Contemporary Public Relations Practice and Case Studies of Indonesian CEOs NOKE KIROYAN

GLOBAL COOPERATION IN ASIAN PERSPECTIVES

2

Two-Way Symmetrical Public Relations

Public relations increases organizational effectiveness when it

builds long-term relationships of trust and understanding with strategic publics of the

organization – those that affect or are affected by the organization as it identifies and

pursues its mission

“Two-Way Symmetrical Public Relations” - James E. Grunig in “Handbook of Public Relations” – Robert L. Heath (ed.), 2001

1

3 3

2

Win-Win Zone

Mixed Motive(Symmetric)

DominantCoalition’sPosition

Public’s Position

Organization’s PositionDominates (Asymmetric)

Public’s PositionDominates (Asymmetric)

3

1 Pure Asymmetry Model

Type of Practice

2 Pure Cooperation Model

3 Two-Way Model

Communication used to dominate public,accept dominant coalition’s positionCommunication used to convince dominantcoalition to cave in to public’s position

Explanation

Communication used to move public, dominant co-alition’s position, or both to acceptable ‘win-win zone

New Model of Symmetry as Two-Way Practices

“Manager’s Guide to Excellence in Public Relations and Communication Management” - David M. Dozier, Larissa Grunig, James E. Grunig, 1995

4

Democratic versus Authoritarian Communication Models

• Ideally, in a democracy the two-way communication model should be dominant

• In authoritarian societies there is less need for engagement, consequently communication tends to be one way

5

Hallmark of Democracy: Media Engagement

6

Stakeholder Theory

Any group or individual who can

affect or is affected by the achievement of the

organization objectives

“Strategic Management - A Stakeholder Approach” – R. Edward Freeman, 1984

PUBLIC RELATIONS is the management of mutually influential relationships

within a web of stakeholder and organizational relationships

By better understanding stakeholders, managers can decide who deserves their

attention and time.

Stakeholders can shape organizational practices through their giving or retracting

of stakes (support)

Public relations should be deliberate and goal-oriented – it is based on strategy

Stakeholder Approach to Public Relations

“PR Strategy and Application: Managing Influence” – Coombs, W.T. & Holladay, S.J., 20107

8

The research-based Stakeholder Approach (“Sniper Approach”) to communication allows

more effective and efficient use of

resources.

Stakeholder Engagement + Communication Strategy= Sniper Approach

Corporate Communication Process

STAKEHOLDER MANAGEMENT

STAKEHOLDER ENGAGEMENT

COMMUNICATION STRATEGY

COMMUNICATION FUNCTIONS

CORPORATE POLICY

PUBLIC RELATIONS

COMMUNITYRELATIONS

INVESTOR RELATIONS

EMPLOYEE RELATIONS

MEDIA RELATIONS

PUBLIC AFFAIRS

Top Management

Middle Management

Junior Management and implementing staff

Event Management/Press Conference/Press Release /Media Monitoring/Interview/FGD, etc.COMMUNICATION TOOLS

STRATEGIC

TACTICAL

TECHNICAL 9

Stakeholder Management and Communication

STAKEHOLDER MANAGEMENT

Stakeholder Engagement

Communication Strategy

CommunicationTechniques

MANAGEMENT POLICY

StakeholderAnalysis

COMMUNICATION POLICY

10

Stakeholder Engagement and Communication Strategy

STAKEHOLDER ENGAGEMENT

11

COM-MUNITY RELS.

MEDIA RELAT-IONS

PUBLIC RELAT-IONS

PUBLIC AFFAIRS

EMPLO-YEE

RELS.

CRISIS COMMS.

INVEST-OR

RELS.

INFLU-ENCER RELS.

CSR COMMS.

RE

PU

TAT

ION

Culture

Industry-specific issues

COMMUNICATIONSTRATEGY

Laws and Regulations

PoliticalDynamics

REPUTATION

COMMUNICATION

PERFORMANCE

12“Reputation Management: The Key to Successful Public Relations and Corporate Communication,” John Doorley & Helio Fred Garcia, 2nd ed., 2003

What Reputation Boils Down To

13

“CEO Capital: A Guide to Building CEO Reputation and Company Success,” Leslie Gaines-Ross, 2003

• The big reputations of CEOs are not coincidences. Reputation is designed, thoroughly examined, and maintained. Reputation can be developed.

• Factors “C” and “M” are the movers of CEO Reputation and the shapers of CEO Capital:

The CEO’s Capital

The “C” Factor

• Credibility• Code of Ethics• Communicating internally

The “M” Factor

• Management team• Motivating and inspiring

employees

13

14

CEO and Reputation

“Corporate Public Affairs: Interacting with Interest Groups, Media and Government,”,Otto Lerbinger, 2006

The CEO, as the communicator and

highest spokesperson of the

company, plays a determining role in

the company’s communications,

and therefore highly affects the company’s reputation.

It is exceedingly ideal when the CEO

has good communication

skills. This skill can be developed

through several public relations efforts, such as

speech training and media handling

training.

14

15

Case Study 1: Karen Agustiawan

•Exploding gas canisters

Crisis Management

16

Case Study 2: Emirsyah Satar

Most improved airline

Reputation Building

Case Study 3: Ignasius Jonan

17

Alternative travel mode

Reputation Building

18

Case Study 4: Hendi Prio Santoso

Public Issues ManagementThe art of hiking prices

Mobil Oil Citibank

CitibankCitibank/JP Morgan

What They Have in CommonCurrently CEO of large State-owned Enterprises…….

….but previous career in private sector

….and three out of the four started their professional career as accountants

PT KOMUNIKASI KINERJAMenara Karya, 10th Floor Suite

HJl. HR Rasuna Said Blok X-5 Kav.

1-2Jakarta 12950 – INDONESIA

T: +6221 5794 4694F: +6221 5794 4696

info@kiroyan-partners.comwww.kiroyan-partners.com

THANK YOU