Sunday, October 10, 2010

Chapter 6: Media Relations – Ryan Kirsch

I would like to briefly discuss the media blackout associated with the Deepwater Horizon oil spill and the resentment BP and the U.S. Government have faced during this event. The spill occurred on April 20, 2010 and was eventually capped on July 15, 2010. During this time news reports suggest the media was restricted in covering certain aspects of the cleanup effort. The video below is from CCN’s Anderson Cooper explaining some of the restrictions the government and BP had imposed on the media.



The following video from CNN shows some of the wildlife cleanup work in the Gulf and how the National Guard and BP security personnel have refused media access to these efforts. One volunteer explained to CNN (off camera) that he signed a document stating he would not talk to the media. Another rescuer told CNN he would be fired if he spoke up about their activities. A BP contract that was initially used to hire rescue and cleanup workers appears to ban any comments to the media. The contract states “Vessel owners and employees will not make news releases, marketing presentations or any other statements…” A BP spokesman told CNN that the company has not enforced this provision in the agreement. However, CNN reports that the workers they talked to have failed to receive that message.



Certainly the lack of information and restriction has drawn much attention from various BP and government constituents. Some of the questions I have concerning the media blackout are: Why the lack of transparency from BP and the government? How is this going to affect future BP relations with its constituencies? Will there be more or less transparency of information and restriction in future incidents of this type? How will this incident affect potential regulations concerning the disseminating of information and media access?

Chapter 6: Media Relations - Cynthia Wolfel

This is a difficult question for me, since most of the companies I have worked for have not had communications departments. I also have never been directly involved in any form of media relations. The closest experience to this, which I have personally witnessed, is with the gas and oil drilling company for whom I previously worked. The company had a pair of people that were supposed to address general issues with the public. They regularly attended meetings, conventions, dinners etc… to represent the company in a positive light. There was not any negative publicity at the time to cause a great deal of concern or to make the company focus more attention on establishing an actual media relations / communications department. Random interviews were done without any real input from a communications professional. This particular company assumed the old view of trying to avoid publicity.

The inner workings of the company were very hush-hush. Employees were told not to divulge information about the company to anyone. The gas and oil industry is a very cut throat business, so employees did not question the do not tell policy. In retrospect the company should have invested in some media research that could have established a connection with a reporter that would spin things in their favor. Shortly before I left the company a television reporter used only certain parts of a conversation with an employee and portrayed the company in a very negative light.

The company then established a very generic website that included a link for constituents to email the company. Unfortunately, this link did not send email to a trained media relations or even a communications professional. A better done website could have provided this company with a sounding board against various media attacks. Other media venues should also have been identified, so appropriate positive contacts would be in place, when and if needed, during media crisis interventions. The company never considered which communications venues might have posed the most benefit or how they compared to others in the industry from a communication’s perspective. In the end the corporate reputation suffered.



Ch.6: Media Relations

With the increased scrutiny in the internal workings of corporations among the general public primarily due to their being an intrinsic part of virtually every aspect of an individual's life, it has become essential for the top management to communicate frequently and effectively to its constituents through the existing and emerging media channels of communication.
No longer are the days when companies used to provide goods and services with little or no answerability or accountability about their operations to its customers or the public. The changes have been influenced by various corporate scandals, bankruptcies etc. causing severe financial and emotional losses forcing governments to enforce stringent regulations on companies about publishing the details of their workings from time to time. Also, a key factor in increased public awareness is the increased levels of exposure to various print and electronic media providing a plethora of information. People are beginning to realize the importance of being educated about a company's products or services in order to make informed choices about using them and differentiating them from those offered by competitors.
This has tremendously increased the role of media relations in the overall corporate strategy framework. Companies are beginning to realize the importance of having a robust media relations team equipped with seasoned and outgoing personnel empowered with the latest communication technologies to ensure clear, prompt and speedy flow of communication to the right target constituencies. Also, at the same time encouraging constituencies with user-friendly means to provide feedback and respond positively or negatively to company's decisions and fostering innovation and improvisation in their product and service offerings.
However, due to the immense size of the various constituencies, corporations have to work continuously and communicate seamlessly and effectively with various electronic and print media that provide content for mass consumption in the form of newspapers, documentaries, advertisements, blogs, forums, websites, television shows, videos etc. They also have to rely heavily on these media networks to communicate any important events within the organization or perform damage control in the event of any operational or service failure/s as these networks have immense power to sway public opinion based on their methods and styles of presenting information to various constituencies. This can only be successful if corporations and media networks build long term relationships and work towards understanding each others' roles within the communities and how their interactions with each other decide on the quality of the content being provided to the constituencies served by the corporations. These changing times also require the senior leadership of the companies to take on a more proactive role in communication to the various constituencies rather than a defensive or passive one. It also mandates the need for awareness and adaptability of the latest forms of communication media tools among the top management.

One of the examples that comes to mind for making an effective use of the latest media communications technology is Pepsi. The company's website http://www.pepsi.com/ has been designed to cater to its key constituents, mostly consumers who are in their teens, young adults and adults. It has a very user-friendly interface and makes an effective use of the latest media platforms like Facebook, Twitter, YouTube etc. Pepsi not only provides the updated corporate information through these platforms but also build loyalty and repeat site visits among its constituents. It also allows website users to volunteer and participate in its community activities and interacts with constituencies beyond its immediate customer base. With a youthful feel to its website, it launches and funds various projects in the communities through "Pepsi Refresh Project" (http://www.refresheverything.com/) it serves by letting its website users vote for specific projects which Pepsi can fund to make a meaningful difference. It also encourages user participation by means of website blogs and facilitates discussions over a new product launch, its quality or any corporate news. It also collects data from customers through these channels which helps in providing inputs in the form of market research data at a fractional cost than those of traditional market research sources.

Chapter 6 Media Relations- Terry Smith

One of the most critical areas within any corporate communication function is the media relations department. The media are both a constituency and a conduit through which investors, employees, and consumers receive information about and form images of a company. (Argenti pg, 155)

Reading this chapter dealing with media relations gave me some more insight towards the topic. In my work place it is kind of difficult for me to relate to because I only had two jobs. These two jobs weren't that large and they rarely dealt with the media. The media relations department just consisted of the head supervisor and the department board directors. As stated in the last couple blogs I work for a small but community size learning center. (daycare) The group that took care of media relations dealt with articles, commercials, public speaking, interviews, and etc. The group was very small, it only consisted of five to six members. They handled everything that dealt with the public and media. The group made sure they maintained the image of the business.

Sunday, October 3, 2010

Ch.5: Corporate Responsibility

In today's competitive environment and with a mature customer base, organizations need to go beyond providing high quality products and efficient services in order to sustain customer loyalty and retain their reputation in the market. A key differentiator today among organizations worldwide is what are their efforts towards improvement of the very community it operates in, rather than simply coming out with a new and innovative product and/ or a useful service. Customers and more importantly non-customers (people and institutions other than the organization's target market) are today more educated and have access to multiple information sources and expect profitable organizations to make sustainable contributions towards the general well-being of the community. They also take a very keen interest in the functioning of the organizations than what they did a few years ago. Hence, organizations today have a much greater accountability and responsibility towards their actions other than those related to its operations alone. Corporate actions today go a long way in conveying a strong message that the organizations do not simply serve or support a community but are essentially a very part of the community itself.

One of the examples of Corporate Responsibility that comes to my mind is about an Indian business powerhouse, ITC which is active in multiple business streams. It being a very profitable and well-known company realized early that its operations are beyond products and services, and hence as a part of its corporate responsibility and leveraging the power of information technology launched a social initiative, e-Choupal. “e-Choupal, is a knowledge portal providing farmers with a range of information and services. Designed to enable them to bargain collectively and enhance their transitive power. Today, it is a vibrant and rapidly growing zone of business and interaction for over 4 million farmers." (Source: ITC website- http://www.itcportal.com/sustainability/lets-put-india-first/home.aspx) It is similar to a social networking interface in rural India empowering Indian farmers to interact with other farmers and share better farming tools and technology to grow improved crops that can be used as inputs to organizations to generate sustainable value benefitting customers, farmers and the entire community. They can also discuss trends in the markets for their crops and price them accordingly and also sell directly rather than taking help of middlemen to help reach their produce to the markets.

Chapter 5: Corporate Responsibility - Ryan Kirsch

Before I left my previous employer, there was a huge push for corporate sustainability efforts across all offices. The company showcases their corporate sustainability program to the public on their website. The company “recognizes its obligations to encourage sustainability and to exemplify sustainable practices, both within the organization and through service to clients. This includes active processes for environmental preservation, community outreach, employee wellness, and business improvement.”

The program had clear internal visibility during office meetings where staff and managers would brainstorm ideas on how to improve the program locally. Offices would post their sustainability accomplishments on the company’s internal website for other employees to see and to give advice. The idea was to get the entire company involved with program communication and each office had a “Green Ambassador” which administered the program.

According to company statistics, during 2009, more than 90% of their offices were engaged in recycling campaigns, including nationwide participation with electronics suppliers. Styrofoam use has been discontinued or dramatically curtailed in 75% of offices. More than half of company offices were involved in community outreach, both locally and globally. And key offices are addressing sustainability through “green” national vendor contracts and electronic procurement and AP/AR. The company plans to issue its first annual sustainability report in 2011, to include objective review of efforts in 2010, applicable quantitative analysis, and goals for future improvement.

I believe the impact of “going green” will be the future business norm for organizations. I believe to be competitive, companies must initiate these programs; not only because of the added benefits, but because clients, customers, and constituencies will demand it.

Chapter 5 Corporate Responsibility- Terry Smith

Corporate responsibility constitutes an organization's respect for society's interests, demonstrated by taking ownership of the effect its activities have on key constituencies including customers, employees, shareholders, communities, and the environment, in all parts of their operations.


In my opinion I am going to try and discuss my answer for this question the best I can. In Pittsburgh I work for a local learning center with children from ages infant through pre-kindergarten. Our job as an organization is to maintain and ensure the safety, healthy, and positive experiences for each child. We are to teach and interact with the different ages of children. The corporate responsibility is to create the best experiences for these different age groups of children. Making sure children are safe, having fun, and learning are the main goals for this organization. Creating a positive effect for the community will attract more parents, more children, and more money. If this is damaged it will hurt the organization in many ways.

There was a huge incident that occurred at the learning facility last year. An incident with a 1 year old created an ugly experience for the organization. Allegations that there were clues of the neglect almost tarnished the reputation of the learning center. A mother accused the facility and staff of neglect claiming her child got injured at the center. I feel as though the situation was handled poorly between the two parties. The mother was kicked out of the program; she created posters, had community speeches, meetings, newspaper articles, anything in her power was used to tarnish the early learning center. This was hurting the program and organization because parents started to doubt the organization. Kids were being pulled from the learning center rapidly week in and week out.

The organization created a week dedicated to the parents, children, and community to impose that they still were legit and cared about the families. This week consisted of fun days, carnivals, pizza parties, movie nights, raffles, and free food. The families who participated found out that the organization never injured any child. They re-stated why they existed which was to ensure the positive health of each child. It was the organization's job to re-create a positive image towards the parents and community. This week showed that they cared what went on throughout the community.

In my opinion I feel as though corporate responsibility can impact reputation from many things. In my situation the responsibility of the organization was to carry out their jobs and ensure safety and knowledge towards each and every child. Problems happen and the reputation of the organization was damaged. The responsibility was damaged and the reputation was tarnished, but the organization created positive experiences to help fix those problems.

Chapter 5: Corporate Responsibility - Cynthia Wolfel

For this question I am going to reference a gas and oil company that I used to work for, which had been started by private owners. Outside appearances or reputation were completely different than image in some cases for a brief time period. This was primarily due to the owners stepping back and relinquishing management to their upper management employees that did not adhere to their prior ethical stance. However, this was starting to catch up with the company when I said farewell. The company was roughly deemed an industry standard for their proper and ethical environmental practices before this was even publicly seen as an issue. When they drilled an oil or gas well the surrounding land was left in pristine condition - almost as though the company had never been there with the exception of a well and storage tank. The company, when I was hired, portrayed itself as a company that cared about its employees. Additionally, the company hosted events at future drilling locations to promote a good relationship with land owners, since in this business they are a very important constituency for leasing. Employees would actually volunteer to man these events without pay due to their loyalty to the company.

The company identity was still very much intact as far as management was concerned; however the owners and various other constituents were starting to receive hints that all was not as it seemed. Scrimping and making a site appear pristine was becoming standard practice in the field and any employees involved in that part of the process new this. They were also more than willing to pass the information on to the coworkers at the office that they deemed ‘trustworthy’. Several court cases ensued concerning run off from wells and improper land management of sites. ‘Shmoozing’ with government officials become standard policy to try to remedy this situation with the DEP as well as address the old adage of taxes. Also, internally there was employee unrest in several departments. Most employees were not happy and complained to each other whenever possible. Management now was actually autocratic and was not truly interested in the welfare of their employees. Many good employees were lost do to the crass treatment they received. I personally opted not to sue this particular company for personal reasons, although the state wanted me to pursue litigation. A final blow to company reputation was the selling off of well sites to other companies, which left the previously loyal land owners in an uproar. This is far from all that I could describe, but the company managed to take a great reputation that had been established by the owners and turn it into a negative image for all constituencies and in the end gain a negative reputation in the industry. Had management continued on the same track as the owners had done, the company would have built upon a great reputation by utilizing several factors of corporate responsibility.