Sunday, October 03, 2004

Reputation as CEO, rather than customer interaction

There was a well written think piece written on AlwaysOn Network by Heidi Sinclair of Burson-Marsteller. It provides CEOs with advice and justification on why they should have a PR campaign to promote them. Its an old argument, when I worked for The Weber Group we used to have a slide that had a piece of internal research on it showing that companies with prominent CEOs outperformed their NASDAQ peers by 30 per cent.

Sinclair claims in the article that 50 per cent of a company's reputation depends on the CEO, I don't think that this necessarily true. I think that the article very dangerously ignores much of the real hard work ensuring that all customer interaction from product or service usage to contacting the company delight the customer. No mean feat, yes demonstrate that your company is not being run by a dribbling moron, but don't pretend that turning the CEO into Victor Kiam will really fix product or service issues.