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A strong central communications function also acts as a protector and promoter of the corporate brand, and shows how it can give added value to a subsidiary's business. But it stretches beyond that: it is about educating all management into the relationship of the corporate brand with all the relevant parts of the company. As Jan Shawe, director of corporate affairs at what was then Reed International, argued. all senior management should have this element of corporate awareness in their make-up: 'I think they should be broadly numerate, they should have an idea of human resources and how to make the best of people. and they should have an eye for the company's public face.'
That means the head of communications has to be listened to.
Terrence Collis, former director of public affairs at Vickers. believed the best way to earn the respect of other managers in a company was by proving how effective the role can be. He earned his spurs by being instrumental in helping Vickers fight off a predator, and by playing a major role in the campaign to win a major defence order from the UK government (see Case 3.2). The company underlined how important it considered his function by putting Collis on the executive committee.
Case 3.2 Vickers, 1992
In 1992 Vickers was a medium-sized engineering group involved in defence, automotive, medical and marine activities. The chairman and chief executive, Sir David Plastow, made effective communication a central plank in the way Vickers functions. To this end, Vickers was one of the few companies where the director of public affairs. Terrence Collis, had a full seat on the executive committee, which comprised the main board directors plus three other directors. including Collis. Collis was one of the few senior communications officials who not only had clout, but who was seen to have it. Why did Plastow include him?
'Several reasons. We need to have stable and consistent signals going to various groups. Investor relations is at the top of the list. Then we have to have regular well-informed presentation of the company in the context of customers all over the world. Thirdly, there is presentation to interior audiences as well.
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And we can't do it without having him in that position. I have seen other places were the public affairs role means writing a press release and big news gets suddenly thrown at the media relations department. I don't know how you can work that way. Terry's office sits literally between the finance director and mine. So he is into everything fully. There are no secrets. Though he is not on the board, he has a regular slot to appear there. There are no surprises for him - and he can come back to me and influence what we get up to.'
Collis was called public affairs director but reckoned. like Chris Davidson at Guinness, that it was more a question of semantics than anything else - although his role was far more than 'chief public relations man' in the old-fashioned sense. Because he sat on the executive committee and had responsibility for public affairs/relations throughout the group. whether directly or by dotted line into the product divisions, he could ensure a consistency of message in what is a quite diverse company. Collis commented: 'There are standing orders about what they do and what they have to tell me about, like anything that may hit the nationals and may affect the share price. The worst thing for a public relations man is not to know. If a journalist calls. you never want to be embarrassed .'
An important way to keep in touch with the communications network was a two-day workshop with up to 20-odd people run once a year by someone from the outside. Both people in public relations and those in parallel areas like marketing came along and discussed anything from very basic concerns to more philosophical issues. He also got involved in executive briefings, while trying to inculcate what he called the 'David Plastow philosophy of public relations' into the operating businesses: 'It takes time. They can be unwilling to put resources into public relations because they don't see the long-term benefits. And I can't make them. I would rather do it by influence, by convincing, by discussing. I cannot just be the chairman's mouthpiece. There has 10 be mutual respect.'
Collis believed that the effectiveness of this approach was demon strated not only by research that shows Vickers was rated highly by I he City as a company with good communications, but also 1110rl: concretely by success in two major campaigns in which he was deeply involved: II fierce proxy battle with New Zealand share raider Sir Ron Brierly lit lilt' Vickers 1990 annual general meeting, and the winning of a major ordl'l for Challenger tanks from the government. In both cases, said ('ollis, 'The important thing was to keep a grip on what is being said lind whn is saying it. The fewer people between the people making the dl:cisilln~ in the company and the audience the better.'