how to become a hero in the midst of a financial meltdown
DESCRIPTION
"How To Become a Hero in the Midst of a Financial Meltdown" is a first-of-its kind best practices panel, looking at how companies can maintain and even improve a reputation in times of great potential risk. Reflecting on the September 15th Lehman Brothers collapse, this panel of experts will come together to examine how companies should communicate internally and externally in ways that help maintain your corporate reputation and ensure that employees remain focused and productive. Additionally, the panel will discuss how times of reputation risk can be leveraged to improve your position with key stakeholders and build the next generation of leaders.TRANSCRIPT
Twitter tag: #PDHeroes
How To Become a Hero in the Midst of a Financial Meltdown Panelists: Anthony Johndrow (Reputation Institute) Kathryn Williams (KRW International) Patricia Molino (Johnson & Johnson) Jacqueline Kolek (Peppercom)
December 03, 2008
Moderator: Steve Cody (Peppercom)
Academic Network Corporate Reputation Review Research, Insights & Cases
Conferences & Seminars
Knowledge
Reputation Institute
Australia • Bolivia • Brazil • Chile • China Croatia • Denmark • France • Germany
Greece • India • Italy • Japan • Netherlands Norway • Portugal • Russia • South Africa
Spain • Sweden • Switzerland • Turkey Ukraine • United Kingdom • United States
Customized Analysis Global Benchmarking
Reputational Risk Management Strategy
Advice
Three Key Themes for Reputation (RISK) in the US 1. Products/Services Still Most
Important
2. BUT, Governance now almost as important
3. AND, Citizenship far more important than it used to be
13.2%
13.3%
12.2%
12.1% 18.2%
16.4% 14.6%
Three Key Themes for Reputation (RISK) in the US
Reputation (RISK) in the US (2008): Some Industries to think About
All Pulse scores are standardized on both the country and global level. For further explanation see the RepTrak™ Methodology section.
RepTrak™ Pulse scores that are more than +/- 0.5 apart are significantly different at the 95% level.
Excellent/Top Tier above 80 Strong/Robust 70 – 79 Average/Moderate 60 – 69 Weak/Vulnerable 40 – 59 Poor/Lowest Tier below 40
Global Mean 64.20
Strongest
Most At Risk
Reputation (RISK) in the US (2008): Some Industries to think About
( ) indicates number of companies measured in the industry
6 Reputation Best Practices Used by Leading Companies 1. Establish a Common Model
— Adopt a common model for evaluating reputation, including common language
2. Understand Drivers — Understand what drives reputation - this will change among stakeholder sets
3. Align Activities — Align corporate messaging and activities with key drivers for stakeholders
4. Align Employees — Create employee alignment with desired reputation
5. Integrate — Reputation management becomes a decision-making filter
6. Set Goals & Monitor — Set program success criteria, monitor progress, adjust as necessary
6 Reputation Best Practices Used by Leading Companies
Key to Managing Reputation & Mitigating Risks is focusing “Below the line” Initiatives drive perceptions, which drive behavior
Business Results
Strategic Goals
Corporate Initiatives
Perceptions of the
company (Reputation)
Supportive Behaviors
towards the company
● Use/recommend products ● Invest in company ● Support company ● Say something positive ● Recommend company
● Products/Services ● Innovation ● Workplace ● Governance ● Citizenship ● Leadership ● Performance
Key to Managing Reputation & Mitigating Risks is focusing “Below the line”
Reputation Systems: From Goals to Business Impact
Business Results
Impact ($)
Supportive Behavior
Impact (Support,
Ambivalence, Boycott)
3rd Party Influence
Print Media Coverage Focus
Broadcast Media Coverage Focus
Online/Social Media Content Focus
3rd Party (e.g. Media) Opinions
(Content Analysis)
Strategic Goals
What Stakeholders Want/Expect
(Perception Research) General Public Reputation Drivers
Employee Reputation Drivers
Policy Elite Reputation Drivers
Perception Impact
Stakeholders Perception Impact (Perception Research)
General Public Reputation Scores
Employee Reputation Scores
Policy Elite Reputation Scores
Poor Mixed Strong
Corporate Initiatives
Corporate Actions (Content Analysis)
Communication Content Focus
Product Partnership Focus
Community Project Focus
Anthony Johndrow Partner, Managing Director, USA [email protected] www.reputationinstitute.com
Global Leadership Advisors
“A better world through better leadership”
“The only safe ship in a storm is leadership.” — Faye Wattleton
“A hero is an ordinary individual who finds the strength to persevere and endure in spite of overwhelming obstacles.” — Christopher Reeve
— Crises bring out the best and worst in people; great leadership encourages the best
— Heroes will emerge during this time of crisis…and many may surprise you
“A real leader faces the music, even when he doesn't like the tune.” — Unknown
— Behaviors of leadership “heroes” • Taking care of yourself • Expecting the kitchen sink • Staying true • Using the team • Focusing on the future • Remembering your legacy
“A hero has faced it all: he need not be undefeated, but he must be undaunted.” — Andrew Bernstein
“You must unite your constituents around a common cause and connect with them as human beings.” — James Kouzes
lead to an engaged workforce
— Integrity leads to trust
— Responsibility leads to inspiration
— Forgiveness leads to innovation
— Compassion leads to retention
An engaged workforce is highly correlated with business success
INTEGRITY RESPONSIBILITY FORGIVENESS COMPASSION
Kathryn Williams Partner krwinternational.com [email protected] 1.800.335.3020
About J&J Caring for the world, one person at a time, inspires and unites the people of Johnson & Johnson. We do this by: Focusing on • Consumer and Personal Care • Medical Devices & Diagnostics • Pharmaceuticals Through • 250 operating companies In • 57 countries Employing • Over 115,000 people
J&J and Crisis Communication 1. Always focus on the core of our reputation
(Our J&J Credo) and how our actions will affect different stakeholder groups
2. Crisis management training for ALL managers
3. Advanced early warning systems
4. Make quick decisions (small groups), but network broadly to ensure buy-in all parts of the business affected
Additional Thoughts on Crisis Communication 1. Don’t miss the crisis opportunity
2. Balance short and long term priorities
3. Communicate!
4. Authenticity is key
5. Stay calm and vigilant
Patricia Molino Vice President, Public Affairs and Citizenship
Today’s New Challenges — 24/7 Transparent world
— Many, many rumors from non-traditional audiences
• Bloggers • Consumers on Web • Media who read and then write stories
— The economic situation we’re in supports anything negative and sensationalistic
Key Principles of Crisis Management — Identify and assess your vulnerabilities
• Then take action to prevent from turning into a crisis
— How you react/respond to a crisis can ultimately be more important than the crisis itself
— Put some goodwill in the bank
— Public companies need great integration/communications between four key internal functions: • Legal • Investor Relations • Public Relations • Employee Communications
Crucial Advice in a Digital Age: — Be the principal trusted source of information about your
own affairs
“In the age of transparency, the layoff will be blogged.” (NY Times, 11/5/08)
Jacqueline Kolek Senior Director [email protected] http://pepperdigital.typepad.com/ http://www.digitalaptitudetest.com/
Twitter tag: #PDHeroes
How To Become a Hero in the Midst of a Financial Meltdown December 03, 2008
Q&A
Thank You