MANAGING RADIO Caroline Mitchell, Brian Lister and Tony O'Shea Online edition edited by Brian Lister. First published 2009 by Sound Concepts 37 West End, Sedgefield, TS21 2BW. England. © 2009 Caroline Mitchell, Brian Lister and Tony O'Shea Managing Radio by Caroline Mitchell, Brian Lister and Tony O'Shea is licensed under a Creative Commons Attribution-Non-Commercial-No Dervative Works 2.0 UK:England & Wales Licence. To view a copy of this licence, visit http://creativecommons.org/licenses/by-nc-nd/2.0/uk/ or send a letter to Creative Commons, 171 Second Street, Suite 300, San Francisco, California 94105, USA. Permissions beyond the scope of this license may be available from [email protected] Extracts from this work should be cited or referenced as "Mitchell,C. Lister, B. and O'Shea, A. (2009) Managing Radio Sound Concepts (online) available at www.soundconcepts.ltd.uk/managingradio/ " 2 MANAGING RADIO Caroline Mitchell, Brian Lister and Tony O'Shea Caroline Mitchell is Senior Lecturer in Radio at the University of Sunderland and a trainer and consultant in community media. She was previously Head of Radio at the University where she established the MA in Radio (Production and Management). She has produced research publications in the area of radio studies, women and radio and community radio and has over 20 years experience of advising community radio groups in the area of radio training and setting up participatory radio station structures and programming. Brian Lister is a senior Radio Industry consultant and visiting lecturer in Radio Management at the University of Sunderland, UK. He is a well known commercial radio manager of many years standing, a consultant and trainer who has also aided numerous groups to gain commercial and community radio licences. Dr. Anthony O'Sh ea is Senior Lecturer in Organisational Studies and Organisational Theory, University of Sunderland, UK. He has published widely in the area of organisational studies, organisational theory and critical management studies and collaborated on conference papers in radio management. This publication comes out of a collaborative project between the authors who have worked together on radio management courses for Sunderland's successful MA in Radio (Production and Management). The publication aims to be both a useful text for students studying the theory and practice of managing radio stations and to provide contextual and critical essays from leading academics and radio to broaden the reader's understanding of the area. Finally there are short case studies based on empirical research that exemplify different station structures and management approaches. It mainly concentrates on station management in the BBC local, commercial and community sectors - it is not our intention to focus very much on BBC network management. 3 CONTENTS Section 1 - Theory and Background 1.1 Introduction page 10 We introduce the changing and complicated environment of radio in terms of technological, social, economic and political forces that affect it. We provide detail on both the size and nature of the environment, the radio audience and the changing nature of regulation, competition and the demands of the industry and the audience whilst focusing particularly on technological advances in the industry. We argue that these complicated and rapid changes that beset radio place new demands on radio management and managers and that they need to respond appropriately in order to meet these and maintain the trust of their audiences. From this we move on to outline why there is a need for this book and the audience that it is aimed at and provide detail on the structure and content of the remainder of this publication. 1.2 Radio industry overview page 19 This section maps the UK radio industry and the regulatory framework for radio. It will present an overview of the different sectors for radio: BBC, commercial and community radio (including hospital and student stations) and the small but growing sector of independent production companies and web and podcasting operators. At the beginning of the second millennium the very use of the term 'radio' has become debatable because it is now available on so many platforms other than that provided by the traditional transmitter-receiver model. This section will survey these platforms including Digital Audio Broadcasting (DAB) Digital Multimedia Broadcasting through mobile devices (DMB) web radio and podcasting. 4 1.3 Working in radio management page 33 We look at the scope of employment in UK radio. What has to be managed and who does the managing? Taking typical jobs in BBC, commercial and community radio we outline work areas that need to be managed: Programming, news and sport, sales, marketing, commercial production, sales traffic, engineering, compliance, liaison with outside bodies, house maintenance, accounts and finance, administration and human resources. We look at job areas specific to the new community radio sector - volunteer management and community development and training. 1.4 Core concepts of radio station management page 43 We explore core concepts of radio station management from the perspective of the radio manager, informed by relevant research and practice gleaned from business and management studies We show how awareness of 'brand values' and 'mission statements' are important to any station. We look at different management styles, the importance of the winning team, leadership and vision. We discuss the need for creative people in station management and the challenges of managing creative people and processes and the challenge of multi-tasking within small-scale station management. We ask whether different sectors and platforms in radio require different management practices and using the example of managing radio presenters whether different parts of the workforce require different management styles. Section 2 - Practice 2.1 Knowing and researching your audience page 50 We outline the principles and techniques of audience research including qualitative and quantitative methods and techniques and how to understand and interpret Rajar 5 (Radio Joint Audience Research Limited) surveys. We look at some critical perspectives on audience research methodologies and some of the problems of audience measurement for small-scale and community stations. Finally we discuss what radio managers can learn from media academics. 2.2 Station and organizational structures page 66 In this chapter we will look at the structures of different radio stations. We will consider how and why a radio station may be considered legally as a single, cohesive organisation before moving to outline different types of structure within the radio industry. We will outline the roles of management and staff in radio stations before providing two different examples of organisational structure from community and commercial radio. What we will argue is that in many radio stations people, and particularly managers, often assume multiple roles. Furthermore we will also argue that community radio stations often have structures that are less based on a classical hierarchy and more on an integrative and consensual one based on shared values. We will discuss how commercial radio stations may have both a local hierarchy but may also be part of a wider national, or international, structure that includes other group companies and service providers outside the parent company. 2.3 Financial management, sales and fundraising page 79 There is no doubt that strong financial management of a radio station is paramount to its survival. BBC services have to show that they use their licence fee income effectively, community stations need to generate and manage income from different sources to meet their aims and maintain independence and in commercial radio a primary objective of the station manager is to operate in a manner that generates the most profit. In this chapter we will first look at the importance of fixed and variable costs in radio management and how these can impact on the delivery model of the station. We will then consider the importance of costs and cash flow, particularly with regard to establishing a new radio station before moving on to consider how income and costs may be estimated and the potential sources of revenue for a radio station. We then move on to consider how advertising, sponsorship and subscription are forms of income alongside license fees and how community stations face a particularly demanding job raising money for training and community participation on top of the usual station running costs. 2.4 Applying for a licence page 95 We look at the various forms of radio broadcast licenses that exist in the UK. We will detail the content of both a commercial and a community radio license application and also discuss the advent of licenses for new broadcast services such as DAB. 2.5 Managing programme content page 110 2.6 Managing music programming page 129 2.7 Managing news and phone-ins page 136 We consider three areas of managing programme content: firstly, techniques for designing and managing programmes to keep the audience listening; secondly, managing different aspects of music and programming, and; thirdly, managing two specialist areas of speech - radio news and phone-ins. 2.8 Station imaging and marketing page 146 We explore how a radio station may market and promote itself. This includes both on- air marketing via station identity, jingles and call signs, and off-air marketing 6 including research, SWOT analysis and press coverage. We end with a consideration of how publicity may be managed to promote media coverage for different types of radio stations. 2.9 Legal Issues for Managers page 162 A radio station is generally constituted as a private company or a department of a larger company and is subject to all the laws and regulations governing any such body. In handling the specific challenges of public broadcasting it is all too easy for the manager to lose sight of general legal requirements in fields such as employment, health and safety and taxation.