The Mauritius Commercial Bank Mcb

Published Date: 02 Nov 2017

This chapter will present the empirical data which consists of case studies of two chosen banks, namely; The Barclays bank and The Mauritius Commercial Bank (MCB). An introduction of the background of the companies will be presented followed by the data collected through the interviews. The data case for Barclays is based on the interview with Mr. Feycal Caunhye, the in charge for Communications. In the case of the MCB, the data is based on the interview conducted with Mr. X.

Case One: The Barclays Bank

Introduction

Ever since the organization was established more than 300 years ago, Barclays bank has grown to offer a range of products and services tailored to meet the specific needs of its customers all over the world. As a responsible global institution, Barclays is committed to ensuring the sustainability of the communities in which the business operates, and strives for sustainable relationships with customers and clients worldwide.

Barclays Bank PLC is a banking company incorporated in England having its Head-Office at 1, Churchill Place, London E14 5HP, United Kingdom but they have operations all over the world, with products and services to meet the needs of customers and clients in local markets. Barclays Group Chairman is Marcus Agius, and the Chief Executive is Bob Diamond. They are supported by Barclays Executive Committee and the Board of Directors.

Barclays has over 300 years of history and expertise in banking. It operates in over 50 countries which includes Botswana, Egypt, Ghana, Kenya, Nigeria, South Africa, Tanzania, Uganda, Zambia, Zimbabwe, Pakistan, Mauritius, Seychelles and employs over 147,000 people. Barclays operates to move, lend, invest and protect money for over 48 million customers and clients worldwide.

The branch registered office in Mauritius is situated at Sir William Newton Street, Port-Louis, and has been founded in 1919 and since it has been playing a key role in the expansion of business in Mauritius. Barclays Bank (PLC) Mauritius has been receiving international recognition by winning for successive years the prestigious international EMEA Finance Award for the ‘Best Bank in Mauritius’ and ‘Best Foreign Bank in Mauritius’ thanks to its exceptional performance on all fronts.

Barclays Bank (PLC) Mauritius has built its reputation and leading position on substantial capital resources, high credit rating and group financial strength and world-class professional expertise. Barclays Bank (PLC) Mauritius, which operates as a branch of Barclays PLC (UK),now forms part of the Global Retail Commercial Banking Emerging Markets and is under the ‘India and Indian Ocean Region’ heading.

Barclays Bank (PLC) Mauritius currently has a network of 26 branches across the country and is present in both domestic and international segments of the financial sector. The bank provides an extended range of services to personal and corporate customers:

Personal services include current and savings accounts, foreign currency accounts, home loans and multi-purpose loans, credit cards, ATMs and telephone banking.

Business services include lending products, trade and export finance and several specialist services such as treasury, foreign exchange and capital markets capability.

In addition, Barclays Bank (PLC) pioneered the offshore sector in 2004 by being the first commercial bank to avail itself of a license to engage in offshore activities. In 2005, Barclays launched the first ever ‘Medium Term Note’ scheme in Mauritius and has a mandate for a second. Barclays Bank (PLC) Mauritius is currently the leading bank in Mauritius for project financing and is poised to remain one of the key players in the Mauritian financial sector.

Public Relations (PR) has always been a dominant and valuable marketing communications tool. Not only can it increase public awareness for a company, it can also shift an established perspective with one simple article spun the "right way". These days, however, the Internet has stepped in to become a viable and widespread media outlet by itself through the large amount of consumers it can reach on a daily basis. The Internet provides opportunities to reach thousands more than an advertisement would in your local newspaper, and for a much cheaper price.

The key for Barclay’s success is through good public relations. To some extent the Internet has now become a key player in its success factor. It provides a faster, broader reach for the Company. They use it to publish company press releases, background information of the company, to introduce new promotions, the services provided, the location of there branches and to provide vacancies. The role of the PR officer is to create the catch. It is the public relations department's role to keep the information up-to-date and to conduct research studies to ensure that the company's clients are satisfied.

With the growth of the Internet, Barclays has to do a great deal more crisis management than before. The online community gives people an opportunity to communicate with each other about problems in a very lengthy, in-depth manner as opposed to through media circuits such as the newspaper, radio and television where the lines of communication were limited.

The bank supports community initiatives by plough back 1% of its profit before tax for community pledges, in line with the Barclays global community investment program themes which are mentioned below.

Banking on brighter futures

Banking on Brighter Futures is about giving disadvantaged people the chance of better life they wouldn’t otherwise have. It fits closely with Barclay’s business, and gives the company the fullest opportunity to use, not only its money, but also the skills and expertise of its employees to help people out of poverty, debt and disadvantage. Through this program the Company focuses on:

Increasing financial inclusion

Encouraging entrepreneurship and employment

Support access to education, particularly financial education

Looking after local communities

Looking after local communities is about investing in the many neighborhoods around the world where Barclays its presence. Supporting the causes close to home is one of the best ways that Barclays can meet local needs and engage local stakeholders. The Company priority areas are:

Health: Diabetes Prevention & HIV/AIDS prevention

Education: non- Formal and entrepreneurship training

Empowerment: People with disabilities / vulnerable persons

Environment: Land & Marine – Preservation & Conservation

Charity begins at work

Charity begins at work is a vital component of Barclays community investment program. At the heart of the community program is the desire to engage its people and to support them to get involved in their local communities. It’s down to individual choice who, what and how to help. The following support is available for colleagues to get involved in community programs:

Rs4Rs Matched Fundraising

Fund raised through events will be ‘doubled’ by the bank for each colleague up to 3 times a year. Benefits go to the charity of their choice, in line with Barclay’s policy.

Volunteering in work time

The staffs get two days off per year to do volunteer work and take part in community initiatives.

Make A Difference Day

As mention earlier, once a year, colleagues are sponsored to do volunteering work at the charity of their choice.

Diagnoses of diabetes have increased in recent years in Mauritius, indicating an alarming trend. Barclays Mauritius is investing Rs 1.7m in a program to provide free diabetes tests in easily accessible locations across the island, at convenient times of the day. Barclays is partnering with the Mauritian government to support a nationwide diabetes screening campaign, encouraging people to take preventative measures to reduce their risk of developing the illness, by eating healthily and taking regular exercise.

Barclays Mauritius has adopted the fight against diabetes as its flagship cause, given the high prevalence rate in Mauritius, irrespective of class, race and gender. Indeed, among the adult population, aged 30 and above, 19.3% are diagnosed diabetic, and 12.1% have an impaired glucose tolerance. In 2006, Barclays Mauritius has earmarked Rs 1.7m for 5 initiatives related to Diabetes prevention. For the World Diabetes Day in November 2007, Barclays Mauritius had engaged itself in investigating Rs10 Million for the Diabetes prevention cause.

Committed to building a healthier society, Barclays Bank PLC-Mauritius has partnered with the Ministry of Health & Quality of Life in the never-ending war against the prevalence of non-communicable diseases, especially diabetes which stands out as the main public enemy in Mauritius. The situation in the paradise island is alarming: 1 out of 5 people aged 30 and above is diabetic. With a third of its 1.2 Million inhabitants being diabetic, Mauritius ranks second in the world as regards the prevalence of diabetes.

As a responsible organization, Barclays Bank PLC- Mauritius has taken immediate and concrete steps by making of the fight against diabetes its flagship cause for 2008. The bank has allocated 10 Million Rupees to support diabetes-related projects. The grant also pays for expenses linked to medical teams, organizational costs, cholesterol and glucose testing strips, and the production of an educational booklet. A country-wide media campaign was carried out namely – "Diabetes Full Stop". Use of billboards, radio, TV and newspapers has helped raise awareness of the disease among Mauritian. But also, we had a doctor talking and explaining the causes and preventing measures to take. This particular program was broadcasted on TV during the peak hours from 6p.m to 8p.m.

But if funding is pivotal to this war against diabetes Barclays Mauritius believes that action is as important. In this direction, a Diabetes Prevention Action Plan 2008 was devised and implemented internally. Through this Action Plan, the bank was able to provide its entire staff with a free diabetes screening and thus, directly bring to the attention of some 1,300 families, the dangers of non-communicable diseases. To that number, an additional 4,000 families have been sensitized as to the scourge of diabetes through the Zero Diabetes initiative, a partnership between Barclays Mauritius and the Ministry of Health.

This free diabetes screening campaign has seen the free screening of almost 4,000 Mauritian citizens in some 20 regions throughout the country. During the Barclays Community Night held on 16 Friday December 2011 at Ebene, a minibus was donated to the Ministry of Health and Quality of Life as a part of the bank's vision to fight diabetes.

The collaboration between Barclays Bank PLC Mauritius and its strategic partners in the field of community support is a continuous and dynamic process. At the eve of the 2008 World Diabetes Day, Barclays Mauritius reiterated its unflinching support to the Mauritian health authorities. The financial support provided by Barclays Bank will be used for the setting up of mobile clinics throughout the country. Through these programs, Barclays has helped make diabetes screening appointments available during weekends and after typical working hours. In 2009, 110,671 people benefited from free screening test.

A powerful tool like CSR not only enhances the brand image and reputation of Barclays but also leads to improvement customer loyalty, and increased ability to attract and retain employees. By capitalizing on it, Barclays has improved its financial performance and attract more investment with immense economic value. In the present era, the word CSR has, as a result, has occupied a very key place in the plans and strategies of the Company. However, as stated by Mr. Caunhye, it is sad but true that for many organisations, CSR has been adulterated to be used as a marketing tool and image-building instrument, with the smallest support receiving provoked or paid extensive media coverage.

Roles and Objectives at Barclays

At Barclays, they believe that Banking should not only be easy and convenient, but also a pleasurable experience. Besides being a very competent company, striving hard to survive in an ever increasing competitive environment, Barclays is also engaged in community service.

Barclays defines its "publics" as being the customers, potential customers, employees, the community including citizens and companies that today are not customers of Barclays, public media, authorities and other decision makers. In principle, the groups mentioned above fall into the target group segment of the bank. Barclays works differently with those various groups, depending on the scope and importance of the relation.

PR has become a must nowadays due to the expanding issues and matters to deal with. The environment is dynamic and errors are not tolerated. As stated by Mr Caunhye, "the very nature of communication itself and its ultimate objectives have undergone a fundamental transformation. Far from being only "information, image building and interaction element" , the public relations instrument is today one of the social engagement, both internally - through interaction with social actors employed by an organisation- and externally with media partners and with persons within the society." Communication is above all. Everyone wants to be communicated of the latest happening. Hence, the company make much use of the intranet to keep its employees well informed of the Company’s activities. Presently much emphasis is put on technology and communication. However, as stated during the interview public relations is mostly people oriented, despite having the latest technology if the Public relations officer cannot deal with the different stakeholders then it’s a waste.

PR has evolved a lot at Barclays, and therefore the company needs to response to these changes proactively. As he pointed out, the strategies need to be amended and for him a strategy is like a skeleton on which the flesh (components and triggers for action) may take more volume or eventually shrink. Any strategy, the more so in a socio-economic environment undergoing constant changes, needs to be continuously reassessed and retuned. The reasons behind this are several and vary from simple business requirements – for example increase or reduction of customers. Barclays should aim at attracting new people but also devise strategies to retain the existing ones.

Also, developments pertaining to infrastructure and technology, evolution or development of services – to more fundamental elements which may relate to the very existence of the business itself (mergers/ acquisitions/ expansion/ bankruptcy) changes impacting human resource (increase of staff for business expansion or reduction of headcount due to losses) , operational and technical problems (IT infrastructure hacked or under virus attack / serious fire) and serious unforeseen issues (massive fraud scandal or epidemics preventing normal operations).

Another element to be taken into consideration is that constant assessment and monitoring of the implementation of any phase of the PR and Communications strategy is extremely important as it will allow for an understanding of its effectiveness or shortcomings. In case of flawed rationale or implementation, changes will cater for appropriate corrective measures.

Barclays Company believes much into welfare of its employees. As cited earlier, communication is the root of the success for the company. Within the Company, there is increased reliance upon modern computer-based top-down dissemination of information and bottom-up collection of feedback. Newsletters are now e-zones and organisation-wide interactive audio-video presentations are used. The Communications Manager ensure that his team are aware of everything relating to public relations- from those who are responsible for designing and implementing a campaign to those who deals with press. Mr Caunhye welcomes suggestions and asks for feedback from his teams, hence this helps to tackle issues accurately. On the other hand, the Company also believe that despite modern methods are used over, existing channels of direct communication through face-to-face meetings and social events are of upmost importance.

Over the years this concept of Corporate Social Responsibility (CSR) has gained unprecedented momentum in business and public debate and has become a strategic issue crossing the departmental boundaries, and affecting the way in which a company does business. CSR is a concept whereby business organizations consider the interest of society by taking responsibility for the impact of their activities on customers, suppliers, employees, shareholders, communities and other stakeholders as well as their environment. This obligation shows that the organizations have to comply with legislation and voluntarily take initiatives to improve the well-being of their employees and their families as well as for the local community and society at large. CSR can involve a range of activities such as working in partnership with local communities, socially sensitive investment, developing relationships with employees, customers and their families, and involving in activities for environmental conservation and sustainability.

For Barclays, CSR has become imperative. CSR is today compulsory by law and aims at re-injecting funds and related support in society for helping the deprived and for supporting NGO’s. Barclays has been voluntarily doing CSR since 2001 by providing funding to the tune of 1% of its profit before tax. Several NGOs have thus been receiving funding ranging from Rs. 125,000 to several Millions of Rupees. The NGOs receiving funding from Barclays include SOS Poverty, Women in Networking, APEIM, TiDiams and Maison Verte amongst others. Barclays is also a close partner with the Ministry of Health and has made of the fight against diabetes its flagship cause. Some 10 Million Rupees were thus invested in the fight against diabetes. The link between Barclays and the fight against diabetes is today a very tangible one in the minds of Mauritians. We all are aware of the Barclays F.A Cup; in Mauritius also the company is a privileged partner and funder for the Mauritius Football Association.

However, the underlying concept behind the CSR strategy has always been and will remain a purely social and humane one. For Company philosophy is that, "giving back to the community is not just about boosting the corporate image through CSR initiatives but at the people to people level, it's about being humane." This is the reason why most of this funding provided by Barclays is not ventilated in the media instead of being used abusively to promote the image of the organisation. The underlying principle is that an organisation operating in Mauritius and making huge profits is morally bound to give back to the society within which those profits have been made. Another interesting element is that it is in the statutes of Barclays that employees invest time in social support. Every year, in the month of October, employees within all countries where Barclays operates engage in social support activities. In Mauritius, more than 800 men and women within Barclays take part in what is called the ‘Make a Difference Day’. This is what distinguishes Barclays and other organisations in terms of giving true meaning to social responsibility.

Consequently, when it comes to help others in the society, the employees at Barclays are ready to act. Whether it’s about repairing computers of a school for youngsters in a deprived area, or to repaint the walls of NGO’s which welcomes vulnerable people or even to offer food to orphans, Barclays Company is always present. The motive is to create the difference in the society that is an effort of the bank and its employees to reduce the disparity that exists in the country.

Indeed this is what the concept of "Make a Difference Day" is all about. This concept exists since thirteen years now, which help the employees at Barclays to bring there support whether humane or material to different organizations in Mauritius. The aim of "Make a Difference Day" is in investing in social projects not only in terms of material but also in terms of kindness. This operation has taken a good deal of significance in the world. In 2007, there have been about 16,000 employees of Barclays who had been participating in this project and whereby they were sent to 26 countries. In Mauritius, there are about 800 employees who have brought their contribution to "Make a Difference Day" while participating in about 35 projects in Mauritius and Rodrigues. In the year 2011, the company had implemented about 50 CSR projects. During the weeks days dedicated to social service, different teams choose a day for doing social activity. Therefore, this concept is a way for the employees at Barclays to continue to build a better society and reduce differences.

At Barclays, there is a view that PR activities lead to publicity in media. The bank works with communication towards other target groups than public media, but this is not by Barclays defined as PR as it is in general theories. Communication targeted towards internal groups falls under the definition of "Internal communication" and the communication process with existing and potential customers goes under the responsibility of marketing.

Crisis management is vital for every organization. It involves reacting to an event once it has occurred. For this reason, a crisis management plan is necessary because news and information is traveling faster than ever. The PR Communication plays a fundamental role in times of crisis management by being the bridge between all stakeholders. Crisis communications planning will help identify the Company’s vulnerabilities. Recently, in the month February there has been a fraud issue at Barclays. From newspapers to TV everyone was aware of the fraud. As a result, the PR / Communication department personnel were very meticulous about this matter. Various steps were place in line to deal with the press and different stakeholders. The PR/ Communication team were taking an active part in the crafting of crisis management strategies and reactive information processes.

Each crisis situation is unique and, therefore, requires a tailored response.As reveal during the interview, the Company very first strategy is that during a crisis, the information the organization has, is made aware to everyone through the intranet system of the bank. The PR officer or representatives ensure that the entire message communicated is not distorted. The front-line interface between management and employees is for providing first-hand information and reactive updates regarding the fraud.

The overall objectives with the PR activities at Barclays are to confirm existing customers that they have chosen the "right bank", and that the company wants to retain them as customers. The objectives are also to reach out to new and potential customers with offers and to reinforce the brand and image of the organization through social responsibility and commitment to the society. These objectives are then split up into different target groups for further development.

The Barclays bank has developed an overall objective in the communication policy at top management level. The policy has no end it itself but reflect into daily business through goals that are set to have satisfied customers, good result, profitability from the business, and motivate employees towards performance and commitment. The top management is highly involved in the communication strategies of the Barclays group with regard to the overall image and reputation of the bank. The operative plans act as framework at divisional level on how to operate and are implemented down to branch level to coordinate how to communicate in sales and customer activities.

According to Barclays, PR activities are of huge importance since they create value for the organization, through keeping customers satisfied and loyal. By nature of the intangible services of the bank and the fact that there is an upward trend towards internet banking, PR is an important tool for the organization when communicating and maintaining relations with its publics.

The public opinion about banks is generally dynamic and most specifically connected to some products or services during a quick boost or fall at the capital market. This often leads to a question; which is about whether the service or advice given by the bank was correct.

By means of effective public relations activities, Barclays believe that they can change the view and opinion about the bank in the minds of their publics. It is as such important to stand up for what you say, and deliver high quality services, attractive offers, and have competent human resources. By doing things the right things at the right time, the bank can improve the picture of the message conveyed by its PR activities. Barclays has the flexibility to encounter changes in the public opinion but this is not a major issue since they have been able to maintain and improve public opinion by handling controversies at the start point itself.

Within Barclays, the set of PR activities initiated are used to build the bank’s image and at the same time inform and educate about their services. The recent years, Barclays has put extra effort in building its image at public level through massive corporate social responsibility activities, especially regarding Diabetes in Mauritius. Today Barclays has improves with more focus on image building activities while maintaining an equivalent effort in promoting its services. Barclays ambition is to be more proactive and actively oriented to shape the image of the bank instead of using PR activities to act only when questions and controversies arise from outside.

Functions and tools used by Barclays

The internet has become an ongoing emerging source that tends to expand more and more. The growth of this particular media attracts the attention of advertisers as a more productive source to bring in consumers. Internet advertising as a marketing medium now ranks ahead of TV, radio and print as the preferred marketing method for businesses and organizations. The number of internet users is on a rapid rise worldwide and is used by people of all age and types.  Internet has become a major medium for communication, entertainment and is in the process of replacing traditional entertainment, promo products, and informative Medias.

At Barclays, they have their own website. It is a secured website with all necessary information and services being provided. The information includes the annual reports, citizenship reports and news update and some of the services include internet banking, personal banking, corporate banking and mobile banking.

Crisis public relations are changing. With new media, such as My Space and Facebook, crisis situations have occurred on the web. While products and services expand to new media, there are new ways for crises to emerge. However, Barclays does not make full use of any such new media like e-mail, websites, podcasts, internet video, and others to communicate to the public. The Company relies mainly on traditional broadcast news or print advertising to properly manage a crisis. They undertake face to face meeting with press and their stakeholders.

On the other hand, Barclays is constantly improving their service levels to their customers, Barclays Bank PLC – Mauritius is now able to bring to its customers the latest in flexible core banking technology. This means that we can have access to our Account Information online and also any organizations can access to account information in real time. Moreover organization will now be in a position to access its statements as far back as six months online and will have the capability to print or export account information in the various formats.

Public Relations are continuously evolving; as well the environment is constantly changing. Public relations itself stipulate much effort from either the PR officer or even the PR team. Hence, in order to overcome any unwise outcome to crop up, measures need to be taken Communication is the root of a company’s success. However, communication problems may crop up or even the message may be distorted especially during a crisis or work overload. Therefore, to avoid any such matter to arise, the Barclays encourages constant flow of information. This ranges from top-down information flow to convey messages from management for clear transmission of the objectives, for example issues concerning current or forthcoming strategies (PR Campaigns), information and updates on existing issues. Hence, this brings transparency around management decisions impacting on the organization and human resources progress where management stands on internal problems Of course before any event take place; the Communication Managers needs top management consent. Much importance is given to bottom-up flow of information so as to allow management to get feedback on any perception gap, anxiety, negative reaction and also the level of engagement of employees regarding operational or strategic decisions. Inability to communicate will create grapevines between management and employees.

The role of the media in shaping public perceptions and opinions about significant political and social issues has long been the subject of both speculation and research. It is widely accepted that what we know about, think and believe about what happens in the world, outside of personal first-hand experience, is shaped, by how these events are reported in newspapers and communicated through the medium of radio and television.

Therefore, the PR manager has to frequently deal with the press. During news releases/ "hot news" or interviews about issues to be communicated to the press, there’s much stress. The Pr officer should be apt with words as the press will ask tricky questions. And all details cannot be disclosed though; the company believes much on honesty and talk about facts. Hence the need to provide information on new products and services, broad lines of strategies, business developments or negative elements affecting the business to the press becomes necessary.

PR is a labour intensive department though much emphasis is not put on technology. As pointed out by the Communications Manager, IT-based interaction is taking a significant share of the communication process. For instance, within the Company communication is done ‘remotely’ and ‘instantly’ through email and video conference, reactions and opinions are collated through ‘voting button’ enabled feedback systems, more emphasis is being laid on audio-visual aids and internal magazines have evolved into interactive e-zones such as the Eagle Magazine which is provided to all employees through the intranet system. This however does not imply that it wipes out the essential part of communications and public relations which is and will remain a social interaction through face-to-face meetings, verbal interaction and other forms of immediate ‘human’ communication. Human interaction and engagement will stay as the back-bone to which other trends might be grafted.

Barclays use PR to reach out and build relations with customers and publics when communicating with various target groups. The most crucial relationship for Barclays is that of its customers, followed by media relations. Media publicity is not an objective in itself but should instead be seen as a way to reach customers or potential customers. Using PR to inform and stimulate employees is as much important so as to maintain a healthy Employee relationship. In financial relations, PR can as well be used to get editorial spaces in media in order to influence and inform potential investors and stakeholders.

Barclays uses press releases, regular reports and speeches as common PR tools to build its image. The bank puts great focus on the personal contact with the customers and the media. The company website is another main tool on which Barclays invests a lot of effort. Nowadays, the trend towards using online services has increased whereby most customers use Internet services to handle their bank transactions. This has been the result of the Mauritian government initiatives to increase computer literacy in the country in collaboration with the National Computer Board (NCB).

At branch level, the regulation is done through a collective graphical profile and platform messages on how to act in media. There are clear strategies shaped by guidelines on what can be done and what cannot. PR tools are used to both maintain existing customers and obtain new customers; these tools include for example local events or editorial space about savings and transactions in local newspapers. Today, the branch managers must act both as marketing and information managers when dealing with local activities concerning advertising and PR.

Services at Barclays contain intensive customer relations through face to face meetings at branches, the webpage, internet banking transactions and ATMs. In their marketing mix, Barclays believes that PR, and most importantly personal relationships are the most crucial aspects, followed by other components such as advertising.

The best crafted strategy may need to be reviewed if the objectives are not being met. This may result from internal changes like the change in management, changes impacting staff, business imperatives like the creation, merging, dissolution of departments, decisions taken to react to adverse local and international economic conditions. An additional factor may be the tuning of information processes driven by the Head Office and major decision makers. This may be felt in the implementation of new information processes, feedback mechanisms, and new ways of reporting and assessment of information strategies.

Evaluation of PR at Barclays is done at different levels. The intention to measure what is measurable is strong and present as well as how many have seen the activity and what the public think about it. Today these activities are crucial to decision making as they provide a knowledge base. At Barclays, measuring, follow ups and evaluation has been improved and made more effective over the recent years.

Trust and reputation at Barclays

Trust is the essence of public relations. If the public and the news media do not trust a public relations practitioner, public relations efforts will fail. Industry associations such as the Public Relations Society of America (PRSA) and the International Association of Business Communicators (IABC) have created and maintained codes of ethics as industry standards.

According to Barclays, ethics is a reputation for integrity and is crucial to Barclays for achieving its commercial goals, and fulfilling its corporate responsibilities. It's an essential asset, which they are dedicated to protecting and strengthening.

Moreover, Barclays, believes that business ethics are key ingredient to their record financial performance. Business ethics are so important to branding and maintaining good relationships with stakeholders which includes customers, employees, regulators and investors. Barclays sets out that these considerations have made an inherent contribution towards to their ongoing strong financial performance.

Some of the codes of ethics that Barclays follow are:

Values, Ethics and Moral Behaviour

Codes of Ethics are based upon values. The PRSA Code of Ethics states fundamental public relations values are "advocacy, honesty, loyalty, professional development and objectivity structuring ethical practice and interaction with clients and the public."

As far as Barclays is concerned, it expects every colleague, and others who work on their behalf to conduct themselves according to consistently high professional and ethical standards.

Moreover, Barclays Statement on Corporate Conduct and Ethics outlines the behaviours and standards of conduct required by colleagues across the business. More detailed standards are set by each area of the business, tailored to their specific business priorities and regulatory parameters.

Furthermore, every Barclays’ employee is required to confirm annually that they have read and understood the code of conduct relevant to their part of the business as part of their performance development review process.

Ethical Practices

Ethical practice is to honor the beliefs, morals and values of your profession and to help others through the process of unbiased decision making. We have to serve the employer or client by building and managing relationships that help achieve goals, but not at the expense of the public interest. We must also be honest, provide truthful and accurate information. Moreover we should assist others in making the best possible informed choice by maintaining open communication. In addition, we have to protect confidential information and avoid conflicts of interest. Give credit and identify sources for work borrowed from others and also engage in communication that is "sensitive to cultural values and belief."

One example of ethical practice at Barclays is Ethical indices that is, Barclays has achieved recognition for its commitment to ethical practices in business in leading independent indices:

FTSE4 Good Index

The FTSE4 Good Index Series measures the performance of companies that meet globally recognized corporate responsibility standards. Barclays retains membership in the Global, Europe and UK indices.

Dow Jones Sustainability Index

The Dow Jones Sustainability Index Series tracks the financial performance of the world’s leading sustainability-driven companies. In its 2010 rankings, Barclays achieved an overall score of 80 per cent. The banking sector average was 50 per cent.

Business in the Community Index

The Business in the Community Corporate Responsibility Index measures responsible business strategy and the management of corporate responsibility. The top 100 companies are listed in the annual index. Barclays has been awarded the highest accolade – Platinum status – since 2007. Their projects on financial inclusion and offsetting emissions from their global operations were recognized.

Policies

Moreover, Barclays have policies in place to achieve a consistent approach to ethical issues across the Group and ensure the business remains a positive corporate role model. Their policies and guidance covers a broad range of issues, including:

- Corporate conduct and ethics

- Human rights

- Bribery and corruption

- Data protection

- Anti-money laundering.

Sanctions

Sanctions are restrictions on activity with targeted countries, governments, entities, individuals and industries that are imposed by bodies such as the United Nations, the European Union, individual countries or groups of countries. The Barclays Group Sanctions Policy is designed to ensure that the Group complies with applicable sanctions laws in every jurisdiction in which it operates.

Fair Business Practices

Barclays believe in Fair Business Practices that is, compete ethically against other professionals and companies using fair business practices, act in the best interests of the employer, client and public and disclose sponsors and gifts if representing those interests, and any financial stake in employers or clients. Moreover, respect others and their rights to privacy or confidentiality and refuse work that violates ethical standards. Furthermore, describe accurately what public relations can accomplish to clients and employers and charge fair prices for work performed.

Customer Service

Customer service is the public face of your business. Personnel must be well-trained and able to respond appropriately to customer issues. Ideally, they should be empowered to address low-level problems by themselves, without supervision. When customer service is properly done, reflects and displays ethical business practices and your business reputation always improves.

As Barclays is listed on the London Stock Exchange, it complies with the UK Combined Code on Corporate Governance. Additionally, Barclays has American Depositary Receipts listed on the New York Stock Exchange, and is therefore also subject to certain NYSE corporate governance rules. Moreover Barclays Bank PLC is authorized and regulated by the Financial Services Authority.

Therefore it can be seen that Barclays have a number of ‘values based’ business conduct and ethics policies which apply to all stakeholders that is employees, customers, regulators and investors.

The most important trust building activity at Barclays is the contact with customers, be it physical, by phone or over the internet. A good PR gives the advantage of strengthening positive values and trends among customers and other stakeholders if used in the right way. It is however more difficult to manage and handle negative issues with PR. The negative issues can be dealt with and toned down but certainly not eliminated by PR. Handling positive issues should be of priority for using PR activities but can as well be used to tackle negative issues.

Trust and reputation developed by PR activities can complement to the concrete face to face customer relation when creating loyalty and customer satisfaction at Barclays. The bank also believes that active initiative with P activities can shape corporate reputation in a short period, taking as example the PR program over consciousness of Diabetes in Mauritius they bank has been undertaking.

The banking industry is among the few industries where trust and reputation is a major competitive advantage to generate new customers.. It is a result of the banks intangible services, which includes managing the whole economy of private and corporate customers. Loyal customers are seen as the receipt of appreciation of the bank’s activities, and further developed trust and reputation influences this appreciation towards a positive upward trend. Trust and reputation developed and correctly managed between Barclays and its customers, mediate signals about the bank being a trustworthy and credible partner at present date and in the future.

The necessity of protecting and upholding corporate reputation will be increasing in importance for the years ahead. Corporate reputation at Barclays bank has become more important over time involving top management to a greater extent. Another development seen over time is the integration of communication strategies throughout the entire organization, and the integration of communication strategies at all levels within the Barclays group in their daily activities.