The Importance Of Storytelling In Today’s Business - A .

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Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case studyDepartment of Business AdministrationTitle:The Importance of Storytelling in Today’s Business – A case studyAuthor: Eivor Erkas (emf05ees)Author: Jennifer Baron (emf04jbn)10 CreditsSupervisor: Per-Arne WikströmThesisStudy program inMaster of Business Administration inMarketing Management1(57)

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study2(57)The importance of Storytelling in today’s business – aCase studySummaryThis thesis discusses the possibility for PERSONEC to use storytelling as a strategic communicativeconcept in its marketing to mediate the brand identity of its organisation. In the search for this, wehave chosen to describe the concept of brand identity and storytelling as a draft for the constructionof the brand.We have then analysed how storytelling can be applied, and already is, at PERSONEC and alsopresented some recommendations about how storytelling could be developed by PERSONEC.In this thesis we investigate how PERSONEC communicates and manages its brand identitythrough the implementation of storytelling. Our main problem is: How can PERSONEC use storytellingas a concept to communicate its brand identity both internally and externally? This in turn involves two subquestions, namely: What is the brand identity of PERSONEC? And: What is storytelling as a concept and howcan it be employed at PERSONEC?Data collection has been performed using a qualitative method. In order to find out about brandidentity and storytelling, primary data has been gathered through interviews with key personnel atPERSONEC. Secondary data consists of results of surveys on public awareness of the PERSONECimage as well as results from customer satisfaction survey on PERSONEC. The findings have beenanalysed based on diverse theories on brand and storytelling. Our thesis has in the beginning anexplorative approach which at the end results in a conclusive description.Theories, mainly from Aaker (1996) and Kapferer (2003) have been used to investigate the brandidentity of PERSONEC. In accordance with their theories, the identity can describe the reality ofthe organisation and can be a tool to create a unitary illustration of the organisation, to be

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study3(57)communicated internally and externally. In our results we have found that PERSONEC issymbolised by knowledge in personnel-, payroll- and financial management in the Nordic regionwith an experienced and diversified staff.Based on theoretical and empirical material about storytelling we have found key issues of thenotion of storytelling. These involve discussions about the concept of storytelling, its area ofapplication and how stories should be structured and also which aspects are important for thisprocess. We consider storytelling as a concept to structure the communication of an organisationboth internally and externally. The stories can act as a bridge between the organisation and theoutside world and can also simplify description and communication of complex processes andconcepts. In order to differentiate itself PERSONEC should continue to use storytelling tocommunicate its core values in a more emotional and engaging way.Stories reveal. Stories motivate. Stories bind individuals into teams. Stories create solutions.Keywords: brand identity, storytelling, communicative tool, communities

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study4(57)Table of contentsThe importance of Storytelling in today’s business – a Case study.2Summary.2Table of contents .4List of tables and figures.61. Introduction .71.1 Background and motivation of the study .71.2 Defining the research problem and research methodology.101.3 Research problem.111.4 Research methodology and data collection .121.5 Purpose .121.6 Perspective, validity and reliability .121.7 Thesis plan.132. Theories .152.1 Brand identity.152.1.1 Introduction of brand identity .152.1.2 Different identities of the brand .162.1.3 Models of brand identity .182.1.4 Brand Identity Prism.182.1.5 Brand identity planning model according to Aaker .212.2 Storytelling.252.2.1 Definitions of storytelling .252.2.2 What is a good story?.272.2.3 When can stories be used? .302.2.4 Authenticity and drawbacks of storytelling .313. Materials and Method .314. Empirical data .324.1 Short facts about PERSONEC:.324.2 PERSONEC the brand .334.3 Information on web site www.personec.com and customer Magazine Effektiv .344.4 Results of Image Surveys and Customer Satisfaction Surveys .354.5 Interviews .375. Analysis .415.1 Methodological aspects of the results .425.2 PERSONEC’s brand identity.425.2.1 The brand PERSONEC .435.2.2 PERSONEC’s brand identity structure .44

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study5(57)5.3 PERSONEC and Storytelling .466. Conclusions and reflections.496.1 Conclusions.496.2 Reflections and recommendations.517. References .537.1 Primary sources .537.2 Secondary sources .53Appendix 1. – Interview guide.56

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study6(57)List of tables and figuresTable 1. Definitions of brand image, brand identity and brand position, Aaker (1996)Table 2. Stakeholder group’s impacts on the five types of identity, Balmer et al. p. 5.Table 3. Comparison between Simmons’s and Denning’s story types (Simmons 2002;Denning 2005)161728Figure 1. Thesis planFigure 2. Kapferer’s brand identity prismFigure 3. Kapferer’s brand identity prism applied to the brand LacosteFigure 4. Brand Identity System according to Aaker, Aaker (1996)Figure 5. The LogoFigure 6. Describes the PERSONEC brand and mission changes over timeFigure 7. Total awareness of Personec's offerings on payroll and HRM services in SwedenFigure 8. Percentage who has seen Personec's advertisingFigure 9. PERSONEC applied to Kapferer’s identity prism.Figure 10. The process of storytelling14192021333335364650

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study7(57)1. IntroductionThe first chapter introduces our research question discussion through a brief description of oursubject. Thereafter we discuss the research problem, required information and purpose. Finally wediscuss the perspective, validity and reliability. To easily understand how the study will be done weshow a thesis disposition at the end of this chapter.1.1Background and motivation of the studyThis thesis is derived from the assumption that the importance of storytelling within organizationsand by their employees or members is often neglected or even denied. We believe that storytellingcapture the lived reality of people in organizations, and those stories told should have a central placein the internal communication as well as in the external marketing processes.With this thesis we wish to demonstrate the importance of storytelling in a Swedish IT company,PERSONEC, and how it affects employees, stakeholders and customers, i.e. how it affects internaland external marketing.When your customers hear your company's name, what images or words come to their minds? Isthat how you want them to think of you? How about your own management team? And youremployees? Do they share the same vision of the company? Are you all clear on what you're doingand where you're going? If you can’t answer all of these questions clearly and positively, how are yougoing to communicate a core message so that everyone who knows you will have the same,compelling view of your organization?In today's increasingly crowded marketplace, where most people suffer from information overload,the ability to cut through the clutter is what distinguishes successful companies. One way to reachcustomers and employees is through storytelling.According to Wikipedia storytelling is defined as

Eivor Erkas (emf05ees) and Jennifer Baron (emf04jbn)Thesis: MBA in Marketing ManagementSpring term 2007The Importance of Storytelling in Today’s Business – a Case study8(57)‘the ancient art of conveying real or fictitious events in words, images, and sounds. Stories have been shared inevery culture and in every land as a means of entertainment, education, and preservation of culture and to instillknowledge and values morals. Storytelling is often considered to be a crucial aspect of humanity. Human beingshave a natural ability to use verbal communication to teach, explain, and entertain, which is

Storytelling is often considered to be a crucial aspect of humanity. Human beings have a natural ability to use verbal communication to teach, explain, and entertain, which is why storytelling is so prevalent in everyday life. Traditional storytelling differs from multi-media storytelling, in that it is experienced, and forms within the mind of the audience. For example, a described dragon .