I agree with Argenti, Howell, and Beck’s characterization that
communication should be part of an organization’s overall strategy. In their
research, MIT Sloan Management Review,
they discussed instances where incorporating communication into an organization’s
overall strategy has proven to be beneficial, especially in today’s world of
social media.
One such example spoke of FedEx.
When they needed to lay employees off, due to the economic downturn, they used
a strategic communication method, in order to “maintain employees’ loyalty,
customers’ trust and the good graces of Wall Street” (Argenti, et al, 2005,
page 84). They communicated with internal departments, as well external
shareholders. They also used several communication channels to address
employees’ questions and concerns. As stated in the research review, by Eric Jackson of FedEx, “FedEx is now held up as an example of how to transition, of
how to keep the hearts and minds of employees while meeting business needs.”
(Argenti, et al, 2005, page 84).
I believe this is the better way to handle company layoffs, because it
keeps your brand and values consistent. In 2009, IBM and Microsoft laid
numerous employees off without warning. In the case of IBM, the employee morale
was affected. The New York Times
wrote, “In interviews, IBM workers whose jobs are being eliminated were
mainly chagrined that the undisclosed cuts, and the timing, seemed to
contradict the company’s public statements.” (Lohr, 2009). Harley Shaiken, of TheBerkeley Blog, stated in that same New York Times article, “The twin goals
are transparency and decency. The issue becomes all the more pressing in this
downward economic spiral.” (Lohr, 2009).
In addition, I agree with their assessment, because each organization,
whether it is small or large, has different sets of stakeholders and
constituencies to communicate to. By creating a strategic communication plan,
each of those sets of people can be provided the key facts necessary to meet
the goals of that particular group, as well as the goals of the organization, while
maintaining a consistent company message. I have used this approach within my own career
positions, and have seen the opposite approach of keeping things ‘hush hush’.
In each case, the ‘hush hush’ approach always had negative ramifications, and
the full communications method led to more positive outcomes. (Personal
Experience, 1994-1998)
The MIT Sloan Management Review
includes the following quote from Kevin Rollins of Dell, “You have to
modify messages by constituency. Which elements of the overall strategy do you
want to discuss with each constituent? The communication function breaks
strategy into pieces and sells the right pieces to the right audience.” (Argenti,
et al, 2005, page 85). The research review also had a visual breakdown of the
objectives from each communication function, and which channels to use to reach
the constituencies of those objectives, which was titled, Using a Strategic Approach to Communications. (Argenti, et al,
2005, page 87).
This characterization applies to marketing, advertising, social media,
and other elements of IMC in the following ways:
When companies like Comcast and JetBlue used Twitter to monitor customer
comments, they were able to identify negative comments, and react immediately,
which resulted in a more positive image of the brand through the customer’s
view of the brand’s customer service. These were both discussed in the book
Socialnomics, by Erik Qualman (Qualman, 2013, page 32). JetBlue also uses Twitter to advertise special deals on airfares (Scott,
2013, page 259).
In addition to customer service, social media, and different types of new
media can be used to gain customer attention, and market new products. For
instance, Nike is using a variety of new media to attract customers to use
their "Miles" avatar application, which allows users to see how many miles they
have run, compare their jogging patterns to others’, gain weather information,
which music on their playlists stimulate them to run better, and get
information about special running events and promotions. This information can
be used via the customer’s smartphone, tablet, desktop, or through their social
media accounts (Qualman, 2013, page 38).
As stated within the pages of Socialnomics, by Julian Rolfe of Synovate
says, “The research shows that young people are not only comfortable with the
idea of branded content and branded entertainment, but also reveals they are
openly willing and eager to engage online with brands.” (Qualman, 2013, page
46). While this provides an excellent audience for businesses to market their
products and services, it will only be successful if they are willing to engage
openly, honestly, and transparently about their products and services. If those
businesses are found to be non-transparent, those willing customers can become
the worst press that their business has ever received.
Social media can play a key role in an organization’s strategy by using
social media tools and applications to set your organization apart from its
competitors. KLM (Royal Dutch Airlines) uses Facebook and LinkedIn to help their
customers make new connections, or meet up with current connections through the
use of their KLM Meet and Seat application. With this application, customers
that are booked on certain flights can see who else is on those flights, and
where they will be seated. By allowing those booked customers to see each
others’ Facebook and LinkedIn profiles, the potential to meet up with fellow
industry workers, or those attending conferences together is greater, which can
assist those customers with gaining important networking connections, new sales
accounts, or even potential employees or employers (Scott, 2013, page 257).
Through this application, KLM is providing a unique service that differentiates
them from their competition, and in turn has the potential of gaining customers
that may have chosen another comparable airline.
In order to enhance an organization’s strategic positioning, the
alignment of all communications is essential. The MIT Sloan Management Review
stated the five “Lessons of Strategic Communications” as follows (Argenti, et
al, 2005, pages 88-89):
- Lesson 1: Senior managers must be involved.
- Lesson 2: Communications must be integrated.
- Lesson 3: Structural integration is not the only choice.
- Lesson 4: Communications must have a long-term orientation.
- Lesson 5: Top communicators must have broad general management skills.
I believe the most important of these five lessons, in aligning
communications for strategic positioning, is lesson 4. A stated in the research
review, “Just as companies have long-term marketing and budgeting plans for the
organization as a whole, they also must have a master communication strategy.”
(Argenti, et al, 2005, page 89). Furthermore, I think the quote from Eric Jackson of FedEx sums it up perfectly, “It’s not about meeting next quarter’s
numbers. We have 30 years of history and want 100 more.” (Argenti, et al, 2005,
page 89).
References:
References:
Argenti, P.A., Howell, R. A., & Beck, K.A. (2005). MIT Sloan Management Review: The Strategic Communication Imperative. Massachusetts Institute of Technology
Qualman, E. (2013). Socialnomics: How Social Media Transforms the Way We Live and Do Business, 2nd Edition. Hoboken, NJ. John Wiley & Sons, Inc.
Lohr, S. (2009, March 5). The New York Times. Piecemeal Layoffs Avoid Warning Laws. Retrieved from http://www.nytimes.com/2009/03/06/business/06layoffs.html?pagewanted=all&_r=0
Scott, D.M. (2013). The New Rules of Marketing & PR, 4th Edition. Hoboken, NJ. John Wiley & Sons, Inc.
