Posts Tagged ‘Weber Shandwick’
How do women build reputations that get them to the top? What’s the secret sauce or what’s the recipe for getting there? (Enjoyed using those cooking metaphors). On a near annual basis, we investigate top conferences for CEOs and other senior executives. For this year’s study, the firm examined speaking engagements, board memberships and honors of the most powerful women in business, based on Fortune’s 50 Most Powerful Women (MPW) U.S. list.
One of the ways to get to be a successful businessperson in the U.S. is by proactively connecting with external audiences. We are finding that speaking engagements are increasingly important and we are not the only ones who have noticed. If you read this article that appeared on the booming conference business, you will agree that the podium is the new LIVE MEDIA channel.
In our research and as you can see in this infographic, we found that the majority of women (72%) on the list spoke at one or more conferences in 2012, and, on average, had 2.1 speaking engagements during the year. The leading speaking forums in 2012 for these most powerful women included Fortune’s Most Powerful Women Summit*, The Wall Street Journal’s Women in the Economy, MIT Sloan Women in Management, Catalyst Awards Dinner, Fortune Brainstorm TECH and the World Economic Forum in Davos. A categorization of all of the conferences found that, by far, these women spoke at more industry-focused events than other event types. (*Not every woman who makes Fortune’s Most Powerful Women in Business list has a speaking role at its annual conference.)
Weber Shandwick’s research also shows that these executives are being acknowledged for their roles as leaders. On average, these female business leaders sat on 2.6 boards, the most prevalent type being industry/professional. Six in 10 women received an award or a place on a rankings or “best of” list. Of the honors bestowed upon the most powerful women in business, most (72 percent) were rankings compared to awards.
My colleague and friend Carol Ballock who runs our conference business had this to say: “Conferences, rankings and awards are essential for company storytelling. Women business leaders are leveraging these tools to communicate their companies’ messages and reinforce their company brands.”
CEO reputation is still incredibly important. As I have always said, it’s nice to say that it should not be so important or to say that it is should be more about the company than the CEO, but ultimately the CEO sets the tone, style and destiny of a company. A recent survey of top communications officres in Europe confirms the uber-importance of the CEO to a company’s success. What I found most interesting, however, were the findings on CEOs and communications. Considering that these are communications officers, the study has some good inside info on CEO activity:
- 83% said that their communications teams are working on positioning their CEO
- 67% are working on the CEO’s profile (probably online) and a CEO-focused communications strategy
One of the more interesting articles I have read recently describes how the conference business is surging and providing better outlets for CEOs and other executives to speak. All this “live media” or “live journalism” (what it is now being called since you can repurpose it, livestream it, twitter it, YouTube it, etc) is perfect for positioning CEOs (reflecting the findings above) and other top executives you want to shine a light on. Weber Shandwick has a thriving business run by Carol Ballock helping CEOs and top executives find the right platforms to speak at and helping shape content. Our research on the best conferences has finally put some metrics behind this burgeoning phenomenon. Here are a few examples if you don’t believe me. The Huffington Post is hosting three conferences of Arianna Huffington’s marvelous Third Metric idea, Atlantic Media now does over 200 events per year including exclusive dinners and week long conferences. The New York Times is convening 16 conferences in 2013, up from one last year. The Wall Street Journal is hosting its 6th CEO Council. Tina Brown left the Daily Beast to get into the conference business. Many of these conferences, including Fortune’s Most Powerful Women in Business, are expanding overseas too. Digital media companies are also hosting live events that help position executives, pundits and influencers. It is a gold rush. As the New York Times says, “Live events promote their brand” and “..conference centers are considered just another social platform with Twitter, Facebook and online video.”
I was very pleased when I saw that the WSJ covered our thought leadership survey Civility in America yesterday (mid day it was the 4th most popular on the site!). In their article on incivility at work, they mentioned our stat that one in four Americans (26%) have quit their job due to the unpleasantry and rudeness they have encountered at work.The rate of Americans who have quit a job because it was an uncivil workplace decreases with age. Interesting, right? This could be that younger people are less tolerant to incivility at work or that it is more acceptable in today’s society to quit a job.
There is no doubt about the fact that incivility is seeping into all aspects of our lives. According to our research with Powell Tate and KRC Research, the rise in uncivil workplaces has risen over the past 12 months, from 34% to 37%. This might be part of the reason that 75% of Americans think we should have civility training in schools today. What could be a better place to start. You might say a good place to start would be at home. Maybe so but the survey found that 30% of Americans say they experience incivility at home and 55% see it in their neighbors’ homes. Nothing like fingerpointing.
One of the questions we asked this year still intrigues me when it comes to this timely topic. We asked people in late Spring when we did the survey whether they would take a national civility pledge on July 4th. Well, a whopping 87% said they would. There was no disagreement here — men, women, all age and income groups and regions of the country were willing to spend an entire day being just plain civil. My sense is that the same high percentage would apply to this upcoming Labor Day. I am going to do my best as a party of one to be as civil as I can be, even if it surprises someone. All of our reputations in this country depend on it.
When I first heard this story last weekend about AOL CEO Tim Armstrong publically firing the Patch creative director on a conference call, I was not sure what to think. It was quite the uncivil thing to do. At Weber Shandwick, we had just released our annual survey on Civility in America and I was troubled by the finding that one in four Americans (26%) had quit their jobs because of an uncivil workplace. This figure was higher than it was in 2010 (20%). When I heard that the public firing before 1,000 people was recorded and leaked to a web site, making its way across the world wide web, I thought that too was uncivil. All in all, not good news for Armstrong’s reputation.
I was wondering how this would all shake out or when an apology or statement would come from above and here it is. Unfortunately, the reputation of the workplace is highly impacted by the actions of the CEO and especially by how a CEO behaves during tough times which Patch is experiencing as they prepare for layoffs at the end of this week. His taking responsibility, regardless of the situation, and acknowledging his accountability was the right thing to do to bring some equilibrium back to the situation. You cannot explain away incivilty when it comes to CEO leadership because most people will regard it as just an excuse. Therefore, Armstrong’s apology does not dwell too much on why he fired Lenz the way he did. Since apologies are increasingly common among CEOs and leaders, I thought I would post below in case anyone is looking for an example in the weeks and months to come.
I am writing you to acknowledge the mistake I made last Friday during the Patch all-hands meeting when I publicly fired Abel Lenz. It was an emotional response at the start of a difficult discussion dealing with many people’s careers and livelihoods. I am the CEO and leader of the organization, and I take that responsibility seriously. We talk a lot about accountability and I am accountable for the way I handled the situation, and at a human level it was unfair to Abel. I’ve communicated to him directly and apologized for the way the matter was handled at the meeting.
My action was driven by the desire to openly communicate with over a thousand Patch employees across the U.S. The meeting on Friday was the second all-hands we had run that week and people came to Friday’s meeting knowing we would be openly discussing some of the potential changes needed at Patch. As you know, I am a firm believer in open meetings, open Q&A, and this level of transparency requires trust across AOL. Internal meetings of a confidential nature should not be filmed or recorded so that our employees can feel free to discuss all topics openly. Abel had been told previously not to record a confidential meeting, and he repeated that behavior on Friday, which drove my actions.
We have been through many difficult situations in turning around AOL and I have done my best to make the best decisions in the long-term interest of the employees and the company. On Friday I acted too quickly and I learned a tremendous lesson and I wanted you to hear that directly from me.
We have tough decisions and work to do on Patch, but we’re doing them thoughtfully and as openly as we can. At AOL, we had strong earnings last week and we’re adding one of the best companies in the world to the team. AOL is in a great position, and we’ll keep moving forward.
Who would have thought? Being a social CEO impacts company reputation! Well it’s true. There are true business results when CEOs participate in social media. We just launched our new Social CEO study this morning – The Social CEO: Executives Tell All, a survey of 600+ executives in 10 global markets with KRC Research about what they think about CEOs engaging online. Months ago we surveyed the landscape and saw that there really was little information about what executives inside organizations actually thought about their CEOs going social. We wanted to get a birds-eye view on how it actually makes executives (managers and up) feel to have a social CEO — does it make you feel good? nervous? embarrassed? ahead of the competition? inspired? We also were interested in uncovering how CEO sociability impacted the bottom line if at all.
Here’s a few findings to get you interested in downloading the report and infographic:
- The majority of global executives (76%) believe it is a GOOD IDEA for CEOs to actively participate in social media. The demand is there and it is not just in the United States.
- Executives recognize a multitude of returns when CEOs are social, including improved company reputation (78% say so) and employee engagement (75%). Clearly, CEO sociability is a competitive advantage and will only grow more so.
- CEO’s social media presence makes executives feel inspired (52%), technologically-advanced (46%) and proud (41%). Very few are nervous or embarrassed (6%). Nearly one in three (30%) find it amusing.
One of the more interesting tidbits was that executives are curious about what their CEOs are doing online. The majority (73%) search to see what their CEOs are saying in social media. CEOs are being watched carefully and social media now provides the opportunity to do so.
Most importantly, the time for social CEOs has come. The barriers are coming down and there is no one way to be social. Senior executives from around the globe envision big leaps in CEO sociability in their respective industries, projecting a 50% growth rate over the course of the next five years. Executives in financial services and business services expect the highest rate of CEO sociability growth over the next five years. As increasingly more companies, boards and leaders recognize that CEO sociability helps drive reputation, the more we will see CEOs stepping into social waters. The report discusses how CEOs can be social internally as well as externally. This is not just a social media game. CEO sociability can be driven from within. The point is that CEOs need to engage and using social means is their lifeline to starting a conversation with a broad portfolio of stakeholders.
More to come in my next post.
Each year Fortune publishes the 100 Best Companies to Work For in the U.S. While the bulk of the company evaluation rests on a comprehensive employee survey, Fortune publishes a wealth of employer statistics about benefits, diversity and jobs. Weber Shandwick has been cataloguing this data since 2006, enabling us to look at how each factor is changing over time and how reputations can be shaped by being a best company to work for.
Most Best Company statistics for jobs, diversity and benefits were unchanged between 2012 and 2013. However, this leveling off could be taken as a sign of good news. 2010 and 2011 were mediocre years for jobs and the improvement in job and diversity statistics in 2012 suggested that the market was starting to strengthen and reputations are stabilitzing. Similar numbers in 2013 may signify that improvement is still underway.
Below are insights into these jobs, diversity and benefits trends:
Jobs: The Best Companies reported virtually the same job statistics in 2012 and 2013, including median job growth (6%) and median voluntary turnover (7%). In fact, with the exception of 2010 and 2011 which were poor years for jobs statistics, median job growth has maintained a steady rate since 2006, only fluctuating between 5% and 7%. Perhaps this job growth range is a Best Company standard.
Improvement in negative growth may be a sign of recovering job market. After hitting a low last year (11%), the number of companies experiencing negative job growth remained steady in 2013 (12%). This is a drastic improvement from 2011 when 45% of Best Companies reported negative job growth.
The rate of Americans quitting is on the rise, suggesting that people across the country are becoming more confident in leaving their jobs to find work elsewhere. Best Companies, however, maintained the same voluntary turnover rate between 2012 and 2013 (8%). The difference between these two trends may reflect the impact that a good reputation can have on retaining a company’s workforce.
Diversity: Diversity initiatives at Best Companies have also remained mostly unchanged. The average percentage of women and minorities working at Best Companies has been consistent since 2008. But with women already comprising, on average, nearly half the Best Companies’ workforces, it is very possible that we will see this trend continue into the coming years. 2013 was another solid year for gay-friendly policies and benefits. Nearly all Best Companies this year have gay-friendly policies (99%) and the number of those offering gay-friendly benefits has hit a record-high (93%).
Benefits: The most noticeable change in employee benefits offered by Best Companies since last year is the decrease in number of companies extending compressed workweeks (down from 80% in 2012 to 73% in 2013). Also taking a small hit is on-site childcare, which fell below 30% for the first time since 2008. The Fortune evaluation, however, does not look at companies that offer flexible workweeks, which could be taking the place of these two benefits. Best Companies could be giving employees the opportunity to better balance their work lives outside of a formal perk. We may be starting to see this trend happening at companies not on the best-of list too. For example, while Yahoo CEO Marissa Mayer was recently in the media spotlight for banning working from home, it is possible that Yahoo employees have other options for work flexibility aside from telecommuting. The benefit with the greatest improvement is on-site gym, which hit a high this year (73%). All other perks remained largely unchanged from 2012.
Weber Shandwick’s annual calculation of reputation loss – the “stumble rate” – finds that a few more of the world’s largest companies retained their esteemed status as their industries’ #1 most admired company during 2012. This is good news.
Each year Weber Shandwick measures the rate at which companies lose their #1 most admired position in their respective industries on the Fortune World’s Most Admired Companies survey. We call this the stumble rate. Between 2012 and 2013, 46% of the world’s largest companies experienced a stumble, slightly down from last year’s 49%. These companies did not have too great a stumble, however. On average, they dropped two places, falling from number one to number three in their respective industries. However, for those companies that did fall from their perches, the loss is agonizing. Boards of directors and CEOs will want to understand why their reputations eroded and why their competitors leaped upwards. Explanations will be in order.
Of course, the bright side of the coin is the non-stumble rate of 54%. This means that more than half of the industries in the Most Admired survey boast companies with durable reputations.
In addition to calculating the stumble rate, we also dig through the data, including the nine drivers of reputation, to glean some interesting insights about stumblers and non-stumblers. A stumbler is an industry whose top company last year is no longer the top company this year. What is interesting this year?
- 22 industries (out of nearly 60, give or take depending on the year) have never had a stumbler since we started monitoring the stumble rate in 2010. The most admired companies in these industries have been stalwarts of reputation: Automotive Retailing; Building Materials-Glass; Computer Peripherals; Consumer Food Products; Electric & Gas Utilities; Electronics; Entertainment; Household & Personal Products; Information Technology Services; Property & Casualty Insurance; Internet Services & Retailing; Metal Products; Mining, Crude Oil Production; Oil & Gas Equipment Services; Pipelines; Newspapers & Magazines Publishing; Railroads; Semiconductors; Apparel Retailers; Diversified Retailers; Food & Grocery Wholesalers; Office Equipment & Electronics Wholesalers.
- 13 industries have stumbled at least three times since 2010. The most volatile, with four stumblers each, are: Airlines, Energy and Life & Health Insurance. Those with three stumblers are: Computer Software; Consumer Credit Card & Services; Financial Data Services; Food & Drug Stores; Medical Equipment; Motor Vehicle Parts; Petroleum Refining; Telecom; Tobacco; Health Care Wholesalers.
- No one particular driver of reputation took a big hit or could be said to be the culprit for reputation erosion. The worst average declines among drivers across all stumblers were experienced only by two drivers – management quality and long-term investment. All other drivers declined by just one ranking position, on average. Perhaps some stabilization on what positively and negatively affects reputation is taking hold.
- However, four stumblers lost rank on all nine drivers. The hardest hit was the Airlines industry. The company that stumbled took the greatest blow on its quality of management driver (dropping 6 ranking spots). Ouch. Other hard-hit drivers for this company were innovation, social responsibility, long-term investment, product/service quality and global competitiveness (a loss of 5 positions on each of these qualities). The company that supplanted this stumbler improved on all of its nine drivers in impressive fashion, rising at least two rankings positions on each driver and four spots on two drivers (financial soundness and global competitiveness). This does not mean that this new “king of Airlines reputation” will necessary remain so…this particular company was also tops two years ago and, as discussed earlier, Airlines is among the three most volatile industries.
- From zero to hero in 12 months. One stumbler lost its enviable top position to a company that is a newcomer to the World’s Most Admired evaluation. This goes to show that even the most reputable companies need to be on guard from all angles – not just their traditional competitors.
As I mentioned, I am traveling in Asia to talk about social CEOs and generally spread the good word about our thought leadership and Weber Shandwick. It is so terribly interesting to present our research and learn what people have to say and listen to the kinds of questions they ask. Today in Shanghai someone asked me what type of emotional commitment a CEO has to make to become a social CEO. What a great question! It definitely takes an emotional commitment. Not only does a CEO have to commit time and resources but there is a genuine personal commitment as that goes hand in hand with being social. You are putting yourself on the line as well as your ego. It also takes courage. In our new upcoming research which we have not released yet, executives are quite aware that being a social CEO takes courage. It is not for the faint-hearted. However, one CEO reminded me that the CEO job is all about risk anyhow. True.
In addition, at a presentation yesterday in Beijing, someone mentioned that even if you cannot get your CEO to be social (meaning using social media in some shape or form), CEOs need to commit to “the intrinsic value of sociability.” He rightly said that sociability (whether online or not) should not be ignored in this business environment. It can make a significant difference. Smart advice.
We just issued our study on Socializing Your CEO II. It is a sequel to the audit we did in 2010 on how CEOs were using social media. It was one of the earliest explorations of social CEOs and we found that two-thirds of the largest revenue producing company CEOs were bascially UNsocial. Two years is a long time in Internet time so we were curious how these chieftains were faring in the social dimension now.
We learned that CEOs are more social — hurrah! Good news. In 2012, 66% of CEOs of the world’s top 50 companies engaged online compared to 36% in 2010. There was heightened visibility on corporate websites and usage of video such as corporate YouTube channels. Where they failed to show a surge like we saw in other social activities was in their usage of social media platforms such as Twitter, Facebook, Google+, Pinterest and LinkedIn. In fact, in 2010, 16% of CEOs of the largest companies in the world used social media compared to 2012 where the incidence was 18%. Interestingly to me, the current usage of social media platforms at 18% is similar to what the IBM CEO survey found in 2012 (16% of CEOs participate in social media). However, when IBM asked CEOs whether they’d be using social media three to five years from now, a whopping 57% said yes. They may be over exuberant here but let’s just say that they are acknowledging its importance and their commitment to get the hang of it.
What do I think about all our results? I think that CEOs are still dipping their toes in the social media waters but for the most part, I’d have to say they are decidedly taking their jobs as social storytellers to heart, whether on their About Us/home pages, in video, and to some extent on social media. They are covering all their bases, trying out different channels to find out what suits them and reaching out to stakeholders in the many places they may be — be it prospective talent visiting their career pages, investors checking out their credibility quotient on YouTube or customers visiting their Facebook pages. Of all the social media we examined, the greatest increase over the past two years was for CEOs on Facebook. Usage of Twitter declined which is curious. Perhaps Twitter appears to pose more risk than most. Mind you, these are the largest companies in the world in mammouth sectors – oil, automotive, telecom, financial — and not the usual Internet technology companies that feed off of social media. Also, those of us in the U.S. do not quite realize that CEOs in other regions consider being on a home page to be a big giant social step and in some regions, there are security issues about plastering your information or picture widely. I should add that U.S. CEOs are more social on social networks than their peers in Europe, Asia and Latin America — 26% vs. 18%, respectively.
I thought, however, that I would use this post to talk about social CEOs and reputation since that is what my blog is about. I will return to our Social CEO study often so keep a watch. Not only will I continue to observe social CEOs because I am interested in reputation but because I firmly believe that being social will be a prime driver of reputation in years to come.
Here goes. We learned in our audit that CEOs of the world’s most reputable companies consistently demonstrate greater online engagement than peers at less reputable companies. 81% of CEOs from Most Admired companies (using the Fortune World’s Most Admired study) engage through company websites or in social media, compared to 50% of those from less reputable or “contender” companies worldwide.
The growth in engagement among CEOs at Most Admired companies exceeds the growth in engagement among CEOs at contender firms. While contender company CEOs are more social in 2012 than they were in 2010 (50% vs. 28%, respectively), Most Admired company CEOs essentially doubled their sociability in the past few years. I have no doubt about it. Most Admired company CEOs may more acutely recognize the relationship between social media engagement and positive reputation and the importance of having a dialogue with customers
despite the risks.
When new CEOs start in their jobs, their early actions or what they say at their first retreats with the senior team are memorable. Everyone is on high alert and wondering if things will be different, how their new CEOs will establish legitimacy and set a new tone. So my CEO First 100 day antennae were up and ready for incoming signals at our first senior team meeting with our new CEO. It was a great meeting, lots of discussion, priority-making and theme setting. But what pleased me most was what I would call establishing a CEO signature. Sometimes it could be as simple as handing out books to the team that they should read, inviting certain types of guests or inviting new people to the table. Everything matters because everyone is reading the tea leaves — what does this mean? what signal is he/she sending?
So I was pleased when our new CEO, an insider, began the meeting reading parts of an email that someone had sent him earlier that morning about a meeting with a potential new client. The email was about the 6 reasons to love my company, Weber Shandwick — Smart people who respond even when they are insanely busy, a core group you can always depend upon and never let you down, knowing what great looks like, pride in the people in the room with you and share the company name on their business card, our new business people who always have your back 24/7, and colleagues who always set the bar higher. Then later in the morning, our new CEO read another email he had received from a major business publication praising the firm on their responses to interview clients for a story. He wrote that he just had to let our new CEO know that he has never seen a pr firm respond with such rapidity, thoughtfulness, thoroughness and smarts.
At that moment I decided that this had to be our new CEO’s signature….sharing these kinds of notes with the team. First, it felt great hearing what people had said about the company and second, it was all about the work and colleagues. It just felt so right. I immediately thought of how President Obama reads 10 letters a day to see what people are thinking. I had just read a note he had sent to a young girl who has two dads and asked the President about being teased at school and asking him what he would do. The President wrote the little girl with his advice.
CEOs must get amazing notes — good and bad. It makes sense to let everyone hear how the firm makes an impact in unexpected ways that do not get shared every day. There was some drama in the emails being read which I loved. It deepened the sense of a shared experience and community which is what a CEO should try to instill, especially at the outset.