Internal Communication groups play an integral part in how organizations communicate with their employees regarding corporate issues, benefits and product news. This study reviews what internal communications activities and platforms leading organizations find most valuable and how communications groups are organized. It also explores the approaches internal and external communications leaders favor to work effectively with internal and external partners. Data are presented in two segments: Total Benchmark Class and Pharmaceutical Companies.

1. Internal Communications Excellence:
Optimizing Group Structure & Operations
1
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2. Table of Contents
Table of Contents TOC Continued
•Project Blueprint- pg. 3
•Executive Summary: Benchmark Insights and Research •Internal Communications Service Levels: Trends In
Group- pg.4 Activities That Inform the Enterprise- pg. 29
•Internal Communications Group Structures: Key Trends •Building Bridges: Working with Colleagues- pg. 42
•Working Effectively in The Integrated Pharmaceutical
& Drivers of Sub-group Evolution- pg. 9
Network: Forging Accountability and Clear Roles Among
•Internal and External Communications Group Models
External Partners- pg. 51
and Structures- pg. 18
•Communicating the Value of Communications In a
•Internal Communications Group Resource Benchmarks:
Global Bio-Pharma Company- pg. 56
Key Staffing and Investment Trends - pg. 24
•Contact Information- pg. 61
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3. Optimizing Structure Involves Integrated Practices &
Approaches
There are no perfect structures. “Form follows function.” New market pressures and
lifecycle events compel structures to evolve. Optimizing structure reflects the integrated
management of units, people, process, technology, communications, incentives and other
management factors.
10. Assess 1. Realign to
Performance, Support New “No institution can
Refine & Corporate
Continuously Goals, possibly survive if it
9. Optimize
Improve Strategies
Learning to 2. Fine-tune needs geniuses or
Enhance Internal Group
Performance Structure
supermen to manage it.
Internal
It must be organized in
8. Manage / Communication:
Coordinate Roles Evolving Structure to 3. Establish Service such a way as to be
for a Fully Integrated Levels to Reflect
Pharmaceutical Stay Relevant to Priorities & Resources able to get along under
Network Changing Goals,
Strategies 4. Integrate a leadership composed
7. Drive Long-Term Operations to
Priorities & Respond Bridge BU’s, of average human
to Ad Hoc Issues 6. Refine 5. Use Geographies &
Talent Funding / Sub-Groups
beings.”
Management Budgeting
Strategies & Process to -Peter Drucker
Systems to Fit Reaffirm
New Structure Alignments
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4. Universe of Learning: Internal Communications
Participants
Participants in this benchmarking research included 30 Communications executives and
managers at 26 leading companies from bio-pharmaceutical, healthcare and other
industry segments.
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5. Internal Communications Organized to Cover Entire
Company
Internal Communications is organized functionally to cover all aspects of an organization or
business unit’s operations. About half the benchmark class is structured to support either
the entire business unit or corporation. Other factors influencing sub-group structure
include Therapeutic areas and projects. Very few are designed to focus primarily on a
product’s internal communications needs.
Q11. Internal Communications Sub-Group Structure: Note all functional factors
describing how your internal communications organization is designed.
Total Benchmark Class Pharma Segment
Enterprise-Wide Focus 48% Business Unit Focus 52%
Business Unit Focus 33% Enterprise-Wide Focus 48%
Therapeutic Area Focus 32% Therapeutic Area Focus 38%
Matrix Model 28% Project Focus 29%
Project Focus 28% Matrix Model 24%
Product Focus 12% Product Focus 14%
% of Companies
% of Companies
(n=25) (n=21)
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6. Labor & Travel Claim Lion’s Share of Internal
Communications Budgets
Approximately 50% of all Internal Communications budgets go to staff salaries and field
travel. Key points of budget allocation variance lie in the relative amount of spend for non-
labor support systems: The Pharma segment invests 20% here versus 7% at the multi-
industry benchmark class.
Q28. Labor & Non-Labor Resource Allocations: Estimate the percentage of total
budget allocated to each labor and non-labor category.
Total Benchmark Class Pharma Segment
Other 9% Other 12%
Corporate
allocations 7%
Corporate
allocations 22% Internal labor
Internal labor
41%
42%
Non-labor
support systems
20%
Non-labor
support systems
7%
Field Travel & Outsourced Field Travel &
Outsourced
Lodging 9% labor 9% Lodging 10%
labor 12%
(n=7)
% of Respondents % of Respondents (n=5)
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7. Evolving Technology Essential for Effective
Communications
One communications leader based in Europe spoke of how new technologies were vital to
more effective communications between teams separated by time zones. “Between 70 and
80% of communications is non-verbal so just sitting on the end of a phone makes it quite
difficult when you want to put a point across,” she said.
“We have iPhones, some of us anyway, and that does
make a big difference because it’s really easy to edit on
the go and review documents, which does make a big
difference actually.”
– Director, External Communications
“We’ve just got laptops with cameras in them installed in
the laptop and I think that’s the next thing. Once we get
the laptops cracking, then in theory we can be at home
and have the video and there’s something about a virtual
meeting that feels more conducive.”
– Director, External Communications
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8. Building Bridges: Working With Colleagues
Note: The remainder of this study presents data from the perspective
of the Communications function, and thus Internal and External
Communications responses are combined.
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9. Universe of Learning: Internal & External
Communications Benchmark Research Participants
Participants in this benchmarking research included 39 Communications executives and
managers at 33 leading companies from bio-pharmaceutical, healthcare and other industry
segments.
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10. Most Benchmark Partners Provided Insights for
Both Internal & External Communications
Most research participants work in leadership roles in the Communications function and
thus were able to answer for both Internal and External Communications.
Q2. Please note for which groups you are able to respond.
Total Benchmark Class Pharma Segment
Both Internal and Both Internal and
External 59% External 58%
Communications Communications
External External
23% 24%
Communications Communications
Internal Internal
18% 18%
Communications Communications
% of Companies % of Companies
(n=39) (n=33)
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11. About Best Practices LLC
Best Practices, LLC is a research and consulting firm that conducts work based on the
simple yet profound principle that organizations can chart a course to superior economic
performance by studying the best business practices, operating tactics and winning
strategies of world-class companies.
Best Practices, LLC
6350 Quadrangle Drive, Suite 200,
Chapel Hill, NC 27517
www.best-in-class.com
bestpractices@best-in-class.com
Telephone: 919-403-0251
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