The document outlines Hans Koeleman's plan to transform the corporate communications department at KPN from 2007-2010, including developing a clear vision and mission, getting the basics of internal communications and CSR right, creating team accountability through strategic initiatives and measures, and transforming the team through a new organization and way of working.

1. Be accountable for a change
Kremer Executive namens NIMA
Marion Kremer
Rotterdam, 3 november 2009

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2

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3

4. Today
• Accountability
• Accountability for corporate communications
• The question of KPN
• The case KPN (by Hans Koeleman Director corporate communications KPN)
• Closing
4

5. Senior executives rated their ability to develop, plan, and execute
strategies for growth and this was the result:
Strategy Planning Implementation
Ability to develop growth Ability to plan end-to-end Ability to execute quickly
initiatives implementation and stay ahead of
competitors
63% 30%
Strong Strong
Source: Innovation & Growth Survey, March 2006; The Economist Intelligence Unit
Change is needed
5

6. Our vision to implement a strategy
Change way of
working
Reporting
Controle
Correct
Implementation
strategic
instruments
6

7. What does this mean?
Change way of working Instruments
Accountability Research, online dashboards
targetsetting, planning, for (realtime) insight of targets,
budgettering and reporting activities and results
management
Planning and visibility of
Alignement of activities and management information
strategic goals
Conversion and progress
Development of knowledge monitoring and optimisation of
centers and learning loops activities
7

8. Continued Relationship Fact-based Determinator
monitoring of between working as for influence
the activities targets and the standard on company
results policy
Accountability
* De invloed van marketing in Nederland, onderzoek van Leeflang, Verhoef RUG, 2007) 8

9. Accountability model
AccountabilityScan
Strategic Target Pyramid
Measurements
Reporting Management Line
Change way of working
Procesimplementation
9

10. Accountability model
AccountabilityScan
Strategic Target Pyramid
Measurements
Reporting Management Line
Change way of working
Procesimplementation
10

11. Accountability for corporate communications
Accountability is new and scary for the
traditional field of corporate
communications
No one has real experience with the set
up and implementation
11

12. Central question KPN
Help me to put the corporate
communications department
back in a central position
within the KPN organization
Conditions
This should be done with a dramatically
lower budget and lower # of fte’s
Solution should be practical and easy to implement
12

13. Which steps did we identify?
Clear Get the Create team Transform
Status Quo action basics right accountability the team
plan
Permanently monitor the progress
13

15. Reputation Management at KPN
Transforming a communications team
Hans Koeleman
Director Corporate Communications
3 november 2009
15

16. Contents
• Status quo 2007
• Develop clear vision and mision corporate communications
• Get the basics right
• Create team-accountability
• Transform the team
• Permanently monitor the progress
16

17. Status Quo 2007
17

18. Key findings first month
The company The image of KPN
• Good willing people with a green hart • Darling of the financial world
• Strategy unclear for customer/employee • Elsewhere: Solid, not sympathetic
• Leadership not inspiring and remote • Closed, sending not listening
• Employee engagement insufficient • Focused on shareholders, not customers
• Communication not customer focused • Responsibility and societal role not visible
• A group of islands, no execution power • Reliable, not innovative or leading
Communications department Activities Communications
• Many projects, but are we doing the right • Strong in crisis communication
things? • Business gets insufficient support
• Not many ‘leading professionals’ • No strategic internal communications
• Disconnected from business, strategy, • In need of more strategic clever PR
Board/management and key issues • Products (website etc.) need improvement
• Lots of plans, but no hands-on ownership • Solutions need to be more clever and effective
• No support for the business with its fight in the
market place, wrong focus
18

19. Top ten most valued brands in the Netherlands 2007
1. Google
2. Pickwick
3. Kruidvat
4. Albert Heijn
5. Nokia
6. Blokker
7. Hema
8. Douwe Egberts
9. Senseo
10. Postbank
19

20. KPN expressed as a person
“He’s got a family but
“Not a friend but
first puts it down in his
could be a colleague
diary whenever he’s
at work”
going to spend time
with them”
“Not unpleasant but
very businesslike” “Dull kind of guy,
could do with a bit of
spark”
20

21. Our reputation: how it looked in 2007
Which elements can we improve?
High appreciation of strategy, but we need to take
care we deliver on expectations
Price/quality perception: maintained vigilance needed
Moderate appreciation by professionals.
Still not friendly, transparent and non-bureaucratic.
Staff want equal opportunities and involvement.
Slight increase
(+1.9 vs. Q4) KPN is changing but isn’t very innovative
Slight increase
(+1.4 vs. Q4) Openess and transparency must improve
Slight OK, we’re # 1 in the market but
increase vision & leadership remain
Almost (+2.9 vs. Q4) inadequate Responsibility for what goes
identical
(-0.1 vs. Q4) Slight on around us and influence on
decrease Slight society not visible
(-0.9 vs. Q4) increase
Slight
(+3 vs. Q4)
increase
(+2.2 vs. Q4)
Performance Products Workplace Innovation Governance Leadership Citizenship
21

22. We were not a socially involved company
Status at the end of 2007
• No strategic CSR policy
• Not ‘best in class’ in sustainability indices
• Internal survey: KPN CSR performance needs upgrading
• Low score on GRI sustainability reporting benchmark
• Increasing pressure from external stakeholders
22

23. Action plan 2007
23

24. Action plan 2007
Performance
• Defining strategic focus areas
• Driving new initiatives
• Building operational excellence
Transforming the team
• Defining new ways of working
• Reorganizing and start new team in 2008
• Raising team to best in class
24

25. Strategy base and focus
The five strategic vehicles for corporate communications:
1. Make ‘the new KPN’ strategy crystal clear
1
2. Increase engagement and sympathy
2 Company
and its
Businesses
3. Facilitate transformation to ‘the new KPN’
3
4. Position business leaders
4
5. Raise team to best in class
5 Department
25

26. Repositioning KPN as a service leader
KPN as a true consumer company, closer to its customers,
its employees and to society.
Increased
sales
Customers
Proud
recommend
employees
KPN
Appealing Management closer Corporate Social
Clear strategy
KPN Brand to employees Responsibility
‘Back to
growth’
Value
2008-2010
Growth
‘Attack-Defend-
Exploit’
2005-2007
Profit
‘Turnaround’
2002-2004
Cash
Time
26

27. Vision: what perception does a new KPN need?
That likeable Dutch brand people want to identify with
Customers • With simple and transparent solutions that simplify our
customers’ lives. First rate service that’s right first time.
Employees • With a personal, open and carefully targeted approach that
results in dedicated and enthusiastic staff.
Shareholders
• With a crystal clear and credible strategy that generates
growth.
Society • With a clear and active social positioning that’s anchored in
society at large.
27

28. Vision: how will this new KPN communicate?
1. Active and aggressive [We ourselves determine the agenda so that we take charge and
create the preconditions for responsiveness.]
2. Using our strengths and opportunities [Construction and communication are
opportunistic and offensive, drawing on our strengths and opportunities.]
3. Customer perspective is leading [We communicate from the perspective of customer
relevance. So our starting point is: the customer is always right.]
4. Open to the outside [We open ourselves up to the outside world and invite it in as well.]
5. Personal [We personalize our communication and invest both company and strategy with
maximum recognition.]
28

29. Get the basics right
29

30. Get the basics right
• Create a result driven and efficient team
• Solve the main issues
– Introduce new framework internal communications
for media and face tot face
– Renew the CSR approach
– Solve main issues of the board
• Select the key monitoring instruments
30

31. Concept: the rationale
The KPN1 concept stands for simplicity and ambition and
takes the existing brand values and promises to a higher level
Personal • human
• contemporary
Simple • recognizable images
• wording that is easy to understand
Confident • transparent
• invites interaction
31

32. Media
Magazine Digital news source Specials Face to face
(part of Agora) (additional)
• 6x per year • Daily paper on Agora • No fixed format • Management Café’s
• 4 versions (1 gen./ 3 • Text, pictures, audio for use in • Board visits
divisions) and video; basis special projects • Dialogue sessions
• 32 - 40 pages content for Narrowcasting, (example: • Story Telling
• Focus on strategy, Mobile/PDA, RSS, project ZM
brand values, Podcasts Customer
context • Focus on news Orientation)
Mobile / PDA TP 9
Narrowcasting
32

33. Intranet
33

34. Chat Top 600
34

35. Chat all employees (english version)
35

36. Management communication: Storytelling
From strategy to personal
1. Wording
We shape our
stories and
afterwards they
shape us
3. Anchoring 2. Telling
Listening and learning, Stories and Examples,
Dialogue Town hall meetings
36

37. Key monitoring instruments
Recognition of the board
Employee involvement
Reputation
Overall 09 08 07 Overall ICT & Telecom
Shell 1 2 2 1. Philips (2) 1. KPN (1)
Rabobank 2 3 3 2. Shell (3) 2. Capgemini
Philips 3 1 1 3. Rabobank (2)
KPN 4 5 6 (1) 3. Microsoft (3)
ING Groep 5 4 4 4. Unilever (5) 4. IBM (n.b.)
Ahold 6 7 8 5. ING (4) 5. Vodafone
6. KLM (6) (n.b.)
Unilever 7 6 7
KLM/Air France 8 8 9 7. Heineken (8)
ABN Amro 9 12 5 8. Ahold (10)
External listings DSM
AkzoNobel
10
11
14
9
12
11
9
10.
Politie (12)
TNO (11)
Achmea 12 17 16 11. KPN (15)
Microsoft 13 11 10
NS 14 21 29
Heineken 15 13 14  Intermediair meet de favoriete werkgevers onder
37
hoogopgeleiden tot 10 jaar werkervaring

38. Create team-accountability
38

39. Activation of strategy into new initiatives and
Operational Excellence
Strategies Measures Tactics Design owners
1. Position strategy • Greater client 1.1 Strategy and mission Marinus
and brand support in brand 1.2 Corporate website Hans
research 1.3 Communicate strategy and improve brand Marion
2. Increase sympathy 1.4 Annual Report, CSR Report, Annual Review Hans
• Several (media) 2.1 CSR action plan Hans
3. Increase employee appearances on 2.2 Sponsoring Marion
involvement leadership 3.1 Internal Communication project Hans
3.2 Translate strategy and brand for personnel
4. Facilitate • Employee 3.3 Intranet as place for active employee participation
transformation involvement +20% 3.4 Involve employees in CSR specification
4.1 Change management /culture
5. Project leadership • Stakeholder 5.1.1 HR Chantal
reputation to top 10 5.1.2 ZM change management Ingrid W
6. Develop into top 5.1.3 WSO IC change management Ingrid W
department 5.1.4 CM IC change management Marion
5.1.5 IT NL Chantal
4.2 Internal leadership conference Chantal
5.1 ZM external mission Ingrid W
5.2 CM external Marion
6.1 Corporate Center reorganization Hans
6.2 Redesign KPN internal processes Corinne
39

40. Transforming the team
40

41. Starting points for reorganization
Building from a solid base
1. Media relations
2. Issues management and directing
marketing PR
3. Executive communications
4. Internal communications
5. CSR
New way of working: Keep it simple
1. What we do and don't do
Vision Mission Spearheads 2. How we are organized
3. How we treat our customers
4. In our chosen solutions
5. One -time fix
Employees with other competences
1. Understanding the business
2. Professional discussion partners
3. Result achievers
41

42. The core competences we expect in our people
Uncomplicated
Expertise Committed
42

43. We are looking for this behavior in our employees (1/3)
Uncomplicated: in approach, activities and solutions
Perceivable behavior
• You will always link a solution to your analysis
• You will always take full ownership of your projects
• You will direct your project from a to z
• You will help customers without always wanting to do everything
yourself
• You will communicate directly, simply and with clarity
43

44. We are looking for this behavior in our employees (2/3)
Expertise: recognized professionals in communications
Perceivable behavior
• You will endeavor to be the best in your field, for the benefit of KPN
• You will take responsibility for the quality of the results you deliver
• You will ensure that others accept you on the basis of your added
value as a professional
• You will act independently based on trust
• You will take a systematic approach towards the customer and your
colleagues
44

45. We are looking for this behavior in our employees (3/3)
Commitment: to KPN as well as your CC colleagues
Perceivable behavior
• You are the department!
• You will operate in line with the Corporate Communications Strategy
• You will initially take the customer’s point of view in order to provide the
most effective help
• You will actively contribute to the development of KPN, yourself and
your colleagues
• You will build structural contacts with colleagues and customers
45

46. Team – engagement program
Objective
Build better business results via a high performing team with a clear
and common goal.
Strategy
• Building committment: to goal and to each other
• Creating openness: trust, asking and offering support, building an
environment where feedback is seen as a good way to grow
• Building leadership: pro-activitity, consciousness of own behaviour,
responsibility to keep looking and acting on this
46

47. How?
• Build on the 3 strategy elements and growing self awareness
• Provide consistency and peace of mind in the process
• One trainer who is known and trusted throughout the team
• Use the increased awareness to build further focus in the team
(to have clear follow-up and produce concrete results)
47

48. Teambuilding program sessions 2008-2009
November: MT • Personal/business experiences
February: Consultants • Communication in the team
• Common appealing team vision
April: Project team
• Q&A and feedback to MT
June: Total team
• Workshops on team vision
• Understanding each place in the team
MT
• Committment to vision and feedback
48

49. Permanent monitoring of progress
49

50. Disciplining: CSR Governance KPN Group
Staff: Chair: Businessowner: Businessowner: Businessowner: Businessowner: Businessowner: Businessowner: Businessowner:
Communications Member KPN ZM KPN CM KPN W&O Getronics Getronics E-Plus KPN Group
Director Executive MT member Internet Director Datacenters Marketing Director Belgium
CSR manager Board Director Director manager Director
HR manager
Program Director:
People connected
Program Director: Target Setting
The New
Reviewing
Way of Working
Reporting
Program Director:
Responsible
energy use
50

51. Mid term results CSR
People New way of Responsible
connected working energy use
→ 1,800 visitors →> 11,000 KPNers →53% Green Power
Resto van Harte Telework enabled
→well underway to
→ ~7,000 senior citizens →1,000 KPNers over to achieve 20%
→ 1,000 volunteers New way of working reduction in 2020.
2008 → 2009
• Employees engagement 71% → 77%
• KPN is a socially responsible company 64% → 77%
• CSR is higher on KPN’s agenda then a year ago 47% → 60%
51

52. Other stakeholders research
MT 500 Intermediair
Overall 09 08 07 Overall ICT & Telecom
Shell 1 2 2 1. Philips (2) 1. KPN (1)
Rabobank 2 3 3 2. Shell (3) 2. Capgemini (2)
Philips 3 1 1 3. Rabobank (1) 3. Microsoft (3)
KPN 4 5 6 4. Unilever (5) 4. IBM (n.b.)
ING Groep 5 4 4 5. ING (4) 5. Vodafone (n.b.)
Ahold 6 7 8 6. KLM (6)
Unilever 7 6 7 7. Heineken (8)
KLM/Air France 8 8 9 8. Ahold (10)
ABN Amro 9 12 5 9 Politie (12)
DSM 10 14 12 10. TNO (11)
AkzoNobel 11 9 11 11. KPN (15)
Achmea 12 17 16
Microsoft 13 11 10
NS 14 21 29  Intermediair meet de favoriete werkgevers onder
Heineken 15 13 14 hoogopgeleiden tot 10 jaar werkervaring
52

53. Employee Engagement survey mid term 2009
KPN employees engagement: from 71 to 77%
KPN is a socially responsible company:
CC 2008: 70 %
CC 2009: 83 %
KPN 2008: 64 %
KPN 2009: 77 %
CSR is higher on KPN’s agenda then a year ago:
CC 2008: 69 %
CC 2009: 77 %
KPN 2008: 47 %
KPN 2009: 60 %
53

54. Engagement Corporate Communicatie
Highlights vs 2008
A lot needs to happen before I seriously +29%
look for another job outside KPN (significant)
Management’s decisions are in line with
+25%
our care values and norms
I am proud to work for KPN +19%
I would recommend KPN as a great
+18%
place to work
KPN values it’s most talent employees +17%
54

55. So take care of the accountability of corporate communications
Focus
Visibility
Success
55

56. Accountability of corporate communications
More then only monitoring of results
Change way of working
Clear and measurable strategy
Set aligned targets
Use learning loops
Result driven team
Start basic
56

57. Dank voor je aanwezigheid!
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