Persuading the CEO with effective communication

1. Persuading the CEO with effective communication IABC/Charlotte Society of Human Resource Management (SHRM) David C. Kistle, ABC IABC Chairman Padilla Speer Beardsley, Minneapolis, MN

2. What CEOs do? • Lead the company – goals, vision, direction, results, strategy • Accountable for success or failure • Inspire and motivate • Report on progress – to employees, shareholders, customers, media, legislators • Define the culture – bad news, ethical dilemma, problem solving, relationships, commitments

3. How do we judge CEOs? • Actions/words – what they say is what they do • Past performance/accomplishments and qualifications • Financial results • Trust, respect and reputation • Leadership style • Decisions and how they make them

4. Communication and persuasion • Decision-making styles • Information-seeking styles • Principles of persuasion • Building your case and selling your ideas • Skills for success

5. Decision-making stylesChange the way you persuade - Gary A. Williams and Robert B. MillerHarvard Business Review 2002 • Charismatic • Follower • Skeptic • Thinker • Controller

6. Survey of decision-making styles

7. Follower (36%) • Who: Carly Fiorina, Peter Coors • Decisions: Past experience; trust others • Risk tolerance: Moderate but generally averse • Characteristics: Responsible, cautious, brand-driven, bargain conscious • Buzzwords: innovate, expedite, expertise, previous, similar to

8. Charismatic (25%) • Who: Lee Iacocca, Herb Kelleher • Decisions: balance information with emotion • Risk: Very high; willing to take on new ideas • Characteristics: enthusiastic, captivating, talkative, dominant • Buzzwords: results, proven, actions, clear, focus, watch

9. Skeptic(19%) • Who: Larry Ellison, Steve Case • Decisions: DATA – about which they are suspicious especially when it challenges their own worldview • Risk: Very low • Characteristics: demanding, disruptive, disagreeable, rebellious, aggressive, • Buzzwords: feel, grasp, power, demand, disrupt, suspect

10. Thinker (11%) • Who: Bill Gates, Michael Dell • Decisions: supported by data • Risk: Low and slow • Characteristics: cerebral, intelligent, logical and academic • Buzzwords: quality, academic, expert, proof, plan

11. Controller (9%) • Who: Ross Perot, Martha Stewart • Decision: just the facts • Risk: weighed by facts • Characteristics: logical, unemotional, detail-oriented, accurate, analytical • Buzzwords: details, facts, logic, power, handle, just do it “Facts are our friends” Jodi Glore, former CEO, Rockwell Automation

12. David RadcliffeCEO Hogg Robinson plc2004 IABC/Europe Excel winner “Although strategic direction must come from the top, ongoing achievement of a good corporate communications programme is dependent on the contribution of people at all levels of the company whose feedback, ideas and suggestions are absolutely priceless.”

13. Mark HurdCEO Hewlett-Packard2005 IABC/ Excel Award winner • “Mark is an operator and likes to roll up his sleeves and work with his team and his customers and spend time with employees," Dunn said. "To the extent he feels it's appropriate to be visible, he will be - but he focuses on getting the job done." HP Chairman, Patricia Dunn (reported in Washington Post March 29, 2005)

14. HP employee’s challenge to Mark Hurd http://theinquirer.net/?article=22286 An open letter to HP's Mark Hurd: Opinion The things I think need fixing By Charlie Demerjian: Friday 01 April 2005, 15:44 HP HAS CHOSEN the new guy, Mark Hurd from NCR, and he comes in with nothing but good reviews and $20 million. It is so tempting to say there is nowhere to go but up from Carly. There are a lot of lingering problems from the savaging the company took at the hands of the previous mismanagement. The following are things I think Mr Hurd should address, in no particular order: A) MoraleB) Channel restorationC) R&DD) Execu-PurgeE) Reinforce Customer ExpectationsF) Sales Staff Compensation

15. Open letter to Mark Hurd - 2 The first one, morale, is probably the most important, but the easiest. The grunt work is done, Carly is gone. There really was dancing in the cube farms, even if some don't want to stick by their stories. The trick here is to keep morale up until you can fix everything else. The afterglow will wear off sooner rather than later, but since you were not associated with HP, Compaq, Lucent or Carly in any way, shape or form, you have more time. The first thing to do here is to distance yourself from the policies of the past. Stand up and have the guts to admit that your predecessor screwed up both in a way and in a scope that we have previously only associated with governments. Apologise to the people who were wronged, both inside the company and out. Then restore the bonuses.

16. Information-seeking stylesJohn Boe, sales trainer and motivational speaker • The Aggressive • The Expressive • The Passive • The Analytical

17. Aggressive – bottom line worker • Ask: “What”? • Value: achievement • Fear: loss of control • Buzzwords: control, flexibility, speed, results, goals, hands-on, immediate

18. Expressive – emotional talker • Ask: “Who”? • Value: recognition • Fear: loss of prestige • Buzzwords: creative, simple, new, adventure, fun, exclusive, incredible

19. Passive, harmonious watcher • Ask: “How”? • Value: appreciation • Fear: conflict • Buzzwords: dependable, caring, support, family, harmony, relationship, concern

20. Analytical, cautious thinker • Ask: “why”? • Value: accuracy • Fear: incompetence • Buzzwords: proven, quality, reliable, accurate, perfect, guaranteed, efficient

21. Principles of PersuasionInfluence at Work,Dr. Robert Cialdini, Arizona State University • Rule of reciprocity • Favors and concessions • Commitment and consistency • Social proof • Uncertainty and similarity • Authority • Liking • Scarcity • Deadline • Urgency

22. Build your case; sell your ideas • Know the CEO inside and out • Align with personal and corporate interests • State the purpose • How does this help us? • How does it fit with our business strategy and goals? • What, why, how, who? • Discuss ends not means – “Covey: begin with the end in mind” • Result • Risk/opportunity • Consequences

23. Build your case - 2 • Do your homework • Bring proof -- data • Reference supporters • Play to decision-making and information-seeking styles • Language • Fears • Values • Risk tolerance • Be Brief • High level, results-oriented presentation • Headlines and sound bites

24. Success skills • Business/Management • Finance • Strategic planning • Operations • Marketing • Packaging • Negotiating • Psychology • Learning • Persuasion • Motivation

25. Success skills - 2 • Communication • Writing and speaking • Corporate/organizational “sound bites;” carefully chosen words • Metaphors versus facts and charts

26. The Competency Factors:Source: Communication Competence and Business Success (2001) • Clarity of purpose • Effective interfaces • Effective information sharing • Consistent leader behaviour and communication • Additionally: • Focus on goals • Backing by leaders • Adequate proactive planning • Multidisciplinary management • Multiple channels of communication – the right combination

27. Discussion / Questions David C. Kistle, ABC Padilla Speer Beardsley 1101 West River Parkway -- #400 Minneapolis, Minnesota 55415 612-455-1718