The CEO, or figure head of a company, has a vital role in projecting the brand and its values both internally and externally. But is this something that should be done publicly or should they be the perfect wallflower and fade into the background?
Unfortunately the latter has not been possible in recent months for Tony Hayward, BP’s former CEO and Mark Hurd, HP’s former CEO, and their rather public failings. Hayward’s poor handling of the BP oil spill – he was quoted in the national press as saying, “There’s no one who wants this over more than I do. I would love my life back,” – has contributed to the big dent in BP’s reputation. Equally, reports of a sexual harrassment investigation involving Hurd did some serious damage to the HP brand.
However, as Robert Jones, consultant of brand consultancy Wolff Olins, points out about Hayward, “He didn’t set out to be a public figure.” While this may be true, it should be a lesson to company heads, and the marketers and communications consultants who advise them. Whether you set out to be a high profile figure head or not, you will no doubt have your time in the limelight so be prepared.
Brendon Craigie, MD of PR agency Hotwire UK, thinks it is a communications advisor’s role to prepare and support the CEO, saying, “They are time-poor so depend on timely advice.” He suggests levels of trust in business leaders are at their lowest in years, thereby isolating CEOs. Craigie thinks bringing them out of isolation and into a high profile position is a good thing as it “presents an air of confidence internally and externally.”
Terry Tyrrell, worldwide chairman of The Brand Union, disagrees with Craigie and points out that the most successful CEOs are not always high profile. He also says, “Brands are long term and should outlive CEOs, they are the caretakers.”
Tyrrell feels the role should be more focused internally with the CEO understanding what the company stands for and imbedding it among the workforce. He adds that a high profile charismatic CEO is not always a positive thing saying, “Charisma can come as a handicap.”
The three faces of the CEO
Despite Tyrrell’s earlier comments, he doesn’t dismiss the benefits of a high profile CEO altogether. He goes on to group CEOs into three categories.
The first are the evangelists. Tyrrell describes these as being the Bransons and Stelios. They often own the company and started it from scratch. He says it is not always possible to get through to the evangelist with a message of change as “they do their own thing, but while it works, how can you knock it?”
The second are the strategists. He describes these as being bought in to turn the organisation around and someone you may not have heard of, citing Peter Sands of Standard Chartered Bank as a typical strategist. Lastly, he describes the generals – CEOs who are leaders that inspire internally and recognise the brand is bigger than them.
Most people would probably want to be seen as a general – a modest, inspirational leader who shuns fame – as it seems morally acceptable in comparison to the evangelist who wants to be publicly acclaimed. But in truth there is a little evangelist in everyone. Particularly in John Conoley, CEO of technology company Psion Teklogix, who is actively attempting to turn himself into a brand champion. He says, “I have been determined that the overall vision and the ‘voice’ of the brand be a single one, namely mine.”
Although Conoley doesn’t deny wanting to be the voice of the brand he doesn’t think he is bigger than it. He says, “In the end it’s not about the CEO, I view it as ‘inserting’ myself into the brand not being seen as the brand.”
Jones on the other hand feels that seeing a brand as ‘one voice’ is rather an outdated approach.
“Brands these days are built by thousands of employees interacting with customers face-to-face or through social media. The trick is not to create a single star for the mass media, but many stars for interaction with social media,” he says.
He cites today’s fragmented media as the reason why one person can no longer be the face of a brand. Developments in communication, such as the advent of social media, have led to more touch points for staff to communicate with customers and vice versa.
B2B versus B2C
It is no secret that B2B is more cautious than its B2C cousin in using social media. B2B is also seen as being more understated and less extravagant. Is this also the case for CEOs of B2B companies? Jones and Conoley seem to think so saying respectively, “B2C is about appealing to a mass audience so it makes sense for the Bransons to court the media. If you are in B2B there is no need to do it because the audience is so niche.”
“If we are talking about the consumer market then sure, be seen as the brand, like Branson. But that’s not for us.”
Tyrrell feels that some sensitive industries, including some in B2B, for example pharmaceutical, can benefit from a high profile CEO. They can bring with them brand integrity. However, he highlights the importance of being high profile and not extravert. Jones also thinks such a figure head works well in retail, citing Mark Price the self-styled ‘chubby grocer’, managing director of Waitrose.
Putting industry and sector aside, a CEO must be prepared to be the public face of the company when the time calls for it. But the CEO is not bigger than the brand, they can be replaced with relative ease in comparison to a brand. With the right advice, they will have the support of their employees and share holders making it easier to face the media. Although as Conoley says, “There is no ‘CEO school’, just a vague hope the new guy will be better than the old guy.”
