October 17, 2006

Goodbye...for now

My time at Edelman is coming to an end, following my resignation from the firm to join the strategic communications group at a leading management consulting firm. I've greatly appreciated all the interaction from readers of the Employee Thinking blog over the last 18 months, and am happy that we were able to collectively add to the dialogue on the topic of employee engagement occuring in the blogosphere.

I can be reached at cphannegan@yahoo.com. In the meantime, I'd encourage you to keep reading some of Edelman's other blogs -- and keep the contributions of ideas and content flowing!

With best regards to each of you,
Christopher Hannegan

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September 19, 2006

What we can learn from Airbus

Although there's much that one could say (correctly so) about the mismanagement of Airbus in recent months, I was impressed to see that they are doing at least one thing right: engaging employees to help test the new A380. Airbus put out a call to employees to volunteer to be passengers on test flights that the aircraft is undergoing before being put into commercial service. Over 2,000 employees responded and are being involved in the final product tweaking and refinement. A great example of something that I wish more companies would do...

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September 7, 2006

How to Communicate Difficult Business Developments to Employees

Outsourcing, off-shoring, downsizing, mergers, acquisitions, restated earnings, options backdating - companies have entire staffs dedicated to communicating the implications of these situations to Wall Street and shareholders. And yet few companies take the time and effort to engage in discussions about these issues with internal audiences. They should. Employees' reaction to news not only plays a critical role in the organization's ability to manage difficult change scenarios, but also shapes external opinion about the company. According to a 2002 survey by Watson Wyatt, only 43 percent of employees said their companies effectively managed business changes, and organizations that managed change poorly had a -5 percent return on shareholder value over a three-year period.

Based on our research and experience with clients, here are 10 suggestions for more effectively communicating sensitive news to employees:

1. Transparency is the key to credibility -
Companies should tell employees as much as they know, as soon as they know it. If decisions have not been made or investigations are still underway, at least let employees know when further updates will be given. Transparency does not mean all employees have a role in determining business strategy, only that the rationale behind that strategy is shared with the wider organizational team.

2. Don't give power to the grapevine - One of the biggest mistakes companies make is assuming that if they say nothing or very little about a looming issue, no one will talk about it. Employees are consumers like the rest of us; they talk and seek out information about things that concern them. Absent credible information from the company, employees will turn to colleagues, friends, family and the media to fill the void.

3. Limit the Wall Street speak - All communications must be understandable to a person of reasonable intelligence. When dealing with large numbers, consider drawing comparisons to the amount of products or services sold that would equal that total.

4. Give managers and supervisors the resources they need - Direct reports play a critical role in the communications landscape, but they need information that helps them speak knowledgably to their teams. Often, a manager-only town hall meeting is a viable alternative to an all-employee meeting. Managers can be provided with "tool kits" to communicate information to staff and time can be set aside afterward for department-level discussions.

5. Use a variety of existing communications channels - This ensures that information will reach a broad base of employees quickly and accounts for both an unwired or mobile workforce. This strategy also builds in an element of repetition and consistency to the communication, which will aid comprehension.

6. Ensure internal audiences are informed before (or at least at the same time) as external audiences - Few things damage morale more than when employees learn of major news from external sources. Not only can this lead to disengaged employees, negative media coverage can result when workers who are ambushed by reporters offer comments along the lines of "They don't tell us anything; I found out about it in the paper." Issuing press releases after the stock market closes, or coordinating with financial relations staff are ways to provide more time to notify internal audiences.

7. Make customer-contact employees a priority audience - Special attention should be given to internal audiences that are most likely to get inquiries or comments from customers or the general public, including receptionists, security officers, call center employees, and sales force staff. Make it clear to these audiences what can and cannot be communicated to what external groups. By educating these employees and encouraging them to share some level of information, you combat a feeling of helplessness and engender trust from workers and customers.

8. Retirees are an important audience to keep in mind -
Depending on how mature an organization is, a sizeable (and usually highly vocal) group of retirees may exist who will shape community opinion about a negative crisis or issue. If communications vehicles do not exist to engage retirees alongside active employee audiences, consider developing information specifically aimed at former workers.

9. Anticipate and respond to employee concerns - While communication with external audiences will likely focus on the financial strength of the company, internal communications must also address more personal and specific issues such as job security, benefits adjustments and day-to-day operations. Before communicating, ask yourself, what questions will this raise among employees? Consider publishing a question and answer document along with information from executives.

10. Develop leak scenarios and dark communication tools - Having a plan to communicate sensitive material to employees will help reduce leaks and rumors; however, some slips may be inevitable. "Dark" communication tools such as memos, Web sites or blogs that can be activated at a moment's notice are effective tools to respond before inaccurate information spreads. Furthermore, employees should know who to turn to for reliable information and who is empowered to speak publicly.

Communicating about sensitive information is not about spin or painting a rosy picture. According to a 2004 study by Towers Perrin, more than 93 percent of employees are ready to hear the truth about the future of their company, pay, benefits and job. In today's economic environment business change is inevitable; employees understand this. Organizations should not hope employees ignore difficult situations, as this is neither realistic nor constructive. Rather, companies should develop internal communications strategies for business change in order to build a more informed and engaged workforce.

What works for your company? Share your tips and best practices by posting a comment below...we look forward to hearing from you.

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August 9, 2006

15 ways to bring value to your company's town hall meetings

Many organizations loosely use the term "town hall" to describe large employee meetings with leadership, but few such meetings actually evoke the back-and-forth interaction typical of true town halls. Yet, due to the potential for their conversational, let's-break-down-the-barriers nature, employee meetings, when used effectively, can be an important part of a comprehensive employee engagement strategy.

While there's no one-size-fits all approach, we've identified 15 tips for helping communicators create a constructive dialogue between audiences and presenters:

1. Pare down the PowerPoint. Corporate America loves its slides, but keep the presentation lean, with supporting visuals and brief bullet points. This forces leaders to look at the audience and talk more informally.

2. Get off the script. It's okay to improvise. Coach senior leaders to talk from the brief points in the deck instead of fully scripted remarks. Any hope of building trust through spontaneity and candor is lost when the presenter sounds over-rehearsed.

3. Expand presenters beyond the core leadership team. Have a project manager present the latest product offering or give a business update alongside the leader sponsoring it. This gives rank-and-file employees exposure and feels more conversational.

4. Set up a mock interview. If you're discussing a dry topic, keep your audience from dozing off by using a talk-show-style interview format, with a member of the communications team "interviewing" the leader.

5. Include a panel discussion. Ask a quiet audience point-blank to offer up questions to the CEO and you'll likely get silence and averted eyes. But include a panel discussion with the leadership team (and even some "regular" employees) casually seated in front of the group, with questions on hand if there are none initially, and you'll encourage conversation. Solicit questions ahead of time and have pens and index cards at each seat in the meeting for employees to submit anonymously.

6. Understand that not everyone will feel comfortable speaking up in a town hall. It's wise to offer other, less public forums for discussion with senior leadership, such as informal lunches, blogs and "fireside chats" with a small group of employees and a leader meeting at a venue outside the office.

7. Use faces. Incorporate images of employees and customers whenever possible. Audiences enjoy watching videos of team events or employees interviewed on camera about their jobs.

8. Get the audience involved. Ask employees' opinions on key business issues and priorities throughout the meeting using interactive polling devices, if available (a show of hands will work, too.) You can also ask fun questions to build community, such as "if our department were a movie, what would it be?" A pharmaceutical company recently sprinkled both light-hearted and business-centered questions throughout a town hall meeting for its finance group; the audience stayed wide awake and later identified the polling as a favorite part of the meeting.

9. Intersperse heavy and light news. They do it on the evening newscast: Keep your audience's attention by alternating performance updates with employee recognition pieces.

10. Combine the town hall with a fun event. After the meeting, host a lunch with seating that's conducive to mingling. Have senior leaders serve the food and then sit at tables with employees, especially those outside their immediate business units. Consider including a raffle or contest during the meeting to encourage participation. Link prizes to a trivia quiz on the company's mission, vision and values or latest product or service offerings.

11. Do something totally unexpected. When appliance manufacturer Whirlpool introduced its strategy aimed at connecting emotionally with appliance customers, it deviated from its logic-grounded traditions. A senior leader performed a mock strip tease before hundreds of employees, revealing an "I love Whirlpool" tee under his shirt and tie. Employees still talk about it fondly. A surprise doesn't have to involve burlesque; what about bringing in an unannounced guest speaker? A celebrity always gets people talking, but a well-respected, retired leader or community figure also works.

12. Send out the agenda ahead of time. Give employees a taste of what they can look forward to at the meeting. And make sure it's something YOU would want to go to!

13. Invite all staff -- but make it mandatory for senior staff. Require senior leaders go to the town hall (even if they're just sitting in the audience) as a way to express a sense of community. Strongly advise them against grumbling about the meeting "taking up valuable time." Also ensure that hourly workers and those in remote locations can participate, either through meetings on the plant floor or videoconferences.

14. Measure. Ask participants to complete a brief (seven questions or less), anonymous survey, printed or electronic, immediately after the meeting. Emphasize that their feedback will directly drive the next town hall agenda and format.

15. Recap the meeting. Send out a brief synopsis of the topics covered, questions asked with corresponding answers and how management intends to act on those questions.

What works for your company? Share your tips and best practices by posting a comment below...we look forward to hearing from you.

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August 3, 2006

Two new resources to understand blogs

I continue to be surprised at how many folks in communications could benefit from a primer on blogs and their applications -- and thought I would share two newer resources that may be useful.

The first is a book that's been out for a few months called Blog Wild!, written by Andy Wibbels. I had the pleasure of sitting on a panel with Andy earlier this summer on the topic of new communications technologies and was impressed by the clarity with which he explains blogging and what it can do, especially for those of you in smaller businesses.

Another resource that is hot off the press is Blog Rules, written by Nancy Flynn of the ePolicy Institute. Nancy has authored many other useful books on communications etiquette and this one may be the most definitive source on establishing blogging policies and other useful rules of the road that I've yet seen. And it doesn't hurt that yours truly was interviewed for it...(pages 179-184!).

I'd encourage you to check these two resources out so you can then move on to understanding all the other new technologies that are out there -- if you're only now trying to understand blogs, you are in danger of following hopelessly behind my friends.

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