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STAMFORD COLLEGE

DMC 115
PRINCIPLES OF PUBLIC RELATIONS

PREPARED BY :MS GOMALA SUKUMARAN
 PR consultancy has been very fast

growing business since early 1980’s.
 The earlier consultancies provided
specialist ...
 Consultants act as advisors.
 They are consulted for their expert

opinion.
 They do not carry out the work.
 Today’s...
This is because they advise

clients, and also handle Public
Relations strategies and tactics
on behalf of an organizatio...
Full service
Specialist

PREPARED BY :MS GOMALA SUKUMARAN
 They are large, well established

organizations that offer both
consultancy (advice and
recommendations) and agency serv...
 There are many types of specialist consultancies.

 Some specialize in particular
 Industries (agriculture)
 Financia...
HIGHLY SPECIALIZED
SKILLS
Public speaking
Training for media

interviews
Press release design
Production and distribut...
CLIENT RELATIONSHIP
Consultancies are flexible.
They can offer exactly what

management specifies.

PREPARED BY :MS GOMA...
CONSULTANCIES..CAN…
 Be the Public Relations department of an

organization
 Support an in-house Public Relations
manage...
CONSULTANCIES..CAN..
Be appointed for a long

period, or brought in to
handle a specific need.

PREPARED BY :MS GOMALA SU...
CONTRACT
 A legal contract is essential.
 This protects both the organization and the
consultancy because it spells out ...
CONSULTANCY ROLE
 To provide client management with

communication expertise in the form of
counseling and active communi...
CONSULTANCY FUNCTION
 To advise the management of client

organizations of the most cost-effective
and efficient means of...
STRUCTURE
 A Public Relations consultancy sells the

knowledge, skills and talents of its staff.
 It has no tangible pro...
CONTINUED…
 Expensive and impressive offices are

not needed when the face-to-face work
is done in the client’s offices o...
CULTURE
 No Public Relations consultancy can

work on standard office hours.
 These provide a basis for the working
day,...
CONTINUED…
 It is approach to working that takes a lot of

people by surprise, since nobody really cares
what time work s...
FUNCTIONAL
Provides for organization by

what people do.
Providing the structure is
simply for administrative
convenienc...
CHART

PREPARED BY :MS GOMALA SUKUMARAN
CLIENT

 This recognizes the importance of the client and

organizes around clients and the services they
need.
 In some...
CHART

PREPARED BY :MS GOMALA SUKUMARAN
FEES
 Public Relations consultancies are in the

business of making profits.
 Normally they aim to make a return of
betw...
EXPENSES…INCLUDE
 Salaries and wage costs
 The Public Relations Consultants

Association (PRCA) have estimated that
sala...
CONTINUED…
 Equipment
 State of the art equipment is needed

and the necessary hardware and
software must be constantly
...
CONTINUED…
Running expenses
Support costs for the

office , travel, can run as
high as 20 %
PREPARED BY :MS GOMALA SUKUM...
CONTINUED…
Rent
Even standard offices are not

cheap, especially if they need to
be in commercial centre.
About 5 %
PRE...
CONTINUED…
Taxes
Of the remaining 20% around

a third will go in tax.

PREPARED BY :MS GOMALA SUKUMARAN
CONTINUED…
 Balance
 If these cost breakdown are accurate,

about 13% is left as profit to cover
loan repayments, shareh...
PUBLIC RELATIONS IN-HOUSE
OR THROUGH CONSULTANCY
The two ways in which an

organization can organize its
Public Relations...
IN-HOUSE
 An in-house Public Relations manager

will probably call on a Public Relations
consultancy from time to time – ...
LEVEL OF PUBLIC RELATIONS
 Strategic
 Where advice is given to top management

in the formation of the mission and
corpo...
QUALITY
 It should go without saying that a quality

Public Relations service can only be
delivered by quality people.
 ...
CONTINUED…
Public relations is a specialist
subject, which requires a subtle
approach.
It is a long-term, on-going activ...
PREPARED BY :MS GOMALA SUKUMARAN
ADVANTAGES
1. Public relations staff are employed by the
organization. They :
 Identify closely with the aims and objecti...
CONTINUED…
 Can offer a 24- hour service
 Can move freely around an organization

 Can form internal networks with empl...
DISADVANTAGES
 Staff can
 Too closely identify with their product offering (the
mirror effect).
 Become biased in favor...
CONTINUED…
 If there is not a full Public Relations department,
the function may be allocated to another manager.
 He ma...
CONTINUED…
 Public Relations may be used as a training

and development activity for “fast-track”
managers.
 The Public ...
PREPARED BY :MS GOMALA SUKUMARAN
 There is no long-term commitment to employed staff.
 Costs are directly related to the work done
 The budget can be ag...
 The Public Relations people have current experience in

the markets. They:
 Work for other clients
 Commission more wo...
 Their range of equipment, and support services, is
likely to be better since it has greater use made of
it.
 They can p...
 Consultants will have limited knowledge of the





organization and its products.
Access is difficult, especially t...
PREPARED BY :MS GOMALA SUKUMARAN
Pr consultancies
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Transcript of "Pr consultancies"

  1. 1. STAMFORD COLLEGE DMC 115 PRINCIPLES OF PUBLIC RELATIONS PREPARED BY :MS GOMALA SUKUMARAN
  2. 2.  PR consultancy has been very fast growing business since early 1980’s.  The earlier consultancies provided specialist help to in-house PROs, but today’s consultancies are also likely to offer a full Public Relations service to organizations. PREPARED BY :MS GOMALA SUKUMARAN
  3. 3.  Consultants act as advisors.  They are consulted for their expert opinion.  They do not carry out the work.  Today’s Public Relations consultants do more than advise.  They are both advisers and agents. PREPARED BY :MS GOMALA SUKUMARAN
  4. 4. This is because they advise clients, and also handle Public Relations strategies and tactics on behalf of an organization. PREPARED BY :MS GOMALA SUKUMARAN
  5. 5. Full service Specialist PREPARED BY :MS GOMALA SUKUMARAN
  6. 6.  They are large, well established organizations that offer both consultancy (advice and recommendations) and agency service (media relations)  Every aspect of Public Relations is provided within the consultancy. PREPARED BY :MS GOMALA SUKUMARAN
  7. 7.  There are many types of specialist consultancies.  Some specialize in particular  Industries (agriculture)  Financial  Governmental  Employee relations  Sponsorship  Exhibitions  Corporate hospitality PREPARED BY :MS GOMALA SUKUMARAN
  8. 8. HIGHLY SPECIALIZED SKILLS Public speaking Training for media interviews Press release design Production and distribution PREPARED BY :MS GOMALA SUKUMARAN
  9. 9. CLIENT RELATIONSHIP Consultancies are flexible. They can offer exactly what management specifies. PREPARED BY :MS GOMALA SUKUMARAN
  10. 10. CONSULTANCIES..CAN…  Be the Public Relations department of an organization  Support an in-house Public Relations manager with advise on strategy but a focus on tactical issues.  Focus only on handling Public Relations tactics.  Provide a sub-specialist service. PREPARED BY :MS GOMALA SUKUMARAN
  11. 11. CONSULTANCIES..CAN.. Be appointed for a long period, or brought in to handle a specific need. PREPARED BY :MS GOMALA SUKUMARAN
  12. 12. CONTRACT  A legal contract is essential.  This protects both the organization and the consultancy because it spells out exactly :  What the relationship is to be  For how long it will last  How it may be terminated  What the fees will be  How they will be paid PREPARED BY :MS GOMALA SUKUMARAN
  13. 13. CONSULTANCY ROLE  To provide client management with communication expertise in the form of counseling and active communication skills in order to further the interests of the client organization or individual within the constraints of the IPR Code of Conduct. PREPARED BY :MS GOMALA SUKUMARAN
  14. 14. CONSULTANCY FUNCTION  To advise the management of client organizations of the most cost-effective and efficient means of achieving identified communication strategies and tactics, and to implement strategic and tactical plans in order to achieve those objectives. PREPARED BY :MS GOMALA SUKUMARAN
  15. 15. STRUCTURE  A Public Relations consultancy sells the knowledge, skills and talents of its staff.  It has no tangible product.  It is, in this way, operating like a lawyer.  Public Relations consultancies can be small and compact.  They can be large and complex. PREPARED BY :MS GOMALA SUKUMARAN
  16. 16. CONTINUED…  Expensive and impressive offices are not needed when the face-to-face work is done in the client’s offices on or neutral territory, so the focus tends to be on impressing the client through the tangible things. PREPARED BY :MS GOMALA SUKUMARAN
  17. 17. CULTURE  No Public Relations consultancy can work on standard office hours.  These provide a basis for the working day, but Public Relations is a deadline driven occupation. PREPARED BY :MS GOMALA SUKUMARAN
  18. 18. CONTINUED…  It is approach to working that takes a lot of people by surprise, since nobody really cares what time work starts or stops.  The judgment is always :  Did we meet the deadline ?  Was the client happy ?  Did we charge correctly ? PREPARED BY :MS GOMALA SUKUMARAN
  19. 19. FUNCTIONAL Provides for organization by what people do. Providing the structure is simply for administrative convenience. PREPARED BY :MS GOMALA SUKUMARAN
  20. 20. CHART PREPARED BY :MS GOMALA SUKUMARAN
  21. 21. CLIENT  This recognizes the importance of the client and organizes around clients and the services they need.  In some consultancies the organization may be around markets, with several clients served by each market group.  Note that in both organization, the administrative team has been separated. This is the only unit is focused internally – its members will join with the others when needed to complete the job
  22. 22. CHART PREPARED BY :MS GOMALA SUKUMARAN
  23. 23. FEES  Public Relations consultancies are in the business of making profits.  Normally they aim to make a return of between 10% and 20% on income.  In other words , for every RM 100 000 of income they try to have RM 20,000 left when all expenses have been paid. PREPARED BY :MS GOMALA SUKUMARAN
  24. 24. EXPENSES…INCLUDE  Salaries and wage costs  The Public Relations Consultants Association (PRCA) have estimated that salaries account for some 50% of all costs.  This is because Public Relations is a people business, and talented people cannot be hired cheaply. PREPARED BY :MS GOMALA SUKUMARAN
  25. 25. CONTINUED…  Equipment  State of the art equipment is needed and the necessary hardware and software must be constantly upgraded.  5 % goes into this area PREPARED BY :MS GOMALA SUKUMARAN
  26. 26. CONTINUED… Running expenses Support costs for the office , travel, can run as high as 20 % PREPARED BY :MS GOMALA SUKUMARAN
  27. 27. CONTINUED… Rent Even standard offices are not cheap, especially if they need to be in commercial centre. About 5 % PREPARED BY :MS GOMALA SUKUMARAN
  28. 28. CONTINUED… Taxes Of the remaining 20% around a third will go in tax. PREPARED BY :MS GOMALA SUKUMARAN
  29. 29. CONTINUED…  Balance  If these cost breakdown are accurate, about 13% is left as profit to cover loan repayments, shareholder dividends. PREPARED BY :MS GOMALA SUKUMARAN
  30. 30. PUBLIC RELATIONS IN-HOUSE OR THROUGH CONSULTANCY The two ways in which an organization can organize its Public Relations activity In-house consultancy PREPARED BY :MS GOMALA SUKUMARAN
  31. 31. IN-HOUSE  An in-house Public Relations manager will probably call on a Public Relations consultancy from time to time – but only to support, to provide special skills or to help out in times of pressure .  The focus, the leadership will be inhouse. PREPARED BY :MS GOMALA SUKUMARAN
  32. 32. LEVEL OF PUBLIC RELATIONS  Strategic  Where advice is given to top management in the formation of the mission and corporate objectives  Tactical  Where the public relations programmes are implemented. PREPARED BY :MS GOMALA SUKUMARAN
  33. 33. QUALITY  It should go without saying that a quality Public Relations service can only be delivered by quality people.  Whether in-house or through consultancy the need is to hire the best you can afford.  Having hired the best is then essential to let them do their job. PREPARED BY :MS GOMALA SUKUMARAN
  34. 34. CONTINUED… Public relations is a specialist subject, which requires a subtle approach. It is a long-term, on-going activity and the budget and management controls must allow for this. PREPARED BY :MS GOMALA SUKUMARAN
  35. 35. PREPARED BY :MS GOMALA SUKUMARAN
  36. 36. ADVANTAGES 1. Public relations staff are employed by the organization. They :  Identify closely with the aims and objectives of the organization  Have a personal stake in the organization success.  Do not need to refer – or if they do, it is relatively easy because they have access  Are close to the decision makers PREPARED BY :MS GOMALA SUKUMARAN
  37. 37. CONTINUED…  Can offer a 24- hour service  Can move freely around an organization  Can form internal networks with employees from across organizations. 2) Internal communications can be set up throughout the organization 3) Continuity may be improved because internal staff probably tend to be more stable in employment than consultancy staff. PREPARED BY :MS GOMALA SUKUMARAN
  38. 38. DISADVANTAGES  Staff can  Too closely identify with their product offering (the mirror effect).  Become biased in favor of their organization.  Have only a narrow range of experience.  On be in Public Relations as part of an on-going personal development programme, and therefore may not have commitment, knowledge or long-term interest.  Be limited in their aspirations : they may see their longterm careers elsewhere in the organization PREPARED BY :MS GOMALA SUKUMARAN
  39. 39. CONTINUED…  If there is not a full Public Relations department, the function may be allocated to another manager.  He may  Have little interest in Public Relations  Have little Public Relations knowledge  Give priority to his “real” job.  Use Public Relations as a way to get out and have fun, without doing the background work needed to make an event success PREPARED BY :MS GOMALA SUKUMARAN
  40. 40. CONTINUED…  Public Relations may be used as a training and development activity for “fast-track” managers.  The Public Relations manager may not be suited to the task. He will have been appointed by non-Public Relations people, and they may have made a misjudgment. PREPARED BY :MS GOMALA SUKUMARAN
  41. 41. PREPARED BY :MS GOMALA SUKUMARAN
  42. 42.  There is no long-term commitment to employed staff.  Costs are directly related to the work done  The budget can be agreed in advance.  Budgets can quickly be changed as necessary. PREPARED BY :MS GOMALA SUKUMARAN
  43. 43.  The Public Relations people have current experience in the markets. They:  Work for other clients  Commission more work than an in-house department  Have a range of useful contacts  Can call on immediate assistance from highly qualified colleagues  Can bring freelance help as needed. PREPARED BY :MS GOMALA SUKUMARAN
  44. 44.  Their range of equipment, and support services, is likely to be better since it has greater use made of it.  They can provide one or more limited services, such as central information service, or a service to do with a specific overseas market.  Their contacts can be terminated quickly if necessary. PREPARED BY :MS GOMALA SUKUMARAN
  45. 45.  Consultants will have limited knowledge of the     organization and its products. Access is difficult, especially to secure areas. Identification is with the consultancy, before the client. Staff turnover ay be higher than in-house Complex or difficult queries will have to be referred to an organization's manager before the media can be briefed. PREPARED BY :MS GOMALA SUKUMARAN
  46. 46. PREPARED BY :MS GOMALA SUKUMARAN
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