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Ch04 Budgeting in PR

Uploaded: 6 years ago
Contributor: cloveb
Category: Business
Type: Lecture Notes
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Filename:   Ch04 Budgeting in PR.docx (37.93 kB)
Page Count: 1
Credit Cost: 1
Views: 96
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Description
Public Relations
Transcript
BUDGETING IN PR In this lecture we will look at the most important aspect of public relations i.e. budgeting. We will establish the need for it and its important elements. We will also look at the importance of photography in Public relations and how to use it effectively without it being wasteful. Like any other plan budgeting is very important for a PR program and PR department. Let us discuss what is the need for budgeting? Why Budgeting To learn what will it cost to carry out a PR Program. Or; to learn what sort of program can be carried out for a given sum of money. Budgeting helps in controlling the program cost. Budgeting provides a discipline for both expenditure & over- expenditure. After completion of campaign, results can be measured against the budget. Elements of a PR Budget. – Elements. Labour. Includes salaries. Biggest component. Office Overheads. Fixed costs electricity, rent, insurance etc. Materials. Items like stationery, postage, print, visual aids, and mobile exhibitions stands etc. Expenses. Out of pocket expenses, expenses of organizing PR events e.g. catering, Public address system, TV, screens, video players, chairs, tents etc. PR Budget for a large organization. Following are few of the important expense headings. 1. Salaries 2. Overheads 3. Depreciations 4. Insurance 5. Press receptions 6. Staff journals 7. External journals 8. Slides 9. Video / CD. ROM Costs. 10. News releases 11. Feature articles 12. Radio Tapes 13. TV properties 14. Printed literature 15. Sponsorships 16. Exhibitions 17. Photography 18. Vehicles 19. Stationery 20. Postage 21. Telephone, fax, internet etc. 22. Traveling 23. Contingency say 10% PR & Photographs Photographs play a very important role in PR activities. 3 Public Relations Requirements How to tell a story with pictures. The sort of pictures editors want. How to work with a photographer. 6 ways to avoid wasteful distribution of pictures. Pictures should be sent to only those publications who are likely to print them Editors may be phoned & asked if they would like a picture to be printed with the story. Pictures can be reproduced on the news release, & editors invited to request prints. If there is a set of pictures then, a sheet of miniatures can be sent enabling editors to choose. At the foot of the release one can state that pictures are available. Color pictures should only be sent if requested. Why Photo Captions? Without captions the recipient does not know: What is the picture about? Who sent it? Who owns the copyrights? PR Uses Of Photography. To build a photographic library; To provide / supply with press releases; To illustrate feature articles; As picture stories, sometimes in sets; For window & showroom displays; For display in seminars, press receptions & other events; For display as “blow –ups on exhibitions; For illustrating house journals; For stills as used in TV studio backgrounds to speakers or during news Bulletins. How to produce good pictorial material! Presentations & handshakes. People at work. Human interest. Large objects. ‘Busy’ pictures. Perspectives. Color pictures. Flat or profile pictures. Impression of size. Name display. PUBLIC RELATIONS PROBLEMS This lecture will cover the problems which a PR practitioner has to face in the course of his performance. We will define the problems and its causes and how to resolve them. We will identify the crisis and will explain the strategy to overcome them besides warning against common mistakes which could be made to solve them. 4 Step Problem Solving Process Defining the problem (or opportunity). Planning & Programming. Taking action & communicating. Evaluating the program. Defining PR problems.(Problem Statement) -- Written in present tense, a problem statement describes a situation in specific & measurable terms. What is the source of concern? Where is this problem? When is it a problem? Who is involved or affected? How are they involved or affected? Why is this concern to the organization & its public? To develop action & communication strategies with a detailed analysis of the problems of target publics. 4 Questions Need Answering. How much do people use information in the problem situation? What kinds of information do people use? How do people use information? What predicts information use? Mission of Public Relations Is to help the organization achieve its mission by: Collecting & analyzing information on the changing knowledge, opinion & behaviors of key publics & stakeholder groups. Serving as the central source of information about an organization and as the official channel of communication between an organization & its publics. Communicating significant information, opinions, & interpretations to keep an organization’s public & other stakeholders aware of organizational policies & actions. Coordinating activities that affect an organization’s relationships with its publics & other stakeholder groups. How does PR work to solve problems? A searching look backwards! A wide look around! A deep look inside! A long, long, look ahead! 1759055331497Basically it is “learn – feel – do” theme which guides PR program for solving problems” Information Gain Opinion Change Behavioral Change How To Anticipate Crisis (Disasters) ? Immediate crisis. Emerging crisis. Sustained crisis. Common mistakes in handling crisis. Hesitation. Retaliation. Pontification. Confrontation. Litigation. How To Prepare For Public Relations Crisis? Identify things that can go wrong & become highly visible, assess weaknesses throughout the organization. Assign priorities based on which weaknesses are most urgent & most likely. Draft questions, answers & resolutions for each potential crisis scenario. Focus on the two most important tasks – what to do & what to say – during the first critical hours following a crisis. Develop a strategy to contain & counteract, not react & respond. Countering Crisis With Strategy. 7 C’s of PR are effective means of strategy to counter crisis C REDIBILITY. C ONTEXT. C ONTENT. C LARITY. C ONTINUITY & CONSISTENCY. C HANNELS. C APABILITY OF THE AUDIENCE. 7 C’s of PR explained. Credibility. Communication starts with Belief, built by the institution on performance. Context. A communication program must confirm not contradict the message. Content. Message should have meaning for recipients. Clarity. Message must be put in simple words. Continuity & Consistency. Communication is an unending process, requires repetition to achieve results but with variation. Channels. All established channels of communication should be used. Capability of the audience. Take into consideration the habits, reading ability, and prior knowledge. METHODS OF COMMUNICATION Practicing Public Relations is a psychology in itself. We will determine the importance of it and also explain and define various methods of communication. We will also explain the different communication methods for various companies as well. Psychology of Public Relations --- Basically the purpose of public Relations is to “create understanding & knowledge.” --- But come what may, the message should be short & simple. As for example The word “STOP” is simpler than “Do not move” “or Stay where you are”. How Do We Communicate? 5 Main methods By words, whether printed or spoken. By sound, such as music or sound effects. By movement, such as action in films, video, TV, or by gestures & body movement. By the use of symbols such as symbols such as identity logos, badges & signs. By the use of colors which have different effects or meanings. PR For Utility Companies Utility Companies & its Public. Generally following can be classified as utility companies; A. Electricity B. Gas C. Water In fact all utilities have basically similar approach and problems. For utility the word Publics is generally synonymous to Customers. Generally, A utility with good public relations is with customer –oriented objectives, sound management & the ability not only to give customers good service but to communicate with them favorably in every way. Objectives Of PR In A Utility Company. The utility company is well managed & efficiently run. The company is always striving to improve its services. Its rates are fair. It is an honest & ethical company, with no discriminatory practices in regard to customers & to any firm / s dealing with it. Company also takes good care of its employees. It will help in the improvement of environment. It will not indulge in profiteering. It will keep its employees informed about its business & better orientation. How PR Helps Utility Companies Releases to newspapers & financial journals concerning earnings, refinancing operations, personnel changes & other business news. – Attractive & informative quarterly reports to stockholders. Answering all stockholders queries as promptly as possible. Special releases on annual reports & meetings. An annual report advertisement. Detailed economic analysis & review once a year. Some times statistical booklets are issued separately & sometimes included with the annual report. Advertising Essential For Utility Companies. 6 reasons. Inform public on the best use of the service. This helps in increasing customer satisfaction. To increase sales of its products. To inform the public about company & its plans. To improve the company image. To encourage area development. To attract investor’s money and confidence. We can always review and check company’s activities. through regular check by following 6 questions. What is the company doing now? If some practice is discontinued, where was it done before? Who is doing it? How is it being done; what tools are used? What needs to be done? Who should do it?

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