2010 global reputation pulse webinar 23jun2010
TRANSCRIPT
2010 Global Reputation Pulse StudyThe Most Reputable Companies in the World2010 Global Reputation Pulse Study
Copyright © 2010 Reputation Institute. All rights reserved.The World’s Most Reputable Companies: An Online Study of Consumers in 32 Countries
Technical Information/House-Keeping
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Today’s Speaker
Nicolas Georges TradManaging Partner
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Today’s Agenda – 45min – 60min
• Introduction to Reputation Institute
• Defining and Managing Reputation
• Key Findings from the 2010 Global Reputation Pulse study
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I t d ti t R t ti I tit tIntroduction to Reputation Institute
Global Reputation Knowledge and Advice
Knowledge Center
Publications Insight
Advice Group
Publications
Conferences
Training
Insight
Strategy
Alignment
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Dual purpose
Develop and disseminate knowledge p gabout corporate reputations
through our reputation approach to enable organizations be more effective
and to create more value in theirand to create more value in their interactions with stakeholders
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Where Clients Seek Our Expertise
Strategy Reputation Platforms• Reputation Risk Architecture• Employee Alignment
Reputation LandscapesCompetitive Analysis
Strategy• Employee Alignment• Sales & Marketing Playbooks
• Competitive Analysis• Qualitative Analysis• Organizational Analysis • Marketing/Communication
Analysisy
Insight
Insight Alignment
gActivation
ValidationClosing the Stakeholder Gap• Engagement Strategy
M i & C i ti
Research
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Research• Multi-Stakeholder Research • Messaging & Communications
Creating Strategic Alignment
Vision
ReputationReputation Platform
Capabilities Expectations
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Where We Operate: “Below the line” Impact
Strategic Goals
Business Results
CorporateInitiatives
P tiPerceptions of the
company(Reputation)
Supportive Behaviors
towards the company
• Products/ServicesI ti
• Purchase products• Innovation• Workplace• Governance• Citizenship• Leadership
• Invest in company• Recommend the
company/products• Work for company
B fit f d bt
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p• Performance• Benefit of doubt
There is a link between reputation and support
80
90
70
80
mm
end
Scor
e
50
60
nts
who
Wou
ld R
ecom
30
40
Res
pond
en
Adj-R2 = 0.905
2020 30 40 50 60 70 80 90
Global Pulse Score
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Q: I would recommend 'Company' to others.Rated on a scale from “1” to “7” where “1” means “Strongly disagree” and “7” means “Strongly agree”.
High reputable companies create highest level of support
The General Public is Five Times More Likely to Support the Most Reputable Companies
Recommend Negative (1-2) Neutral (3-5) Positive (6-7) Not sure
The General Public is Five Times More Likely to Support the Most Reputable Companies
Most Reputable Companies (Top 20)
2.7% 2.6%
Least Reputable Companies (Bottom 20)
43.3% 4.2%
Q: I would recommend ‘Company’ to others
27.0%
39.7%
67.6%
12.7%
Say Something Positive
Most Reputable Companies (Top 20)
2.1% 2.2%
Least Reputable Companies (B tt 20)
40.8% 4.0%
27.6%
41 4%
68.1%
13 8%
Negative (1-2) Neutral (3-5) Positive (6-7) Not sure
(Bottom 20)
Benefit of Doubt
Most Reputable Companies (Top 20)
4.2% 6.5%
Q: I say something positive about ‘Company’
41.4% 13.8%
33.1% 56.2%
Negative (1-2) Neutral (3-5) Positive (6-7) Not sure
( p )
Least Reputable Companies (Bottom 20)
43.2% 5.1%
Q: I would give the benefit of the doubt to ‘Company’ if the company was facing a crisis
38.9% 12.8%
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D fi i d M i R t tiDefining and Managing Reputation
Defining Corporate Reputation
… that ensuresAn emotional bond…
• Your customers are loyaly• Your customers recommend you• Your partners support you• Policy makers and regulators give y g g
you the benefit of the doubt• The media looks for your point of
view• Your employees are engaged and
deliver on your strategy
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How are Corporate Reputations Measured?
Reputation is Driven by Seven DimensionsRepTrak™ measures them
Emotional Rational explanation of the emotional
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How are reputations created…
P d t I t t
Direct Experiences
B h i BusinessProductsCustomer Service
InvestmentsEmployment
Wh t C
Perceptions Behavior Business Results
BrandingPublic Relations
MarketingSocialResponsibility
What Company Says/Does
p y
What Others Say
MEDIA (Traditional, Social)
Topic Experts, Leaders,Friends/Family
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Reputation Impact of Company Touch Points
Pulse Score when ‘Yes’
Products Investments
Direct ExperiencesDirect Experience with Companies Correlates with Strongest ReputationRespondents tend to rate a company higher if they have engaged directly (by
Direct ExperienceCustomer Service
Employment
Wh t C
higher if they have engaged directly (by purchasing products or using customer service) or if they have seen or heard something straight from the corporation.
Corporate actions and initiatives positively impact the general public’s perceptions,
7.3 pts above Global Mean
BrandingP bli
MarketingS i l
What Company Says/Does
p g p p p ,as well, by an average of +4.2 points; respondents who have heard about a company from a third party tend to give only slightly higher than average ratings.
Companies who want to improve their t ti h ld i ti
Corporate Actions & Initiatives
4.2 pts above Global MeanPublic
RelationsSocialResponsibility
reputation should engage in reputingactivities and demonstrate commitment to the key dimensions through direct consumer touch points where possible. At a minimum, the call to action for direct participation in the conversation is clear –the general public wants to hear from
3rd Party Perspecti e
Global Mean
MEDIA (TraditionalSocial)
Topic Experts, Leaders,F i d /F il
What Others Saythe general public wants to hear from companies.Perspective
1.5 pts aboveGlobal Mean
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Excellent/Top Tier above 80 Strong/Robust 70-79 Average/Moderate 60-69 Weak/Vulnerable 40-59 Poor/Lowest Tier below 40
All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Pulse scores are based on questions measuring Trust, Admiration & Respect, Good Feeling and Overall Esteem (captured in the Pulse score on a 0-100 scale).
Q: In the last 12 months I have come across [COMPANY 1] in the following ways. Please select all that apply.
, Social) Friends/Family
Reputation Impact of Corporate Communications
It P t C i t R dl f R t tiIt Pays to Communicate – Regardless of Reputation
Most Reputable Global Companies
(Top 30)
Reputation Pulse Score
+ 4.0 pts ‘yes’ vs. ‘no’
Average Global C i
yes vs. no
Reputation Pulse Score
What Company Says/Does
Companies(Middle 30) + 2.8 pts
‘yes’ vs. ‘no’BrandingPublic Relations
MarketingSocialResponsibility
Least Reputable Global Companies
(Bottom 30)
Reputation Pulse Score
+ 1.2 pts ‘ ‘
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Q: In the last 12 months I have come across [COMPANY 1] in the following ways. Please select all that apply.
(Bottom 30) ‘yes’ vs. ‘no’
7 best practices
Adopt a common model for reputation management across organizational functions
Understand what the reputation dimensions and attributes mean to different stakeholders
Align corporate messaging and reputing activities with key drivers for their stakeholders
Create employee alignment with their reputation platformCreate employee alignment with their reputation platform
Create a cross-functional reputation committee to ensure coherent actions
Monitor reputation with different stakeholders against relevant competitors
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Integrate reputation management into the business process
2010 Gl b l R t ti P l R lt2010 Global Reputation Pulse Results
Global Reputation Pulse Study 2010
Wave 1: Country Rankings of Wave 2: The World’s MostWave 1: Country Rankings of the Largest Corporations• Measurement of the largest 600
corporations in 32 countries
Wave 2: The World s Most Reputable Companies
• Measurement of the 54 most reputable global corporations, p
• General public in each company’s headquarters country
p g p ,which ranked highly in wave one
• General public in each of 24
• Online Survey: January and February, 2010
countries where the study was fielded
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• Online Survey: April and May 2010
Reputation Institute media coverage…
F b di t th Gl b l R t ti P l t d dForbes our media partner on the Global Reputation Pulse study and on May 24, Reputation Institute and Forbes released the results of the 2010 study of the World's Most Reputable Companies, the first ever study of its kind.
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The World’s Most Reputable Companies 2010
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Key Takeaways from Global Reputation Pulse 2010
C t R t ti h t i t b i lt H i t t ti i ld• Corporate Reputation has strong impact on business results. Having a strong reputation yields more recommendation, more benefit of the doubt and purchase than ever before
• Almost 80% of reputation is driven by other factors than a company’s Products and Services
• Exporting a Strong Home Country Reputation is Difficult - Of the 28 companies with strong reputations, 10 companies have global reputations that are on par with or slightly better than their home country reputations.
• Google, Sony, The Walt Disney Company, Daimler, Apple, Nokia, Volkswagen, Intel, Microsoft, and IBM ll bl t i t i th hi h l l l b ll hi h i th titi d t iIBM are all able to maintain the same high level globally which gives them a competitive advantage in the increasingly global marketplace.
• No companies break the 80 point mark globally when examined across a 24 market global reputation pulse scale - the threshold for excellence.
• Companies can impact their Reputation – regardless of their current situation
• Direct experience with a company has the strongest impact on reputation; corporate communications h iti ff t b th f i ith t d k t tihas a positive effect both for companies with strong and weak reputations
• Highly reputable companies get best return on communications: respondents who have seen, read or heard something from top companies tend to give scores 4 points higher
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• Even low-ranking companies see slightly higher scores from respondents who have seen, read or heard company communications
The World’s Most Reputable Companies 2010Reputation
Rank Company Pulse Score1 Google 78.62
2 Sony 78.47
3 The Walt Disney Company 77.97
4 BMW 77.77
5 Daimler (Mercedes-Benz) 76.83
6 Apple 76.29
7 Nokia 76.00
8 IKEA 75.60
9 Volkswagen 75.55
10 Intel 75.39
11 Microsoft 74.47
12 Johnson & Johnson 74.12
13 Panasonic 73.67
14 Singapore Airlines 73.54
15 Phili El t i 73 3115 Philips Electronics 73.31
16 L'Oreal 73.17
17 IBM 73.03
18 Hewlett-Packard 72.67
19 Barilla 72.45
20 Nestlé 72 37
Excellent/Top Tier above 80 Strong/Robust 70-79 Average/Moderate 60-69
20 Nestlé 72.37
21 Ferrero 72.36
22 Samsung Electronics 71.62
23 FedEx 70.84
24 Honda Motor 70.82
25 The Coca Cola Company 70 40
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gWeak/Vulnerable 40-59
Poor/Lowest Tier below 40
25 The Coca-Cola Company 70.40
26 Carlsberg 70.31
27 Procter & Gamble 70.21
28 UPS 70.07
Top 5 Companies in Each Global Region
AsiaCentral Europe
81.35 80.52 79.92 79.13 78.99 77.0674.31 73.94 73.89 73.62
Sony BMW Google Volksw agen Daimler(Mercedes
The WaltDisney
Daimler(Mercedes-
BMW Sony SingaporeAirlines
(Mercedes-Benz)
Company Benz)
Northern EuropeCentral & South AmericaNorth America
82.5280.22 79.39 79.10 77.86 80.10 79.62 79 24 78 49 78 20
81.93 81.18 79.22 79.05 77.63
Johnson & Google Nestlé The Walt Sony
79.24 78.49 78.20
Google IKEA Sony The WaltDisney
SingaporeAirlines
Excellent/Top Tier above 80 Strong/Robust 70-79 Average/Moderate 60-69 Weak/Vulnerable 40-59 Poor/Lowest Tier below 40
All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Pulse scores are based on questions measuring Trust, Admiration & Respect, Good Feeling and Overall Esteem (captured in the Pulse score on a 0-100 scale).
Johnsong
DisneyCompany
yNestlé Sony Google BMW Johnson &
Johnson
DisneyCompany
Airlines
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What Drives Reputation around the World?
Each of the Seven Dimensions of the RepTrak™ Model Drive Corporate ReputationTo earn trust, admiration, good feeling and support companies need to address all seven dimensions of reputation. Globally, each dimension alone accounts for over 12 percent of reputation.
13.2% 20.3%Products/Services, Innovation and Governance are Key DriversThe most influential dimensions for the most reputable global companies are Products/Services, Innovation and Governance. If key international players can make the general public perceive them well on these dimensions overall reputation and support will improve. If they do not perform well in these areas stakeholder support will suffer.
12.1% 14.2%
13 5% 12 6%
Different Drivers Around the WorldRegionally, Governance was more of a focus in North America and Northern Europe, while Central & South America and Central Europe were more strongly influenced by Innovation when determining a company’s reputation.
This indicates that companies need to adapt to local needs in order to build
14.1%
13.5% 12.6%excellent reputations and only the companies that understand how to be relevant on a local level will build strong reputations on a global scale.
Building a Broad Reputation PlatformSince all dimensions of reputation impact corporate reputation, top companies must exhibit strength in all seven areas. The future reputation battle will be fought on a platform that has more than just a focus on price
Q Prod ct/Ser ices 'Compan ' offers high q alit prod cts and ser ices it offers e cellent prod cts and reliable ser icesF acto r A djusted R egressio n
battle will be fought on a platform that has more than just a focus on price and quality of products and services. Consumers want to understand companies behind their brands; and telling the corporate story leads to support.
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Q: Product/Services: 'Company' offers high quality products and services -- it offers excellent products and reliable servicesQ: Innovation: 'Company' is an innovative company -- it makes or sells innovative products or innovates in the way it does businessQ: Workplace: 'Company' is an appealing place to work -- it treats its employees wellQ: Governance: 'Company' is a responsibly-run company -- it behaves ethically and is open & transparent in its business dealingsQ: Citizenship: 'Company' is a good corporate citizen -- it supports good causes & protects the environmentQ: Leadership: 'Company' is a company with strong leadership -- it has visible leaders & is managed effectivelyQ: Performance: 'Company' is a high-performance company -- it delivers good financial results
n =Adj R2 =
172,875
0.719
Reputation Drivers Across Vary across Countries
14.9%13.7%
Finland
18.1%12.7%
United States
25.1%9.1%
Greece
10.9%11.3%
19 1%15 0%
18.1%12.7%
13.2%12.8%
13 3%14 2%
25.1%9.1%
15.8%10.4%
12 3%13 9%19.1%15.0%
15.1%
India
13.3%14.2%
15.7%
China
12.3%13.9%
13.4%
15.8%15.4% 17.6%12.7%
13.1%14.4%
13.2%13.0%
15.1%
13.6%13.1%
14.3%14.0%
14 7%
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14.7%
What Do Your Key Stakeholders Want From You?
Policy/Regulators Opinion ElitesEmployees
K I fl CBusiness CustomersKey Influencers Investment Community
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2010 Global Industry Reputations
Is Your Industry Helping or Hurting You?Industry reputations can directly impact assumptions made about individual corporations, especially in industries where, historically, the key players have not engaged with the public. Even though perceptions of an industry can drag down reputation or boost it up, companies can differentiate from the pack by meeting or
Consumer Products (15)
Food Manufacturing (18)
Retail - Food (24)
Industrial Products (12)
Computer (15)
75.47
74.43
72.28
72.24
71.90 up, companies can differentiate from the pack by meeting or exceeding expectations in the areas most important to consumers.
Consumer Products and Food Companies Most ReputableOverall in 2010, the general public reports the highest level of trust in the companies in the Food Manufacturing, Consumer
p ( )
Electrical & Electronics (22)
Retail - General (46)
Beverage (13)
Automotive (32)
Pharmaceuticals (12)
71.22
67.50
67.49
70.65
70.32
Products and Retail – Food industries. Industrial Products and Computer round out the top five industries .
Companies in Food Industries ImproveFrom 2009, Food Manufacturing and Retail – Food companies have seen their average Pulse score increase by 4.69 and 3.17 points respectively Both industries had average reputations in
Conglomerate (19)
Airlines & Aerospace (23)
Raw Materials (27)
Services (13)
Transport & Logistics (15)
67.30
67.26
66.06
66.04
65.87points, respectively. Both industries had average reputations in the moderately-strong range in 2009 and now rank among the top three global industries.
Tobacco and Beverage See Greatest DeclinesAgain securing the last-place ranking, the global Tobacco industry’s average Pulse score dropped 4.4 points. Beverage
Chemicals (6)
Energy (54)
Utilities (30)
Construction & Engineering (15)
Information & Media (11)
65.29
64.96
63.58
62.71
62.35
Global Mean64.20
companies also saw their average Pulse score drop, 2.07 points, falling from the second place ranking in 2009. As the economy recovers, financial services companies and banks, on average, saw only slight declines (-.78 and -.65, respectively) while the global insurance industry actually improved 3 points from 2009.
Financial - Insurance (40)
Financial - Bank (72)
Telecommunications (37)
Financial - Diversified (25)
Tobacco (4)
61.84
61.07
60.88
58.11
51.24
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Excellent/Top Tier above 80 Strong/Robust 70-79 Average/Moderate 60-69 Weak/Vulnerable 40-59 Poor/Lowest Tier below 40
All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Pulse scores are based on questions measuring Trust, Admiration & Respect, Good Feeling and Overall Esteem (captured in the Pulse score on a 0-100 scale).
Top 10 Globally within Products/Services & Innovation
InnovationProducts/Services
AppleBMW 84.04 82.52
Volksw agen
Sony
Sony
Apple Microsoft
83.26
82.93
82.13
80.00
79.23
78.89
Nokia
IKEA
Intel
Nokia
Google Intel81.99
81.15
80.62
78.08
77.39
76.89
Microsoft Volksw agen
Vodafone BMW
VodafoneUPS 79.50
79.12
80.48
76.16
74.62
76.74
Copyright © 2010 Reputation Institute. All rights reserved. 31
All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Q: Product/Services: 'Company‘ offers high quality products and services -- it offers excellent products and reliable servicesQ: Innovation: 'Company' is an innovative company -- it makes or sells innovative products or innovates in the way it does business
Top 10 Globally in Workplace, Governance, Citizenship
CitizenshipGovernanceWorkplace
Google Google Vodafone72.86 74.40 69.44
Microsoft
Apple
BMW
Vodafone
BMW
Sony
IKEA
Microsoft
70.42
69.80
69.26
73.51
73.19
73.04
68.76
68.46
67.91
Vodafone
Sony
V lk
y
Apple
IKEA
V lk
Apple
Sony
J h & J h
68.90
68.08
67 97
72.93
72.30
71 60
66.29
65.99
65 82
Nokia
Volksw agen
Intel
IBM BMW
Volksw agen
UPS
Johnson & Johnson
Nokia
66.92
67.97
67.43
71.44
71.60
71.48
65.11
65.82
65.34
UPS UPSMicrosoft66.68 71.25 64.76
Copyright © 2010 Reputation Institute. All rights reserved. 32
All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Q: Workplace: 'Company' is an appealing place to work -- it treats its employees wellQ: Governance: 'Company' is a responsibly-run company -- it behaves ethically and is open & transparent in its business dealingsQ: Citizenship: 'Company' is a good corporate citizen -- it supports good causes & protects the environment
Top 10 Globally in Leadership and Performance
PerformanceLeadership
MicrosoftMicrosoft
Apple Apple
80.31
79.09
81.38
80.15
Vodafone
Daimler (Mercedes Benz)
Vodafone
BMW
Google78.48
76.90
76 75
80.11
78.90
78 63
BMW
IKEA
IKEA
Daimler (Mercedes-Benz)
Sony
BMW 76.75
75.92
75.81
78.63
77.78
77.73
Intel Nokia
SonyNokia
Volksw agen Intel
74.72
74.41
75.76
76.76
76.54
76.86
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All Global Pulse scores that differ by more than +/-0.5 are significantly different at the 95% confidence level.
Q: Leadership: 'Company' is a company with strong leadership -- it has visible leaders & is managed effectivelyQ: Performance: 'Company' is a high-performance company -- it delivers good financial results
Case Study: Assicurazioni Generali (Italy)
R T k P l & Di i SRepTrak Pulse & Dimension ScoresAssicurazioni Generali (2007-2010)
65.2066.04
60.50
72.65
61.9963.87
56 97
70.37
59.23
65.1068.12 69.56
66.00
60.22
72.18
62.0162.70
68.0571.01 71.07
63.80
75.75
68.0 70.6
63.5
78.4
61.5163.00
70.47
70
80
56.97 56.19 56.2856.49
30
40
50
60
2007 2008 2009 2010n = 121 130 97 105
RepTrak Pulse Products & Services Innovation Workplace Governance Citizenship Leadership Performance
20
30
2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010
n 121 130 97 105
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Case Study: Deutsche Bank (Germany)
RepTrak Pulse & Dimension ScoresDeutsche Bank (2007-2010)
75
60.83
53.59 54.99
58.2555.62
54.1455.88
58.64
54.8357.71 56.63 56.86
64.50
70.0
64.4
69.1
54.59 55.44
65
40.83
51.28
40.12
51.6050.03
39.45
36.72
51.74 51.57
45.9547.86 49.0
51.30
45.0445
55
2007 2008 2009 2010n = 137 117 88 91
RepTrak Pulse Products & Services Innovation Workplace Governance Citizenship Leadership Performance
352007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010
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Case Study: Mitsubishi Motors (Japan)
RepTrak Pulse & Dimension ScoresMit bi hi M t (2007 2010)Mitubishi Motors (2007-2010)
42 88
50.74
47.42
57.02
47.3549.65
48.33
44.08
51.1549.5
51.19
50
60
32.73
33.85
42.8841.12
37.60
33.27 33.67
38.62
32.7434.31
38.84
29.9027.17
37.87 37.24
34.3735.8
35.0
41.1
29.5330.51
40.63
30
40
2007 2008 2009 2010
RepTrak Pulse Products & Services Innovation Workplace Governance Citizenship Leadership Performance
202007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010 2007 2008 2009 2010
2007 2008 2009 2010n = 111 106 110 107
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You can’t manageYou can t manage what you don’t measure...
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Start working with reputation in your organization
Get Started with Reputation Management
• Contact us to start a conversation and learn how we help companies build stronger relations with their stakeholderscompanies build stronger relations with their stakeholders
• Find out if we already measured your company’s reputation in the Global Reputation Pulse study - get your results and p y g yunderstand your reputational strengths and risks
• Engage with our team to begin a systematic approach to reputation management
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About Reputation instituteReputation Institute is the world’s leading reputation consulting firm. As a pioneer in the field of brand and reputation management, Reputation Institute helps companies build b tt l ti ith t k h ldbetter relations with stakeholders.
With a presence in 30 countries, Reputation Institute is dedicated to advancing knowledge about reputation and shares best practices and current research through client engagement, memberships, seminars, conferences, and publications such as Corporate Reputation Review and Reputation Intelligence. p p p g
Reputation Institute’s Reputation Pulse is the largest study of corporate reputations in the world, identifying what drives reputation and covering more than 1,500 companies from 34 countries annually. Reputation Institute provides specific reputation insight from more than 15 different stakeholder groups and 24 industries, allowing clients to create tangible value from intangible stakeholder feelingsvalue from intangible stakeholder feelings.
Visit ReputationInstitute.com to learn how you can unlock the power of your reputation. For more information on Global Reputation Pulse, e-mail [email protected]
www.ReputationInstitute.com
Australia • Bolivia • Brazil • Canada • Chile • China • Colombia • Denmark • France • Germany • GreeceIndia • Ireland • Italy • Japan • Malaysia • Netherlands • Norway • Peru • Portugal • Russia • South Africa
Spain • Sweden • Switzerland • Turkey • Ukraine • United Arab Emirates • United Kingdom • United States
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p