• Theory Not Practice. Over sixty percent of directors admit their organisations do not communicate well with employees, and forty percent admit employees are not aware of the company vision or future direction
• Technophobia. Traditional tactics are failing but less than one third of companies believe email and intranets are the most effective ways of delivering a message to a global internal audience
• Swimming Upstream. Despite sixty four percent of department heads seeing value in new visual media, such as video streaming, less than one in ten firms have tried this technology
• Perceived Problems. Incorrect perceptions of connectivity speed requirements, network and server capacity, and technical complexity are stifling adoption of new technologies

“Despite the best efforts of departmental heads, the research shows that effective internal communication across a disparate network of global offices remains a huge challenge,” said Graham Opie, research director, Vanson Bourne. “Its importance is clearly understood, however the study confirms that many corporations lack either the understanding or commitment to realise the benefits of new communications technology.”

Over three quarters of firms questioned operate offices throughout Europe and across more than one continent. Synchronising communications activity across these regions is the most common challenge, while the most favoured form of interaction with employees is the face to face meeting or presentation.

“This creates a clear conflict,” continues Hirst. “Despite being the most favoured form of internal communications, the time and financial pressures of face to face presentations and CEO tours make this an untenable strategy. Truly effective internal communications and boardroom visibility requires a constant, unchallenged flow of information to and from the employee and developing communications technologies can provide this.”

Current forms of electronic communication - such as email and intranets - are perceived as being ineffective, yet face to face presentations are impractical, costly and infrequent.

“It is unsurprising that firms are failing to provide effective internal communications,” commented Opie. “And with the failure of existing tactics it is clear that firms must look to new, more impactful ways to deliver the corporate message.”

The report identifies video streaming as one such new technology development that is gaining increasing support within the space. An overwhelming majority (sixty four percent) of department heads see value in delivering a highly visual, impactful internal corporate message using video over the Internet. However, less than one in ten firms use video streaming, citing inaccurate perceptions of high cost and technical complexity.

“Video streaming can solve many of the problems facing today’s internal communications heads and because there is no requirement for additional hardware or software, it is a very cost effective medium,” said Hirst. “CEOs no longer need to travel to deliver a personal message to global employees, and instead can present ‘live and direct’ via the Internet to PC users across the global organisation, regardless of connectivity speed.”

In addition to streaming live events direct to the PC, such as CEO presentations, financial statements and even AGMs, video streaming also enables internal departments to deliver recorded video content via email, including introductions from new senior staff, new products demos, health and safety training and HR policy.

“The research concludes that many UK companies need to rethink communications strategy if they are to get their message across to a disparate global audience,” said Opie. “Current tactics are ineffective and organisations must be prepared to adopt new media technologies to ensure real impact.”

The report indicates that the importance of internal communications is clearly understood, but the key enabling role of new technology is not,” concludes Hirst.

The full survey report is available on request from Chris Gent at Octopus Communications.