Source: the HRDIRECTOR 
Date: March 2006
Author: Tom Harvey, Head of Communications, Nationwide

In an ideal world everybody in a large organisation would tell each other what they needed to know, when they needed to know it, and in a clear and motivating way. Nobody would copy anybody else in on e-mails they didn’t need, and all personnel policies would be crystal clear, understood and appreciated. The HR team would be loved by both the Union and employees alike and management would be believed and trusted; so you wouldn’t need a communications team and… who knows, maybe one day, pigs might fly.

Like many other long-established businesses, Nationwide has a wide variety of communications channels. The communications team is charged with controlling the messaging, timing and the tone of voice, while business managers try to get the biggest possible shout for their respective departments and projects, both for legitimate and also less helpful, ego-driven reasons. In this respect the challenge for Nationwide’s communications team is much the same as anywhere else.

“It’s about managing the traffic along the communications highway – rather like a benevolent and enlightened policeman,” says Harvey. “You also have to be thinking hard about future traffic management – the emergent technologies to invest in, and the fads to avoid.”

“We have a number of key advantages. The first is what I call our ‘fair’ advantage, a value-set that we have consistently communicated over the last five years, that we refer to as ‘PRIDE’:
Putting members first;
Rising to the challenge;
Inspiring confidence;
Delivering best value;
Exceeding expectations

It draws a straight line between the society’s origins and its continuing status as a mutual building society. ‘ PRIDE’ is true to what we have always stood for,  and it sets us apart from the competition. We’re run entirely for the benefit of our members; we’re a building society, not a bank; we don’t pay a dividend to
external shareholders, and our people like that.” PRIDE brings the business and people agendas together throughout Nationwide and, says Harvey, “at least 30 different senior managers came up with it – so it’s an idea with many parents, the best possible measure of success.”

"It’s about managing the traffic along the communications highway – rather like a benevolent and enlightened policeman"

Another strength of the programme, is that Nationwide has prepared it properly and uses amongst other communications tools, high quality videos and contemporary music tracks. “Most companies get this wrong. You can’t get away with lift music and second-rate copywriting. Employees do not suspend their critical faculties when they come into the office. They are the most sophisticated and critical audience you’ll find. They don’t make allowances for poor quality
communications materials, they just feel patronised.”

Another asset is Nationwides chief executive, Philip Williamson, who is a natural communicator, a passionate advocate of the Nationwide brand values, and likes nothing better than being out and about in the business. All communicators recognise that sponsorship from the top is essential to success, “But”, says Harvey, “not many CEOs can do it on stage, down the lens, over the sound system, in print, and bang the drum for the internal communications team. More CEOs should be spending as much time on the internal brand as they are prepared to invest in PR and IR. A wellinformed, well-motivated employee is infinitely more likely to support the business than a reluctant recruit who’s looking for work elsewhere. Happier employees equal happier customers.”

"Whilst internal communications used to be an act of faith – a mix of common sense and common courtesy, designed to engender trust between employer and employees – that can only go so far"

Just as important is a keen sense of reality, since employees can’t be forced to read, or listen to, everything. Repetition and variety of media help to communicate effectively, and in-house materials ensure consistency of message and quality. Nationwide makes videos on topics such as diversity, and uses e-mail for high priority messages like policy and product changes. One-off publications, such as the Annual Results, are also produced, and feedback is key - gathering ideas and staying in touch with what your audience thinks of the messages they’re being sent.

Whilst internal communications used to be an act of faith – a mix of common sense and common courtesy, designed to engender trust between employer and employees – that can only go so far. Since it costs a huge amount of money to keep everybody in a big organisation informed and motivated, it’s important to be able to prove that money spent on internal communications is a sound investment rather than just saying, ‘Trust me, I know what I’m talking about’.

Since the Nationwide employee survey, ‘Viewpoint’, was introduced, employee satisfaction has risen in line with its growth as a business, and communications has proved to be a key driver of employee satisfaction. Today Nationwide is a £111.6 billion business with over 15,500 employees and 77% employee satisfaction. Harvey comments, “Our employee turnover is some 4.95 percentage points below our industry benchmark, saving us around £13 million in recruitment and induction costs every year. Clearly that’s not just down to communications, but I can confidently say we’re paying our way.”