wilcox ppt chapter04

Copyright © 2012, 2009, 2007 Pearson Education, Inc. All Rights Reserved.

Chapter 4

Public Relations Departments and Firms


Chapter 4 Objectives

Understand the role and functions of a public relations department

Be more knowledgeable about the staff function of public relations

Understand the structure of a public relations firm and its various activities

Know the difference between working in a department and working in a firm


BEFORE: primary objectives were promotion and publicity

NOW: complex and dynamic process of negotiation and compromise with a number of key publics

Public Relations Departments


Corporate Structure Shapes the Public Relations Role

The role of public relations in an organization often depends on The type of organization The perceptions of top management The capabilities of the public relations executive

The differences between large and complex organizations and small-scale organizations


Having Influence is Based on Four Factors

Perception of value by top management Practitioners taking on the managerial

role Reporting to the CEO Years of professional experience


Organization of Departments


Public Relations as Staff Functions

Traditional management theory divides an organization into line and staff functions

Line managers Can delegate authority Set production goals Hire employees Directly influence the work of others

Staff Have little or no direct authority Indirectly influence the work through suggestions,

recommendations, and advice Although public relations departments can function only

with the approval of top management, there are varying levels of influence that departments may exert


Levels of Influence

Advisory

Compulsory-Advisory

Concurring Authority


Cooperation with Other Staff Functions

Ideally, public relations is part of managerial subsystem and contributing to organizational strategy

Other staff functions are required in the communication process with internal and external publics

Requires cooperation to avoid possible friction with Legal Human resources Advertising Marketing


The Trend Toward Outsourcing Fortune 500 companies now spend 25% of public

relations budgets on outside firms Companies of all sizes spend more than 40% of their

public relations budget on services from outside firms Brings expertise and resources that cannot be found

internally The most frequently outsourced activities are

Writing and communications Media relations Publicity Strategy and planning Event planning


Public Relations Firms Predicted to grow as more countries adopt free-market

economies and Internet applications continue to expand Services

Marketing communications Executive speech training Research and evaluation Crisis communication Media analysis Community relations Events management Public affairs Branding and corporate reputation Financial relations


Global Reach

Most major public relations firms generate substantial revenues from international clients

International work isn’t only for large firmsSmall and medium-sized firms around the

world have formed working partnerships with each other to serve client needs

Firms form affiliations and cooperate with each other to service clients with international needs


How Public Relations Firms Get Business

Organizations will hire public relations firms

For supplemental staffingHelp with special projectsSpecific expertise


Pros and Cons of Using a Public Relations Firm

PROS Objectivity Variety of skills/expertise Extensive resources International jobs Offices throughout the country Special problem-solving skills Credibility

CONS Superficial grasp of a client’s

unique problems Lack of full-time commitment Need for prolonged briefing

period Resentment by internal staff Need for strong direction by

top management Need for full information and

confidence Costs


Fees and Charges

A public relations firm charges for its services in several waysBasic hourly fee, plus out-of-pocket expensesRetainer feeFixed project fee

wilcox ppt chapter04

Documents