Design of Study

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CHAPTER 1

HISTORY OF PUBLIC RELATION:-

Public Relations as a term was first formally used by

Thomas Jefferson

in the year 1807 ,while drafting his seventh address to the congress delegates when he

scratched out the words State Of Thought and wrote Public Relations instead.

Informally Sir Walter Raleigh used it even earlier during the Land Rehabilitation

Movement , while persuading people from different parts of America to settle in the rural

parts of Virginia. This was the first organized effort to win and mobilize public opinion.

In India , the term of course gained importance later through the Public Relations Society

of India (PRSI) in 1958.

Meaning And Introduction:

Public Relations, commonly called as PR is an activity aimed at increasing common &

understanding between an organization or individual & one or more groups called

Publics.

What Is Public?

Public is a group of similar ideas, an assortment of persons having the same interests,

problems, circumstances & goals. They vary in their forms & sizes they have a multitude

of wants & desires. Each group has its own likes & dislikes. Group can be classified

as:- Employees form a group/public, employers form another group, etc. Other members

of the public can be dealers, wholesalers, investors, etc. Each of these group is a public &

everyone tries to attract a district audience with its varied tools & techniques. A public

may also be made up of a no. of individuals who are unorganized & hard to identify but

who for widely varied reasons have a common interest in the matter at issue.

Today, however, when modern means of common make vast number of people aware of

controversial issues & common interests, publics tend to be large &impersonal. These

publics involve people who are not known to each other & are widely distributed over the1


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country, or even among a number of countries. The members of such public rarely meet

each other face to face or have much direct communication. The impersonal but powerful

publics are numerous in todays high complex society. But finally the public is any group

of people who share common interest.

Relations:-

It is the outcome of mutual understanding derived from the process of sharing of common

interest where as relationship is the definite type of relation or interaction taking place

between two individuals, group or departments. To understand any relationship, therefore

it is necessary that one understands the wants of those involved. The term PR is also

applied to the profession responsible for handling such assignments. Corporations, govt.

agencies, politicians & entertainers are among these who use public relations. Their publics vary from employees & shareholders to an entire community or members of the

news media. The communication between an organization & its public ranges a simple

news release to a sophisticated campaign featuring films, ads speeches & television

appearances. Such communication is aimed at gaining the goodwill of the public. The

basis of any effective PR campaign is public benefit. If an organization does not serve the

needs of public, the public will not support it. PR experts help an organization learn what

the public wants & then establish policies that reflect concern for publics interests.PR

generally is practiced through:-

1.Corporate PR dept

:- In a corporate department, specialists handle corporate PR activities for only that

company.

2.PR Agencies

:- In agencies specialists carry out PR activities for several companies

3.Public Information Departments2


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:- Non-profit organizations like colleges and Government agencies have public

information departments that work to strengthen the image of the organization.

Definitions of PR by some renowned people :

Frank Jefkins: Public Relations means what it says- relations with the public. It is

practically a self-defining term. It aims to create and maintain confidence. It is a system

of communication to create goodwill. It produces that intangible quality or asset-

goodwill, and earns credit for achievements.

K.R.Balan

: The discipline which brings out the rewards in generatingmutual understanding and t

he risks involved in misunderstanding betweenindividuals, groups, governments and

nations in this restless world the shape and content of which tend to be rapidly changing.

Editor of PR news:

PR is the management function which evaluates public attitudes, identifies the policies &

procedures, of an organization or an individual with pubic interests & plans & executes a

program or action to earn public understanding and acceptance.

Interpretation of the above definition-

1. It measures, evaluates & interprets the attitude of various related public.

2.It assists management in defining objectives for increasing publicunderstanding & acce

ptance of orgnisations products, plans, policies & personnel

3. It equates these objectives with the interests, needs & goals of various related public.

4. It develops, executes & evaluates a program to earn public understanding

&acceptance.

ELEMENTS OF PUBLIC RELATIONS:

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The main objective of public relations is to establish good understand-ing by sharing a

common problem or interest with the public. By public where mean both an internal

public and a public external to the organisation. Mutual understanding can be established

only by sharing a common interest, by communication and relations.

However, the following are the broad objectives of public relations:

1. To promote mutual understanding.

2. To avoid the risk involved in misunderstanding.

3. To win friends.

4. To influence people.

5. To change the behaviour and attitude of the public.

6. To enhance the patronage from the various sections.

7. To help in fund raising.

8. To persuade individuals, groups etc.

9. To connect misconceptions and clarify on criticism of its policies and practices.

10. To promote goodwill.

11. To create and maintain the image or reputation about the company.

12. To forestall attack by the competitors or opponents.

13. To undertake a public relations education program.

14. To help the public to love life and work for better or for worse without conditions.

15. To improve internal staff relations.

16. To liaise, counsel and advise.

17. To provide information about the activities of the company to the press and writers.

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18. To prepare and supply the public with information about the organisation like price,

quality, export, employment, and other special features.

Special features

19. To ascertain public opinion, conduct opinion research, and under-stand public

attitudes on the organization, profession and practice.

20. To sponsor dealer and distributor relations schemes.

21. To undertake programmes like sales training courses for retailers, wholesalers.

22. To establish press relations, publicity articles preparation, press release, photographs.

23. To communicate with the employees on their benefits, accident prevention labour relations and collective bargaining.

24. To undertake a campaign of public education about an industry or profession and its

contribution to the public.

25. To establish relations with federal and state legislators, agencies.

FUNCTIONS OF PUBLIC RELATIONS

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The functions that are to be performed by a public relations department may differ from

organisation to organisation depending upon the nature and activities of a particular

organisation. However, certain standard functions have emerged as common in most

balanced departments. They are discussed below:

1. Policy

: Public relations policy is required for every organisation. A policy is a statement of

guidelines to be followed in the company. The department has to develop and

recommend corporate public relations policies. It has to contribute the public relations

view point which helps in the formulation of decision. Its function is not merely to

provide the policy mainly to the top management but also to other sections and divisions.

2. Publicity

: Corporate publicity is necessary to interact with the public. The department has to

undertake the development and issuance of announcements of corporate activities to

external communications media. It has to handle inquiries from the press. It is part of the

functions of the department to develop and place promotional publicity about the

company as a whole or any of its units.

3. Product Publicity :

Corporate publicity is different from the product publicity. In this, focus is on the

products and how to popularize the product. This includes both new products as well as

existing ones. It includes the announcement of new products through the editorial

channels of the communications media. The department has to develop and execute the

promotional product publicity campaigns.

4. Relations with Government:

Relations with government cannot be overlooked. In all spheres of activities the

government inter-fares, regulates, controls and supervises. It is necessary to maintain

liaison with appropriate governmental departments. This liaison covers both the local

level, state level and national level. Besides, governmental relations includes:(i) advise

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action as needed.(ii) report trends in government affecting the company.(iii) help in

preparing and directing corporate appearances before investigating bodies of legislative

hearings.(iv) direct programmes designed to promote the company's point of view in

legislative or regulatory matters.

5. Community Relations :

Community contacts should be planned. It is the performance and/or coordination of

corporate 'good neighbor' activities, including compliance with environmental protection

standards, fostering equal employment opportunity, cooperating in urban improvement

programmes, and developing community understanding of a company's problems and

needs.

6. Shareholders Relations;

Relations with the corporate stockholders is more important to attract public money. This

takes the form of communication between the company and the shareholders in

particular. Also the investment community in general. It is necessary for the development

tand acceptance of the company among investors by broadening the exposure of the

company's policies and financial results in the investment community. This function

includes preparation of annual reports, quarterly reports, dividend cheque inserts etc. It

has to plan and stage the annual meetings of stockholders and appearances before

meetings of security analysts.

7. Promotion Programmes:

Public relations promotion programmes should be formulated and implemented. This

may broadly cover institutional promotion programmes designed to build corporate

acceptance of key policies, institutional advertising, public relations literature and special

events.

8. Donations:

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A corporate donation policy should be developed for company contributions- Various

aspects involved in this function are processing requests for donations administering

company's foundation, and the conduct of employees solicitations for approved drives.

9. Employee Publications:

The public relations department has to prepare and publish employee magazines,

newspapers, bulletins, management communications etc.

10. Guest Relations

The department must undertake guest reception activities.

11. Coordinating Activities.

12. Conveying and Interpretation.

13. Advisory Functions.

14. Instructing by doing

15. Public Relations Education Programme.

THE NEED FOR PUBLIC RELATIONS

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In recent decades human society has become so complicated and differentiated that the

individual--- at least in the developed countries- is no longer able to live without adequate

information. He certainly would not be able to live well without using the numerous

possibilities of information offered him today. It is an indisputable fact that in this

increasingly automated world man can no longer exist in complete isolation. In our age,

technical developments have intensified the interdependence of all people to such an

extent that the individual's capability of living is dependent, in many different ways, on

society. That is, the individual lives on information he receives from society.

Four Fundamental Factors:

The answer to the question, 'Why Public Relations?' is well explained with the help of the

following paragraphs:

1.Communication:

The means of communication have reached, technically, almost a stage of perfection. It is

today financially possible for practically everybody- at least in the advanced nations-to

receive'" information. The level of education of a wide circle of the population is rising

rapidly and this ensures a steady increase in the capacity for receiving information which

is guaranteed by the 'constitution.' Adequate information is, therefore, theoretically

possible although it is by no means guaranteed in each individual case.

2.New Information Order:

Whether we are correctly informed is far more difficult to answer. Many books, many

discussions in academics in radio and television in India and abroad, and countless

lectures, not excluding those in 'Information Society' and 'New Information Order' , as far

as we are aware, a correct reply is yet to be received. The only answer, according to the

philosopher Karl Jaspers given in 1963, is "we in the Free World have the chance to share

the responsibility and find ways of receiving the best possible information."

3.Information Load:

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Also called message load or quantity. The sceptic will, of course, draw our attention to

the flood of information to which we are all exposed today. The proper reply to this is

that this flood is largely without direction and that it is incomplete or inaccurate.

Information must be prepared. Essential information must be separated from trivial

matter, and the interest of the receiver must be aroused in the right direction. In the

realization that ignorance, the inability to appreciate or recognize, superficial knowledge

is extremely likely to result in dislikes, dissatisfaction and outright rejection with all their

disastrous consequences. What we require is a fair means of information which

eliminates existing or awakened suspicions, which builds up understanding, and creates

confidence. This is what we call Public Relations.

4.Mutuality and Understanding:

Going by the definition of public relations, the mutuality is based on interaction between

consideration for public opinion, and the need of the communicator or organization to

inform or establish contact. Understanding is created by providing insight into, and

reporting on all essential matters. Confidence is cultivated by bringing the aim of the

organization into harmony with the public interest, thus winning and maintaining

goodwill among the general public. From all these facts, it is clear what the purpose of

this' Activity in, for, and with, the public is : To act and not to react; to create an

atmosphere of confidence by an active information policy, the passive part of which

consists in answering queries; to inform the public and exert influence towards the inside

as a form of corporate and social counter-control to establish direct or in direct

connections with the public, to fulfill a kind of interpreters function towards the public

and to control communicative reaction. The desired effect can only be achieved if the

information or message is true and verifiable, clearly formulated and readily

understandable, and is also in conformity with the daily practice of living and

experiencing.

SCOPE OF PUBLIC RELATIONS

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There has been misconceived opinion about the scope or field of public relations

activities. In lectures and articles published one is apt to gain the impression that public

relations concern industry and commerce only. In such an instance it can only be said that

one tends to overlook the fact that public relations, particularly in this decade, has entered

all sectors of public life, not excluding religion, and that it how has a virtually unlimited

field of application. The following examples demonstrate the wide field of public

relations activities in industry and commerce. In our market economy there are

information gaps which cannot be filled by the interaction of supply and demand via

prices, costs or wages. This is when public relations activity steps in. It provides

information on Planning technical andorganizational developments, inventions and their

potential utilization, or it issues at regular intervals company reports which provide a

deeper insight into the structure of the corporation than the public can otherwise obtain.The relations activity is becoming increasingly necessary for the procurement of

economically essential production factors. It makes it easier for corporations to tap the

money-market or to finance their projects by issuing bonds or shares. It can also help

them to find new personnel when necessary, and thus level out personnel fluctuation

without reducing the desired working mobility. Finally its easier for a corporation to

acquire land from a community if the corporation cultivates public relations and

endeavors to bring its own interests in harmony with those of the community. Public

relations activity may support marketing. In its various forms it may contribute decisively

to successful frictionless business activity. The principles of reciprocity underlying public

relations is for the corporation an incentive to improve performance, because it helps the

Corporation to overcome a difficult situation. Today the public relations profession has

entered even in to the fields of hospitality, tourism, institutes, in education and to a

variety of others.

PUBLIC RELATIONS EXPERT- SOCIOLOGY AND PSYCHOLOGY POINT OF

VIEW

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The task of the relations expert is applied sociology. In other words, he must advise his

clients bearing in mind the essential features of sociology and psychology. In particular:

1. He must hold a mirror to his organization so that it can see where it actually stands and

how it really looks in the opinion of the public. Thus is one of his essential duties, and inmost cases, it provides the organization with knowledge of itself, which is nothing short

of astonishing.

2. He must collect all available data, so to have a sound knowledge of all his details and

inter-relationships on which to work out a clear suggestion for building up the picture to

be presented.

3. In doing this, he must help to overcome the many prejudices and biased opinions that

are almost always present, and he must be frank in pointing out and attempting to

eliminate the weak points and negative aspects of the organizations projects or policies.

4. All this forms the basis for the public relations action which must then becarried into

effect as a long term strategic plan founded on exact knowledge of the process of

communication and making full use of all means of communication.

5. In carrying out the plan, he must keep in mind the fact that public relations is always a

two-way communication. Every public relations statement has an echo, which must be

regarded as the feedback in cybernetics. Experience shows him how the message was

received, and from this he must draw his own practical consequences, in complete

disillusion and if necessary with readiness to self-criticism. This is the decisive point in

all public relations activities.

6. As a consequence of a1I these measures there gradually comes into being inthe inter-

relationship between the communicator and the public under the painstakingcontrol of the

public relations expert a large measure of conformity and harmony between the two

poles. This is the sense and the purpose of public relations activities.

Public Relations in Indian Economic

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The Houses of Tata, Mafatlal, Bajaj, Hindustan lever, Colgate Palmolive, Indian Oxygen,

Goodyear, Hoechst, DCM, Godrej, TVS, ACC, Mahindra & Mahindra, Birlas and the

JK Group of Kanpur, to name a few, have contributed a great deal to the economic

development of India by faithful implementation of corporate relations programmes.

Owing mainly to tile progressive and enlightened programmes and policies of these

'corporate citizens, abundant employment opportunities have been generated, and

sizeable foreign exchange has also been earned. The following are .the elements involved

in the Corporate (Public) Relations Policy which have helped these companies gain the

esteem of the various segments of the Indian and overseas public.

1. Adoption to counseling based on an understanding of human behavior.

2. Analyzing future needs and predicting their consequences.

3. Research into public opinion, attitudes and expectations and advising on necessary

action.

4.Establishing and maintaining two-way communication based on truth and full

information.

5. Preventing conflict and misunderstandings.

6. Promoting mutual respect and social responsibility.

7. Harmonizing the private and public interests.

8. Promoting goodwill with staff, suppliers and customers.

9. Improving industrial relations.

10. Attracting good personnel and reducing labor turnover.

11. Promotion of products and service.

12. Maximizing profitability.

13. Projecting a 'Corporate Identity.'

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14. Encouraging an interest in international affairs.

15. Promoting an understanding of democracy.

MEDIUMS OF PUBLIC RELATIONS

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the message home. The maximum effect is obtained in a telephone drive when every

prospect is reached over the phone by a personal acquaintance. The telephone being an

instrument of human contact, courtesy and tact in its use are important in winning the

understanding and goodwill of the person On the receiving end. The telephone

personality of an organization and its employees is a vital aspect of its relations with the

entire community, with many different publics, and with every individual connected by

phone. A glaring telephone discourtesy is to have a secretary put through a call and then

hold up the party being telephoned because the caller has become tied up with something

else. It is better for people in business to make their own calls. People in business can win

goodwill by answering their own telephones if possible; it is not pleasant telephone

manners to have a secretary ask every caller 'Who's this? 'Who are you with? And whats

the call about?

WORD OF MOUTH

Word of mouth spreads like wild fire. If the subject and content are right, it can burst into

spontaneous combustion just as an entire forest may suddenly be overrun by

conflagration. Through word of mouth, rumor and innuendo may spread with extreme

speed and spontaneity if the subject is close to the emotion of people. Feeling and thought

must quickly take wing on word of mouth. In stimulating a word-of-mouth campaign.The important thing is to present subject matter of such interest as to cause people to

repeat it to others. Word of mouth is perhaps the most subtle of publicity tools. It takes

the form of gossip and slander at times if timely action is not taken to control it. Though

it is the hardest to control, all our efforts need to be made. Its manipulation is not subject

to cut-and dried mechanics, asis the case with so many publicity media and instruments.

The things that contribute to word-of-mouth circulation are:

1. A spectacular and successful event or product.

2. A spectacular publicity or activating campaign.

3. A good catchword or slogan.

4. Capitalizing on a mass trend or catchword.

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NEWSLETTER

The commercial field has long made good use of newsletters. These have a bright future.

Newsletters tend to fit the times these days. People have fragmented interests. There are

certain things they want to know a lot about, and other things they don't want to hear anything about. Newsletters have the advantage of speed. They are quick to read. The

public relations use of newsletters is spreading rapidly into non-profit fields as well.

Associations and professional societies particularly find the formal effective. Its use in

politics and lobbying is burgeoning. With this format, users can reach constituents

quickly on matters having both urgency and importance. The person-to-person nature

invites reading.

POST CARDS

Post cards are quick and easy to prepare, quick and easy for the Recipient to absorb,

economical to mail to constituents and an effective adaptation of direct mail to reach

large numbers of people with a message that can be punched home in a paragraph .In

many campaigns, a large number of individuals can be stimulated to sign and then send

post cards to their own friends and contacts. This personal touch has more influence with

the recipient than would a communiqu from a stranger.

PUBLIC ADDRESS SYSTEM

Public address systems at meetings, shows, gathering of employees or mass audiences of

any kind make it possible mechanically to project he human voice before a large number

of people. Mounted on a mini truck or other mobile auto, the public address system can

be transported from place to place, presenting speakers and programmers as it goes, and

reaching a widely distributed audience. Sound tracks can also be rigged up at

programmes in lieu of a permanently installed public address system. A portable bullhornaffords great mobility wherever amplified sound is needed. A recording makes it possible

to 'capture' a speech or radio Programme and replay it by radio before an audience or

over a public address system anywhere. Some recordings are made on the spot at special

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events. In other instances, special programmes are deliberately produced at are cording

studio.

CHARTS

Charts are by far the most-used visual aid. A chart may be painted, printed or drawn. It

must be large enough and simple enough to be seen and comprehended in the

presentation setting.

Flannel Boards

Flannel Boards consist of aboard covered with felt. Sticky-backed visuals are placed on

the surface, allowing a speaker to put some movement and flexibility into an otherwise

static presentation.

Magnetic Boards

Magnetic Boards are much like flannel boards, except that magnets permit the use of

heavier three dimensional visuals.

Video Cassette, Audio Cassette and Disc Recordings

These are useful in overcoming some of the difficulties of working with a diffuse andloose-knit organization. They assure that all concerned get exactly the same message with

the desired visual and/or audio emphasis. Generally, these video cassettes, audio cassettes

or disc communications, though carefully prepared, are modest in technique

.Intentionally, they do not have the ambitious-or cost-associated with full scale

productions.

Electro writers

An executive or a demonstrator can write his 'blackboard' notes across a long distance

through a transmitter unit hooked up by telephone lines with a projector unit and screen.

Tele Lecture

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This is a useful technique for making an audio/visual presentation at distance. With the

help of the telephone company there is a hook-up from a speaker's office, a meeting or

classroom, where visuals can be shown while the speaker is heard. Members of the

audience can question the speaker through a two-way hook-up. This permits the speaker

to 'appear' at many locations without the full time or expense of going there, and it

permits remote groups to engage speakers they otherwise would not attract.

Facsimile

It sends between distant cities via telephone lines, exact copies of blueprints, layouts,

another visual materials- It is now used increasingly to transmit copy between the offices

of an agency and clients or between an organization and a communications medium.

PLANNING PROCESS OF PR

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Public relations are not merely a process of getting stories and pictures into newspapers.

It is much more. It has to be properly planned, orderly executed, and a number of details

need careful attention. Public relations costs money, requires manpower, needs expertise,

and consumes time and resources. So it should be well planned and executed in an

orderly manner.

PR Objectives

The first step is to set out clearly the PR objectives before any campaign is launched. The

publicist must have a clear ideas to what is intended to be achieved. His approach should

be Positive and purposeful:

Publics

The next step is to decide who is the audience to be reached i.e. local, regional, national,

or international. And apart from geographical area, it should be considered if any

specialized audience or a section of the community or professional people is also to be

reached.

Message

After deciding the public the company has to decide what message they want to passthrough the campaign, what is it they want the people to know about them or what they

want to tell or inform the public about.

Strategy

A strategy is a long term planning or the methods that a company adopts to make itself a

successful company. For a PR campaign also strategies are required to be formed to so

that they can create an impact or impression in the minds of the people; as well as they

can build a fair and favorable image in the market.

Tactics

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Along with a good strategy a company also needs to use some very good tactics for its

campaign because there are competitors in the market and the company has to stand on

top of all of them.

Time Scale

The public has to decide the time scale in which they will complete the campaign. They

have to set a specific time. Also the decision about the commencement of campaign,

duration, repetition, etc. is to be made well in time.

Resources

The publicist has also to think about the resources in terms of money and staff available

to him. The campaign has to be planned keeping in view the resources which the publicist

would be able to mobilize.

Selection of Media/Resources

Another point that requires a decision is about the media to be employed for the

campaign: whether publicity is to be conducted with one medium or more than one or

through multi-media.

Evaluation

After deciding upon the above things the publicist should evaluate the whole process to

check whether everything is properly being done or not or whether they have to add

anything else or not, etc.

Review

After evaluation again there should be a review of the entire thing to give it a final check.

Analysis

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After the campaign there should be an analysis of the entire process sp that they will

come to know whether the campaign was successful or not and if not then where it went

wrong. If any draw backs are pointed out then again the whole process is repeated from

the point of identifying the publics.

PUBLIC RELATIONS AT LIFE INSURANCE CORPORATION OF

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INDIA

LIC CORPORATE PROFILE

Life Insurance Corporation of India is a wholly owned undertaking of the Government of India. Life Insurance Corporation of India was established by an Act of Parliament on

1stSeptember, 1956. Its Central Office is located in Mumbai. It also has seven zonal

offices each located in Mumbai(Western Zone), New Delhi (Northern Zone), Kanpur

(North Central Zone), Bhopal (Central Zone), Chennai (Southern Zone),

Hyderabad(South-Central Zone), and Calcutta(Eastern Zone).It has a network of over

2000(2048) branches and more than nine lakhs agents. Over 47years, LIC has become a

household name for providing security for a lifetime and is synonymous to life insurance

in India.LIC ranks No.1 in the list of top 500 companies on the basis of Net Worth(Rs.

15, 47, 951million) as well as Net Profit(2,66,277 million)- Dun & Bradstreet (India 500

OBJECTIVES OF PUBLIC RELATIONS IN LIC

The objectives of undertaking PR activities in LIC are manifold. In their Citizens

Charter the company states that:

TO THE COMMUNITY:

We will conduct all aspects of our business keeping in view the interests of the

community and the national priorities; Provide insurance cover and financial security to

every insurable segment including the socially and economically weaker sections of the

society.

TO OUR CUSTOMERS:

We will provide them prompt, efficient and courteous service; act as trustees of their

funds and invest them to their best advantage; build and maintain enduring relationship;

Keep them informed about our products and services etc.

TO OUR WORKFORCE:

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We will promote a sense of participation and make them partners in progress; work

towards ensuring their job satisfaction and sense of pride; provide an environment and

the opportunities for growth to enable them to realize their full potential; take steps to

develop professional skills to enable them to handle their assignments more efficiently.

ORGANIZATION AND STAFFING OF THE PUBLIC RELATIONS

DEPARTMENT

LIC is purely a service-oriented organization. Moreover for transacting with their

customers and business associates the company needs to develop and maintain cordial

relations with various sections of the society and various other agencies i.e. their publics.

This makes the role of PR in LIC even more important and vital. The company has a

huge and active Public Relations Department which looks after the publicity of the

various services offered, maintaining cordial relations with the various publics,

publishing of journals, etc. and other PR activities.

Budget:

The management allocates Rs. 2-3 crores (approx.) annually to the PR Department. This

amount is then further allocated to the various Zonal Offices which prepare their

individual budgets according to their requirements.

Staffing Of PR Department

The Director-PR operates from the central office and has under him a Chief PRO. Each

Zonal Office has a Zonal Manager-PR under whom is the Regional Manager-PR. Further

under him is the Assistant Secretary who works with his Subordinate staff to fulfill the

day-to-day activities of the PR Department.

A PR plan is made at the beginning of each accounting year for which the Chairman

appoints a PR Planning Committee. This committee comprises of the Director PR,

Chief PRO, etc.

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TASKS AND ACTIVITIES UNDER THE PURVIEW OF PR AT LIC

Of the various activities undertaken by Life Insurance Corporation some are listed

below:

Advertising

Though countywide advertising is done by the marketing department, advertising locally

in the various cities is handled by Zonal Offices. The advertising strategy is very well

planned and is largely aimed at image building.

Organize press conferences

Press conferences are organized occasionally, generally when a new policy is released or when the annual financial results are announced or if something of significance has

happened.

Issue Press Releases

Press Releases are issued both by the central office as well as the various zonal offices.

Participate in public awareness programmes

LIC has time and again joined itself with various community development and awareness

programmes for the cause of rural development and infrastructure development.

PUBLICS IMPORTANT TO LIC

INTERNAL PUBLICS

Employees

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- Employees families; and

- the Staff unions.

EMPLOYEE RELATIONS

In most Indian organizations, or companies, communications with employees have so far

been given a back seat as compared to external communications. This has not been the

case with LIC. It has through time realized the importance of its internal publics.LIC

shares a good rapport with its employees. There are various staff unions to take care of

the employees rights. The company shares a cordial and harmonious relationship with

these unions. The companys focus, as regards its employees, is on providing: A healthy

working environment; Employee friendly HRD policy; Job security;Training of Human

resources; Fully utilizing its peoples talents and capabilities to promote skills and

competencies and broaden their perspective; Handsome remuneration and perks. The

company achieves the above objectives by a number of means.

I. HOUSE JOURNALS

The corporation has a corporate house magazine YOGAKSHEMA which chronicles

corporate and organizational events and pronouncements. The corporation also releases a

quarterly newsletter JANKALYAN which serves the above mentioned purpose as well

as acknowledging employee achievements and produce merit lists of employee

performance.

A news letter NILYAMDOT COM is also published by the corporation which is

developed by the children of the LIC employees and is exclusively for children.

II. INTERACTION

The corporation also conducts open houses, meetings, seminars, workshops. This is done

with the aim of facilitating two-way communication.

III. REWARDS

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Prizes are awarded to top performers at staff meetings and conferences. Rewards are

given in the form of holiday, a family trip or some monetary gain.

CONSUMER RELATIONS IN LIC

In consonance with the changes taking place in the insurance market, the corporation has

undergone a transformation, simultaneously requiring a revamp in its image. Systematic

and focused PR initiatives and widespread publicity have resulted in markedly improved

visibility. The corporation has emerged with a much younger and sleeker image.

A conscious effort was made to bring about a transformation in the corporate image.

Through various campaigns, the corporation tried to depict the organization as oneoriented towards the younger generation. The corporation advertising campaigns assisted

the marketing strategies.

PR ACTIVITIES FOR CONSUMER RELATIONS

The business of insurance is purely service which cannot be seen or held. Hence, the

consumer relations activities of LIC concentrate on the customer public and building

relations with prospective customer. The corporation has time and again made endeavors

to reach out to the consumers, interact with them and keep them satisfied. The

corporation tries to achieve its objective through a number of means29


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Press Release

Press releases are frequently handed out to the media by the local PR department on

behalf of the company. These generally comprise of any subject or issue concerning the

company, containing information for policy holders or any item of news value to themedia and its readers.

Journals and Publications

The corporation takes out its annual working results and several other publications from

time to time to keep the public abreast of the happenings and achievements at LIC.

Financial Results

The annual financial report of the corporation is published in the National dailies and is

also circulated amongst the shareholders to keep them informed. It also aims at attracting

new investors.

Booklets, Brochures and Pamphlets

Booklets, Brochures and Pamphlets are generally taken out to inform its internal and

external public about its various new schemes and act as an effective medium of print

communication.

Posters and Hoardings

These tools are not only an advertising medium but also a very effective PR tool. LIC

uses posters and hoardings to get quick public notice. Posters and hoardings are widely

placed throughout the city at busy intersections like subways, railway stations, roadsides,

bus shelters, etc.

Other Amenities Provided by LIC Website

The Corporations website www.licindia.com gives information about the corporations

products, services, subsidiaries and addresses of branches and about premium payment

through the internet. It also provides

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Press releases

News sections

Online policy status

Online Premium Payment

LIC has tied up with HDFC Bank, ICICI Bank, UTI Bank, Bank of Punjab, Global Trust

Bank, Corporation Bank, The Federal Bank Ltd., Citibank, and service providers like

BillJunction.com, timesofmoney.com to offer the online premium payment facility to its

customers in select cities.

Information Kiosks

The corporation has installed online information kiosks at prominent places across the

country. This provides information about the Products, services and policy status reports

to the customers.

Customer Contact Programme

The purpose of such a campaign is to strengthen the relationship with the customers and

to build bridges of understanding.

FINANCIAL RELATIONS IN LIC

CONCLUSION

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Public Relation came into existence by the belief that if we do something good

for people then only the people Will say good about the organization. Today's is a age

of competition. And to remain firm in the competition depends on how efficiently the

Organization manage its PR & project the company's image.

Public Relation will not sell goods and Services but it is bound to create an atmosphere

which will make the free enterprise , a responsible enterprise . Public Relations , in fact

Will prove to be the most effective tool for communicating with the People who are still

remote from industry for convincing them that Corporate objectives are ultimately in the

interest of the public.

The PR Mantra has now became pervasive. Neither a individual nor theorganisation &

not even the government Or a UN body can thrive or sustain in this age withouteffectively strategizing PR.

BIBLIOGRAPHY

Books

Principles Of Public Relations

- C. S. Rayudu.

- K.R. Balan

Handbook Of Public Relations In India

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- D. S. Mehta

The art and science of public relations

- Anne Gregory

Websites:

www.licindia.com

www.altavista.com

Design of Study

Documents

Transcript of Design of Study