Communication Department Organizational Design - International ...

IABC 2010 World Conference: Session T 7 – Tuesday, June 8 th 2010
Additional Information Text
Communication Department
Organizational Design
Preliminary Findings from an International Study
FUNDED BY:
CHAPTER LOGO AREA

• Krishnamurthy Sriramesh Ph.D. / New Zealand ­ is professor of
public relations in the School of Business at Massey University
• Fraser Likely M.A. / Canada ­ is president and managing partner
of Likely Communication Strategies Ltd.
• Maria Aparecida Ferrari Ph.D. / Brazil ­ is associate professor of
public relations, advertising and tourism at Methodist University
• Bert Regeer / Netherlands ­ is vice president of communications
planning, operations and CI for Shell International B.V.
• Danny Moss Ph.D. / United Kingdom ­ is Bank of America
professor of corporate and public affairs at the University of Chester
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• To identify the factors that influence
communication department structure.
• To identify the communication department
structural models that seem to work effectively in
light of these factors.
• To identify if there is a link between communication
department structural models and the type of
organization, the size of the organization, an
organization’s culture and/or the organization’s
geographic location.
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• Literature Review
• Executive Interviews
• On­line Survey
ü http://formicweb.chester.ac.uk/webforms/?TAG=IABCinternational
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• The literature review draws on works from across a
range of disciplinary fields, including:
ü Organizational Behaviour
ü Organizational Strategy
ü Management
ü Communications and Public Relations
• Very limited attention has been paid to the role of
the communication function in the literature on
organizational structure.
• Much of the thinking about structural design has
taken a static snap shot view rather than examining
structural change over time.
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Organizational
Forms
Simple Forms
Unitary
U Forms
Multidivisional
M Forms
Matrix Forms
Market­based
Network Forms
Virtual/Hollow
Forms
Key
Characteristics
Direct close control of all functional activity by
head; top down control
Functional department organization; centralized,
hierarchical
Small HQ core with strong semi autonomous
divisions along product, brand or geographical
lines (each with own functions); decentralized
Functions and divisions, with dual reporting for
employees; integrated
Centralized core with outsourced functions and/or
divisions
May or may not have physical presence;
collaboration of a number of organizations
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• The topics of organizational and communication
departmental structure have received very limited
coverage within the academic and practitioner
communication/public relations literatures.
ü
Excellence Study
• Subsequently, there has been little research on the
range of new thinking about organizational
structures and their relation to communication
function structure within the communication/public
relations literature.
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• Executive Interviews
ü
ü
ü
ü
Over 25 interviews have been completed with
communication department CCOs, from profit and nonprofit
organizations.
CCOs are from organizations that have their headquarters
in various locales around the globe, with all 5 continents
represented.
CCOs are from a diverse group of organizations that work
in a great variety of business and non­profit sectors.
CCOs were chosen by reference, forming a convenience
sample ­ chosen based on factors such as participant
accessibility, availability and willingness to participate as
well as location.
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• Interview Question:
Which communication sub­functions report to you?
Directly? Functionally?
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• Interview Question:
Which communication sub­functions report to you?
Directly? Functionally?
ü For approximately 50% of the organizations studied, all
functions reported directly.
ü In 25% of the cases, communication functions located in
business units, regions and/or internationally reported
functionally.
ü In another 25% of cases, communication functions located
in business units, regions and/or internationally did not
report directly or functionally, but were independent.
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• Interview Question:
To whom do you report? Where does that person
rank in the organizational hierarchy?
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• Interview Question:
To whom do you report? Where does that person
rank in the organizational hierarchy?
ü Approximately 70% report right at the top
ü 25% report to an executive who reports to the top person
ü 5% report to a manager who reports to an executive who
reports to the top person
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• Interview Question:
How does the organizational structure for the
communication department relate to the
organizational structure for the organization itself?
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• Interview Question:
How does the organizational structure for the
communication department relate to the
organizational structure for the organization itself?
ü Parallels the structure more or less exactly: 65%
ü Entirely different structure: 30%
ü Hybrid, some parallels some different aspects: 5%
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• Interview Question:
What factors do you think have the greatest
influence on the communication function and
structure in your organization?
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• Interview Question:
What factors do you think have the greatest
influence on the communication function and
structure in your organization?
ü CEO/executive team influence: 45%
ü External environmental factors: 23%
ü Type of business/strategy of business we are in: 13%
ü Organization’s financial situation: 10%
ü Staff capabilities/competencies: 9%
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• Interview Question:
What was the rationale for your current
communication structure?
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• Interview Question:
What was the rationale for your current
communication structure?
ü Changes brought on relatively soon when new CCO hired
ü Changes enacted by CCO over time
ü Upsizing/downsizing changes in the organization
ü CEO direction
ü To have Communication more closely mirror organization &
its business
ü Reaction to external environmental factors
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• Interview Question:
How much of the communications work do you do
in­house and how much of it is done by consultants,
if at all?
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• Interview Question:
How much of the communications work do you do
in­house and how much of it is done by consultants,
if at all?
Communication work performed in­house:
ü 90% + in­house
ü 80 ­ 90% 15%
ü 70 ­ 80% 5%
ü 60 ­ 70% 15%
ü 50 ­ 60% 15%
ü Less than 50% 20%
30% of respondents
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• Interview Question:
In what way does the structure of the department
help to make the PR/C department a high performing
one?
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• Interview Question:
In what way does the structure of the department
help to make the PR/C department a high performing
one?
ü Its flexibility, allowing communication support at all levels:
corporate; business line; and region.
ü It enables good communication and information exchange
across the whole communication function.
ü It supports good and/or standardized management and
professional practices across the function.
ü It overcomes the barriers of an organizational structure that
is in silos, thus fostering organizational integration.
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• Interview Question:
What are the major trends relating to communication
department structure?
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• Interview Question:
What are the major trends relating to communication
department structure?
ü Structures that support staffing flexibility to move people
between units and teams
ü Structures that support communication as one integrated
function, with clear direct and functional reporting lines
that cross the organizational structure
ü Structures that support flexibility in staffing, to add and
subtract human resources as the need arises.
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• URL:
http://formicweb.chester.ac.uk/webforms/?TAG=IABCinternational
Thank you!
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