December 2012

Reputation Management Strategy Conference

Why Business as Usual is No Longer the Place to Be

The recent Reputation Management Strategy conference provided interesting reflections of current business thinking and reaffirmed how quickly organisations are needing to adapt quickly as ‘business as usual is no longer the place to be’*.

5 points for businesses to note on reputation:

  1. A new responsibility agenda is emerging. Organizations are looking beyond financial performance to an assessment of how they do business.
  2. The most forward thinking organisations recognize the non-direct return on investment of a reputation-led approach – employee retention, consumer loyalty, influencer engagement and support.
  3. Businesses are aligning their reputation measurement with real business results.
  4. The drive for enhancing reputation must be authentic if it is to be effective, stakeholder demand on transparency is putting an end to manufactured reputation.
  5. Failing to manage reputation, costs.  Lower share prices, low morale, less innovation, minimal growth and a greater cost of capital.

 

So what steps can organisations take?

5 questions that reputation managers and board members can ask their business are.

  1. Beyond financial performance, what is our company’s purpose? What value do we create beyond that provided to shareholders?
  2. How can we be more transparent, open and accountable to all stakeholders?
  3. Are we brave and courageous enough to able to take a long, objective look in the mirror and to effect real change?
  4. Are we able to have authentic conversations with our shareholders, and be confident  that they are based on our values, culture and behaviours.
  5. How much time do we dedicate to actively trying to understand our reputation and how that reputation has been earned? 

 

*quote from Richard Sexton - PWC