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Omnicom

Broken promises hurt twice as much

by cv harquail on August 27, 2008

lfinger crossed behinde backWhat hurts more:

(a) An offensive organizational action or

(b) an offensive action that displays inauthenticity?

I vote for (b). An offensive action that displays inauthenticity hurts more than an action that is simply offensive.  Why? Because an offensive inauthentic action represents a broken promise.

When an organization makes a claim to be a certain way, it is making a promise to its stakeholders. When an organization like Omnicom says “We are committed to ensuring that we use our position to promote socially responsible policies and practices and that we make positive contributions to society”, we take that as a promise. When an organization like Tyson Food says “we strive to be faith friendly”, we take that as a promise. Omnicom promises to be socially responsible, and Tyson promises to be faith friendly. In both cases, we expect the organization to keep its work and to keep its promise.

A Promise is a Promise

The cynics within and among us can mock our naivete. Why should we expect an organization to keep its word about socially responsible behavior?   Well, if we expect organizations to keep their word about using quoted market prices to determine the fair value of their forward foreign exchange contracts, why shouldn’t we expect them to keep their word about the way they’ve committed to promote social responsibility?

Investors bet a lot of money that Omnicom will keep the promises it makes in its financial statements…so why should Omnicom’s promises about their social practices be any less of a sure thing?

An organization’s promises about its financial practices and its promises about its social practices are essentially the same thing. They are promises that an organization will act in accordance with its words. They are promises that the organization will be authentic. So, when an organization’s offensive actions contradict its promised actions, the actions are inauthentic.

Broken Promises Double the Harm

Offensive actions that are also inauthentic harm an organization’s stakeholders twice. First, they harm stakeholders by their offensiveness, plain and simple. Second, they harm stakeholders by demonstrating that the organization doesn’t keep its word. Each time an organization fails to keep its word, our trust in that organization erodes.

It was suggested in comments on an earlier post about a homophobic advertisement for Snickers, that “we are really offended and harmed not by the inconsistency between actions and policies of the ad agency), but by the homophobia (in the ad itself)”.  I absolutely agree that the homophobic ad itself is harmful, and I agree that acting to stop that harm as quickly as possible is always appropriate.  But there is more to it than that.

In addition to fixing the current harm, organizations need to fix the systems that lead them to harm their stakeholders in the first place.  In other words, organizations need to fix the systems that allow them to act inauthentically.

Promise to Keep the Organization’s Promises, by Being Authentic

While stopping the immediate harm is important, it is also important to prevent harm in the future. A strategy that addresses the source of the current harm is worth pursuing, even if this strategy might take longer to have an effect. In the case of Omnicom, pressuring the ad agency to act authentically would prevent future homophobic ads and prevent homophobic actions anywhere in the organization. Pressuring the organization to act authentically would have the additional benefit of helping the organization to keep any of its promises, regardless of whether these promises are financial or social.

Similarly, systems that help Tyson Foods to act authentically instead of inauthentically would help Tyson find ways to keep its promise to “strive to be a faith friendly company.” In addition to resolving the current issue of respecting the holy days of its Muslim employees, pressing Tyson to act authentically would prevent Tyson from demonstrating bad faith. Instead, Tyson would be motivated to find new ways to be faith friendly, by holding itself accountable for evolving its understanding of what it means to be faith-friendly to every stakeholder, to every faith, in any situation.

Organizations have systems in place to make sure that they keep their financial promises, and they should put systems into place to make sure that they keep their social promises, too.  Pressing an organization to act authentically helps to fix the immediate harm, to prevent future harm, and to keep any and all of the organization’s promises.

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The System isn’t working at Omnicom.

omnicom_logo

Omnicom says “we are committed to ensuring that we use our position to promote socially responsible policies and practices. Yet, Omnicom’s agency, Abbott Mead Vickers BBDO (AMV/BBDO) , creates advertising that is anti-gay. Because Omnicom is not addressing the contradiction between who it says it is as an organization and how it acts, Omnicom is not being authentic.

Last week, in an effort to challenge a homophobic advertisement for Snickers candy bars , Bob Garfield’s column in Advertising Age admonished John Wren, the CEO of the Omnicom Group, by asking him to “tell his agencies how to behave.

Most of the ensuing commentary about the offensive ad and about Garfield’s column discussed whether or not the ad was homophobic and whether or not Bob Garfield was overly sensitive, and this diverted attention from discussing how to eliminate anti-gay advertising altogether. Meanwhile, some advocacy organizations, particularly the Human Rights Campaign applied direct pressure on the client (Mars) and got the advertisement taken off the air .

Problem solved– at least this time.

But what about the next time, and the time after that? And what about action that could stop anti-gay ads from being created in the first place? A week later, and after another 230 plus comments on the issue “ this time, facilitated by Chris Martin writing at The Consumerist – there is still no reflection about how to banish homophobia from the organization’s products.

The big-picture problem that created the biased ad is that the organization is acting inauthentically .

There is a gap between the organization’s claimed commitment to acting in a socially responsible way and the behavior that was socially irresponsible. By focusing on this gap between claims and actual behavior, a push for organizational authenticity could pressure the organization to change its behavior. If advocates were able to get the organization to act more authentically re: its claims, advocates could influence not only the organization’s homophobic actions, but also other actions that contradict the organization’s claim to be socially responsible.

So, let’s try a different tack on the question of eliminating homophobia. Let’s talk about designing an organization that acts authentically. …

blueprint

Want Bias? Design Homophobia in .

Among the handful of absolute truths about organizations and leadership that I wanted my MBA executive students to learn, is this simple statement about an organization’s results:

Organizations are designed to get the results they get.

I have never been able to find a pithier way to state this truth. Nonetheless, I’ve always found this truth to be a useful starting place for diagnosing any kind of problem in an organization. So, let’s take this approach to considering the CEO’s role in aligning the orgnization’s products & external actions with the organization’s statement of commitments. Keep in mind that this approach works only for organizations that already claim to be against bias, because this is all about making the organization accountable for those claims .

Want to Banish Bias? Design Homophobia Out .

If an organization claims to be committed to ensuring that we use our position to promote socially responsible policies and practices and that we make positive contributions to society across all of our operations”, then it should not be creating and selling advertising that denigrates the GLBT community. But where do we go to create change, so that the organization’s ignoble actions come closer to its lofty claims?

Let’s start with a diagnosis. Many would say that the offensive ad got through the Ad Agency because:

  • - Some employees at AMV/BBDO are homophobic
  • - Some employees at AMV/BBDO are unable to recognize an anti-gay sentiment
  • - Some employees at AMV/BBDO are unable (or unwilling) to speak out against an anti-gay creative idea
  • - Some employees at AMV/BBDO lack the power and influence to convince their peers that the ad is problematic

Any and all of these explanations could be true, and any of these issues could be addressed as a part of a program to prevent anti-gay advertising concepts. But, if you take to heart the idea that “Organizations are designed to get the results they get ,” could there be something about the way the Omnicom agencies are designed that permits anti-gay advertising to be created?

If AMV/BBDO is producing some ads that are anti-gay, then something in the design of the agency is making homophobic ads possible.

Want to change the organization’s outcome? Change the organization’s systems .

The way to prevent the agency from creating anti-gay advertising to recognize that there is something about the way that the agency is organized that is creating and/or letting pass ideas that are anti-gay. The job of top management is to analyze the organization’s systems ( its routine, procedures, policies, rewards, etc.), to identify places where bias could be created and/or filtered out, and to make changes in the system.

The CEO is responsible for changing the organization’s designfarah ramzan golant CEO AMV/BBDO

But let’s be “realistic”. Should eliminating homophobia from an agency’s advertisements be the responsibility of John Wren, the CEO of the Omnicom Group? Mark Horn points out that Wren is merely the CEO of the agency’s holding company. There are several layers of corporate hierarchy between Wren and any of ABM/DDBO’s processes. Horn suggest that, instead of addressing Wren, perhaps it is the CEO of AMV/BBDO (Farah Ramzan Golant) who should take action here. [Mark, I'm with you on that one, as are the folks who commented on my initial post .]

The CEO should modify the systems for creating and approving ads.

The CEO should consider system changes to eliminate anti-gay and otherwise biased advertising, and system changes that will promote clever advertising that is generously humorous. Golant should modify the ways that advertisements get created and executed (e.g., adjusting the idea generation processes already in use, or adding standards and checkpoints alongside the evaluations that each idea goes through as the creative quality is vetted.)

The CEO should establish systems that will align the organization’s actions with its claims.

  1. Golant should establish a system for managers and employees to compare the organization’s products with the organization’s statements of purpose and value.
  2. Golant should hold herself and the agency’s employees accountable for producing ads that reflect the creative and social standards that the agency claims to hold.
  3. Golant should create regular opportunities for the organization to assess, reflect on and adjust its actions so that they align with the organization’s claimed commitments.
  4. Golant should establish a process whereby the agency could ask itself:
    How does the advertising we create “use our position to promote socially responsible policies and practices?”

With these changes in the design of the organization, Golant can lead AMC/DDBO towards being more authentic.

Remember, too, that the behaviors of individual employees still matter.

Arguing that the CEO should change the organization’s systems does not let employees off the hook; employees are still responsible for their own actions and for supporting the organization’s claims through their own behavior. Employees’ sensitivity to anti-gay ideas, employees’ commitment to producing bias-free advertising, and employees’ ability and willingness to speak out against an anti-gay creative concepts are very important. But the actions and commitments of individual employees are not enough to eliminate homophobia in the organization’s products.

It takes heroic effort by employees to override an organization’s systems, and no amount of hard work can consistently overcome bad design.

To overcome a system that allows homophobia in, you have to design your organization to keep bias out.

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Homophobia and (In)Authenticity at Omnicom: What can a leader do?

July 24, 2008

I am struggling to understand the pattern of reactions to a recent critique of an organization’s authenticity. Bob Garfield, writing in Monday’s (7/21) Advertising Age, has an Open Letter to Omnicom President-CEO John Wren, asking Wren to look at the contradiction between Omnicom’s public Statement on Corporate Responsibility and the homophobia represented in three recent [...]

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