Internal Communications in a High Stakes Environment
HIGH STAKES
THIS ISSUE: INTERNAL COMMUNICATIONS IN A HIGH STAKES ENVIRONMENT
Companies announcing layoffs due to the current economic crisis read like a Who’s Who of the corporate elite. It’s no surprise that workers around the world are wondering if their job is next on the chopping block. In times like these, the importance of effective internal communications in maintaining productivity and protecting the corporate brand cannot be overstated.
In this issue we revisit strategies for communicating commitment to those hardest hit by a company’s tough choices…Gain insight from Anne Deeley, veteran of some of the most significant internal communications campaigns of recent memory…Examine the blogs covering workplace communications…And look ahead at how companies can best deal with the internal communications challenges presented by the social media.
Strategies: Navigating the toughest employee communication of all
Layoffs, plant closings, and the shuttering of retail outlets are never easy events to communicate to those hardest hit by the tough choices that accompany economic downturn. But if companies effectively demonstrate sincere concern for, solid commitment to, and strong action on behalf of the most precious resources they’ve got, they can limit reputational damage and even lay the groundwork for a speedy return to prosperity.
As corporate giants like Chrysler, Caterpillar, Microsoft, Home Depot, and Starbucks headline the list of companies that have already laid off hundreds of thousands of workers in 2009 alone, all eyes are firmly affixed on the steps companies are taking to reassure a beleaguered workforce. When confronting the harshest of recession realities, keep these strategic guidelines in mind to ensure that you send the right message:
First, companies need to communicate in real time with all of their employees, especially those they are retaining. Employees need to know why actions are being taken, the chances that additional layoffs could take place in the future, and what management hopes to gain. Importantly, many employees are also shareholders so they have related concerns about the impact on their holdings.
Second, companies that are closing plants or offices need to be good neighbors to their host communities. There are at least two reasons why it is vitally important to keep community leaders in the loop on everything that’s happening:
- If a company maintains another office or plant nearby or keeps one open while laying off workers, its executives need to maintain a good relationship with local decision-makers who can repeal tax breaks, revisit zoning decisions and building easements, or take other punitive measures if public support for the company wanes; and
- If a company pulls out of a community entirely, stories about how it handled a plant closing in one state will have consequences years later when it tries to open a facility in a new, different state. The Internet makes this information readily available forever.
And third, companies need to be seen as being in control. When a company simply declares, “we have no choice but lay people off,” it appears helpless. By contrast, a message that conveys control could be: “We’ve explored every option and this is the most reasonable course of action under the circumstances. We’re going to provide severance. We’re going to provide training. We are going to do whatever we can to soften the landing for those who are our family.”
Carrying out layoffs or closing an office the right way will help morale, keep relations with communities and constituencies strong, and make it easier to rebound when better times return.
Industry insight: Anne Deeley, Founder of Deeley Trimble & Company
Anne Deeley is a communications industry veteran who has worked with BellSouth, Randstad, America West Airlines, Coca-Cola, Denney’s, General Motors, and The Southern Company during some of the most significant internal communications challenges in recent memory.
As a pioneer in utilizing modern marketing and advertising techniques to transform employees into engaged workers and true brand ambassadors, Ms. Deeley shared four decades worth of workplace communications insight with High Stakes™:
Are there specific messages that employers should articulate to demonstrate concern for, and a commitment to, their human resources during this economic crisis?
Anne Deeley: I’m not sure that it’s just about the messages. What’s most important to effective workplace communications in times of crisis is how executives are incorporating the employee communication piece into their thinking and strategy. The messages are relatively simple: What is the company’s status? How does the company plan to weather the storm? What is it doing to remain successful now and in the future? What isn’t so simple is ensuring that those messages are being communicated via every available channel – which brings me to what I like to call the 3 ICs. In combination, the 3 ICs create synergy and high impact communications.
The first IC is “internal communications,” utilizing all your traditional workplace communications venues such as newsletters, intranet, and staff meetings. While the messages may be different, those channels operate much as they would during periods of relative calm – offering periodic updates and a reliable resource for information about the most important issues facing the company at any particular time.
The second, more critical IC in times of crisis is “intentional conversations.” This refers to the less formal interactions that take place between managers and employees every day. It’s all about equipping managers to speak intelligently and confidently about what’s going on at the company. Supervisors often serve as the first point of contact between employees and the companies they work for, so it’s absolutely imperative – especially in times of crisis – that each and every one supervisor is informed of the workplace messages and able to disseminate them as effectively as possible when their subordinates come asking questions.
The third IC is “instant communication,” and that refers to making the most of the technological advancements out there (such as e-mail, blogs, social networks and other forms of digital media) so that employees can be kept informed on as close to a real-time basis as possible. Additionally, by leveraging these channels as feedback devices, companies can prompt dialogue and take the employee pulse on key issues and identify areas of concern or confusion.
If employers master the three ICs, then they’ll likely be well equipped to deal with the internal communications aspects of just about any corporate crisis.
What does a company stand to lose if internal communications aren't a priority in crisis? What does a company stand to gain if it's commitment to internal communications remains strong?
Anne Deeley: The losses are measured in productivity, decisiveness, and brand liabilities. When an employee doesn’t know if his or her job is going to be around in a week, a month, or even a year, just how committed to that job is that person going to be? How willing to make go/no-go decisions will an employee be when any mistake could potentially cost them their paycheck? And how can a company be sure that the wrong messages aren’t leaking out to external audiences when employees are engaging in widespread speculation about the company’s future?
What you gain by remaining committed to internal communications in crisis is precisely the opposite. You keep employees focused on the goals they are there to achieve. You empower them with the confidence that comes with being in the loop. And you eliminate speculation by being as transparent as possible and leaving no room for employees to decide for themselves just where they think the company is headed.
What are the three most important things to remember when it comes to internal communications during corporate crises?
Anne Deeley: First, tell the truth. Second, don’t wait to communicate. Third, listen to what your employees have to say. And fourth – if I may add another to the list – make sure that your communications folks have a seat at the table when decisions are being made. Internal Communications is not a strategy. But effective employee communications can be a catalyst for success.
Blogs and internal communications
The blogosphere is more than an excellent source of information on best practices in workplace communications; it’s fast becoming a “best practice” of its own. Here experts share the dos and don’ts of effective employee communication while more companies now transform the blogosphere into a marquee workforce relations venue. The blogs offer ongoing insight into traditional strategies and tactics as well as a look ahead to where employee communications is heading next.
Here’s a look at three blogs all internal communicators should be watching, and two examples of corporate blogs aimed at maintaining strong employee relations.
For Your Approval
Acclaimed employee communications author Ron Shewchuk shares insights on best practices, strategies, tactics, and more on his blog. Rife with anecdotes, stories, and examples of mismanaged internal communications, this blog is a must read for anybody looking to stay on top of hot workplace communications issues.
Intraskope
Based in India, this blog is solely devoted to effective internal communications. By providing case studies and practical tips, Intraskope enables readers to learn from others’ successes and mistakes.
All Things Workplace
Experienced employee communicator Steve Roesler writes about a wide range of workplace issues, with a particular emphasis on the importance of ensuring effective internal communications. All Things Workplace frequently covers tips for communicating during difficult times or periods of dramatic change.
Nuts About Southwest
Nuts About Southwest is a stellar example of how companies can boost employee morale by creating a blog written by – and often for – employees. Southwest employees post regularly about a range of relevant topics, including employee events, experiences at airports, and interactions with customers. This blog gives a voice to the employees and in turn serves as both an effective communications venue and a brand ambassadorship vehicle.
A Thousand Words
Kodak encourages its employees to post their own stories, photos, anecdotes, and thoughts on its A Thousand Words blog. Instead of restricting posts to a few select corporate bloggers, Kodak allows thousands of employees to post their own content, which gives them a sense of involvement and importance. This approach supports the corporate brand with a range of authentic voices, not simply the official mouthpiece.
What’s next? The rules of employee social media engagement
Just as it is incumbent on employers to lay out clear policies on everything ranging from sexual harassment to illicit drug use, the realities of the digital age make it is absolutely essential that they do the same for social media engagement. It’s the only way to ensure that employees know with specificity what is acceptable behavior in the blogosphere, and what is taboo.
With all of the legal, brand, and reputational liabilities that can arise when employees take to the blogosphere, common wisdom dictates that all companies should have some sort of social media engagement plan in place that educates the workforce as to the dangers that exist, encourages appropriate use, and monitors all posts affecting the company brand.
Companies like Southwest and Kodak have enjoyed great success with blogs that allow employees to join the online conversation in ways that promote, rather than sully, the company’s image. But that success is rooted in strictly-enforced company-wide policies that define acceptable topics for discussion on those blogs – and every other blog in cyberspace as well.
Like any powerful tool, blogs and other social media outlets – such as Facebook and Twitter – offer a wealth of opportunity if those managing them know how to use them safely. It’s up to employers to provide the training and ensure that their employees aren’t handed the keys too soon.
This month's top posts on Levick's...
In the wake of Dominos’ viral video crisis, Gene Grabowski shares strategies for containing the brand damage done.
Gene Grabowski explains how KFC could have taken advantage of a major marketing snafu.
Larry Smith chats with Pricewaterhouse Coopers’ Al Vondra about the rapid growth of securities class actions and what companies must do to limit liability.
In the aftermath of Domino’s viral video crisis, Richard Levick talks about the broader implications of social media for Corporate America.
Michael Robinson discusses how a single blog post about the yet-to-released bank stress tests triggered a financial services selloff.
Just Published
When news cycles are measured in minutes rather than hours, rapid responses to crisis are absolutely essential to winning the communications battles.To help ensure success in the Court of Public Opinion, Levick Strategic Communications presents the Crisis Communications Desktop Reference. It is a fully searchable, downloadable desktop resource covering more than two-dozen topics of urgent concern to business. It provides, with a click of the mouse, the strategic guidance you need at the moment a crisis strikes. Download the complementary Crisis Communications Desktop Reference today.
Making Your Point
Making Your Point, a new book by Levick Senior Vice President David Bartlett, examines the fundamental strategic considerations driving effective communication. It defines that key component called “emotional intelligence.” It provides the simple powerful tools to make a point in person, prepare and deliver effective speeches and presentations, get messages across in a media interview, and communicate during crises. Making Your Point is an easy-to-use communications guide for professionals and non-professionals alike. Order your copy today.
Making Your Point, a new book by Levick Senior Vice President David Bartlett, examines the fundamental strategic considerations driving effective communication. It defines that key component called “emotional intelligence.” It provides the simple powerful tools to make a point in person, prepare and deliver effective speeches and presentations, get messages across in a media interview, and communicate during crises. Making Your Point is an easy-to-use communications guide for professionals and non-professionals alike. Order your copy today.
Stop the Presses: The Crisis and Litigation PR Desk Reference – now in its second edition – is a survival manual for corporate leaders, board members, lawyers, and communications specialists. This book provides the dos and don’ts of crisis planning and communications and articulates the essential strategic guidelines for navigating myriad bet-the-company issues. Order your copy today.Future High Stakes™ issues
Labor and Employment:
Outsourcing jobs is the latest among many recent communications challenges for management – especially if newly elected politicians pursue their agendas.
Outsourcing jobs is the latest among many recent communications challenges for management – especially if newly elected politicians pursue their agendas.
Energy:
With a newly-empowered President and Congress looking to make good on its green promises, how can energy companies position themselves at the forefront of sustainability?
With a newly-empowered President and Congress looking to make good on its green promises, how can energy companies position themselves at the forefront of sustainability?
Patent & IP Litigation:
High-profile intellectual property cases threaten to sink stock prices. How can companies protect themselves in the wake of a negative ruling?
More to come:
High-profile intellectual property cases threaten to sink stock prices. How can companies protect themselves in the wake of a negative ruling?
More to come:
- Antitrust
- Board or Board Member Liability
- Coming to America
- Diversity
- Education
- Executives Behind Bars
- Food
- Global Capital Markets
- Intellectual Property
- Internal Communications
- Internal Investigations
- Monetizing Moments
- Money Laundering/Money Transfers
- New Media/Social Networking
- Product Liability
- Professional Services Crises
- Public Equity
- Whistleblowers
- Reputation Management – Celebrity
- Reputation Management – Corruption
- Reputation Management – SEC Investigations
- Tourism
- Trade
Next month in High Stakes™: ENERGY