Thursday, June 21, 2012

Applied Strategy - Practitioner - Managing Your Company's Image

Managing Your Company's Image - Communication and social medical strategy

Author: Chris Klopper
Source: Manager: British Journal of Administrative Management; Summer2010, Issue 71, p15-17
Harvard Business Review
Business Source Complete
ISSN:13535188
Accession Number: 52955072

 The article by Chris Klopper titled “Managing Your Company’s Image” stresses the importance of good communication internally and externally through social media. Strategic senior managers need to develop ways to use social media to shape their company’s image to retain customers, employees and shareholders. Klopper states that focusing on communication can be the turning point of an organization’s success or failure. He also states that marketing should not just be viewed as an expense but as a vital resource to achieve higher profits.

Research by the Harvard Business Review showed the effects of lowering marketing and communications budgets to save money. They concluded that companies should not follow the trend of cutting back in those areas just because the competitors are doing so. At those times when other companies are not advertising it is an opportunity for your company to steal the spot light.

Joining online communities such as Face book and Twitter is one way to create an image for your company as a type of advertisement. Managers can choose what information they wish to share with the public and how they would like to present the organization. Providing a history of the company, listing its values and beliefs and having additional information available creates “transparency which subsequently encourages honesty and authenticity” states Klopper.

Benefits of having an online community within an organization were presented by IBM. Research found that employees felt it was a great way to exchange supportive criticism, answer questions and “feel the pulse of the company.”

For practicing managers I believe it is important to develop a strategic plan for how you would like to present your company to the public and to the employees. Having a good image in the community can bring more customers, investors and keep valued employees. Managers should not view marketing and communications as expenses that can be cut without consequence but rather a way to increase revenue.


7 comments:

  1. I think companies that use Facebook are smart. It is a great way to provide the community with information and receive feedback. It is a good way to advertise without spending money. You can quickly get information out to the community as well.

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  2. I completely agree with you Jennifer. Joining Facebook and Twitter are now a necessity for most businesses. People are constantly connected with these two social communities and use them to make decisions.

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  3. Social media is a great resource for a company to use. But I think that it can be risky also. People can rely on social media heavily from day to day so information can be distributed very quickly. But that goes for good as well as bad information. Sometime customers can make commments about a company that can deter future customers. But I do agree with the article that marketing should not be taken for granted. In my opinion that is at the top of the list for things that help a company to grow and thrive. Although carefully strategized marketing is most important. Since image is the start of the customers formed opinion, whatever is presented about the company should be clear and concise so there are no misunderstandings.

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  4. A company's image in an extremely important one in today's world. A few years ago I worked at a restaurant and managed that restaurants social media pages. I was surprised to see how many of our guest actually "liked" our page and was even more thrilled about the extra revenue that was brought because of our Facebook page. We would post daily specials on our page that was available only to our social media fans and to redeem the discount, all a guest had to do was mention the fact that they saw our special on our page and the discount was granted. It's cheap advertising that has a big impact.

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  5. I think the modern day earthling (if living in a cicilized area) is so used to using their smart phone that life woudl be totally different without it. I know I find myself going to one store over the other just because I can view their products on the website. I see a business that I have worked at for a few years struggle because the owners refuses to join the 21st century and make a website. Things like face book, twitter, instagram, google and whatever else are a way a life now and for your business to succeed you need to be accessible on these.

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  6. I agree that a company's image is a very important for the success of a business. If others do not know who you are, then you can not make profits. As a realtor/broker, that is one thing I have never done. It has hurt me greatly because I am not recognized like Century 21 or ReMax. I work off referrals. My Real Estate business has been stagnant because of this situation. I am currently looking to work for a recognized company becasue my costs would be lower and my profits will be higher becasue I will have access to more marketing.

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  7. I am glad to see that everyone agrees how important a company's image is for it to be successful. It is true that they must be very careful on what information they publish. If done incorrectly certain information may hurt a company as well

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