Again, Rebuilding Trust...

It could not have been coincidence. This week, in the U.S., two eminences who appeared before the U.S. Congress to answer questions by legislators on the Obama stimulus package,   pointed out the need for rebuilding Trust.

Treasury Secretary Timothy Geithner told the U.S. Senate: "The American people have lost faith in the leaders of our financial institutions and are skeptical that their government has, to this point, used taxpayers' money in ways that will benefit them."

Lloyd Blankfein, CEO of Goldman Sachs Group, said in the House of Representatives, on Feb. 12: "We have to regain the public's trust and do everything we can  to help mend our financial system to restore stability and vitality." (Wall Street Journal, Feb. 12 2009).

We could very well be saying the same things in the Philippines. While we, as individuals, may be resolved to stay strong and keep on enhancing our performance, say,  in business and the professions,  we still  need our institutions to hold us together. We will always need leaders to look up to. We will always  need to believe that those we see as blundering, faltering  and going about motivated by  greed and dishonesty are far outnumbered by those who are good and will stay true to their oath as public officials and  their commitment as leaders of business, community and society.

We earn trust by what we do, and not by what we claim. PR can help rebuild  trust in our leaders by laying out to them the power of  corporate governance and of genuine public service. Authentic leadership means those in whom we have invested Trust must serve us, and not themselves. It means curbing greed and self-aggrandizement, and keeping in mind, quite up high there, what will be good for our employees, stakeholders, and our community. And what is according to law and to regulations.

Better, the difference between right and wrong.

It will be difficult to tell our leaders, in government and business, who could well be our Clients, that they must toe the line and help restore trust in our institutions. We in PR, must, nevertheless, try. The price for not doing so may be unbearably high. The biggest,  most imaginative economic recovery plan  any one can put together may be of not much use if those who will be tasked to deliver it  will not have what it will take. Our Trust.

The PR Job This Year:Hunkering Down

This year, we in the PR Agency  business really have to hunker down, and work like we never did before.  Just a few weeks ago, I thought I had it all figured out--use the old formulas that worked before, and hope for the best. But...how can we resist facts? 

Hardly a  day has passed since the beginning of the year without  one or more companies announcing layoffs, losses, lower profits or reduction of work shifts. That  old reliable of the Philippine economy, the remittances of our OFWs, is said to be bound to be lower in coming years. People have begun to lose jobs. When Intel announced in January  it was closing up its plant in Cavite,  after several other big firms had laid off  employees or declared redundancies, I said, we really must brace up. Who's going to be next?

I would say let us hold hands, and look deep into ourselves, into how we do things, and see how we can keep improving our work. In the PR Agency business, we are what we deliver,  and the value that we add to Clients' business.  Clients will try to stay with us, as long as they themselves are viable and need us. The critical point is proving that not only are our counsel and services needed, but that they are indispensable. 

Keep strengthening the hopes of our personnel, especially the young ones. Let us hold on to them, even if ourselves, the owners and managers, have to give up some of what we have. 

Jack and Suzy Welch wrote in October last year something about connecting with our people. "We're not talking about walking the hallways saying 'hi.' We are talking about building visceral relationships by hanging out where the work gets done, talking and listening, eye-to-eye."

Let us show our people  how to expand on some of what we learned through our early struggles---that Clients are kept and sustained by the strength, relevance and value of the programs and initiatives that we present them. Clients need timely ideas that work and help them realize value, enhance their reputation, and  win in the marketplace. 

And to deliver these, we need  to keep people,  who will help us  think with quality and work with commitment and idealism.

Trust--Better Than Money in the Bank, But When You Lose It....

Trust--pagtitiwala-- is better than money in the bank. You can re-earn money, when you have what  it takes, foremost of which is trust. But one of the most difficult things to retrieve in life is trust.

I have been thinking  lately of the likes of Mr. B. Ramalinga Raju, founder of Satyam Computer Services of Hyderabad. He is under detention and undergoing investigation for many counts of fraud, including creating fictitious bank balances to make it appear that the company was doing well, and siphoning off corporate funds to companies owned by his family. We are not saying he is guilty. Mr. Raju's case is now known worldwide. In business, which is a complex of human relationships,   trust is the first casualty of being so publicly charged.

Will Satyam, or any other organization similarly situated,  survive this erosion  of public trust in its top leader? Is Mr. Raju to be held solely accountable for his supposed misdeeds? What about his board of directors?

In a great many of the most celebrated corporate scandals of recent years, trust was betrayed by those at the very top, who were supposed to safeguard it in the first place. Trust was betrayed as well by systems that were weak and porous. CEOs were put up on pedestals, adored by investors and managements who allowed them incredibly huge salaries, fees and stock options. Normal constraints of accountability and openness did not fetter CEOs who delivered sterling financial results and public adulation.

It is high time that business protected itself from leaders, and boards of directors, who would trifle with the trust of its stake holders. Media have been faithfully recording the sins of corporate leaders, but this has not seemed strong enough to deter betrayal.

In the Philippines, the Institute of Corporate Leaders (ICD) has been promoting transparency, responsibility and accountability among corporations, with particular emphasis on preventing corruption.

Public Relations can help by strengthening the concept and practice of corporate governance. Relatively few CEOs in the Philippine business have been found with their hand in the till. This is good. But let us not wait for the time when betrayal of trust will be commonplace. Trust is what honors business, and holds it together.

Three More Who Have Gone On

Three PR practitioners I knew have just gone on-- Jose "Joe" Orosa, Enrique  "Iking"  Santos and Benedicto "Ben" Figueroa.  

Strictly speaking, Joe was not a PR person: PR was not his business, but he was what a PR person ought to be, bright, rigorous, honest, upright,  and committed to others. He died a few days  ago. He owned and ran a big carpet manufacturing company, and later a rattan furniture business. He was a Client of mine, who became  a friend. Joe was quite simply one of the finest human beings I have ever met. He was utterly devoted to his children. When he spoke it was all to be sure you and your family were okay, and when you spoke, it was as if your words were going to be some of the most important he would ever hear.  He and his beautiful  first wife,  Ciel, would invite us to their lovely home. Rich people, the good ones, work ever so hard, and radiate inner beauty with their simple ways. 

I wrote about Mang Iking a few months ago. My estimation of him never wavered: he was a PR person whose contributions to PR practice, particularly in  airline PR and crisis management, still have to be examined by scholars. As a journalist, he was hailed as a craftsman and as a mentor.

I met Ben Figueroa in the early 60s, when we were starting out at Ace-Compton  (Advertising). He was very bright, often discussing existentialism with Triccie Cepeda. Years later we found ourselves at JWT, and counterparts on the Pepsi Cola account, he in advertising and I in PR. Ben was the brainy type;  you would think he was bland, but he  was really a gentle nice person. He headed Lexington International Public Relations,  Inc. years after I left it. A few years ago, he migrated to the U.S., and died  earlier this month in New York.

I remember  these three kind men with esteem and affection.

Betting on the Philippines

As the year begins, there is one thing I would like to say: I will   bet once again on my country, the Philippines. We have been through all manner of crises before, and we  have always pulled through. True, this current global economic crisis indicates that it may be more overwhelming and far- ranging that any we have had before and that our economy still has inherent frailties. In spite of these, I would rather  keep faith in my country, than unearth reasons why it will not survive this crisis.

PR, which is my trade, is a business that, while it sticks to fact and reality, thrives on hope. We are trained to provide solutions to problems and chart long-term programs designed to putting clients on a strong footing. Our chief instrument as professional consultants is command of facts and creativity in creating programs that build consensus and understanding, as well as promote free enterprise and economic production. 

The Philippines has  a number of things going for itself. Its manpower, including those working overseas, is strong and on the overall suitable to the needs of employers in  the domestic and foreign market. Domestic peace and security has been relatively stable for a while, and this will provide the impetus for domestic tourism, for instance.  Foreign reserves are healthy. There is a quite strong will to entrepreneurship and innovative production. Our policy makers and leaders are  focused  on pushing on with accelerating productive enterprise, reviving exports, promoting our service industries and enhancing national competitiveness. Our people, for their part, it seems, would rather stick to their work and help keep the economy going.

In PR, we keep receiving from overseas indications of interest in the Philippine market. Foreign companies do still want to promote products and services in the country. 

Have we got problems? We have them, aplenty. Fears engendered by corruption, for one. Cost of business perceived to be intolerably high,  because of corruption. Layoffs that have begun in the OCW sector. Anxieties over investments crawling to a stop, as a direct result of the global crisis. 

I still bet on my country, because it makes sense to do so. The Philippines is a  going concern, and opportunities abound in it. 

IPRA Philippines To Attend Beijing PR Congress

Six members of the Philippine Chapter of  the International Public Relations Association (IPRA) will attend the PR World Congress in Beijing, Nov. 13-15. 

Delegation head is Joy  L.  Buensalido, chairperson and World Council member. Joy is president and ceo of  Buensalido & Associates.  

Other members of the group  are Max Edralin, consultant, Bangko Sentral ng Pilipinas; Rene Nieva, chairman, Perceptions, Inc.;  Millie F. Dizon, vice president, SM, Inc.; Edd C. Fuentes, president, Fuentes Publicity Network, Inc. and Romeo P. Virtusio.  There are eight other members of Philippine group, PR practitioners who are not IPRA members and other professionals. They are Geny Nieva,  Dr. Adrian Buensalido, Architect Jason Beunsalido, Monique Buensalido,  Veronique   Boncan, Lulu M. Virtusio, Victor Arel M. Virtusio, and Ma. Desssa Joyce M. Virtusio. 

Beijing-Just A Week Away!

Robert W. Grupp, IPRA President, 2008

Excitement is building up among members of the International Public Relations Association (IPRA) who are attending the PR  World Congress that is going on in Beijing Nov. 13-15. Hopes are high, what with a full promising agenda and a top-calibre line-up of speakers, including icon Harold  Burson, threshing out varied topics, and a whole schedule of panel discussions. 

IPRA President Robert W."Bob" Grupp has been so kind as to update us on the program, and his expectations of, the Beijing Congress. I am honored to quote his note, and thank him for it:

"My expectations for the IPRA 2008 Public Relations World Congress are very high. We have more than 400 delegates from at least 30 countries who are registered to attend. This is a very good turnout, considering the very difficult global economy. I believe the strong attendance illustrates the dedication by these delegates to learn from one another and share best practices from all regions of the world.

Among the highlights we will experience together next week:

A speech by PR pioneer Harold Burson at the opening gala dinner on Thursday night, Nov. 13. Harold is 87 and as sharp as ever! He was the first multinational PR agency to launch business in China. That was in 1985 when B-M partnered with Xinhua news service.

That same evening I am honored to present the 2008 IPRA President's Award to John D. Graham, chairman of Fleishman-Hillard International Communications. John is a long-time IPRA member and has grown his form from a small regional agency in St. Louis in the USA, to a global firm with 80 office around the world.
Each delegate will receive a copy of the newest IPRA Gold Paper: "Public Relations and Collaboration -- "The Role of Public Relations and Communications Supporting Collaboration in a Complex, Converging World." The paper is available in English and Chinese via www.ipra.org. It's a good read; I recommend it.
Chinese Foreign Minister Yang, a proponent of business diplomacy, is scheduled to open the World Congress. (Our co-host, CIPRA, is hoping a vice premier of China also may attend. This would be tremendous recognition for IPRA and our cause.)

The program is strong and relevant. We have 8 Chairmen or CEOs from the world's largest multinational PR and communications agencies attending.
I believe the legacy of this World Congress will be better understanding of our various cultures, especially China. Understanding the success of this great market as well as the internal challenges is fundamental to understanding China. I expect to leave this professional dialogue with a great deal more understanding and sensitivity to how China sees world issues today and consequently, how public relations is best practiced there.

I also hope that this World Congress will encourage all of us to practice business diplomacy as it is defined in the new IPRA Gold Paper. That means we should have the courage to talk with one another, even those with whom we disagree, not necessarily as a sign of approval, but as a way of understanding and shaping opinions, environments, and ultimately, the resulting behaviors. That is what is meant by ‘collaborative diplomacy.’

While we explore these topics and ideas, we must not lose sight of the challenges brought about by the current global economic crisis. More than ever, we in public relations need to measure and report return on investment in public relations for client organizations.

Finally, I expect to have fun together in Beijing! Where else can we meet friends in public relations from all the continents?

I wish the Philippine delegates safe travel and a good conference."

See you in Beijing!

Best Regards,
Bob

Robert W. Grupp
IPRA President

Happy fruitful presiding, Bob!

The China International Public Relations Association (CIPRA) is leaving no stone unturned to make the PR Congress a scintillating success.