Online shopping in Oz: American steel 30 years later...

I'm part way through reading Jim Collins Good to Great, a book based on five years of research to determine what makes certain companies succeed compared to similar rivals. There was a paragraph I read in Chapter 2 that I felt was more than relevant for Australian businesses in light of the recent online/overseas shopping trend that it being blamed for crippling the local retail sector:

'Compare Bethlehem Steel to Nuco. Both companies operated in the steel industry and produced hard-to-differentiate products. Both companies faced the competitive challenge of cheap imported steel. Yet executives at the two companies had completely different views of the same environment.

'Bethlehem Steel's CEO summed up the company's problems in 1983 as blaming imports: "Our first, second and third problems are imports". Ken Iverson [Nucor CEO] and his crew considered the same challenge from imports a blessing, a stroke of good fortune (Aren't we lucky; steel is heavy, and they have to ship it all the way across the ocean, giving us a huge advantage!).

Iverson saw the first, second and third problems facing the American steel industry not to be imports, but management. He even went so far as to speak publicly against government protection against imports, telling a stunned gathering of fellow steel executives in 1977 that the real problems facing the American steel industry lay in the fact that management had failed to keep pace with innovation'.

The problem facing the American steel industry in the 1970-80's sound almost identical to the online shopping claims made by Australian retailers of today. The question is, which Australian companies will put their hands up and innovate rather than play victim to circumstance?

Nucor can be proof that the right management and innovation can lead to a successful business - it is one of the biggest steel producers in the US today. Bethlehem Steel on the other hand filed for bankruptcy in 2001 after years of decline.

JH

My favourite communication iPad apps

I received an iPad for work pretty early on in the piece, but I must admit I was a slow adaptor to integrating it into my life as a work tool. I always found it a nifty gadget to have around the home, but I couldn't find a niche for it in my day to day work. Until about three months ago when I committed to exploring its potential more as a business tool. And to do that required findng the right apps.

In no particular order, here are the six apps that I believe maximise the benefit an iPad can offer to a communication pro. I wouldn't say I can't do my job without them, but they do help.

Must have apps: The logos of my six favourite communication iPad apps

1. Evernote
Evernote is a simple, free note taking system that I now use to record meeting minutes and actions, conversations, interviews and general thoughts that come to me at 2.13am when I should be fast asleep. Best thing about it is the integration and synchronisation with an Evernote account, allowing you to access the same notes on any computer with internet access simply through their website. Growing more on me every day.
 
2. Flipboard

When Flipboard first launched it was definitely the flavour of the month. Opinion has cooled slightly since but I still find a great way to review my social media streams. The international news content is good as well, however lacks any real Australian content. Still worth having as a more user friendly way to review what others are saying in the SM world.


3. Dropbox and 4. Readdledocs

I've linked these two together as I believe to get the most out of one, you shoul also have the other. Dropbox acts as a cloud for you to store documents on and view from anywhere with internet access. It's free and gives you 1gb of storage straight up. The only downside is that to view documents offline you have to synch each document individually. Enter Readdledocs, a paid app ($5.99), but allows you to access your Dropbox account and synch your whole account in one go. Much better!

5. Tweetdeck

I find Tweetdeck the best social media coordinating tool. Sure it has some flaws, but much better and easier to use than the Twitter iPad app.

6. Kindle for iPad

Okay, so not purely a communication pro tool, but definitely worth having on the iPad. My reading has increased dramatically since installing this app. It means those minutes waiting for a meeting to start or client to arrive can be put to use reading a few more pages. My biggest frustration is not knowing how many 'real' pages I've read, but overall I'm a convert to the e-book.

I'm sure this list is far from definitive, but it is what I use so far and have found helpful. What are your suggestions?

JH 
 

Tour de France: a communication analogy?

Australia is in celebration today with the overnight accomplishment of Cadel Evans becoming the first Aussie to win the gruelling Tour de France cycling race.

I've been a follower of Le Tour for almost a decade now and admire it for its physical feats as well as the strategic and tactical requirements to do well in the race. To a casual observer, as I was when I started, it can be confusing as to why cyclists don't go hard all the time, that they race in big packs, work for certain members of a team at the individuals expense and why they don't race for a win on the last day due to a gentleman's agreement.

It is because of this need for strategy and tactics that I think the cycling in the Tour de France has extraordinary similarities to the role of corporate communications. Everyone applauds and recognises the achievement when the success is evident, such as Australia is with Cadel winning this year, but very few people would understand the hard work behind the scenes, the training and the tactical and strategic decisions made to get that point.

Like the tour, there are times where different approaches are needed, you might choose to break away from the pack, attack a stage or require a speedy sprint (a media launch or proactive campaign). Other times you might simply wish to shadow your competitor, avoid any crashes and simply minimise damage on the clock (issues management, working to keeping an issue out of the media all together or building relatonships through internal communications). The work of a team all aligned for one aim or cause means success can be shared by all - the same is required by the best communication teams.

The tour is raced over 21 stages and more than 86 hours of saddle time, yet most of Australia today will only recognise the efforts put in by Cadel in the last stage or two. And that is fine, you don't need to be a purist to enjoy the achievement. But those with an understanding will recognise that sometimes to achieve you need to vary your tactics for the conditions, go flat out when needed and perform to your strengths.

I can only hope that as my career in communications continues I can one day say I achieved my yellow jersey...

JH

Carbon price from a communication perspective

Interesting, so much focus on the communication....is the prob people aren't listening, cos PM has definitely been out there.... (@latikambourke)

I honestly don't think that Julia can explain this more clearly. People just aren't listening. They don't want to (@peterjhinton)

Some say it's too difficult to understand (inc word "carbon"). Others say JG talks down to them & she thinks they're dumb (@bonitamersiades)

After day two of the carbon price campaign, a common theme emerging in discussion, on Q and A and certainly among the twittersphere (see above) is that the message is just not coming across from the government and been accepted by the community.

The sample above shows what might be one of the problems - the fact that the government is out there selling the message, wearing out the ‘soles of shoes’ and doing interview after interview, but the message is not resonating with the public. The danger of this is that the attitude is taken that the PM and government are communicating, but it is the public’s fault for not listening.

Now at this stage, my research only goes as far as the people of Twitter (although @latikambourke is a good political insider), but if this view is ever held by Government then they might as well give up. Because if you are saying something and people aren’t listening, then you’re not communicating – just talking! It’s your fault not theirs.

As the instigator of the communication it is your responsibility to ensure that they engage in the conversation and provide feedback that indicates an understanding. If that understanding is not evident, then you need to either change your message or change the way that you are saying it so that you can give them another shot.

The basic communication model to the right demonstrates the principles needed for successful communication. The Government could do much worse than remember this as it tries to sell the message.

Of equal importance, and missing from the diagram, is the impact of interference in the reception of the message. This will stem from pre-conceived thoughts and ideas, influences and in this case, the Opposition.

The sales pitch for the carbon price is going to be five weeks of message massage and opportunity for real engagement. It will not be an easy sell for the Government because the Opposition has the much easier task of tapping into the basic of communication principles, Maslow’s Hierarchy of Needs, and using self-interest and fear/safety to sell their message and undermine the Government. In order for the Government to have any chance, they need to be rock solid on message, talk in everyday language and be able to answer each and every question with confidence and clarity. To have any doubt or uncertainty on questions will simply play into the Opposition’s hands.

We are only on day two of plenty, but one thing is clear about this carbon price – communication will play a big part in deciding the acceptance of this issue, and potentially of the Government in two years.

JH

Crouching Tiger, hidden spokesperson?

Tiger's media response is questionable at best (Photo:Fairfax)

Travel plans for thousands of Australian holiday makers were thrown into chaos on the first day of school holidays over the weekend as Tiger Airways was grounded by the Civil Aviation Safety Authority.

The grounding, on the basis of repeated safety breaches, is pretty much the biggest crisis an airline could face outside of an actual crash. Yet the crisis management response from Tiger seems to be at best in the same mould as their discount flight model – basic. 

In my opinion the crisis management has been more like their safety procedures – inept and dangerous.

Three days on since the announcement by CASA, Tiger Airways have not hosted one single media conference. Their CEO, Tony Davis, has conducted a minimal number of interview by telephone and he has remained based overseas. Local managing director, Crawford Rix, based in Melbourne, has also remained silent and ‘could not be contacted’ by media seeking comment.

In my role as Public Affairs Manager last week I had a number of issues breaking at the same time. Now while certainly not of the Tiger scope, they involved people’s lives, health and in one case, death. I took the approach that I have always maintained during a pressure time: put your hand up when done wrong and state the facts and clear the record when allegations are false.

Credibility and reputations are a two way street – you can’t only be available to talk when the going is good and pretend the media don’t exist if they say nasty things about you. I’ve always found that through honesty, it means when you tell the media something is inaccurate or downright wrong, they are quicker to respond to correct it, or at least let you get your side out there.

In my opinion, Tiger Airways may need to relaunch itself as Ostrich Airways – because the longer they keep this head in the sand approach to crisis communications the higher the chance they will remain flightless.

Thoughts? Are Tiger better to stay quiet on the situation for fear that any comment will make the matter worse or should they come out and explain what actions they are taken?

JH