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HISTORY OF PUBLIC RELATION:-

Public Relations as a term was first formally used by Thomas Jefferson in

the year 1807 ,while drafting his seventh address to the congress delegates when he

scratched out the words State Of Thought and wrote Public Relations instead.

Informally Sir Walter Raleigh used it even earlier during the Land Rehabiliation

Movement , while persuading people from different parts of America to settle in the

rural parts of Virginia. This was the first organized effort to win and mobilize public

opinion. In India , the term of course gained importance later through the Public

Relations Society of India (PRSI) in 1958.

Meaning And Introduction:

Public Relations, commonly called as PR is an activity aimed at increasing

common & understanding between an organization or individual & one or more

groups called Publics.

What Is Public?

Public is a group of similar ideas, an assortment of persons having the same

interests, problems, circumstances & goals. They vary in their forms & sizes they

have a multitude of wants & desires. Each group has its own likes & dislikes. Group

can be classified as:- Employees form a group/public, employers form another group,

etc. Other members of the public can be dealers, wholesalers, investors, etc. Each of

these group is a public & everyone tries to attract a district audience with its varied

tools & techniques. A public may also be made up of a no. of individuals who are

unorganized & hard to identify but who for widely varied reasons have a common

interest in the matter at issue.

Today, however, when modern means of common make vast number of

people aware of controversial issues & common interests, publics tend to be large &

impersonal. These publics involve people who are not known to each other & are

widely distributed over the country, or even among a number of countries. The

members of such public rarely meet each other face to face or have much direct

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communication. The impersonal but powerful publics are numerous in todays high

complex society.

But finally the public is any group of people who share common interest.

Relations:-

It is the outcome of mutual understanding derived from the process of sharing of

common interest where as relationship is the definite type of relation or interaction

taking place between two individuals, group or departments. To understand any

relationship, therefore it is necessary that one understands the wants of those

involved.

The term PR is also applied to the profession responsible for handling such

assignments. Corporations, govt. agencies, politicians & entertainers are among these

who use public relations. Their publics vary from employees & shareholders to an

entire community or members of the news media. The communication between an

organization & its public ranges a simple news release to a sophisticated campaign

featuring films, ads speeches & television appearances. Such communication is

aimed at gaining the goodwill of the public. The basis of any effective PR campaign

is public benefit. If an organization does not serve the needs of public, the public will

not support it. PR experts help an organization learn what the public wants & then

establish policies that reflect concern for publics interests.

PR generally is practiced through:-

1. Corporate PRdept:- In a corporate department, specialists handle corporatePR activities for only that company.

2. PR Agencies:- In agencies specialists carry out PR activities for severalcompanies

3. Public Information Departments:- Non-profit organizations like collegesand Government agencies have public information departments that work to

strengthen the image of the organization.

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Elements ofPublic Relations:

1. Humanrelations:It is getting along well with the word public both internally or

externally. No person can work independently & everyone who works in an

organization directly or indirectly depends on one another.

2. Empathy:Empathy means feeling with the other person to analyse others point of

view & is regarded as primary pre-requisite for a satisfying experience in a

relationship where a certain degree of depth of understanding is expected.

3. Persuasion:There are 2 forms of interaction between individuals or groups

a) Force or compulsion b) persuasion.If one party compels another to do something instead of persuing him this is

called Depotism. It is against the principle of proper conduct sanctioned by

society. A sense of human interest on the person who is being persuaded will

understand & appreciate the cause & effect of this action.

4. Dialogue:It is a conversation with purpose. It is not a bargain basement

transaction but it is a low form of negotiation. Dialogue is a reasonable

exchange of ideas bringing into view a new form of knowledge, the use of

dialogue is for influencing behaviour like selling goods or inspiring innovative

ideas.

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OBJECTIVES OF PUBLIC RELATIONS

The main objective of public relations is to establish good understand-

ing by sharing a common problem or interest with the public. By public we

here mean both an internal public and a public external to the organisation.

Mutual understanding can be established only by sharing a common

interest, by communication and relations.

However, the following are the broad objectives of public relations:

1. To promote mutual understanding.

2. To avoid the risk involved in misunderstanding.

3. To win friends.

4. To influence people.

5. To change the behaviour and attitude of the public.

6. To enhance the patronage from the various sections.

7. To help in fund raising.

8. To persuade individuals, groups etc.

9. To connect misconceptions and clarify on criticism of its policies

and practices.

10. To promote goodwill.

11. To create and maintain the image or reputation about the company.

12. To forestall attack by the competitors or opponents.

13. To undertake a public relations education program.

14. To help the public to love life and work for better or for worse

without conditions.

15. To improve internal staff relations.

16. To liaise, counsel and advise.17. To provide information about the activities of the company to the

press and writers.

18. To prepare and supply the public with information about the

organisation like price, quality, export, employment, and other

special features.

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19. To ascertain public opinion, conduct opinion research, and under-

stand public attitudes on the organisation, profession and practice.

20. To sponsor dealer and distributor relations schemes.

21. To undertake programmes like sales training courses for retailers,

wholesalers.

22. To establish press relations, publicity articles preparation, press release,

photographs.

23. To communicate with the employees on their benefits, accident prevention

labour relations and collective bargaining.

24. To undertake a campaign of public education about an industry or

profession and its contribution to the public.

25. To establish relations with federal and state legislators, agencies.

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VARIOUS PUBLICS FOR PUBLIC RELATIONS

1. Stockholders Relations

The owners of the company are the shareholders with whom the company

always has to communicate about various matters. Most companies use personal

visits, telephone calls, mailing and supplementary reports to keep shareholders

informed, interested and satisfied. Communication with them may include reports,

matters on corporate meetings,

dividend enclosures, magazines, special mailing, notices, resolutions,

minutes, periodic correspondence, financial matters, press releases etc.

Communication with the shareholders may cover many subject matters

such as :

1. Issue of share certificate;

2. Share transfer application and procedure;

3. Certificate of transfer;

4. To mobilise funds, pay dividend, interest on fixed deposits received;

5.To issue dividend warrant, proxy form, dividend coupon;

6. To issue notices, agenda of the various meetings;

7. To respond to correspondence received from them;

8. Correspondence relating to calls, forfeiture, transmission;

9. Communication on matters relating to statutory requirements etc.

10. Describing organisational problems and objectives of the company in

terms of special current developments in the company' s folder and other

stockholder communication.

11. Drafting and circulating to all stockholders a transcript of highlights of the

annual progress at the company's annual meetings.12. Giving reponse to each stockholder's inquiry which must be prompt to

create goodwill.

13. Informing by way of circulating or distributing to all shareholders

occasional reprints dealing with developments vital to them.

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2. General Public Relations

It is with effective communication and through appropriate media that a

company maintains contacts with the public. It is the means to create and build

goodwill. It also helps as a driving force to reach the public, and brings the company

and the public together, linking with society in general. Maintaining external

communication facilities through several media of verbal and written contacts with

the public in general.

It is not possible to build a satisfactory public image for the company. The

public should be informed about various products of the company and their uses;

comparative advantages, price differentials, product, after sale services and changes

must be communicated promptly. Qualitative communication ensure the promotion of

a positive favourable atmosphere, develops friendly and confident feelings towards

the company and its product.

Audio-visual, direct mail, sales promotion, advertisements, news bulletins,

annual reports, posters, hoardings and pamphlets are few of the many media used to

reach the public. Public information consists of:

(a) Preparing and distributing new releases concerning the company to create

public interest.

(b) Public meetings, press conferences between the company and ~

representatives of the press, radio and television. '

(c) To have a regular and prompt press information service and to

answer enquiries from the press and radio.

(d) Releasing periodic advertisements in the mass media circulating

throughout the country, and also in respect of certain commodities

and information to customers directly.

(e) General public communication covers personalised mass mailings to

the editors of newspaper, magazines, radio and television directors,

educational institutions, religious institutions, public relations offices,

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officials and other local opinion leaders.

(t) Motion pictures are other important media for public communication

which portrays the company's operations highlighting the economic

advantages of the company's area of operations.

Mass media are the gateway of the company for communication with

the public. The public relations department of the company is mainly

responsible for promoting goodwill among the outside public.

3. Customer Relations

An effective system of communication should provide opportunities for

customer information. The customer is the ultimate object whose satisfaction and

goodwill are of the utmost importance for the success of an organisation. In carrying

out the sales function of planning, the management must communicate with

customers. There were times when the customer was not the central figure. But today

the customer is the kingpin and sovereign of the market whose needs and satisfaction,

and the winning of whose goodwill, is of prime importance in these days of

competitive setup. These must be communicated promptly. It is the communication

which establishes the contacts with the customers. Customercomn1unication helps to

establish a relationship with customers who buy and are the sources of products. The

media used for advertisements can also be used effectively to reach the customers. It

is the responsibility of communication:

1. To prepare welcome letters, personally addressed, signed by the chief

executive officer to all old as well as new customers.

2. Customer information should include helpful and desirable information

concerning prices, uses, after sale facilities etc.

3. Media like pamphlets and booklets printed in an attractive manner

summarising the company's product etc., are the purpose of communication.

4. Enclosing handouts, progress reports to each bill or to each correspondence

mailed to customers. This acts as a repetitive reminder to the customer about

the company.

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5. Prompt response to all enquiries made by the customer promotes and builds

confidence and goodwill. Effective written communication promotes a

friendly understanding of company policies.

6. Preparing brochures and other informative folders directed to specific

customer groups like fanners, small business, women, and other special users.

4. Government Relations

Communication with the government and its departments is another important

dimension of external communication. Business communication with the government

covers several dealings touching many government departments. A corporate

enterprise has to communicate with the Registrar of Companies, Controller of Capital

Issues, finance department, industrial department and labour department. The

relations of a company with the government are many sided. Correspondence with the

government may cover export-import matters, foreign exchange dealings, listening,

registration, taxation matters also. A company has to file a number of documents to

various departments of the goverment. Filing of annual returns and tax returns are

regular activities.

Business houses have to consider the national objectives as well as the

national priorities of economic development as indicated in Five Year Plans and other

policy statements and resolutions. There is always if routine communication between

the government and business on several other matters like wage policy, foreign

policy, industrial policy etc.

Government communicates national objectives, priorities, achievements and

programmes through the mass media like television, radio, film and ; through the print

media like newspapers, magazines, Five Year Plans, budgets, annual reports, special

economic survey reports, statistical bulletins, handbooks etc. A firm has to deal with

all correspondence in which it is concerned and interested.

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5. Dealer Relations

A communication network should not overlook the importance of dealer

communication. The dealer is a trader who carries on the business I of buying and

selling and other dealings. A dealer effects a substantial turnover involved in buying,

selling, supplying or distributing goods directly or indirectly for cash or deferred

payment or on commission. A dealer is an important party in external

communications. The relation of the company with its dealers, like those of other

outsiders, is said to be dealer communication. The quality of the product, the trading

policy, practice, procedure and the image the dealers to promote are the fundamental

factors which must be given major consideration in the subject matter of

communication. The method of communicating with the dealer will vary depending

upon the nature of the product, distribution and media of communication.

Communication with a dealer is quite different when the

distribution is made through agents.

Conferences and meetings with dealers are the usual media of oral

communication. Written communication through letters is often the common method.

Another medium of maintaining close contact with the dealers is by providing all the

dealers with regular copies of an external house journal or news sheet. This carries

relevant infonnation from the business house to the dealers, wholesalers, stockists,

agents etc. The journal generally contains messages on display, promotions, uses,

benefits, and comparative superiority of the product. It also covers all such matters

calculate to improve the dealer's turnover, and as a consequence, mutual profits.

Direct mail is also used to maintain direct contact with the dealers.

The public relations officer of the company gives guidance and help to

promote sales. He is a liaison between external parties and the company.

6. Inter-organisation Relations

No business organisation can exist in isolation without connections and

dealings with other sister business organisations. Inter-corporate communication

implies a process of information exchange between companies. A company of a

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particular industry may have links, direct or indirect. Inter-corporate loans, inter-

company investment, inter-locking directorship, inter-corporate dividends, inter-

corporate holdings and inter-corporate transactions etc., are all examples of the

existence of inter-corporate communications. Information exchange between

companies may take place on many matters like cost, process of production, methods

of production, new methods of production etc.

It has been observed that a firm simply cannot exist or survive unless

it is related with other firms in the industry. Inter-industry and intra-industry

information exchange is necessary to make comparison and to run on smooth and

competitive lines. Business houses undertake much inter-company communication to

bridge the communication gap between the organisation and outside entities. Very

often one notices that companies resort to inter-corporate and inter-institutional

communication. Companies are also involved in information exchange to know the

various sophisticated techniques adopted, the handling of production, appraising

people about the organisation's march, social responsibilities discharged and getting

their employees informed about the movement of employees in comparable

organisations.

In present day competitive structures a firm is expected to catch up on the

efficiency attained by competitors, and make efforts to reach and exceed them.

Communication between the organisations on various functional performances

highlights the points of strength and weakness in individual company performance.

Inter-firm information exchange facilitates inter-firm comparison, which provides an

objective and realistic measurement of comparable efficiency of the firms inter se.

The inter-firm messages on operating performance, financial results, product cost

structure, sales trend, market potential etc., in relation to firms of similar size,

capacity, nature, industry or trade present a vivid picture of comparative strong points

and weak points. The firms can improve their activities accordingly. Firms thus

supply information reports on their activities in the form of ratios, figures etc.

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7. Complaints

Public relations firmly believe in openness and honest communication. Public

complaints, suggestions and response constitute a complaint communication system.

The public is any group of people which shares a common interest. An organisation

with its effective communication talent has to establish and maintain mutual

understanding between an organisation and its public. Complaints made by the public

are to be attended to, and suggestions offered should be considered. A complaint

is really a favour done to the company.

Correspondence with the company is a good means of communication, in

particular, face-to-face conversation is still effective. Acknowledging a complaint and

giving a decision without delay promotes goodwill. It is social responsibility of

business as a form of activity to entertain and be responsive to complaints and

suggestions. The social responsibility of a business entails obligations which a

business owes to society. Communication sets in all spheres of enquiries, complaints

and suggestions.

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NEED FOR PUBLIC RELATIONS

The need for public relations is clearly explained n the points below

1. Communication :

The means for communication have reached , technically ,almost a stage

of perfection .It is today financially possible for practically everybody at least

in the advanced nations- to receive information. The level of education of a

wide circle of the population is rising rapidly and this ensures a steady

increase in the capacity for receiving information which is guaranteed by the

constitution. Adequate information is, therefore, theoretically possible

although it is by no means guaranteed in each individual case.

2. New Information Order:

Whether we are correctly informed is far more difficult to answer. Many

books, many discussions in academies in radio and television in India and

abroad, and countless lectures, not excluding those in Information Society

and New Information Order, as far as we are aware, a correct reply is yet to

be received. The only answer, according to the philosopher Karl Jaspers given

in 1963, is

we in the Free World have the chance to share the responsibility and find

ways of receiving the best possible information.

3. Information Load:

Also called message load or quantity, The sceptic will, of course, draw our

attention to the flood of information to which we are all exposed today. The

proper reply to this is that this flood is largely without direction and that it is

incomplete or inaccurate. Information must be prepared. Essential information

must be separated from trivial matter, and the interest of the receiver must be

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aroused in the right direction. In the organization that ignorance, the inability

to appreciate or organization , superficial knowledge is extremely likely to

result in dislikes, dissatisfaction and outright rejection with all their disastrous

concequences. What we require is a fair means of information which

eliminates existing or awakened suspicions, which builds up understanding,

and creates confidence. This is what we call Public Relations.

4. Mutuality and Understanding: Going by the definition of public

relations, the mutuality is based on interaction between consideration for

public opinion, and the need of the communicator or organization to inform

or establish contact. Understanding is created by providing insight into, and

reporting on all essential matters. Confidence is cultivated by bringing the

aim of the organization into harmony with the public interest, thus winning

and maintaining goodwill among the general public.

From all these facts, it is clear what the purpose of this Activity in,

for, and with. The public' is : To act and not to react; to create an

atmosphere of confidence by an active information policy, the passive part

of which consists in answering queries ; to inform the public and exert

influence towards the inside as a form of corporate and social counter control to

establish direct or indirect connections with the public, to fulfill a kind of

interpreterss function towards the public and to control communicative reaction.

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PUBLIC RELATIONS TOOLS

Advertising

Advertising is publicity but not all publicity is advertising. It is the business of

selling goods, services and ideas by inducing people to want them. It is drawing

attention of public by big public announcement t o a commodity or service with the

aim of selling it.

Advertising may also be defined as the purchase of space in the

press, or time over the radio and television to promote the sale of products

or ideas, and to build up the corporate image of an institution. Advertising is

one of the forces of modernisation and cuts across Ideologies.

Any advertising campaign should contain in it the broad ingredent of

public interest. The specific categories of public interest advertising are:

1. Corporate Advertising

It explains the continuing research, engineering and management

efforts a company makes to improve its products or services. It can be

called the voice of management speaking not only to customers, but also

to investors, suppliers, distributors, employees -present and potential - and

leaders of public opinion.

2. Public Relations Advertising

It discusses the problems, policies, social philosophy, or economic

goals of a company or industry, illuminates some aspect of the Nation's

scene; discusses the basic principles of its enterprise, notably with respect

to foreign collaboration for the reader to shed light on the economy or the

society in which he lives.

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3. Public Service Advertising

It is designed to promote voluntary individual actions to solve national

problems such as better roads, prevention of floods, better health care,

family planning and rehabilitation of the handicapped. Also encouraging

cultural activities, tourism, secularism, buying of Unit Trust Certificates,

voting in national elections, reducing prejudices, and other worthwhile

causes.

Publicity

Publicity is the technique of 'telling the story' of any organisation or

cause. It is the umbrella term which in its meaning covers all the

techniques employed to get a story across to the public. It is weapon of

war, an instrument of sales, a tool of politics. Basically publicity is news.

It has to be news, that is, be of interest to be carried. Publicity includes

advertising because advertising, like publicity, tells the story. But in

general usage, publicity is used to describe those expressions where the

medium is not paid for; whereas advertising consists of paying for the

medium to get the story told.

Advertisingvis-a-vis Publicity

If public relations may be broadly considered, as it is by many, as the

act of right living, or 'being a good citizen', publicity is the act of telling the

world about right living or good citizenship.

The role of public relations is to make a light worth projecting. Theart of publicity is the act of projecting the light.

.

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Promotion

Promotion describes commercialisation of publicity, and publicity

and advertising jointly, usually on a grand and co-ordinated scale, to the

end of selling a product or products.

Campaigns

Campaigns consist of concerted, single-purpose publicity programmes,

usually on a more or less elaborate scale, employing co-ordinated publicity

through a variety of media, aimed at a number of targets, but focussed

on specific objectives. A campaign objective may be the election of a

candidate, the promulgation of a political issue or cause, the reaching of

a sales goal, or the raising of a quota of funds.

Lobbying

Lobbying is a kind of tool generally used by a group of persons like

members of legislatures who conduct a campaign outside the legislative

chamber, that is, at the lobby, to influence members to vote according to

the group's special interest; it is also used by shareholders of businesscorporations during the Annual General Body Meetings to pass a

'resolution' or elect a 'director' to the 'board' in the interests of a group

of shareholders.

In a basic sense, lobbying entails the exertion of influence, smooth

and measured pressure and any other exercise of persuasion-cum-

pressure. In essense, it means a group putting its point of view forward

in an attempt to win the other group's support.

Public Affairs

Public Affairs may be defined broadly as a significant and substantial

concern and involvement by individuals, business, labour, foundations,

private institutions and government with the social, economic and political

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forces that singly or through interaction shape the environment within

which the free enterprises exist.

Acceptanceofaproduct

Acceptance of a product goes through five stages:

1. Awareness :The individual learns about the existence of a new idea or practice but

has little knowledge of it.

2. Interest:The individual then develops interest in this idea and then gets more

information about it.

3. EvaluationThe individual makes mental application of the idea and weighs its

merits for his own situation. He obtains more information about it and then

decides to try it.

4. Trial:The individual actually tries the idea of practice usually on a small

scale. He is interested in how to apply practice, techniques ,conditions for

application.

5. Adoption :If the individual likes the idea he accepts it for a fall-scale and then

adopts it.

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Planning Process ofPR

Public relations is not merely a process of getting stories and pictures into

newspapers. It is much more. It has to be properly planned, orderly executed, and anumber of details need careful attention. Public relations costs money, requiresmanpower, needs expertise, and consumes time and resources. So it should bewell planned and executed in an orderly manner.

PR Objectives

The first step is to set out clearly the PR objectives beforeany campaign is launched. The publicist must have a clear idea

as to what is intended to be achieved. His approach should bepositive and purposeful:

Publics

The next step is to decide who is the audience to be reached i.e. local,

regional, national, or international. And apart from geographicalarea, it should be considered if any specialized audience or a

section of the community or professional people is also to bereached.

Message

After deciding the public the company has to decide what message they want

to pass through the campaign, what is it they want the people to know about them orwhat they want to tell or inform the public about.

Strategy

A strategy is a long term planning or the methods that a company adopts to

make itself a successful company. For a PR campaign also strategies are required to

be formed to so that they can create an impact or impression in the minds of the

people; as well as they can build a fair and favourable image in the market.

Tactics

Along with a good strategy a company also needs to use some very goodtactics for its campaign because there are competitors in the market and the companyhas to stand on top of all of them.

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Time Scale

The public has to decide the time scale in which they will complete thecampaign. They have to set a specific time. Also the decision about the

commencement of campaign, duration, repetition, etc. is to be made well in time.

Resources

The publicist has also to think about the resources in termsof money and staff available to him. The campaign has to be

planned keeping in view the resources which the publicist wouldbe able to mobilize.

SelectionofMedia/Resources

Another point that requires a decision is about the media to beemployed for the campaign: whether publicity is to be conduct-

ed with one medium or more than one or through multi-media.

Evaluation

After deciding upon the above things the publicist should evaluate the wholeprocess to check whether everything is properly being done or not or whether theyhave to add anything else or not, etc.

Review

After evaluation again there should be a review of the entire thing to give it a

final check.

Analysis

After the campaign there should be an analysis of the entire process sp thatthey will come to know whether the campaign was successful or not and if not thenwhere it went wrong. If any draw backs are pointed out then again the whole processis repeated from the point of identifying the publics.

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PEOPLES MONEY FOR PEOPLES WELRARE

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Profile OfLIC

Life Insurance Corporation Of India was formed on 1st

September 1956. It

can be said that with the formation of LIC, utilisation of peoples money invested in

Life Insurance for planned economic development took roots. One of the

reasons/objective of Nationalisation oflife insurance industry was channelising of its

funds forthe benefit of the community at large.

VISION

"A trans-nationally competitivefinancialconglomerateofsignificanceto

societies and PrideofIndia" -

MISSION

"Exploreandenhancethe quality oflifeofpeoplethrough financial security by

providingproducts and services ofinspiredattributes with competitivereturns,

andby renderingresources foreconomicdevelopment.

LIC operates all over India. It has :-

-7 Zonal offices

-100 Divisional offices

-2048 Branch offices

-6,28,301 Agents

Objectives Of LIC:

1. Spread of Life Insurance widely an in particular to the rural areas an to thesocially an economically backward classes with a view to reaching all

insurable persons in the country and providing them adequate financial cover

against death at reasonable cost.

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2. Maximise mobilisation of peoples savings by making insurance-linkedsavings adequately attractive.

3. Conduct business with utmost economy and with the full realisation that themoneys belong to the policy holders.

4. Act as trustees of the insured public in their individual as well as collectivecapacities.

5. Meet the various Life Insurance needs of the community that would arise inthe changing social and economics environment.

6. Involve all people working in the corporation to the best of their capability infurthering the interest of the insured public by providing efficient service with

courtesy.

7. Bear in mind, in the investment of funds, the primary obligation to its policyholders, whose money it holds in trust, without losing sight of the interest of

the community as a whole; the funds to be deployed to the best of advantage

of the investors as well as the community as a whole, keeping in view the

national priorities and obligations of attractive returns.

8. Promote amongst all employees and agents of the corporation, pride and jobsatisfaction through discharge of their duties with dedication

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Products OfLIC

Before any PR campaign is started or planned it is necessary to know the products ofthat organisation.

LIC has a variety of insurance plans to choose from. These plans cater to allcategories of people and to their diverse needs. The plans are simply unmatched inreliability, benefits and in providing happiness and security.

y WHOLE LIFE SCHEMES y ENDOWMENT SCHEMESy TERM ASSURANCE PLAN y PERIODIC MONEY-BACK PLANSy PLAN FOR HIGH-WORTH INDIVIDUALS & KEYMENy MEDICAL BENEFITS LINKED INSURANCEy PLANS FOR THE BENEFIT OF HANDICAPPEDy PLANS TO COVER HOUSING LOANSy JOINT LIFE PLANy PLANS FOR CHILDREN NEEDSy INVESTMENT PLANS

Group Insurance Scheme:

Group term Insurance Scheme

Group insurance scheme in lieu of EDLI

Group gratuity scheme

Group super annuation scheme

Group savings linked insurance scheme

Group leave encashment scheme

Voluntary retirement scheme

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Social Security Scheme

Janshree Bima Yojana.

Swaranajyoti Gram Swarojgar Yojana.

Subsidary Companies OfLIC.

LIC Mutual Fund And Jeevan Bima Sahayog AssetManagement Company Ltd.

The Lic mutual fund was set up in june 1989 as separate trust by LIC of India with

a view to providing accessibility of various investment media including the stockmarkets to all sections of investors, particularly the small investors in rural andsemi-urban areas. For LIC Mutual Fund schemes, Jeevan Bima Sahayou AssetManagement Company Ltd (JBS AMC) incorporated on 20th April 1994, acts asInvestment Manager.

LIC Housing Finance Limited.Incorporated on 19th June 1989 under the Companies Act 1956main objective

of the company is to providelong term finance for construction/ purchase ofindividual houses/flats. The Company has 6 Regionaloffices & 67 operating

offices alongwith 100 Extension ?Counters & Camp offices, making it the housingfinance institution with the widest marketing network in the country andis

amongst the premier Housing Finance Companies in our country.

Life Insurance Corporation (International) E.C.The company was established in 1989 at Bahrain with the following broadobjectives:

1. To cater for the insurance needs of expatriate Indians in theGulf by issuingnsurance policies in US $.

2. To provide insurance services to the holders of Indian /Registered policies ofLIC of India currently residing in Gulf.

3. To help Non-Resident Indian to have their Own Home Back Home throughloans from LIC Housing Finance Limited.

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Corporate Policy Of LIC On Public Relations

Public Relations aims at building-up and maintaining sound, effective and

productive relations with the public so as to help the organisation to understand and

interpret the environment as also help the public and the society at large to appreciate

the performance and limitations of the organisation. Public Relations has the

responsibility to build and maintain two-way relations between the Public and the

Organisation at all levels.

The PublicinthecaseofLIC includes:

A. levels of employees and agents.

B. Customers.

C. Government: Central, State & Local bodies.

D. Media, Press, T.V., Radio & Agency-owners and correspondents and

E. Citizens at large.

A clearly laid down Public Relations Policy, therefore, is essential to set the

goals, indicate the strategies and give proper direction to all levels in the area of

Public Relations.

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Mission

Establish understanding and develop awareness of mutual aspirations of LIC

and the Public.

Goals

1. Promote within the Corporation greater awareness of the changing environment and

the need to align the corporate policy to the emerging situation.

2. Help fashioning, within the constraints, its policies, programmes, practices and

products to meet the expectations of the Public. Help the public to appreciate the

performance and the limitations of LIC.

3. Make PR occupy the front seat in the organizational set-up.

Strategy

1. Develop excellent relations with the totality of the media-print, electronic and

agency owners and reporters by regular exchange of information with them.

2. Establish relations-and develop understanding with the Govt. - Central, State &Local bodies through legislators and Govt. officials.

3. Develop full understanding with the workers-employees at all levels and agents on

organizational goals, policies, practices and programmes.

4. Develop an effective system of communication with the departments and operating

units on the environment and on implementation of policies.

5. Build an atmosphere of goodwill and understanding inside and outside the

organization leading .to better appreciation of the Corporation's policies and

performance.

6. Help to evolve an effective machinery for quick and satisfactory redressal of grie-

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vances of the public.

7. Help to develop an image of LIC as a responsive organization,

8. Devise methods for opening up channels of two-way communication with various

publics of the Corporation.

Action Plan

1. Keeping the objectives, philosophy and the strategies in view, drawing-up annual

PR plans by Branches, Divisions, Zones & Corporate Office.

2. Develop an effective system of periodical reviews of PR Plans at all levels - B.O.,

D.O., Z.O. and Corporate.

3. Develop streamlined methods of systematic dissemination of the information re-

levant to each of the publics.

4. Develop streamlined methods of receiving messages/feedbacks from the totality of

the publics.

5. Formation of PR Advisory Committees at D.O., Z.O. and C.O. Organize PR depart-

ments in the C.O., Z.O.s and D.O.s for realization of the goals, and develop a nucleus

in Branches also.

6. Organize events like inauguration of new B.O., D.O., Z.O. or any arm of the

Corporation (diversification) etc. as public functions to project corporate image.

7. Actively participate in at least one important scheme in each of the States and in

two or three national level schemes to help improve the quality of social life and

establish the social relevance of LIC.

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8. Develop a task-plan in respect of the above strategies.

CORPORATE POLICY ON PUBLICITY

Publicity is a method of mass communication used for product launch product

promotion, communicating pricing mix, consumer education, countering competition

etc. LIC's publicity should be impressive, attractive and in conformity with the

national advertising policy.

Mission

Publicity should be cost-efficient and of high quality and should bring about

money's worth through a system of integrated communication.

Goals

1. Promote the Corporation's products, the whole line of products, including the

pricing mix.

2. Educate the customers to facilitate more efficient service and appreciation of Cor-

poration's limitations.

3. Meet the challenges of competition.

4. Promote the Organization, enhance the Corporate Image.

5. Make publicity occupy the front seat in the organizational set-up.

Strategy

1. Organizing Publicity Department in the C.O., Z.O. and D.O., for realisation of the

goals. Develop a nucleus in Branches also.

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2. Developing a system of co-ordinating the publicity programmes with marketing

agencies.

3. Developing a system of co-ordinating the publicity programmes with the emerging

competition.

4. Developing streamlined methods of receiving feedback to assess the effectiveness

of publicity campaigns.

Action Plan

1. Keeping the objectives, philosophy and the strategies in view, drawing-up annual

PR plans by Branches, Divisions, Zones & Corporate Office.

2. Develop an effective system of periodical reviews of PR Plans at all levels - B.O.,

D.O., Z.O. and Corporate.

3. Develop streamlined methods of systematic dissemination of the information re-

levant to each of the publics.

4. Develop streamlined methods of receiving messages/feedbacks from the totality of

the publics.

5. Formation of PR Advisory Committees at D.O., Z.O. and C.O. Organize PR depart-

ments in the C.O., Z.O.s and D.O.s for realization of the goals, and develop a nucleus

in Branches also.

6. Organize events like inauguration of new B.O., D.O., Z.O. or any arm of the

Corporation (diversification) etc. as public functions to project corporate image.

7. Actively participate in at least one important scheme in each of the States and in

two or three national level schemes to help improve the quality of social life and

establish the social relevance of LIC.

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8. Develop a task-plan in respect of the above strategies.

Now let us see the PR activities at LIC

Public Relations Activities At L.I.C.

PRESS CONFERENCE

Press conference & interview are arranged periodically by

all L.I.C. offices - ie , Central, Zonal, Divisional and Branch offices at the

time of launching any new scheme and to inform about the policies ,

programmes and activities to the press so that it can be publicised.

LIC WEB SITE

LIC has its own web site Licindia.com which provides information

about LIC and its subsidiaries and the products offered by them .

USAGE OF INFORMATION TECHNOLOGY .

With a view to providing quick and accurate service its

customers LIC has introduced on-line service through front - end

terminals in 1993 branches and soon all our customers will be able to

benefit by this .

GREIVANCE REDRESSAL MACHINERY

LIC has established an elaborate Grievance Redressal

Machinery in order to deal with problems of customers . The grievance

redressal cells are operative at all levels ie. Branch, Divisional, Zonal and

Corporate offices . Specially designated officers attend to policyholder's

complaints.

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RALLY ORGANISATION

LIC has organised a massive rally to pay homage martyrs of Kargil to provide

moral support to the Indian army.

PR And Publicity Conferences

PR And Publicity Conferences arranged at the central office in which the

Chairman emphasised the need to reposition the organisation the organisation in the

emerging cooperative scenario with the help of revised PR and publicity strategies

because it was found out by a survey that the level of customer satisfaction is not very

high.

ClaimreviewcommitteesA claims review committee was being formed at the corporate level with a

retired Judge as one of the members and it handles grievancs arising out of reudiation

of claims etc. Similar committees are also constituted at Zonal level.

Press Releases

Press releases regarding important news are released from time to time so that

people are kept informed and they know about them.

CustomerMeets

Periodical customer meets are organised at Divisional and Branch level to

facilitate greater interaction with policyholders.

Publicity Pavilion

Publicity Pavilion are arranged to display information about PR and Publicity

activities of LIC.

Consumers Affair Committee

A high profile committee has been constituted by the Central office with

eminent persons from the consumers movement being its member to advice and guide

LIC on maters concerning consumer interests.

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Exhibitions

LIC arranges its various schemes and exhibitions so that it can display its

various schemes and plans .

Citizens Charter

The corporation has adopted a Citizens Charter wherein commitments have

been made to its customers for higher standards in servicing.

Seminars

Seminars are also arranged by LIC so that they can display their policies and

plans .

Free Phone Call Facility To The Policy Holders

A unique facility of free phone call service is being provided to the policy

holders of Mumbai city to enable them to have easy access to grievance redressal

officers over the phone.

Sponsorship

LIC sponsors man y events like chess tournaments table tennis tournaments

for the employees and also for the general public. It has also sponsored a health camp

organised by Masoom an organisation of understanding and fraternity.

Distribution OfDairies And Calendars

LIC distributes dairies and calendars to its employees and also to the general

public every year.

Publicity Stalls

Publicity stalls are been put up by LIC at different fairs and melas to publicise

the corporation and its schemes and plans.

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Public Functions

Inauguration of new offices helps in communication as well as in enhancing

the image of the corporation.

Advertisement In Newspaper AndMagazine

Advertisement about LICs products, activities and policies is published in

newspapers and magazines.

HouseMagazine Yogkshema

Yogkshema is the house magazine of LIC. It provides information about the

corporation , its activities , policies an programs.

Advertisement At Railway Stationand Airport

Posters and banners are set up at strategically important public places such as

Airports ,Railway stations ,Bus terminals ,shopping counters an at the reception

counters of the business premises. This enables the policy holders to access

information about LIC & its products etc.

Insurance Week

An insurance week was arranged by LIC through which people were exposed

to various insurance schemes of LIC.

Advertisement On Radio satellitechannel

Advertisement about LIC are frequently been telecast on radio and satellite

channel.

Advertisement At Kumbh Mela

LIC has also advertised about its products and the corporation even in Kumbh

Mela.

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Training Programmes

Training programmes are arranged by LIC for its employees so that they can

be trained for the purpose of public relation activities.

Meetings

Meetings of Development officers are arranged by LIC to train their

employees for public relation activities.

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CONCLUSION

Public Relation came into existence by the belief that if we do something good for

people then only the people Will say good about the organisation. Today's is a age of

competition. And to remain firm in the competition depends on how efficiently the

Organisation manage its PR & project the company's image .

Public Relation will not sell goods and Services but it is bound to create an

atmosphere which will make the free enterprise , a reponsible enterprise . Public

Relations , in fact Will prove to be the most effective tool for communicating with the

People who are still remote from industry for convincing them that

Corporate objectives are ultimately in the interest of the public .

The PR Mantra has now became pervasive. Neither a individual nor the

organisation & not even the government Or a UN body can thrive or sustain in this

age without effectively strategising PR.

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Bibliography

y Principles ofPublic Relations.- C.S. Rayudu.- K.R. Balan.

y HandBookofPRin India.- D.S. Mehta.

y The Art And ScienceofPublic Relations.- Anne Gregory.

Webliography

y LIC India.comy AltaVista.comy Find Articles.com