Communicating the corporate story to stakeholders is an important ongoing function that is commonly overlooked.

 

Problem

How do I communicate the current situation in a manner that is clear, fair, accurate, and does not compromise our competitive positioning? How do I keep investors satisfied without taking numerous phone calls? Many communications pieces from CEOs are based on their internal optimism, but it may not be the best story to convey since it may create excessively high expectations.

 

Solution

Written communications to stakeholders can alleviate the CEO and other C-Level management from spending too much time on the phone re-explaining the situation to many stakeholders. It is important not to over-promise to avoid future problems, and yet still convey progress made and the positive direction.

Written pieces designed to communicate with stakeholders also set the tone for what the management team is allowed to convey, and how to frame the progress made so as not to create expectations that cannot be met.

Primary Objective

The objective is to keep stakeholders informed and enable the C-Level management team to remain focused on performing their function.

Secondary Objective

Inform all members of the new venture what is allowed to be conveyed to outside parties. Eliminate information leaks.

How

Letters to stakeholders and shareholders can be posted on a website to provide ongoing updates. Newswires can be deployed if a broader audience is desired. The simplest method is the corporate website to clearly convey progress made and new developments. Quarterly and/or monthly notes may be appropriate. An unscheduled note is important when there are industry concerns or developments, or when an important noteworthy event occurs such as new contracts, revenue milestones, or new development milestones.

 

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