"How To Become a Hero in the Midst of a Financial Meltdown" is a first-of-its kind best practices panel, looking at how companies can maintain and even improve a reputation in times of great potential risk. Reflecting on the September 15th Lehman Brothers collapse, this panel of experts will come together to examine how companies should communicate internally and externally in ways that help maintain your corporate reputation and ensure that employees remain focused and productive. Additionally, the panel will discuss how times of reputation risk can be leveraged to improve your position with key stakeholders and build the next generation of leaders.

1. December 03, 2008
How To Become a Hero
in the Midst of a
Financial Meltdown
Panelists:
Anthony Johndrow (Reputation Institute)
Kathryn Williams (KRW International)
Patricia Molino (Johnson & Johnson)
Jacqueline Kolek (Peppercom)
Moderator:
Steve Cody (Peppercom)
Twitter tag: #PDHeroes

3. Reputation Institute
Australia • Bolivia • Brazil • Chile • China
Croatia • Denmark • France • Germany
Greece • India • Italy • Japan • Netherlands
Norway • Portugal • Russia • South Africa
Spain • Sweden • Switzerland • Turkey
Ukraine • United Kingdom • United States
Knowledge Advice
Academic Network Customized Analysis
Corporate Reputation Review Global Benchmarking
Research, Insights & Cases Reputational Risk Management
Conferences & Seminars Strategy

4. Three Key Themes for Reputation (RISK) in the US
Three Key Themes for Reputation (RISK) in the US
1. Products/Services Still Most
Important 12.1%
18.2%
2. BUT, Governance now almost 12.2% 13.2%
as important
14.6% 13.3%
3. AND, Citizenship far more
important than it used to be 16.4%

5. Reputation (RISK) in the US (2008): Some Industries to think About
Reputation (RISK) in the US (2008): Some Industries to think About
Strongest
Global Mean
64.20
Most At Risk
( ) indicates number of companies measured in the industry
All Pulse scores are standardized on both the country and global level. For further explanation Excellent/Top Tier above 80
see the RepTrak™ Methodology section. Strong/Robust 70 – 79
Average/Moderate 60 – 69
RepTrak™ Pulse scores that are more than +/- 0.5 apart are significantly different at the 95% level.
Weak/Vulnerable 40 – 59
Poor/Lowest Tier below 40

6. 6 Reputation Best Practices Used by Leading Companies
6 Reputation Best Practices Used by Leading Companies
1. Establish a Common Model
— Adopt a common model for evaluating reputation, including common language
2. Understand Drivers
— Understand what drives reputation - this will change among stakeholder sets
3. Align Activities
— Align corporate messaging and activities with key drivers for stakeholders
4. Align Employees
— Create employee alignment with desired reputation
5. Integrate
— Reputation management becomes a decision-making filter
6. Set Goals & Monitor
— Set program success criteria, monitor progress, adjust as necessary

7. Key to Managing Reputation & Mitigating Risks is focusing “Below the line”
Key to Managing Reputation & Mitigating Risks is focusing “Below the line”
Initiatives drive perceptions, which drive behavior
Strategic
Goals
Business Corporate
Results Initiatives
Supportive Perceptions
Behaviors of the
towards the company
company (Reputation)
● Use/recommend products ● Products/Services
● Invest in company ● Innovation
● Support company ● Workplace
● Say something positive ● Governance
● Recommend company ● Citizenship
● Leadership
● Performance

8. Reputation Systems: From Goals to Business Impact
Strategic Corporate 3rd Party
Perception
Goals Initiatives Influence
Impact
What Stakeholders 3rd Party (e.g. Media) Stakeholders
Want/Expect Corporate Actions Opinions Perception Impact
(Perception Research) (Content Analysis) (Content Analysis) (Perception Research)
General Public Reputation Drivers Communication Content Focus Print Media Coverage Focus General Public Reputation Scores Supportive
Behavior
Impact
(Support,
Ambivalence,
Boycott)
Policy Elite Reputation Drivers Product Partnership Focus Broadcast Media Coverage Focus Policy Elite Reputation Scores
Employee Reputation Drivers Community Project Focus Online/Social Media Content Focus Employee Reputation Scores
Business
Results
Impact ($)
Poor Mixed Strong

9. Anthony Johndrow
Partner, Managing Director, USA
ajohndrow@reputationinstitute.com
www.reputationinstitute.com

10. Global Leadership Advisors
“A better world through better leadership”

11. “The only safe ship in a storm is leadership.” — Faye Wattleton
— Crises bring out the best and worst in
people; great leadership encourages
the best
— Heroes will emerge during this time of
crisis…and many may surprise you
“A hero is an ordinary individual who finds the strength to persevere
and endure in spite of overwhelming obstacles.” — Christopher Reeve

12. “A real leader faces the music, even when he doesn't like the tune.”
— Unknown
— Behaviors of leadership “heroes”
• Taking care of yourself
• Expecting the kitchen sink
• Staying true
• Using the team
• Focusing on the future
• Remembering your legacy
“A hero has faced it all: he need not be undefeated, but he must
be undaunted.” — Andrew Bernstein

13. INTEGRITY RESPONSIBILITY FORGIVENESS COMPASSION
lead to an engaged workforce
— Integrity leads to trust
— Responsibility leads to inspiration
— Forgiveness leads to innovation
— Compassion leads to retention
An engaged workforce is highly correlated with
business success
“You must unite your constituents around a common cause and
connect with them as human beings.” — James Kouzes

14. Kathryn Williams
Partner
krwinternational.com
williams@krw-intl.com
1.800.335.3020

16. About J&J
Caring for the world, one person at a time, inspires and
unites the people of Johnson & Johnson. We do this by:
Focusing on
• Consumer and Personal Care
• Medical Devices & Diagnostics
• Pharmaceuticals
Through
• 250 operating companies
In
• 57 countries
Employing
• Over 115,000 people

17. J&J and Crisis Communication
1. Always focus on the core of our reputation
(Our J&J Credo) and how our actions will
affect different stakeholder groups
2. Crisis management training for ALL managers
3. Advanced early warning systems
4. Make quick decisions (small groups), but
network broadly to ensure buy-in all parts of
the business affected

18. Additional Thoughts on Crisis
Communication
1. Don’t miss the crisis opportunity
2. Balance short and long term priorities
3. Communicate!
4. Authenticity is key
5. Stay calm and vigilant

19. Patricia Molino
Vice President, Public Affairs and Citizenship

21. Today’s New Challenges
— 24/7 Transparent world
— Many, many rumors from non-traditional audiences
• Bloggers
• Consumers on Web
• Media who read and then write stories
— The economic situation we’re in supports anything negative and
sensationalistic

22. Key Principles of Crisis Management
— Identify and assess your vulnerabilities
• Then take action to prevent from turning into a crisis
— How you react/respond to a crisis can ultimately be more important
than the crisis itself
— Put some goodwill in the bank
— Public companies need great integration/communications between
four key internal functions:
• Legal
• Investor Relations
• Public Relations
• Employee Communications

23. Crucial Advice in a Digital Age:
— Be the principal trusted source of information about your
own affairs
“In the age of transparency, the layoff will be blogged.”
(NY Times, 11/5/08)

24. Jacqueline Kolek
Senior Director
jkolek@peppercom.com
http://pepperdigital.typepad.com/
http://www.digitalaptitudetest.com/

25. Q&A
Thank You
How To Become a Hero in the Midst of a Financial Meltdown
December 03, 2008
Twitter tag: #PDHeroes