The Company Overview

Question:

Discuss about the Company Overview and Management

Answer:

This report examines communication roles within organizations.

Communication is essential for any business.

It motivates employees to reach the goals and helps organizations achieve them.

Communication is an essential part of any organization.

This method allows two or more parties to exchange ideas, beliefs, and messages.

Kellogg has been responsible for analysing the communication benefits.

Kellogg believes communication is the best way to promote its product on the market.

From a commercial standpoint, communication serves the primary purpose of building and maintaining strong relationships with customers. This will allow the company to gain instant brand recognition and future product purchases.

Company Overview

Kellogg’s ranks among the top breakfast food snack and ready-to eat manufacturers.

It offers many breakfast foods, including waffles, cereal bars, meat substitute and more.

The company currently employs approximately 32,000 people, and operates in over 180 countries.

The company has been generating great profits for many years.

The company brand includes apple Jacks, froot Loops, Frosted Flakes and Pringles.

The company’s production facility is located in approximately 18 countries.

It was established in 1906.

Company has seen great success over the past few years.

A strong organizational culture is evident.

These are the principal goals of the company.

Fitness Programs

Organizational Communication Principle

Formal Communication

To order employees and receive feedback, every organization follows this principle of communication.

This organization uses formal communication according to its organizational structure (CIM 2004, 2004).

Kellogg’s also adopted this communication style.

Kellogg’s organizational diagram shows that communication flows down to upward and vice versa, such as downward (manager) to upward (staff0), and staff to managers.

Informal Communication

Informal communication is an essential part of every organization.

It happens often unconsciously and regularly within an organization.

The main examples of informal communication are casual colleagues and the office grapevine.

Kellogg has also experienced informal communication within the company structure (Mintel (2008)).

Many employees in the company share information with friends and colleagues from other departments.

Interpersonal Communication

Interpersonal communication includes telecommunications and online communication.

This allows for face-to face interaction between the parties.

This method allows companies to communicate information or news quickly (Griffin and co, 2010).

Kelloggs employs this method to resolve employee problems and motivate employees to work efficiently and effectively.

This category saves time and money.

Organizational Culture

An organization culture is a network of people who listen to the employees and help them understand the organization’s standards.

Establishing a culture will attract employees and help them increase their productivity.

This communication principle encourages Kellogg’s employees to adhere to company standards and improve productivity.

Every company can use these communication principles to motivate its employees without additional costs.

Kellogg’s is in fierce competition with Kraft and general Mills.

Kellogg’s main business sectors are cereal products and snack sectors.

General Mills is less competitive than Kellogg because its products are similar to Kellogg’s (Wilcox, Reber 2016).

It is third in terms both of revenue and market size,

Company

Net Revenue

International Revenue

Gross Margin

The table above shows that Kellogg is making very little revenue when compared to the other two companies.

Kellogg could be more focused on nutrition, healthier products, balanced eating, and other areas to help change customer mindsets. (Datamonitor. 2008).

Communication campaign for organizations:

Communication of a brand or product helps customers to relate it to their buying behavior.

It should be easy to recognize by customers in many products (Putnam, Nicotera and 2009).

It must be positive in tone and contain a social message to promote the social needs.

Communication campaigns have two main objectives: to influence and inform the consumer.

Below is an analysis of Kellogg’s communication campaign.

Kellogg spends approximately $1.4 billion on promotions which equals 12% of its total turnover.

Advertising is also focused on multiple markets in order to fulfill brand objectives.

Kellogg spent 5 million euros a year on promotion of the product “K.”

Promoting this product, the slogan was “Drop A Jean Size” (De Pelsmacker Geuens & Van Den Bergh 2007, 2007).

Similar to the promotion of other products, creativity is used to draw children.

At least 27% of the total advertising budget goes to communication (Tench & Yeomans (2009)

Kellogg included healthy benefits and assured that the product would not cause harm to children.

This shows that company promotions are safe and beneficial to children.

Kellogg pays attention to the packaging in order to attract a younger audience.

The cereal brands’ packaging is specially designed to be attractive and bright for children.

But, the company stressed that the packaging must not compromise the company’s health benefits. (Fill, 2006.

Kellogg’s packaging provides detailed information about how the product can be used to satisfy the nutritional needs of a balanced diet.

Sponsorship is one of the best ways to promote your business.

Kellogg has been sponsoring fitness events, and is a partner of organizations such as YMCA and Healthy Kids to promote health and exercise for children (Oliver (2008)).

This communication informs the consumer of the concern of the company regarding the health, benefits and fitness of children.

The advancement in technology has given communication campaigns many more opportunities to promote their product (Kolter Wong Saunders and Armstrong 2005).

Kellogg utilized online marketing to draw customers and promote their product.

Promotional efforts are centered around the official website of Kellogg, www.kellogg.com.

Additionally, the company’s online presence helps them achieve their goals in terms of health, nutrition and balance diet.

Thus, the online marketing of Kellogg is helping customers make a decision to purchase Kellogg products.

Brand identity:

Kellogg has been synonymous with breakfast cereals since long time (Prehofer, Bettstetter (2005)).

The company’s health and fitness goals have been reflected in the new brand identity.

The company’s new identity helps it attract more customers.

The company’s promotions have established a brand image with customers in a way that promotes healthy and diet foods.

The company targeted the market with all its other products.

Therefore, Kellogg’s market campaign is well-positioned to increase the company’s market share as well as net profit.

PR stands for Public Relations Department.

This department is responsible for communicating with the public, informing customers about company changes and maintaining ties with customers.

The Kellogg PR division was analyzed (Messina 2007).

Based on the following PR principles, the Kellogg PR department was analysed:

It was discovered that the PR department of a company can deceive when it releases news about the company.

This leads to worsening of the situation.

It is important for companies to take care of it in order to improve their public relation (Kellogg (2008)).

Contact Information

This principle states that any piece of paper sent by the company’s PR department must include contact information.

However, the Kellogg PR team doesn’t take it seriously. They don’t provide contact information on any paper.

Target Information

The PR department of the company uses media releases and press releases to inform customers about any changes.

A company could communicate information in a more cost-effective way.

The caption line and a great photograph could be helpful for the PR department. However, Kellogg prefers to use more expensive methods to communicate the information.

Media Relations

The PR department of the company has poor media relations.

This has a negative impact on the company’s bottom line and causes the message to get misinterpreted (Tse, Viswanath and Viswanath (2005)

Although the tools used to convey the details should be suitable, Kellogg’s PR department does not give enough attention and instead uses random tools to communicate information.

It is very poor timing.

PR departments always communicate the message at the wrong time which impacts on the sale.

Keep Active

The PR department of the company does not seem to be very active.

They are more interested in waiting for the right moment to share information than sharing it when it is relevant.

This creates the message that makes no sense (Johnson Scholes, Whittington 2007).

Fact Checking

It is important to communicate a message after verifying its accuracy.

However, the PR department of the company communicates the message without verifying the accuracy. This can lead to inaccurate information.

The company should therefore improve its PR department in order to increase market share and goodwill.

Ethical Problems

An ethical problem is one that requires an organization to make a choice between several options, which must be evaluated for their rightness or wrongness.

The company’s PR department is struggling and has many issues with its customers relationship (Broadbent (2013)).

How to solve problems:

The following techniques could be used to help companies resolve ethical issues within the company so that customers can feel more secure.

Virtue Theory

This theory can be used to address ethical problems within an organization.

This theory suggests that an individual can solve ethical problems by analysing the situation and asking themselves what would a great person do.

This theory is about the timeless virtues of wisdom, faith, justice and charity.

To resolve ethical problems in the PR department, Kellogg could opt for this theory.

The top management of the company might ask members of the PR department about the issues (Breit & Demetrious (2010).

This will help you to understand the cause of these problems.

This would allow managers to identify the causes and solutions for PR issues.

This theory could be used by the company in the following way:

Managers could hold a 1-to-1 meeting with all PR staff members to find out the reason.

You must thoroughly analyze the reasons.

Employees could be helped by the company to resolve the issue or help them understand by providing them with options and situations (Guth & Marsh 2016).

This theory could assist the company in resolving all issues related to PR and would improve the company’s relationship with its customers.

This could also be used to increase communication with suppliers and customers. It would also improve the company’s goodwill in the marketplace, share price, sales revenue, and customer satisfaction.

The report revealed that an organization can use many organizational principles to improve its market share or revenue.

Kelloggs conducted an analysis of the organizational communication principle to see its benefits.

It was found that communication is the key element of any organization.

Kellogg is a top-three company in the category of breakfast foods and cereals.

The company’s revenue in this area is $10906 millions.

Good communication campaigns could help increase revenue and market share.

For this study, Kellogg has analyzed a communication campaign.

The analysis has shown that Kellogg uses the best communication styles to market the company’s products.

The company has emphasized the most important elements of the product in order to promote it to the target audience.

Kellogg’s PR department does not perform well because the company doesn’t follow the basic principles of PR departments.

The company’s PR department must implement changes in order to improve relations with the public, such as customers and suppliers.

A number of techniques were suggested to the company in order to improve the PR department as well as resolve any ethical concerns.

It was suggested to the company that they take steps to implement this strategy in order for the company’s revenue to exceed.

According to the report, communication is an essential part of any business.

Any company cannot retain its market share if they don’t communicate.

The company can easily increase market share and boost the performance of its employees if it uses communication well.

Communication is an essential part of any organization.

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