Corporate Communication: key to success

The 7-Ps model

We operate in a world without trustFundamental crisis of confidence in the world’s most regarded organisations

GLOBAL 57 China 80 Singapore 76 India 71 Mexico 68 Hong Kong 67 UAE 66 Malaysia 64 Canada 62 Indonesia 62 U.S. 59 Netherlands 59 Brazil 55 Germany 55 France 54 Sweden 54 UK 53 Italy 51 Australia 50 Poland 48 S. Korea 47 Ireland 46 Argentina 45 Spain 42 Turkey 42 Japan 41 Russia 36

2011 20132012

DIS

TRU

STER

STR

UST

ERS

NEU

TRAL

GLOBAL 51China 76UAE 68Singapore 67India 65Indonesia 63Mexico 63Netherlands 61Hong Kong 61Canada 58Malaysia 57Italy 56Argentina 54Australia 53Brazil 51Sweden 49U.S. 49South Korea 44Poland 44U.K. 41Ireland 41France 40Germany 39Spain 37Japan 34Russia 32

After a year high of distrust, shift back to neutral

GLOBAL 55Brazil 80

UAE 78

Indonesia 74

China 73

Netherlands 73

Mexico 69

Singapore 67

Argentina 62

India 56

Italy 56

Canada 55

South Korea 53

Sweden 52

Japan 51

Australia 51

Spain 51

France 50

Poland 49

Germany 44

U.S. 42

U.K. 40Russia 40Ireland 39

Composite score is an average of a country’s trust in all four institutions. Informed Publics ages 25-64 in 20-country global total 3

Big Changes from 2008

Germany +19China +18Canada +14India +11

Big Changes from 2012

Germany +16France +14UK +12US +10

The world has changed

Nothing works in isolation anymore. A new reality has emerged…• changing contexts & hierarchies• a media landscape in constant flux• social media is mainstream media• authority has been dispersed• society’s tectonic plates have shifted• conversations start anywhere & involve

influencers of all stripes

The sum of these changes is the move from a shareholder to a stakeholder society...• a shift from free market to shared market; • from passive to active; • from shareholder to stakeholder; • from consumer to citizen.

analogue

Communications & the evolution of influence

Elite

Mass

authority humanity

yesterday

my clover my influence network

social digital

Social Advocists

Employees

Citizen Consumers

today

Elites

Mass

PLA

TFO

RM

S / A

GG

RE

GA

TIO

N S

ITE

S

CO

MM

UN

ITIE

S

© Edelman Employee Engagement Practice, 2013. All rights reserved. For more information, contact employee.engagement@edelman.com.

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REPUTATION is an aggregate perception of what stakeholders believe a company has done, based on perceptions of that company’s conduct and behaviour over time

TRUSTis a measure of what

stakeholders expect a company will do, based on the company’s performance in relation to those

stakeholders’ expectations

REPUTATION...is an aggregate “analysis“

of past behavior TRUST...is an expectation of future

behavior based on past performance

Edelman point of view on trust and reputation

New realities for corporate communicators

COMPLEXITYMULTIPLE

STAKEHOLDERS

Companies accountable for more than making

money (social responsibility,

employee treatment)

Forming opinions via multiple inputs;

Rise of new influencers

Conversations start anywhere

NEW TECHNOLOGIES

BUSINESS & ECONOMICREALITIES

Democratizationof media

Social media IS mainstream media

Increasing sense of urgency to transform

business during time of economic uncertainty

The 7-Ps model

1. Promotion: Corporate reputation &

strategy

2. Participation:Employee and social

engagement

© Edelman Employee Engagement Practice, 2013. All rights reserved. For more information, contact employee.engagement@edelman.com.

Employees with technical expertise are far more trusted than top executives

Employees continue to be a steady, reliable source of information, especially compared to the CEO

20132012

11

© Edelman Employee Engagement Practice, 2013. All rights reserved. For more information, contact employee.engagement@edelman.com.

Three key actions to build trust

Use storytelling to demonstrate integrity in action

Employees with employees

Employees with world

Employees with company

Encourage a culture of inclusive management

Leverage employees ambassadors strategically where they have credibility

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3. Peers:Business to business

4. Executive Positioning

Executive Positioning15

Why Executive Positioning Matters

Improves relationships with key stakeholders – customers, elected officials & influencers

Creates solid reputational footing that delivers tangible business results

Removes barriers to entry in new markets

Supports employee recruiting and retention efforts

Creates a human touch point for a nonhuman entity

Aligns internal and external communications

Enhances internal morale

Executive Positioning16

Elements of an effective Executive Platform

PERSON

CORPORATE STRATEGY

INDUSTRY LEADERSHIP

SOCIAL PURPOSE

5. PurposeBusiness & social

purpose

6. Public Affairs

7. ProtectionCrisis & risk management

IDENTIFYEMERGING RISK MANAGEMENT

Edelman approach

1Preempt or neutralize any emerging threats

to reputation, financial performance or regulatory and commercial successes

2

Develop a robust system to understand and address potential risks

within an enterprise

3

Activate crisis plans and dispatch crisis assets to

manage all elements of risk

4

Look ahead and create opportunities to mitigate

through proactive strategies

Vulnerability AssessmentDecisional Structure

Trust DiagnosticsPerception Audits

Issues LandscapingRisk Mapping Strategy

Risk Tolerance IndexDigital Diagnostics

Readiness AuditPlan Development

Plan TrainingSocial Business Intelligence

Dark-site CreationSocial Engagement Triggers

Capability MappingDecisional Analytics

Team MobilizationWar Room Creation Decisional Protocols

Spokesperson TrainingThird Party Engagement

Real-Time MonitoringReputational Surveying

Global Activation

Values IntersectionsDigital Advocacy

Purposeful EngagementContent Continuity

Expanded MessagingMonitoring

TestingROI Metrics

TRUST & REPUTATION

ASSESS & PREPARECRISIS AND RISK PREPAREDNESS

ENGAGEDECISION MAKING &RAPID RESPONSE

MITIGATE & PROMOTERISK CONVERSION & TRANSFORMATION

CCMS@ = R+D+i

R D ICrisis

Communication

Management Solution

Identify and classify potential risks

Become familiar with the organizational structure

Share and review already existing materials and tools

Identify and determine relevant spokespeople, getting them involved in the process

Prepare a new crisis communication model that includes:

Command center

Crisis communication applications

New application distribution plan → informative sessions

Spokesperson training

Application of new technologies to the crisis communications model

Digital version of procedures and protocols

Digital application for mobile devices(Blackberry & iPhone, to name a few)

SMS alert system; direct access to social networks

Crisis monitoring and assessment tools

Research + Development + Innovation = CCMS@

Crisis Communications Management Solution CCMS©

CCMS© CLIENTS:

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Copyright ©2013 Daniel J. Edelman, Inc. All rights reserved. All information contained herein is confidential and proprietary to Daniel J. Edelman, Inc. (“Edelman”).

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