Reputation management is crucial for CXOs as reputation takes time to build but can be lost quickly. Warren Buffett emphasizes the importance of not losing a firm's reputation. While reputation increases market value and share price, a crisis can cause a 30% drop in share value. CEO reputation accounts for 65% of corporate reputation, so CXOs must actively manage their reputation through strong communication, transparency, and social media engagement. Reputation impacts customer and investor interest, employee satisfaction, and the ability to recover from crises.
2. If you lose money for the firm, I will be very
understanding. If you lose reputation for the
firm, I will be ruthless.
Warren Buffet – Renowned businessman and philanthropist
IS REPUTATION IMPORTANT?
3. Reputation takes time and
dedication to build, but can
be lost extremely quickly
with devastating results
REPUTATION IS FRAGILE
4. Active commitment to
reputation management by
top management is
essential
REPUTATION NEEDS INVOLVEMENT
5. “In today’s world, where ideas are
increasingly displacing the physical in
the production of economic value,
competition for REPUTATION becomes
a significant driving force, propelling
our economy forward.”
Alan Greenspan, former chairman,
Federal Reserve
REPUTATION CREATES ECONOMIC VALUE
6. company can lose in excess of
30 percent of its share value as
a result of a highly publicized
crisis
(Weber Shandwick, 2007)
REPUTATION IMPACTS SHARE VALUE
7. 60 percent of market value
is attributable to
reputation
(Weber Shandwick, 2006)
REPUTATION INCREASES MARKET VALUE
8. 1 percent reputation increase
results in 3 percent increase of
market value
(Weber Shandwick, 2006)
REPUTATION CREATES MARKET VALUE
9. 2 percent reduction in negative
word of mouth boosts sales
growth by 1 percent
London School of Economics
REPUTATION IMPACTS MARKET VALUE
10. 93 percent of senior executives
believe that customers consider
corporate reputation important
or extremely important
REPUTATION IS IMPORTANT – CUSTOMERS
Hill and Knowlton’s Corporate Reputation Watch 2004 Survey: Some key findings (www.hillandknowlton.com)
11. 79 percent of senior executives
believe that investors and
lenders consider Corporate
Reputation either important or
very important
REPUTATION IS IMPORTANT – INVESTORS
Hill and Knowlton’s Corporate Reputation Watch 2004 Survey: Some key findings (www.hillandknowlton.com)
12. 40 percent of senior executives
believed that strong corporate
governance is a critical factor that
potential investors consider before
committing
CORPORATE GOVERNANCE IS IMPORTANT
Hill and Knowlton’s Corporate Reputation Watch 2004 Survey: Some key findings (www.hillandknowlton.com)
13. investors are prepared to pay a
12-30 percent price premium
to a good governance
(McKinsey, 2002)
GOOD GOVERNANCE ATTRACTS PREMIUM
14. 70 percent of global
corporations see increasing
interest from mainstream
investors in corporate
citizenship
CORPORATE CITIZENSHIP IS IMPORTANT
15. “CEO reputation represents
65% of corporate reputation.”
CEO Capital Research
CEO REPUTATION IS IMPORTANT
16. 9% of customers are lured
away by competitors, but as
many as 68% are lost by
employees’ indifference.
Journal of Marketing
EMPLOYEE INDIFFERENCE CAN KILL BRAND
17. “About 60% of all
management problems are
due to poor or faulty
communication.”
Peter Drucker
COMMUNICATION IS THE KEY
18. 73% of surveyed MBA students
said that corporate reputation is
either an "extremely" or "very"
important factor when deciding
where they will work
Hill and Knowlton, 2007
REPUTATION FOR EMPLOYEE
19. it’s about bringing your values
to life ….communicate what
you stand for, to all of your
stakeholders!
COMMUNICATION IS THE KEY – CXO
20. 40 percent of my time I communicate our
company’s credo
Jim Burke, Johnson&Johnson CEO
REPUTATION FOR CXO IS IMPORTANT
21. Reputation Increases
investors` interest and
willingness to invest
OBJECTIVE: BE PART OF THE “RECOMMENDATION CHAIN”
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
22. Reputation Increases
customer, consumer, client
engagement and participation
CHANGE: CREATING A BETTER CUSTOMER EXPERIENCE
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
23. Reputation enhances
employees` satisfaction and
productivity
IMPLICATION: SHIFTING GEAR IN SUPPORT, PRODUCT
MARKETING, SALES, AND MARKETING
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
24. Reputation Improves
understanding and support
among opinion leaders
REALIZATION: SOCIAL MEDIA IS A CROSS FUNCTIONAL
BUSINESS INITIATIVE – NOT A MARKETING CAMPAIGN
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
25. reputation Increases
customer, consumer, client
preference and loyalty
GOAL: BUSINESS GROWTH THROUGH ADVOCACY
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
26. Reputation helps faster
recovery from business crises
YOU CAN STILL SHAPE AND PARTICIPATE IN THE
DISCUSSION.
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
27. In a transparent world, your
reputation is more than the
difference between success
and failure
AFFECTS THE BOTTOM LINE
SOCIAL MEDIA FOR CXO REPUTATION MANAGEMENT
28. Reputation management is not about keeping out
of the media............ it is about having a
professional media strategy and managing it
effectively through a media relationship
programme
PLANNING COMMUNICATION
29. C’S OF SUCCESSFUL CXO BRANDING
Note: This presentation is based on the E-Book, “Three Steps to a Winning Personal Brand” by William Arruda of Reach Communications. (www.reachcc.com)
30. COMMUNICATION IS A PROCESS…
IDENTITY IMAGE REPUTATION
OBJECTIVE, SUBJECTIVE,
JUDGMENT
STATIC CATEGORY DYNAMIC CATEGORY
Defined specific Establish EXO image in the Engage and establish
COMMUNICATION
personality traits (part of COMMUNICATION public as the image of the relationship with
day-to-day life) of CXO corporation; shareholders and
which matches Establish positive, friendly stakeholders.
organization goal. and engaging perception
Identify visual tools EXPERIENCE
reflecting it and
communicating with
publics
31. every intelligent person (and quite
a few unintelligent ones) will have
a media platform where they
share what they care about with
the world. -- SETH GODIN
REPUTATION A CHANGING REALITY
Who you are What you know Who you know Who knows you
32. AN APPROACH TO BEING REAL
UNDERSTAND ACT EVOLVE
CXO need to understand customers, CXO need to act transparently and To evolve, CXO must always be ready
followers and ways to handle them. honestly to learn, teach, and evolve.
33. REPUTATION MANAGEMENT ..
REVISION AND
COUNTDOWN FIRST 100 DAYS FIRST YEAR TURNING POINT
REINVENTION
• Quiet period • Opportunity – • People, programs • CEO has prepared • CEO is comfortable in
• CEO plans the future interest in new CEO and actions in place the organization for his role
• Learns about country, • Delicate balance of • Everything may not the future • He is living the
people, action and listening have been resolved • Now it is time to company's vision
• programs and • Listens and learns to or changed produce! • Complete team is
activities gain the support • Stakeholders see • Everyone coldly collaborating on
• Sets the stage • Proactive in progress and feel the evaluates CEO's developing new
completing CEO is leading the vision and actions strategies and
unfinished company in the right • CEO has generated executing new tactics
direction personal and
professional capital
CEO Capital, A Guide to Building CEO Reputation and Company Success, Dr. Leslie Gaines-Ross, John Wiley & Sons, Inc.
34. WHAT DO CXO WANT FROM CUSTOMERS ?
BRAND MONITORING Track, quantify, engage, and analyze conversations
(TALK ABOUT THEM ) Discuss CXO around a brand, competitors, and industry
Content and engagement spread on parameters like how
CONTENT TRACKING far, how fast
(SPREAD CONTENT )
Nature of content on parameters like video, widget, article
COMMUNITY MANAGEMENT Qualify and analyze social interaction levels , community
(ENGAGE DIRECTLY ) health, sentiment, and engagement levels
35. Your personal brand is the powerful, clear, positive idea that comes to mind
whenever other people think of you. It’s what you stand for – the values, abilities
and actions that others associate with you. It’s a professional alter ego designed
for the purpose of influencing how others perceive you, and turning that
perception into opportunity.
Peter Montoya Personal Branding Guru
MANAGING YOUR PERSONAL BRAND
Note: This presentation is based on the E-Book, “Three Steps to a Winning Personal Brand” by William Arruda of Reach Communications. (www.reachcc.com)
36. Building A Compelling
Personal Brand
SOCIAL MEDIA FOR REPUTATION MANAGEMENT
Personal
YOU
Blog
37. Your Personal Brand is about
understanding what is truly unique
about you - your strengths, skills,
values, and passions – and using
those attributes to differentiate
yourself
COMMUNICATING YOUR PERSONAL BRAND
Personal
Connect Discover Collaborate Publish
Blog
38. OTHER COLLATERALS FOR YOUR PERSONAL BRAND
MUST HAVE TOOLS FOR PERSONAL BRANDING COMMUNICATE YOUR BRAND:
• A portfolio or resume that communicates quality • Use power tools to remodel your brand image.
• A strong logo • Be a refined individual.
• Personalized stationary • Seek out opportunities and new business.
• Business cards • Become an expert.
• Voice mail messages • Speak out, and extend the reach of your message.
• Web sites and E-mail templates • Take action.
• Print marketing materials (brochures, case studies, etc.)
39. Unsolved Bad Lost
Bad Experience
Issues Reputation Revenue
IGNORANCE IS THROWING MONEY AWAY ..