Introduction to the special issue: corporate

communication – transformation
of strategy
Michael B. Goodman

hief communication officers describe corporate communication as “the guardian of Michael B. Goodman is

C [the corporate] mission” and the “purveyor of Truth”. The increasingly rapid
developments in communication practice drive the numerous changes in talent and
based at the Department of
Corporate Communication,
Baruch College, New York,
competence requirements for the profession, even though the core functions of corporate
New York, USA.
communication practice remain relatively unchanged.

What has changed?

What is the current corporate communication environment? Here are six forces transforming
corporations, and how they communicate and build relationships internally and externally:

1. Multipolarity eclipses globalization – The economic, geographic, cultural and political

shifts have created a substantial change in how businesses need to communicate as
multinational corporations no longer deal with a US-led global economy, but with a
China-/US-led economy.

2. The Internet of Things – A transformation in the adoption, use and consumption of

information technology and difficulty in identifying credible information sources have
evolved to include technological developments in new ways people interact with
elements of their environment.
3. Corporate business model – Blockchain technology’s impact on trust and reputation mark
a new phase in the evolution, in the nature, and in the purpose of the public corporation that
is both influenced by, and at the same time, influences the other two forces at work.
4. Uncertainty – The volatility of global financial and commercial markets, and political
turmoil in Western democracies, as well as in the developing world, combines to make
planning for the future filled with high levels of risk.

5. Privacy, big data and alternative data – Developing technologies for providing insight
into business practices have profound impact and consequences on communication
and information technologies.

6. Shifting demographics – Diversity and inclusion expand to a global phenomenon; the

influence of different expectations among new employees entering the workplace.

What is the purpose of the public corporation?

Over a decade ago, I answered that questions this way:

DOI 10.1108/JBS-07-2019-0149 VOL. 40 NO. 6 2019, pp. 3-8, © Emerald Publishing Limited, ISSN 0275-6668 j JOURNAL OF BUSINESS STRATEGY j PAGE 3
 The corporation is profoundly different than it was a hundred years ago – a vehicle created to
acquire and manage enough capital so that owners could build the hardware to run a plant and
to maintain a manufacturing operation.

A contemporary corporation is a way of harnessing and focusing human capital. It is capable

people with smart ideas, who know how to innovate and run things. It’s about people, and a
network of people. Individual corporations are powerful because of their alliances. When there is
a question or concern, people expect responsiveness from the corporation, and speed and
transparency in its communications.

Goodman, “Introduction”, CCIJ Vol. 12 No. 1, 2007, pp. 5-7.

What are the capabilities of communication officers?

Since the first corporate communication international (CCI) Corporate Communication
Practices and Trends study in 1999, when we asked interviewees “What are the core
competencies necessary for corporate communication? For individual practitioners?
For the corporation as a whole?” The respondents consistently identified writing as
the core skill for corporate communicators, as well as a thorough knowledge of the
company, and clear understanding of business principles. They also cited:
䊏 integrity & honesty;
䊏 global mind-set; objective perspective;
䊏 strategic thinking; critical & analytical thinking; problem-solving; synthesizing;
䊏 communication & media skills; listening; persuasion;
䊏 “grace under pressure” – confidence, composure and compassion;
䊏 resilience; positive attitude; energy, discipline, passion;
䊏 leadership; mentoring & coaching;
䊏 intelligent; innovative; creative; and
䊏 emotional intelligence.
as necessary for success as a corporate communicator in a global business environment
(See Goodman, CCIJ, Vol. 11, No 3, 2006 pp. 203-204).
In 2017, interviewees cited some of the same core competencies and added some
significant ones as well. Here is what they said:
䊏 writing; editing; truth-telling;
䊏 business acumen; global perspective; strategy development; change management;
project management; consultative mindset; broader leadership skills;
䊏 agility; speed; business savvy;
䊏 ability to adapt and change;
䊏 if you’re a good writer, you have two legs up on everybody else;
䊏 have an outside in view [. . .] and the courage to voice it and to say it and to provide that
feedback to the company;
䊏 talk to the company in a way that it can hear and talk to the public in the way that it can
hear and be persuaded;
䊏 vision; excellence; character; teamwork; organization; respect;
䊏 strategic mind-set;

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䊏 intellectual curiosity; a willingness to take intelligent risks; the ability to influence beyond
positional authority;
䊏 ethical compass; and
䊏 resilience.
(www.corporatecomm.org/wp-content/uploads/2013/06/Findings-CCI-Practices-and-Trends-
Study-2017-5-September-2017.pdf)
Recent findings from the CCI Practices and Trends Study 2017 also validate the
field’s strategic role in engagement and amplification of corporate messaging.
Corporate communication is “driving business strategy through communication”
with the aim of creating an environment for “conducting business more effectively.”
At the same time, corporate communication “helps drive change management
within the company” and also helps to “manage reputation in a fraught
environment”.
Recent findings also identified these ten forces having an impact on the practice of
corporate communication:
1. continuation of rapid changes and the transformation of the discipline; speed;
2. unintended consequences of changing reporting structures;

3. core functions that define corporate communication practice remain unchanged;

4. budget and staff increases reflect economic confidence;

5. the search for talent;

6. integrity;

7. core competencies focus on “business acumen” to drive corporate value;

8. intranet and employee engagement to build corporate culture gain impact;

9. “Counsel to the CEO” suffers as the role of the communication officer responds to
changes; and

10. agencies continue to provide important services.

The top critical issues in the field of corporate communication in 2017 were identified as:
䊏 maintaining “trust, integrity, and candor” in the world of “fake news”;
䊏 being “nimble and effective” in response to the constant and rapid changes;
䊏 mitigating reputation risks in a very fraught environment;
䊏 developing talent and competences in response to globalization, digitalizing and
integration of marketing and communication functions;
䊏 understanding the strategic role of communication in customer and employee
engagement; and
䊏 dealing successfully with the “new reporting lines” that result from the merging of
communication and marketing; and, helping executives to address proactively with the
“expectation of C-suite communication.”

The top trends driving these issues include the following:

䊏 Further expansion of the digital engagement landscape: direct engagement with
stakeholders; new non-traditional media outlets to get corporate messages out; content
creation; and management for the new channels.

VOL. 40 NO. 6 2019 j JOURNAL OF BUSINESS STRATEGY j PAGE 5

 䊏 Integration of marketing, communication and social media to address customers’
digital engagement.
䊏 Breaking down silos, convergence of communication functions, integration of internal
and external communications and resurgence of internal communication.
䊏 Recent shifts in the communication environment: “fake news;” expectation of
corporations to have a view even on non-business related, political, social issues;
accelerating speed; lack of trust.

The core areas of responsibility that were identified in 2017 define the contemporary
corporate communication functions:
䊏 communication strategy;
䊏 media relations;
䊏 crisis communication;
䊏 reputation management;
䊏 communication policy;
䊏 employee (internal) comm;
䊏 executive communication;
䊏 public relations;
䊏 intranet communication;
䊏 issues management; and
䊏 social media.

In answer to the question “How corporate communication contributes to the organization’s

success?” The interviewees replied:
䊏 they serve both functionally as experts, but personally as coaches and counselors to
those leaders on everything from reputation, to business strategy, to operational
execution;
䊏 trusted thought leader;
䊏 drive the key messaging to our four key stakeholder groups: [. . .] employees,
shareholders, customers obviously, [. . .] the communities where we operate;
䊏 serve as a conscience for the business;
䊏 by telling the story of who we are, and particularly to employees, helping them
understand where we are headed; and
䊏 to be very vigilant as the lifeguard for our brand.

The increasing importance of reputation management to corporate communication is also

reflected in how chief communication officers see their primary role: 40 per cent of the
respondents indicated “maintaining the company’s reputation” as their main role, followed
by the “counsel to the CEO.” Reputation management as the Number 1 perceived role of
corporate communication is a change that was revealed in our 2013 survey. Before then,
strategic counsel to the CEO and the corporation was cited as the primary role for corporate
communication officers since the first CCI Study in 1999.
Meeting the challenges presented by the uncertainties in the political, social and
technology environment has become part of daily agenda for the corporate communication
professionals – “we need to embrace it.” Such an environment demands planning, quick

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assessment and action that is based on a foundation of “trust with the senior leaders.”
According to the 2017 study respondents, the ongoing integration of marketing and
communication in many corporations, challenges the corporate communication function to
keep it as a merger of equals, instead of becoming “swallowed by the bigger marketing
function with more robust budgets”.
CCI – Corporate Communication Practices and Trends Studies underscore corporate
communication as a strategic management function and, increasingly, as a strategic
business partner for the enterprise. The need to take full advantage of digital opportunities
to engage customers is driving ongoing integration of communication, marketing and digital
media in many corporations. This in turn transforms the discipline of corporate
communication.

Corporate communication – transformation of strategy

In this special issue of the Journal of Business Strategy focused on the transformation of
corporate communication strategy, six experts share their perspectives on:

1. Reputational risk (Peter Hirsch, “What news on the Rialto? Geopolitics and reputation
risk”)
Hirsch illustrates the direction that the discussion of a geopolitical reputation risk is
going with these questions:
Q1. What are our sources of capital, and what are the reputational threats they represent
under a range of geopolitical scenarios?
Q2. Who are the technology partners on whom our business relies?
Q3. Where is our data housed, and what might political changes in those countries do to
change the security and privacy of that data?
Q4. Where do we obtain our raw materials, and how might the political climate in those
countries impact the opinions of our customers about the acceptability of our products?
Q5. How might the national origins or political viewpoints of our parent company or senior
executives be used against us by the governments or held against us by customers or
other business partners?

2. Diversity and inclusion (Ray Pellecchia, “The key role that CorpComms can – and
should – play in diversity and inclusion”)
Pellecchia offers several examples of how “CorpComms can – and should – play a key
role in the diversity and inclusion (D&I) work of an organization”. He argues that “It is
also evident in the very “DNA” of CorpComms.”
3. Employee engagement (Alessandra Mazzei and Alfonsa Butera, “Employee
communication for engaging workplaces”)

[Mazzei] develops and tests an employee engagement model illustrating the

connections among managerial approaches and engaging workplace contexts, as well
as examining the role of employee communication to foster employee engagement.
4. The networked enterprise (Peter Cardon and Chong Wang, “The networked enterprise
and organizational legitimacy judgments: the imperative for active leadership
communication on digital platforms)
Cardon surveyed over 500 executives and managers to “examine the connections
between networked enterprises, organizational legitimacy, and organizational
performance.” He found “strong statistical significance for nearly all relationships.
Internal communication on digital platforms, networked employee communication, and

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 an innovation culture all contributed to moral, instrumental and relational legitimacy.
Leadership communication on external digital platforms (social media) was not a
significant contributor to moral or relational legitimacy but was a significant contributor
to instrumental legitimacy. Higher organization legitimacy was correlated with higher
profit growth.”
Keywords: 5. Social media strategies (Yan Jin, Youngji Seo & Marilyn Primovic, “Social media
Public relations, strategies for overcoming stakeholder social media fatigue: a trialogue approach”)
Globalization,
Privacy, Jin observes that “continuation of rapid changes in Web 2.0 has transformed the
Uncertainty, practice of business communication and stakeholders’ expectations. One paramount
Communication strategy,
issue facing corporate communicators is stakeholders’ social media fatigue that leads
Corporate communication,
Big data, to online disengagement and social media strategy ineffectiveness.” She developed a
Chief communication model “To tackle this challenge, a conceptual model [. . .] of alternative social media
officer, strategies.
The internet of things,
Corporate business model, 6. The transformation of the media environment (Allison Clair, “Working with reporters in
Shifting demographics the changing media landscape”).

Corresponding author
Michael Goodman can be contacted at: Michael.goodman@baruch.cuny.edu

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