Corporate reputation in the nordiCs Leading With PurPose - www.bmnordic.com
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Ikea, Google and Microsoft Top In- ternational Brands Corporate Reputation in the Nordics Leading With Purpose www.bmnordic.com
Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Introduction
With a total population of around 25 million, For comparison and benchmarking purposes, a num-
the Nordic market constitutes the eleventh largest ber of international and additional Nordic compa- PURPOSE PERFORMANCE
economy in the world. It is renowned for big, nies from key sectors were included in the research. Trust Products and Services
established brands such as Lego, Nokia and Volvo Advocacy Financially Strong
and - thanks to high levels of internet penetration The link between economic challenges and corpo- Responsible Behaviour Innovation
and entrepreneurial activity - has also recently rate responsibility is clear. There is a perception that Public Image Strong Leadership
spawned a new generation of tech companies such companies do not pay their fair share of taxation
Good Employer Communicates in
as Skype and Spotify. The region is a stronghold and the demand for companies to give back to a relevant way
Environmental
of the oil and gas industries as well as clean tech- society in other ways is high across all countries. Responsibility
nologies and renewable energy.
Positive Contribution
Our findings confirm that having a clearly defined to Community
In a period of prolonged economic uncertainty, Corporate Purpose helps to build trust and a com-
where trust in corporations is generally low and petitive advantage among Nordic stakeholders.
consumers are looking for reassurance that cor Good customer service, treating employees well
porations are playing their part as responsible and engaging with local communities are all key
citizens, we set out to discover what drives drivers of trust and what turns customers into
corporate reputation in the Nordics. brand advocates. Research shows that a strong and
well communicated Corporate Purpose can also
We asked over 4500 people from Denmark, Finland, impact financial performance up to 17%[1].
Norway and Sweden what is important to them in
their roles as consumers, employees, investors and We hope that this Nordic market insight will help
not least citizens. We also asked them to rate the companies understand what drives corporate
top 100 Nordic companies across a range of metrics reputation in the Nordics and how to balance
from trust and responsible behaviour, to innova- Purpose and Performance in their communications.
tion, leadership and financial performance.
[1] IMD’s regression analysis on industry standardised return on investments
over two five-year periods (2205-2009 and 2007-2011).
2
Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Part 1
Corporate Rankings
3
Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Purpose & Performance Index – TOP 10 Nordic Companies
When asked to rank the top 100 Nordic companies Danish companies score highly on both
PURPOSE PERFORMANCE
on a range of metrics from trust and responsible Performance and Purpose, with a tendency
Trust Products and Services
behaviour to leadership and financial performance, to rate better on Performance.
Advocacy Financially Strong
Norwegian dairy producer Tine came out top Responsible Behaviour Innovation
overall, scoring particularly well on Purpose metrics. Finnish and Swedish companies tend to do slightly Public Image Strong Leadership
Danish toy company Lego was rated top on better on Purpose metrics than Performance. Good Employer Communicates in
Environmental Responsibility a relevant way
Performance. Only one Swedish company, Volvo,
Positive Contribution
made it into the top 10 list. Norwegian companies do very slightly to Community
better on Performance ratings than Purpose.
Top 10 Nordic COMPANIES PURPOSE PERFORMANCE Total Score
2.01
1.89
1.80 1.81
1.72
1.64 1.60
1.58 1.54 1.56 1.52 1.52
1.47 1.47 1.50
1.44 1.43
1.38 1.38
1.30 1.31 1.28 1.30
1.28 1.27 1.24 1.24 1.28 1.26
1.16
Tine Lego System Novo Nordisk Carlsberg SOK/S-ryhmä Norsk Tipping Valio Arla KONE Volvo
4Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Purpose & Performance Index – Across all Sectors
Consumer facing sectors such as manufacturing, It is worth noting that the manufacturing and tech- construction, finance and telecoms are also sectors
technology, food and drink, and retail score best nology sectors score particularly well on Performance that do less well. The biggest discrepancy between
by far on the Nordic Purpose & Performance Index. metrics, whereas retail and food and drink companies Purpose and Performance is for the telecom sector
are seen to have a stronger Corporate Purpose. which is rated particularly poorly on Corporate
Among the international companies included in the Purpose. Nordic telecom companies score low on
research for benchmarking purposes, the technology As a sector, ‘business services’ is ranked lowest on trust, public image, responsible behaviour and their
sector also tops the ranking. the Nordic Purpose & Performance Index. Energy, consumers are not prepared to act as advocates.
ALL SECTORS PURPOSE PERFORMANCE Total Score
*Nordic companies only
TOP SECTORS* BOTTOM SECTORS*
0.41 0.38 0.38 0.37
0.34 0.35 0.33
0.29 0.31 0.27
0.19
0.11
0.07
-0.05 -0.07 -0.11
-0.17 -0.19 -0.17-0.19
-0.22
-0.31 -0.31 -0.29-0.31
-0.34 -0.36
-0.42
-0.48 -0.45
-0.5 -0.51
-0.57
-0.7
-0.77
-0.83
Manu Food and Shipping/ Paper/ Con Business
facturing Technology drink Retail Oil and gas Logistics Forestry Telecoms Financial struction Energy Services
5Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
INTERNATIONAL COMPANIES SCORE BETTER ON PERFORMANCE
When benchmarking against the international Technology companies generally score highly on
companies included in the research it becomes the Purpose & Performance Index because they are “Companies need to think more
apparent that, whereas Nordic companies are seen as financially robust and as having a well-
than just about maximizing profits.
generally seen as strong on Purpose driven metrics developed products and services offering. They are
They need to pay taxes in the coun
such as trust, non-Nordic brands score best on also perceived as having a strong public image but
Performance related metrics like innovation being weak on environmental responsibility and try they’re working in, not hiding
and financial strength. not viewed as “caring about the environment”. it away.”
F IN L AND
Ikea tops the list, being perceived across the Nordics
as financially strong, innovative and a company
that communicates well with its customers. “ I want to know that the company
Although not headquartered in the region, Ikea remains active in the community,
is still perceived as Swedish and is popular in all
using the profits to reinvest. This is
four Nordic countries. Swedish stakeholders still
describe Ikea as a “leading Swedish company”. an easy way to contribute to where
they are active.”
swe de n
6Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Part 2
Corporate purpose
and leadership
7Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Corporate purpose drives trust
Good customer service, treating employees well
and engaging with local communities are all key “Trusting means that the company “The company must operate
drivers of trust. Not surprisingly, the most trusted is open and honest about its openly and honestly in accordance
companies within each market tend to be domestic.
finances, and also has a reputation to its values. It should treat its
This is also true when comparing Nordic and inter-
national companies where we see Nordic companies as a good employer” employees well and be honest
N o rway
outperforming international ones thanks to higher with its customers.”
FIN L AND
Purpose scores.
TOP 5 MOST TRUSTED COMPANIES BY MARKET MOST TRUSTED NORDIC
COMPANIES
1. Tine
Denmark Finland Norway Sweden 2. Carlsberg
3. Norsk Tipping
1 Lego Fazer Tine ICA
4. OP-Pohjola
2 Carlsberg Kone Norsk Tipping SKF 5. Lego
3 Coop OP-Pohjola Coop Arla
4 Novo Nordisk Valio Gjensidige Forsikring Scania
5 Mærsk SOK/S-ryhmä Posten Norge Volvo
8Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Purpose Three Times More Important Than Financial Performance
Two thirds of Nordic stakeholders believe that Which of the following
the CEO should be the public face of a company is closer to your view? “Good leaders should not only
and that CEOs need to have a strong profile both CEOs do not need to be think in terms of profit, but
internally and externally. well known outside of
their own company should position the company
Among those that feel that CEOs should have to be part of the community,
a strong profile, Corporate Purpose and vision and act to the society’s
were identified as the issues CEOs should be most benefit.” N o rway
concerned about both inside and outside of their
organisation. In fact, communicating a company’s
Purpose and core values are deemed to be more
than three times as important as communicating 38 % “Company leaders must be
a company’s financial performance.
responsive – inform the
Danish companies are seen as having particularly employees and then the media.
strong leadership among Nordic stakeholders. 62 % They should be unafraid to
apologise when there are
Companies with
errors and not let subordinates
strong leadership take the hit for them.”
Swe de n
1. Maersk
CEOs should be the public face
2. Novo Nordisk
of a company: they need to
3. Lego have a strong profile internally
and externally
4. Reitangruppen
5. Statoil
9Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Sustainability is more than just the environment
The environment is an important issue for the
Nordic public and nearly 80% of stakeholders across Top 5 companies by topic
the region say that they are concerned about the
environmental impact of companies.
But they also agree that, for a company, sustainability
Making a positive
is more than just being environmentally friendly.
contribution to the
Good working conditions, contributing to the local
Seen to care about communities where Behaving in a
community, less focus on quarterly earnings and
the environment they operate responsible manner
more of a long-term view on financial performance
are all definitions of sustainability.
1 Vestas Tine Coop
2 Coop Norsk Tipping Tine
“A company should make
sure that it does not harm 3 Tine Coop Novo Nordisk
the environment in the short
and long term. Environmental 4 Valio Posten Norge Norsk Tipping
considerations in particular
should be taken into
5 SOK/S-ryhmä SOK/S-ryhmä Lego
account for the life cycle
of products.”
Swe de n
10Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Part 3
Consumer insight
11Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Clear link between economic challenges and corporate responsibility
Our research shows that Danes and Norwegians The link between economic challenges and corpo- to local communities and overall this is one of the
are more positive about the state of their nation rate responsibility is clear. In Finland particularly metrics that the companies included in this survey
than Swedes and Finns. Over half of Danes think there is a perception that companies do not pay performed worst on.
their country is heading in the right direction their fair share of taxes.
compared with just one fifth of Finns. Danes and Contributing to the community can, however, take
Norwegians are also more positive about the Across the Nordics, there is a demand for com many forms. Respecting the local environment,
economy while only 13% of Finns feel their economy panies to give back to society. Two thirds feel that creating new jobs, paying taxes and contributing
is going in the right direction. companies have a responsibility to contribute to charities are all important.
Top 5 companies that ‘make a positive contribution’ by market Top Nordic Employers
1. SOK/S-ryhmä
2. KONE
Denmark Finland Norway Sweden
3. Novo Nordisk/Valio
1 Lego Fazer Tine ICA 4. Tine/Lego
5. Carlsberg
2 Coop Valio Norsk Tipping Arla
3 Carlsberg SOK/S-ryhmä Posten Norge SCA
4 Mærsk KONE Statoil Volvo
5 Nortura OP-Pohjola Coop SKF/Scania/Ericsson/Skanska
12Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
The nordic Consumer
A company’s values are important for the Nordic How important do you think it
consumer who is willing to pay a premium price is for a company to have a strong
for a product or service from a company they view presence on social media?
as responsible. A quarter of Nordic consumers say
they have advised someone to use or buy products
from a company because it has acted responsibly.
41% of Nordic consumers would like companies to
14 %
Very important
engage with them on the issues they want to hear
more about: mainly the companies’ commitment to
Can you think of
social responsibility and the wider impact they have
on society and the economy. Social media is an effec-
40 % 30 % any companies that
Somewhat Not very are particularly good at
tive tool for customer engagement and Ica, Telenor
important important utilising social media?
and Ikea are companies that are seen as particularly
good at utilising social media for engagement.
15 %
Not at all
important
“Engaging with me is how I become
familiar with a company and its values
and practices – and makes me more
likely to be loyal to them.”
Norway
Overall Nordics 13Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
FIVE Tips for Effective Communication in the Nordics
1. Define And Communicate 3. Maximise CEO Profile 5. Use Social Media
Your Corporate Purpose Internally and Externally For Customer Engagement
Corporate Purpose has evolved from Corporate There is a growing demand from consumers, Nordic stakeholders want companies to engage
Social Responsibility (CSR) and sustainability and employees, investors and other stakeholders for with them, but not just for advertising and promo-
is today a distinct concept in itself. Whereas CSR CEOs to be the public face of a company and to tional purposes. Social media is an excellent tool
is often seen as a bolt-on to a company’s core have a strong profile both internally and externally. for engagement if used correctly. As a first step,
business, Purpose cuts across all business func- A company’s Purpose and values are seen as the ensure that your own social media channels are
tions. Part of a company’s DNA and its raison key issues a CEO should be most concerned with used for discussions and dialogue rather than
d’être, Purpose guides and informs the basis of communicating both inside and outside the promotion. As a next step, participate in all the
the mission, vision and values of a company. organization. other discussions taking place on the web around
your products and brands.
2. Walk The Talk 4. “Localise” Communication
Corporate Purpose is key for both internal and The 25 million people that make up the Nordic
external communication, however the Purpose market are culturally and linguistically close to one “Performance with a Purpose is
comes first, it is not a communications tool. Pur- another. The Nordic public also shares core values
based on the belief that companies
pose is central to strategy development and guides and beliefs around the role of companies in today’s
can – and must achieve business
business decisions, allowing companies to take society. However, as our research shows, the most
a holistic view and strategically align values, trusted companies within each market tend to and financial success while also
organisational culture and operations. This helps be domestic: communicating in local language, leaving a lasting and positive
to avoid any disconnect between what companies engaging with local communities, treating employ- imprint on society”
say they do and how they actually operate. It also ees well and having good customer service.
I n dr a N o oyi , C h ai r m an , P e ps i Co
helps avoid accusations of “greenwashing”.
14Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Methodology
Burson-Marsteller commissioned
leading research firm Penn The following companies are included in the research
Schoen and Berland to under-
take an online quantitative
survey of 4531 people in the
Nordic region between July
and September 2014. Quotas
were set for gender, age
and region to ensure that
the sample is representative
of each population.
To find out more about
your company’s Purpose
& Performance ranking,
please contact:
Sara Alsén
Managing Director,
Strategy Nordic Region
sara.alsen@bm.com
+46 (0)761107057
15Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Burson-Marsteller, established in 1953, is a Penn Schoen Berland (PSB), a member of
leading global public relations and communications Young & Rubicam Group and the WPP Group,
agency with unrivalled presence and expertise in the is a global research-based consultancy that
Nordic region. Our teams of experienced consultants specialises in messaging and communications
in Copenhagen, Helsinki, Oslo and Stockholm work strategy for blue-chip political, corporate and enter-
closely together on a day-to-day basis to provide tainment clients. PSB’s operations include over 200
clients with strategic insight and innovative public consultants and a sophisticated in-house market
relations, public affairs, reputation and crisis manage- research infrastructure with the capability to
ment, digital strategy, advertising and other commu- conduct work in over 90 countries. The company
nications services. Having wholly-owned offices in all operates offices in Washington, D.C., New York,
Nordic countries, not only sets Burson-Marsteller London, Seattle, Los Angeles, Dubai, Delhi, Miami,
apart from the competition but ensures that we can The Dominican Republic and Denver, which are
deliver seamless communications services across supported by an in-house fielding capability and
the region. Worldwide, Burson-Marsteller operates are fully equipped to provide the complete
in 110 countries across six continents. creative solutions PSB clients need.
www.bmnordic.com www.psbresearch.com
16Corporate Reputation in the Nordics – Leading With Purpose / Burson-marsteller
Foto: Shutterstock
Burson-Marsteller Denmark Burson-Marsteller Norway
Kronprinsessegade 54 Kirkegata 17
1306 København K 0153 Oslo
Tel: +45 3332 7878 Tel: +47 23 16 45 00
Mail: info.dk@bm.com Mail: oslo@bm.com
Burson-Marsteller Sweden Burson-Marsteller Finland
Mäster Samuelsgatan 56 Kalevankatu 20, PL 1062
111 21 Stockholm 00101 Helsinki
Tel: +46 8 440 1200 Tel: +358 10 424 5900
Mail: stockholm@bm.com Mail: info-pbm@bm.com
17You can also read
