| Author's Name: Mark Schultz
Date: Mon 12 Oct 2015
Good reputations generally take a long time to establish, however can be tarnished and even destroyed very quickly. What role then does the board play in managing and maintaining an organisation’s good reputation?
In our new world of 24 hour news, social media that provides a platform for “every man and his dog” to have his/her say without any accountability and a rapidly changing external environment, Boards and senior management must have in place a means by which to manage events that could cause irreparable reputation and brand damage. Here are a few suggestions that should help boards to address this governance responsibility:
Effective reputation management is as much about culture as about process. Responding sooner rather than later is generally a better approach, acknowledging mistakes is generally received more positively than attempts to hide or avoid accountability and treating stakeholders with respect is recommended at all times. PR firms, lawyers and “spin doctors” will all have a position on how to manage an adverse event, however it is your clients and the community who will be the final arbiter. Good governance requires boards to take a leadership role in the establishment, management and protection of an organisations reputation and this should form part of the strategic planning and management process.