turns and details that could limit the organizations ability to function during the crisis.

Step: 2
Building a Strong Reputation
An organization will survive a crisis better if they have a good reputation. A good
reputation is built over the life of an organization. The historical behavior of the
organization will influence how other view the company. While managing a crisis, the
organization should remember the "4 Rs."

1.) REGRET what happened, but your not guilty or even responsible. The organization
needs to watch its words because they can comeback to haunt the organization in court if
you claim responsibility. If the organization doesn't regret the incident, no one will listen
to anything else the organization says.

2.) State what the organizations will do to RESOLVE the issue.

3.) Assure customers that the organization will REFORM so that this will never happen
again.

4.) Offer RESTITUTION for the organizations customers. When the product returns to
the shelves offer coupons.

Remember a good reputation takes time to build, but goodwill is the best and cheapest
way to manage a crisis. Goodwill can only be built up while things are running smoothly,
not in times of crisis.
 Step: 3
Create a Crisis Management Team
An organization should pre-select a leader to deal with crisis management. The leader
should be someone from top management who can dedicate lots of time to deal with the
case. They need to be able to step away from the day-to-day duties so that they can run
the crisis team. Once a leader is selected, management needs to bring together
representatives from most key operational and policy areas with top management so that
the crisis is handled correctly. Crisis-related problems usually bring together diverse
interests. Consumers and the general public, employees and stockholders view a crisis
from different perspectives. It is importance of bringing experts together so that the needs
of these diverse publics are met.

1.) First select someone from top management to head the crisis team.

2.) Select representatives from key policy and operational areas to bring expertise and
management together.

3.) Candidates for team include: Corporate communications, legal, human resources,
medical, research, operations, safety, security, transportation and government affairs.

Step: 4
Eastablish a Crisis Center

A crisis center is where the crisis management will take place. The room can be an
already established conference room were communications technology is preinstalled.
The room should be equip with preinstalled phone line, computers with modems, faxes,
video conferencing, VCRs, satellite television, radio and wire services.

Step: 5
The Network Alert System
The best way to stop a crisis is to know when one is coming. A network alert system will
help the organization stop a crisis before everything "hits the fan." Crisis management
has three sequential objectives. The first is to prevent a crisis. If a crisis does arise then
the crisis management team must begin by answering two questions: What is the crisis,
and when did it start? Then the second objective of crisis management is to modify the
negative effects of the company or product. Thirdly, the actions taken by the company
provides a platform for the company's future.

The larger the organization gets, the harder it is for crisis to be prevented. There are lots
of employees, product issues, advocate groups, investigations and safety issues that the
organization has to continually monitor. The organization can maintain the edge on
potential crisis by discovering which areas have the greatest potential for crisis.

A study done at Northwestern as a part of the Crisis Management Practica, discussed the
real source of crisis. The study found seven common mistakes organizations made that
led to more costly events. Erroneous ethics, incentive crisis, mixed values, stonewalling
stakeholders, the Peter syndrome, walking with out a safety net and addiction to
repetition were all sources that led to serious crisis.

Erroneous ethics describes a situation where management's ethics were responsible for
the crisis. Incentive crisis are created when organizations offers employees benefits for
improving productivity, but the employees windup selling the customers things they don't
need. Mixed Values can be found when a company's ethics don't match those of their
public. Stonewalling stakeholders was described as the worst sin of all. The company
knows that something is wrong and they refuse to tell stakeholders the truth. The
relationship between stakeholders and the organization is built on trust and stonewalling
can destroy the company's credibility. Peter Syndrome takes place when the company
refuses to take the blame or even regret for their actions. Walking with out a safety net
occurs when there is a slow burning crisis that should have been anticipated.
Organizations who repeat the same mistakes and who do not plan for the crisis are
victims of addiction to repetition
 Step: 6
Prepare Materials In Advance

If crisis happens today, the organization needs to respond immediately. The media does
not care about the corporate interests of any organizations. When a crisis breaks so will
the story. Public relations staff must be sensitive to journalist needs for information and
deadlines. Spokespersons should be made available to answer for the organization so that
there is two-way communication between journalists and the company.

The organization must meet a dual responsibility to meet the needs of their
clients/employer and to serve the public's interest. Honesty and forthright representation
are two key ethical standards for the organization to follow.

What the Prepared Materials should communicate:

1.) A press response stating that you have incomplete knowledge of the crisis details, but
describe the organizations conceptual approach to the crisis and give the promise to
inform when there is new information.

2.) Give the organizations best answer and information why the crisis happened. Why did
the plane crash, or broker cheat, or the union strike.

3.) Give the press some generic but positive information about the organization. The
information should have some bearing on the crisis without speculating what happened.

4.) THIS IS THE IMPORTANCE OF A CRISIS PLAN. During the early stages of a
crisis there is an early vacuum of information. The organization must not let the media
speculate what happened. Background informatino about the company can be used to
control the media's speculation. Don't be afraid to say something good about the
organization at this time. If you don't no one will.

Chapter 8
Public opinion

Public opinion is the aggregate of individual attitudes or beliefs held by

the adult population. Public opinion can also be defined as the complex collection of
opinions of many different people and the sum of all their views.

The principle approaches to the study of public opinion may be divided into 4
categories:

1. quantitative measurement of opinion distributions;

2. investigation of the internal relationships among the individual opinions
that make up public opinion on an issue;
3. description or analysis of the public role of public opinion;
4. study both of the communication media that disseminate the ideas on
which opinions are based and of the uses that propagandists and other
manipulators make of these media.