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Internal Communications Excellence:  Optimizing Group Structure & Operations                              1               ...
Table of Contents                 Table of Contents                                                 TOC Continued   •Proje...
Optimizing Structure Involves Integrated Practices &ApproachesThere are no perfect structures. “Form follows function.” Ne...
Universe of Learning: Internal CommunicationsParticipantsParticipants in this benchmarking research included 30 Communicat...
Internal Communications Organized to Cover EntireCompanyInternal Communications is organized functionally to cover all asp...
Labor & Travel Claim Lion’s Share of InternalCommunications BudgetsApproximately 50% of all Internal Communications budget...
Evolving Technology Essential for EffectiveCommunicationsOne communications leader based in Europe spoke of how new techno...
Building Bridges: Working With Colleagues         Note: The remainder of this study presents data from the perspective    ...
Universe of Learning: Internal & ExternalCommunications Benchmark Research ParticipantsParticipants in this benchmarking r...
Most Benchmark Partners Provided Insights forBoth Internal & External CommunicationsMost research participants work in lea...
About Best Practices LLCBest Practices, LLC is a research and consulting firm that conducts work based on thesimple yet pr...
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Internal Communications Excellence- Optimizing Group Structure & Operations Report Summary

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Internal Communication groups play an integral part in how organizations communicate with their employees regarding corporate issues, benefits and product news. This study reviews what internal communications activities and platforms leading organizations find most valuable and how communications groups are organized. It also explores the approaches internal and external communications leaders favor to work effectively with internal and external partners. Data are presented in two segments: Total Benchmark Class and Pharmaceutical Companies.

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Internal Communications Excellence- Optimizing Group Structure & Operations Report Summary

  1. 1. Internal Communications Excellence: Optimizing Group Structure & Operations 1 Copyright © Best Practices®, LLC BEST PRACTICES, ® LLC
  2. 2. Table of Contents Table of Contents TOC Continued •Project Blueprint- pg. 3 •Executive Summary: Benchmark Insights and Research •Internal Communications Service Levels: Trends In Group- pg.4 Activities That Inform the Enterprise- pg. 29 •Internal Communications Group Structures: Key Trends •Building Bridges: Working with Colleagues- pg. 42 •Working Effectively in The Integrated Pharmaceutical & Drivers of Sub-group Evolution- pg. 9 Network: Forging Accountability and Clear Roles Among •Internal and External Communications Group Models External Partners- pg. 51 and Structures- pg. 18 •Communicating the Value of Communications In a •Internal Communications Group Resource Benchmarks: Global Bio-Pharma Company- pg. 56 Key Staffing and Investment Trends - pg. 24 •Contact Information- pg. 61Copyright © Best Practices®, LLC Page - 2 BEST PRACTICES, ® LLC
  3. 3. Optimizing Structure Involves Integrated Practices &ApproachesThere are no perfect structures. “Form follows function.” New market pressures andlifecycle events compel structures to evolve. Optimizing structure reflects the integratedmanagement of units, people, process, technology, communications, incentives and othermanagement factors. 10. Assess 1. Realign to Performance, Support New “No institution can Refine & Corporate Continuously Goals, possibly survive if it 9. Optimize Improve Strategies Learning to 2. Fine-tune needs geniuses or Enhance Internal Group Performance Structure supermen to manage it. Internal It must be organized in 8. Manage / Communication: Coordinate Roles Evolving Structure to 3. Establish Service such a way as to be for a Fully Integrated Levels to Reflect Pharmaceutical Stay Relevant to Priorities & Resources able to get along under Network Changing Goals, Strategies 4. Integrate a leadership composed 7. Drive Long-Term Operations to Priorities & Respond Bridge BU’s, of average human to Ad Hoc Issues 6. Refine 5. Use Geographies & Talent Funding / Sub-Groups beings.” Management Budgeting Strategies & Process to -Peter Drucker Systems to Fit Reaffirm New Structure Alignments Copyright © Best Practices®, LLC Page - 3 BEST PRACTICES, ® LLC
  4. 4. Universe of Learning: Internal CommunicationsParticipantsParticipants in this benchmarking research included 30 Communications executives andmanagers at 26 leading companies from bio-pharmaceutical, healthcare and otherindustry segments. Copyright © Best Practices®, LLC Page - 4 BEST PRACTICES,® LLC
  5. 5. Internal Communications Organized to Cover EntireCompanyInternal Communications is organized functionally to cover all aspects of an organization orbusiness unit’s operations. About half the benchmark class is structured to support eitherthe entire business unit or corporation. Other factors influencing sub-group structureinclude Therapeutic areas and projects. Very few are designed to focus primarily on aproduct’s internal communications needs. Q11. Internal Communications Sub-Group Structure: Note all functional factors describing how your internal communications organization is designed. Total Benchmark Class Pharma Segment Enterprise-Wide Focus 48% Business Unit Focus 52% Business Unit Focus 33% Enterprise-Wide Focus 48% Therapeutic Area Focus 32% Therapeutic Area Focus 38% Matrix Model 28% Project Focus 29% Project Focus 28% Matrix Model 24% Product Focus 12% Product Focus 14% % of Companies % of Companies (n=25) (n=21) Copyright © Best Practices®, LLC Page - 5 BEST PRACTICES, ® LLC
  6. 6. Labor & Travel Claim Lion’s Share of InternalCommunications BudgetsApproximately 50% of all Internal Communications budgets go to staff salaries and fieldtravel. Key points of budget allocation variance lie in the relative amount of spend for non-labor support systems: The Pharma segment invests 20% here versus 7% at the multi-industry benchmark class. Q28. Labor & Non-Labor Resource Allocations: Estimate the percentage of total budget allocated to each labor and non-labor category. Total Benchmark Class Pharma Segment Other 9% Other 12% Corporate allocations 7% Corporate allocations 22% Internal labor Internal labor 41% 42% Non-labor support systems 20% Non-labor support systems 7% Field Travel & Outsourced Field Travel & Outsourced Lodging 9% labor 9% Lodging 10% labor 12% (n=7) % of Respondents % of Respondents (n=5) Copyright © Best Practices®, LLC Page - 6 BEST PRACTICES, ® LLC
  7. 7. Evolving Technology Essential for EffectiveCommunicationsOne communications leader based in Europe spoke of how new technologies were vital tomore effective communications between teams separated by time zones. “Between 70 and80% of communications is non-verbal so just sitting on the end of a phone makes it quitedifficult when you want to put a point across,” she said. “We have iPhones, some of us anyway, and that does make a big difference because it’s really easy to edit on the go and review documents, which does make a big difference actually.” – Director, External Communications “We’ve just got laptops with cameras in them installed in the laptop and I think that’s the next thing. Once we get the laptops cracking, then in theory we can be at home and have the video and there’s something about a virtual meeting that feels more conducive.” – Director, External Communications Copyright © Best Practices®, LLC Page - 7 BEST PRACTICES, ® LLC
  8. 8. Building Bridges: Working With Colleagues Note: The remainder of this study presents data from the perspective of the Communications function, and thus Internal and External Communications responses are combined. Copyright © Best Practices®, LLC Page - 8 BEST PRACTICES,® LLC
  9. 9. Universe of Learning: Internal & ExternalCommunications Benchmark Research ParticipantsParticipants in this benchmarking research included 39 Communications executives andmanagers at 33 leading companies from bio-pharmaceutical, healthcare and other industrysegments. Copyright © Best Practices®, LLC Page - 9 BEST PRACTICES,® LLC
  10. 10. Most Benchmark Partners Provided Insights forBoth Internal & External CommunicationsMost research participants work in leadership roles in the Communications function andthus were able to answer for both Internal and External Communications. Q2. Please note for which groups you are able to respond. Total Benchmark Class Pharma Segment Both Internal and Both Internal and External 59% External 58% Communications Communications External External 23% 24% Communications Communications Internal Internal 18% 18% Communications Communications % of Companies % of Companies (n=39) (n=33) Copyright © Best Practices®, LLC Page - 10 BEST PRACTICES, ® LLC
  11. 11. About Best Practices LLCBest Practices, LLC is a research and consulting firm that conducts work based on thesimple yet profound principle that organizations can chart a course to superior economicperformance by studying the best business practices, operating tactics and winningstrategies of world-class companies. Best Practices, LLC 6350 Quadrangle Drive, Suite 200, Chapel Hill, NC 27517 www.best-in-class.com bestpractices@best-in-class.com Telephone: 919-403-0251 Copyright © Best Practices®, LLC Page - 11 BEST PRACTICES, ® LLC

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