Reputational opportunities - ICSA · UK RepTrak™ Pulse 2011. 62 UK Respondent Profile &...

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Reputational opportunities

How charities can maximise their potential

ICSA, 28 July 2011

Jane Hobson

Head of Policy

Charity Commission

Spencer Gammond

Head of Communications

Managing Reputation

What is the RNLI?

„Ordinary people doing extraordinary things‟

„With courage,

everything is

possible‟

Sir William Hillary

Founder

Reputation is taken very seriously

•Complaints - a board issue

•Risk management

•Regular reporting and assessment

•Policies and procedures

•Strong communications team

•Consistency - Loud & Clear

Reputation is taken very seriously

•Complaints - a board issue

•Risk management

•Regular reporting and assessment

•Policies and procedures

•Strong communications team

•Consistency - Loud & Clear

Look after your supporters

VOLUNTEERS

PUBLICSUPPORTERS

Youth engagement

Continuous improvement

•IIP

•IIV (volunteers

•EFQM ( 5 stars)

•ISO 9001

•ISO 14001

•ISOQAR

•Lean

Flood Rescue

Guyana 2005

Flood Rescue Teams

Cockermouth 2009

Maintaining awareness

•Promote the image of the RNLI and its volunteer crews to the general public through third party TV & Film productions

Actions speak louder than words

Just a car in the water….

But over 2 million hits in 48 hrs…

Always work with animals…

How some supporters see lifeguards…

How we wanted lifeguards to be seen as part of the RNLI

How things often really are

When it goes wrong…

When things really go wrong…

Without the public nothing is possible.

Chris Simpkins

Director General

The Royal British Legion

Our Mission and Purpose

Our Mission:

We are the No.1 provider of welfare,

comradeship, representation and

Remembrance for the Armed Forces

community.

Our Purpose:

We stand shoulder to shoulder with

all who Serve

A Strong, Trusted Brand

Although the 26th charity in revenue, we are the second in terms of brand reputation, behind only the RNLI

The Legion is rebranding itself as a contemporary Armed Forces charity through traditional, new and social media

We enjoy celebrity engagement from sport, music, film and television; plus individuals as varied as Stephen Fry, David Tennant, Stuart Broad, Jimmy Carr, and Martin Johnson

Challenges to Reputation

• Changing nature of beneficiaries

- Responding to the needs of the

Iraq and Afghanistan generations

• Government cutbacks

- Responding to increased pressure

on our products and services

• Social media

- Responding to new challenges

Importance of Reputation

• Fundraising & welfare

organisation

• Members, staff and volunteers

• Political campaigning

• Authoritative voice in sector

Maximising reputational

opportunities

• Remembrance

• Public relations and branding

• Corporate partnerships

• In-service engagement

• Engaging and supporting other military charities

• Royal Charter

Seven Dimensions to Reputation

Products and Services

• Our interventions answered 160,000 calls for help last year

• Income + expenditure is greater than £230million per annum

• £1.4million per week on welfare

• Directly helped 16,000 veterans of Iraq and Afghanistan and their families

Performance and Innovation

• Culture of continual improvement

• Corporate strategies and objectives

• Responding to cutbacks and the Afghan generation

• Defence Recovery Capability and Battle Back

Workplace and Governance

• Solid and trusted corporate

structure

• Best practice Human Resources

• Act within the law and within the

objectives of the Royal Charter

Citizenship and Leadership

• Responsibility to our beneficiaries

• Betterment of our community

• Decisions that define community expectations

• Leaders in our sector

The Royal British Legion

Spencer Fox

UK Managing Director

Reputation Institute

UK’s Most Reputable Companies: Part of the World’s Largest Study on Corporate Reputation

Reputation Institute’s UK RepTrak™ Pulse 2011

Who’s got the best reputation?

Global Reputation Knowledge and Advice

Knowledge Center

Conferences

Publications

Networks

Insight

Strategy

Alignment

Advice Group

Welcome to the Reputation Economy

Navigating the Reputation Economy

■ Multiple influencers have an opinion on your organisation

■ Demands for more transparency and consistency in the way charities operate and communicate

■ Higher expectations from the public, politicians, volunteers & employees, NGO‟s, media who all impact each to a larger extent…

■ New means of communication have made the world smaller – stakeholders are interconnected like never before.

An emotional bond… … that ensures

• The public recommends you

• Your partners support you

• Policy makers and regulators give you the benefit of the doubt

• The media looks for your point of view

• Your volutneers/employees are engaged and deliver on your strategy

Defining Corporate Reputation

Reputation is built on 7 dimensions – RepTrak™

What is your reputation with key stakeholders?

■ The General Public?

■ Major corporate donators?

■ Government/Regulators?

■ Media?

■ Volunteers/Employees?

■ Partners?

■ Opinion Leaders?

Fundraisers

Customer Service

Donations

Employment

Direct Experiences

Branding

Public Relations

Marketing

SocialResponsibility

What You Say

Key Opinion Leaders

Topic Experts

Friends/Family

What Others Say

Perceptions Behaviour Financial Results

Where do people get their perceptions?

Reputation drives results

organisation’s

results

Strategic

Actions

Perception

Supportive

Behavior

toward

charity

● Recommend

● Invest in/contribute to

● Support

● Talk positively about

● Products/Services

● Innovation

● Workplace

● Governance

● Citizenship

● Leadership

● Performance

Direct benefits from investing in reputation

1. More recommendation from the public

• Improve reputation with 5 points and recommendation will go up by 6.7%. Strong direct link to Net Promoter Score.

2. Attracting the best talent

• A good corporate reputation is a top 5 driver for people when they consider which company they would like to work for/give their time to.

3. More benefit of the doubt in a crisis

• 54% would give organisations with higher reputations the benefit of the doubt in a crisis compared to only 20% for lower reputation companies

4. Better media coverage

• Higher reputation companies see a more balanced media coverage. The media is more likely to seek your point of view.

Reputation Increases Support in the UK

Recommend

Most Reputable Companies

(Top 10)4.0% 2.3%

Least Reputable Companies

(Bottom 10)32.1% 5.2%

Say Something Positive

(Top 10)3.6% 1.7%

(Bottom 10)31.3% 4.9%

Benefit of Doubt

(Top 10)3.9% 6.0%

(Bottom 10)30.2% 6.6%

Q: I would recommend ‘Company’ to others

Q: I say something positive about ‘Company’

Q: I would give benefit of doubt to ‘Company’ if company was facing a crisis

Negative (1-2) Neutral (3-5) Positive (6-7) Not sure

Which dimensions are most important to impact

support?

Conclusions ■ Future success will depend on your

reputation with key stakeholders.

Do they trust you?

Will they support you?

■ You can manage reputation and drive results

■ 5 steps to improve business results:

1. Take on the role of reputation champion in

your organisation

2. Define stakeholder expectations

3. Outline your own specific reputation model to

guide action

4. Develop a reputation strategy

5. Improve competitive positioning through

reputation management

UK’s Most Reputable Companies: Part of the World’s Largest Study on Corporate Reputation

Reputation Institute’s

UK RepTrak™ Pulse 2011

UK Respondent Profile & Methodology

U.K. Respondent Profile

■ A total of 34,897 ratings of the 300 selected companies were obtained from a sample of 10,525

■ All companies were rated by at least 100 respondents.

■ Ratings are statistically significant at a 95% confidence level with a margin of error +/- 0.5.

■ Respondents distribution was balanced to the UK adult population on age and gender.

To be included in Reputation Institute‟s 'UK's 200 Most Reputable Companies' list, all companies had to meet

at least two of the following criteria:

■ All companies were listed in the FTSE 100 or FTSE 250 as being among the largest in market

capitalization and revenues generated in the UK.

■ All companies had high visibility among the general public in the UK.

■ Companies which were unlisted but were of comparable size and visibility to the public companies were

then included in UK‟s study list.

■ All companies had annual revenues of at least £0,5 billion.

Powered by SSI

Special thanks to SSI for providing access to their panels of online respondents in United Kingdom

We measured the largest companies in the UK:

Consumer Products

Food - Manufacturing

Retail - General

Retail - Food

Beverage

Computer

Information & Media

Industrial Products

Pharmaceuticals

Automotive

Financial - Diversif ied

Airlines & Aerospace

Transport & Logistics

Financial - Insurance

Services

Telecommunications

Construction & Engineering

Financial - Bank

Raw Materials

Energy

Utilities

Industry Reputations in UK 2011

Excellent/Top Tier Above 80

Strong/Robust 70-79

Average/Moderate 60-69

Weak/Vulnerable 40-59

Poor/Bottom Tier Below 40

All Global Pulse scores that differ by more than +/-0.5 are significantly different at the

95% confidence level.

Pulse scores are based on questions measuring Trust, Admiration & Respect, Good

Feeling and Overall Esteem (captured in the Pulse score on a 0-100 scale).

Change

f rom 2010

+ 0.62

Charities

Government

UK Top 10 Companies 2011

UK Top Risers 2011

2011 Score Change

1 65.89 + 12.99

2 62.85 + 10.60

3 84.40 + 10.41

4 64.45 + 10.22

5 69.97 + 10.18

6 79.70 + 9.75

7 68.80 + 9.56

8 80.96 + 9.25

9 78.89 + 8.57

10 63.58 + 8.00

"2010 has been a year of significant investment in the Phones 4u business, in our people, our customers, our stores and our reputation.

It's been a strong performing 12 months for Phones 4u, and it's a testament to our investment and our people that we have achieved a 20% uplift in sales that has been mirrored by a 20% increase in our RepTrak™ reputation score.“

Tim Whiting, Phones 4u CEO

Who we measured in 2011

Special Focus - UK Charities 2011

1 94.77

2 90.11

3 89.94

4 89.66

5 89.20

6 88.87

7 88.62

8 88.13

9 87.89

10 86.71

Charities comparison with public sector other NFP in UK

The Royal British Legion 90.11

RNIB 89.94

British Heart Foundation 89.66

Scope 89.20

British Red Cross 88.87

RSPCA 88.62

Children in Need 88.13

Cancer Research UK 87.89

Barnardo’s 86.71

NSPCC 85.80

The National Trust 85.74

UNICEF UK 83.71

Age UK 83.20

Oxfam 78.23

Christian Aid 77.87

Wellcome Trust 72.90

HM Coastguard 95.27

The local ambulance and paramedic crews operating in your area

Air Ambulances 93.09

Mountain Rescue 92.74

Your Fire Brigade 91.38

Armed Forces 86.18

Your Local GP 81.96

Your Local Police Force 72.99

Local hospital/trust 71.15

NHS (National Health Service) 70.47

OFCOM 67.57

UK Border Agency 66.98

Press Complaints Commission 66.28

City of London 64.98

Her Majesty's Revenue and Customs Service (HMRC)

Local government 39.71

Central Government 36.10

What Drives Reputation in UK 2011?

Product/Services: 'Company' offers high quality products and services -- it offers excellent products and reliable services

Innovation: 'Company' is an innovative company -- it makes or sells innovative products or innovates in the way it does business

Workplace: 'Company' is an appealing place to work -- it treats its employees well

Governance: 'Company' is a responsibly-run company -- it behaves ethically and is open & transparent in its business dealings

Citizenship: 'Company' is a good corporate citizen -- it supports good causes & protects the environment

Leadership: 'Company' is a company with strong leadership -- it has visible leaders & is managed effectively

Performance: 'Company' is a high-performance company -- it delivers good financial results

n = 28,756

Adj R2 = 0.707

F acto r A djusted R egressio n

Charity industry scores in UK 2011

Product/Services: 'Company' offers high quality products and services -- it offers excellent products and reliable services

Innovation: 'Company' is an innovative company -- it makes or sells innovative products or innovates in the way it does business

Workplace: 'Company' is an appealing place to work -- it treats its employees well

Governance: 'Company' is a responsibly-run company -- it behaves ethically and is open & transparent in its business dealings

Citizenship: 'Company' is a good corporate citizen -- it supports good causes & protects the environment

Leadership: 'Company' is a company with strong leadership -- it has visible leaders & is managed effectively

Performance: 'Company' is a high-performance company -- it delivers good financial results

Royal National Lifeboat Institution Scope

The Royal British Legion Children in Need

British Heart Foundation British Heart Foundation

Scope Cancer Research UK

RNIB Royal National Lifeboat Institution

RSPCA The Royal British Legion

Children in Need British Red Cross

The National Trust RNIB

British Red Cross RSPCA

Cancer Research UK Wellcome Trust

Products Innovation

Top Performers in UK in the service dimensions

Products & Innovation

Royal National Lifeboat Institution Royal National Lifeboat Institution Royal National Lifeboat Institution

RSPCA Children in Need Children in Need

Scope British Red Cross Scope

The Royal British Legion The Royal British Legion The National Trust

RNIB RNIB British Heart Foundation

British Red Cross Scope British Red Cross

The National Trust British Heart Foundation RSPCA

British Heart Foundation The National Trust The Royal British Legion

Cancer Research UK RSPCA Cancer Research UK

Children in Need Barnardo‟s RNIB

Workplace Governance Citizenship

Top Performers in UK in the societal dimensions

Workplace, Governance and Citizenship

Royal National Lifeboat Institution Children in Need

Scope Scope

British Heart Foundation British Heart Foundation

Children in Need British Red Cross

The Royal British Legion Cancer Research UK

RSPCA The Royal British Legion

British Red Cross Royal National Lifeboat Institution

The National Trust Barnardo‟s

NSPCC RSPCA

Barnardo‟s NSPCC

Leadership Performance

Top Performers in UK in the corporate dimensions

Leadership and Performance

I would say something positive about [charity]

Say something positive

[Sorted by Positive]

Royal National Lifeboat Institution 0.0% 3.2%

RSPCA 3.8% 0.0%

Cancer Research UK 4.1% 1.1%

The Royal British Legion 2.7% 3.7%

British Red Cross 1.9% 0.9%

Scope – the charity focusing on people with cerebral palsy1.0% 2.6%

British Heart Foundation 2.0% 3.0%

Children in Need 2.0% 1.8%

Barnardo’s 2.1% 4.1%

The National Trust 1.1% 3.7%

NSPCC 5.7% 2.0%

RNIB 2.9% 3.6%

Age UK 0.9% 4.5%

Oxfam 5.7% 1.8%

Christian Aid 5.9% 5.6%

Wellcome Trust 4.6% 6.7%

I would recommend [charity]Recommend

RSPCA 3.8% 0.0%

Scope 1.8% 2.8%

RNIB 0.9% 8.2%

NSPCC 5.7% 6.8%

Age UK 0.9% 2.7%

Oxfam 5.7% 1.8%

Hear people say positive things

RSPCA 3.8% 0.9%

Scope – the charity focusing on people with cerebral palsy0.8% 6.1%

NSPCC 4.7% 5.9%

RNIB 4.0% 6.3%

Oxfam 6.6% 3.0%

Age UK 1.9% 5.0%

Reputation and Support goes hand in hand

Recommend

(Top 10)4.0% 2.3%

(Bottom 10)32.1% 5.2%

Say Something Positive

(Top 10)3.6% 1.7%

(Bottom 10)31.3% 4.9%

Benefit of Doubt

(Top 10)3.9% 6.0%

(Bottom 10)30.2% 6.6%

Q: I would recommend ‘Company’ to others

Q: I say something positive about ‘Company’

Q: I would give benefit of doubt to ‘Company’ if company was facing a crisis

Strong Relationship Between Reputation and Support in UK 2011

Improve Reputation by 5 Points and Increase Recommendation by 6.7%

Excellent/Top Tier Above 80

Strong/Robust 70-79

Average/Moderate 60-69

Weak/Vulnerable 40-59

Poor/Bottom Tier Below 40

All Global Pulse scores that differ by more than +/-0.5 are significantly different at the

95% confidence level.

Pulse scores are based on questions measuring Trust, Admiration & Respect, Good

Feeling and Overall Esteem (captured in the Pulse score on a 0-100 scale).

Q: I would recommend 'Company' to others.

Adj-R2 = 0.823U.K. RepTrak™ Pulse Score

40.00 50.00 60.00 70.00 80.00 90.00 100.00

espondents

Key themes from UK RepTrak™ Pulse 2011

Fact: Reputations have not imploded! Trust in charities is higher than ever.

Trend: Year over year, average reputations among the largest UK charities have improved.

Action: Seize the opportunity! Charities are trusted to pick up the slack form Government cuts

and „Big Society‟ initiatives.

Fact: Stakeholders are savy - it is not enough to rely on high awareness or strong

results

Trend: Products & Services and Governance continue to be the biggest drivers of reputation.

However, in 2011 other reputation dimensions are increasingly more important.

Action: Develop a Reputation Platform with 3 core pillars:

Deliver high quality innovative products and services

Practice transparent and ethical business, treat employees well and engage with

society

Articulate a clear vision for the future and deliver on expectations

Fact: Strong Relationship Between “Reputation” and “Recommendation” - If you improve

reputation by 5 points, support goes up 6.5%..

Trend: Across industries and stakeholders, there is an increasing link between reputation,

behavior and value

Action: Activate stakeholder insight and engage business functions to help them drive growth,

sales, customer loyalty and other business objectives.

The World’s Most Reputable Companies: A Global Study of Consumers in 41 Countries

Where to from here?

What‟s going on…

…in progress…

1. Results released to key media – general business and sector

2. Boiler plate press release available for you

3. Quotes available for company releases

4. Briefings of executives if requested

5. 15th International Reputation Conference in New Orleans, USA – May

6. Global RepTrak™ Pulse – the best 100 reputations in the world – June

…future…

1. Reputation Training programme

2. Ethics and reputation risk event

3. Charities round table

How can Reputation Institute help?

1.Building the reputation business case with a

customised Pulse report

2.Outlining the Reputation Landscape

3.Develop the Reputation System

The World’s Most Reputable Companies: A Global Study of Consumers in 41 Countries

Reputational opportunities

How charities can maximise their potential

ICSA, 28 July 2011

Reputational opportunities - ICSA · UK RepTrak™ Pulse 2011. 62 UK Respondent Profile &...

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