Nicolas Trad, Managing Partner, Reputation Institute Reykjavik 2006

1. Nicolas Trad, Managing Partner, Reputation Institute Reykjavik 2006 By Reputation Institute 2006

2. Reputation Institute concepts Global reputation results: RepTrak Pulse By Reputation Institute 2006

3. Reputation Institute concepts Global reputation results: RepTrak Pulse By Reputation Institute 2006

4. RI – A thought leader with global authority • Books • Quarterly magazine • Membership network • Research By Reputation Institute 2006

5. RI – a leading reputation consulting group By Reputation Institute 2006

6. Purpose of Reputation Consulting:To focus all communications & initiatives Before RC After RC CEO CM MC CEO CRO VP, Mkg VP, Comm. VP, Mkg VP, Comm. VP HR. RM Strategy VP HR Ad PR Mkg. Con Ad CM PR Dir. Mkg Mkg. Con Dir. Mkg By Reputation Institute 2006

7. Reputation Management isn’t about SPIN… You need to balance perception and reality. Reputation: Comes from both Reality & Perceptions Change is required to alter ‘reality’ and minimize reputational risk. RISKS Good Action is required to capitalize on good reality and overcome poor perceptions. Perceptions Bad OPPORTUNITIES Bad Good Reality By Reputation Institute 2006

8. Good reputations create economic value Strategic Objectives Strategic Initiatives Performance By Reputation Institute 2006

9. Good reputations create economic value Strategic Objectives Strategic Initiatives Performance Reputation of a company Stakeholder Support for the Company • Innovation • Offerings • Workplace • Performance • Citizenship • Governance • Leadership – Buy product/service – Recommend – Trust – Invest – Verbal support By Reputation Institute 2006

10. You can’t manage what you don’t measure… RepTrak™ Model By Reputation Institute 2006

11. Reputation is built on 7 dimensions RepTrak Pulse RepTrak™ Model By Reputation Institute 2006

12. Crises affect Lower Reputation Companies more Significantly Crisis Strikes Higher Reputation Companies Index of Adjusted Market Returns % Lower Reputation Companies A Study that Compared 17 Crises Demonstrates that Significant Financial Value is Lost for all Firms, but Hits Lower Reputation Companies more Significantly Source: D. Petty, Corporate Reputation Review,2001 By Reputation Institute 2006

13. Reputation Institute Global reputation results: RepTrak Pulse By Reputation Institute 2006

14. Over 95,000 Consumers Ratings in 25 Countries The Global RepTrak™ Pulse 2006 measured over 700 corporate reputations in 25 of the World’s largest countries By Reputation Institute 2006

15. Global Industry Reputations Industry reputation differ Telecommunications - worst reputation in the world Electronics -the best reputation in the world By Reputation Institute 2006

16. Top Managers are very importantin creating a strong reputations Q: Top managers have a strong effect on the reputations of their companies Top 2 box ratings (6,7) By Reputation Institute 2006

17. Unethical behavior impacts buying behavior Lack of ethical leadership heavily influences supportive behaviors and performance Ethical behavior is a risk and an opportunity Q: In the past I have refused to buy the products of a company whose top managers had behaved unethically Top 2 box ratings (6,7) By Reputation Institute 2006

18. Leadership is a driver in attracting employees Strong and appealing leaders can be used as a competitive advantage in attracting new employees The role of the leader varies around the world Q: I would prefer to work for a company with a strong and appealing leader Top 2 box ratings (6,7) By Reputation Institute 2006

19. Leaders are not trusted by the general public around the world Leaders are not to be trusted Developing countries have the highest trust A major opportunity since trust is low Q: Most companies are run by respected leaders Top 2 box ratings (6,7) By Reputation Institute 2006

20. Scandinavian Companies included in the Global RepTrak Pulse 2006 RepTrak™ Pulse in FINLAND • Fortum • Kesko Group • Kone • Metso • M-real • Nokia • Outokumpu • Sampo • Stora Enso • UPM-Kymmene RepTrak™ Pulse in DENMARK • A.P. Møller - Mærsk • Arla Foods • Carlsberg • Danisco • Danish Crown • Danske Bank • Egmont • ISS • JYSK • LEGO • Lundbeck • TDC • Vestas RepTrak™ Pulse in SWEDEN • Coop • Electrolux • Ericsson • Hennes & Mauritz • ICA • IKEA • Nordea • SCA • SEB • Skandia • Skanska • Sony Ericsson • TeliaSonera • Vattenfall • Volvo Personvagnar RepTrak™ Pulse in NORWAY • Aker • Coop • DnB Nor • Hydro • Norske skog • Orkla • Rema 1000 • Statoil • Storebrand • Telenor • Veidekke By Reputation Institute 2006

21. And the winners are… RepTrak™ Pulse in FINLAND RepTrak™ Pulse in DENMARK RepTrak™ Pulse in SWEDEN RepTrak™ Pulse in NORWAY By Reputation Institute 2006

22. Reputation IS important for driving supportive behaviors of your stakeholders You HAVE to create balance between perception and reality Top management reputation is very importantin creating a strong reputations Currently there is LITTLE trust in top management Its important to work with repuation consulting to secure that all parts of the organisation work in the same direction Take aways… By Reputation Institute 2006

23. RI’S NEXT INTERNATIONAL CONFERENCE OSLO, NORWAY – MAY 2007 WWW.REPUTATIONINSTITUTE.COM By Reputation Institute 2006