Posts Tagged ‘Korn/Ferry’

Korn/Ferry just released some new research among executives and board members worldwide. Risk management is clearly a topic du jour among the executive class. The survey found that nearly six in 10 (57%) are spending more time and attention on risk management. In light of the rolling crises that seem to be playing out in the media over the past eight months, it pays to be prepared and know what’s on the horizon. In our business at Weber Shandwick, crisis response and crisis preparedness seems to be on the upswing, thereby highlighting top execs’ concern over being in the “hot seat.”

Two findings stood out. First, a full 59% said that the recent scrutiny on reputation risk has had a good effect on how Boards perceive the need for crisis preparedness and reputation management. Steve Mader at K/F says that the survey “shows the majority of companies have already taken practical steps to enhance their risk management practices and awareness.” I agree.

Secondly, as you have heard me say and post, the CEO is the guardian of the company’s reputation which includes such components as people, products/services, responsibility, financial performance, leadership and “values” or “ethics.” K/F asked these executives who at the company has direct responsibility for risk management and the lead candidate was the CEO at 43%. Next to the CEO came the COO at 19%. CEOs continue to get all the blame for ethical or reputational transgressions and all the credit when things go right. That’s the deal.

   Just downloaded parts of Korn/Ferry’s new quarterly magazine that was just launched for CEOs, board members and other top officers. The magazine is written by Korn/Ferry consultants along with renowned journalists from the Financial Times, The New York Times, The Economist, Harvard Business Review and The Wall Street Journal, as well as distinguished authors and academics. It is a handsomely produced publication with a broad collection of articles.  The articles on talent and leadership range from succession planning at McDonald’s, corporate governance, crisis leadership from the CEO of American Express, and an article on Hong Kong based trading company Li & Fung Group.  As I thumbed through the pages, I even found business cartoons which I am not embarrassed to say are always fun and uplifting. The articles are serious, informative and timely.  I read the article by Glenn Rifkin on Warren Bennis titled The CEO Whisperer.  Perfect title for Bennis who is a legend in management circles.  Bennis is quoted as saying that one of the things lacking in most companies today is time to reflect on what went wrong and why.  I fully agree that there are not enough debriefings nowadays. I remarked in my book on reputation recovery how the Army has After Action Reviews in order to make sure that mistakes are not made twice. Similarly, The National Transportation Safety Board (NTSB) investigates airline crashes and other transportation accidents with a focus on finding the cause – not who is at fault.  

I intend to read the rest as the week goes on. Might find something on reputation that will be useful for my work. If not, I will make a suggestion that they consider it when the next quarter rolls around.