1. Best practice in reputation management in a causal reputation framework Kevin Money Director of The John Madejski Centre for Reputation, Henley Business School

2. Best Practice in Reputation Management: Placing Reputation in a Causal Framework The John Madejski Centre for Reputation and The Group Seminar: May 2010 Dr Kevin Money, Director of the John Madejski Centre for Reputation

3. Open with a question…. Keep this as interactive as possible… Speak to your neighbour and try to answer the question.… Introduce yourselves, your hopes and fears for this morning and answer the question… How do you measure and manage reputation in your organisation?

4. 4 Three important questions With WHOM? Reputation for WHAT? For WHAT PURPOSE? Be specific!

5. 5 What Is Reputation? You don’t own or control perceptions of others Reputation is a perception of character Image is the view of the organisation held by external stakeholders Identity is the view of the organisation held by internal stakeholders Reputation is the sum total of image and identity

6. Accounting & Finance Reputation Convergence of Thinking Competitive Advantage Strategy Branding Messaging Valuing Intangibles Marketing Reputation Organisation Social Responsibility Ethics Governance & Risk Human Resources Identity & Culture 6

7. Reputation in a Causal Framework: Predicting Behaviours Money & Hillenbrand (2009)

8. Money & Hillenbrand (2009) Reputation in a Causal Framework: Making the Business Case

9. 9 The Corporate Personality Scale Agreeableness Warmth, Empathy, Integrity Enterprise Modern, Adventure, Boldness Competence Conscientiousness, Drive, Technology Corporate Personality Chic Elegance, Prestige, Snobbery Ruthlessness Egotism, Dominance Machismo Non-culture, Tough, Rugged Informality Casual, Simple, Easy Going

10. Harris-Fombrün Reputation Quotient Emotional Appeal Vision & Leadership Products & Services REPUTATION Financial Performance Social Responsibility Workplace Environment 10

12. Use of assets

13. Investment value

14. Company results

15. Quality of products and services

16. Management

17. Capacity to innovate

18. Ability to retain high quality employees

20. Management Today, UK’s Most Admired Companies 2009 1 BSkyB 2 Tesco 3 Johnson Matthey 4 Cadbury 5 GlaxoSmithKline 6 Rolls-Royce 7 BP 8 BG Group 9 Diageo 10 Cobham

21. 14 The SPIRIT™ Model What we found: Awareness is not enough Satisfaction is not enough Its BEHAVIOUR that counts!

22. DIMENSIONS OF Business Choices Keeping Commitments Listening Informing Material Benefits Non-Material Benefits Lack of Coercion Termination Cost Outside Influences Dimensions of Business Choices: From Research with Stakeholders 15

23. DIMENSIONS OF SUCCESS Retention Extension Advocacy Lack of Subversion Trust Positive Emotions ? Dimensions of Success: From Research With Business Leaders 16

24. Stakeholder Performance Indicator (SPI) DIMENSIONS OF Business Choices DIMENSIONS OF SUCCESS Keeping Commitments Retention Listening Extension Informing Advocacy Material Benefits Lack of Subversion Non-Material Benefits Trust Lack of Coercion Positive Emotions Termination Cost ? Outside Influences 17

25. 18 Linking Business Choices and Success Linking business choices and success Understanding the underpinnings of success Recognising the warning signs Methodology is key: regression and structural equation modelling Reciprocity

26. DIMENSIONS OF BUSINESS CHOICES DIMENSIONS OF SUCCESS Keeping Commitments Retention Listening Extension Informing Advocacy Material Benefits Lack of Subversion Non-Material Benefits Trust Lack of Coercion Positive Emotions Termination Cost Outside Influences ? Stakeholder Performance Indicator and Relationship Improvement Tool (SPIRIT) 19

27. 20 Linking Business Choices and Success Practical examples from past and on-going research Building Societies and the Mutuality Question

28. 21 Linking Business Choices and Success Building Societies and the Mutuality Question

29. 1. Building Societies and the Mutuality Question BUSINESS CHOICES SUCCESS Success-Challenge Staying Mutual Business Choice What can be done to ensure that members support this strategy? Research Question What drives people to support mutual status? Staying Mutual Keeping Commitments Retention Communi cation Extension Material Benefits Advocacy Non-Material Benefits Lack of Subversion Trust Lack of Coercion Positive Emotions Termination Cost 22

30. 1. Solution: Mutuality Question BUSINESS CHOICES SUCCESS Solution Main Driver: Non-Material Benefits Access to local Branches Service Business Implication Customers: Keep local branches open Employees: Reward staff for staying in branches Non-Material Benefits Staying Mutual Retention Extension Keeping Commitments Advocacy Communi cation Lack of Subversion Material Benefits Trust Lack of Coercion Positive Emotions Termination Cost 23

31. Money & Hillenbrand (2009) Reputation in a Causal Framework: Making the Business Case

32. Reputation in a Causal Framework:Integrating Approaches

34. Reputation is linked to behaviours

35. Reputation with whom? For What and For What Purpose?

36. Being both Stakeholder and Values Led