Analysis of the CEO speeches of the DAX 40 companies: Integrated

Analysis of the CEO speeches of the DAX 40 companies: Integrated

The speeches of the CEO of the DAX 40 companies were analyzed by the University of Hohenheim in Stuttgart. It was found that the speeches have become more understandable compared to the previous year. The average scale on a scale from 0 to 20 is 14.3 points this year. Timotheus Höttges, CEO of Telekom, followed by Theodor Weimer, CEO of the Deutsche Börse, with 19.3 points and Oliver Zipse, CEO from BMW, achieved the highest score of 20.0.

The CEO of Rheinmetall, Armin Papperger, held the most incomprehensible speech with only 3.7 points, although he recorded an increase of 1.5 points compared to the previous year. Belén Garijo, CEO von Merck, deteriorated by 4.5 points and occupied the penultimate place with 4.9 points. Hans Dieter Pötsch, CEO of Porsche SE, also achieved a slightly incomprehensible speech with 5.1 points than in the previous year.

The understandability of the speeches depends not only on the CEOs themselves, but also on other factors such as the speech writers and the condition of the company. Overall, most CEO use the Annual General Meeting to give speeches that are also understandable for a broader public. Many CEOs strive to translate technical language in such a way that lay people can understand the content.

The understandability of the speeches is affected, among other things, by tapeworm sentences, abstract terms, compound words and not explained technical terms. However, it was found that long -term sentences and compound wording are less common. The CEOs also rarely fall back on complicated technical terms. Difficult terms are increasingly being explained to increase intelligibility.

Formal understandability is not the only criterion for a successful speech. The content of the speeches as well as the structure and the lecture style also play an important role. Nevertheless, formally understandable messages are better understood and reminded, and they enjoy more trust than incomprehensible.

The Hohenheim understandability index, with which the comprehensibility of the speeches is evaluated, was developed by the University of Hohenheim. The comprehensibility of texts is shown on a scale from 0 to 20. For comparison: Doctoral theses in political science have an average comprehensibility of 4.3 points, while radio messages have an average of 16.4 points and political articles of national newspapers have values between 11 and 14.

Source: University of Hohenheim/OTS