PROVIDENCE— Catherine Lugbauer, formerly COO of Weber Shandwick, and Lois Kelly, formerly CEO of McCann Erickson’s interactive unit Thunder House, have joined forces to create Kelly & Lugbauer, a management consulting firm that will help companies increase the operating effectiveness of their marketing communications and public relations operations.
Kelly & Lugbauer will rely on its founders’ expertise in applying technology to communications to develop data-driven best practice methodologies and predictive analytics to show companies what is and isn’t working in their communications operations—and how to fix it.
“Six Sigma research tells us that all service organizations—including public relations and marketing communications—waste millions of dollars annually by operating at efficiency levels of 60 to 70 percent” Lugbauer says. “With budgets down by 39 percent from last year, communications managers need to use the same kind of analytical models and metrics as other management disciplines to make sure they are getting the most value possible from existing people, agencies, operations and processes.”
Kelly & Lugbauer will focus on three areas:
· Maximizing performance of public relations and marketing communications’ biggest budget categories: internal staff and external agencies.
· Honing major programs to deliver higher cost/return ratios.
· Automating low value activities for overall cost savings.
“We believe that hard data needs to replace intuition to guide planning, management and resource allocation,” says Kelly. “A company with a $10 million marketing communications budget is likely wasting $2 to $3 million in inefficiencies. Should the company cut the budget by $3 million and impact the bottom line? Or should it redirect the $3 million to high performing programs, internal teams and agencies? Our data-driven service models can help companies pinpoint the drag and cut costs – or help identify the winners and drive revenue and profits.”
Products include the Kelly & Lugbauer Q³ Agency Performance Tuner, which evaluates agency-client relationships against three critical success factors: quality of the relationship, quality of the process and quality of the product; and the Q³ Organization Performance Tuner, evaluates internal communications department performance against three success factors: quality of the relationship with senior management, quality of the process and quality of the product.