Global movements affecting company Reputation

Some thoughts on responsible leadership, public activism and reputation

Right now trust in mainstream media, government, business and NGOs is lower than it’s ever been. Organisations have to work extra hard at building trust, loyalty and reputation, and to avoid crises that may cause harm to their operations and reputations.

Management and Leadership changes

In the past, management would decide on its company culture, inform stakeholders and the public what it stands for and how it does its business, sometimes explicitly stated in a company’s vision and mission. Once done, the company would brand itself in terms of its culture and its products. And we, the public, would believe everything it said.

However, over time the public would rate a business on the extent to which its products and actions matched its goals. Too often public perceptions and ratings were ignored, leading to loss of reputational capital, while managers and leaders focused only on the other ‘capital’ – profitability. Today, because of the glaring evidence of crises resulting from public reaction to irresponsible leadership, organizations are being forced to act more ethically.

Public perceptions

The public expects organisations (including government) to keep their promises. Individuals want to trust a business they deal with. Their perceptions of and attitudes towards a company must be positive before they can trust it. And business certainly needs loyal customers and stakeholders. No company can afford to ignore the reactions to their behaviours. They do so at their own peril. Managers and leaders must listen and adapt.

Social Media and Advocacy

Meanwhile globally, the rise of social media, and the grassroots engagement it affords, has contributed to the growth of people power. Companies are constantly being watched and evaluated by the man in the street who happily shares his perceptions, based on what he sees and hears in the media. These perceptions gain momentum and can lead to mass action, causing negative outcomes for the businesses concerned. There are so many examples of this, but H&M’s recent crisis over an alleged ‘racist’ advert is one. With the growth of public and employee word-of-mouth marketing, research has shown that advocacy statements by activists and ‘influencers’ on social media are far more powerful in terms of engagement and belief than content that comes directly from the brand or company.

Ethical Branding

Ethical business builds Reputation

Ethical branding is crucial as companies become aware of the importance of good corporate citizenship, responsible behaviour and transparency in all their dealings with internal and external stakeholders. More than ever before, building public trust is crucial to any business operation and its survival. Managers and leaders must ensure that the company performs well economically, ethically, legally, environmentally and socially, that is, as a corporate citizen.

The King Report, now in its 4^th form, is regarded as the ‘go-to guide’ on corporate governance for large companies. Government and SMMEs too would definitely gain by consulting the document. Basically, it highlights key aspects of creating a corporate environment for the 21^st century and beyond where corporate citizenship and responsible leadership are key. Only by focusing on its role in society and behaving with transparency can an organization ensure its reputation and sustainability.

PR and Communication must be strategic to be effective here’s an easy 8 Step Plan.

In a 2016 article Roger Jabaly defined strategic communication management as “The systematic planning and realization of information flow, communication, media development and image care in a long-term horizon. It conveys deliberate message(s) through the most suitable media to the designated audience(s) at the appropriate time to contribute to and achieve the desired long-term effect. Communication management is process creation. It has to bring three factors into balance: the message(s), the media channel(s) and the audience(s)” (Bockstette & Carsten, 2008).

Jabaly further suggests that writing a communication strategy should include identifying the different aspects that need to be planned for. He offers eight steps that would lead into a well-rounded strategy, fulfilling the aspirations of most organizations.

1) Statement of Purpose: Why are you developing a communication strategy in the first place and what needs to be achieved with it.

2) Current Situation: To understand your organization’s current situation it is highly recommended to use tools such as: SWOT analysis (Strength, Weakness, Opportunity, Threats), PEST analysis (Political, Economic, Social, Technological, and Competitor analysis).

3) Set Objectives: It is crucial to align both Organizational and Communication objectives and present a communication strategy that delivers on your organization’s overall vision, and objectives.

4) Identifying stakeholders: Know your audience. Whether internal or external, communicators should be able to give a comprehensive description of their audiences.

5) Messages: Craft your messages to be simple, relevant and appealing to your different audience. Avoid using one size fits all approach.

6) Key Communication Channels: Ask yourself what are the most appropriate channels to use in transmitting your messages? Understand all the available media channels and their level of engagement each offers your audience, especially social media.

7) Playbook: With your audiences and communication methods identified, it is time to highlight your key communications activities, budget and allocated resources. Your work plan will allow you to measure steps toward your goals.

For a truly well-rounded communications strategy, communicators need to incorporate detailed plans for Media/PR, Digital, and Crisis Communication.

8) Auditing and Evaluating: What are your key performance indicators, what would strategy success look like, how would you evaluate, measure and audit your communication strategy performance?

Add to the conversation! Share and contribute your thoughts, questions and experience on developing a communications strategy.