Chapter 7 Internal Communications

1. Chapter 7Internal Communications

2. WAR FOR TALENT

3. Recruiting – Start Early, Build a Reputation

4. Google: Fortune Best Company to Work For 2012

6. Defining Internal Communication • Internal communication is “the planned use of communicaton actions to systematically influence the knowledge, attitudes and behaviours of current employees” (Stauss and Hoffmann, 2000). • Bowen (2006) defines internal relations is “building and maintaining relationships with all the publics inside an organisation” from lower supporting staff to top management personnel.

7. Defining Internal Communication 2/2 • Van Riel and Fombrun (2007) argued that an excellent organization puts emphasis on communicating with five key stakeholders such as employees, customers, investors, government, and the public. • An internal stakeholder – an employee – is a key organisational asset. • Although some organisations have put internal communication under the responsibility of the Human Resource Department, it is argued that internal communication must report to the Corporate Communication Department to build an effective communication system.

8. According to Argenti (2007: 138), “in the post-Enron era, many empoyees are functioning with a greater degree of cynicism or distrust of corporations and their senior managements”. They are concerned about “how senior management is communicating with them, what is being communicated, and whether or not the feel engaged in and aligned with the company direction” (Argenti, 2007) Importance of Internal Communication

9. Changing environment • Today’s employee • well educated • Higher expectation • Want to understand more • Outsource • Today’s workplace • Tighter staffing • Longer hours • Greater workloads • performance

10. Changing Environment (cont) • Business • Complex • Highly competitive • Employee participation – inform, engage

11. Figure 6.0: The PEST Analysis (political, economic, social and technological): Building Strategic Internal Communication The Trends in an External Macro-Environment Influence Internal Communication

12. External Macro-Environment 2/3 • Political • Trends in the political environment relate to new legislation, government policy, national and international politics (Tench and Yeomans, 2006) • Economic • Trends in the economic environment are often associated with the laws of supply and demand (Tench and Yeomans, 2006)

13. External Macro-Environment 3/3 • Social • Trends in the social and cultural environment should be taken into account as changes will affect the future market that emerges and the ‘kind’ of generation particularly relating to demographic structure of the society. • Technological • Trends in the technological environment relate to the changing information communication technologies affect the nature of work and the nature of jobs (Tench and Yeomans, 2006)

14. Organizing the internal effort • Communication audit • Goals – important assets • Where report?

15. Implementing an effective internal communications program • Communicate up and down • Make time for face-to-face meetings • Communicate online • Create employee-oriented publications • Communicate visually • Focus on internal branding • Consider grapevine

16. How to Succeed with Employees • Create an atmosphere of respect. • Treat employees as insiders. • Build-up corporate loyalty: “Ambassadors of Commitment.” • Capture more discretionary time. • Increase two-way communications. • Invest in decent publications. • Listen to and use the grapevine.

17. Today’s corporations try to attract best and talented professionals and retain current skilled workers. Recently, a number of Malaysian business leaders agree that managing talent is vital for their corporations. Employees relations is about how senior managers communicate coherent messages pertaining to organizational policies with their skilled staff using appropriate communication channels such as emails, telephones, and video conferences and so forth. Employees Relations: Measuring Internal Communication

18. Employees Relations: Measuring Internal Communication 2/2 • According to Krone et al, 2001 in Van Riel & Fombrun, 2007: 188), employees relations consists of four roles: • Efficiency • Internal communication is used primarily to disseminate information about corporate activities. • Shared meaning • Internal communication is used to build shared understanding among employees about corporate goals. • Connectivity • Internal communication is used mainly to clarify the connectedness of the company’s people and activities. • Satisfaction • Internal communication is used to improve job satisfaction throughout the company.

19. Flow of Communication Downward communication – [management to employees] Upward communication – [employees – management] Horizontal communication – [employees – employees] Relationship Management Bulletin and Publication Internal Branding Program Effective Internal Communication Programs

20. Selecting externally – engaging internally • Build the Employer Branding strategy • Be out there (academia, conferences, forums, professional • clubs, corporate events) • Engage the business – they know their market • Job enrichment: meaningful and exciting jobs • Balanced remuneration / performance linked • Talent programs • Career Development to complement performance review

21. This chapter covers a clear understanding about strategic internal communication as a management function that requires substantial attention from top management. However, in a multicultural country, internal communication relies on face to face interaction between managers and subordinates. The aura of leadership and communication are key integral parts of effective strategic internal communication. There is a dire need for internal communication or employee communication to move beyond communicating with employees, instead the role must be inspiring employees for building organisational excellence. Conclusion

22. The wicked leader is he who people despise. The good leader is he who the people revere. The great leader is he who the people say, “We did it ourselves.” -Lao Tsu