6
Corporate Identity
1. What it is
Corporate identity can project three things:
- Who you are
- What you do
- How you do it
Corporate identity manifests itself primarily in three major areas which you can see:
- Products and services - what you sell
- Environments - where you sell it
- Communications - how you explain what you do
and one which is not visible
- Behaviour
The fundamental idea behind a corporate identity programme is that in everything the company does, everything it owns and everything it produces, the company should project a clear idea of what it is and what its aims are. The most significant way in which this can be done is by making everything in and around the company - its services, buildings and communications - consistent in purpose and performance and where this is appropriate, in appearance too.
Outward consistency of this kind will only be achieved if it is the manifestation of an inward consistency - a consistency of purpose within the organisation.
The basic elements that make up the visual system of a corporate identity are:
- the name
- subsidiary names (if appropriate)
- symbol/logo
- major typeface
- subsidiary typefaces (if appropriate)
- colours
The items over which the visual elements are applied include (abbreviated list):
- Products and services
- Environments including interiors/exteriors of all buildings, signs
- Clothing
- Communication materials including stationery, forms, publications, vehicles, advertising, giveaways
These must all be treated consistently.
2. Who it’s aimed at
Internal and quasi internal audiences
- All staff
- Trade Union representatives (if appropriate)
- Shareholders - in a quoted public company
- Directors
- Pensioners
- Families of employees
External audiences
- Customers
- Competitors
- Suppliers
- Central and local Government
- Opinion formers
- Potential recruits
- Trade and industry associations
3. Identity structures
Monolithic
One name is used across all businesses eg IBM, Sony, Eddie Stobart etc
Endorsed
Companies forming a group are perceived to be part of that group eg General Motors - Vauxhall, Opel, Cadillac etc - rather as ToM is now
Branded
Where the Company operates through apparently unrelated brands eg Unilever, Proctor & Gamble etc
Companies with a monolithic identity tend to:
- Have grown largely organically
- Operate in a relatively narrow band of activities
- Tend to be proud of their products
- Operate at the upper end of the market
Companies with monolithic identities tend to have high visibility because they are only promoting one clear and consistent identity.
Companies which project an endorsed identity tend to have the following characteristics:
They have grown by acquisition in a number of different sectors
They are frequently multi sector eg manufacturing, services, retailing etc operating in a wide band of activities
They wish to retain the goodwill of the separate brands and companies
They have certain audiences they wish to retain and/or impress
They may operate in different countries where services/products and reputations vary
On the one hand they want to project a clear idea of a multi faceted organisation and on the other they want the identities of the separate businesses to flourish - this can be a difficult balancing act.
Branded companies tend to be those with a wide variety of brands, frequently in different markets and where the parent company name has no particular reputation among buyers of the brands eg Unilever, Proctor and Gamble selling fast moving consumer goods into different markets etc
•4. Why and when to introduce it
Sometimes the identity has been developed intuitively, in a fragmented perhaps muddled fashion. often the identity is a manifestation of the personality of the founder - it bears his or her name and imprint. There can come a time when this gets out of step with reality - for example
- When the original business is declining and the newer parts are growing
- The company changes direction
- When the company is seeking to project its real size and strength
- When the company seeks to create more effective co-ordination within its disparate parts when dealing with the same customers and /or suppliers
Corporate identity can be a massive catalyst for change - it can be the corporate strategy made visible.
5. How to introduce it
A Corporate identity programme is managed at two levels. Without Board commitment it will not get off the ground and be sustained. Without tight middle management control it will get bogged own and dribble away under the assaults of other middle managers who may see it as a threat. There needs to be an executive in charge of the programme.
Ideally a corporate identity programme should be carried out with the help of professional design consultants with a proven background in identity work
The stages
Stage 1 - Investigation, analysis, recommendations
Stage 2 - Developing the visual identity
Stage 3- Launch and introduction
Stage 4 - Implementation
Stage 1 - Investigation, analysis, recommendations
This covers research internally and externally on how the company is perceived. It also includes a design audit ie how the different parts of the organisation present themselves in terms of graphics, products etc.
The outputs from this will include, whether to keep the existing name(s), whether to strengthen the existing visual identity or create an entirely new one etc, how to handle internal communications etc
Stage 2 - developing the visual identity
This will cover logos, typefaces, colours etc. The issues likely to affect the decision to change will include:
- The nature of the business
- Plans for growth and development
- The extent to which the perceptions of the organisation are in line with the realities
From this some alternatives for ideas can be worked up for how for example logos can be treated/look on the side of vehicles down to lapel badges. From this a number of options can be worked up for stationery etc. Finally, once agreement on style has been reached, all the elements will be codified into a design manual/set of rules covering all the major applications of the new identity.
It may be necessary to research whether new names are available or if they are linguistically acceptable in certain territories
Stage 3- Launch and introduction
To be successful, it clearly has to be launched with enthusiasm and commitment. It will take place in two phases.
People inside the company must be committed to the new identity before the external launch. The internal launch normally takes the form of seminars, av presentations, while the external launch involves advertising, brochures, sales meetings, public relations and a launch at say a prestigious event.
Stage 4 - Implementation
Clearly cost, time and method schedules have to be prepared for the launch in parallel with the detailed design work.
The issues here include:
Who is going to be in charge within the Company?
At what speed is the change going to take place - overnight, controlled change over say a year, gradual change over say 2-3 years, ad hoc replacement. The more dramatic the change, the more rapidly it should be introduced.
Implementation needs to be the responsibility of an executive. It can be very easy for an identity to be diluted by junior staff making unscheduled changes to colours or how logos are treated, printers making unilateral decisions on layouts etc.
Costs
These can cover:
- Consultants fees
- Cost for creating new materials eg signs on buildings
- Launch costs
- Replacement costs - for material that would need to be replaced anyway eg stationery
6. Risks
Usually these include inadequate support at a senior level, rejection by divisions, failure to convince staff of the need for change.
•7. Benefits
Introducing a new corporate identity can:
Allow change to take place more quickly
Allow a company to tell customers who they are, what they do, what they stand for etc
Internally it can improve morale, attract a better calibre of employee and encourage people to work together more effectively
Externally it can encourage customers to look more favourably upon the Company, encourage suppliers to operate regularly and consistently, enable the company to establish itself more effectively in new markets, allow for more cost effective expenditure in terms of marketing activities and promotion
8. Comment
Clearly a number of issues face the Company. Do you retain XXX of YYY plc for the holding company and move to a set of names for the operating units as you are tending to do ie XXX Logistics, XXX Hire, XXX Truck, XXX Warehousing etc with the label “a XXX of YYY company” or do you move to a brand new name. There is also the issue of what you do with the logo. Does it need to be amended?
I think it is important to do something. If you do not, then you will end up with the worst of all worlds. A proliferation of company names, dilution of whatever awareness there is of “XXX of YYY” and its corporate identity and confusion in the market place and in the minds of your staff of who you are and what you do.
The temptation is to regard the project as something that can be done quickly and easily and when the time comes to repaint the ZZZ, order some new stationery etc. As you will know from your own experience and I hope from these notes, it is not as simple as that.
See also article on branding strategy at http://www.bookerhopkins.co.uk