
Advertising Age
published a rambling report on Chief Impact Officers, a role that appears to be
an extension of Chief Diversity Officers—covering
environmental, social, and governance (ESG) initiatives.
Based on the Ad Age piece, the executives have close ties
to CMOs and communications teams, supporting MultiCultClassics’ contention that
Human Heat Shields are
evolving into performative PR pimps—to
make an alliterative nod to Sanford Moore’s
classic summation.
What’s more, it looks like the expanded responsibilities
have resulted in the position being held by lots of White men and White women,
further diminishing any components faux focused on racial and ethnic equality.
Another consideration is the research
indicating the average CMO tenure is 40 months, while
the typical CDO lasts two years. It ain’t easy to make a meaningful, measurable,
and momentous impact in such a short period—especially in Adland, where
systemic racism has been raging for generations.
Chief Impact Officers Explained—Why Some Companies Are
Adding The Position
McDonald’s, IBM and Unilever’s Seventh Generation are
among the companies embracing the role to raise the profile of environmental,
social and governance initiatives
By Jade Yan
At a recent marketing conference, IBM’s first-ever chief
impact officer Justina Nixon-Saintil addressed the fact that companies
are reportedly dropping their DEI roles.
Companies need to “step up,” Nixon-Saintil said at
the Association of National Advertisers' Brands of Impact conference in March.
Part of this entails understanding what “real commitments we need to make under
the S, like we did for the E,” she said, speaking of ESG, which stands for
environmental, social and governance.
For companies such as IBM, boosting these efforts
includes adding the chief impact officer as a new role—Nixon-Saintil was
just appointed to the position in January. She described the role as
focused on “leading the strategic initiatives across the business that really
focus on having a positive societal impact.”
Other brands that have filled the role in the past few
years include McDonald’s, cosmetics brand Beautycounter, Unilever’s Seventh
Generation and multivitamin brand Ritual.
In her role, Nixon-Saintil, who holds a VP title, reports
to Jonathan Adashek, IBM’s chief communications officer and senior VP of marketing,
who reports to IBM's CEO. “There are three hats I wear at IBM,” Nixon-Saintil
said—creating community initiatives related to sustainability and education;
leading the company’s response to evolving ESG regulation; and leading a team
to communicate and market the corporation’s social impact.
A chief impact officer’s job description can vary widely
between companies or industries, with responsibilities ranging from
sustainability and lobbying to marketing and DEI efforts, said Robb Henzi,
senior VP of strategy and head of policy and philanthropy consulting at Omnicom
culture consultancy Sparks & Honey.
This wide focus means companies run the risk of having
the chief impact officer title becoming “a bit of a figurehead role to house a
bunch of things that organizations think are important,” he said.
The role isn’t limited to brands. IPG-owned agency Weber
Shandwick named former McCann Chief Creative Officer Sung Chang as its chief
impact officer in 2020, with a focus on creating relationships
to help give client campaigns the widest impact.
Questions remain about the
future of the role. “I think it’s a fad,” said Lisa Mann, chief marketing
officer and managing director at executive search firm Raines International
Inc. The role seems like a response to criticism around how a company has
handled diversity and ESG efforts, or a company’s reaction to “feeling like
they’re not getting credit for (existing) work,” she said.
“Some companies are trying
to use this role to say that they are focusing on ESG, and I don’t think that
needs to be done that way,” she said, adding that “what it’s missing is the
associated scorecard” that measures the success of the role and accounts for
factors such as where its funding comes from.
Below, a look at why some
companies added the role and how their chief impact officers are approaching
the job.
Seventh Generation: ‘More
weight and more importance’
Cleaning products brand Seventh Generation named Ashley
Orgain as its first chief impact officer last April. Orgain, previously global
director of advocacy and sustainability, described the creation of the role as
spurred by “a need to level up a bit more of the social impact side,” rather
than just sustainability.
While the “scope is somewhat similar” to her previous
role, this new title has “more weight and more importance” because it focuses
on creating and executing strategy, said Orgain.
The position primarily focuses on launching initiatives
and lobbying related to Seventh Generation’s eco-friendly brand messaging. Part
of this involves marketing the brand’s sustainability efforts, such as an
upcoming campaign that focuses “educating, inspiring and activating conscious
consumers,” which “will only happen if we have solid communications and a robust
plan to tell that story,” said Orgain.
“Of all the members on the leadership team, the CMO and I
work most closely,” said Orgain. “I’m influencing how he’s prioritizing his
goals and objectives this year,” she said, referring to Seventh Generation’s
John Moorhead.
Because Seventh Generation is a Unilever subsidiary,
Orgain wants to see its sustainability solutions “scale(d) within our parent
company,” such as “sustainability goals that were inspired by Seventh
Generation.”
McDonald’s: ‘Position the company right’
McDonald’s in August announced that it was hiring former
PepsiCo Executive VP of Communications Jon Banner as its global chief impact
officer. The role—and the global impact team that it oversees—was created in
October 2020, as DEI job postings increased by 55% after
the murder of George Floyd and subsequent demonstrations for racial justice. It
was previously occupied by Katie Fallon, now executive VP of corporate affairs
at Fidelity Investments.
“At a time of great global complexity, there is an
increasing expectation on companies to play a leading role. We welcome that
challenge and are raising our ambitions,” McDonald’s CEO Chris
Kempczinski said in a statement in 2020, when
the world’s largest restaurant company announced the creation of its impact
team. “Our ability to make an impact in the world will be deeply strengthened
by bringing together expertise from across our organization to create a
function that is focused on purpose and guided by our values.”
As head of the global impact team, Banner oversees the
company’s communications, government relations and public policy,
sustainability and social initiatives and social giving. The team encompasses
roles including the president and CEO of Ronald McDonald House Charities, a
global chief communications officer and a chief sustainability and social
impact officer.
The team was expanded in April to
be “mirrored in markets,” said a representative over email. That includes the
addition of a chief impact officer for North America and a senior director
impact lead of international developmental licensee markets as well as an
international chief impact officer, who has not yet been hired. Banner
described his role as “setting the agenda and strategy” as well as working with
the senior executive team and the board.
“I have to try to spread the love” across various focuses
given the role’s broad scope, said Banner. In particular, when he started “we
saw some need” on government relations and policy in the EU and the U.S., he
said.
When it comes to marketing, Banner said that the team is
only responsible for campaigns related to “pushing our policy agenda,
protecting our business model.” These campaigns have a “much lower budget,” he
said. The role also entails “working closely with HR on internal
communications,” said Banner, such as how the company handled
recent layoffs.
“There’s not a lot of chief impact officers around, there
are chief corporate affairs officers that have the same duties” such as at
Walmart, said Banner. Bringing a team around a chief impact officer made more
sense to “position the company right,” he said.
“Traditional Corporate Affairs scopes don’t necessarily
encompass Sustainability & ESG, Policy and Philanthropy (RMHC) alongside
Communications,” a McDonald’s representative said via email. “McDonald’s Global
Impact does. The design of the Global Impact function positions us to go from
storytelling to story-doing.”
Ritual: ‘Larger scope’
Multivitamin company Ritual hired Lindsay Dahl in the
newly created role of chief impact officer in March 2022. Dahl was
previously senior VP of mission at cosmetics brand Beautycounter, which created
its own chief impact officer role in August.
Although Dahl’s role focuses on sustainability, Katerina
Schneider, Ritual’s founder, “knew she wanted the scope to be larger than”
chief sustainability officer when creating the position, said Dahl.
At Ritual, the role focuses on overseeing
sustainability, advocacy and the brand’s traceable supply
chain. This has included policy work such as sending a letter to Congress in March about dietary supplement
regulations, building the company’s sustainability program around
ingredients, packaging and climate change, as well as its certification
strategy, including prioritizing where it needs to be certified such as having
its products become non-GMO certified, Dahl said.
The role includes working with the marketing team every
day, said Dahl. “I’m most involved at the beginning and the end of the
(marketing) process,” from deciding what story to tell to checking everything
is accurate at the end, she said.
Her role doesn’t focus on diversity and inclusion, which
Dahl attributes to the fact that Ritual already had a DEI team. “We already had
the team set up, so the question was, why move it?” she said. She added that
“while sustainability work always has an intersection with social justice, my
background and training is not in DEI.”
Dahl plans to amp up the brand’s lobbying efforts and
communications with the new Congress, as well as continue to outline the
brand’s traceability initiative for its supply chain.
Beautycounter: ‘Embedding our mission’
Beautycounter appointed Jen Lee as its first chief impact
officer in August to meet growing consumer demand for broader corporate
responsibility initiatives. Lee was previously the brand’s senior VP of supply chain.
Lee focuses on overseeing product safety, as well as the
brand’s sustainability and advocacy initiatives. “When we see sustainability,
we think of waste reduction, but I think our consumers demand that we’re
looking at general responsibility as a whole,” she said, such as a company’s
charitable giving or safety standards, which don’t fall under sustainability.
Given the role’s broad scope and her background in
manufacturing and supply chains, Lee is focusing on addressing the company’s
so-called Scope 3 emissions, which are the greenhouse gases from an
organization’s supply chain that are trickier to measure and
reduce.
“What I think is valuable about my role is I’m sitting on
the executive team embedding our mission” throughout the organization, whereas
“usually it would be a department inside an executive’s team,” said Lee. This
includes being “part of all non-mission activities,” such as financial
discussions.
Lee works with the CMO on a “rolling” basis, including
“continuously briefing our marketing team” about any initiatives or awards her
team is working on. This has included publicizing the company’s work on
government regulation such as the Modernization of Cosmetics
Regulation Act (MoCRA) in December, she said, which intends to
give the FDA more authority to regulate cosmetics such as
giving it the ability to issue a mandatory recall if it deems a product unsafe.
To encourage employee participation beyond the leadership
team, she runs a “mission power hour” which provides training for associates on
topics such as lobbying, personal sustainability and the company’s carbon net
zero goal.
Lee
noted that the company plans to focus more on social governance including
diversity and inclusion, responsible sourcing and continuing its corporate
giving strategy.