corpcom exam notes week 1 Chapter 1 - Introduction to corporate communication Scope and definitions Until the 70s, practitioners had used the term 'public relations' to describe communication with stakeholders. It largely consisted of communication with the press. When other stakeholders started to demand more information from the company, communication started being more than just 'public relations'. It focused more on the organization as a whole and how it presents itself to all its key stakeholders. ● This broad focus is reflected in the word corporate, it refers to the business setting in which corporate communication emerged as a separate function (together with HR and finance). ○ Narrow view: specific legal form ○ Broad view: group working together strategically ● Corporate also stems from the Latin words for 'body' (corpus) and for 'forming a body' (corporare) which emphasize a unified way of looking at 'internal' and 'external' communication disciplines. ○ Organization a body with different functions Corporate communication, in other words, can be characterized as a management function that is responsible for overseeing and coordinating the work done by communication practitioners in different specialized disciplines such as media relations, public affairs, and internal communication. Definition: Corporate communication is a management function that offers a framework for the effective coordination of all internal and external communication with the overall purpose of establishing and maintaining favourable reputations with stakeholder groups upon which the organization is dependent. ● management means it's connected to strategy ○ to the overall goals of the organization ○ It tries to think strategically about communication itself (with purpose and goal in mind) ● Coordination of different aspects (like an umbrella) ○ Employee communication, crisis management, public affairs all together ● Reputation not the same as image, captures the idea of a collection of images overtime ○ Reputation is indicative of success ● stakeholders refers to every individual that affects or is affected by the organization ○ Organizations have stakeholder models ● One consequence of these characteristics is that is complex in nature and demands and integrated approach. Corporate communication often uses metonymy trough logos (Nike) ● Capturing the identity of an organization just by showing or saying one word/logos ○ E.g., I went to AH (supermarket) Integration of strategic communication functions: Key concepts in corporate communication Trends in corporate communication ● 1980s: Many organizations restructured separate communication disciplines (media relations, advertising, sales…) and brought these together into more integrated departments or into specific working practices. This proved productive in that it offered direct organizational and managerial benefits. Fragmentation, it was realized, that lead to a process of suboptimization where each department optimizes its own performance 'instead of working for the organization as a whole'. ● 1990 - 2000s: Organizations emphasized the importance of its positioning. A favorable reputational position in the minds of stakeholders drives whether they will transact with the firm or not. ○ The key downside with this is that it reinforced an assumption that the minds of stakeholders can be managed and even controlled. It neglects stakeholders as active agents. Instead it suggests a linear 'counduit', model of communication, as opposed to seeing communication as a joint activity. ○ This view has been overtaken by current events. Stakeholders have become more active in voicing their expectation towards organizations and, empowered by new media technologies, have also started to expect more interactive forms of communication. The state of corporate communication is one of gradual change. Where the difference lies in the view that stakeholders can be managed or controlled. Another break lies in the principle that organizations need to 'engage' individual stakeholders through different platforms. It is related to the organization being 'transparent' and acting in character in order to bring across its distinctive identity. If there are any discrepancies or concerns about the organization not acting in character, this is picked up by the media and individual stakeholders who will point out the lack of 'authenticity'. Chapter 3 - corporate communication in a changing media environment For corporate communication, developments in new media technologies can be seen as both a challenge and opportunity. ● Challenge: when practitioners take the view that the new media landscape blurs boundaries between content providers and consumers and there is content dissemination increasingly fragmented. As a consequence, they may feel that these developments challenge them in. Managing/controlling the corporate messages ● Opportunity: These developments may create new ways of reaching and engaging with stakeholders in an interactive manner. The new media landscape This shift is quickly changing how dialogues occur, how news about organizations is generated and disseminated, and how stakeholder perceptions are shaped and relationship forged. ● 'citizen journalists' ● Newspaper suffering a significant decline The term social media has been defined as involving al kinds of online/digital technologies through which people create, share and exchange information. The term web 2.0 describes a general ideological and technological shift in the use of online technologies. Therefore: Social media are accordingly defined as ‘a group of Internet-based applications that build on the ideological and technological foundations of Web 2.0, and that allow for the creation and exchange of user generated content Broadcasting vs crowd-casting (both types of media are still current) The 'positioning' model of communication (controlled and planned release of corporate messages) doesn't apply fully anymore. The process of communication shifts from one based on exchanging carefully crafted messages in a controlled and scripted manner to one that is much more dynamic and open-ended: with social media, stakeholders can produce and disseminate various forms of content with often unpredictable consequences as to whether particular content on an organization will stick. ● E.g., campaign to get memories associated with the product: lots of people expressed their negative experiences. Classifying social media First dimension Social presence theory states that the media differ in the degree of 'social presence'- defined as the acoustic, visual and physical contact that individuals can have with one another as they communicate, such that they feel that they are both 'present'. ● Social presence can be expected lower for digital and mediated communication (telephone, email) than for direct interpersonal interaction (face2face). ● When social presence is high, it leads to a greater degree of involvement of individuals in the interaction and commitment Media richness theory states that media differ in the degree of 'richness' - defined as the amount of information and cues that can be exchanged between individuals in real time, as they are communicating. ● Rich media: face to face conversations or instant messaging (WhatsApp) allow for frequent updating and opportunity to provide feedback ● Poor media: written documents or a corporate advert, information can only be retrieved and not actively discussed. Second dimension Involves the intentions and objectives of individuals when they actually use social media. Here, the focus is on the actual use of the medium by individuals or organizations rather than any characteristic of the medium. ● We can use the medium to create a certain impression of ourselves to influence others but also to create a self-image that is in line with our personal identity ● Self-presentation is typically achieved through self-disclosure: the release of some personal information. Blogs: ● Controlled web-based mediums that enable an individual or a group to publish information in a diary ● They control the info ● It involves blogging on behalf of organizations to interact with stakeholders ● Spokesblogger: official spokesperson for an organization ● Advantage of corporate blogging: allows stakeholders to engage and encourages supportive word-of-mouth. ● Disadvantage of corporate blogging: once they are active on blogs, they have to deal with consequences of employees writing negatively about the firm. Collaborative projects: ● Joint and simultaneous collaboration between individuals in an online setting (Wikipedia) ● Distinction in wikis: ○ where users add, remove and change text-based content ○ Social bookmarking apps that allow individuals to collectively rate media content Social networking sites: ● Allow users to present personal information and create profiles of themselves and share these with others. ● Medium relatively rich in that users can upload images, videos, links… (yet it is short of face to face interaction) ● E.g., Facebook, LinkedIn ● Advantage of a firm having a networking site: provides a channel to gain customers and to strengthen ties with brands ● Disadvantage of a firm having a networking site: to have a 'discrete' presence on Facebook, it is not about selling but creating a personal image Content communities: ● Applications through which users share media content ● Advantage: provides organizations with lots of opportunities to make contact with users and position their brands. They can publish promos. ● Disadvantage: From a corporate perspective, YouTube or TikTok present the risk that copyrighted materials are shared without permission of the organization Virtual social worlds: ● Users can adopt a certain persona and live a virtual life (create avatar) ● Advantage: Organizations can also use the medium to organize meetings and knowledge exchange. Plus, the medium has been adopted by organizations for marketing and communication purposes, but also for fostering interaction internally between employees ● Disadvantage: it may mimic real life setting, but it's not. Plus, not all of a company's stakeholders may be familiar with the medium. Virtual game worlds: ● Like virtual social worlds, but users are restricted in how they behave themselves and also in the roles, as avatars, that they adopt. ● Advantage: opportunity for in-game branded presences. Challenges and opportunities Challenges: ● It takes time before new technologies and their uses are fully documented, understood and established as tools within corporate communication. ● Developments in digital media move quickly and professionals may lack resources to keep up Opportunities of social media: ● Presents a further step in the integration of marketing and PR. ○ Allows companies to engage more directly with customers, employees and stakeholders. Change from one-way to two-way conversations with stakeholders that might build reputational capital and brand equity. More interactive and inclusive compared to traditional advertising and marketing ● Allows the company to present a more human image of itself and to have conversational voice ○ defined as an engaging and natural style of communicating as perceived by the organization's stakeholders ● May foster or create a whole new range of stakeholder behaviors in support of the organization. ○ Stakeholders can use social media to network with others and disseminate corporate news, whether good or bad ○ They may also use it to organize themselves for action and to take steps in favor or against the organization Priming or nudging is the idea that with a few carefully chosen expressions (such as positive announcements) on social media platforms, organizations can try to mobilize individuals to produce and share content in favor of the organization. ● The influence is more indirect and not forced In a framing, social media are seen as a vehicle for disclosing or exposing information that may be harmful to an organization. An alternative framing, and one that is more alive to the opportunities of social media, is to view them as conversation starters and as ways of co-creating corporate reputation with an organization’s stakeholders. In the co-creation frame, reputation is shaped by the organization as well as by the community it embraces. They believe that reputation is not theirs to claim, but is constantly being established in interactions with their stakeholders. Many organizations are starting to develop guidelines for employees to use social media. ● Practitioners from the 'risk' frame have guidelines that limit the free expression of certain topics or issues and promote a more 'defensive' attitude in responding to negative comments online. ● Practitioners from the 'opportunities' frame embrace technology and don't question employees actions online. They argue that spontaneously expressed views of staff are more authentic. E.g., ambassadors. PARC principles of success of social media: ● Participatory: (stimulating interaction with the community) ● Authentic: (engaging in conversations without forced attitudes or a false demeanor) ● Resourceful (providing an audience or a community with helpful information) ● Credible week 2 Chapter 4; Stakeholder management and communication 4.1 Stakeholder management Neo-classical economic theory: the purpose of organizations is to make profits in their accountability to themselves and to shareholders, and that only by doing so can businesses contribute to wealth for itself as well as society at large. ● Shareholder approach ● ● ● ● Input-output model: power lies with the organization, on which the other parties are dependent and this relationship is only financial The organization is the center of the economy Investors, suppliers, customers and employees are depicted as contributing inputs(investment, resources..) The 'black box of the organization transforms inputs into outputs for the benefit of customers Socio-economic theory: the question of 'who counts' extends to other groups besides shareholders who are considered to be important for the continuity of the organization and the welfare of society. - more actors with legitimate interests (not only financial interest) ● Stakeholder model: all groups who hold legitimate interest in an organization do so to obtain benefits and there is no priority for one set of interests and benefits over another. ● ● The arrows between the organization and its stakeholders run in both directions. The relationship between the stakeholders and the organization is not linear but one of interdependency. ○ Groups are affected by the operations of the organization, but the organization's operation and performance is also affected by those groups It suggests that an organization needs to be considered 'legitimate' by both 'market' and 'non-market' stakeholder groups Reasons why the stakeholder model is used ● ● ● Instrumental: point to a connection between stakeholder management and corporate performance ○ Stakeholder management may lead to increases in revenue and reductions in costs and risks as it increases transactions with stakeholders Normative: appeal to underlying concepts such as 'rights', 'social contracts', morality… ○ The interests of all stakeholders are seen as being of some intrinsic value to the organization in this view Descriptive: it's a way to visualize strategically the map of the organization and its environment 4.2 The nature of stake and stakeholders Stakeholder: any group or individual who can affect or is affected by the achievement of the organization's purpose and objectives Stake: an interest or a share in an undertaking, that can range from simply an interest in an undertaking at one extreme to a legal claim of ownership at the other extreme ● Equity stakes: held by those who have some direct 'ownership' of the organization, such as shareholders, directors… ● Economic/market stakes: held by those who have an economic interest, but not an ownership ● Influencer stakes: held by those who don't have either ownership or economic interest in the actions of the organization, but who have interests as consumer advocates, environmental groups, trade organizations… Looking at stakes: 1. Assessing whether the interest is primarily economic or moral in nature. ○ Primary groups of stakeholders: groups that are important for financial transactions and necessary for the survival or the organization ○ Secondary groups of stakeholders: those who influence or affect or are influenced or affected by the organization but are not engaged financially, they are not essential for the survival of the organization ■ They have a moral or normative interest in the organization and have the capacity to mobilize public opinion regarding the firm 1. Considering whether stakeholder ties with the organization are established through some form of contractor not ○ Contractual stakeholders: groups who have a legal relationship with the organization for the exchange of goods and services, formally tied (distributors) ○ Community stakeholders: groups whose relationship with the firm is non-contractual and more diffuse, not formally tied (activists) 4.3 stakeholder communication Stakeholder salience model ● Stakeholders are identified and classified based on their salience to the organization (how visible or prominent a stakeholder is to the firm based on power, legitimacy and urgency) ● The more salient, the more priority, and therefore, the more need to be actively communicated with 1. Latent stakeholders (only possess one attribute) ○ Dormant stakeholders ■ Have the power to impose their will on others ■ Little or no interaction with the organization ○ Discretionary stakeholders ■ Possess legitimate claims based on interactions with an organization but have no power to influence ○ Demanding stakeholders ■ Urgent claims, but no power or legitimacy 2. Expectant stakeholders (possess two attributes) ○ Dominant stakeholders ■ Both powerful and legitimate claims ■ Strong influence in the organization ■ Employees, customers ○ Dangerous stakeholders ■ Power and urgent claims ■ They may resort to coercion and violence ■ Wildcat strikes, employee sabotage ○ Dependent stakeholders ■ Urgent and legitimate claims ■ They rely on others to carry out their will ■ Local residents of a community in which a corporation is based 3. Definitive stakeholder ○ Legitimacy, power and urgency ○ They need to be communicated with ○ Important shareholders The power-interest matrix ● Objective is to categorize stakeholders on the basis of the power they possess and the extent to which they are likely to have or show an interest in the organization's activities. ○ Key players (D) ■ Need to be constantly communicated with ○ Keep satisfied (C) ■ Most challenging to maintain relationships with ○ Keep informed (B) ■ High level of interest and low level of power ■ Need to be informed so they can spread positive word-to-mouth ○ Minimal effort (A) Stakeholder communication: from awareness to commitment 1. Informational strategy ○ Informing someone about something ○ This creates awareness of organizational decisions ○ One-way symmetrical ■ One way: Communication from organization to stakeholders ■ Symmetrical: no intend to persuade, they aim to report objectively 2. Persuasive strategy ○ Organization tries to change and tune the knowledge and behavior of stakeholders in a way that is favorable to the organization ○ They try to 'sell' a particular kind of understanding of the organization's decisions ○ Two-way asymmetrical ■ Two way: communication flows between organization and stakeholders ■ Asymmetrical: unbalanced communication, organization doesn't change, but it attempts to change stakeholders opinions 3. Dialogue strategy ○ Organizations and stakeholders mutually engage in an exchange of ideas and opinions ○ Active consultation of stakeholders and even involving them in decision-making ○ Two-way symmetrical ■ Two way: communication flows between organization and stakeholders ■ Symmetrical: exchange views and reach mutual understanding 4.4 Stakeholder Engagement Management vs engagement ● From management to collaboration ● From exchange to engagement ● Increased focus on stakeholder relations ○ From managing to building/fostering relationships ● More bridging, less buffering ○ From buffering interference to bridging with interests ● From fragmented to coordinated corpcom ○ From fragmented activities to coordinated communication programs for stakeholder relations ● Emphasis on purpose and social value creation ○ Balance between economic and social value. Dependent on leadership/CEO Buffering: trying to influence the attitudes and opinions of stakeholders so they don't interfere with internal operations Bridging: organizations seek to adapt their activities so that they conform to the external interests and expectations of stakeholders The dominant logic: conceptualize the firm's relationship with the broader society 1. Default logic ○ Strict commercial logic ○ Economic considerations 2. Logic of senior managers ○ Companies collaborate with stakeholders to create value and gain competitive advantage 3. Logic of joint value creation ○ Actively think through the bidirectional and positive links between social environmental and economic value Chapter 10; Issues management 10.1 defining issues Issue: (a) a public concern about the organization's decisions and operations that may or may not also involve (b) a point of conflict in opinions and judgements regarding those decisions and operations between an organization and its stakeholders Howard Chase defines issue as: 'an unsettled matter which is ready for a decision' ● Issues may develop into crisis ● Crisis: an issue that requires not just decisive but also immediate action from the organization ● Media can magnify interest in the issue 10.2 managing issues 1. Environmental scanning ● DESTEP ○ Demographic ○ Economic ○ Social ○ Technological ○ Ecological ○ Political ■ With this, practitioners are able to describe the most important current environmental changes and to predict future ones ● SWOT ○ Strengths ○ Weaknesses ○ Opportunities ○ Threats ■ Understanding of the organization's status, of its standing with important groups and its environment 1. Issue identification and analysis: to determine the present intensity of the issue ● Position-importance matrix ○ Concerned with the position of a stakeholder or public in elation to a particular issue ○ Categorized according to their position on an issue and importance to the organization ○ Numerical value from 0 to -5 (those opposing the issue) or 0 to +5 (those supporting the issue) ■ Problematic stakeholders ■ Likely to oppose to the organization ■ Unimportant to the firm ■ Antagonistic stakeholders ■ Likely to oppose to the organization ■ Hold power over the firm ■ Low priority stakeholders ■ Likely to support the organization ■ Unimportant to the firm ■ Supporter stakeholders ■ Likely to support the organization ■ Hold power over the firm ● Life cycle of an issue ○ To identify the current 'stage' of the issue ■ Emergence ■ Detect issues when they first 'emerge' ■ Debate ■ Engage publicly in the 'debate' ■ Codification ■ Issue defined within the public domain ■ Enforcement ■ Enforced through government legislation 1. Issue-specific response strategies ● The way organizations communicate about issues ○ Buffering strategy ■ Attempt to 'stonewall the issue' and delay its development ■ Trying to keep claims from stakeholders from interfering with internal operations ■ E.g., remain silent ● ● ○ Bridging strategy ■ Being open to change and recognizing the issue ■ Seek to adopt organizational activities so that they conform to external expectations of stakeholders ■ E.g., be transparent and engage in dialogues ○ Advocacy strategy ■ Try to change stakeholder expectations on an issue through campaigns ■ E.g., sponsorship or NGO's ○ Thought leadership ■ Identify salient emergent issues before they become active or intense ■ Stake out a leadership position on the issue ■ E.g., CEO's speaking on the issue to the media The way they communicate issues often involves acts of framing Issue framing: efforts that communication practitioners take, whilst communicating, to shape the frames of interpretation of stakeholders 1. Evaluation ● Evaluation of how the issue has developed and how stakeholder expectations have changed 10.3 Influencing public policy ● Such influence may be: ○ Indirect: through advocating a certain framing of an issue that may in turn influence the government ○ Direct: ■ through lobbying(individual hired by the firm to influence public policy in the firm's favor) , ■ political action committees(represent a fund for political donations made up of money from a firm's members or employees) and ■ industry coalitions(alliance of organizations in the same industry who through direct lobbying or donations, attempt to have a voice in the policy-formation process) ■ Grassroots campaigning: organization engaging with members of its own and/or others with a stake in an issue to persuade legislators to support its public policy 10.4 Anti-corporate activism ● Corporate communication practitioners not only scan and monitor the environment for issues and activist groups, but also seek to actively communicate and engage with activist groups ● A prolonged silence or continued dismissal of the issue may come to harm rather than protect the reputation of he organization ● Corporate activism / CEO activism: organizations and senior leaders representing the firms taking public stands on political and social issues unrelated to their companies' bottom line. Article; https://www.sciencedirect.com/science/article/abs/pii/S0363811109000149?via%3Dihub Issue arena's: Physical and/or virtual public, and networked, spaces where issues get communicatively constructed by multiple social actors, such as corporations, experts, political and governmental actors, NGO's, activists, civilians, influencers… ● They emerge around diverse topics, such as the environment, energy, health, housing, human rights… ■ Includes product defects, tampering and social issues regarding a company's supply chain, operations and contribution to society 5. Stage 5 ○ All previous stages but also incorporates environmental scanning and early warning systems to identify crises as early as possible 11.3 impact of a crisis on corporate reputation ● Impacts organization's operations, both financial (loss of income) and reputational (loss of earnings in the long run) ● Reputational capital: organization's stock of perceptual and social assets - the quality of the relationship it has established by stakeholders and the regard in which the company and brand is held ○ Based on performance and communication, organizations accumulate such capital with their stakeholders over time ○ 'reservoir or goodwill': an organization with a more favorable reputation prior to a crisis is also likely to have a stronger post-crisis reputation because it has more reputational capital ● Organizational stigma: collective stakeholder group-specific perception that an organization possesses a fundamental flaw or quality which is demonstrated in repeated crises or failures, and which leads stakeholders to single out and discredit the organization. ○ Represents a social negative evaluation where all reputational capital has been spent ○ Leads stakeholders to 'disidentify' with the organization and spreading bad word-of-mouth Steps: ● Crisis situation demands that communication practitioners begin their efforts by releasing information to the media. After that, one can turn the attention to communicating more broadly with their stakeholders and focus on reputational capital ○ Disseminating information openly is seen as an important first step in an effective crisis response ● Determine the organization's responsibility for a crisis and communicate its actions to a broad range of stakeholder groups ○ Owning up to a crisis, a company can minimize feelings of anger amongst stakeholders 11.4 communicating about a crisis Four types of crises based on two dimensions: ● Internal-external ○ Whether the crisis resulted from something done by the organization itself (actions of managers) or by some person outside the firm ● Intentional-unintentional ○ Motives behind the action that lead to the crisis ○ Intentional: crisis committed deliberately by some actor ○ Unintentional: not committed on purpose but emerged through happenstance Classifying crises into these 4 types: Faux pas (false step): corporate decisions or actions which unbeknown to the firm is transformed into a crisis by an external actor ● Begins with an issue between a firm and a external actor who challenges the appropriateness or the firms' actions ● When the firm does not engage in a debate with the actor, then a crisis emerges ● Social responsibility the focal point of faux pas Accidents: unintentional and happen during the course of normal organization's operations ● Product defects, employee injuries, natural disasters… ● Leads to attributions of minimal organizational responsibility, unless it was the firms fault ● They can be divided into: ○ Nature: hurricanes (distancing strategy) ○ Human-induced errors: industrial accidents (apologize) ○ Stakeholders react better at natural accidents Transgressions: intentional acts taken by an organization that knowingly place stakeholders or publics at risk or harm ● Knowingly selling dangerous products ● Violating laws ● Acceptance strategy from firm: admit responsibility but work to atone (make amends) for the crisis Aggression: intentional acts taken by external agents ● Designed to harm the organization directly (hurt customers through product tampering) or indirectly (reduce sales) ● Suffering strategy Principle for choosing appropriate communication strategy: ● Degree to which an organization is perceived by stakeholders and public to be responsible for the crisis ○ When responsible: defend its position or apologize ○ When not responsible: distance itself from the problem Crisis communication strategies Article; Hatch, M. J., & Schultz, M. (2002). The dynamics of organizational identity. Human relations, 55(8), 989-1018. https://doi.org/10.1177/0018726702055008181 Strategic identity management ● Identity is thus an umbrella construct to coordinately manage multiple processes ● Key questions ○ Who are we? ■ Traditionally captured by organizational identity also related to culture ○ Who do we say we are? ■ Corporate identity ○ How do we perceive how others perceive who we are? ■ Constructed image/reputation ● Underlying conceptual question ○ Is identity fixed or dynamic? ○ And if dynamic: what are destabilizing processes? The "I" and the "Me" ● Philosopher, sociologist and psychologist ● Chicago school (pragmatism, 1920s) ● Social identity emerges from the ongoing dynamic relations between the "I" and the Me" Mead's (1934) concepts "I" and "Me" ● The "self" is not a fixed thing, but a dynamic ever evolving, emergent, concept of becoming, it's the product of the two components of me and i ○ I: spontaneous, creative, dimension of the self (e.g., you make music out of your creative and spontaneous side) ○ Me: socially aware, conforming dimension of the self (e.g., you make what you think other people will like) Narcissism Hyper adaptation week 4 Chapter 8: media relations Journalism and news organizations Core operation of news media organizations: producing and disseminating news content Production of news involves two levels: ● Journalists: consult sources and write new stories ● Other parties (news routines): edit stories before made public ○ Journalists may cover and write the story, but at the same time not even recognize their piece because of news routines ○ News routines may reflect a certain ideology --> 'media logic': ideological frame of reference of a news organization, which influences how editors and journalists see and interpret corporate and social affairs ■ E.g., The Guardian has been characterized as left-wing political spectrum Effects of news coverage on corporate reputation Media coverage may often have an 'amplifying' effect on a company's reputation when 'good' or 'bad' news is reported. ● The amplifying effect studied with the agenda-setting theory: frequency in which the media report on a public issue determines that issue's salience in the minds of the general public. ( the idea that there is a strong correlation between the emphasis that mass media place on certain issues (placement of story) and the importance attributed to these issues by mass audiences) ● Two levels of agenda setting: ○ Objects of news coverage(such as political candidates or organizations) ■ Salience of a particular organization and the degree to which it readily comes to mind when a particular topic is being discussed ■ E.g., Shell comes to mind first when it receives more media attention than other petroleum companies ○ Framing ■ Media can also influence how people think about a topic by emphasizing and ignoring attributes ■ Not only on whether people think about a topic but how they do so in terms of certain associations ■ E.g., public associates Shell primarily with a particular issue (renewable energy) that has received much attention in the news during a particular period ○ Results have shown that news coverage influences which corporations are salient in the public's mind, and the amount of media coverage devoted to certain corporate issues or attributes of an organization are in line with public associations regarding those corporations ○ Also, the greater salience of an issue associated with a company, the better the reputation ● How is this agenda formed? ○ Agenda building: discussions and debates amongst multiple groups, including journalists and communication practitioners, as well as policymakers and interest groups Framing news stories Adversarial relationship between journalists and communication practitioners ● Journalists: they think that communication practitioners think about the needs of companies rather than what journalists need, and withheld information, are not always objective and not focused on issues of public interest ● Communication practitioners: less negative about journalists, but realize that journalists have their own agenda and may frame news about the company in line with their news routines and ideology of the news organization that they work for. ● However, they are interdependent ○ Journalists need and use info provided by practitioners and practitioners need the media as a channel to generate coverage on the firm to reach important stakeholders. Practitioners propose a story to a journalist: 1. Solicit interest in the story topic itself 2. Make sure that the story is framed in a way that is consistent with the firm's preferred framing ○ Framing involves processes of inclusion and exclusion of information in a message as well as emphasis ■ Involves selection and salience ○ Framing theory: communication practitioners frame a particular corporate decision, issue or event in such a way that it furthers and promotes the interests of the organization ■ That frame is labelled the corporate frame that is provided to the media ■ News framing refers to the way in which news is selectively portrayed by the media to explain ideas of organizations (journalism view). It depends on the political view of journalists ■ Because of that, both might tell the same story in completely different ways ■ Alignment of frames: spotting stories that can turn corporate news into media news ■ It's likely when practitioners and journalists openly discuss an issue ○ Disinformation: intentional spreading of incorrect information Media relations tools Tools to obtain news coverage: ● Press releases ○ Transfer news to journalists so that it can be made public ○ Newsworthy events and have a human interest ○ ● Press conferences ○ Disseminating info to the news media inviting journalists to a press conference ○ Organized around fixed periods when firms share final results ○ Also be ad hoc press conferences around an issue to provide up-to-date info to journalists ○ 'interactive feature': allows journalists to address questions, this is the difference between press conference and press release ● Interviews ○ Interview between a journalist and an executives of organizations ○ Communication practitioners need to offer executives advice and training on angles of corporate themes for the interview ● Online newsroom ○ One-stop shop for media relations; standard reports, speeches but also host dynamic content including videos, podcast ○ Provides journalists with info when they need it and drives traffic to company's website ● Media monitoring and research ○ Gate-keeping: ■ analyses characteristics of a press release or video news release that allow them to 'pass through the gate' and appear in a news medium ■ Both content and style are examined ■ ○ Output analysis: ■ Measure the amount of exposure or attention that the organization receives as a results of media relations ■ Measure the total amount of news coverage (number of articles) ■ Measure the tone (positive or negative) ■ AVE (advertising value equivalent): counting the column inches of press publicity and seconds of air time gained and then multiplying the total by the advertising rate of the media in which the coverage appeared ■ However, it doesn't incorporate an evaluation of the tone ● Syndicated media-monitoring services ○ Agencies have developed media-monitoring packages ○ They focus on: ■ measuring the total circulation or audience reached ■ The tone of news ■ The extent to which hey messages are picked up and communicated ■ The share-of-voice compared to competitors ○ Advantage: it focuses on the outcome (tone and share of voice) as opposed to mere exposure Lecture Stakeholder communication in a (non) digital society Why are news media (effects) so important for corporate communications? ● For most stakeholder groups, and specific stakeholders particularly, traditional news is (still) the most important source of organizational information ○ Stakeholder management ○ Coordination ○ Uncontrollable but manageable ● ● ● Newspapers are still the most important agenda- and frame setters ○ Stakeholders agenda's ■ Political; public; investors; activists ■ Most organizational news is negative ○ Negative is predominant over positive news, greater effect on the public News can have negative effects on reputation Agenda-setting theory ● Agenda ○ Just like a personal planner the news is a priority list with limited space ● Agenda setting ○ Salience on the news agenda will transfer to salience on the public agenda ● First -level agenda setting hypothesis ○ What do we think about ○ Increase in object salience on news agenda will lead to an increase in object salience on the public agenda ● Second-level agenda setting hypothesis ○ How do we think about an organization ○ Increase in object attribute salience on news agenda will lead to an increase in object attribute salience on the public agenda Objects and attributes in corporate communication ● Objects ○ Organizations(visibility) ○ 1st level of agenda setting ● Attributes ○ Associations in the news ■ Cognitive attributes ■ Rational facts, topics ■ Things like issues ■ Usually covered in a neutral way ■ 2nd level of agenda setting ■ Affective attributes ■ Irrational and emotional aspects ■ Emotions like tone/sentiment ■ Usually covered either positively or negatively ■ 2nd level of agenda setting Agenda building and setting Agenda setting refers to how the how the views and thoughts of the public can be altered by what they see and hear in the media (position of the story) while agenda buildingrefers to how public-supported issues are brought to policymakers and the media (government and citizenry reciprocally influence one another) ● Still complex, journalists may not use the sources of the organization to present an issue, so agenda building is not fully in the hands of an organization Agenda setting and framing ● Agenda setting ○ 1st level agenda setting: what do we think about ○ 2nd level agenda setting: how do we think about it ● Framing ○ Framing has been conceptually linked to 2nd level agenda setting ○ It offers a much more advanced and theoretically advanced literature and lexicon om 'how do we think about it' compared to agenda setting ○ E.g., emphasis framing: equivalence framing; generic framing; issue specific framing ○ But framing ans agenda setting: distinct research paradigms Main difference Framing refers to how an issue is characterized in news reports can have an influence on how it is understood by audiences. Once frames are learned, they guide our sense-making, actions, situations, and events. While agenda-setting refers to the idea that there is a strong correlation between the emphasis that mass media place on certain issues (placement of the story) and the importance attributed to these issues by mass audiences. Agenda/frame setting and building How organizations frame some issues and how are these issues transferred to the media Reputation ● Method Jonkman et al. (2020): investigating if the news have an effect on the public and how they view the reputation of an organization ○ Dependent variable: Reputation of set of large Dutch companies (survey) ■ Measured on a 10 point Likert scale (very negative to very positive) ■ Measured with the same persons (representative sample of Dutch adults) at 3 time periods ○ Independent variables(media content) ■ Attention to (visibility of) corporations in the news (counting mentions) ■ Tone of coverage (-1 to +1; very negative to very positive) ● Research question 1 ○ To what extent does the visibility of a corporate actor in the news negatively affect the corporate reputation of this actor? ■ Support for this idea. If you have been exposed to news without looking at the tone than this can produce bad effects on reputation ■ ■ Basic underlying idea: visibility may trigger negative responses because most people assume there is a negative bias in the news Mere exposure to objects in the news may activate negative attitudes because visibility indicates negativity (while statistically controlling for tone) ● Hypothesis 1 ○ The more positive the tone of news about a company, the more positive the corporate reputation of that company ○ This doesn't take into account the cognitive attributes (facts, what is the issue) ● Hypothesis 2 ○ The negative effect of negative news on corporate reputation is stronger than the positive effect of positive news ■ Hypothesis 1 and 2 supported ■ H1: classic second level agenda setting ■ H2: the (negative) influence of negative news > 3 times stronger than (positive effect on positive news ■ Previously demonstrated in political communication ● Hypothesis 4(moderation effect) ○ Preexisting reputation moderates the effect of tone on corporate reputation such that the more positive the individual's initial opinion of the corporation is, the weaker the negative effect of negative news on reputation will be ■ Support for this moderation effect ■ Effects of negative news on the reputation of a company are less strong among individuals who held a positive pre-existing reputational attitude towards that corporation ■ Cognitive dissonance theory:people prefer not to see their opinions challenged by media coverage and therefore tend to interpret news coverage in ways that are in line with their existing beliefs ■ Buffer-effect for organizations:like a shield protecting against negativity Implications for reputation management ● News coverage can influence corporate reputation in various ways ● The reputational effect of negative news outweighs the effect of positive news substantially ● A good reputation may function as a 'buffer' (protection) against negative news coverage ● Thus, organizations should invest in building favorable reputations Mediatization Definition: long-term dynamic process in the course of which the mass media become increasingly influential in and deeply integrated into different levels of society Four phases of mediatization: ● Media as most important sources of information ● Degree of media autonomy (e.g., press freedom) ● Media content mainly governed by media logic ○ Independent way in which media looks at the world and handles social reality ● External actors adapt to media logic (e.g., organizations) Media logic: focuses on ingrained patterns and characteristics of news selection and production that are applied by news workers (e.g., journalists) to cope with translating social reality into news. Mediatization includes the idea that media logic is becoming more dominant both within and outside media organizations News factors: concrete elements that can be associated with media logic: factors, such as negativity, proximity, elite people, drama… that signal newsworthiness to new workers (e.g., journalists) who, in turn, incorporate them in news stories News factors / values ● Concrete queues that are used to convert the social reality into news ● E.g., proximity, elite/famous actors, conflict, drama, negativity ● Aspects of perceived reality, steering journalistic news selection ● They materialize in news articles ● Can be strategically used by sources (e.g., corporate communication) Negativity and news ● Two selection bias ○ (1) negativity bias journalists (news selection) and thus in coverage ○ (2) negativity bias news consumers ■ Negative cover sells way more than positive covers ● ● Effects ○ May have substantial (negative) effects (compared to the effects of positive news) on public evaluations and/or behaviors explanations ○ ○ ○ Psychological and biological theories Negativity sells; commercial motivations Watchdog role press / reflection on what is wrong in society ■ The press is traditionally seen as a function in society that focuses on problems Effects of mediatization H1: media attention for negative incidents follows a different over-time trend as compared to the real world indicators of these negative incidents ● In real world: violence 10% non violence 90% ● In media: violence 30% non violence 70% ○ Therefore, media covers negative incidents in a different way H2: media attention for negative incidents is negatively associated with public responses ● Attention in the news with actual sells of airplane tickets ● When media covers airplane crashes, people didn't buy tickets that much (people react to what they see in the news) week 5 Chapter 9; employee communication Defining employee communication Employee communication: traditionally was communication with employees internal to the organization ● However, technology has blurred the line between internal and external communication as employees can distribute their own info about an organization electronically to outside stakeholders without any gatekeeping control Two central areas of employee communication ● Management communication ○ Communication between a manager and their subordinate employees ○ Restricted to specific interpersonal work ○ Related to specific tasks and activities of individual employees as well as to issues relating to their morale and wellbeing ● Corporate information and communication systems (CICS) ○ Broader focus than manager-employee ○ Involve technologies and communication systems that broadcast corporate decisions and developments to all employees across the organization ○ Disseminating info to employees in all ranks in order to keep them informed about corporate matters Forms of employee communication ● Downward communication ○ Information flowing from the top of the organizational management hierarchy and telling people in the organization what is important (mission) and what is valued (policies) ○ Includes both management and CICS communication ■ E.g., corporate calendar: list events throughout the year at which corporate objectives are communicated to employees from different parts of the company ● Upward communication ○ Information from employees that is sent up to managers within the organization ○ Typically facilitated within the interpersonal setting of management communication Employee communication and organizational identification Organizational identification: the perception of oneness with or belongingness to an organization, where the individual defines herself in therms of the organization of which she is a member ● Organizational identification increases as a result of: ○ the external perceived prestige of the organization ○ Fit between employee and organizational values Downward communication enhances organizational identification when the info transmitted is perceived as adequate and reliable (useful and efficient info) ● The more adequate or specific the information, the higher the level of identification with that organization Employees that feel they are listened to and are involved in decision-making will increase organizational identification ● Employee communication most productive if it's a two-way process (both upward and downward) Voice, silence and stimulating employee participation The degree to which employees speak up, are listened to and participate in organizational decision-making Organizational silence: powerful forces in many organizations that prevent employees from participation and that force them to withhold information about potential issues. Some factors that cause employees to remain silent: ● Managers' fear of receiving negative feedback from employees ● Managerial beliefs which suggest that managers know best about organizational matters Organizational silence can damage the organization in that it blocks negative feedback and hence an organization's ability to detect and correct errors. It can also affect decision-making as there's no new perspectives. It will elicit negative reactions from employees as managers tend to discourage employee opinion. Communication climate: internal environment of information exchange between managers and employees through an organization's formal and informal networks ● Characterized as 'open' when info flows freely between individuals ● Characterized as 'closed' when info is blocked Organizational silence corresponds to a 'closed' communication climate because it involves a shared and widespread feeling amongst employees that speaking up is of little use, leading them to withhold info Social media, networks and communities of practice Vertical communication (employees at the end and managers up), either upwards or downwards, is often about control and ocmmand. Besides such communication, may firms have started using social media tools to support employees in working together, as well as horizontally across the organization Such tools are referred to as 'enterprise social media' (ESM): web-based platforms that allow workers to: ● Communicate messages with specific ci-workers or broadcast messages to everyone in the organization ● Explicitly indicate or implicitly reveal particular co-workers as communication partners ● Post, edit, and sort text and files linked to themselves or others ● View the messages, connections, text and files communicated, posted, edited and sorted by anyone else in the organization at anytime of their choosing Production networks: primarily formed around the accomplishment of work tasks Innovation networks: emerge around the creation, development and diffusion of new ideas Maintenance networks: serve to develop and maintain social relationships at work Strength of weak ties: we often value so-called strong ties in social and organizational settings that are based on strong durable relationships with others and on frequent communication ● However, it may lead to in-group mentality where no new ideas emerge Community of practice: networks of communication that bind employees together by common interests ● They set their own boundaries around themselves and largely through collaborating together Chapter 12; Leadership and change communication Defining leadership and change Two views about leadership: either is natural, or acquired and developed. They may differ in terms of 'leadership style': the way in which, in their communication and behavior, they approach others and provide direction, energize and motivate others in an organization. ● ● Transactional leadership style ○ Situations of leadership where the leader is concerned with maintaining and ensuring the completion of a specific set of tasks ○ Leaders use their authority and incentives to motivate employees ○ 'transactional': the style of leadership where the leader essentially motivates by exchanging rewards for performance ○ Leaders focused on specific tasks and don't have a long-term vision for the firm ■ E.g., supervising and supporting day-to-day operations of an organization ■ Transformational leadership style ○ Broad visions are formulated by leaders to motivate employees and foster collaboration between them towards a set of higher-level ambitions ○ Broad strategic goals ○ Motivational tactics to obtain good performance and providing opportunities for personal growth for employees ○ 'transformational': leaders not focused on specific operational goals, but aiming to empower employees ■ E.g., CEO wants to strategically move the organization in a different direction Organizational changes: ● Degrees of change: ○ Major or radical: complete restructuring of an organization ■ Complete reorientation of an organization ○ Minor and convergent: adjustment customer service guidelines as a result of customer feedback ■ Fine-tuning existing orientation and ways of working ● Time frame: ○ Evolutionary: slow and gradually ○ Revolutionary: swiftly and affect virtually all of the organization ● Focus of the change: ○ Adoption of novel or updated technology to accomplish work ○ Restructuring and change in policies and routine ways of working ○ Change in the products and services of an organization ○ Change in the organizational identity and culture of the organization ● Changes can also be: ○ Additive ■ An addition or update to the old organization ■ Less drastic and may involve improvements of ways of working ○ Substitutive ■ Departure from the old organization ■ Involves redefinition of the organization's mission and purpose or substantial restructuring ■ More difficult to get support of Communicating during a change Poorly managed change communication may result in rumors and resistance to change. Model of the change process:(water freezing) -->change in an organization involves an alteration of the organization (water) in terms of its structure or function (in the form of ice) over time. All of the phases require communication between managers and employees 1. 2. 3. 4. Unfreezing: recognizing the need for change Vision: development of a change plan Moving: implementation of the new change Refreezing: routinization of the change Lecture Different forms of employee communication ● Management communication ○ Communication between immediate supervisor and employee ○ ● Corporate information and communication systems (CICS) ○ Communication to share important information and collaborate with the entire organization ○ E.g., via email, intranet or townhall meeting ● ● Goals employee communication ○ Provide relevant information for employee job performance and build a strong community Complimentary functions ● Downward communication flows from management to employees ● Upward communication flows from employees to management ● However, if you want to build a strong community, there should be horizontal communication, also known as ESM Enterprise social media (ESM) ● "social media tools used for communication within teams, organizational units, and department, as well as to support collaboration across professional groups and hierarchical layers" ● ESM are web-based platforms that allow workers to… ○ Communicate messages with specific coworkers or broadcast messages to everyone in the organization ○ Explicitly indicate or implicitly reveal particular co-workers as communication partners ○ Post, edit, and sort text and files linked to themselves or others ○ View messages, connections, text, and files at any time of their choosing Identification with the organization "the perception of oneness with or belongingness to an organization, where the individual defines themselves in terms of the organization(s) of which they are a member" ● Prestige organization ● Overlap personal and organizational identity ● Two-way traffic in employee communication Voice and silence Simulating employee participation ● Voice: employee participation in organizational decision-making Step 2:leaders have to craft a frame or vision of the strategic and economic issues motivating the change ● Deciding on a set of key words and phrases that best capture the change Step 3:managing moods of employees to make the change Step 4:reinforcing and institutionalizing the new behaviors ● Modeling new ways of working and positive reinforcement Communication strategies about change ● Spray and pray ○ Managers showering 'spray' employees with all kinds of information about the change ○ Info is simply passed on to employees who, t's hoped 'pray', will then themselves sort out the significant from the insignificant details and work out what the change means for their day-to-day job ○ Rarely effective: more communication does not mean better communication ● Tell and sell ○ Managers communicating a more limited info that they believe address the core issues about the change ○ Managers first tell employees and try to sell employees a particular approach ○ Top-down strategy: employees are not engaged in a dialogue but simply informed of change ○ Employees might not feel listened ● Underscore and explore ○ Managers focusing on several fundamental issues most clearly linked to the organizational change whilst allowing employees the creative freedom to explore the implications of the change in a disciplined way ○ Managers are concerned not only with developing a few core messages but also with listening to employees ○ Best strategy ● Identify and reply ○ Starts with concerns of employees ○ Employees setting the agenda to which managers reply ○ Employees are in the best position to know the critical issues and the feasibility of change ○ ● Danger: employees do not have the wider picture of the entire organization and that managers use this strategy as a defensive posture in which they are seen to attend employee concerns without actually using that feedback Withhold and uphold ○ Managers withholding info until they can no longer do so because of rumors or employee revolt ○ Managers assume that information is power and that employees are not sophisticated enough to grasp the big picture or simply do not know the rationale for a change Underscore and explore strategy organizational change is more successful when employees in non-management positions are able to exert the influence over the change process by providing feedback on the change and its implementation ● Bottom-up involvement in change is generally more effective than strict top-down Top-down: ● Employees involved only to a limited extent ● Managers will not consult employees, instead, they will meet each other and consult with external sources (management consultant) ● Once the change initiative is formulated, it will then be rolled out to employees ● For this strategy to be successful, they need to communicate face-to-face ○ Associated with 'open' climate influences employees' trust, commitment and willingness to change Bottom-up: ● Employees are involved to a greater extent ● Managers speak face-to-face and emails and then will meet them and will engage with all employees through interactive meetings Need for communication efficiency high when: ● It's physically impossible to communicate in a face-to-face or interactive manner with employees ● Resources devoted to change communication are scarce ● There's an urgent need to progress through the change process and thus little time for interaction Need for consensus-building high when: Consensus-building: effort in change communication to achieve commitment to a course of action as a result of joint decision-making Need for ● Changes are perceived to be radical and controversial ● There's a history of resistance to similar change ● Critical resources (expertise) are controlled by employees ● Ongoing support and cooperation are needed to maintain the change When these two dimensions put together = 4 different communication strategies: ● Need to know strategy ○ Managers keep quiet about planned change except to those employees who really need to know or who explicitly express a desire for the info ○ Strategy is useful when the change is more convergent or additive than radical and when employees are themselves selective about what firm's activities are of interest to them ● Quid pro strategy ○ Managers give more communicative attention to those employees who have something valuable to provide (expertise, resources) for the change process ○ These employees are crucial to the change and thus need to be consulted ○ Combines a focus of consensus-building with efficiency as only certain employees are communicated with ○ Risk: may anger other employees left out ● Equal dissemination strategy ○ Disseminating information to employees cross the entire organization on an equal basis ○ Not to involve all employees in the change but simply to give everyone fair notice ○ Used to prevent employees complaints about them not being noticed ○ Common in large organizations ● Equal participation strategy ○ Two-way communication (disseminating and soliciting input) between managers and employees ○ Used when employees are crucial to the change ○ Downturn: costly and lots of different opinions ○ Used in small and public sectors Effective leadership communication Attributes of successful leadership communication: ● Authenticity ○ Truthful and passionate commitment to others to gain their support ○ Gives a level of consistency and personal touch that is more likely to garner success ○ Convey passion through gestures, stories and conversational skills ■ Gestures increase attention, linked to persuasion ■ Stories can be useful to present in a single frame the rationale for the change ■ Conversational skills to obtain alternative points, it may trigger a reformulation in the implementation of a change Hybrid working: flexible working model where employees work partly in the physical workplace, and partly remotely; either at home of from another workspace ● Demands of leaders that they demonstrate responsiveness, empathy and clarity in their communication to employees ○ Leaders should be responsive by following themselves the same hybrid arrangement, otherwise they might send mixed signals ○ Leaders use their listening and conversational skills to show empathy and engage with employees ○ Leaders should also be honest about their own struggles and allow space in individual and team meetings for discussions around connections that are key to making hybrid work effective ○ Leaders should be clear in their messaging as they are not all in a same office Defensive: ● Ad hoc investments in social and environmental practices when they pay off the bottom line and for the organization's primary shareholders ○ E.g., try to reduce its waste to avoid paying a fine Charitable: ● Supporting social and environmental causes through donations or sponsorships, aimed at empowering civil sector organizations ● Whilst beneficial to community, CSR is limited in this approach to local investments Promotional: ● Rhetorical or symbolic use of CSR through PR and campaigns to bolster organization's reputation ● It may be seen as 'greenwashing' Strategic: ● Involves the firm identifying social and environmental issues that connect to its strategy and core business operations ● Firm actively identifies issues that matter to its business and long-term performance Transformational: ● Firms focus their activities on the root cause of environmental sustainability and social responsibility and trying to invent business models and revolutionary products and services that allow them to address these foundations in society ● Strategic is focused on the micro-level and transformative to a broader sense. Communicating about corporate social responsibility Traditionally there were approaches based on a model of persuasion rather than 'democratic' communication or dialogue ● Managers are hesitant to include stakeholders in CSR decisions cause they do not want to grant autonomy or power ● Many firms simply focus on the media and on PR tactics to manage CSR, they don't engage in real dialogue about CSR with stakeholders, instead, they approach the subject from a more limited symbolic and rhetorical perspective where they communicate about CSR for image-and reputation building. Greenwashing: companies declaring and framing themselves as promoting environmentally friendly policies, whereas, in reality, the actual implementation is out of step with the rhetoric. ● Promotional CSR ● Rhetorical or symbolic use of CSR through PR ● Stakeholder perceptions of misalignment ● Between corporate (environmental) responsibility communication on the one hand, and corporate environmental responsibility behavior on the other hand ● If firms communicate aggressively or excessively about CSR, they may be negatively perceived and evaluated by stakeholders Three communication strategies for CSR: Informational strategy ○ Not a persuasive intent but to inform the public as objectively as possible about CSR activities Stakeholder response strategy ○ Stakeholders are asked for feedback on CSR activities ○ Two-way communication model: stakeholders are asked but ultimately is the company that decides and then engages stakeholders to promote these activities ○ Risk: CSR is perceived as marketing or PR ploy rather than as a steadfast commitment to stakeholders and society Stakeholder involvement strategy ○ Preferred strategy ○ Real mutual dialogue between a company and its stakeholders ○ Companies would no only influence but also seek to be influenced by stakeholders, and therefore evolve in their CSR ○ Assumes that firms not only publish reports but set up public consultation forums with their stakeholders to inform their CSR objectives Nowadays there is 'integrated' social and environmental reporting: ● Prescribe clear standards which are assessed by professional social auditors ● Formal third-party used, giving greater levels of transparency These companies that are highly rated by their stakeholders for their CSR reporting adhere to the following guidelines: ● Set clear objectives: ○ Setting clear objectives for social and environmental performance annually ○ Systematically reporting on the results achieved afterwards ● Set progressive objectives: ○ Objectives are progressive in bringing new aspirations and standards to bear upon business operations instead of reciting existing practices that may be seen as socially and environmentally viable ● Involve stakeholders: ○ Objectives and targets include issues that are relevant to stakeholders and are linked to clear benchmarks and standards ● Report transparency: ○ Reporting in an honest and transparent way instead of a polishing of performance data ● Be accountable: ○ Performance data are rigorously assessed and verified by credible auditors (accountants or consultants) Community relations 1. Anti-corporate community activism has increased in scope and frequency because of the fact that corporations themselves have become larger and more powerful and have increased their hold over individuals 2. Psychological contract between companies and communities in society, which refers to the implicit expectations that community members have of companies. Psychological contract: expectations between companies and communities ● E.g., communities expected companies to provide employment to residents Prior to 1980s --> contribution of companies to communities consisted of charitable donations to high-profile charities (balloon and T-shirts era) 1980s --> greater emphasis on employee volunteer programs 1990s onwards--> 'citizen approach': wider expectations and the rise of community stakeholders Elements of a community relations program ● Philanthropy: ○ Cash contributions to local community causes or charities ○ May be seen as minor involvement in community affairs, but provide a strong symbolic signal that the company cares ● Volunteers: ○ Most important resource of a company ○ They can help build relationships with local communities ○ They act as ambassadors for the company, enhancing its reputation in the community ● Partnerships: ○ Higher level of commitment ○ Companies engage in partnerships with community agencies and form alliances with other firms to address public issues ○ Allows a company to address pressing community needs and enhance the entire community relations program Lecture Mediatization: long term dynamic process in the course of which the mass media become increasingly influential and deeply integrated into different levels of society ● Four dimensions: ○ Media as most important source of information ○ Degree of media autonomy (e.g., press freedom) ○ Media content primarily governed by media logic ○ External actors adapt to media logic (e.g., corporations, non-profits) ■ Clear example of CSA ■ Corporations are changing the way they act because they want to get the attention of media Maintaining legitimacy Legitimacy: the assessment of an organization against the norms, values, and expectations of its stakeholders, in terms of what those stakeholders seem acceptable and favored by the organization ● Contextual and dynamic ● Negotiated between stakeholders and organizations ● Facilitated by organization-society relations Triple bottom line ● People: societal well-being ● Planet: environmental sustainability ● Profit: growth market economy ● ● Limits to growth (Club of Rome, 1972) Brundtland report (UN, 1987) Corporate citizenship (organization as citizen): ● Organizations are 'legal entities with rights and duties, in effect, 'citizens' of states in which they operate' ○ Firms are like citizens, they have responsibilities but also rights ● Corporate citizenship refers to the portfolio of activities that organizations undertake to fulfill their perceived duties as members of society Different perspectives on CSR communication ● Societal perspective ○ CSR as a patterns in society / a globalized world ○ How do societies give meaning to CSR? ● functional ○ CSR as a strategic function of the organizations ○ How do organizations use CSR communication? Corporate social advocacy ● Definition: an organization's making a public statement or taking a public stance on social-political issues ○ Strategy to increase distinctiveness of the brand, but not without a risk ○ Publicly promoting and voicing support for an individual, group or idea ○ An effort to persuade audiences to embrace this individual, group or idea ● Distinction between CSR AND CSA ○ CSA viewed as a newer form of CSR; it targets narrow stakeholder group(s), while CSR generally targets wider/more general stakeholder group(s) ○ CSA is about controversial topics, while CSR often targets problems whose solutions are related to the organization's bottom line and have higher public acceptance ● Ads and cons of CSA (tutorial) ○ ○ ○ Firms should do it cause its better than nothing and they can raise awareness However, they might lose customers cause some of them might not agree with what the company is portraying If you engage in CSA greenwashing might backfire ■ If you support diversity but your company's vision doesn't then it doesn't make any sense and greenwashing has a backfire effect ● Rise of CSA ○ Clip Nike campaign 'Believe in more' ○ Black lives matter, transgender rights and other LGBTQIA+ issues, women's rights… ○ Related to mediatization and politization of corporations ■ Firms are having a political view because they are advocating for things that don't have anything to do with the firm ● Danger of 'woke' washing ○ CSA "a corporate activity which pertains to partisan sociopolitical issues that can be executed by any representative of the firm or via firms' brands" ■ 'woke' washing refers to the perceptions of inconsistencies between communication and behavior(practices/policies) ■ Various types of corporate 'washing': Greenwashing, brownwashing, pinkwashing or rainbow capitalism ● Effects of CSA ○ Most previous CSA research focused on financial performance: purchase intention, intention to boycott, positive or negative word-of-mouth ○ Emerging question: what is the effect of CSA on corporate reputation? Issue ownership theory ● Originated in political communication, from election campaigns and voter choice research ● Some political candidates have a stronger reputation for handling a specific issue than others and 'own' the issue ● Corporate communication ○ Some firms have a stronger reputation on handling a specific issue than others and 'own' the issue ○ Media coverage of 'owned' issues will increase the salience of that topic, and therefore enhance the firms reputation CSA-brand fit: perceived congruity between the advocated cause and the brand in regard to the brand's identity and the public expectations about the values related to the brand ● Dimensions CSA brand-fit: ○ Alignment between cause and corporate or brand identity ○ Alignment between firm's CSA and the changing social and cultural values among key stakeholders ○ E.g., Nike's behavior against racism ■ It fits in the CSA brand fit because it goes with Nike's identity and the vision of key stakeholders Authenticity: perceived CSA authenticity is the genuineness and consistency of the firm's commitment to the advocated issue reflecting the organizational true identity. It has 3 dimensions: ● Dimensions CSA authenticity ○ Genuineness of the firm's commitment to the cause ○ Consistency between words and behavior ○ The extent to which the advocated issue reflects the 'true' identity Findings: H1:The social media posts referring to LGBTQ + issues will be positively associated with the respondents’ top of mind ratings for the top 10 LGBTQ + companies. ● Support for this hypothesis H2:Perceived fit between organizational identity and advocated social issue will have a positive effect on issue-specific reputation. ● Support for this hypothesis H3:Perceived favorable stance on the advocated issue will have a positive effect on issue-specific reputation. ● Support for this hypothesis H4:Perceived authenticity will have a positive effect on issue-specific reputation. ● Support for this hypothesis ● Diversity management (Diversity, equity, and inclusion) ● To maintain their legitimacy in the eyes of their stakeholders, organizations have to refrain from discriminatory practices ○ Recruitment ○ Equal opportunity employees ● So they want to attract 'diverse employees' ● What is a 'diverse employee'? ○ One person can't be diverse, it involves a whole group ● Most larger companies have diversity, equity, and inclusion (DEI) policies --> diversity management ○ Dutch employers lag, in 2020 only 20% of the corporations had an active DEI-policy ● ● Due to the new EU-regulation 'Corporate Sustainability Reporting Directive' (GSRD) all corporations will have to account publicly for their initiatives Important to differentiate between equality and equity so everyone can participate in the corporate life Diversity management (Article Kollen 2021) ● How did diversity management emerge and how are they enacted ● Debate within diversity management ○ The diversity dimensions and related prioritization ○ Legitimacy of diversity management practices ● Road forward for academic research and diversity management practices ● Origin diversity management ○ Originated in the US, based on 'affirmative action' ○ Affirmative action directives were based on anti-discrimination considerations ○ Diversity management originated from affirmative action, with the addition of the 'business perspective' and was transported to Europe via multinationals ● Shape diversity management ○ Attracting a diverse workforce in terms of demographic categories e.g., gender, origin (race, ethnicity, nationality), sexual orientation, disability status, and religion ○ Creating an inclusive workplace for the diverse workforce ■ Training on awareness of stereotypes and bias ■ Networks or programs for disadvantaged groups: mentoring programs, employee network affinity groups, or employee resource group ■ Work/life balance initiatives ● Debate within diversity management ○ Dimensionality of diversity management ■ Why these dimensions and how can we demarcate them? ■ Gender and sex ■ Origin (race, ethnicity, nationality) ● Criticism diversity management ○ Intersectionality: ■ Dimensions of diversity intersect ■ Different intersections ---> different experiences ■ One size does not fit all ■ We have to make firm policy more fluent in a way that reflects every category cause firms only have dichotomous categories, either you're a man or woman, but we're much more than that ● Legitimacy of diversity management ○ Why should corporations implement diversity management? ■ The economic value of diversity --> business perspective ■ More likely to innovate cause we have different perspectives and therefore the firm will go better ■ ● The moral value of diversity management ■ Work experience and work knowledge Road forward: future challenge ○ Diversity management will become more important ■ Shrinking population and new EU-regulation 'Corporate Sustainability Reporting Directive' ■ Working population is shrinking and you want to have the more talent that you can ■ More attention to intersectionality ■ Polarization on political correctness ■ Ones who are in favour and against diversity management