Professional Documents
Culture Documents
I hereby declare that this research project is the result of my original work and it has not been
All rights reserved. No part of this project may be reproduced or transmitted in any form by
I dedicate this project to my beloved parents Mrs. Doris Nyangena and Mr. Evans Nyangena,
brother Jephithar Nyangena and our last born sister Lavendar Nyangena without forgetting my
great friend Jared Masanta for their generous contribution and tireless support during this
particular moment to ensure no limitations would occur during the particular exercise.
The purpose of the study was to mainly evaluate the effects of public relations management in
the organizational performance, a case study of Red Cross Kenya. Strategic public relation
provides a good potential reputation and working strategy aimed at improving the operations of
the company communicated to the publics. Public relations, provides the top level management
with vast means communication to the public in order to be in touch with its clients. Well
articulated public relations serves as a powerful tool to enabling todays highly competitive
business environment. In addition public relation strategy is seen to be the outcome of strategic
thinking by the senior management mainly to improve on strategic management in order to have
a better companys image communicated. The study used primary data obtained through
questionnaires provided to employees Red Cross Kenya. Literature was reviewed from various
sources on the effects of strategic public relation on organization performance. Data collected
was analyzed using descriptive statistics to describe the population. The findings indicated that
there was a significant effect of strategic public relations on organization performance.
ACKNOWLEDGEMENT
My gratitude is indebted to my Supervisors Mr. Malachi and Mr. Peterson Sangania of Kisii
My heartfelt acknowledges lovely parents Mrs. Doris Nyaboke and Mr. Evans Nyangena, college
colleagues, neighbours, mercifully Uncle James and all well wishes for their tireless prayer
effort, advice, financial and moral support towards this study in realizing and recognizing the
dream.
Above all to the almighty God whose mercies, grace and protection is sufficient. I tirelessly
glorify his holy name forever and ever. May his blessings be unto you abundantly! Amen.
TABLE OF CONTENTS
Title
Declaration and Recommendation
Copyright
Dedication
Acknowledgement
Abstract
Table of Contents
List of Figures
List of Table
List of Abbreviations
CHAPTER ONE
INTRODUCTION
Background to the Study
Statement of the Objectives
Objectives of the Study
Research Questions
Significance of the Study
Limitations of the Study
Assumptions of the Study
CHAPTER TWO
LITERATURE REVIEW
Theoretical framework
Public Relation as a Strategic Function
Effectiveness of Public Relation
Public Relation in Organizational Alignment
Public Relation in Crisis Management
Public Relation in Media
Public Relation in Donor Relation
CHAPTER ONE
INTRODUCTION
An indication of the growing of the importance of communication the corporate world is that,
reputation is seen more as a second asset that companies must preserve. Reputation write Rahul
Jacob (1995) defines accompany and motivates its people. In the knowledge of economy
companies reputation and generally hold sense of identity take on heightened value.
James (2006) defines public relation as the management of communication between organization
and its publics. Public relation has the catchphrase in the discipline of public relation (J. Grunig
and L. Grunig 2000). There is increasingly consensus among industry scholars and practitioners
that public relation should remove beyond its technician role to one that contribute to strategic
management.
What do experts mean when they discuss strategic management? What role can public relation
They influence and are influenced by diverse factors with environmental problems and issues
along with different publics arise and recede around organization. Large corporations, especially
multinationals corporations and NGOs face variety of concern and challenges all over the world.
Increasing globalization along the rapid development of media and technology has resulted in a
situation that nobody would accurately predict. The internet has become a primary channel for
the public to get together in cyberspace for communication it has given the proper opportunities
to speak out. All the same this electronic sounding board has become a good place to detect
problems and issues as soon as they arise. For example when client have a problem they may go
to an organizations website to complain o look for chartrooms and discussion groups converse
with the other people who have similar complaints and issues. Advance in technology has
brought the world closer together hastened communication. Consequently organizations need to
Organizations including NGOs have been increasingly aware of the importance of understanding
what is going on in their environment, among the sponsors and the communities. They employ
various methods of gathering this information such as monitoring news media or conducting
surveys. However this forms of research are not comprehensively enough to fully understand the
environment moreover a number of public relation scholars and professional have maintained
that organizations should make more efforts to discover problems can evolve into issues possibly
crisis which may be critical to the survival observing and scanning the environment can identify
This refers to the degree or extent to which components of an organization are arranged to
optimally support the intent, objectives and goals of an organization. The components of an
organization that must be aligned include: Work being completed for example key business
projects, and work processes; the goals, skills and capabilities and the hearts, minds and
behaviors of both the people doing the work and the organizer leader; and the plans (e.g. learning
and development /human capital plans), tools and technologies and resources (including budgets
Without alignment, then best strategic plan will never be fully achieved because organizational
alignment is the glue that makes strategy execution excellence happens. An aligned organization
works together as a unit in a new way (i.e. more efficiency, efficiency and dynamically) on the
right things that deliver the greatest business value. An aligned organization gets things done
faster, with less effort and with better results and is more agile and responsive to changing
business conditions (Aalear, 1991). Organizational alignment is both process and outcome.
Building and ensuring organizational alignment requires focused action and is an ongoing
activity. In addition the outcome of these organization alignment efforts the degree of
maximizing shareholder value (Gray, 1998). Value is created by earning a return on invested
capital greater than the opportunity cost of capital; the more an organization can invest at return
alignment. Creating value requires an organization focus on long run cash flow returns not
value oriented view of corporate activities that recognizes organizations for what they are.
Organization alignment starts with the thorough understanding of how organization is measuring
value.
The second step in alignment, involves implementing improvements or changes that unleash
value trapped within the organization. This requires management to develop and institutionalize
a managing philosophy throughout the organization. This involves establishing priorities based
system toward shareholder value; and communicating with all shareholders in terms of value
creation. This can be accomplished in a series of smaller steps to achieve higher levels of
Outline what the strategy is and what it looks like in action. To be effective, the business strategy
must clearly define the primary value position, future result destination, values and behaviors
that will guide action or the journey to business results achievement (Riel, 2007). It is critical to
describe the action in the form of strategic objectives; the organization must focus on to get from
the present o future expectations or destinations. A strategic plan that provides a specific but
flexible roadmap for action serves as the guiding star for the organization and its alignment
efforts.
Public Relation Strategy
The organization people cant align with the business strategy if they dont know what it is.
Strategy public relation is critical, ongoing requirement in the drive to build organizational
alignment. Communication must be frequent and two way level at all levels of the organization
flashback that there is such thing as over communication or too much business leader
Currently, the public relation profession is focusing a great deal of attention on how public
relation strategies can produce a positive Return on Investment (ROI) (Grunig, J.E., 2006).
While it is difficult to place a monetary value on relationships with publics, in practice there are
numerous examples of how good relationships have reduced the cost of litigation and negative
revenue through the sale of products and services to relevant stakeholders (Grunig, J.E., 2006).
The extensive research today being conducted on relationships may in time demonstrate
relationships as the most important intangible asset to an organization thus reinforcing the value
and (ROI). Public relationships provide a means of evaluating for evaluating both long and short
effectiveness (Hon and Grunig, 1999; Huang, 2004; Ki and Hon, 2007) and commitment as key
components of high quality relationships and the organizations reputation. Such factors are
essential for organizations working with both favourable and unfavourable operating
environment.
When features (political, social, regulatory, economic and competitive conditions) of an
organizations operating environment are favourable, strong relationship with key stakeholders
assist in further maximizing the organizations position within its industry. In a volatile operating
environment the social, political, regulatory or economic trends are working against the
The time the organization benefits most from the contribution public relations makes through
building relationships is when it is dealing with volatile environment when such outcomes as
trust, satisfaction, commitment and the organizations reputation not only provide a return on
Public relation professionals and scholars have long been searching for key concepts to asses the
value of public relations. According to J. Grunig and Hung (2002), throughout the history of
public relation, practitioners and scholars have attempted to identify and name a single concept
that defines the value of public value of public relation. Similarly to Grunigs, Grunig and Dozier
(2002) also said For at least 25 years, public relations professionals and researchers have
struggled to develop measures that would establish public relation is effective or adds value.
Public relation professionals have tried to measure the effectiveness of public relation
effectiveness as they increasingly have faced the challenge of demonstrating the value of public
relation to their organization (Hon, 1997). For instance, Kim (2001) describes practitioners
challenge from organizations as follows: CEOs demand for accountability (of public relation
practitioner) has become more tenacious than ever due to recent budget cuts in public relation
industry. Ledinghamand Brunig (1998) put it that scholars have luxury to deliberate the nature of
public relation but practitioners deal on a daily basis with the immediate problem of justifying
the value of their programs. Despite of critical nature of demonstrating public relations value at
the organizational level a common belief is that value of public relation is difficult to measure
since most of its elements are intangible moreover the function of public relation traditionally
has been considered to be a means of reducing costs rather than as means of generating
organizational revenues.
The question of value of public relation has been of great concern to professional
communications for many years because of the perception among both communicators and
managers that public relation is a tangible management function in comparison with other
functions whose value can be described measured and evaluated through systematic approach
because of the intangibility, public relation often has been believed to suffer at budget time and
particularly during financial cruses because these is no way to demonstrate its worth.
Griffin (2002) and Hutteon, et al., (2001) have pointed out that public relation professions have
widely embraced reputation management to demonstrate the economic viability of the public
relation function. Kim (2001) maintained that the accountability of public relation at the
organization level could be demonstrated well by showing the effect of reputation on financial
Indeed public relation practitioners advocate reputation management more than professionals in
any other field. According to Hutten, et al., (2001) major international public relations agencies
LITERATURE REVIEW
Theoretical Framework
Strategic public relation has become more popular among public relation practitioners (J. Grunig
& L. Grunig, 2000). Although the concept does not have explicit definition, most discussions of
strategic public relation refers to (i) Plans, (ii) objectives, (iii) evaluation of public relation
programs that are obligatory within the frame of organizational objectives (J. Grunig & Repper,
1992). Strategic management prospective effective public relation must be part of strategic
management at the organizational level while it manages its own programs strategically. It seeks
to balance internal activities with strategies that deal with external environment to achieve an
part of strategic management. It develops good relationships with stakeholders that can constrain
or help the organization achieve its mission. Some public relation scholars have pointed out that
the role of public relations is not that much recognized in strategic management. For instance (J.
Grunig and L. Grunig, 2000 maintained that only a few of this scholars have recognized or
described the role of public relations, although writers on strategic management have discussed
the environment and list important components. The authors argued that public relations plays a
critical role in strategic management by helping the organization to identify the important
components of the environment and building good relationships with them through
constrain it.
and operational strategy. Based on this level, public relation strategy is conceptualized as a
functional, strategy providing vital link between the enterprise/corporate/business strategies and
the public relation strategy. Public relation is formulated in the redefined role of public relation
1998).
As a functional strategy, the public relations strategy provides focus and direction for an
relationships with its strategic stakeholders. It is the thinking and logic behind the public relation
communicated it is therefore not the same as communication plans but provides the framework
Public relation strategy is developed with the context of the organizations vision, mission,
corporate culture, policies and strategies (the internal environment but focuses on an assessment
RESEARCH METHODOLOGY
Research Design
Research design is the strategy, the plan and the structure of conducting a research project.
Michael, S. Carriger (2000). A research design is the plan and the structure of investigation so
conceived to obtain consumers to the research questions. Philiphs (2002) noted that research
design constitute the blue print for collection, measurement and analysis of data. The function of
the research design is to ensure that the evidence obtained enables us to answer the initial
The research was descriptive research design. This is because the researcher took raw data and
summarized it in a useable form. This allowed the researcher to obtain information that describes
the phenomena as it exists by asking the individuals about their attitudes, behavior and values.
Sampling refers to taking of any portion of the population or universe as are preventative of that
population or universe (Kerlinger, 1967 defines). To identify the target population, the researcher
visited Ukunda, Mombasa and Kilifi branches of Red Cross Society and collected a list of
employees in each branch to get the sample size. The researcher chose this sample size since the
branches are easily accessible and fall in the costal regions. Other factors that led to this sample
size are limited time and money to facilitate a bigger size sample.
Stratified sampling was used to obtain a representative sample from each branch containing
The table below shows demographic of the respondents year of service at Red Cross
Averagely most of the staffs seemed to have been working with Red Cross Society for three
years to five years. This therefore means that there is job security in the institution with regard to
this research topic, it implies that the collected data is relatively accurate since the respondents
Public relation has significant impact in the organizational performance especially during a
crisis. This therefore indicates that public relation helps the management to resolve
organizational disputes with stakeholders and donors. With regards to deep heat that was raised
by general public as a result of criticisms of spoilt maize from South Africa. Public relations
helped to contain the situation. The public were well informed about crisis ranging from drought
Public relation has a great role in organizational alignment. All respondents agreed with some
parameters that affects this topic that contributes to motivation by providing a coherent frame of
reference by aligning strategic messages with those more closely related to specifics of an
information about corporate activities, supports the culture of an organization enables employees
to understand the vision and direction of the organization while at the same time support
management and human resource initiatives in equipping personal with the knowledge and
A notice from the gathered data, media relation is seen to have a very great impact on public
relations. This therefore means that, whatever is to be communicated in the media or whatever
has been communicated by the media tends to frame the way the banks management frame its
communication messages. With regards to public relation in media relation, respondents quoted
that it enables organizations to send out press releases on news media wires to publicize
organizations strategic plans leadership appointments and other company news. Respondents
also said that it promoted the positive use of social media whilst managing its adverse effects or
more generally emergence, planned social media and to help achieve corporate strategy. By
enabling the organization use a range of media, including corporate blogs and internet
consistent messages.
On the aspects of organization insights 60% of the respondents agreed public relation enables
media personnel to contact senior executives for interviews that offer insights into the latest
trends in their industries while 40% felt that public relation enhances better communication with
the donors. Hence from the gathered information or data, it is evident that public relation has a
From the questionnaire, the respondents agreed that public relation has effect on donor relations.
All respondents said that it enhances communication donors through annual reports, quarterly
updates, stock news, board meeting minutes and financial reporting. They also felt that, it 100%
enables the organization send its donors industry updates, which can include media coverage the
organization has received, negative or positive. This creates positive relationship with key
On the other aspect, of public relations effect in donor relations, 100% said that it enables
organizations adapt to the growing demand for information and stakeholder insight through
policies of consistency, that is, by formalizing all communications and pursuing uniformity in
Organizational Alignment
Crisis Management
Organization Performance
Public Relation in Media Dependent Variables
Donor Relations
Independent Variables
The model of the study is determined in Figure 2.1 above. It shows the independent variables;
The dependent variable is the effect on strategic management. If the public relation strategy is
well implemented, it can result to, enhanced reputation of the organization, competitive edge,
employee motivation, stakeholders (donors and government) trust in the organization among
others. Also if public relation is poorly implemented, it results to crisis reduced donor finding,
The findings on crisis management indicated that the perception is that it prevents further
damage to the organization image, enhance donor confidence and plays a critical part in building,
maintaining and protecting organization reputations. This is due to the role of crisis management
fulfill their expectations. The study found that in crisis management, public relation enhances
discrepancies between the organizations desired identity and brand features and enhances
building of trust with citizens, donors and beneficiaries with organizations critics, through
The study found that the organizational alignment is enhanced in strategic management by
providing a coherent frame of reference by aligning strategies. Messages with those more closely
employees about corporate goals and improve job satisfaction throughout the organization
The study found media relation in organizational performance is mainly the message. The
organization intends to put through to the intended group as it enables organizations to send out
press releases on news media wires to publicize company news and anything else that appertains
to the public. The focus enables the organization to use a range of media including corporate
blogs and internet communication such as websites, banners and sponsored online
communications.
The study found that it enables the media personnel to contact senior executives for interviews
that offer insights into the latest trends in their organization and that media relations enhance
effective content management of corporate website and/or other external touch points.
The study found that the impact of donor relations in organizational performance is that it
enhances communications to donors through annual reports, quarterly updates, board of trustees
meeting minutes and financial reporting. The study found out that the role of the organization in
donor relations is to integrate the economic resources, political support and special knowledge
each stakeholder offers, transforming it into financial and social wealth not because it is socially
Conclusion
The study aimed to discuss the possible effects of strategic public relation management on
Response Rate
The researcher distributed 40 questionnaires to the respondents and received 30 of them back.
This therefore indicated that the response is reliable since more than 50% of the feedback was
The researcher received a total of 18 responses from male and 12 from female. This was a
positive feedback since there was a fair representation of gender. However, the ratio of male to
female as per level of response indicates that there is no gender balance in Red Cross Society.
Gender of Respondents
Figure 4.1: Demographic Information of Gender
From the researchers collected data, it is evident that Red Cross has approximately 76.5% of its
employees or either degree or masters holder. Only 6.7% (N = 2) were form four leavers.
This therefore means that Red Cross Society consist of elite staff hence offering better public
relations to the citizens. The elite class is expected to impact their learned knowledge into
practical use.
Table 4.4: Demographic Information of Respondents Marital Status
Out of the data collected as shown in Table 4.4 above, 40% (N=12) of the respondents were
married, 43.3% (N=13) were single, 10% (N=3) were divorced and 6.7% (N=2) were widowed.
The fact that most of the respondents were single seemed to make employee management quite
easy as single staffs are believed to be flexible. The married group brought on board a mature
way of thinking.
Grunig and Hunts (1984) define public relations as the management of communication between
an organization and its public, and therefore we can conclude that the management of donor
constituencies is a specialized form of public relations. The significance of this conclusion is that
public relation is usually well integrated as a management function both at the branch level and
the parent organization. Its practitioners tend to be well informed of the mission and the goals of
the organization. This is especially true if the organization does not direct the fundraising
All sources of donors foundation, corporations and individuals have the potential for infringing
on the autonomy of charitable organizations through their gifts (Kelly, 2001). Given this
propensity for donors to influence the institution through their gifts, it places a greater
responsibility on fundraising professionals to be cognizant of potential infringement on the
organizational goals would be where a donor proposes funding for projects in a field dear to the
heart of the donor but a field in which there is no program to direct such an interest. Donors are
the stakeholders in the non-governmental organizations and there characteristics is that linkage
with the organization resulting from consequences, or stakes (Clarkson, 1991; Coombs, 2000
and Daft, 2001) pointed out that stakeholders and an organization are linked because they and
the organization has a stake in the organizations performance. About the implications of donors
for an organizations management, Coombs (2000) said as follows: It is taken for granted in the
management literature that organizations have donors and that the management of these donors
Recommendations
To create effective public relation in crisis management and image management and organization
need to formulate strategy. Public relation strategy that can be seen pro-active capability to adopt
developed within the context of the organizations vision, mission, corporate culture, policies and
strategies but focus on an assessment of the external environment. This enables the employees to
Proper detailed inquires should be done on media relations because it is the thinking, the logic
behind public relations functions actions in determining what should be communicated rather
than how it should be communicated. Due to the growing demand for information and
communications and pursuing uniformity in everything they say and do. This enhances ability of
organizations to recognize the need for an inclusive and balanced stakeholder management
approach that involves actively communicating with all stakeholder groups upon which the
organization depends and not just beneficiaries, thus leading to creation of well managed,
Although the study had some limitations and constraints, the finding of the research has to be a
subject to be discussed and applied in a profit making organizations and business activities. For
this point of views, new research has to be done using other sampling methods and on different
organizations both profit making and non-profit making. With these new researchers it will be
easier to compare and to discuss similar finding of studies with those provided in this study.