Battling misperceptions & negative attitudes under clouds of mistrust

Lessons from the front line

BudapestThursday, November 12, 2009

Mike Seymour International Director, Crisis & Issues Management

Edelman Global Crisis & Issues Management Network

DUBLINDUBLINJoe Joe CarmodyCarmody

CHICAGOCHICAGOHarlan LoebHarlan LoebGary DunlapGary Dunlap

MEXICO CITYMEXICO CITYGonzalo OlivaresGonzalo Olivares

WASHINGTON,DCWASHINGTON,DCCharles BakalyCharles BakalyFrank KauffmanFrank Kauffman

NEW YORKNEW YORKMichael EstevezMichael Estevez

MILANMILANSergioSergio VenezianiVeneziani

TORONTOTORONTOJohn McHughJohn McHughShane DolginShane Dolgin

FRANKFURTFRANKFURTFrank SchoenrockFrank SchoenrockHAMBURGHAMBURGCornelia KunzeCornelia Kunze

PARISPARISAlexis VolanovAlexis Volanov

LONDONLONDONMike SeymourMike SeymourScott ThomsonScott Thomson

MADRIDMADRIDVeronica BarrancoVeronica Barranco

SYDNEYSYDNEYNic JarvisNic JarvisAmanda Amanda LittleLittle

SÃO PAULOSÃO PAULORonald MincheffRonald Mincheff

BUENOS AIRESBUENOS AIRESAllan McCrea SteeleAllan McCrea Steele

LOS LOS ANGELESANGELESAlex ClarkAlex Clark

KUALA LUMPURKUALA LUMPURKaren HohKaren Hoh

MELBOURNEMELBOURNEDavid McCarthyDavid McCarthy

AMSTERDAMAMSTERDAMLaetitia GruwelLaetitia Gruwel

STOCKHOLM (Nordic STOCKHOLM (Nordic Hub)Hub)Håkan JarleniusHåkan Jarlenius

BEIJINGBEIJINGCharles LankesterCharles LankesterKevin WangKevin Wang

SHANGHASHANGHAIITony ToaTony Toa

BRUSSELSBRUSSELSMaha DhurairajMaha Dhurairaj

SEOULSEOULTyler KimTyler KimElisabeth Elisabeth BaeBae

MIAMIMIAMISteve BehmSteve BehmOrlandoOrlandoLaura GuitarLaura Guitar

MUMBAI MUMBAI (Bombay)(Bombay)Allwyn Allwyn FernandesFernandes

SINGAPORESINGAPOREBob GroveBob GroveMichelle AngMichelle Ang

TOKYOTOKYOThomas Thomas ZengageZengageMargaret KeyMargaret Key

T’AIPEIT’AIPEILume LiaoLume Liao

HONG KONGHONG KONGCharles Charles LankesterLankesterDamian CooryDamian Coory

BARCELONABARCELONAAlex Perez Alex Perez AlvarezAlvarez

CAPE TOWNCAPE TOWNFrançois BairdFrançois Baird

SEATTLESEATTLEJim BlundellJim BlundellJason HunkeJason Hunke

SAN SAN FRANCISCOFRANCISCOJay PorterJay Porter

International International Director:Director:Mike SeymourMike SeymourLONDONLONDON

DALLASDALLASTeresa HendersonTeresa HendersonDeron SmithDeron Smith

ATLANTAATLANTASteve Steve BehmBehm

SACRAMENTOSACRAMENTOSteve TellianoSteve Telliano

JAKARTAJAKARTAChadd McLiskyChadd McLisky

WARSAWWARSAWMikołaj Piotrowski

VANCOVERVANCOVERPatti Schom-Moffatt Patti Schom-Moffatt

MOSCOMOSCOWWViacheslaViacheslav v TikhomiroTikhomirovv

GUANGZHOUGUANGZHOURoxanne WuRoxanne Wu

MONTREALMONTREALWilliam GeorgeWilliam George

SILICON SILICON VALLEYVALLEYTodd IrwinTodd Irwin

PORTLANDPORTLANDErin HollandErin Holland

AUSTINAUSTINDaniele AllanDaniele Allan

US Director:US Director:Harlan LoebHarlan Loeb

November 2009

2009 Edelman Trust Barometer

2008: A year unlike any other

Dow Jones Industrial Average: Jan 1, 2008 – Dec 15, 2008

Edelman Trust Barometer at a glance

Tenth edition

4,475 people in 20 countries on 5 continents

Ages 25 to 64

College-educated

In top 25% of household income per age group in each country

Report significant media consumption and engagement in business news and public policy

The Never Changing First Management Challenge

Increased NoiseIncreased Noise

Lack of realInformation

Lack of realInformation

SurpriseSurprise

Pyramid of Influence Sphere of Cross Information

Opinion Forming Elite

From Influence to Conversations

New ModelOld Model

Balancing Conventional against Online Media

Horizontal peer-to-peer model

Traditional top-down model

• Bloggers• Passionate Consumers• Employees

• Regulators• Experts• Investors• CEOs

ENGAGE

TALK

Characteristics of Issues & Crisis Management & Communications

Issues and problems in the public domain

When perceptions become more powerful than reality

When communication vacuums are filled with rumour, speculation, allegations & accusations

Winning Back Trust & Re-Building Reputation - The Crisis Realities

In crisis communications cease to be about wresting back & maintaining control & must now focus on:

Listening & understanding internal & external points of view

Responding & communicating

Openly transparently

Consistently, everywhere, all the time

Winning Back Trust & Re-Building Reputation - The Crisis Realities

In crisis communications cease to be about wresting back & maintaining control & must now focus on:

Listening & understanding internal & external points of view

Responding & communicating

Openly transparently

Consistently , everywhere, all the time

In crisis the corporate suite has to realise that

Silence is never golden – it breeds suspicion & erodes trust

No comment in any form has now come to be interpreted as obfuscating, hiding the truth or lying

Battling misperceptions & negative attitudes under clouds of mistrust

Lessons from the front line

BudapestThursday, November 12, 2009

Mike Seymour International Director, Crisis & Issues Management