• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Business Intangible Asset Blog, Michael D. Moberly

Business Intangible Asset Blog where attention span, business realities, and solutions converge.

  • About Mr. Moberly
  • Intangible Assets
  • Business Services
    • Business Training Curriculum
    • Professional Service Firm Marketing
    • Media Appearances
  • Shop
    • Cart
  • Blog
  • Contact Mr. Moberly

Reducing Reputational Risk…

July 20, 2009 Leave a Comment

Michael D. Moberly      July 20, 2009

Company reputation, along with image and goodwill, are intangible assets!  An effective initial step toward reducing the probability that a company will be unduly exposed to or become a victim of ‘reputation risks’ that occur with increasing frequency and adversely affect, not only image and goodwill, but value and revenue as well, is to conduct an intangible asset assessment.  A well designed and executed assessment will produce three relevant and beneficial outcomes for a company, (1.) identify its key intangible assets, (2.) assess reputational risks to those assets, and (3.) determine strategies to prevent and/or mitigate those risks. 

The following are the much abbreviated findings of an actual intangible asset assessment for a U.S. headquartered company.  This company is the market leader (developer, manufacturer, and supplier) of a particular automotive services product and has multiple U.S. and international manufacturing, sales, training, and distribution sites with annual sales exceeding $300 million.

The assessment revealed four key areas which, in the assessor’s view, warranted attention by the company’s management team and board:

1. A presumptive (over) reliance on patents as constituting the sole means for safeguarding the company’s rights to it’s reputational – proprietary know how…

2. An under-appreciation for the intertwined relationship between the company’s reputation (image, goodwill, brand/product integrity, etc.), relative to the (reputational) know how embedded in employees at various levels and global locations…

3.  Company practices (polices, procedures, etc.) were largely absent (a.) acknowledgement of intangible assets, and (b.) understanding of the assets relationship to sustaining/building company reputation…

4.  The absence of a protective company culture that contributes to ensuring key reputational drivers are sustained, in this instance, (a.) a web-based customer/client training and trouble-shooting programs, and (b.) rapid turn-around (response) times for customer inquires, services, trouble-shooting, product delivery, and repair…

The reason the assessor identified these four areas as warranting management team and board attention are the convergence of (a.) the assets’ vulnerability, stability, and fragility, and (2.) the rapid cascading affects that adversely affect reputation, image, goodwill, value, and revenue should certain risks (to  those assets) materialize.

 

Related Posts

  • Company Reputation: The Intangible Asset 'Risk of Risks'

    Protecting a company's reputation is, with few exceptions, one of the more challenging responsibilities in…

  • Business Reputational Risks and Company Boards...

    It used to take years of consistent mismanagement to destroy a company. Today, a company’s…

  • Managing Reputational Risk

    Company ability to sustain the long term value of their company's reputation lies in the…

Categories: Uncategorized Tags: Reputation risk, Reputational risk assessment begins with an intangible, Risk to company goodwill., Risk to company image., Risk to company reputation.

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

Blog Posts Archive

Blog Categories

  • Business Reputation Risk & Mitigation
  • Global Intangibles
  • Intangible Assets & Business
  • Intangible Valuation & Monetization
  • Safeguarding Intangible Assets & IP
  • Uncategorized
  • LinkedIn

Copyright ©2022 · KPSTRAT

Copyright © 2022 · Genesis Sample on Genesis Framework · WordPress · Log in