Chapter 05 Seitel Pr11e

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5-1Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


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The CEO is the firms top manager, responsible forsetting strategy and framing policy.

The CEO serves as: chief spokesperson

corporate booster

reputation defender

These duties are much like those of thepublic relations professional.


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As with management, public relationsdemands clear strategies and bottom-lineobjectives that flow into specific tactics.

Each tactic must have its own:

budget

timetable resources


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Managers insist on results the best public relationsprograms can be measured

in terms of achieving keyrelationships.

The relevance of public

relations is measured by itscontribution to themanagement process.


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According to Grunig andHunt, public relationsmanagers fill a boundary role.

They function at the edge ofthe organization, as a liaisonbetween internal and external

publics.

This position can be a lonelyand precarious one.


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What are we attempting to achieve, and where are

we going in that pursuit?

What is the nature of the environment in which we

operate?

Who are the key audiences we must convince in theprocess?

How will we get to where we want to be?


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To serve as a true interpreter, the public relationsdirector must report to the CEO.

To be valued by management, public relations mustremain:

independent

credible

objective

Public relations serves as the organizationscorporate conscience.


8/285-8Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall

We can afford to lose money even a lot of money

but we cannot afford to lose reputation not even ashred of reputation.

Warren Buffet

CEO, Berkshire Hathaway



What are the dangers of public relations reportingto advertising, marketing or the legal

department?

Answer:The job mistakenly becomes one of promoting a specific

department, rather than the organization as a whole.



Strategic planning for public relations is an essential

part of management.

Public relations is too often considered a seat-of-

the-pants activity impossible to plan or measure.Why is this thinking flawed?

With proper planning, public relations practitioners

can defend and account for their actions.



Environment

Business objectives

Public relations

objectives and strategies

Public relations programs



1. Defining the problem

or opportunity

2. Programming

3. Action

4. Evaluation



Executive summary Communication

process

Background

Situation analysis Message statement

Audiences Key audience messages Implementation Budget Monitoring

and evaluation

Typical components include:



Based on your public relations plan, its time to takeaction:

Back-grounding the problem Preparing the proposal Implementing the plan Evaluating the campaign

Although planning is important, public relations is stillassessed in terms of action, performance and practice.



As the saying goes, What gets measured, gets done.

Test your objectives according to these questions:

1. Do they clearly describe the end result expected?2. Are they understandable to everyone?3. Do they list a firm completion date?

4.Are they realistic, attainable and measurable?5. Are they consistent with managements

objectives?



As with any other business activity, public relations

programs must be based on sound budgeting.

The key steps:

1. Estimate the resources needed to accomplish each

public relations activity.

2. Estimate cost and availability of those resources,both in personnel and purchases.

3. Develop a budget and monthly cash flow plan.



Media relations Social network marketing Internal communications Government relations

and public affairs

Community relations Investor relations Consumer relations Public relations research

Public relations writing Special publics relations Institutional advertising Graphics Website management

Philanthropy Special events Management counseling

What do PR practitioners do? Here is a partial list:



Public relations professionals generally work in

one of two organizational structures:

1. As staff in the public relations department of a

corporation, university, hospital, etc.2. As a line professional in a public relations

agency

Departments range from one-person operations

to huge networks with hundreds of people.



A question for you:

What are the main differences between working for

an external agency and an internal department?

One answer:The difference is perspective: outside-looking-in

versus inside-looking-out.



Advantages:

Agencies are often used to escape the tunnel vision

syndrome that often afflicts organizations. They can provide management with an objective

reading of public concerns.

Disadvantages: Agencies are outsiders. They may be unfamiliar with

internal details and managements operating style.



Agencies generally organize according to industries

such as healthcare, sports, finance or technology.

Agencies specialize in functions including media

relations, government relations, social media andinvestor relations.

Account teams are assigned to specific clients.



This means managing allaspects of an organizations

reputation:

Brand

Position

Goodwill

Image



A company with a good reputation can:

charge premium prices

enjoy greater access to new markets,

products and capital profit from word-of-mouth endorsement

possess an unduplicated identity



Health care, consumer and

retail fields are strong

High-tech sector will needmore and more skilledprofessionals

Investor relations, crisismanagement and otherspecialties pay well

Public relations agencies will

continue to expand

Nonprofit: hospitals, schools,museums, etc. all need publicrelations

Employee communications isneeded to win back trust

Public relations promises a strong future:



Salaries vary by experience, location and sector:

Public relations agencies: $118,350 Companies and other enterprises: $107,480

Professional organizations: $100,720 Colleges and universities: $87,900

Local governments: $74,710



Today, women predominate in

public relations work.

Minorities African-Americans,

Asians and Hispanics are smallin numbers but are growing in

participation.

However, in the early 21stcentury, women and minorities still

lagged behind their white male counterparts in salaries.


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In the 21st century, public relations enjoys a

significant management role, encountering many

new challenges.

There has never been a better time to do business and this trend will continue for the next 10 to 20

years!


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Perils of an Out-of-the-Shadows CEO

Review this case on pp. 83-84. As a class, discuss:

What could Mark Penn have done to avoid conflict-of-interest contentions in serving Hillary Clinton?

What is the potential danger of heading a publicrelations firm and representing a particular political

candidate at the same time?

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Chapter 05 Seitel Pr11e