The Brand Guardianship Index (BGI) is an annual report that ranks the world’s top CEOs based on their brand guardianship. The index recognizes CEOs who are sustainably building business value by balancing the needs of all stakeholders - employees investors, and wider society.
What is brand guardianship? It refers to the practice of actively managing and protecting a brand to ensure that it consistently reflects the intended values, messaging, and identity across all domains.
In other words, BGI measures the effectiveness of CEOs in their role as brand guardians by assessing their ability to create and maintain strong and sustainable brands.
BGI considers various factors to evaluate the brand leadership and management of CEOs. These factors include:
Equity Factors: Reflect current perceptions.
Performance Factors: Reflect the tangible results of these perceptions.
Investment Factors: Support future performance
The calculation of this index involves several steps including calculating the brand strength on a scale of 0 to 100 based on a balanced scorecard of financial performance and sustainability, among other factors.
This score is known as the Brand Strength Index. The index also considers factors such as clarity, commitment, protection, responsiveness, authenticity, relevance, differentiation, consistency, presence, and understanding.
Recently, the report on the Brand Guardianship Index 2024 is released which is compiled by Brand Finance. The report mentioned that the billionaire Mukesh Ambani has been ranked first among all Indians and 2nd globally in the BGI 2024. In the 2023 ranking as well Ambani was placed at No.2. position globally.
Brand Finance's survey gave Ambani a BGI score of 80.3, just below the 81.6 of Huateng Ma of China-based Tencent.
Tata Son’s chairman N Chandrasekaran is ranked at No.5, up from No.8 in the 2023 ranking. He is followed by Anish Shah of Mahindra and Mahindra at No.6 and Infosys’ Salil Parekh at No.16.
This year’s analysis of BGI reveals that ESG factors have become the single most important driving force in determining CEO reputation. ESG stands for Environmental, Social, and Governance. The analysis indicates that being regarded as 'a sustainability champion' accounts for 14% of reputation scores in the index.
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