How to Evaluate Annual Report Firms
by John Donaldson
Originally published in PR Tactics, the monthly publication of the Public Relations Society of America, this article was also selected this past year for its prestigious anniversary publication, The Best of PR Tactics.
Reprinted from
Public Relations Tactics
John Donaldson, Vice President, The Donaldson Group
Annual reports continue to be "the single most strategic communications vehicle for corporations," according to a recent survey by Yankelovich Partners.
Consequently, selecting a firm that's capable of creating an annual report that will effectively convey your company's communication theme is a critical business decision.
Because annual reports are such a highly visual communications medium, conducting the search for an annual report firm often invests a lot of time scrutinizing prospective firms' creative credentials.
Not surprisingly, many graphic design firms and other agencies are capable of developing annual reports that are visually attractive - beauty directed more toward the "eye-of-the-beholder" than concrete audience and customer goals.
As a result, selecting a firm can be a challenging task. And in fact, many companies ultimately pick a firm based primarily on subjective aesthetic criteria. In the final analysis, what makes an annual report successful is its ability to fulfill a company's objectives.
When searching for a firm to create your company's annual report, concentrate on finding one that's sincerely interested in bringing your company's communications message to life. And, remember you're looking for a business partner, in addition to a creative partner.
The following tips will help you evaluate annual report firms. They will also help you select a firm capable of smoothly managing your project and producing an effective communications piece.
Begin by asking candidates about their past experience. This is critical because many aspects of an annual report's production and printing require the skills of a veteran.
For example, the Federal Securities and Exchange Commission (FSEC) has stringent regulations regarding the format of an annual report's financial sections. Equally important, annual report printing is a specialized art best handled by a firm with experience in the field (both the financial reporting and the stylish section aimed at separating you from your competitors).
Ask for references. Nothing provides greater insight into how a firm manages projects than testimonials. Ask references how the firm managed their annual report's design, production and printing, and whether the report fulfilled their goals, find out if the firm delivered the annual report on time and on budget.
Meet the people - not just the sales team - who would manage your project on a daily basis, and assess whether they have the creative and business skills necessary to handle the job.
Many CEOs play a role in shaping their company's annual report's communications theme; it's crucial that the team that spearheads the project (and makes presentations) communicate effectively with the head of your organization and other executives.
At the same time, examine whether the firm is adequately staffed to devote individual attention to your annual report. Big doesn't always mean better: Smaller companies need to be vigilant to ensure their communications pieces won't get lost in the shuffle if they enlist the services of a larger firm.
Ask contenders to show you several annual reports from their portfolio that use different graphics approaches. Beware of firms whose annual reports all look alike. This is a sign of a firm that imprints its own style on its work, rather than using visual imagery as a means to express the personality of a company.
Finally, ask the firm how they keep costs down. Like any general contractor, an annual report firm can have a major impact on a report's cost.
Business-savvy firms that wisely allocate your budget are preferred to those merely providing invoices. They also can save you money.
Smart firms also help focus their clients on appropriate production and printing schedules that avert additional costs caused by deadline pressures.
The success of your annual report is "all in the homework." Apply the right principles to your search effort, and your decision - so important to the image of your company can be made with confidence.
