The corporate office of the North Eastern Electric Power Corporation Ltd (NEEPCO) is located in Shillong (Meghalaya). The company had a major hydroelectric project
The corporate office of the North Eastern Electric Power Corporation Ltd (NEEPCO) is located in Shillong (Meghalaya). The company had a major hydroelectric project
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Public
Relation Management
Note: Both the sections are Compulsory
SECTION 1: Solve both the case studies
CASE – 1 MEDIA RELATIONS
Indefinite Strike by Employees—Role of
PR: The VSNL Experience
VSNIL—the erstwhile Overseas
Communication Service (OCS), and Navratna Central Public Enterprise—had always
had a very cordial employee-employer relationship. The problem started when the
Government of India decided to allot PSU employees shares of the company they
worked in. while other Navratna companies allotted shares to their employees,
VSNL did not do so. The reason for the delay VSNL was going for a GDR (global
depository receipt) issue at that time, and the ministry of communications
wanted to complete the issue before allotting the shares to the employees.
But after the GDR issue, a
technical problem about the price at which the shares were to be issued to
employees arose. The VSNL employees demanded a share price that was in
accordance with the first disinvestments to the institutional investors in
1992—Rs 216 per share or Rs 10 each. But the ministry maintained that since the
shares were not allotted to employees at that time for whatever reason, they
could be allotted now only according to market rates, with a 15 per cent
discount as per finance ministry rules.
The market value of the
shares at that time was in the range of Rs 1,000 and Rs 1,100. For the
employees, buying their quota of shares at those prices was a very costly
proposition. They demanded that they should not be penalized for the
government’s inability to issue the shares to them at the time of the first
disinvestments. This was not acceptable to the government. Hence the employees
decided to go on indefinite strike to compel the government to allot shares to
them at Rs 216 each, instead of market rates with a 15 per cent discount as
suggested by the government.
Stakeholders
and the public
Obviously, the prime target group, in
this situation was the employees and their leaders. However, at the same time
there were other target groups who had to be reached and communicated with, and
who would directly or indirectly help in resolving the problem, and maintaining
the good image of the company, internally and externally. These other target
groups were:
1.
Non-striking
employees who did not participate in the strike call.
2.
Government
and legal/labour authorities.
3.
Trade,
customers and suppliers.
4.
Media,
especially the national and international press.
5.
Industry
leaders and industry associates.
6.
Last
but not the least, subscribers of the corporation’s services.
Communication
1.
The
company’s objectives for this industrial relations and image problem were to
instill discipline, and achieve the required productivity level.
2.
To
put across the issue in its right perspective to the various target publics.
3.
To
help in resolving the issue by communicating to the employees the management’s
stand, and its fairness to both parties.
4.
To
keep the morale of other employees high, and gain support through appropriate
communications to them via various internal media.
5.
The
company, in the true spirit of its past harmonious relationship with employees,
took a fair and just stand in all respects. Despite determined efforts by union
activitists to paralyse the working of the corporation, the management of the
corporation on many occasions met union representatives to break the deadlock.
But the union was adamant as it considered its demand legitimate.
6.
The
PR department organised press relations meetings and briefings, supported by
information and facts on the situation at different times.
Eventually the government decided to
accept the employees’ demand as a very special consideration, keeping in view
the importance of the international telecommunications facility to customers.
Besides, VSNL was going in for a second GDR issue, and the government did not
want to give a wrong impression to international investors about the unhealthy
industrial relations in VSNL. However, the government decided on a three-year lock-in
period during which employees could not sell the allotted shares. This was to
ensure that employees, being shareholders, took all possible steps to ensure
the progress and achievements of VSNL, especially its high profit-earning
position.
 |
| The corporate office of the North Eastern Electric Power Corporation Ltd (NEEPCO) is located in Shillong (Meghalaya). The company had a major hydroelectric project |
Question:
- What measures would you take if you
were the PR of BSNL
- What according to you was the outcome of the solution taken by PR of BSNL
CASE – 2 MEDIA RELATIONS
NEEPCO Ltd: Accidental Death of a Woman
Worker—Role of PR
The corporate office of the North Eastern
Electric Power Corporation Ltd (NEEPCO) is located in Shillong (Meghalaya). The
company had a major hydroelectric project at Kopili, in the Jayantia district
of Meghalaya, 90 km from Shillong. The main project building was under
construction when big marble tiles on its walls began falling. Realising the
consequences of these tiles falling on anybody, NEEPCO project officials put
rope barriers around the building to keep people away from danger.
Unfortunately however, a big
piece of marble fell on a woman worker’s head when she wandered into the
roped-off area. A huge crowd soon started gathering at the place, and they soon
turned against the corporation, accusing it of carelessness. The victim was
rushed to the nearby civil hospital by the project management, where she was
declared dead.
Stakeholders
and public
First, people gathered at the place of
accident. Subsequently, the relatives of the victim arrived at the accident
spot, followed by journalists who wanted to know the exact nature of the
accident resulting in the death of the woman.
Communication
The NEEPCO management became very
concerned about criticism resulting from the accident. They called the PR chief
and asked for his advice. Initially, the management wanted to hush up the incident;
they wanted to discuss the matter only with the relatives of the victims, and
defuse the situation by paying compensation. They felt that if the incident was
publicised, it could have serious repercussions. So they thought it better to
put an end to the matter at that point.
But the PR chief did not
agree with this suggestion. He felt it was dangerous to hide the information
from the press, and that it would be better to issue a press release giving
details of the incident. This way, they could explain the company’s viewpoint
and clarify the corporation’s role in getting medical aid to the victim
promptly, and its willingness to help the victim’s family in suitable
manner—either through monetary compensation or giving a job to the victim’s
next of kin.
The NEEPCO PR chief pointed
out to the management that if the matter was not explained then, the press
would come to know of the incident from other sources. They could then form a
different opinion about the motives of the NEEPCO management, conclude that the
corporate wanted to hide the matter deliberately, and criticise it for
inefficiently handling the matter.
Ultimately, the NEEPCO
management agreed to the PR chief’s suggestion. It issued a press release, and
also called some journalists for a meeting, where the PR chief explained the
company’s viewpoint. Two company directors and the PR chief went to the
residence of the victim, met her relatives, and assured them of all possible
assistance.
The next day, the press
coverage of the incident was very mild, with opinion going in the company’s
favour.
Question:
- Explain in detail the management’s
point of view and PR’s point of view on the accidental death of woman
worker?
- What would have been the situation
if neepco didn’t face the press?
SECTION 2: Solve any 4 Questions:
1.
What
is public relations? How is it a two-way communications process?
2.
“Style
has many meanings in journalism.” Discuss.
3.
Discuss
the duties and responsibilities of a reporter.
4.
Discuss
the various features of pictorial journalism.
5.
Discuss
Media Relation. Explain why it is so important for public relations.
6.
Discuss
the role of new information technology media in public relations.
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