What makes the biggest difference: your Industry / country HQ or CEO?
This is an interesting question that came my way this week and one I have often speculated on myself. We know that the perception and understanding of Public Affairs in an organization is influenced by many factors, and the relative importance of any of these factors varies depending on the specific context. However, the industry, the country, and the CEO are perhaps three of the biggest variables. Let’s look at each in turn before deciding which is more impactful;
Country HQ: Yes, legal and regulatory environments vary widely from one country to another but what I am most interested in is the perception, professionalisation and role of Public Affairs in different countries. For example, Public Affairs is a well-recognised profession in the US, it is well understood in the EU and beyond that (outside smaller pockets) it is often a niche industry that is not well-understood at all. My view is that the country of the organizational HQ plays a very big role – given these different cultural perceptions and understandings of Public Affairs.
Industry: Different industries face distinct challenges and opportunities in Public Affairs. Here I think the idea would be that industries with significant environmental impact or those dealing with sensitive issues will require more Public Affairs and hence be better accepted and understood in their organizations.
CEO: The CEO’s leadership style, communication skills, and personal values will strongly influence any organization. So too will their understanding and perception of Public Affairs. A CEO who is actively engaged in, and with, public affairs, will positively impact how Public Affairs is perceived both internally and externally. I think many of us know the opposite.
Clearly in practice, these factors interact, and successful Public Affairs functions depend on all three to some extent. I would say though that the most important variable I have experienced is by far the CEO. You can be from a US organization in a sensitive sector (so in theory with a great understand of the need and potential of Public Affairs) but if your CEO is not onboard you will simply not progress. On the flip of this a good CEO can drive Public Affairs across any country and industry.
