For decades, conventional wisdom for corporate CEOs was to steer clear of controversial issues and politics. Why risk alienating your customer base and shareholders?
No longer. Driven by activist investors, advocacy social media campaigns, a more diverse workforce, and a polarized national political and social atmosphere, CEO activism is on the rise. A recent survey by PR firm Weber Shandwick found that more Americans than ever are aware of CEO activism and increasingly see it favorably.
Whether it’s Nike’s support for Colin Kaepernick’s social justice protests, Dick’s Sporting Goods banning the sale of assault-style weapons, or Hobby Lobby’s opposition to the federal requirement that employee health insurance cover birth control, CEOs and brands speaking out has become a significant phenomenon.
This presents new internal and external stakeholder communications challenges. Levi Strauss CEO Chip Bergh received hate mail from customers and employees, and his family was threatened after he donated $1 million to the campaign against gun violence. Bergh defended his public donation: “[Employees and customers] may not always agree with every single position or stand that we’re taking, but they appreciate the fact that we are willing to dive into these tough issues.”
- Make sure your public position is aligned with long-term corporate brand messages so there’s a business rationale to buttress the social or political statement.
- Communicate proactively with the full range of internal and external stakeholders on why what the brand stands for is integral to the organization’s mission and growth.
- Provide a safe and confidential internal feedback channel for employees.
- Anticipate customer protests, threats of a boycott, investor backlash, and/or social media conversations.
- Prepare executives and senior staff to respond to challenging questions.
- Line up third-party supporters who are willing to validate the decision as good for both the company and its role in the broader society.
Carefully planning and coordinating the CEO’s or the company’s activist message is a better route than reacting late to criticism of the announcement or position statement.
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