CEO Activism
/Weber Shandwick's third annual report explores CEO activism, which Brian Moynihan, CEO Bank of America, defines and supports:
“Our jobs as CEOs now include driving what we think is right. It’s not exactly political activism, but it is action on issues beyond business.”
The report found that almost half of Americans "believe CEO activism influences the decisions and actions of government," and almost half of consumers "would be more likely to buy from a company led by a CEO who speaks out on an issue they agree with." Millennials, particularly, prefer CEOs to speak out on issues, and CEOs with more social media accounts have better stock performance for their company.
A Wall Journal Street writer observes that leaders rarely make a business case for issues, even if their company would benefit. Instead, they are speaking to consumers directly to change hearts and minds.
Top issues for CEOs include training, equal pay and sexual harassment, and CEOs are avoiding gun control, nationalism, marijuana legalization, and abortion."
A Forbes article offers this advice for CEOs:
- Develop an authentic voice and quick actions
- Connect your customers with your activism efforts
- Align activism efforts with a company’s mission
- Be willing to act against your own self-interest
Discussion:
- What are the risks and rewards of activism to a CEO and to the company? How does integrity factor in?
- What examples have you seen of CEOs speaking out? How do you assess the situations? How did you feel about the gestures?
- Read the Weber PPT deck. What principles of business report writing are followed, and what could be improved?
