Companies and institutions want to gain external credibility, but this is not possiblewithout achieving first internal credibility, without being coherent and consistent inregard to what is done inside and what is demonstrated outside. The goal is clear: ifreputation is contrasted with prescription, employees have to be the first defenders. Due to the impact of the crisis in many Westerncountries, the benchmark for some companies thatwere unique in recognition because of its ability togenerate attraction and fidelity of talent has significantlydropped. The feeling of many employees ashostages in an unwanted situation, or the workersdismissal leads to rethink some of the bases onwhich people managing is based in organizations,according to the director of HR Reale Seguros,Alfredo Núñez. This document was prepared by Corporate Excellence – Centre for Repuation Leadership and contains references, among other sources, to the statements made by Pepa Rodríguez, Corporate Communications Manager of British American Tobacco), to Marina Gonzalez,Internal Communication Officer of Endesa, Conchita Gassó, Familiy Office of GAES, by Susana Gómez, Human Resources Director,Kellogg Iberia and Alfredo Núñez Director of HR Reale Seguros during the 32th Conference on Internal Communication Stewards heldby Instituto de Empresa and Corresponsables in Madrid on September 20, 2012.

1. Insights
Strategy Documents
I34/2013
Communication
Internal communication:
a tool for building trust
and transparency in
organizations
Companies and institutions want to gain external credibility, but this is not possible
without achieving first internal credibility, without being coherent and consistent in
regard to what is done inside and what is demonstrated outside. The goal is clear: if
reputation is contrasted with prescription, employees have to be the first defenders.
Due to the impact of the crisis in many Western
countries, the benchmark for some companies that
were unique in recognition because of its ability to
generate attraction and fidelity of talent has significantly dropped. The feeling of many employees as
hostages in an unwanted situation, or the workers
dismissal leads to rethink some of the bases on
which people managing is based in organizations,
according to the director of HR Reale Seguros,
Alfredo Núñez.
Aspects such as the increase of job layoffs, reduction
of benefits and social plans, increase of working
hours or widespread decrease in salaries cannot
be forgotten. Thus, when the economic cycle is
reactivated, the detach level to those organizations
that have not sufficiently taken care of its talents
-that were not responsible in this sense- may appear
as important.
In this context, what is the role that can and should
play a real internal communication when changing
organizations and making them more sensitive to
the real needs and current employees? Is there an
effective way to facilitate an internal atmosphere
conducive to trust and respect within companies
and institutions?
The main role of transparency
Communication is of special relevance when
achieving transparency in organizations, not
because it is necessary to tell everything at all times,
but because it is necessary to tell everything that is
important and that is required by employees, with
particular emphasis on the companies’ behaviour,
their successes and their mistakes as a sincere way to
achieve credibility. However, communication does
not generate internal credibility, but facilitates it.
Particularly, social, environment, and labour actions
This document was prepared by Corporate Excellence – Centre for Repuation Leadership and contains references, among other sources,
to the statements made by Pepa Rodríguez, Corporate Communications Manager of British American Tobacco), to Marina Gonzalez,
Internal Communication Officer of Endesa, Conchita Gassó, Familiy Office of GAES, by Susana Gómez, Human Resources Director,
Kellogg Iberia and Alfredo Núñez Director of HR Reale Seguros during the 32th Conference on Internal Communication Stewards held
by Instituto de Empresa and Corresponsables in Madrid on September 20, 2012.

2. Internal
communication: a
tool for building trust
and transparency
in organizations
are of special importance, since they increase the
sense of belonging and the member pride, according
to Conchita Gassó, Familiy Office of GAES.
Employees are identified with the company and
pleased to work in a company that contributes to
society and does things for others.
However, it is consistency between the value
promise and brand attributes what makes
transparency, credibility and trust to internally
and externally success. If there is little relationship
between them or there is a big gap, credibility
and trust will plummet. On the contrary, if the
gap is small or non-existent, credibility and trust
will be strengthened.
Transparency also acts as an antidote to potential
defense mechanisms that are generated in
organizations when what is said -messages- and what
is done -policies- do not coincide. If managers and
middle managers are responsible for this behavioural
problem, they are also the respond when achieving
a respectful organization, transparent in behaviours
and communications.
‘If there is a
stakeholder
that really
knows the
reality of an
organization
that is the
employee
of such
organization’
Employees, main guarantors
If there is a stakeholder that really knows the reality
of an organization that is the employee of such
organization. The talent of a company is the main
guarantor of the necessary consistency, the main
guarantee that can prove that is done what is said
and only what is said is done, as pointed by Susana
Gómez, Human Resources Director, Kellogg Iberia.
If an organization achieves a small -or non-existentgap between its identity and reputation, i.e. between
internal and external reputation, then its ability to
attract and build loyalty with talent employees,
clients, and investors will grow consistently. That
is the reason why many corporations are putting at
the front of their communication strategies to their
own workers.
People are increasingly choosing to work, buy
or invest in companies with which they feel
comfortable, but also they are increasingly taking
into account how these companies “socially”
behave. In this sense, organizations are impacting
in their internal communication practices when
giving prominence to actions related to CSR and
corporate volunteering. More than ever, people
want socially legitimate organizations.
The alignment of internalexternal communication
Therefore internal communication credibility also
depends on the degree of alignment with external
communication, on the balance between what is
done and said inside with what is done and said
outside. To achieve this, it is essential to plan and
no to improvise, not to overdo in the amount and
intensity of communication, since the saturation is,
in turn, counterproductive with credibility.
Alignment is not achieved following trends, doing
things because other companies do them, or copying
other companies; however, alignment is achieved by
conviction and because it fits with the positioning
and branding of the company. Another important
element in communication is the fight against
scepticism and rumour, two of the main enemies of
trust, credibility and, ultimately, reputation.
According to Pepa Rodríguez, Corporate
Communications Manager of British American
Tobacco, alignment between internal and
external communication improve commitment.
The relationship between the employee and the
company -and its business- is the key to a good
reputation, and communication is the backbone of
this process.
To sum up, credibility and the internal-external
alignment are also achieved by providing within
the organization not only the good news, successes
or achievements (as it is provided outside) but also,
the bad news, the fails or failures. Credibility is
acquired primarily when an organization is able to
tell their employees not only what it does well, but
what it does wrong, and what it is going to do to
improve it.
Radical Transparency
Transparency is a key factor since it has a direct
impact on the stakeholder behaviours, along
with sincerity. Although according to the
British American Tobacco Dircom, information
overload can become counterproductive. It is
Graph 1: Internal Communication - Communication and Strategy
ENGAGEMENT
BUSINESS
REPUTATION
Generate link with
the worker
Source: Roxana Gomez, 2011.
Insights
2

3. Internal
communication: a
tool for building trust
and transparency
in organizations
Graph 2: Internal Communication Cycle
Consensus
Information
Communication
Negotiation
Internal Communication Cycle
Participation/Engagement
Confidence
‘Credibility
is achieved
when
companies
are able
to tell
employees
not only
what is done
well, but
what is done
wrong, and
how it will be
improved’
Understanding
Source: Communication Strategies and Practices for a Telecentre Network, 2010.
all about understanding transparency as the
ability to better explain issues to stakeholders.
Transparency requires regular and reliable
information, credible, but relevant, responsive to
the real needs of the stakeholders.
At the same time, it is necessary to properly manage
the frequency of communications, its immediacy and
accessibility. Nowadays, employees require, as well
as other stakeholders, transparent communication
and that means a fast communication, since any
delay in the delivery of information is seen as an
attempt to hide something.
And deception is the opposite way to that
transparency and confidence that companies
want to generate. Provide accurate and necessary
information is essential to be credible and make
internal communication as the spearhead of talent
employee, strengthening its pride of belonging.
According to Marina Gonzalez, Internal
Communication Officer of Endesa, the active
participation of the employee is essential to amplify
the effectiveness and internal communication cycle.
When employees are the internal communication
protagonists, and they take part in the stories of the
company, employees become internal and external
prescribers for the company.
Conclusion: recognize successes
and admit failures
The best internal communication is based on a
deep and sincere humility, avoiding at all times
triumphalism and exaggeration, since these often lead
to contradictions and not only in medium or long,
but, increasingly, to short term . Having a good dose of
humility is useful to recognize successes and failures.
In addition, a communication based in projects is
much more credible than another held in the air
that does not have the help and support -always
necessary- of reality. The short distance between
words and deeds, between messages and policies,
is the way to an effective and successful internal
communication policy.
Finally, the alignment between internal and external
communication is the third element that gives
more credibility and prestige to the communication
strategy of an organization. But above all, which
brings a significant alignment between both
communications is an increase of commitment, key
factor in corporate reputation management.
Insights
3

4. Leading by
reputation
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