Strategic communication in companies - netzwerk managementberatung | coaching
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7 min.

Leadership

The art of strategic communication

How executives communicate the corporate strategy to all employees in an understandable way

From Sabine Walter,, Head of netzwerk managementberatung | coaching

Executives are not only responsible for developing a convincing corporate strategy, but also for communicating it successfully. How can this be achieved? In this article, I explain a multi-stage approach and provide you with specific formulation aids.

Elements of strategy communication

Successful communication of the strategy comprises five key elements:

  • Explain the what and why
  • Create space for questions of understanding
  • Involving critics
  • Repeat the central aspects of what and why like a mantra
  • Communicate successes and thus convey that the company is on the right track

Let's take a look at the individual elements in detail.

Explain the what and why

In order to be able to explain to all employees what you want to achieve with the strategy and why this is important, it is essential that you work out the objectives and strategy together with your management team beforehand. Only when you have clarity can you communicate the strategy.

Understanding the what and why:
Selected key questions at a glance

  • What is to be achieved and by when?
  • Why is it important for the company to achieve this goal?
  • What would be the risks if the company does not achieve this goal?
  • What impact does the strategy have on the individual areas of the company?
  • What remains the same? What changes and how?
  • In which areas will the company invest?
  • In which areas are investments declining?
  • What new competences are being developed? How?

Your dialogue jokers for target group-oriented communication

There is an iron rule of convincing communication: The worm must taste the fish, not the fisherman. What does this mean for strategy communication?

The ability to respond to the prior knowledge and questions of the respective employee groups is crucial for understanding the strategy throughout the organisation. Managers categorise things differently to production employees. To ensure that all employees understand the strategy and its business benefits, pay attention to the following:

  • Clarify in advance: What is known to the various employee groups? What do you need to explain?
  • Avoid complex terms and abstract concepts.
  • Use analogies and media such as PowerPoint or videos to visually support your speech.
  • Prepare written material in the respective national languages of the locations and use simultaneous interpreters for town hall meetings or staff meetings if necessary.
  • Provide concrete examples from the day-to-day work of the various employees to illustrate the facts. Which of the familiar and proven aspects will remain? What will change?

Especially if the strategy implies major changes, it is important that you as the managing director explain the underlying considerations. In doing so, you will foster understanding of the strategy as well as trust and acceptance for its implementation.

Creating space for questions of understanding

In order to find out directly during communication how comprehensible what was said was for your employees, create space for comprehension questions. In a town hall meeting, it is a good idea to ask an experienced moderator to lead the discussion.

Maintain an approachable attitude during this discussion. Repeat your key messages several times so that employees internalise them.

Note: In our media-driven and information-flooded times, messages need to be repeated up to 54 times in order to reach our consciousness.

Involving critics

Critics are a gift. They signal two things to you:

  1. You have not yet been 100% convincing in your communication.
  2. Critics want to be involved.

They use criticism to make themselves heard and be seen. Meet this need by inviting the critics to a small group discussion and lead each criticism to a solution with effective questions. Below you will find some examples of this:

Selected solution-focussed questions

  • How would you proceed?
  • What do you think we need to make clearer so that everyone understands it?
  • What else do you think is important in order to gain the acceptance of all employees for our strategy?
  • What else should I know in order to be able to respond?
  • In your opinion, who else should I talk to in order to get valuable input on strategy?

Repeat the central aspects of what and why like a mantra

As mentioned earlier, a message needs up to 54 repetitions to really reach the recipient. It is therefore crucial that you keep repeating the central elements of your strategy on different communication channels and at different times.

I will explain how this can be achieved using an example.

Let's assume you want to sell part of the company in order to be able to invest in the core area of the company. You have explained the what and why in town hall meetings at the various company locations. You have answered the questions asked at these meetings and invited critics to discussion rounds.

What could happen now?

  • You record a video message in which you once again explain the what and why of your decision.
  • You conduct a moderated discussion in which both critics and supporters of the strategy can have their say and ask questions. You answer the questions and, where possible, add one of your key messages, e.g: "All employees will be taken on by the buyer of the new division for the next 3 years. There is a job guarantee for the next three years."
  • You invite people to staff meetings. You also have these moderated and repeat your key messages at the end of the event.
  • They use internal communication channels such as the intranet, employee magazine and e-mail newsletter to answer frequently asked questions and repeat key messages.
  • You ask your managers to address questions about the strategy in their team meetings and to repeat the key messages.

Communicate successes and thus convey that the company is on the right track

Experience has shown that you will start implementing the strategy at the same time as communicating it. It is important that you emphasise successes achieved in very small steps.

  • What have you already achieved?
  • Where is the first progress being made?
  • What has already been achieved in individual teams?

In German companies in particular, we see that successes are taken far too much for granted and too rarely celebrated.

Recognising progress helps employees to understand: "We are on the right track.". This provides security and helps to ensure that your strategy is accepted in the long term.

How can the strategy be integrated more strongly into the everyday lives of employees and managers?

In many companies that we support in their strategic realignment, we see too little communication between strategy and operations. However, the operational business should be the strategy so that everything you and your teams do on a daily basis contributes to what you want to achieve as a company.

That's why I'd like to give you a few ideas below on how you can achieve even better interlinking:

Align target, feedback and reward systems with strategy

Feedback and reward systems can help to weave the strategy more closely into the day-to-day lives of employees and managers and encourage the implementation of the strategy. This could include giving recognition or bonuses to employees or teams who contribute to the achievement of strategic goals.

Ensure strategic fit of decisions and projects

Linking decisions and plans to corporate strategy is crucial to ensure that strategy becomes part of everyday life and that the company achieves its strategic goals.

The two central questions at the centre of this are: Why do we do something? Why do we not do something?

How do you proceed?

STRATEGIC FIT OF DECISIONS AND PROJECTS

Align decisions and projects with the strategy to ensure that they support achieving the strategic goals. Emphasize this strategic fit in your communications as well. We have listed a number of phrases for this purpose in the box below.

STRATEGY HELPING TO PRIORITIZE

A clear link to strategy makes it possible to evaluate decisions and projects according to their relevance and importance for achieving the strategic goals. This helps to deploy resources efficiently and to ensure that those projects and measures are prioritized that make the greatest contribution to the strategy.

CONSISTENCY CHECK

If decisions and projects are not in line with the strategy, it is important to make this clear and to justify the rejection of the decision or project. If, as a manager, you do not do this consistency check and instead approve projects that are not in line with the strategy, this can lead to confusion among employees and managers and to inefficiency, as they tie up resources for things that do not contribute to the strategy. You can also read about how to ask for strategic fit in proposals and ideas in the box below.

Communicatively aligning decisions and projects with the strategy

In the following, you will find phrases that will help you to communicatively relate decisions or projects or investments to the strategy:

  • The aim of our company is .... / The central aspect of our strategy is ....
  • That is why we will ... / have ...
  • In concrete terms, this means ...

Ask for strategic fit

You can use the following questions to inquire about the strategic fit of decisions, proposals, and projects:

  • How exactly does that pay into our strategy?
  • What strategic goal are we getting closer to with this project?
  • What part of our strategy is this proposal for?

Conclusion

The comprehensible communication of the corporate strategy is a continuous and multi-layered process

As you can see, it is not enough to present the corporate strategy to all employees and managers once as part of an event. Rather, successful communication of the corporate strategy is a continuous and multi-layered process. This becomes easier if you involve employees and managers in the development and communication of the strategy. This involvement not only contributes to an understanding of the strategy, it also ensures much greater identification with it and, ultimately, its operational implementation.

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