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The Suggestion Box Ate My Idea: Making Crowdsourcing Actionable

admin — Thu, 20 Aug 2009 17:39:11 -0500

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In an August 2009 article posted on the blog The Huffington Post, Daniel Dworkin, Associate Consultant at Stromberg Consulting, Ketchum's employee engagement and change management consultancy, goes over several new social media technologies that enable "crowdsourcing" -- the capability for organizations to sift through numerous ideas and questions to determine what's most important to their employees and customers.

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By Daniel Dworkin, Associate Consultant, Stromberg Consulting

Reprinted with permission from the Aug. 4, 2009, issue of The Huffington Post.

Glenn, a friend of mine from the office, went skiing with his girlfriend in Maine in March 2009. It was 10 below zero for much of the weekend, but the conditions didn't bother him much -- Glenn's from Boston. But paying nine dollars for a greasy grilled cheese sandwich at the slope-side restaurant was another story. The 3,600% mark up for a couple pieces of Wonder Bread and a slice of cheese simply got his goat.

You might argue that crappy, expensive food is just part of the ski trip deal. Not so for Glenn. As he lamented this lunchtime injustice, his girlfriend noticed a table tent featuring an e-mail address where patrons might send comments and suggestions regarding their resort experiences. "If you're so upset about your food, tell them, not me," she said. Glenn, half-jokingly, whipped out his BlackBerry and sent a note off to the digital abyss expressing his sincere disappointment with the price and quality of the said grilled cheese. The following Monday, he received a personal note from the mountain's director of food operations thanking him for the feedback, apologizing for the poor food quality and high price, and welcoming him back to Maine for a free lunch.

Glenn's experience represents truly outstanding customer service -- the kind of thoughtful, personal attention to an individual's needs that powers brand evangelism. Most organizations recognize the importance of seeking feedback from both internal and external stakeholders, but effectively responding to it raises difficult challenges. It's one thing for employees at a small ski resort in Maine to review and reply to the occasional e-mail from an outspoken visitor, but how do you manage that process for global organizations with hundreds of thousands of employees and customers?

Traditionally, the answer has been "sparingly." Particularly PR-sensitive issues might bubble up to find a place on the executive team's agenda, but all too often the corporate "suggestion box" is more a means of psychological appeasement than an actionable tool to facilitate dialogue. I'm not discounting the symbolic power of the "corporate hotline," even if there isn't anyone on the other end. There's something cathartic about articulating what's on your mind. But such gratification only goes so far. At some point, feedback requested but not addressed becomes a frustrating point of contention rather than a potential brand builder.

A number of innovative social media applications have emerged that challenge the notion that crowdsourcing -- tapping the latent wisdom of the masses -- is theoretically appealing, yet realistically untenable. These technologies enable organizations to sift through limitless ideas and questions to determine what's really important to their employees and customers, creating a truly meaningful feedback loop as well as a powerful "idea harvesting machine." However, the crowdsourcing technology market is quickly becoming saturated and each app has its own unique use. Here's a brief overview of the best of what's out there:

Google Moderator:

Google Moderator enables users to submit and rank ideas or questions they think should be addressed by "the powers that be." This allows leaders to tackle those topics the general population believes are most important. The Obama campaign utilized Moderator technology to conduct digital town hall events that enabled thousands of citizens to share feedback directly with the president. On the down side, Google Moderator-hosted forums may be susceptible to hijacking by vocal fringe groups. For instance, pro-marijuana users forced pot legislation to the top of the priority issue list in one of Obama's town halls by coordinating repeated voting for their group's cause. Google moderator is a free service -- all you have to do is sign up for a Gmail account and log in at moderator.appspot.com/.

All Our Ideas:

All Our Ideas, the brainchild of Princeton prof Matthew Salganik, presents users with a series of comparisons and asks them to choose which of two options they prefer. All Our Ideas notes users' preferences and presents two new options to be judged. Participants can also suggest new ideas to be pitted against those previously loaded into the system. The most popular ideas float to the top of the priority list based on how many votes they receive. The pairwise system means all ideas are evaluated at one point or another and that people have to vote without seeing what others have chosen (which may prevent the kind of groupthink and "popularity snowballs" that can occur with some of the other apps like Google Moderator). The pairwise system results in a natural metric that can be interpreted to everyone (e.g., Idea X beat the relevant pool of other ideas 80% of the time). All Our Ideas is based on open source software, enabling organizations to redesign their own comparison sites to serve unique business needs. With a recent grant from Google, All Our Ideas continues to flesh out its design. In true open source spirit, the service is free!

Kindling:

Kindling is collaboration generator that facilitates opportunities for employees to share ideas more effectively with one another. Like Google Moderator, the site offers a system to suggest or vote on the strength of various peer-generated ideas (i.e., new products or services, innovative processes, or strategic shifts). Popular ideas bubble up to the top, enabling easy prioritization. Unpopular ideas are slowly phased out of the system. Individuals are prevented from exorbitantly voting on their favorite ideas, ensuring that votes retain their significance. Employees can also sign up to work on addressing a suggested project, so Kindling functions as a task manager as well. Kindling charges a flat rate of $5 per user, per month, but also offers non-profits and educational organizations a flat rate of $99.

Ideablob:

Ideablob was created by Advanta, one of the nation's largest credit card issuers, to incubate creative small business projects. Participants post their best start-up ideas on the Ideablob site and registered community members can both comment on ideas they like (or don't like) and vote for those they think should be awarded a monthly $10,000 prize. The idea that receives the most votes wins and the lucky entrepreneur collects a small bit of seed money to get the ball rolling on budding business plans. Past winners have included both for-profit and non-profit groups. Even those who don't win receive feedback for how to enhance their ideas from a group of peers across the globe.

Kluster:

Kluster enables organizations to "borrow" ideas their customers and fans suggest. Kluster community members respond to the requests that businesses post -- a new product, a different brand, a creative theme for an event -- in some cases in exchange for cash prizes, in others simply for the joy of creative collaboration. Kluster users may bet on the likelihood of sponsor organizations choosing the ideas they like best with digital poker chips referred to as "watts". Those who submit winning ideas receive at least 20% of the prize offered by sponsor companies. Users who bet on winning ideas earn more watts while those who bet incorrectly lose them. Kluster makes money by collecting 15% of rewards offered on specific projects and charging a fee for quality placement of projects on the Web site.

The key determinant when distinguishing among crowdsourcing technologies is whether you seek the input of internal or external audiences. While each of these applications is based on the same idea of an "open call" for ideas or feedback, some are better suited for employees and others for the public at large. In both cases, users should be aware of the risks associated with this type of voluntary feedback collection. The "squeakiest wheels" are those whose voices will be heard the loudest -- and loud does not necessarily equal brilliant.

Ray Kotcher Selected as One of Top 25 Industry Leaders in PRWeek's 2009 PR Power List

admin — Fri, 17 Jul 2009 12:53:36 -0500

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PRWeek's senior editors profile Ketchum CEO Ray Kotcher as one of the top 25 industry leaders in PRWeek's annual PR Power List.

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Making the Right Moves

admin — Mon, 18 May 2009 17:25:06 -0500

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In an interview from the May 2009 issue of PR Tactics, Ron Culp, Partner and Managing Director of Ketchum Midwest and creator of the PR career-advice blog Culpwrit, shares his insights on networking, mentoring and managing a PR career amid a global recession. (Reprinted with permission from the May 2009 issue of PR Tactics. Copyright 2009 Public Relations Society of America.)

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Listen to the Multi-Minders

admin — Wed, 15 Jul 2009 10:39:34 -0500

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In an April 2009 op-ed in Brandweek, Kelley Skoloda, Partner and Director of Ketchum's Global Brand Marketing Practice, discusses the ways in which female consumers are starting to take control of brands and provides insights on how marketers and business owners can benefit from giving up control.

Riding the Social Media Wave

admin — Fri, 24 Apr 2009 10:37:02 -0500

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In an April 2009 article posted on the blog The Huffington Post, Daniel Dworkin, Associate Consultant at Stromberg Consulting, Ketchum's employee engagement and change management consultancy, discusses the challenges and rewards for organizations in using social media to engage employees.

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By Daniel Dworkin, Associate Consultant, Stromberg Consulting

Reprinted with permission from the April 14, 2009, issue of The Huffington Post.

For years, forward-thinking business leaders have espoused the virtues of involving employees in decision making as a means of driving engagement. Give them a voice, the mantra goes. Don't talk at them; facilitate a meaningful dialogue.

Then along comes social media (content created by the people, for the people) to share ideas, build communities, and influence one another's actions. It doesn't take long for those of us responsible for driving employee engagement to realize its potential to put the "involvement = commitment" theory into action. We can empower employees across functions, and in some cases across the globe, to share their thinking about how we can make the most of our businesses -- what works well, what we should develop, how we should go about attaining our goals. What's more, the conversation, and thus the feedback, doesn't stop. The elusive "wisdom of the masses" is but a mouse click away.

Then the dream came crashing down around us.

How do we manage the user-generated content of independent-thinking employees? How do we effectively respond to their questions and suggestions? What if we don't have the resources, budget, or leadership alignment to act on their ideas?

They're valid questions. Moreover, implementing social media in the workplace forces us to wrestle with deeply entrenched perceptions of what the roles of "employee," "leader" and "communicator" mean. To empower employees with a voice demands leaders who are willing to be participants in the conversation and communicators who are able to facilitate and influence that dialogue. For some organizations, this evolution is simply the next step in a journey towards flatness that began many years ago. For others, re-imagining how people interact across levels, via social media or otherwise, is a philosophical sea change.

Interestingly, social media raises a similarly scary conundrum for organizations interacting with consumers. To open the door to their input regarding your brand, its strengths, and its deficiencies might be seen as an invasion of your corporate privacy. Sure, effective branding has always taken the consumer's perspective into consideration, but how active a role do we really want the public to play in influencing the future of our businesses?

Despite these parallels, doubt surrounding the benefits of external social media applications has largely gone away. The blogosphere is talking about your enterprise whether you're part of the conversation or not. Consumers are tweeting about how lame (or amazing) your Super Bowl ad was, even if you're not reading and responding to those messages. The point is, we've accepted the fact that our brands are no longer simply the images we project. Consumers' power to shape how their social networks perceive our organizations and what we stand for is far more striking than any ad campaign.

If we buy the idea that there is a perpetual digital conversation happening about our businesses among consumers, and that we have to join that party as much to protect our brands as to influence peoples' perceptions of them, then why don't we extend the same courtesy to our employees? If you're looking to grow brand ambassadors -- employees who can advocate for you on the Web, at the bar, or at the local tabernacle -- why would you deny them a forum to share their perspectives with one another in which you, the leaders and communicators, can be active participants in shaping how they think and feel?

Modern brand-building is a bottom-up affair, and it starts with employees. Social media is an efficient mechanism to connect with employees, harvest their ideas, address their concerns, and begin the process of cultivating an army of brand spokespeople. It won't happen overnight, and in an age where ROI is measured quarterly at the least, the upfront costs of upping your organization's social media game may intimidate the faint of heart. But if you believe that employees are your "most precious resource" and that their engagement is tied to their productivity and thus your bottom line, than you'd be wise to at least explore the digital waves, if not paddle out into the uncharted waters of social media in the workplace. Enjoy the ride.

PRWeek 2009 Campaign of the Year Award: Man Lives in IKEA

admin — Mon, 06 Apr 2009 13:56:24 -0500

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Ketchum and client IKEA took home the 2009 PRWeek Award for Campaign of the Year for their "Man Lives in IKEA" campaign, for which comedian Mark Malkoff lived in a Paramus, N.J., IKEA store for one week in January 2008 and documented his adventures online and posted webisodes of his time in the store. The campaign also won PRWeek Awards for Best Corporate Branding Campaign and Best Use of Online Media.

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In Digital Dialogue, Every Word Counts

admin — Tue, 24 Feb 2009 14:54:18 -0600

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In a February 2009 op-ed from PRWeek magazine, Ketchum Senior Partner and New York Director Barri Rafferty comments on the opportunities and challenges for PR professionals to maintain a "digital dialogue" with their audiences.

Advertising Age Selects Ketchum for 2009 "Agencies to Watch" List

admin — Fri, 30 Jan 2009 14:49:05 -0600

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Ketchum was named as one of 10 agencies chosen for Advertising Age's 2009 "Agencies to Watch" list, a list
designed to recognize 10 agencies based on creativity in brand strategies and execution, measurable results, and new-business growth.

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PRWeek Names Ketchum as Its Editors’ Choice, Honorable Mention, for Agency to Succeed in 2009

admin — Fri, 30 Jan 2009 14:40:02 -0600

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Ketchum was selected for an honorable mention for agency to succeed in 2009 in PRWeek’s annual Editors’ Choice selection, an annual designation bestowed upon the top two PR agencies judged as most likely to succeed by PRWeek's editors.

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Promise and Reality: The Obama Administration's Major Healthcare Challenges

admin — Wed, 25 Feb 2009 16:47:13 -0600

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In a January 2009 article from Medical Marketing & Media, Ketchum North American Healthcare Practice Associate Director Nancy Hicks takes a look at some of the biggest healthcare challenges the Obama administration faces in the wake of a deepening recession, rising costs, and new technological and treatment advances.

New Media Terms to Know for a New Year

admin — Thu, 29 Jan 2009 15:27:10 -0600

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In an article from PR Tactics, the monthly newsletter of the Public Relations Society of America, Ketchum Editor of Online Communications Joseph Priest takes a look at some of today's most frequently confused new media terms and how to correctly write them. (Reprinted with permission from the January 2009 issue of PR Tactics. Copyright 2009 Public Relations Society of America.)

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The Second Decade of the Council Brings Great Promise

admin — Fri, 19 Dec 2008 19:38:33 -0600

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In a December 2008 article from the Council of Public Relations Firms' online newsletter, The Firm Voice, Ray Kotcher, Senior Partner and CEO of Ketchum and 2008-2009 Chair of the Council of Public Relations Firms, reflects on the Council's 10th anniversary.

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By Ray Kotcher, Senior Partner and Chief Executive Officer, Ketchum, and 2008-2009 Chair, Council of Public Relations Firms

Reprinted with permission from the Dec. 9 issue of The Firm Voice.

The Council of Public Relations Firms turned 10 this year, and I think what this organization has achieved is worth celebrating. I also believe those achievements have fortified us for whatever lies ahead.

In 1998, the Council ended its first year with 39 member firms. Today, firm membership stands over 100, and our members represent some 12,000 employees in more than 40 U.S. cities and in 70 countries. That is a testament not only to the role of the Council in our industry, but also to our industry's role in today's global business world. Since 1998, revenues for PR firms in the U.S. have grown from $2.5 billion to a projected $4.7 billion for this year — evidence of the rising value of the services we provide.

The Council — by pooling all of our strengths and resources — has been an important part of this growth.

Ten years ago, Facebook and MySpace didn't yet exist; today, the popular social networking sites are a primary way that people around the world connect online — and PR is a lead discipline for tapping into this potential.

Indeed, throughout all this change — and, specifically, as one-directional mass communication has given way to multilevel conversations with consumers — PR firms have not only kept pace but often have led the way in shaping how new tools will be used and helping our clients stay up-to-date.

Agencies have taken on ever-growing roles as trusted partners for companies looking to build equity, trust and authenticity. Companies increasingly seek our counsel in managing issues and crises. And more and more, they look to us to help navigate key new concerns around social responsibility and stakeholder engagement. PR firms are making real, high-level contributions to corporations.

While the economy is going to test all industries in the months ahead, I think the public relations industry is in a position of strength.

Public relations agencies will be the most efficient way for companies to access the breadth and depth of communications and marketing expertise that they will need. And I believe the value of public relations will be clearer than ever. In fact, when I became chairman of the Council of PR Firms last year, I said that I didn't think there had ever been a better time in PR — I still feel that way today. We've been through tough economic times before, and we've emerged stronger and better.

So, despite the tough economic times we're facing around the globe right now, I believe the public relations industry — and PR firms, in particular — will continue to grow because of the relevance of the services we provide.

With all of these things, I see great times ahead for both the Council and our industry. Most of you reading this can attest to the growing sophistication of our business. Companies increasingly are turning to communication and public relations functions — and to agencies — for more strategic and higher-level advice. And the current patterns indicate that corporate public relations will have more responsibility for ethics and advocacy in the future. For agencies, that means we will need to provide sophisticated, sound counsel.

At the Council, we are committed to helping member firms find and attract the additional talent we'll need to meet these responsibilities. For instance, we all know that our industry needs more diversity in skill sets, thinking, educational background and experiences. I believe we can achieve this as agencies by doing these things: working more closely with the colleges and universities that train future PR professionals to make sure they understand the evolving needs of PR firms; encouraging mid-career professionals from other industries — business, law, technology (wherever we have needs) — to consider public relations and then helping them with the transition into our world; and providing continuous training of the talent we already have — preparing current PR professionals to be ready to take on expanded counseling roles for our clients.

The Council's leadership training program with Harvard is one example, and as public relations helps navigate the increasingly complex stakeholder "ecosystem," other alliances will occur. And, of course, we will have to be sure our compensation structure is competitive with other industries so that we can pursue top-notch graduates.

A broader role as counselors also will open the door for public relations to lead more integrated pitches. As the value of the services we offer becomes clearer to clients and prospects, our role as an equal contributor in the overall marketing mix will become clearer, too.

The potential that lies ahead is significant. And our industry's advances so far reassure me that it is attainable. Looking back again at revenue growth for a moment, I think it's also important to point out that revenues for PR firms in the U.S. have nearly doubled over the last 10 years. That outpaces the aggregate growth of the marketing agency sector — the agencies in all disciplines — whose revenues increased just 17% over that period. While other marketing communications agencies have a larger share, I do believe our rate of growth is a clear demonstration that the perceived value of what we do is rapidly on the rise.

Presidential Speech: Deciphering 21st-Century Political-Speak

admin — Wed, 12 Nov 2008 12:03:07 -0600

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Nick Ragone, Senior Vice President and Director of Ketchum's Global Media Network for New York, explains the meanings and origins of common terms used during the 2008 U.S. presidential campaign, in this October 2008 article from Real Simple magazine.

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New Influencers Alter Health Strategy

admin — Thu, 09 Oct 2008 19:54:35 -0500

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Nancy Hicks, Senior Vice President and Associate Director of Ketchum's Global Healthcare Practice for North America, explains how consumers are changing the landscape of influence and democratizing health and wellness marketing, in an article for PRWeek magazine from September 2008.

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Labor Reductions: The Communications Gauntlet

admin — Thu, 04 Sep 2008 18:33:06 -0500

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Ketchum Senior Vice President of Crisis Management James Donnelly breaks down the challenges of and best practices for internally communicating corporate layoffs, in an article from the summer 2008 issue of The Public Relations Strategist. (Reprinted with permission from the summer 2008 issue of The Public Relations Strategist. Copyright 2008 Public Relations Society of America.)

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Blog Pitches Entail Research, Restraint

admin — Thu, 28 Aug 2008 15:20:53 -0500

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In an Op-Ed from an August 2008 issue of PRWeek, Margo Schneider, Account Supervisor in Ketchum's Global Technology Practice, breaks down some of the do's and don'ts that PR pros should keep in mind to earn the respect of bloggers.

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Who Am I? Defining and Communicating Your Leadership Brand

admin — Tue, 05 Aug 2008 18:37:51 -0500

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In an article from the August 2008 issue of PR Tactics, the monthly newsletter of the Public Relations Society of America, Ketchum New York Director Barri Rafferty discusses the importance of articulating a leadership brand to developing leaders and building a business.

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By Barri Rafferty, Senior Partner and Director, New York, Ketchum

From James L. Heskett to David Maister to Bill George, I have read many authors’ advice on leadership in a service business. One of my favorite quotations from Maister’s book True Professionalism is, “A leader doesn’t build a business — a leader builds an organization that builds a business.” If you believe that premise, read on.

Leaders are people you want to follow. They coach you to success, share your values and bring new ideas to the daily routine. Sounds easy, but can you articulate the traits good leaders in your agency or company have? Is there a clear leadership brand?

Dave Ulrich, author of Leadership Brand: Developing Customer-focused Leaders to Drive Performance and Build Lasting Value, defines the concept of a leadership brand as the “identity of the leaders throughout an organization that bridges client expectations and employee and organization behavior.”

Some agencies want to grow fast and need leaders who are entrepreneurs and innovators. Others want to maintain their size and be known as having the best client service, work atmosphere or niche expertise. Each of these objectives requires different leader behavior. Once your vision and business goals are clear, you can define the types of leaders you need to achieve those goals. They can be written out as a list of traits. The brand should be relevant to internal and external audiences and be easily articulated by both. Over time, your clients should be able to describe your leadership brand based on their experiences with your people.

A leadership brand is only effective if the traits you value are clearly articulated to all employees. For it to really take hold, you must train against those traits and hold talent accountable to those competencies. The idea is not to thwart people’s natural leadership styles, but to blend their leadership traits with those you value as a company. People must demonstrate the traits of your leadership brand while bringing their complete selves to the office. If you hire someone who has to work to demonstrate the attributes you value, she or he is not likely to make it in your culture.

Knowing Your Talent

To effectively manage your talent, you need to identify and develop your stars and emerging leaders. Thus, you should ask yourself the following questions: Who are your “superkeepers,” the cultural role models you cannot imagine losing? Who are your rising stars, those doing extremely well in their current jobs but with potential to do more? Who are the fast-trackers who show a pattern of success and could be ready to advance in the right role? Who are you spending the majority of your time developing?

As leaders, we often spend time with those who are role-mismatched, possible pearls or actively disengaged. For an organization to thrive, we need to get better at isolating those who drain energy and focus on managers whose enthusiasm inspires others. We need to cultivate our leadership and make personal commitments to develop their career plans. At Ketchum we have the Ketchum Leadership Institute, a training program that articulates our leadership brand and populates it with our top leaders around the world. We then provide our leaders tools from human resources that allow them to more easily access and manage talent.

Time Well Spent

We all make leadership choices by what we book on our calendars each day. We choose to spend time with the client, on talent or on the business strategy. Look at the past month on your calendar and see what percentage of your time is spent on each area. Looking at the month ahead, how could you make that time more effective?

How we distribute our time impacts our current and future business results. The best leaders provide fast feedback, create career development plans for their future leaders and think about succession. They can articulate the agency’s desired leadership brand and explain to individuals how they can better deliver that brand promise. They can focus their leaders on common business goals yet give each leader room to bring her or his own personality and vision to the task.

The best leaders focus on the future — it’s not an afterthought. What you do with your nonbillable time is often more important than your billable time. Sound easy? Think again. Sound doable? Yes, with discipline.

As I began, the goal of the leader is to build the organization. Only once you have identified the next tier of leaders and focused them on a common leadership brand can an organization thrive. If you are committed to building a service business, you must unite the agency’s human assets and think deeply about the current and future state of the business.

Sound Bite Legends Are Bad for You: Countering Clever Quips With Staying Power

admin — Mon, 30 Jun 2008 17:31:34 -0500

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In an article from the spring issue of The Public Relations Strategist, Ketchum Senior Vice President of Crisis Management James Donnelly explains how companies can take steps to anticipate and avoid becoming victims of "sound bite legends."

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By James Donnelly, Senior Vice President, Crisis Management, Ketchum

“The Three Mile Island accident was a disaster that awakened us to the dangers of nuclear power.”

“Compact fluorescent light bulbs are good for the environment.”

“DDT was a pesticide that was very harmful to humans.”

Make any of these statements to an audience and most likely the majority will nod in agreement. A pity, since not one of these statements is completely true. They’re sound bites that have become legend.

The incident at Three Mile Island resulted in no injuries, deaths or illnesses. Mistakes were made, but ultimately, secondary safety systems worked with minutes to spare. Disaster was averted, but the producers of Hollywood’s The China Syndrome (released a few weeks before) and activists rallied around the event to make their “no nukes” message stick. Today, most people still speak of the phantom disaster. It’s a sound bite legend.

Compact fluorescent light bulbs burn longer and require less power than regular light bulbs, but calling them environmentally friendly is a stretch since they contain poisonous mercury. You can’t simply throw away these squiggly bulbs when they expire; you must take them to special collection centers. If they break in your home, you are expected to ventilate the area, wear protective goggles and gloves, put the waste in an airtight container and (in some states) check with authorities to properly dispose of the hazardous material. Compact fluorescent light bulbs being good for the environment? Sound bite legend.

And then there is DDT, the chemical villain of Rachel Carson’s “Silent Spring” that led to a U.S. DDT ban in 1972. Decades of scientific review have proved Carson’s conclusions to be exaggerated. Today’s scientific consensus is that proper DDT use is safe for humans and the environment, and could save the lives of nearly 100,000 people a year who suffer from malaria in Africa.

In fact, some African health officials are pleading for access to cheap DDT. Why is it so difficult for a chemical manufacturer to make DDT available? In part, because the public thinks DDT is dangerous. That sound bite legend is hurting many innocent people.

Some activists and special interest groups understand the power of the sound bite (remember “Frankenfoods”?) and know once these clever quips become legend, they’re difficult for communicators to fight. Smart businesses and industries must learn to anticipate and avoid becoming victims of sound bite legends.

To that end, here are a few tips:

Define your audience. In point-counterpoint situations, industries sometimes spend too much effort trying to change the opinions of critics — many of whom are recalcitrant. It is wiser to focus positive communications on audiences with the most at stake.
Go heart-to-heart. Negative sound bites frequently appeal to the public’s heart. Too often, industries respond with science and facts that are aimed at the mind. It is important to inject your own positive emotion through powerful sound bites. After that, you can back up your position with facts and data.
Shape your message now. First-mover advantage is powerful in a war of perception. For example, nanotechnology and alternative-fuel industry representatives should begin promoting their benefits today — with sound bites that appeal to our emotions and reason — before the critics take the floor.

James Donnelly is Senior Vice President, Crisis Management, at Ketchum with broad experience in issues and crisis management, crisis training, communications training, corporate public relations, and global corporate communications.

Profiles of PR Success: Nick Ragone

admin — Mon, 16 Jun 2008 11:39:27 -0500

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In a 2008 booklet called Profiles of PR Success: Stories of Emerging Leaders in Public Relations, Ketchum Senior Vice President and Client Development Director Nick Ragone is featured as one of 20 women and men, ages 28-40, selected as successful and emerging leaders in the field based on awards or recognition they have received or recommendations of leaders in the industry. The booklet was researched and written by University of Alabama advertising and public relations graduate students, who conducted interviews with each of the 20 professionals.

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Health Is the New Wealth: Future Outlooks

admin — Fri, 23 May 2008 12:43:49 -0500

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Dr. Cathy Kapica, Ketchum Director of Health and Wellness, explains how a new age of well-being has emerged in which family health and fitness have become status symbols, in an article from the March/April 2008 issue of Chicago Wellness Magazine.

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By Dr. Cathy Kapica, Vice President and Director of Health and Wellness, Ketchum

There was a time when material things, like the number of televisions or computers were most important for defining status. But the world has changed. With obesity a global epidemic, and the rising rates of diabetes, heart disease and high blood pressure, especially among children, our lives have taken a renewed focus. We have entered the age of well-being where the emerging status symbol is family health and fitness.

While physical health is important, well-being includes emotional and spiritual health, for which relationships are central, as well as environmental health – a concern for living in harmony with the planet. Converging trends gave birth to the age of well-being, including an aging, affluent population; a growing interest in prevention versus treatment; emerging technologies and scientific advances; and empowered consumers with ready access to information. You may not be aware of these things individually, but taken together, they are impacting the way we live and work. We see its effects on our expectations from food, which is no longer just a nutrition issue, but a moral and social one as well. Here are some examples:

Give us real food with ‘clean labels’ and no ‘issues’

The desire for natural versus highly processed foods and ingredients is rising around the world. Consumers are demanding short ingredient statements with familiar and natural names. This is known as a “clean” label. We want ingredients that are recognizable as something found in our kitchen. There is also an increasing desire for foods that are “free” from perceived negative issues, such as “gluten-free,” “lactose-free,” and “animal-free” (vegetarian/vegan).

We want positives not negatives

“Real food” brings an elevated desire for foods that provide positive nutrient benefits. The debate is changing from the absence of negatives to the presence of positives – from “no fat,” “salt,” “sugar to vitamins,” “minerals,” “antioxidants,” “protein” and “naturally nutrient rich.” Added nutrients, called “fortification,” are becoming more about enhancing performance than overcoming deficiency. Omega 3 fatty acids and probiotics are just two examples. Due to the high prevalence of obesity-related diseases, such as heart disease, diabetes, and high blood pressure, foods and diets that offer risk-reduction benefits continue to gain interest, such as foods with plant sterols to lower cholesterol.

We want our food fairly

“Sustainable” is the new term for foods not only grown using responsible agricultural practices, but where suppliers, employees and the environment are being treated fairly in the process of that food coming to market. These efforts are being measured using new terms like “carbon footprint” and “food mile.” A carbon footprint is the total amount of carbon dioxide and other greenhouse gases emitted over the life cycle of a product or service. Food miles is a term which refers to the distance food travels from the time of its production until it reaches the consumer. “Locally grown” is also highly desirable. Consumers

who prefer to eat only locally grown foods are now called “localvores.”

Organic – now more mainstream

The rise in organic food around the world shows we want quality food that is safe and environmentally friendly. Though many perceive organic foods to be more healthy and nutritious (despite a blanket lack of scientific evidence to support such claims*), the true perception is that they are “real” and sustainable.

(*Science versus Marketing: Any animal product will have naturally occurring hormones, so to say it is “hormone-free” is a bit misleading. Pesticide residues on food are very small, especially so if you wash or peel produce – less pesticides are good for the environment. Animal products that are antibiotic-free, however, are good, because they decrease the likelihood of bacteria becoming resistant to human diseases.)

We want nutrition -- just for us

A new science – nutrigenomics – is emerging that will be able to determine individual health needs and risk through DNA. Today we already have products that are personalized to life-stage needs (prenatal vitamins for pregnant women), gender needs (cereals formulated to give women the extra calcium and iron they need), disease risks (margarines with plant sterols for cholesterol reduction) and age needs (baby food). In the coming years, we will be able to know just who will benefit from things like salt reduction to control blood pressure, or probiotics to optimize metabolism, so you can adjust your eating style accordingly.

Health means beauty inside and out

Topically applied creams and lotions are only half the battle against the visible signs of aging, the other

half being what you put inside. Emerging evidence suggests that women who eat more sugar tend to have more wrinkles. Functional waters that hydrate (which we know is good for skin) as well as provide nutrients are among the hottest beauty foods. Exotic fruits like pomegranate are available in potions and lotions to address our health needs inside and out. And even men are taking notice of these beauty needs.

The demands of daily life present challenges to our pursuit of well-being. As more women reach their mature years healthier and more active than their parents, a new generation of care givers emerges. Parents of adults are shopping for, caring for and helping to raise their grandchildren in record numbers – while taking care of their aging parents. But these grandmothers do NOT want to be called “grandma,” which evokes the image of an old lady in a rocking chair. And, as more women enter and remain the workplace, more men either opt into the primary caretaker role for their children or are more actively involved in their upbringing. Women, however, continue to be the gatekeepers of household health.

Bombarded with information, more time-stressed than ever, women and men are no longer multi-tasking but multi-minding. We’re literally carrying multiple agendas, conversations and thoughts in our heads at all times WHILE multi-tasking. It’s hard to hear, much less process, all the messages. To filter through the clutter many of us are relying even more on our circle of influencers, such as relatives, friends, trainers, personal shoppers, etc., to help us meet demanding daily agendas.

While health and fitness continue to emerge as the new status symbol and synonym for quality of life, we can move forward incrementally at the very least. What will you do today to take your first steps toward new wealth?

Dr. Cathy Kapica, a public health scientist and registered dietitian, is Vice President of Health and Wellness at Ketchum in Chicago. She is a former Global Director of Nutrition at McDonald’s Corporation, Senior Scientist and Director of Nutrition at Quaker Oats, and Chicago Medical School faculty member.

What PR Professionals Can Learn From Political Branding

admin — Mon, 19 May 2008 09:12:42 -0500

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Ketchum New York Director Barri Rafferty examines how the campaigns of Hillary Clinton and Barack Obama have become full-fledged branding efforts, with each working to build brand preference and loyalty that will ultimately pay off at the polls, in a May 2008 article the Public Relations Society of America's Web publication, PR Tactics and The Strategist Online.

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By Barri Rafferty, Partner and Director, New York, Ketchum

During debates in the Democratic primaries, Sen. Barack Obama has been seen drinking Pepsi’s Aquafina water, while Sen. Hillary Clinton has been spotted with a bottle of Coca-Cola’s Dasani. Product placement on a political stage is an excellent opportunity to create brand preference, but, in this election, two powerful brands already have center stage.

The Obama and Clinton campaigns have become full-fledged brands — with each of the candidates working to build brand preference and loyalty that will ultimately pay off at the polls. As communicators, we can learn a lot from observing how the two candidates are managing their brands.

For starters, framing has been crucial. We know that people prefer a brand based on what engages them and not necessarily on quality. The Democratic presidential contenders know it, too. With similar voting records in the Senate, Obama and Clinton have had to differentiate themselves. They have done this, in large part, by understanding and aligning themselves with their stakeholders’ concerns. By now, anybody who has been or is planning to go to the polls is well aware that Obama has framed himself as the candidate of change while Clinton is associated with experience. Both candidates have tapped into a base of voters who identify with those ideals by using their frames as the context for delivering all their key messages. It is a classic example of establishing an emotional connection to a brand.

The tools the candidates have used to deliver their messages are also a statement of their brand identities. Both candidates are using the Internet to reach voters, but Obama’s use of the Web also demonstrates a change in the way political campaigning is done. His campaign Web site not only has links to Facebook, MySpace and YouTube but also to numerous more targeted sites such as Digg, LinkedIn and BlackPlanet. According to Web-analytics firm Compete, Obama has grabbed 60% of the Democratic Party’s FaceTime — a metric of total online time with the public. That’s nearly triple Clinton’s FaceTime share. Obama has integrated social media into his entire media strategy. And, he has embraced an online “Yes We Can” video created by unofficial spokespeople — such as Kareem Abdul Jabbar and Scarlett Johansson — as part of his campaign. He is also using the Web not only to persuade young people to vote but to also attract online donations in small amounts that add up.

Meanwhile, the Clinton campaign has been having its best success by encouraging supporters to make phone calls, volunteer during primaries, plan events and help raise money. Clinton’s Web site features a clip of former President Bill Clinton walking through a list of the senator’s life accomplishments, as well as endorsements from real people such as a mother with sick children and the White House decorator. Clinton uses new media outlets, too — in fact, her campaign joined YouTube three months earlier than Obama’s — but she understands that traditional communication methods are resonating better with voters who are pulling for her.

No matter who wins the party’s nomination, these campaigns demonstrate how a brand can benefit from recognizing and then identifying with what matters to stakeholders. Like any other brand, both the Clinton and Obama campaigns have struggled with legitimacy and identity issues. And, like the most effective brands, they have defended themselves best when they have stayed within their established frames and used the communication tools that most effectively reach their stakeholders.

As communicators, let’s be astute observers and see what we can borrow from these brands. Using what we learn, who will create the next breakthrough CEO orator or produce the next hugely viral corporate video? It could be your company or client.

Barri Rafferty is a Partner at Ketchum and the Director of Ketchum New York. She is also the 2008 president of the PRSA New York chapter.

PR 3.0 – The Era of Disruptive PR

admin — Fri, 09 May 2008 13:09:29 -0500

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In an April 2008 article from the Council of Public Relations Firms' online newsletter, The Firm Voice, Ketchum Client Development Director Nick Ragone and Senior Media Specialist Chris Kooluris explain how an era of disruptive PR has emerged in which companies and brands are now engaging their enthusiasts and stakeholders on their terms, not a company's.

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By Nick Ragone, Senior Vice President and Director of Client Development, Ketchum, and Chris Kooluris, Senior Media Specialist, Disruptive Media

Just as the Internet is transitioning from "Web 2.0" to "Web 3.0," public relations is making a similar sort of transition.

If PR in the mid-1990s gave rise to enhanced one-way communication through the mass adoption of e-mail and the Internet, and more recently new technologies like blogs, podcasts, and other online tools have spurred something resembling two-way communications, then what's on the horizon?

We don't believe it will be driven by new technology so much as it will be a change in mindset. We call it "disruptive PR," or to state it more accurately: companies and brands engaging their enthusiasts and stakeholders on their terms, not the companies'. In reality, it means ceding a little bit of the brand's identity to the enthusiasts who love it most by looking at the world through a new set of eyes: the enthusiasts. That might seem like a subtle evolution, but in fact it's a striking departure from the current landscape.

This won't really be a matter of choice; it's going to be a necessity – a table stake for companies that want to remain relevant in a world where irrelevance is quickly becoming the norm.

Why will that be the case? Quite simply, with every passing day fewer and fewer people are consuming media – any type of media. We know traditional media is suffering – look no further than the continued layoffs at the networks, newsweeklies and newspapers as Exhibit A – but that doesn't mean all those eyeballs are automatically migrating to "mainstream" Web sites, either. Some are – look no further than sites like PerezHilton, TMZ, Engagdet, Gizmodo and others as Exhibit B – but in reality only a few dozen Web sites are genuinely thriving in this new world.

A large – and growing – number of people are becoming increasingly preoccupied with their interests because their interests can now be catered to. And this happens in lots of different ways: through social networks, micro blogs, niche sites, gaming worlds, viral programming, and so on. The list is endless and growing (sort of like infinity+1).

The essential truth – for companies the word would be scary truth – is this: Consumers don't have to consume anything anymore that doesn't speak to their interests. If you're a diehard Mets fan, your media consumption may consist of Metsblog.com, SportsNet NY, and the Mets Facebook group, and little else. You may fit the coveted marketing profile – young man 18-34 – but if brands (that aren't called the New York Mets) want to reach you, they had better relate it back to the Mets somehow. That's not an easy thing to do.

To use a real life example, take the case of Dr Pepper, a Ketchum client. Its primary target audience is young men, and its primary brand attribute is that it's flavorful. Given that, its marketing and PR voice has always been a bit irreverent.

But our client Greg Artkop challenged us to go beyond that. No more doing the stuff that the brand thinks is cool; let's engage our enthusiasts by doing something that they think is cool, with the hope being that it would create a deeper connection.

Our concept: Encourage Guns N' Roses frontman Axl Rose to release his decade-in-the-making album Chinese Democracy by offering a free Dr Pepper to everyone in America if the album drops in 2008.

At first blush it might seem bizarre, but to date it's generated over 300 million impressions and has created an almost immeasurable connection between the brand and millions of GNR fans. Why? Because the brand put itself in the place of one of its subdemographics – music enthusiasts – and approached it from their perspective: what would they appreciate, find entertaining, and think is cool. And we made it authentic and funny by purposely excluding estranged GNR guitarists Slash and Buckethead from the free Dr Pepper offer – a small but critical touch.

It worked so well that the reclusive Axl Rose actually thanked Dr Pepper on the official GNR Web site, and revealed that he would share his Dr Pepper with Buckethead because a few of his tracks were still on the album. That might seem like an insignificant thing to most people, but to the GNR fans we were targeting, this was news – big news. They appreciated what Dr Pepper had done, mostly because it was so unexpected, unusual, and out of the ordinary for a company. Their feedback to us (in the form of thousands of blog posts): who knew that Dr Pepper had a sense of humor?

Disruptive PR isn't about attention grabbing stunts, cheesy ploys, or message-driven campaigns. Quite the opposite: It's relating to enthusiasts in a way that attracts their attention – disrupts them so to speak – on their terms, not ours. It's not easy – in fact it's very hard – but it's going to be essential for brands to remain relevant.

Nick Ragone is a Senior Vice President and Director of Client Development at Ketchum. Chris Kooluris heads Ketchum's Disruptive Media group.

Nick Ragone

Chris Kooluris

How More Companies Are Embracing Social Responsibility as Good Business

admin — Thu, 03 Apr 2008 09:03:40 -0500

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In a March 2008 article from The Wall Street Journal Online, Ketchum Senior Counsel John Paluszek talks with the Journal Online about the rising importance of corporate social responsibility over the last few decades and the imperative it has become for today's companies.

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Click here to view "How More Companies Are Embracing Social Responsibility as Good Business."

CEO Efforts Key to Consumer Trust

admin — Fri, 29 Feb 2008 11:18:59 -0600

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In a January 2008 PRWeek article, Ketchum North American Corporate Practice Director John Weckenmann explains how the public's opinion of CEOs is driven by their performance with the environment, ethics and employees.

Words to the Wise

admin — Thu, 21 Feb 2008 15:23:04 -0600

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Ketchum Editor of Online Communications Joseph Priest reviews words that commonly confound business professionals, in an article from the January 2008 issue of PR Tactics, the monthly newsletter of the Public Relations Society of America.

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PriestPRTacticsArticle1-08.pdf

The Crisis Simulation: A Case of Mistaken Identity

admin — Mon, 28 Jan 2008 12:31:07 -0600

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James Donnelly, Ketchum Senior Vice President of Crisis Management, examines some misperceptions and pitfalls about the return on investment of crisis simulation exercises, in a January 2008 profile from Bulldog Reporter’s Daily ‘Dog.

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By James Donnelly, Senior Vice President, Crisis Management, Ketchum

Reprinted with permission from Bulldog Reporter's Daily 'Dog news Web site. Visit the site to subscribe to the daily service: www.bulldogreporter.com/dailydog.

Crisis simulations are misunderstood. Let’s set the record straight -- a simulation is not a panacea for improving an organization’s complete crisis management capability.

Certainly, simulations bring some benefits. A greater appreciation for reputation management is gained. Commitments to improve coordination among departments are made. Crisis plans get tweaked. And strategic insights are uncovered for prescribed scenarios. Good results, all.

However, without a broader learning and improvement program in place, these exercises soon become distant memories of an intense workshop . . . and nothing more. Crisis plans don’t always get updated with key learnings gleaned from a simulation. Sometimes, real crises emerge and echo the elements of the mock exercise -- and companies stumble through many of the same mistakes. Other times, a team tested through simulation becomes marginalized when a real crisis happens and top management suddenly takes control. (Unfortunately, we too often witness senior managers who sponsor and invest in simulations, but do not participate nor benefit from the exercise’s key learnings themselves.)

Thus, to truly improve the ability to manage crises, the company must focus on changing mindsets and building behaviors. Simulations are a part of this equation, but a gold-standard capability cannot be achieved solely through a “lightning in a bottle” exercise.

Therefore, some of the most overlooked opportunities in crisis management are choosing the right learning program to fit your needs. In order to improve the total ability to manage crises, you must consider the following elements when designing your learning program:

Goal-setting: pinpointing the areas for improvement
Programming for learning and improvement: orchestrating programs that improve capabilities

Goal-Setting

You need to know what’s broken before applying a fix. While simulations can help companies identify barriers to success, they can’t fix problems such as a lack of role clarity, organizational silos, or individual skill gaps among key crisis managers.

As general rule, if an organization is trying to identify gaps in its crisis-response capability, a simulation is probably the best bet. When the objective is to improve organizational or individual skills, a more holistic learning program should be considered. Refer to the following guidelines:

A simulation is good for the following:

Testing the effectiveness and usability of a crisis plan
Ensuring comprehension and familiarity with a new crisis plan
Gauging an organization’s information-sharing, leadership and response capabilities

A more complete learning program may be better for these:

Understanding the mindset of effective crisis managers
Improving the skills of individual crisis-management team members
Helping managers learn behaviors that contribute to success in managing crises
Equipping crisis managers to evaluate threats and make good decisions
Examining proven best practices
Enhancing teamwork
Promoting a more focused approach to specific types of situations

Programming for Learning and Improvement

Simulations need to be designed to achieve specific goals and therefore, they come in many shapes, sizes and flavors. Too many to enumerate here.

When focusing on broader learning programs, too many of us default to the standard seminar. And let’s face it -- there are plenty of seminars available on crisis management. Unfortunately, the participant is often left head-scratching over how to operationalize anecdotes about the 25-year-old Tylenol case.

Real on-the-job impact and a modification of attitudes, skills or behaviors can only come through learning and improvement programs that include three distinct phases:

Conditioning: It begins with an advanced assessment and individual reflection. Conditioning includes some prework that helps orient participants by stimulating some thinking on crisis management. This phase allows crisis managers to uncover strengths and weaknesses and “marinate” on a few provocative and challenging questions, to be best engaged in the learning to come. (Note: Simulations rarely include this conditioning phase. “Be ready for anything, brush up on your crisis plans and prepare to be challenged” is a common prelude to a simulation. This is probably the wrong approach for some organizations, especially those with inexperienced staff in crisis management. This approach may leave participants feeling overwhelmed, vulnerable and determined to avoid future real crisis-management situations.)

Active Learning: The phase during which experts teach and coach. Most current crisis-management learning programs provide basic tactical guidance (e.g., control the flow of information, verify facts, and communicate quickly and often). This is a mistake. Active learning should target the improvement of the mindsets and behaviors of crisis managers. This allows successful crisis managers to analyze specific situations, design strategies to respond, and lead teams in efficient implementation. This builds confidence and makes it easier for the participant to recall what’s necessary when a real crisis occurs. For this type of active learning, storytelling, realistic cases, visual examples and a lot of practice (including smaller real-world exercises) are all required to embed information in a participant’s long-term memory, where it could actually be recalled in a crisis.

Sustainment Program: A campaign to prolong learning and facilitate improvement. Just like a simulation is not a magic pill, a more robust learning intervention on its own isn’t enough. Even the best “training” alone won’t eradicate a skill deficiency and measurably improve performance. New behaviors must be coached and sustained long after the learning event has concluded. (Note: A sustainment plan should include regular content refreshers, regularly scheduled simulations to keep everyone sharp, and, importantly, consideration of other factors affecting the crisis team’s ability to perform.)

In summary, simulations have not shared the spotlight adequately with other forms of well-crafted learning programs, some of which provide better opportunities to improve a crisis-management capability. Organizations must choose the right types of learning solutions to achieve identified goals.

Ketchum and Stromberg Consulting have collaborated on the Executive Crisis Management Academy (ECMA) -- the most comprehensive program ever offered on the subject. For more information contact James Donnelly james.donnelly@ketchum.com.

When Issues “Go From Zero to 60” Overnight, CEO Involvement is Vital

admin — Tue, 15 Jan 2008 18:54:30 -0600

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In an article from the December 2007 issue of the Public Affairs Council's magazine, Impact, the Director of Ketchum's North American Issues & Crisis Management Network, Chris Nelson, illuminates the importance of a CEO-supported crisis-management plan in today's always-on media world.

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“In brick-and-mortar days, you could see a controversy coming 12 years out,” Chris Nelson, Senior Vice President and Director, North American Issues & Crisis Management Network at Ketchum, told the Council’s Art of Issues Management Seminar on Oct. 4 in Washington, D.C. “Today, an issue can go from zero to 60 overnight.”

The speed with which issues develop places new pressures on government relations professionals. To succeed, Nelson and other speakers agreed, requires at least two things.

A multidisciplinary team that calls on all departments, not just government relations. “Managing issues is not just a matter of communications,” said Kanina Blanchard, Director, Global Issues & Industry Affairs for Dow Chemical Company. “It requires contribution by and support from legal, from human resources, from operations — from many different functions within the company.”
CEO support. “High-level buy-in gives your efforts automatic respect and responsiveness not only within the company, but also elsewhere,” said David C. Brown, Vice President, Federal Affairs, Exelon Corporation. CEO support “is vital,” Nelson said. “It allows you to say, ‘This matters to the boss, and we’re going to do it.’”

The complexity of issues, meanwhile, is increasing. “Some issues, especially where biodiversity is concerned, simply aren’t going to be permanently settled,” Blanchard said. “A lot of issues will simply have to be managed for the long term, not put to rest.” This is true in part because organizations such as Earth First! and People for the Ethical Treatment of Animals “aren’t always looking for solutions,” according to Nelson. “Their goal is to keep issues alive.”

Interconnected Issues

But according to Council President Doug Pinkham, issues won’t be solved neatly for another reason. “Issues are interconnected in ways that haven’t always been the case,” Pinkham said. “Energy, environment, the economy and war are all tied together.”

Success will require companies to work closely with NGOs, which are now more trusted than businesses. “We’ll even work with NGOs that are critical of us on other issues,” Brown said.

If companies are open to new approaches, their chances of success will increase. “If handled properly,” Blanchard said, “even the worst possible issue can positively impact your reputation.”

Standing Firm: Ketchum's Kotcher Chairs Council in Decennial, Details New Partnerships

admin — Tue, 11 Dec 2007 15:43:21 -0600

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In a December 2007 profile from Bulldog Reporter’s Daily ‘Dog, Ray Kotcher, CEO of Ketchum and incoming 2008 Chair of the Council of Public Relations Firms, talks about his plans for the council and the challenges and opportunities for public relations in 2008.

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Reprinted with permission from Bulldog Reporter's Daily 'Dog news Web site. Visit the site to subscribe to the daily service: www.bulldogreporter.com/dailydog.

"I've been in this business for more than 25 years and have never enjoyed it more. I don't think there's ever been a better time in PR," says Ray Kotcher, CEO of Ketchum and newly appointed chair of the Council of Public Relations Firms, which turns 10 this coming year and whose mission is to advance the business of public relations firms by building the market and firms' value as strategic business partners.

"From a PR firm perspective, for example, we see that our members truly have that proverbial seat at the table now. They have a voice, stature and value that are really becoming appreciated on the marketing communications side of things. We're seeing PR and the things firms can do being taken just as seriously as advertising," adds Kotcher, who is also a member of the World Economic Forum and PR Seminar, and a trustee of the Arthur W. Page Society.

"On the corporate communications side, companies are taking long-term corporate-reputation-building programs much more seriously—they're looking to us to help build equity, trust and authenticity, and they're also turning to firms for increased crisis and issues work. This is only going to continue in the year ahead," believes Kotcher. "These things are good news for all of us because they really reflect the strategic value this industry brings to the game. These truly are high-level contributions. That's why I say these are extraordinary times for PR firms. It's also why I'm looking forward to a year of great strides forward for the council and its members."

Read on for details into how Kotcher and council leaders plan on turning those strides into leaps:

What have been some highlights and lowlights over the council's first 10 years?

There is actually an unusual symmetry in that the founding chair was David Drobis, and he was also the CEO of Ketchum. He had the visionary leadership to start an organization to represent the agency business at large. Ten years later, I'm honored and flattered that the leadership baton has been passed to me. I have a great sense of responsibility to keep it moving in a great direction. That said, it think it's been a terrific 10 years for the council.

Obviously, however, 2001 and 2002 were challenging economically for the PR agency business—and for all agencies in the marketing communications sector. The council was impacted during that time, as well, generally speaking. But we emerged in very strong financial shape. Similarly, agencies and firms also emerged on the other side as a strong sector overall. In fact, we're in better shape with a more solid foothold in the marketing mix and in terms of our relevance to corporate communications clients.

Along the way, in addition to meeting challenges like that, the council has become a stronger voice and advocate for the PR firm business. For example, there was a period in 2005 and 2006 when the whole PR industry came under incredible scrutiny related to ethics. The council took a leadership voice in that. At Ketchum, we have a highly sophisticated program for all employees being recertified in media relations—and it includes a focus on proper standards, procedures and ethical behaviors. We donated that to the council in 2005.

More than 40 firms have gone through that certification program since then—so more people in business are aware of the proper way to deal with media, handle business affairs in the most ethical way and so on. The council has over 100 member firms and 40 have taken this—so it's a big accomplishment. We're very proud of that, as well as the council's leadership stance in making sure members are practicing at the highest levels.

Similarly, we have produced all kinds of guidelines and best-practice benchmarks so members have a better idea of how to go about everything from writing and executing contracts to financial management, procurement and even things like how to secure group insurance discounts.

We have been there through good times and bad—and were very active in the 2005 to 2006 period when PR was being scrutinized very fully. We've also conducted regular, proprietary studies for members tied to benchmarking performance and so on. We also do regular monitoring on key issues that are likely to impact firm members and the business, and we provide marketing and communications materials for members that serve as templates for leadership. Another highlight worth mentioning has been our "Find a Firm" program, which really has driven business for members. So, overall, I think it's been a great 10-year time period for us and our members.

What key initiatives can we expect from you in the year ahead?

I have a very strong point of view on what we need to be doing as a council. So if there's one mark I'd like to make in the year ahead as chair, it would be to build the voice and understanding of the value of public relations firms. I want to reinforce that in the PR world, and I want to articulate it more broadly. That value is an important story outside of PR circles at a time when the communications landscape is changing so dramatically. The time we're entering represents an extraordinary opportunity for PR. The big question is how do we make sure our value is understood and appreciated more broadly?

What's the answer—how is the council planning to communicate that value?

For starters, we're planning a special purpose publication designed to do this. It will be a weekly newsletter on what's happening in the agency world. It will go to members, as well as noncouncil members, including many in corporate communications. We're very excited about this.

We're also going to focus on mobilizing staff at member firms in voicing firms' value. Basically, we're going to make sure that our activities are communicated not just to senior executives at member firms, but also through all tiers. We estimate that members collectively have 12,000 employees in the U.S. The PR business is a $4 billion-plus-a-year industry—and council firms represent most of that. So, we want to build channels that communicate more regularly with member firms, purchasers of PR services, and everybody across that spectrum—not just the top "decision makers." The weekly publication will help with this.

A third area under this key initiative of communicating value relates to the Arthur W. Page Society, with 80% of its members coming from the corporate communications side. I also serve on their board. They just completed a major project interviewing 31 CEOs on how they view the PR function currently and where they think it needs to go. The society took that research and did an in-depth research paper on the data, including analyzing the current communications environment in comparison to other areas like HR and even finance—basically analyzing how they evolved from staff functions to executive level departments or areas. Since this paper focused on corporate communications, the council has agreed to do companion research and pieces about where agency business needs to go to complement the corporate communications function. That's another example of articulating the value of PR firms to the outside market.

Yet another example includes working with the Association of National Advertisers, through Andy Cooper at member firm CooperKatz. The ANA is one of their clients, and it's also one of the premier trade organizations representing top marketing officers in companies. Through Andy, we have been able to negotiate with the ANA and put together a series of strategic alliances so we can make sure the council has multiple opportunities—like at their annual meeting—to highlight the contributions of our members and to demonstrate the value of what PR firms can do in the marketing mix overall.

A fifth example—and we don't have a name for this yet—is something we're thinking of calling the "Public Relations Index." We're basically going to take a look at major issues and moments in the media and national dialogue by working with strategic partner VMS—and we'll analyze how opinions around any news event, company, product or issue begins to move through the media ecosystem we have today. For example, we will be able to take a look at food safety. How did that issue move through the media ecosystem? How did it spread across national papers, local papers, network TV, and even blogs?

What will this index show—how will it contribute to your overall mission?

Depending on the issue or product, it will show different media driving discussions. We want to show that PR understands how the conversation is being driven—with the purpose of demonstrating to people outside PR how we can provide value not only in terms of understanding the conversation's dynamics—but also how we contribute to and help shape that conversation. This—and all these initiatives, really—are geared to driving that value home in the minds of the market.

What skills can agency execs and staffers strengthen to help drive that value perception?

I think something that is really important in PR firms is the ability to manage and lead well. It's not only a function of managing your staff or group, but also of managing the clients. So often we find people in the business who are superb writers, journalists or even new-media experts—but they haven't been developed in terms of how to lead and manage. That's a huge challenge for our business.

How can firms overcome that—what can be done to elevate leadership in PR?

At the council, we have a few programs that begin to attack this issue. For example, we have something called "PR Quick Start." It's an immersion for people who just joined the agency world. It's a self-directed tutorial you can register for online that helps you manage better, lead better and learn how to prepare for life in the agency world.

That said, I want to back up to the key skills question. Powerful, clear writing will always be of high value in PR. But we now also have to understand the language and tactics of the whole new-media area. To be successful in this business these days, you now also need to have visual understanding, audio understanding, graphic skills, technology skills and so on. All of these are the "new language" you must be fluent in—it's not just about words on the page anymore.

So another real challenge for firms beyond the leadership issue is finding and retaining good people who are expert in all of these exciting new areas. Where are the new sources of people we can look to? Well, maybe we should be looking at schools of fine arts—people like sculptors or even musicians, for example—and boosting them through immersion boot camps to understand the communications and PR agency world.

If we can do that—tap people who see and hear and think differently and put them into the flow—that is extremely exciting. I'd like to see the council take an active role in this and make it happen. I'd like to see a boot camp for people who may be career switchers. There is great opportunity there beyond the leadership training we're already doing.

What are you passionate about in your free time—how does it influence your work?
I am a media junkie. I really am. I believe having insatiable curiosity is fundamental to the PR business. Whether it's spending time clicking through a thousand cable stations or standing at a newsstand or going online in the middle of the night to read breaking headlines, blogs and wire stories. . . . It all comes down to curiosity and learning. That's what I love about this field. I'm an information seeker. Knowing what's going on in the world and synthesizing it into your work is a big part of what we do, and it's a big part of what makes us valuable to our clients.

Legacies from Legends in Public Relations

admin — Tue, 20 Nov 2007 10:45:52 -0600

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In a 2007 booklet commemorating the 40th anniversary of the founding of the Public Relations Student Society of America, Ketchum Midwest Director Ron Culp and Ketchum Senior Counsel John Paluszek are featured as two of 40 public relations "legends" whose observations of the past and predictions for the future of public relations are profiled. The booklet was produdced by the Plank Center for Leadership in Public Relations at the University of Alabama.

Engaging and Developing Is Key to the Challenge

admin — Thu, 25 Oct 2007 14:20:07 -0500

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In an article from the September/October 2007 issue of the journal Leadership in Action, Robert Burnside, Chief Learning Officer for Ketchum, and Robin Athey, Director of Organizational Performance for Deloitte Research, explore today’s diminishing talent pipeline and ways organizations can rethink their approaches to this challenge through eight employee-engagement methods.

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Robin Athey, Research Director, Deloitte Services

Robert Burnside, Partner and Chief Learning Officer, Ketchum

Copyright 2007 Leadership In Action, Volume 27, Number 4, September/October 2007. This material is used by permission of John Wiley & Sons Inc. For information on reprints of this article, please visit www.interscience.wiley.com.

Despite the fact that there are millions of unemployed people in the United States, there remains an acute shortage of talent that is transforming today’s business world. Top-level talent is scarce and becoming even more so because of two factors: the retirement of baby boomers and a growing skills gap.

The first members of the baby boom generation are hitting their early 60s, and over the next 15 years the proportion of the workforce made up of people 50 or older will snowball. What’s more, the nation’s education system is not keeping pace with the increasing complexity of business and technology. Only 70% of U.S. public high school students graduate on time, and only 32% leave high school qualified to attend a four-year college.

Consequently, companies that want to excel must be able not only to attract and retain talented employees but also to engage these workers as never before. Jobs that have become increasingly dynamic will require companies to train and develop employees simply to keep pace with change. At the same time, individuals need to be afforded greater flexibility in their career paths, and organizations need to reap greater flexibility from employees.

Companies traditionally have responded to tightening labor markets by launching recruitment bidding wars, but we challenge this thinking. Even the best recruitment tactics will not be enough to combat today’s talent challenge. High compensation packages and bonuses are easily matched by competitors. Instead, a more discerning response is required.

This article outlines the major factors precipitating today’s talent challenge, a few assumptions about effective ways to rethink approaches to that challenge, and methods companies can use to address today’s diminishing talent pipeline.

Supply and Demand

What is the talent challenge? Primarily, it is the rising demand for capable performers and the dwindling supply of such employees. The approximately 76 million baby boomers in the United States (those born between 1946 and 1964) are beginning to retire in great numbers. The 66 million U.S. members of Generation X (those born between 1965 and 1983) and even the 75 million U.S. members of Generation Y (those born between 1984 and 2002) will not be enough to fill the gap.

Paralleling this development is a lack of engagement in the education system among new-generation students. In many ways, the current high school system has not kept pace and is not teaching tomorrow’s workforce how to apply logic and problem solving in order to tackle the complex challenges of our fast-changing world. One result is that students are becoming disinterested in or are dropping out of high school, compounding the talent shortage. Consider these statistics: 70% of public high school students graduate on time, yet 85% of jobs require education beyond high school, 60% of new jobs in this century will require skills possessed by only 20% of the current workforce, and 79% of companies will see a significant shortage in the talent pipeline (40% of companies say this is already an acute problem).

A second reason for today’s talent challenge is employee churn and growing discontent. Satisfaction levels among all workers, regardless of age, income, or location, have been in decline for two decades. Less than half of American workers are satisfied with their jobs, down from 61% 20 years ago. And less than 39% of workers under the age of twenty-five are satisfied with their jobs.

A third reason for the talent challenge is the increasing complexity of today’s jobs. Globalization, technological advancement, and information overload complicate today’s work environment. With the reach provided by modern information technology, people are globally connected 24-7, receiving nonstop information and a barrage of cognitive demands. One study found that the average employee switches tasks every three minutes, is interrupted every two minutes, and has a maximum focus period of 12 minutes. This constant switching saps creativity, impedes decision making, and weakens performance.

With fewer bodies, growing job dissatisfaction, and increasing job complexity, there is a clear need for organizations and their leaders to engage people as never before in order to strengthen their capacity to attract and retain talented people.

In seeking approaches to engage today’s workforce, three assumptions can be made. One is that employees work for more than a paycheck. They seek jobs that challenge them to learn and grow. Employees offer their best when they feel they can make meaningful contributions toward a vision with purpose and backed by a clear strategy.

A second assumption is that new strategies are required to meet these employee desires. The traditional response to talent shortages has been to acquire and retain people—that is, to recruit them and keep them “in their seats.” Such strategies focus on metrics that are important to an organization. To truly engage people, however, talent strategies must focus on what matters most to employees—their development—in ways that promote learning and growth, their deployment into roles they care about, and their connection to the people and things that help them do their best work. Not surprisingly, organizations that create experiences that spark people’s fullest capabilities attract and retain—and create—the best talent.

A third assumption is that learning must be knitted into the fabric of work. Such learning will include both formal interventions (classroom programs, online courses, and executive coaching) and workplace learning (mentoring, expert networks, and collaborative spaces).

Eight Approaches

How, then, can organizations start meeting the growing talent challenge, short of radically restructuring their business career-track models? As a starting point, here are eight practical approaches that companies can employ right away.

Be strategic about bringing on new employees. A new employee’s first experience shouldn’t be about orientation courses and human resource manuals. It should be about connections. It takes about six months to socialize new hires. Leaders can accelerate the process and foster loyalty by connecting new hires with experienced “buddies” and mentors. The tacit knowledge that emerges from these interactions can convey values in much more compelling ways than bullet points or mission statements can. It is also useful to encourage recruits to observe and ask questions about policy and processes, rather than jump into the old ways of doing things.

Match people to roles that suit their strengths and capabilities. Each individual is capable of doing many things, but people are more likely to put forth their best efforts in roles they love performing rather than in roles where they are asked to perform only the things they’re skilled in. To help them realize these best efforts, many leading organizations provide internal support centers and coaching to help employees navigate their careers. These companies also give employees the flexibility to try out different roles in order to find their niche. This is an ongoing process that benefits both employees and companies: as people’s capabilities and interests shift during their careers, companies’ needs also shift.

Encourage productive conversations. Conversations shape relationships, and relationships are the number-one reason why people stay or go. Moreover, work gets done through conversations, and conversations are the primary source of learning. More than 70% of what people know comes through informal interactions with others. Consequently, leaders at all levels must look closely at opportunities for conversations—both theirs and others’—in situations such as meetings, day-to-day interactions, and performance reviews. Many organizations benefit by becoming more intentional about conversations—for instance, encouraging ongoing performance dialogues instead of highly stressful annual or semiannual reviews. Some organizations encourage peer assists by bringing together seasoned practitioners and less-experienced team members in one- or two-day knowledge-sharing sessions. Such interactions build morale in junior employees because the opportunity to work with senior colleagues is a form of recognition.

Explore existing and emerging collaborative tools and approaches. A number of new technologies and methods have been developed to make communication and collaboration more efficient. One focus is e-mail. Because roughly 60% of e-mail is spam and only 8% is truly important, establishing best practices for e-mail can significantly improve efficiency. New online media also can be powerful tools when used responsibly. Blogs are opening a new level of knowledge sharing and dialogue, and wikis—Web sites that allow users to add and edit content collectively—are enabling co-workers to collaborate in real time. However, the focus here must always be on the quality of the collaboration, not just on the tools that enable the collaboration.

Cultivate strategic communities. Communities have always existed in organizations, but now technology allows people to connect in new ways that promote learning and innovation. Companies can provide forums where employees can exchange ideas and work through issues of complexity and change. These communities also serve as magnets for commitment. Employees considering departing a company may think twice about leaving colleagues who have shared interests and experiences. Communities have the potential to foster an esprit de corps and a mindset of innovative thinking that teams operating in traditional hierarchies cannot easily achieve.

Stimulate networks of high-quality relationships. Informal social networks also engage employees in ways that promote learning and growth. One approach begins with social-network analysis—a map of relationships that provides an X-ray of the way projects are completed. Once they understand the ways that people connect, collaborate, and share knowledge, managers can create conditions that lead to optimal individual and organizational performance.

Design physical workspaces to foster connections. Workplace designs that offer dedicated spaces for formal collaboration, quiet places to concentrate, and informal areas to relax and brainstorm are critical for effective communication and collaboration. When workers are more than 30 yards apart, interaction falls off precipitously. The design of a space should reflect intent. When collaboration is important, open workspaces can be more effective than closed ones because conversations spill over and informal networking occurs that might not otherwise.

Build an organizational cushion of time and space. As the pace of business speeds up and decisions become more complex, employees need time and space to learn, reflect, and produce work with tangible results. What are leading organizations doing? Some allow workers to pursue professional projects of personal interest. Others offer employees the flexibility to choose work locations and methods that match their natural rhythms. No matter the approach, leaders must act as role models for the practices they advocate and be mindful of the messages they send. Leaders who glorify emergencies and view long hours as noble and heroic can trigger stress and family conflicts that hurt performance.

Look Within

In coming years, most companies will have to rethink their talent strategies. In addition to addressing shifting demographics, improving the performance of critical employees directly improves organizational performance. Organizations should look within for the critical skills required to execute the company’s most important jobs. By developing, deploying, and connecting these people the right way, leaders can raise individuals’ performances—and the performance of the entire organization.

Robin Athey is Director of Organizational Performance at Deloitte Research, part of Deloitte Services LP. She holds an M.A. degree from Columbia University. Robert Burnside is a Partner and Chief Learning Officer at Ketchum Inc., a global public relations firm. He holds an M.B.A. degree from Duke University.

Where Are the Diverse PR Practitioners?

admin — Wed, 11 Jul 2007 11:02:51 -0500

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Ketchum Midwest Managing Director Ron Culp discusses how the public relations profession can attract a more diverse work force, in an article from the July 2007 issue of PR Tactics.

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Recruitment Realities and Why a One-Size-Fits-All Program Won’t Work Anymore

By Ron Culp, Senior Vice President and Managing Director, Ketchum Midwest

During the last few months I have had occasions to speak to PR students at several Midwestern universities. The young people in these classes embody attributes we all hope are being espoused at the training grounds for PR’s next generation – awareness, focus, and positive direction.

Somewhat disturbingly, however, these future practitioners do not truly represent America in this new century. The PR students that I am seeing are almost all Caucasians. There are generally only a handful of African Americans in these classes, and even fewer Hispanics and Asians. Even more disturbing is the fact that the few minorities I have found tell me they likely won’t be joining the profession.

At a recent session at which I spoke, of the 100 students in attendance only two were African American. When I talked with them later, the pair admitted they were planning careers not in PR, but in sales – where they think the money is better. At another school, there were a few more African Americans in the audience. But where were these soon-to-be graduates heading? Not PR. The ones I met were planning to move back to their home areas to pursue jobs totally unrelated to their training in public relations.

Why aren’t minorities in PR’s classrooms? What careers are minorities choosing instead of PR? And how can the public relations profession lead, or even remain relevant, if its practitioners do not adequately represent a multicultural society that is a one-third minority in the U.S.?

The industry has been asking these questions for about three decades now – an entire generation. But why has this questioning not led to significant change?

Corporate America has realized that diversity of thought serves the best interests of the organization and its people. As practitioners, we are expected to craft messages for broad, inclusive audiences. So while corporations have made some progress in this area, agencies continue to struggle with identifying and developing a future generation of diverse professionals.

Just how difficult is it to bring minorities on board in this industry? At large companies, the recruiting department generally puts out the word and minorities apply. With PR agencies, it doesn’t work that way. Faced with pressures of performing their clients’ assignments as fast and efficiently as possible, agencies tend to hire staff on an as-needed basis. If a viable diversity candidate happens to be available when a new project lands in the agency, then he or she has a good shot at the job. Otherwise, unlike corporations, few agencies in today’s market have the ability or mandate to make investment hires. Necole Merritt, executive director of corporate communications for AT&T, suggests that diversity within agencies will improve when clients insist on it.

Since too few minorities seem to be giving serious thought to careers in PR, however, it is clear we need to begin our efforts earlier in the career-contemplation cycle. We must do some PR for PR in high school and in the first two years of college, especially at institutions with significant black and Hispanic enrollments. But we must go beyond those institutions. It’s our job to reach out to aspiring minority graduates at public universities and to help college PR programs better market themselves to incoming students. We need to do a better job of making minorities aware of opportunities in the profession.

Dr. Donald K. Wright, professor of public relations at Boston University, says lack of minorities in PR is a “chicken and egg” sort of thing. “Since there are so few non-white people in public relations, understandably most of the senior-level jobs go to folks who look like ourselves,” Dr. Wright asserts. “In light of that, younger minorities don’t have many role models.”

As PR leaders, we need to do more to find, encourage and mentor a deeper pool of diverse practitioners. We can’t rely on human resources or diversity officers to do the job for us. Almost all agencies, including mine, recognize this problem. Some progress is being made.

In an effort to expand our office’s diversity, we recently undertook a significant effort to hire an African American woman from another industry. We felt there is much in her experience and background to indicate she could be a PR star, so I spent more time trying to recruit this strong candidate than I have with all other new recruits so far this year. Fortunately, she just said yes.

But even when we do attract top minority talent, keeping these individuals on board is another issue. Surveys of black and Latino professionals show that job satisfaction is lower in these groups, often significantly lower, than with the general PR population. Minority practitioners cite a lack of diversity commitment, overt discrimination and a relegation to a slower advancement track. Perceived injustice or real, a definite sense exists among minority practitioners that the deck is stacked against them in this profession.

The New York PRSA chapter in the past two years called attention to two trends that could have a large impact on increasing the numbers of minority PR practitioners we hire and retain. The first, a national survey of multicultural practitioners, detailed barriers to broadening diversity, but unfortunately it did not receive adequate attention in our PR community. The second is a program in which PR legends have pledged to kick-start efforts to for minority mentoring.

Lynn Applebaum, chair of the Department of Media and Communications Arts at the City College of New York, and Rochelle Ford, assistant professor of Advertising and PR Sequence Coordinator at Howard University, conducted a nationwide survey last year about diversity in PR that revealed top barriers to attracting diverse PR practitioners. We in the industry have the ability to address all three barriers they have identified:

The PR industry lacks a persuasive recruitment campaign to attract multicultural employees
Many recruiters don’t know how to find multicultural candidates when jobs become available
Qualified minority candidates don’t know about opportunities in the PR profession.

Among several survey recommendations was one that stood out to me: Do not create a quota hiring policy for its own sake, but instead foster a corporate culture that values and supports diversity. We can do that. At our firm, we have increased the focus on hiring talent and increasing awareness in the Hispanic area. Among the programs we are considering is an intra-group cultural swap with our Hispanic agency partners, to give individuals on both sides valuable new experiences.

New York’s PRSA chapter also is trying to highlight the vital importance of mentoring by launching a program that has the buy-in of 30 significant leaders of the profession.

But we also need more mentors of color, and we should broaden our outreach beyond recent college grads to alumni, too. Diversity is necessary throughout any organization, not only at entry level. AT&T’s Merritt, an African American, offers further suggestions, including a melting-pot approach that includes mentors from PR and business and others who have attributes in common with the “mentee,” such as gender, ethnicity or goals. Mentors should be open-minded to learn from the mentee as well.

Agencies, she says, will find it is helpful to build alliances with established PR organizations such as the Black Public Relations Society and similar Hispanic and Asian groups. Our firm, in addition to building an aggressive networking program to identify potential minority hires, is increasing the numbers of job postings on sites that focus on minority recruitment, such as BPRS, Women Executives in Public Relations, Hispanic-jobs.com and Asian-jobs.com.

If PR is to make the progress that is needed in a multicultural environment, we must grow minority practitioners individually, from the intern up. For our industry to be successful we must elevate our programs of specialized development, and take into account a broad range of multiculturalism. A one-size-fits-all “minority program” can no longer be expected to identify the talent required to address the diverse needs and challenges of our clients and companies.

Ron Culp is Senior Vice President and Managing Director, Ketchum Midwest. He is responsible for the agency’s operations in Chicago and Pittsburgh and serves as a corporate strategist in the agency’s Global Corporate Practice.

Five Lessons for Communicating Change

admin — Tue, 29 May 2007 10:27:40 -0500

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In a March 2007 article from Management Consulting News magazine, excerpts of Ketchum CEO Ray Kotcher’s speech to the Association of Management Consulting Firms’ 2006 annual meeting at the Harvard Club in New York City were shared.

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From the March 2007 issue of Management Consulting News magazine.

In a recent address to the Association of Management Consulting Firms, Ray Kotcher, CEO of Ketchum, offered the audience five lessons to help improve communications in times of turbulent change.

Kotcher points out that even though consultants are often agents of change, that doesn’t make them immune to the uncertainties and fear of change they can experience when their own organizations undergo transformation.

Here are Kotcher’s Five Lessons for Communicating Change:

Recognize that change is the ticket to your success. Ask yourself if you and your firm's colleagues are truly behaving as a team. Is collaboration a given? Is everyone ready to tackle the latest period of change with a unified spirit? It pays rich rewards to emphasize collaboration, community, and credibility – and to ensure that this spirit is embraced by your employees, your clients, and others.

Embrace the growth and change within your consultancies. Quickly communicate what any new change means to the entire organization. Many firms are changing rapidly by executing new business strategies, leveraging new technologies, and bringing in new talent.

Understand what the forces of change and growth mean to your organization and its future. What are your goals about your firm and what's ahead? Does everyone in your organization understand them?

Think creatively about how you will communicate to your internal community about growth and change. Employees must be engaged in the programs you devise for dealing with growth and change. They must be ambassadors for it. They must be actively involved in helping develop and cheerlead for the programs. This means they must understand your objectives and initiatives and actively buy into them.

Join the conversation and be ready yourself to faces the challenges – good and bad – of tomorrow. You and your firm's colleagues have your own conversation, but join others and don't be isolated within your particular firm. Broaden your world to make a difference. As Gandhi said, "You must be the change you want to see in the world."

Raymond L. Kotcher is Chief Executive Officer and a Senior Partner of Ketchum, a unit of Omnicom Group and one of the world’s largest public relations agencies, with offices and affiliates in six continents.

Davos Offers Insight on Power Shift

admin — Sun, 14 Oct 2007 16:35:01 -0500

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In a PRWeek byline article, Ketchum Senior Partner Rob Flaherty shares his observations from his attendance at the World Economic Forum Annual Meeting in Davos, Switzerland, in January 2007.

Why U.K. Agencies Must Think Global

admin — Sun, 14 Oct 2007 16:29:38 -0500

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Ketchum London CEO David Gallagher discusses London's opportunity to become a new international PR capital in a February 2007 byline article in PRWeek.

Ketchum CEO Ray Kotcher in China

admin — Tue, 29 May 2007 10:23:26 -0500

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An August 2006 article from the China magazine Expression profiles Ketchum CEO Ray Kotcher and his views on the important issues and opportunities for Chinese businesses in working with Western companies.

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Written by Wang Zhe

Photos by Zhang Xinbo

Reprinted from the October 2006 issue of Expression magazine with permission.

Since the mid-1980s, many international PR agencies have taken advantage of China’s opening of its economy and reform of its commerce to do business there. In so doing, they have also stimulated the development of the PR market in China and the emergence of local PR agencies. Today, both international and local agencies compete to provide services that are based on industry practices and international standards.

As one of the world’s top 10 PR agencies, Ketchum, headquartered in New York, also saw the opportunities early on and ventured east to China. Ketchum has had a presence in China since 1980 and is now leading other PR agencies in expanding its presence to keep pace with the country’s booming marketplace.

Ketchum’s clients include Procter & Gamble, Boeing and Gucci, and in March of this year, the fast-food restaurant industry leader McDonald’s appointed Ketchum as its PR agency in China. These marquee accounts mark another milestone in China for Ketchum and its Chief Executive Officer and Senior Partner, Raymond L. Kotcher. Mr. Kotcher’s frequent visits to China, leadership of the development of the agency’s specialized services, and history of award-winning work with the world’s largest corporations have underscored his commitment to support Ketchum’s growth and role in this critical marketplace.

Mr. Kotcher joined Ketchum in 1983 as a Vice President and was named Chief Executive Officer of the agency in 2000. For the past six years, Mr. Kotcher has invested much of his time building and maintaining strong client relationships, managing the global growth of the agency, and expanding and diversifying the agency’s range of services.

As a member of Ketchum since 1983, Mr. Kotcher brings a long history in communication and a diversity of disciplines to his leadership role at Ketchum as well as to the industry. This was demonstrated in a speech to fellow PR practitioners at the China International Public Relations Association Golden Awards ceremony in June. Mr. Kotcher’s speech, titled “Journey to the West: How Chinese Companies Can Successfully Engage With Stakeholders and the Media in the U.S. and Europe,” discussed some of the most important trends, issues and opportunities for Chinese businesses to consider in working with Western companies.

Mr. Kotcher opened his speech with the following observations: “For more than two decades, there has been tremendous attention on opportunities for Western companies venturing into China. Indeed, in 2004 foreign direct investment poured into China at a record level, with more than $153 billion in new agreements, up by one-third over 2003. With that much interest and attention has come much advice and counsel about how these companies should conduct business in China.”

“Indeed, just look at the industry of consultants and advisory firms that emerged as Western companies began eyeing the vast Chinese consumer market,” Mr. Kotcher continued. “In fact, Ketchum was one of them, recognizing the potential early on and making the commitment to helping our clients as they ventured east.”

At the same time, the frenetic pace of economic growth in China has enabled Chinese companies to globalize rapidly as they have expanded into the global marketplace. At this point, Chinese public relations agencies developed the same idea: Chinese companies were starting on their own Journey to the West.

Drawing on more than 25 years of experience, Mr. Kotcher offered practical advice on this economic shift:

“Let’s first assume that you and your companies have already taken some necessary steps as you enter or eye Western markets. You’ve identified significant business opportunities. You have smart business plans and strong, focused leadership. And while your companies were relatively slow to invest in the West before 2000, with your country’s ‘Go Global’ policy encouraging Chinese businesses to build leading global brands, you are now moving quickly to expand into overseas markets. . . .

“But wherever your companies or clients are investing abroad, a strong communication plan helps you turn opportunity into reality. In addition, remember that just as relationships – quanxi – are vitally important in Greater China, relationships are important in the West with all your stakeholders – from consumers, vendors and partners to the media, government officials and others who can influence your products and services. While developing close and personal relationships is not perhaps as critical in the West as it is in China, it’s still important.

“Another key to our market is that it is getting more culturally diverse all the time and each region has its own cultural idiosyncrasies. Don’t make the mistake of thinking that the U.S. is a homogeneous market, just as some Western companies erroneously used to treat China as one homogeneous market.

“Reflecting this heterogeneous marketplace, there is a learning curve for overseas companies in the U.S. Some consultants contend overseas companies should take 18 months to get acquainted with the particular marketplace and seeking business contacts.

“So to get you on your way, here are a few insights about how we Americans behave in a business context, including our values and ways we like to forge business relationships.

“Generally . . . Americans communicate feelings freely; we are verbal, straightforward, assertive and optimistic. We are more action-oriented, and favor a can-do, anything-is-possible attitude. . . . We frequently speak in questions, seeking opinions on a wide range of issues and matters. . . . We are insular, with less of an understanding of world events or geographies than our counterparts.

“Perhaps because our culture is relatively young compared to yours, we do not have the sense of the long time horizons that you do. We tend to emphasize action now, debate later – so the pace of transactions is faster. We really do believe that ‘time is money.’ Related to that, we expect results . . . fast. We expect a bottom-line impact and work hard to deliver against those expectations. We assume that others have done their homework and are prepared.”

Mr. Kotcher pointed out that not following some of the basic rules of the “Road to the West,” such as those outlined above, can lead to results not living up to expectations. He concluded his address with the following observations:

“As Chinese companies engage on their Journey to the West, they should remember the following key lessons:

Communications must not simply be a situational response to events. Tell your story early and often, be consistent, and consider all your stakeholders in maintaining this transparent relationship.
Be transparent about your U.S. operations, including adherence to the increasingly strict accountancy rules in the U.S. . . . Adhere to U.S. accounting rules and regulations, regardless of where your stock is traded because, over the long run, it will add to your success.
As the old saying goes, ‘When in Rome, do as the Romans do.’ Simply substitute ‘America’ and ‘Americans’ for ‘Rome’ and ‘Romans.’ . . . It takes time to court relationships and, in the U.S., court them in an open and transparent way. In the process you will gain valuable allies from important influencers. That includes practicing smart government relations locally, in the states and regions you will operate in, and nationally. So relationships matter.
Understand what differentiates successful overseas companies in the U.S. and the critical role played by corporate social responsibility in our market. Take the time to touch the local community in a real and meaningful way. Just as many of your companies doing business within China are becoming concerned and involved citizens and being recognized as such by the Guangming Daily, American companies strive to be good corporate citizens as well.
Engage the media early and often. Develop relationships with key media reporters and editors. Encourage your CEO and top officials to engage in a dialogue with U.S. media and gain – and then sustain – visibility. . . . Again, be transparent and open with the media.
Identify key influencers who can help consumers better understand your products and how they differ from competitors. Even identify detractors and seek ways to soften their misgivings. Directly engage the consumer if you’re marketing products in the U.S. Launch events like shop openings, product launches, and product sampling events. In other words, think through who can help you be successful and who might stand in your way.”

As. Mr. Kotcher ended his rousing speech, he was greeted with warm applause. The applause signified audience approval and agreement, but also conveyed a sense of good humor. Mr. Kotcher has ventured east with his public relations firm Ketchum and has waged a strategic campaign in this market. He shared his experience of operating in this market with his fellow professionals in China as they start to consider the implications of their own Journey to the West. Even though the geographic distances separating East from West are still huge, the psychological distances, experiences and feelings between different people are becoming closer all the time.

Agencies Drawn by China's Riches

admin — Mon, 05 Nov 2007 19:01:07 -0600

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Ketchum Senior Partner Jerry Olszewski comments on the burgeoning public relations market in China, in a July 2006 article from PRWeek’s U.K. edition.

London Becoming Global PR Hub

admin — Sun, 14 Oct 2007 16:14:17 -0500

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In a July 2006 byline article in PRWeek, Ketchum London CEO David Gallagher discusses how London has emerged as a new PR capital.

Ray Kotcher: Committing Ourselves to Outstanding Client Service

admin — Tue, 29 May 2007 10:15:45 -0500

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In the February 2006 issue of the magazine of the China International Public Relations Association (CIPRA), Ketchum CEO Ray Kotcher and Ketchum’s growth in the Chinese marketplace are profiled in a cover story.

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On September 15, 2005, Ray Kotcher, Ketchum CEO, and Kenneth Chu, Ketchum Greater China CEO, visited the China International Public Relations Association and met with President Li Daoyu and Deputy President Zheng Yannong. An interview with Kotcher was published in February 2006 in volume seven of CIPRA's publication -- PR Magazine. The translated article is reproduced here in its entirety with the express approval of CIPRA.

In 2000, Ray Kotcher was appointed as CEO of Ketchum and for the past six years has helped lead the agency to new milestones through a focus on international expansion, services specialization and industry achievement. Among these milestones has been the growth of Ketchum Newscan, the agency’s Chinese division, which added new offices in 2003 and 2005 to bring its total to seven offices across Greater China. A member of Ketchum since 1983, Mr. Kotcher has brought a long history in communications and a diversity of disciplines to his Ketchum leadership post. In the profile below, Ketchum’s chief executive discusses his career at the agency, Ketchum’s most important accomplishments during the past few years, and his outlook for Ketchum’s growth and role in the rapidly expanding Chinese marketplace.

Ketchum builds great prosperity with flourishing growth

Newscan creates new legends with vision and strategy

When you step into Ray Kotcher’s office in Ketchum’s New York headquarters, one of the first things to greet your eyes is the above couplet. The couplet, presented in traditional Chinese calligraphy, was a present from Ketchum Newscan’s staff on the 25th anniversary of Ketchum Newscan.

Mr. Kotcher was presented with the couplet – a traditional Chinese gift – when he attended Ketchum Newscan’s 25th anniversary celebration in Beijing last September. Employees were then surprised and delighted when Mr. Kotcher returned the good wishes by presenting Ketchum Newscan with a crystal rooster – a particularly appropriate gift since 2005 was the year of rooster according to the Chinese lunar calendar.

On the morning of the same day, Mr. Kotcher had participated in the “Guangming Daily CSR Awards Ceremony for Multinational Corporations” and, along with Ketchum Newscan CEO Kenneth Chu, visited Ambassador Li Daoyu, President of the China International Public Relations Association. The meeting provided an opportunity for both parties to exchange ideas and opinions about developments and trends in the domestic and international public relations markets.

Li invited both of them to attend the 7th Public Relations Conference that will be held by the association in 2006. Mr. Kotcher accepted the invitation and observed that, not only would he be happy to address the conference, but he would also make a commitment to come to China at least once a year. The commitment reflects Mr. Kotcher’s high expectations for the China and Asia Pacific market and his belief in making personal visits to support what he feels is Ketchum’s most valuable asset – its people.

“Ketchum’s people have defined the agency since the beginning and they will continue to be the most important part of the company. Ketchum is highly regarded for its unique employee culture, commitment to creativity and focus on quality,” Mr. Kotcher explained proudly. “Ketchum is passionate about its people and clients, and it is committed to creating an environment where ‘best teams’ work together in an integrated global community to provide a consistent approach for clients. Ketchum wants to be the agency that invests more in its people than any other – valuing them for who they are and helping them grow in new directions.”

According to Mr. Kotcher, this investment in people has yielded award-winning returns and a reputation as one of the most creative agencies around. Recently, Ketchum was selected to be on the short list of agencies vying for PRWeek’s 2005 Agency of the Year award, and not for the first time. Ketchum was named PRWeek’s 2002 Agency of the Year and Inside PR’s Agency of the Year three times. What’s more, Ketchum holds the record as the PR agency with the most Public Relations Society of America Silver Anvil awards. Locally, Ketchum Newscan’s honors include a record five Shanghai Public Relations Association awards for excellence in 2005, with a special award for excellence going to Ketchum Newscan CEO Kenneth Chu. Ketchum Newscan also has won several gold and silver awards from CIPRA in 2004, 2002, and 2000; a gold award and best creativity award from the Shanghai Public Relations Society in 2003; and a gold award from the Asia-Pacific division of PRWeek in 2001.

Specializing in Services

Over the last six years, Mr. Kotcher has helped lead Ketchum in rolling out a number of innovations that relate to the delivery of superior client strategies and service as well as to internal methodologies and resources.

“One of our most exciting new innovations recently has been Ketchum Personalized Media -- a global service that advises organizations on how, why and when to integrate the growing roster of online and wireless media – from podcasts to mobile marketing – into their overall communications strategy,” Mr. Kotcher said.

Ketchum Personalized Media initially covers five new media: blogs, podcasts, RSS, or Really Simple Syndication, search engine optimization, and mobile marketing.

Ketchum’s Women 25to54 communication offering is another specialty that the agency recently launched. It represents a first-of-its-kind, four-phase program that fulfills an unmet need in the marketplace to reach one of today’s super consumer segments. It is designed to identify, create and deliver credible messaging that connects quickly and completely to 25-to-54-year-old women.

Ketchum Influencer Relationship Management offers another example of a new agency service. This program identifies and reaches that select group of people who, for each company or organization, inform the attitudes and opinions of customers and decision-makers. It features a customized Web-based portal to manage and measure relationships with these influencers and includes a seven-step process and proprietary technology infrastructure.

Another important offering is housed within Ketchum's Global Research Network. This offering – Ketchum ROI Lab – enables clients to see the link between public relations results and business results through four proprietary tools that measure the return-on-investment of public relations activities.

Absolutely, Positively Delivering a New FedEx

This history of innovative services specialization has helped Ketchum attract a stellar roster of clients, including FedEx, IBM, Kodak, Procter & Gamble, and Nokia, among many others, and build a distinguished portfolio of achievements with some of the world’s largest corporations.

Its successful work for FedEx is one of the best examples of these achievements. In January 2000, FedEx Corporation launched a sweeping rebranding initiative and new go-to-market strategy. The company decided it was time to extend the FedEx brand across all of its operating units, a portfolio of transportation companies that operated separately under distinct brands. Critics predicted a diluted FedEx brand, while media and analysts derided the independent operating model. Employees continued to function in silos and were unclear about the role they could play in realizing the new FedEx vision. To address these concerns, FedEx, working with Ketchum, embarked on a workplace-to-marketplace campaign to validate the new FedEx business model and extend the success of FedEx Express across the corporation’s entire portfolio.

To accomplish this, FedEx and Ketchum undertook four key actions. First, they constructed an internal corporate foundation by implementing a broad corporate-messaging platform, launching a new intranet, and revamping FedEx.com, among other initiatives. Second, they educated media by identifying a media “inner circle,” allocating staff to conduct briefings with target media. Third, they built a web of influencers by increasing external visibility of FedEx executives. Fourth, they capitalized on blockbuster announcements by increasing external outreach and FedEx portfolio messaging in announcements.

As a result of these efforts, FedEx was successful in securing media coverage that demonstrated support for the FedEx vision, with influential journalists and media outlets issuing reports with distinct reversals in position surrounding FedEx. The company also increased its market position overall and its customer behavior reinforced its business model potency. Volumes and revenue at FedEx Ground increased by 33% year-over-year in the first quarter of 2002, and FedEx Home Delivery grew consistently by triple digits on a quarterly basis. Finally, FedEx positioning in influential corporate-reputation, brand and service rankings greatly improved, including in Fortune magazine, which noted this in its March 4, 2002, “Most Admired” rankings: “Being most admired is all about delivering what you promise to multiple audiences, and that's something No. 8 FedEx has down pat.”

Growing Through Acquisitions and Internal Ventures

During Mr. Kotcher’s tenure, Ketchum had made a number of strategic acquisitions that have enhanced the depth and breadth of its core communication services. Three examples of companies in the U.S. that Ketchum has acquired include The Washington Group, Stromberg Consulting and Corporate Technology Communications, which have enhanced the company’s expertise in government relations, internal behavioral change and technology communications.

The Washington Group, which Ketchum acquired in 2001, combines skill in political issues and government relations with a proven track record in working across all levels of government. Headed by former Congresswoman Susan Molinari, The Washington Group has developed networks of contacts on both Capitol Hill and in the Bush administration, enabling it to provide clients with such services as advising on political positioning, conducting legislative tracking and analysis, writing legislative and regulatory documents, and preparing congressional testimony.

Stromberg Consulting, another recent addition, specializes in helping companies deliver on their customer and marketplace strategies by influencing employee attitude, behavior and performance positively. Among its wide range of consulting services for organizational change are defining and employing new organizational strategies, connecting employees to a brand, and conducting organizational audits for internal and external brand strategies.

The third big acquisition, Corporate Technology Communications, added significantly to Ketchum’s Global Technology Practice.

At the same time, Ketchum has also incubated two successful businesses internally: Ketchum Entertainment Marketing and Concentric Communications. Ketchum Entertainment Marketing is a creative “shop within a shop” that helps companies leverage entertainment properties to support their corporate- and brand-communication efforts. Concentric Communications specializes in sales-force communications and events with an emphasis on motivational meetings and training.

In tandem with Ketchum’s overall growth, Ketchum Newscan has grown from one office established in Hong Kong in 1980 to a network of offices in China that now includes offices in Beijing, Shanghai, Guangzhou, Taipei, Shenzhen and Chengdu.

Mr. Kotcher’s increasing presence in China, leadership of the development of the agency’s specialized services, and history of award-winning work with top-tier corporations underscore his commitment to support Ketchum Newscan’s growth and leading role in this critical marketplace.

Davos Puts PR Firmly on the Map

admin — Sat, 13 Oct 2007 17:28:16 -0500

Short Description

In an Op-Ed from a February 2006 issue of PRWeek, Ketchum Global Practices Partner Rob Flaherty and Ketchum London CEO David Gallagher reflect on their attendance at the 36th annual World Economic Forum in Davos, Switzerland.