FOUNDER, ON POINT CEO, ISOBAR THE 2020 CMO, LEADING ... BUS… · MARKETERS OFTEN STRUGGLE IN THE BOARDROOM 15 CMOs have the shortest tenure (months) CMO: 48 CIO: 64 CFO: 71 CEO:

KARL WEAVERCEO, ISOBAR

THE 2020 CMO, LEADING BUSINESS TRANSFORMATION

RUTH SAUNDERSFOUNDER, ON POINT

THE WORSHIPFUL COMPANY OF MARKETORS BUSINESS LECTURE4 JULY 2018

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BEING TRANSFORMATIONAL:

A SILO BUSTINGSYSTEMS INTEGRATOR

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A SILO BUSTING SYSTEMS INTEGRATORInnovation is accelerated by connecting

Brand

ConsumerData/Tech

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WHAT IS HAPPENING:

FLIP OF BRAND DYNAMICEXPERIENCE IS CODIFYING THE BRAND

BUSINESS TRANSFORMATION, NOT DIGITAL

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WHERE THE VALUE COMES FROMInnovation and marketing

More profit

Brand

Innovation

More products

Revenue growth

Less trade spend

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CUSTOMER EXPERIENCE DRIVES VALUE5 year stock performance of CXI leaders vs laggards S&P 500

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23

-1

-46

-60

-40

-20

0

20

40

CXI leaders S&P 500 index CXI laggards

Source: Forrester Research/Watermark Consulting

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YET THE WORLD IS NOT LIKE THIS

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WORLDS APARTPoor customer experience is limiting brand value generation

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80%8%

Source: Bain Consulting

…of CEOs believe their CX is superior …of their customers agree

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MARKETERS ARE LOOKING THE OTHER WAYLack of a holistic understanding of the marketing system and relevant KPIs

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CR

M

Soci

al

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BUSINESS NOT VIEWED AS A SYSTEMOperational transformation is needed between strategy and activation

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FOUNDATIONS03

SUSTAINABLE

INCREMENTAL

PROFITABILITY

What is the client trying to do?

WIN new customers, KEEP existing ones, DEVELOP

new products/services or reduce COSTS?

What is the priority?

How is the client trying to meet their priority? How

effective are their functions?

Are there any problem areas?

If the functional areas are fine, does the client’s

issue lie in their foundations, perhaps their Data or

even their People & Culture?

ENABLERS02

EXECUTION01

Source: © The Customer Framework, part of the Dentsu Aegis Network, The SCHEMA® Model

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SOCIETY HAS DIGITAL IN THE DOCKOverall 54% of people believe the pace of technological change is too fast

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65%

35%33%

30% 29%26%

23% 22% 22%18% 18%

China France Russia Spain Global Italy United States Japan Australia United

Kingdom

Germany

Source: Dentsu Aegis Network, Digital Society Index 2018. % people agreeing that emerging digital technologies (e.g. AI, robotics)

will create job opportunities over the next 5 to 10 years

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ORGANISATIONAL PARALYSISRisk aversion at a time when transformation is needed more than ever

NEED…

• Brand is a key intangible

• Risk aversion

• Clients want to own brand experience

BUT…

• Innovation investment is constrained

• Make a TV ad and you will get fired

• Not enough skills to in-house

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A BRAND’S POV HAS TO BE EXPRESSED THROUGH A DIFFERENTIATED AND CONNECTED

EXPERIENCE, OTHERWISE NO ‘BRAND PUNK’

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TRANSFORMATION AT BOARD LEVEL

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DEATH IN THE BOARDROOM

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An unfortunate but familiar scenario plays

out…

A team comes up with a breakthrough

idea that will drive short- and long-term

growth.

But once in the board room it all falls

apart, with senior managers exposing

cracks in the strategy where outcomes

have not been clearly defined or

supported with adequate facts.

Defeat hangs heavy in the room, offset

with blank stares and demands to rewrite

the plans again.

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MARKETERS OFTEN STRUGGLE IN THE BOARDROOM

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CMOs have the shortest tenure (months)

CEO: 80CFO: 71CIO: 64CMO: 48

“Marketing is too important to be left to marketing people.” David Packard

“Nearly 2/3rds of CEOs think that their marketers don’t provide adequate

evidence of ROI to gauge marketing’s true performance.” The CMO Council

“Only 40% of CEOs rate their CMOs as strong.” The CMO Council

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BOARD GAMES: WHO’S RIGHT AND WHO’S WRONG?

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• Senior management is charged with managing the company successfully

• Analytical focus

• Need to manage risk

• Short- to mid-term mind set

• Marketers have a different mind set

• Creative focus

• Take risks to reap rewards

• Mid- to long-term mind set

• Who’s right and who’s wrong?

• No one

• Marketers must recognise that the boardroom is not their territory

• Think like senior management to convince senior management

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ENGAGING SENIOR-LEVEL PEOPLE

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• Senior managers are invariably time starved

• Commercial in how they will deliver business growth

• Credible in how they will deliver a strong, sustainable return

• Concise in both print and verbal form

• Clear-cut in their proposed requests and next steps

• Senior managers are human

• Involved in the problem solving

• Engaged in plain English

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HANDLING CHALLENGING CONVERSATIONS

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1: Rationalise

2: Negotiate

3: Escalate

4: Retreat

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1. RATIONALISING

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Recommendations meeting Follow-up meeting

• Collect data and facts

• Regroup

• Ask for agreement

Most presentations are rational

• Positive decisions

• Fact-based

• No personal downside

Eye on the Bulls-Eye

• Context

• Facts

• Options

• Recommendation

• Asks and Next steps

• When under fire don’t get

defensive, blag or waffle

• Do:

• Do your homework

• Welcome the question

• Pause

• Answer succinctly

• Admit it when you

don’t know

• Clarify you’ve

answered

Under the Spotlight

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SOME DECISIONS ARE MORE EMOTIONAL

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Good for the business

• Logical

• Fact based

• Strong business case

More rational

NOT good for me and my team

• “Stop us making our targets”

• “Result in me losing power”

• “Force me to do something

that others will disapprove of”

More emotional

More emotionally driven examples:

• Moving to one global brand

• Investing in building a stronger brand

• Moving from a local to global positioning

Power of 3

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2. NEGOTIATING

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• Get input

• Identify concerns or show stoppers

• Access relevant data

Why

Negotiate:

• Identify areas of common ground and sticking points

• Identify facts, data or market changes they need to see

• Encourage them to talk with others

• Give them time to get used to the idea

How

1: Fact finding meeting2: Recommendations

meeting

3: Follow-up

meeting

If emotional resistance, conduct a fact finding meeting early on

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NEGOTIATING TOP TIPS

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LET THEM

• Be emotional

• Get their issues out

• Explain where

they’re coming from

• Feel heard

DO

• Listen, show respect

• Probe, ask questions

• Talk to them directly

• Summarise

DO NOT

• Sell

• Argue

• Say they are wrong

• Hide behind charts

• Bamboozle them with data

2nd meeting is often more rational once the emotion of the 1st meeting is out

Ask questions

• “So to summarise what you’re saying…”

• “If I hear you correctly…”

• “What can I show you that would convince you…”

• “What would need to change for you to be comfortable…”

• “What elements of the plan are you comfortable with?”

Meeting flow:

• Set context and issue

• Make recommendation

• Listen

• Negotiate

• Raise outstanding issues

• Agree next steps

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3. ESCALATING

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• Stalemate

• Conflicting objectives and concerns

• Senior support that this is the right way forward

When

Take up the line

• Let them seek out others’ opinions

• Use other senior people to convince them

• Let the bosses debate it out

How

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4. RETREATING

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• Company not aligned on which way to go

• Company knows that this is right, but not nowWhen

• Recognise that the timing isn’t right

• Gracefully retreat

• Assess what needs to change

• Continue to collect data and facts to prove the case

• To make the leap, companies often need:

• New proof (e.g., Case study, Data)

• External change (e.g., Sales drop, Regulatory backlash)

• Internal change (e.g., New CEO, Major project completion)

How

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THREE TOP TIPS WHEN UNDER ATTACK

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Dance Baby Dance Shoot Me in the Heart “Under The Ego”

THANK YOU

Ruth Saunders [email protected]

[email protected]

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Karl Weaver