The role of the media for internal corporate communication

Sabine Einwiller, University of Vienna, Austria and

Christine Korn, Johannes Gutenberg-University Mainz, Germany

Research interest

Media awareness is enhanced when information is personally relevant (Perse 2001; Roser 1990)

news is negative (Rozin & Royzman, 2001)

Negative news is particularly relevant for employees What threatens the organization may also threaten employees’

personal situation (Pincus & Acharya 1988)

High need for orientation (NFO): motivation to turn to the mass media for orientation (Matthes 2006: 427)

Research interest

In the event of negative media coverage employees have multiple roles: They are … media recipients. members of the organization and affected by negative news. insider information sources for outsiders and particularly

believable (Fearn-Banks 2009; Mishra 2007; Korn & Einwiller 2013).

ambassadors of their organization (Johansen et al. 2012).

General research question

How does internal corporate communication (ICC) influence employees’ ambassador role in the case of negative media coverage?

Specific research questions

Study 1: Quantitative survey among employees (N = 287)

• How do employees react to inquiries of outsiders in the event of negative media coverage, and

• what influences employees’ ability and willingness to serve as ambassadors for their organization?

Study 2: Qualitative interviews with ICC practitioners (N = 18)

• How do ICC practitioners perceive the relevance of external media for internal communication and for employees?

• What do ICC practitioners do to help employees to act as ambassadors in the event of negative media coverage?

Employees’ response – Impression management (IM)

Assertive – active = Positive self-presentation to build positive impressions →Taking on ambassador role: actively defending the organization,

explaining the situation and conveying the organization’s official version of the event to bolster the organization’s reputation

Defensive – passive = Trying not to look bad →No ambassador role: apologizing, evading questions from

outsiders and feeling embarrassed

Influencing factors

Organizational identification (OI)

Internal corporate communication (ICC)

= Perception of belongingness and cognitive connection to the organization (e.g. Mael & Ashforth 1992; Dutton et al. 1994).

→Strong identification with the organization enhances employees’ willingness to take the organization‘s perspective in thinking and acting (van Dick 2004)

= Strategic management of interactions and relationships between stakeholders at all levels within organizations (Welch & Jackson 2007)

Central objectives: Information and understanding, organizational identification, employees as ambassadors

Timely information about critical situation whenever possible (e.g.

Fearn-Banks 2009) to enhance employees’ ability to react

Evaluation of ICC

Organizational identification

a) assertive b) defensive

reactions

H2b -

H1a +

+

Hypotheses

H2a +

H1b -

Mediating factor

External mass media The better ICC the less employees’ need to consult external media Strong OI increases employees’ NFO The more external mass media are used in the event of negative

media coverage the more defensive and less assertive employees‘ impression management.

Evaluation of ICC

Organizational identification

a) assertive b) defensive

reactions External media usage

H3 -

H2a + H2b -

H1a + H1b -

H5a - +

H4 +

H5b +

Hypotheses

Empirical research – quantitative survey

Data collection method and sample

Survey among employed people (participants in online panel)

n = 287 respondents who answered that they had perceived negative media coverage about their employer

45% female, 55% male

20-67 years old, average 45 years

57% employed by organizations with > 1000 employees

Mean tenure 14 years

Data analysis method

Descriptive and structural equation modeling (SEM with AMOS)

Results

51% had first learned about the critical situation through traditional mass media (TV, Radio, newspapers, magazines 42%, or the internet 9%)

only 17% through official internal information, 15% colleagues

84% of participants had been addressed by outsiders - asking about the negative media coverage

Evaluation of ICC

Organizational identification

Assertive reactions

External media usage .41***

-.23*** .39***

.41***

.12*

.34***

Results

Evaluation of ICC

Organizational identification

Defensive reactions

External media usage .41***

-.23*** -.11 n.s.

.23**

.37***

.34***

Results

Study 2 – qualitative interviews

Data collection method and sample

Qualitative interviews with PR professionals responsible for internal corporate communication

Large for-profit companies headquartered in Germany and Switzerland

n = 18

Data analysis method

Systematic qualitative content analysis following Mayring (2010) with MAXQDA

Results

Importance of external media for employees

All interviewees (n=18) state that external media coverage is important for the employees working in their company.

“Yes, of course. Clearly: employees do not only receive information internally but also externally from mass media.” (I 12)

“The public image of the company in the media has a massive impact on the inside perception.” (I 1)

Challenges to reach employees in time with internal communication

Credibility of external media vs ICC (n=12) and employee’s information overload (n=10) and stock market restraints (n=4)

“External media have a high credibility. That’s the critical point: Employees often trust external media more.” (I 9)

„We try to inform our employees just a bit earlier … However, when the information is relevant for the stock market, this is not possible. Then it must happen quasi-simultaneously. First the stock market, then the employees.“ (I 5)

Awareness of employees’ need for information to respond to inquiries by outsiders

ICC professionals are aware that employees are addressed by outsiders and that their need for additional information is high (n=11)

“The employees – we hear that from time to time – […] are asked by their relatives and friends: ‘What are you doing there?’ Then it is obviously not nice when they cannot say anything or need to say: ‘I also don’t understand it’.” (I 14)

Helping employees to respond to inquiries from outsiders

Official version of company‘s position is communicated to employees (n=11)

“If we pick up a topic that is played up by the media, we use a certain wording […] ‘The company comments as follows.’ Then there are two or three sentences […] that show the official wording; that is made accessible to all employees. If it […] is a very important topic, the executives receive another wording, how to deal with inquiries by their employees.” (I 16)

Relevance of interpersonal communication between management and employees

In case of critical topics that need explanation interpersonal communication between employees and management is considered important and may be encouraged (n = 11)

“Depending on the topic’s importance for employees we release an official version of the company’s position on the intranet. Or, we communicate it to executives on a specific platform […] when it is a topic that needs explanation […]. And we may explicitly say: Please talk about this topic with your staff.” (I 11)

Summary of results

Many organizations do not communicate timely and/or effectively with their employees in times of criticism

Employees are addressed by outsiders

ICC can make the difference the better the evaluation of ICC the less influence external media have and the more employees act as ambassadors

ICC professionals see importance to support employees, but have to overcome challenges concerning credibility, info overload and stock market restraints

Interpersonal communication between managers and their employees considered important (managers need to be helped and encouraged)

Company’s official position provided on the intranet considered helpful

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