1. STRATEGIC CSR AND CONSULTING PROJECTS Intel Education Initiative Final Presentation Akif Koca, Maria Isaac, Hans Cole May 2, 2007

2. Hans Cole Maria Isaac Akif Koca THE TEAM

3. What is the role of technology companies in education?

4. INTEL EDUCATION The Intel Foundation and Intel Corporation currently invest over $100 million per year in over 50 countries to promote education efforts in these areas. However, Intel doesn’t get much credit out of its large investment in this area…

5. PROJECT SCOPE How should Intel position its Education Initiative to: increase awareness of its programs among global education thought leaders? improve the overall corporate reputation of Intel in the CSR field?

6. How should Intel position its Education Initiative in order to; increase awareness of its programs among global education thought leaders improve the overall corporate reputation of Intel in the CSR field? 1.Who are the global education thought leaders? 2.What do education thought leaders expect from global ICT companies, from Intel? 3.Does Intel understand the needs/expectations of education thought leaders? 4.Does Intel provide the right menu of (technology and program) solutions to satisfy those needs/expectations? 5.Does Intel focus on the right segment of education thought leaders to maximize credit and influence? 1.Who are the global leaders in tech in education CSR? What are their overall CSR goals? What are their tech in ed CSR strategies? What are their capabilities? How do they communicate their programs? 2.What are Intel’s strategies and capabilities (strengths & weaknesses) in tech in education CSR? How effective is Intel in satisfying the needs and expectations of global education thought leaders? How can Intel differentiate itself in tech in education CSR? 1.How does Intel promote its Education Initiative among education thought leaders? 2.How important is tech in education within Intel’s overall CSR agenda? CSR reporting? How effective is Intel in communicating its tech in education CSR programs to thought leaders? What can Intel Education do to improve Intel’s corporate reputation in CSR field? 1.How is corporate reputation measured by the leading surveys and other indicators? 2.How is the CSR contribution to corporate reputation measured? 3.How does corporate philanthropy (tech in education CSR) contribute to corporate reputation in CSR? 4.How does Intel rank against global CSR leaders on different surveys/benchmarks? 5.What other benchmarks can be used to measure corporate reputation in CSR? How should Intel measure awareness of its programs among global education thought leaders? 1.What are the metrics used by Intel to evaluate awareness of its programs among global education thought leaders? 2.What are the metrics used by Intel’s competitors? 3.What other benchmarks can be used to measure the awareness of tech in education programs? ISSUE TREE

7. Project Timeline and Deliverables Project Deliverables Recommendations on surveys/benchmarks for measuring –awareness of global education thought leaders –overall corporate reputation in CSR Benchmarking Intel against leading companies in CSR Recommendations on utilizing Intel Education to improve Intel’s reputation  Final presentation to Intel Research corporate reputation and CSR surveys Research corporate philanthropy and different models Conduct interviews with primary thought leaders Benchma rk Intel against other leading companie s in CSR Final analysis and recomme ndations PHASE 1PHASE 2PHASE 3 Feb 15Mar 22Apr 18May 3

8. PRESENTATION OUTLINE Thought Leaders Corporate Reputation Ratings and Rankings Findings and Recommendations

9. Global Education Thought Leaders The Tipping Point Effect Intel’s Current list Focuses on UN, global multilaterals, global NGOs Global: World Bank, UNESCO, WEF, USAID, UNDP, Harvard University Regional APAC TLs: ADB, APEC, UNESCO Bkk, ASEAN, JICA EMEA TLs: UNESCO, EU/EC, DfID, GTZ, NEPAD, AfDB LAR TLs: IDB, OAS, IAD, UNESCO Brazil, ECLAC U.S. TLs: ISTE Thought LeadersCorporate Reputation

10. Respect for a Company Would Go Up If It Partnered with… “Agree” vs “Disagree,” Average of 18 Countries,* 2005 *Globe Scan CSR Monitor Survey 2005 The white space in this chart represents “Depends/Neither” and “DK/NA.” Thought LeadersCorporate Reputation

11. Who are the thought leaders? Expertise Partners with key global organizations: e.g., UN, World Bank, USAID Partners with key philanthropic organizations Public Presence Leadership presence at events and conferences Frequent mention in global media publications Published author (individuals) or well-known/ branded publication (organization) Innovation Demonstrated work at the “cutting edge” of tech and education Recognized (through awards, honorary degrees, media mentions) as a creative force Influence Hold key policy/ gov. positions Sits on advisory councils, panels, etc… Thought LeadersCorporate Reputation

12. Thought Leader Interviews-Quotes “…corporations need to learn to play with others in the sandbox – in other words, more collaboration is needed across the industry and within the technology in education space…” “the most critical attributes for a corporate thought leader: humility, collaboration, and relationship building” “One change in recent years is that thought leaders in this space (i.e., technology in education) are not necessarily “technologists” or engineers…” Thought LeadersCorporate Reputation

13. Thought Leader Interviews – Takeaways Intel’s Strengths and Opportunities Strengths: humility – this is an Intel attribute that is appreciated by thought leaders experience on the ground – decades in the tech/ education space consistent focus area - technology in education Opportunities: how can Intel communicate the “why” message and pass the “so what” test? how can Intel inspire thought leaders to act as communicators and change agents for Intel? how can Intel not just collaborate, but be an industry leader? how might other stakeholders act as influential thought leaders for Intel? Thought LeadersCorporate Reputation

14. Thought Leader Mapping Thought LeadersCorporate Reputation

15. Thought Leader Metrics “Passive” metrics -# of mentions on listservs, blogs, and online communities -# of information requests from schools, teachers, school boards, school districts, Ministries/ Depts of Education, policy officials, etc. -# of invitations for Intel CEO and Intel Education Initiative staff to give keynote - # of endorsements of Intel’s program by high level thought leaders “Active” metrics - develop web page that enables partner and participant driven content - # of hits - # of stories - # of materials downloaded -# of partner links to your site - develop an online community for thought leaders, partners and participants - # of hits - # of members - # of countries/ regions represented Thought LeadersCorporate Reputation

16. PRESENTATION OUTLINE Thought Leaders Corporate Reputation Ratings and Rankings Findings and Recommendations

17. What is corporate reputation? Reputation is an intangible asset for the corporations and most of the time hard to measure Rankings and ratings can change in the short term, but building a reputation around the brand is more important Industry and product attributes can lead to barriers to corporate reputation Comparing Intel with other companies in other industries can bring useful insights, but not all practices can be applied to Intel Unique positioning of Intel in its industry can be used to leverage Intel’s reputation Thought LeadersCorporate Reputation

18. Impact of educational programs in reputation Emotional Appeal Financial Performance Workplace Environment Products & Services Vision & Leadership Social Responsibility Reputation Quotient SM (RQ) Feel Good About Admire and Respect Trust Market Opportunities Excellent Leadership Clear Vision for the Future Rewards Employees Fairly Good Place to Work Good Employees Outperforms Competitors Record of Profitability Low Risk Investment Growth Prospects Supports Good Causes Environmental Responsibility Community Responsibility High Quality Innovative Value for Money Stands Behind C. Fombrun, Reputation Institute, Harris Interactive 1 2 3 4 5 6 Thought LeadersCorporate Reputation

19. Teacher Training After School Higher Education Science Fairs Comparing Programs in Education Thought LeadersCorporate Reputation

20. Level of engagementLowHigh Importance to missionPeripheralStrategic Magnitude of resourcesSmallBig Scope of activitiesNarrowBroad Interaction levelSimpleIntensive Managerial complexityInfrequentComplex Strategic valueModestMajor EXAMPLES ACTIONS:Donation Grants Event sponsorship Cause-related marketing Employee volunteerism Joint-advocacy Joint-action Deep partnerships Financing principles Philanthropic Transactional Integrative Adapted from The Collaboration Challenge, James E. Austin Framework for integrative CSR Thought LeadersCorporate Reputation

21. Communicating in a CSR Context Main points in communicating CSR (and taking credit for it!): Strategic fit with business, brand and competencies Deep partnership with expert organizations (eg: trusted NGOs) Education and awareness of public New approach to communication –Move from top-down to peer-to-peer engagement –Don’t forget about the power of blogs –Communicate from inside out (internally first) –Localized approach to communications –Communicate continuously and through broad array of channels –Employees, core consumers, critics such as NGOs are best advocates/ brand ambassadors –Give up control of message in favor of credibility through dialogue, viral marketing –Acknowledge the tangible business impact of trust Thought LeadersCorporate Reputation

22. CASE STUDY: Value of NGO strategic partnerships

23. Communication Trends Select consumer segments ready Reporting does not equal communication (TRUST) POS communication Blogs increasing in effectiveness Simple messages, language Use employees as ambassadors Integrate to brand, all company messaging Thought LeadersCorporate Reputation

24. PRESENTATION OUTLINE Thought Leaders Corporate Reputation Ratings and Rankings Findings and Recommendations

25. Ratings and Rankings “Corporations today need to measure, understand and holistically manage their corporate reputation and leverage it as an asset. Those who do, find that ratings and rankings take care of themselves.” (*)Robert Fronk, Senior VP, Harris Interactive Thought LeadersCorporate Reputation

26. Growing number of rankings and lists –Different methodologies –Different benchmarks and metrics –Different target audiences Different surveys, different rankings Thought LeadersCorporate Reputation

27. Corporate Reputation vs. SRI Corporate Reputation Surveys Harris Interactive/ WSJ America’s Most Admired/ Fortune 100 best Companies to work/ Fortune 100 Best Companies for Working Wothers Corporate Reputation Watch/Hill & Knowlton Based on primary research among different stakeholders. Surveys try to capture the reputation of a company and inform general public.  However, the relative weight of CSR (and philanthropy) in these surveys is not clear. SRI Rankings Calvert KLD/ Business Ethics DJSI Innovest Covalence Rely on same public data for the most part, but each group has specific metrics Reach out to a very sophisticated audience: investment professionals  They apply a score to corporate philanthropy Thought LeadersCorporate Reputation

28. PRESENTATION OUTLINE Thought Leaders Corporate Reputation Ratings and Rankings Findings and Recommendations

29. Expanding the thought leader list can bring new partnerships and new channels of communication Findings Current thought leader list involves very high level organizations (World Bank, USAID,etc.) Thought LeadersCorporate Reputation Recommendations Develop new partnerships with global and regional NGOs Engage program partners and program participants as Intel ambassadors Prioritize thought leader relationships in terms of brand opportunity/strategic fit and program opportunity/potential partnerships

30. Effective communication requires targeted messaging to different audiences Findings Intel is not leveraging the content related stories and impact of its programs Intel is not using some of the most effective channels to communicate its message Thought LeadersCorporate Reputation Recommendations Develop focused message and marketing to communicate Intel Education to thought leaders Diversify your communication channels Determine how Intel can differentiate itself in marketing to thought leaders

31. Assuming a role as a coalition builder in technology in education will bring greater awareness to Intel Findings Intel is not leveraging its brand and network opportunities to build coalitions and partnerships with other companies and NGOs. Thought LeadersCorporate Reputation Recommendations Collaborations with other companies in the technology in education field can create win-win opportunities for Intel and others Collaborations with global and regional non-profits will help Intel to amplify its positive impact - increase trust

32. Reputation surveys do not consider education programs as an important reputation differentiator Findings Technology in education doesn’t have a weight in most of the reputation surveys. The link between education programs and overall corporate rankings is not that strong There is no survey or ranking focused on measuring and evaluating different education programs Thought LeadersCorporate Reputation Recommendations Intel can lead the creation of an objective survey on technology in education through collaborations with other companies and nonprofits Intel should continuously communicate with the rating agencies Intel should utilize its thought leader relationships to influence the surveys and rankings

33. Reputation surveys do not necessarily capture the impact of international education programs Findings Most of the reputation surveys Intel is currently tracking are U.S. focused – i.e., they measure the perception of thought leaders here in U.S. However, 2/3 of Intel’s education programs are in developing countries Teacher training may not resonate with U.S. thought leaders with the same strength as other issues: e.g., AIDS, global poverty Thought LeadersCorporate Reputation Recommendations Intel should make the story of Intel Education appealing to U.S. thought leaders; Intel should bring Intel Education’s global stories back to home. Intel should quantify the impact of Intel Education on program countries

34. Integrating the Education Initiative into the overall CSR structure of Intel is important Findings Intel education and the CSR department is geographically separated. Intel education is not utilized in its full potential for internal communication and employee volunteering. Thought LeadersCorporate Reputation Recommendations Improve the integration and communication between Intel education and CSR departments. Promote Intel Education in internal communication with employees all over the world Utilize education volunteering as an effective way to engage employees.

35. FINALLY, VALUE OF THE PROJECT!!! TO THE TEAM Working with a great Haas team! Great consulting experience Understanding how to position CSR in a broad strategy Experience in managing a client’s expectations Hans: “Education without communication…doesn’t work.” Akif: “I learned that Intel had a big program in Turkey” Maria: “Technology in education is not throwing computers into the classroom” TO THE COMPANY Fresh perspective on their strategies and programs Huge amount of great information – how they can make their CSR more effective Network of education experts who gave direct feedback New CSR frameworks  A Power Point deck of about 100 slides.

36. QUESTIONS ???