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Reputation Risk Is Less An Exercise in Public Relations…

October 25, 2016 Leave a Comment

I am routinely frustrated, as I suspect most readers are as well, when allegations surface that another company is alleged to have engaged in some predatory practice toward consumers, which often, are found to be their own customers.

These often collusive shenanigans company’s are myriad, at best, they are sleazy and unethical and seldom wholly mitigated through civil actions alone, especially, when audacious and conciliatory responses emerge from company executives, timed to accommodate relevant geographic news cycles and global markets’ opening and closing bells.

My initial reaction to most of the now, all-too-common ‘gotcha’ responses conveyed by company executives or their proxy is they frequently could be interpreted as condescending, i.e., the alleged acts occurred years previous and we (the company) have addressed them.

Often the subtext is, the alleged acts were part of a business unit, or perhaps company-wide culture whose prey was consumer – customer gullibility. Through these lens, distinguishing right from wrong are not malleable social constructs, rather, easily defined absolutes!

Frustration also lies in organization leadership who, once brought (subpoenaed) before the public eye, frequently assert little, if any, personal knowledge of specifics, but, endeavor to characterize them as originating in a ‘rogue’ component of the larger organization. Well, of course they did, that is, until the evidentiary quicksand (truth) eventually forces them to describe it otherwise.

Another troubling aspect is that organizations frequently (initially) treat these types of allegations as mere public relations challenges which can be rapidly repaired – remediated with focused-grouped print and media ad buys. And, of course, the not-so-subtle perception such ad buy’s wish to convey is, the alleged misdeeds do not, and never have, represented the (operating) mission-principles of this organization, and oh, by the way, before judging us too harshly, consider all the nice things (contributions, donations, etc.) this organization has done – is doing in your community. Yes, in many instances that’s probably true, but, shouldn’t it prompt us to wonder the circumstances in which those contributions – donations originated? It wasn’t that many years ago when, the realities of apartheid could no longer be subjugated – forsaken to profits by numerous U.S. companies and institutions, i.e., divestiture!

Hopefully, organizations that find themselves adversely mired in uncorrected misdeeds will realize they are more than mere PR challenges that presume to have specific starting and ending points to a public rehabilitation. Instead, there is the materialization of indeterminate qualitative and quantitative reputation risk that will surely manifest as customers, clients, and consumers find it in their interest to wholly withdraw or minimize their relationships with culturally tainted companies. The lessons are many here, perhaps the most significant is, there are fewer organization practices, behaviors, and/or events, which, when-if they go awry, can or should be dealt with as mere amelioration of the public.

Michael D. Moberly October 23, 2016 ‘A blog where intangible assets and IP meet business’!

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Categories: Business Reputation Risk & Mitigation Tags: Public relations., Reputation risk

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