The New CEO
Morning Consult produced an excellent dataset recently that puts data behind something that we have all suspected has been happening.
In short, the public’s expectation of the role of the CEO is changing.
As Morning Consult says, the role is expanding. The correct word is important. They didn’t say that the role was evolving, they say it was expanding.
Which can’t be a good feeling if you’re a CEO.
This is a rich dataset that I commend to you. The research shows that CEO favorability and brand favorability are closely correlated and that CEO favorability is now driven by factors that are intertwined with a company’s purpose, its impact on society, and a “responsibility” to the overall society’s welfare.
Which is why the report is called “Beyond the Boardroom.”
Not every CEO is ready for this. Many were hired for other skill sets—which still matter.
If a CEO hired me to help them make this transition (and they should 😉), here’s how I envision the conversation starting.
You need to embrace this change, but adapt it to your style. Give people what they need without trying to be something you aren’t. Example: You might not be the guy who can look into a camera and be emotive for 90 straight seconds. But you might be the guy who can lead a panel discussion of your team on a topic centered on an emotive topic.
People expect you to work from the inside out. I have preached this to clients for years, and its truer now than ever. The research demonstrates that being trusted by employees corresponds with a CEO performing well on KPIs. The good news is that talent acquisition and retention is likely a challenge you were already engaged with. (To be clear, even investors in the research say they want employee interests placed above shareholder interests). The key change is to tell more employee stories on your platforms. It will create energy in your entire stakeholder universe.
There is a bit of a balancing act that is implicit in the data. On one hand, going “Beyond the Boardroom” requires a CEO-forward approach to key audiences. At the same time, the research shows that being the “face” of the company is not a driver of performance and it isn’t desired by stakeholders. Carefully managed, I think you could do this, but it takes thought beyond what you might get, which is someone pounding their fist on the table and demanding five CEO videos a month and then ending the meeting.
Be prepared for people to look for action behind words. Said another way, if you don’t have a diversity and inclusion program in place, you’re vulnerable. You just met with your risk management guy, but I’ll bet this didn’t come up. People will forgive you for the past (and it can’t be changed anyway) but they won’t forgive you for not acting now and platitudes won’t cut it forever. The research shows that 86% of those surveyed said that CEOs had at least some responsibility for leading change on social issues within their company.
There’s more of course, which I’d love to talk to you about. We know we need to take action, and with strong leadership and seasoned communications, we can make it work. for you.