Communications – Connecting with Stakeholders

Communication is probably the most powerful tool within an organisation. Successful companies are those who harness this power effectively to connect with their stakeholders in an open and transparent way.

Research shows that a significant proportion of organisational change initiatives fail to deliver their intended benefits, largely for two reasons 1) no clearly communicated vision, 2) under-communicating progress by a factor of ten. In other words, good communication delivers tangible bottom line benefits.

The traditional role of communications within organisations is rapidly changing and innovative technology is a key driver for change. The Tata Steel Group communications function aims to support the Group Vision of becoming an industry benchmark in terms of the value it delivers. It has recently delivered a number of initiatives that are in line
with best practices. These include:

Communicating the Vision – The new Vision for the Tata Steel Group – which reflects the aspirations and goals for the future – was co-created collectively by senior executives of the Tata Steel Group from India, Europe and South East Asia. The Group Vision was launched in a synchronised manner across continents – in India, South East Asia and the UK – where interactive technology was used to engage with senior managers. The Vision is currently being rolled out across the Group so circa 80,000 employees are actively engaged.

CSR Communication – Tata Steel has a focused approach on this – through the creation of a brand called Pragati. In keeping with the 100 years tradition of serving society, Pragati was developed to serve the long term perspective of CSR communication. Tata Steel UK (Corus) also has a sustained approach to CSR communication by publishing an annual report and undertaking various health and safety initiatives such as films, employee programmes and CEO communication.

Centenary Communication – 2007 witnessed the historic Centenary Celebrations of Tata Steel which were commemorated with year long activities and functions that were covered by international media. A unique film, “The Spirit of Steel” was released to mark the occasion. A four-day festival ‘Shatrang’, was hosted for the people of Jamshedpur which comprised city-wide celebrations marking the completion of the centenary and the whole city’s close involvement in the Tata Steel story. The centenary also witnessed the launch of the Centenary Website – www.tatasteel100.com.

Supporting integration activities
The communications function of Tata Steel Group played an important role in helping to integrate the organisation, particularly after the acquisition of Corus. Connecting and building relationships with the many diverse areas of the Tata Steel Group continues to be the primary role of the function. A number of strategic initiatives were undertaken in 2007-08 to cement the integration process, and help to bring the organisation closer together. These include:

Integration News – This was one of the first initiatives of integration communication in the enlarged organisation. This joint publication between Tata Steel and Corus covered issues of interest to all employees across the Group but focused mainly on the detail behind the integration efforts which are taking place.

Creation of an integration micro-site – This included information on the various cultures of the companies, future plans, executive interviews, heritage of the organisations, visit reports and new integration processes being implemented. The micro-site served as a single-point repository of all information concerning the Tata Steel and Corus integration process, primarily targeting the employees of Tata Steel and Corus.

Websites – Relevant cross links between the two corporate sites of Corus and Tata Steel were created to update information on each site related to management structures, network and other information.

Publications – The in-house magazines of Corus, NatSteel Asia and Tata Steel have been customised to publish articles on the Tata Steel Group. Each publication has dedicated space for news on other entities within the group which helps keep the employees of the companies well informed about the global operations.

In addition, a number of activities have been undertaken to further strengthen integration between the Tata Group and the Tata Steel Group. These activities include participation in the Tata Innovation awards, as well as promoting the Tata competitions for women’s essay writing and children’s painting.

Moving beyond the integration process, the Group Communications function has a clear focus. It will strengthen employee engagement, particularly in support of the new Vision. It will also strive to build a positive corporate image of the Group by successfully engaging with all key stakeholders on a regular basis, in an open and transparent manner.

Building a strong brand
A strong global brand is required to drive the Vision of the Tata Steel Group, and work is underway to assess the brand equity of existing brands within the Group. For example the brand architecture for the NatSteel Group of companies was reviewed in 2007 and the strapline “A Tata Steel Enterprise” was incorporated on NatSteel communications in order to strengthen the association between NatSteel and Tata Steel. The brand architecture for the Corus brand will be researched during 2008 with the intention of strengthening the connection between Corus and Tata Steel.

Brand research into the global Tata brand is currently underway in the UK and USA, and this will help form the future brand strategy of the Tata Steel Group. Meanwhile the Group will continue to invest in its valuable commercial brands to leverage maximum equity.

The Tata Steel Group brand reflects value creation, corporate citizenship and people who act with pace, pride and passion. The ambition is to build an enviable corporate reputation, where the Group is admired by all its stakeholders.