When considering possible staffing models for structuring your corporate communication function, your choices typically range from the extremes of establishing an all in-house staff to totally outsourcing the function by enlisting the services of a PR agency (or agencies) to do it all for you. More common is the combination that takes advantage of the benefits of both options, while hopefully minimizing their disadvantages. “Hey, isn’t my internal staff motivated and skilled enough?” you ask. “Is outside agency support really necessary? And is there an optimum mix of inside versus outside resources to make your corporate communication team as effective as possible?”
As is often the case in real life, there is no simple equation, and the answer starts off with “it depends….” When, as the company’s communication executive, you are considering what may be the best alternative for your organization, you should consider the advantages and disadvantages of each option to reach a set of capabilities that works best in your particular circumstances. Deciding to use an outside PR firm to handle all or a part of a company’s communications can be a complex process, but it’s one that offers the opportunity for adding considerable expertise, skills and activity to the company’s communication function.
The checklist of specific advantages and disadvantages for each approach could fill a book. For example, which approach would offer established media relationships, particular skill sets or unique creative perspectives? There are, however, four broad concepts you should consider in determining what will deliver better results for your business.
Budget, accountability and control
If your in-house staff is collocated with you, it’s easier to know what they are working on. Daily contact, meetings and simply walking around will keep you informed as to whether or not your team is spending their time on what you think is important. However, your staff payroll and benefits are often the largest single fixed line item in your budget. You are obligated to pay staff their full salaries regardless of what they are doing.
If you cannot afford a large in-house staff of senior, junior and administrative professionals, you may want to consider the broad range of support that an agency can provide. While your PR agency team is probably not housed alongside you, reputable agencies charge you only for the time they spend on your account, typically down to the 15-minute segment.
Additionally, your agency should provide regular, detailed billing/activity reports to ensure accountability. Your contract with an agency can detail specifically what you will pay for and what you will not. Ultimately, should your budget be significantly reduced or if members of your team do not perform to your satisfaction, it is easier, legally and emotionally, to reduce or eliminate external staff than your in-house employees.
Knowledge of your business
Obviously, you want anyone representing you to the media or other stakeholders to be thoroughly grounded in your business. Newly hired staff members are likely to come to understand the business faster simply because they are part of the organization. They have the opportunity to be totally immersed in your business, technology, products and services, and can quickly grasp your company’s culture. And if you are hiring from within, they may already have an in-depth understanding of your business. While you may have some of your agency team members “live with you” for a short period of time, it will take them longer to become integrated into the way you do business. But many agencies have well-developed expertise in specific industries. Whether it’s as general as consumer packaged goods or specific as renal health care, there are probably dozens of agencies that know your industry and your business.
Responsiveness
Regardless of whether they are inside or outside, you need your team to jump when you say, “Jump!” If you get a high-priority, short-fused project this afternoon, can your communication team assemble in your conference room tomorrow morning to begin working on it? Regardless of whether they are in-house or agency members of your team, you want to consider how easy it is to reach them. Despite all the work group or personal communications technology in the world, there will be times when things come up (or go down), and you just plain need your team members to be personally present. While most agency folks are not collocated with their clients (although this does occasionally happen), it is not unusual for internal staff to also be geographically dispersed. Your employees essentially have one client—you, while most agency staff work on multiple accounts. However, given today’s competitive environment, a good agency account team is highly motivated to keep your business, and key to that is being where you want them and doing what you want them to do.
Capacity
Most communication functions are already operating at full capacity. As your company’s needs fluctuate, the support needed can simply exceed internal capacity. Such surges occur more irregularly than most of us would like. During these times, you may be forced to adjust your internal team’s priorities to focus exclusively on a project. Doing so can cause your other projects to be moved to the back burner, where they may fall through a crack—neither option is acceptable to your internal clients. On the other hand, agencies can provide you with that reservoir of needed backup, permitting your communication team to expand and contract as the situation warrants. If you have a media event and need additional arms and legs to manage the media, your agency team can quickly have them briefed and in play.
Not surprisingly, the right communication staffing model for your organization depends largely on your budget. But you should also look at how fast your company—the one you have to support—is growing, what your internal corporate culture is like, and possibly even where you are located. Based on all these, build a model that works best for you.
