Mikko Helander, CEO of Kesko: “A good reputation supports strong business growth, both now and in the future”

 

Mikko Helander, CEO of Kesko, spoke to T-Media about his views on reputation management in a publicly traded company. At Kesko, reputation management is carried out as part of strategy implementation. Trust and reputation are systematically measured among various stakeholders and reported all the way up to Kesko’s Board of Directors.

 

“It is fair to say that reputation is more important now than ever before, and I believe this will continue to be the case in the future,” says Mikko Helander.

Helander believes that reputation is the foundation of a successful business. That is why every successful and responsible company pays attention to its reputation and works to improve it.

“In many cases, it is essential for being able to operate in the market and successfully serve existing customers while also attracting new ones.”

 

 

According to Helander, responsibility and a good reputation are closely linked today: responsible operations build a good reputation.

“Responsibility and reputation are, in many ways, one and the same in today’s world. When we talk about responsibility today, it actually encompasses all the operations and aspects that make up a company. I do not believe it is possible to build a solid, good reputation without responsibility.”

K Group’s commitment to corporate responsibility is evident in T-Media’s ESG meter, which comprehensively tracks organizations’ environmental and social responsibility as well as their social impact. “A real breakthrough in K Group’s ESG perception occurred after 2018, when people perceived the overall ESG performance level to be lower, but the perception of K Group’s ESG reached an all-time high,” says Harri Leinikka, CEO of T-Media.

 

 

Reputation management starts with a strategy

According to Helander, reputation is important to K Group, and the company works to build it systematically as part of its strategy implementation.

“I believe this work must also start with a strategy. When a company has a well-functioning strategy and makes the right strategic choices that are consistently implemented throughout the organization, this leads to financial success, better results, and favorable conditions for carrying out successful operations that enhance its reputation. An improving reputation will also support our financial success in the future,” says Helander.

Helander cites focus, growth, and operating as a unified company, as well as responsibility, customer experience, and investment in digitalization, as Kesko’s strategic priorities. According to Helander, the consistent implementation of the strategy year after year has yielded positive results: increased sales, a strengthened market position and profitability, and significant growth in shareholder value.

Monitoring reputation among various stakeholders is an important part of the work.

At Kesko, trust and reputation are monitored at all levels of the company: at the store level, within business sectors, across the group’s operations, by sector management teams, and by the group’s executive team. Helander also explains that the company’s reputation is regularly reviewed by Kesko’s Board of Directors.

“Monitoring reputation comprehensively with various stakeholders at all levels of the organization is an important part of the work. It is very important to draw conclusions at all organizational levels regarding the measures that can improve reputation based on this monitoring,” says Helander.

Helander cites the company’s current and prospective employees as an example of a stakeholder group.

“When we think about our staff, workforce, and employees—both current and future—reputation plays a key role. This holds true for all stakeholder groups. When we have a good and growing reputation, it is always easier to collaborate with all stakeholder groups. This also applies to our staff.”

“Today, competition for good employees is fiercer than ever, not only in Finland but also globally. The importance of reputation is underscored in this regard as well.”