This week blog will be covering chapter 10:
Timelines and Budgets
This chapter has covered all the necessary knowledge about timelines and budgets, however, I will not be discussing more about timelines, as being a PR practitioner, we are all supposed to work within the given deadline. Hence, I will be covering more on budgeting.
Well, first of all the fact about budgeting is most organizations don’t use budgets to help them meet their profit goals. According to those organizations, the effort that is required to build and use workable budgets is just too much. They feel that learning how to budget is more frustrating.
However, that’s a mistake to ever think that way. Do you ever notice that a company that is used to budgeting is likely to meet their profit targets and avoid costly surprises? Because they have estimated of expenditure needed before going straight to do the task.
Well, now the same thing happens in the PR world. In PR, they do have budgeting and financial planning. According to the reading, a budget is defined as a periodic estimate of expenditure or, more simply, the amount of money needed for spending on a specific, object or task. In PR, budgeting is used for a media campaign between an agent and a client. It is also said that budgeting is not something to be taken lightly, despite the general feeling of dread it may invoke in those less numerate.
After looking through the importance of budgeting mentioned earlier, its clearly meant that budgeting is vital in PR world. Hence, still according to the reading, a good starting point in working up a proper budget is to add up all the tangible elements such as venue, computer technology, refreshments and prose material. But, how to manage the budget once we’ve known the estimated budget needed to do a task? Simple, you just need to discuss it with your client before the preparation., about the cost of the activities involved and the potential success if the results to avoid overspending on unnecessary items.
Therefore, here are some important steps according to Richard Stanton on how to develop your client budget.
First one would be setting up a workshop that involves the client’s marketing staff and its marketing agencies, such as its advertising and media buying agency to review business and marketing objectives for the coming year. The objective of that is to make sure that the company could plan its strategy and weight activities and budget according to the marketing priorities.
The second one which is also the last step would be getting all the team members and senior management involved in brainstorming method that helps to generate original and newsworthy ideas that can be filtered and costed to a certain limit of the allocated budgets.
So, to conclude all these, every major company in the world including PR company should get used to budgeting - and you can bet that there will be a good reason for that. So the next time you think about budgeting, follow these 2 steps and your income statement will be more informative and your stress level a good deal lower.
So, basically here are what I got for this week posts.
Have a nice day!