Course : Strategic Issues Management (1504SIM07)

elearning.lspr.edu
Master of Arts in Communication : Corporate Communication Studies

LSPR eLearning Program

Session Topic : Theories, Concepts, Principles

and Models
Course: Strategic Issues Management
By Rudi Sukandar, Ph.D

Content

Part 1

Overview

Part 2

Public Policy

Part 3

Grunigs 4 Model

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Hal 3

Part1: Overview

Overview: Theories, Concepts, Principles & Models

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

Organisational legitimacy
Public policy
Systems theory
Stakeholder theory
Attribution theory
Grunigs 4 models of public relations
Contingency theory
Situational theory
Social exchange theory
Agenda setting theory
Framing

The content of this lecture complements the

information in:
Harrison, K. (2011) Strategic Public Relations,
chapters 3, 5, 16, 21 and 22. Melbourne, Australia:
Palgrave Macmillan.
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Kim Harrison
President of PRIA
Western Australia
Hal 5

Overview: Theory Valuable

Q: Why is theory valuable for PR?

A:
Essentially, theory aids prediction:
1. Theories help us,
to explain and predict phenomena of interest to us and, therefore,
to make intelligent practical decisions (Frankfort-Nachmias & Nachmias, 1992).
2. The outcomes of applied theory are organisation, explanation, prediction and
greater control of the situation.
All these factors help practitioners build programs that are more likely to
achieve their objectives because...
...they are built on a valid, reliable base.
Professor Tom Watson blog 4.3.2013:
http://fiftyonezeroone.blogspot.co.uk/
Also understanding theories makes it easier to identify, label and explain facts and
trends.
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Overview: Frankfort-Nachmias, Nachmias & Tom Watson

Chava FrankfortNachmias
Emeritus Prof. of
Sociology at the Univ.of
Wisconsin-Milwaukee.

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Prof. David Nachmias

Head of Specialization
in Policy & Public
Administration,
Founders of the Dept. of
Public Policy at Tel Aviv
Univ.
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Tom Watson
Professor of Public
Relations at Bournemouth
Univ. (2007 - present)

Hal 7

Overview: Organisational Legitimacy

To exist legitimately, every organisation depends on the approval of society

through,
1. conforming to regulations and
2. receiving informal social consent.
Legitimacy
Defn:
a generalised perception or assumption that the actions of an entity are
desirable, proper or appropriate within...
...some socially constructed system of norms, values, beliefs, and definitions
(Suchman, 1995).

Legitimacy,
provides organisations with a reservoir of support (or bank of good will)
that enhances...
...the chances of organisational survival
(Dowling & Pfeffer, 1975; Rao, 1994, cited in Tost, 2011).
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Hal 8

Overview: Organisational Legitimacy (cont.)

The legitimisation and ultimate survival of a firm may depend on,

adequately managing the relationship between the organisation and
its social and political stakeholders
(Meznar & Nigh, 1993).
In issue management,
it is essential to maintain high levels of legitimacy and a good reputation.
Strengthening reputation helps to increase the legitimacy or an
organisation.
Audiences perceive the legitimate organisation not only as more worthy, but
also as more...,
meaningful,
predictable, and
trustworthy
(Suchman, 1995).
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Overview: Suchman, Pfeffer & Meznar

Mark C. Suchman Ph.D.

American Sociologist
Professor in Sociology
at Brown Univ.

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Jeffrey Pfeffer
Thomas D. Dee II
Professor of Org.
Behavior at the
Graduate School of
Business, Stanford Univ.
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Martin B. Meznar
Associate Professor of
International Mgt.
Appalachian State Univ.

Hal 10

Overview: Climate Fraud

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Hal 11

Part2: Public Policy

Public Policy

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Hal 13

Public Policy: Making

Public policy making,

The origin of issue management
Involves how legislative and regulatory decisions are
made by government.
A competitive process because few public policy
decisions are unanimously supported.
Classic model of public policy making:
1. Agenda setting
2. Policy formation
3. Implementation
4. Policy evaluation
Legislators,
Dont have the resources to consider all policies.
Therefore, policies have to compete for the attention
of policy makers.
Agenda setting can include an issue rising to the
attention of policy makers (politicians)
(Coombs & Holladay, 2010).
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Public Policy: Phases of the Public Policy Life Cycle

Problem Definition
Agenda Setting
Policy Adoption

Implementation
Evaluation
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Public Policy: Phases of the Public Policy Life Cycle (cont.)

1. Problem definition
Problem is identified, and
Possible solutions are explored through research and analysis.
2. Agenda setting
Efforts are made to raise the profile of the problem and
Possible solutions among the public and decision-makers.
3. Policy adoption
Policy makers discuss options and possible solutions and adopt new or amend
existing policy.
Strategies for policy adoption include issue advocacy, regulatory advocacy,
community organising or public/private partnership creation.

4. Implementation
Critical decisions are made.
Approaches: issue advocacy, regulatory advocacy, litigation, public/private
partnerships.
5. Evaluation
Research and analysis to evaluate if intents met and if any unintended outcomes.
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Hal 16

Public Policy: Public Affairs Theories

Public affairs (broadly public relations)

has no unique theories.
Theories applicable in PA come from
many directions:
1. Communication and public relations
2. Economics
3. Organisational sociology
4. Social psychology
5. Political science
6. Strategic management
7. Business in society
8. Business ethics
9. Ecological systems
(Windsor, 2011, p. 401)
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Hal 17

Public Policy: Systems Theory

The systems approach

Defn: The foundation for issues management (Coombs & Holladay, 2010, p.
192).
An organisation
Defn: Interdependent with its environment and seeks balance in a complex
way with all other systems.
All applicable systems are,
interdependent and
go through a process of adjustment
...including communication.
3 Issue Change Strategy Options within the Systems Approach
a. Reactive: prepares for the effects of the issue.
b. Adaptive: accommodative proposes alternative courses of action when the
issue arises.
c. Dynamic: proactive issue manager anticipates the issue and is the first to
make a policy proposal
(Coombs & Holladay, 2010, p. 193).
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Public Policy: Stakeholder Theory

A stakeholder
Defn: Any individual or group or category of individuals,
who can affect or be affected by the firm and
thus could have interest in collaborating with management.
Stakeholder theory relates to management attempting
collaboration among variable stakeholder interests.
Examples:
investors,
activists,
media,
communities,
governments or
customers,
suppliers.
employees,

(Covered earlier this semester.)

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Public Policy: Attribution Theory

People interpret facts and events according to their own pre-existing

thinking and behaviour.
Someone trying to understand why another person did something may
attribute one or more causes to that persons behaviour, through:
1. Internal attribution the other person is behaving in a certain way because
of factors such as their attitude, character or personality
2. External attribution the other person is behaving in a certain way because
of the situation they are in.
In IM,
Stakeholders may attribute organisational behaviour to such internal and
external factors. (Heath & Palenchar, 2009, p. 118).
Example:
People might believe the company has made a decision because its
managers are incompetent (internal attribution)
or, on the other hand, in response to competitors actions (external
attribution).
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Public Policy: Coombs, Holladay, Heath & Palenchar

Robert L. Heath
Emeritus
Professor,
Communication,
Houston Univ.
Published many
award-winning
books

W. Timothy Coombs
Ph.D
Professor, AdvertisingPublic Relations at the
Univ. of Central Florida

Sherry J. Holladay,
Ph.D
Professor at the
Nicholson School of
Communication at the
Univ. of Central Florida
in Orlando

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Michael J.
Palenchar, Ph.D.
Doctor of
Philosophy, Mass
Communication
Univ. of
Florida (2005)
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Hal 21

Part3: Grunigs 4 Model

Grunigs 4 Model: Reminder

No

Model

1.

Press Agentry / Publicity

1- Way Communication
Purpose: propaganda

Public Information

1- Way Communication
Purpose: dissemination of communication

2 - Way Asymmetrical

2 - Way Communication (imbalanced

effects)
Purpose: scientific persuasion
Feedback sought, but only to increase
effectiveness of messaging

2 - Way Symmetrical

2 - Way Communication (balanced

effects)
Purpose: mutual understanding
Feedback sought for adapting to
receivers requirements

2.

3.

4.

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Type of Communication

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Grunigs 4 Model: Reminder (cont.)

1. Press agentry
Uses persuasion and manipulation to influence audiences...
...to behave as the organisation desires.
2. Public Information
Uses media releases and other one-way communication techniques to distribute
organisational information.
The PR practitioner often referred to as the in-house journalist.
3. Two-way asymmetrical
Uses persuasion to influence audiences to behave as the organisation desires.
Does not use research to find out how stakeholders feel about the
organisation.
4. Two-way symmetrical
Uses communication to negotiate with the public,
resolve conflict and promote mutual understanding and...
...respect between the organisation and its stakeholders.
Two-way symmetrical communication is considered to be the most ethical and
desirable form of communication in public relations.
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Contingency Theory: Definition

Contingency theory is based on the conflict between,

organisations and
stakeholders/publics.
Actions are,
on a continuum from pure advocacy to pure accommodation
...in contrast to Grunigs 4 simplistic models.
PR response is,
shaped by many factors and there are times to accommodate and
time to advocate,
with many variations in between.
The theory is,
complex, with 86 variables in 11 categories along...
...two dimensions internal and external.
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Contingency Theory: Definition (cont.)

1.
2.
3.
4.
5.

External variables include,

external threats,
the industry environment,
political/social/cultural environment,
external stakeholders and
the issue under consideration.

1.
2.
3.
4.
5.

Internal factors include,

characteristics of the organisation,
its PR dept,
management,
individuals & relationships, and
internal threats.

(Coombs & Holladay, 2010, p. 95)

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Continuum: PR Communication

Pure
Pure
------------------------------------------------Advocacy
Accommodation

Contingency Factors
Internal variables
1.
2.
3.
4.
5.
6.

Organisational characteristics
PR department characteristics
Characteristics of top management
Internal threats (how much is at stake)
Individual characteristics
Relationship characteristics

External variables
1.
2.
3.
4.
5.

Threats
Industry environment
General political/social
environment/external culture
The external public (group, individual)
Issue under question

(Pang, Jin & Cameron, 2010, pp. 20, 29-32)

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Continuum: Pang, Jin & Cameron

Augustine Pang, Ph.D

Assistant Professor &
Deputy Head of the
Division of Public and
Promotional
Communication
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Dr. Yan Jin

Associate Director of the
Center for Health & Risk
Communication at the Univ.
of Georgias Grady
College of Journalism &
Mass Communication
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Glen T. Cameron
Professor & Maxine
Wilson Gregory Chair in
Journalism Research at the
Missouri School of
Journalism
Hal 28

Situational Theory: Factors

The situational theory of communication behaviour explains,

why people engage in behaviour and communicate in a process of planning that
behaviour.
Probably the only unique PR theory conceived by J. Grunig.
Situational theory helps to identify current and potential publics.
The situational factors are:
1. Problem recognition.
People detect that,
something should be done about a situation and
stop to think what to do.
2. Level of involvement.
The extent to which people involve themselves with a situation.
Involvement results from the degree of importance they attribute to the situation or
their concern about it.
3. Constraint recognition.
People perceive obstacles in a situation that limit their ability to do anything about
it.
This discourages communication.
(Toth, 2006, p. 509.)
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Hal 29

Agenda Setting Theory: News Media

This is really agenda building theory because,

news sources provide information and then the news media
report it.
News media dont just decide for themselves what to report
from a large list of existing issues they have developed
(Grunig & Hunt, 1984, pp. 235-236, citing K & G Lang, 1983).
Q: So who are the news sources who sets the agenda for the
news media?
A: PR professionals provide at least 50% of the material used in
all new stories.

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Hal 30

Agenda Setting Theory: News Media

News media,
may not tell us what to think,
but they are very successful in
telling us what to think about.
When framing is taken into
account, the media also tell
how to think about some
topics
(Harrison, p. 565, citing
McCombs & Ghanem, 2001,
pp. 68-69).

Maxwell McCombs
Professors of
journalism at Univ.
of North Carolina

Salma Ghanem
Professor & Dean
of the College of
Communication &
Fine Arts at
Central Michigan
Univ.

Therefore media relations is

extremely important in issue
management.
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Hal 31

Framing: Issues

Issues are framed: the way an issue is presented can affect public
perceptions of the issue.
A frame limits or,
defines the messages meaning by shaping the inferences that...
...individuals make about the message
(Heath & Palenchar, 2009, p. 221-222).
The way that news media frame an issue can be significantly influenced by
their use of sources to help interpret discordant news events.
Example:
Critics may frame a mining company general policy as profit corrupts,
and
therefore in an issue over mine safety a reporter might believe that all the
mining company communication is...
...tainted by management desire for profits above safety.
Frame:
Would you rather have a 10% chance of death or a 90% chance of survival?
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Hal 32

References

1. Coombs, W., & Holladay, S. (2010). PR Strategy and Application: managing

influence. Chichester, West Sussex: Wiley-Blackwell.
2. Frankfort-Nachmias, C., & Nachmias, D. (1992) Research Methods in the
Social Sciences (4th ed.). London: Edward Arnold.
3. Grunig, J., & Hunt, T. (1984). Managing Public Relations. New York: CBS
College Publishing.
4. Heath, R., & Palenchar, M. (2009). Strategic Issues Management:
organizations and public policy challenges (2nd ed.). Thousand Oaks,
California: SAGE Publications.
5. LEtang, J. (2008). Public Relations: concepts, practice and critique. London:
SAGE Publications.
6. Meznar, M., & Nigh, D. (1993). Managing corporate legitimacy: public
affairs activities, strategies and effectiveness. Business and Society, 32(1),
pp. 30-40.
7. Pang, A., Jin, Y., & Cameron, G. (2010). Strategic management of
communication: insights from the contingency theory of strategic conflict
management. In R. Heath (Ed.) The SAGE Handbook of Public Relations (2nd
ed.), pp, 17-34. Thousand Oaks, CA: SAGE Publications.
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Hal 33

References (cont.)

8. Suchman, M. (1995). Legitimacy: strategic and institutional approaches.

The Academy of Management Review, 20(3), pp. 571-610
9. Tost, L. (2011). An integrative model of legitimacy judgments. Academy of
Management Review 36(4), pp. 686-710.
10. Toth, E. (2006). Building public affairs theory. In C. Botan and V. Hazelton
(Eds.) Public Relations Theory II. New York: Routledge.
11. Windsor, D. (2011). Theories and theoretical roots of public affairs. In
Harris, P., & Fleisher, C. (Eds.), The Handbook of Public Affairs, pp. 401417. London: SAGE Publications.

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Course : Strategic Issues Management (1504SIM07)

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