Every action when approached in a strategic and a planned manner usually ensures success rather than when approached without prior planning or in an unorganized manner. This holds true even in case of Communication. Communication basically has three aspects involved in it: the speaker, the subject of communication and the listener. When talking in corporate terms the same three aspects holds good except that they are seen in a much broader sense. The first aspect in case of corporate communication is the organization; the second aspect here is the end object at which communication is aimed which is known as the constituency, the final aspect being the subject of communication which is referred to as messages.
Every organization has several messages to communicate daily and to various constituencies. The organization also has several channels through which these messages can be communicated. Hence the organization has to adopt a strategic approach the get the message across to the constituency in the most effective manner possible. The organization must first determine the objective for communication. The objective maybe to let the public know of a new product introduced into the market in which case it may choose to advertise the product or the objective maybe to lay off certain employees.
The organization must then look into its resources available for communication. Resources can be classified into three categories: Money, Human Resources and Time.
Money: Organizations can communicate their messages through various methods. Each method has a different price. As in case of introducing a new product into the market, the organization might choose advertise the product in newspapers and magazines which is less expensive or may choose to advertise in televisions which is more expensive.
Human Resources: Human resources are an important factor in communication strategy. An organization has to constantly communicate with its stake-holders for which it needs an effective and experienced communicating staff.
Time: Time is also an important resource to an organization which it needs to use effectively. Timely communication of the message is very important. Communicating the message too early or too late may not produce the desired results.
The organization also has to determine the kind of reputation it has with the constituency it is trying to communicate with. When the organization holds a good reputation with the constituency, then communicating the message becomes very easy and simple than when the organization holds a low or a negative reputation.
The organization has to then analyze the constituencies it wants to communicate to and its attitude towards the organization. Organizations must realize the fact the constituencies are often inter-linked. A message aimed at one constituency might also affect another constituency in a either a good or a bad manner unintentionally. If the message has a positive effect on the second constituency at which the message wasn’t actually aimed, the organization stands to benefit from the message. But a negative impact from the message can severely hut the organization bringing down its reputation and brand image.
Organizations must next choose the channel through which it can pass the message to the target constituency. Choosing the channel is not as easy and simple as it may seem. The organization’s top executives may themselves choose to communicate the message, or send an e-mail to the constituency, or announce the message publicly through news paper advertisements or even television advertisements. Here is where the structuring of message comes into picture. Message structure can either be direct or indirect. Direct structure means revealing the main point first and then explaining why; indirect structure means explaining why first and then revealing the main point of the message.
Finally it is very important to evaluate the results of the communication. This analysis gives valuable information from which the company either stands to benefit or lose. The organization must act quickly if in case the communication hasn’t produced the desired results and work on the areas where the communication strategy has failed.
Today’s information age provides a lot of opportunities to organizations for potential partnerships, collaborations and mergers or acquisitions. In all of these situations, effective communication is absolutely imperative and very critical. A fall in communication would mean a fall in any of the above situations and an opportunity lost. Non-profit organizations also need to communicate strategically and effectively to get their message across to the public and also to the government to voice their opinions and concerns. Communication is also important in getting messages across from one department of an organization to the other. Hence communication is important in integrating the various departments of an organization. Communication must therefore be approached with a pre-set strategy just as other functions of a corporation. A communication department can therefore be formed which should be treated in line with other departments of the organization and given equal importance.
(Above informat taken from http://www.benton.org/publibrary/toolkits/stratcommtool.html
http://www.chass.ncsu.edu/ccstm/scmh/model.html)
Companies such as FreeMe and CyberCash providers of web-enabled applications have successfully used Strategic Communication to their advantage. Strategic communication has allowed the companies to successfully reach their customers and advertise their services. This has allowed them to become major market players. Strategic communications has also allowed the companies to integrate the various departments. This has given the management more flexibility and operate successfully in a highly competitive world.
(Link : http://www.prnewswire.com/cgi-bin/stories.pl?ACCT=104&STORY=/www/story/08-21-2000/0001294939&EDATE=)
I can recall attending a seminar in the final year of my school when a professor from the Indian Institute of Astrophysics (IIA) was invited to the school to give a lecture on the topic Life Cycle of Stars and also the Evolution of the Universe since this topic was also part of our text book syllabus. The professor used slide presentations to show pictures of various constellations and nebulae and also to explain the concepts of Astrophysics. The slide presentation was completely new to the students and was very effective in keeping the students attentive right through the duration of the lecture. The power point presentation coupled with the high resolution pictures of stars, galaxies and planets was more effective in making the students understand the topics than the regular black-boards in the class-rooms. The professor at the end of the lecture was flooded with questions that surprised the entire band of teachers who were also present during the lecture. We were finally asked to write down our questions on a piece of paper and pass it to the principal who would in turn pass it on to the professor from IIA. When I received my reply I was overjoyed on the fact that such a senior person had in fact taken time out to read my question responding back. This is a small example for the cyclic frame-work of communication.
Sunday, June 24, 2007
Changing Environment Of Business
Man has been carrying out business since time immortal. Man has evolved over time and so has business. The change in business trends has been observed by economists, financial analysts, theorists, businessmen themselves and the general public alike just as the evolution of man has been observed by anthropologists and historians.
As time progressed, so has the level at which business has been carried out. Today we see huge corporations operating at various locations all over the world making profits tuning to millions and billions. Business however has been a cause of envy and jealousy unlike the evolution of man. Business means profits to one person while a certain degree loss to another. Business generates money and profits which is the root cause for envy. The attitudes of the general public towards business have hence been negative.
The present day business is customer driven as opposed to the supplier driven business of yester years. Technology is changing very rapidly and life cycles of products are very short. The average life cycle of present day computer technology is said to be three months. With such a short time-period, corporations continuously need to look in to ways offering something better to customers to capture greater market share. Today corporations compete globally against other global firms and also against local firms of the host nation. Cut-throat competition among the market players is what we can witness today. The key driver of growth has been the knowledge level of people and not capital alone. Employees are no longer seen as an expense but an investment for future profits and also as a growth opportunity. The skill level of present day employees is very high when compared to those of yester years. Money is no longer the constraint, but human resource is the constraint. Present day employees switch companies very frequently in search for growth opportunities and better paying jobs. Corporations are finding it hard to maintain a stable work-force. Internet has been one of the biggest drivers of this rapid change. It provides information to both corporate executives and also the general public. Business can be carried out by a mere click of the mouse. Internet is making the “world a much smaller place”.
(The above information taken from: http://www.1000ventures.com/business_guide/crosscuttings/new_economy_transition.html )
The present day scenario also provides various medium for the public to draw and also share information. The media, be it electronic or the print – has been the biggest source of information. The media are always at the forefront covering every aspect of a corporation, both good and bad. Many corporations today are making a conscious effort to give back to the society. Corporations today associate themselves with many charity and environmental organizations. However due to the negative perceptions of the public about business, the wrong actions of a corporation seem to live longer in the minds of the public than the actions taken by the corporation for the social good. Corporations therefore need to be aware of the impact of their actions on the society.
Corporations must be able to quickly respond to the changes in the society and tastes of the public. They must do so however without changing their principles and also in an ethical manner. The priority must be towards the ethical standards and not towards making profits. They must understand the fact that giving back to public is profitable to their business itself and must not be seen as a loss. Communicating the standards set by the corporation and the strategy adopted by the corporation to the public helps build the brand image of the corporation. Communication keeps the public informed about the firm’s goals and also the vision of the firm. Firms must therefore identify communication to be an integral function like other functions such as finance and marketing. Experienced staff must therefore be hired to interact with both the internal stakeholders of the firm such as employees and the external stakeholders such as customers and suppliers.
Nestle have successfully adapted to the changes in the environment. Changes in government regulations and customer demands have increased pressures on Nestle. Nestle have responded to these changes by implementing new strategies and providing new technologies. Nestle has also achieved success through the use of new and modern business information system and by installing computer network infrastructure and also by integrating business and operational processes. The change in the environment has also brought change in Nestle which competing successfully world over.
Link:- http://ieeexplore.ieee.org/Xplore/login.jsp?url=/iel4/5312/14405/00659882.pdf?arnumber=659882
My Experience
Working alongside my father in his business firm for a year and also having witnessed his business operations over the years, I’ve also witnessed the change in the business trend. Customers have gained greater power of late than yester years. Customers enjoy greater bargaining power than they used to before. Communication with customers has been the key to success. Customers need a rational explanation for the raise in prices, non-availability of goods and even a slight delay in delivery. My father’s linguistic approach to the business has been the key to gain customer loyalty. His mastery of over five languages has immensely helped in attracting new customers and also bringing back old customers.
As time progressed, so has the level at which business has been carried out. Today we see huge corporations operating at various locations all over the world making profits tuning to millions and billions. Business however has been a cause of envy and jealousy unlike the evolution of man. Business means profits to one person while a certain degree loss to another. Business generates money and profits which is the root cause for envy. The attitudes of the general public towards business have hence been negative.
The present day business is customer driven as opposed to the supplier driven business of yester years. Technology is changing very rapidly and life cycles of products are very short. The average life cycle of present day computer technology is said to be three months. With such a short time-period, corporations continuously need to look in to ways offering something better to customers to capture greater market share. Today corporations compete globally against other global firms and also against local firms of the host nation. Cut-throat competition among the market players is what we can witness today. The key driver of growth has been the knowledge level of people and not capital alone. Employees are no longer seen as an expense but an investment for future profits and also as a growth opportunity. The skill level of present day employees is very high when compared to those of yester years. Money is no longer the constraint, but human resource is the constraint. Present day employees switch companies very frequently in search for growth opportunities and better paying jobs. Corporations are finding it hard to maintain a stable work-force. Internet has been one of the biggest drivers of this rapid change. It provides information to both corporate executives and also the general public. Business can be carried out by a mere click of the mouse. Internet is making the “world a much smaller place”.
(The above information taken from: http://www.1000ventures.com/business_guide/crosscuttings/new_economy_transition.html )
The present day scenario also provides various medium for the public to draw and also share information. The media, be it electronic or the print – has been the biggest source of information. The media are always at the forefront covering every aspect of a corporation, both good and bad. Many corporations today are making a conscious effort to give back to the society. Corporations today associate themselves with many charity and environmental organizations. However due to the negative perceptions of the public about business, the wrong actions of a corporation seem to live longer in the minds of the public than the actions taken by the corporation for the social good. Corporations therefore need to be aware of the impact of their actions on the society.
Corporations must be able to quickly respond to the changes in the society and tastes of the public. They must do so however without changing their principles and also in an ethical manner. The priority must be towards the ethical standards and not towards making profits. They must understand the fact that giving back to public is profitable to their business itself and must not be seen as a loss. Communicating the standards set by the corporation and the strategy adopted by the corporation to the public helps build the brand image of the corporation. Communication keeps the public informed about the firm’s goals and also the vision of the firm. Firms must therefore identify communication to be an integral function like other functions such as finance and marketing. Experienced staff must therefore be hired to interact with both the internal stakeholders of the firm such as employees and the external stakeholders such as customers and suppliers.
Nestle have successfully adapted to the changes in the environment. Changes in government regulations and customer demands have increased pressures on Nestle. Nestle have responded to these changes by implementing new strategies and providing new technologies. Nestle has also achieved success through the use of new and modern business information system and by installing computer network infrastructure and also by integrating business and operational processes. The change in the environment has also brought change in Nestle which competing successfully world over.
Link:- http://ieeexplore.ieee.org/Xplore/login.jsp?url=/iel4/5312/14405/00659882.pdf?arnumber=659882
My Experience
Working alongside my father in his business firm for a year and also having witnessed his business operations over the years, I’ve also witnessed the change in the business trend. Customers have gained greater power of late than yester years. Customers enjoy greater bargaining power than they used to before. Communication with customers has been the key to success. Customers need a rational explanation for the raise in prices, non-availability of goods and even a slight delay in delivery. My father’s linguistic approach to the business has been the key to gain customer loyalty. His mastery of over five languages has immensely helped in attracting new customers and also bringing back old customers.
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