Business Reputation Risk 2021…first in a series

Michael D. Moberly, Principal, Founder, kpstrat

This is the first of a multi-post series intended to present readers with some (perhaps) unconventional considerations related to foreseeingmitigating the materialization of business reputation risks. Admittedly, less so on managing same after a reputation risk has exploded

Having accumulated 20+ years of cross sector experiences as a business intangible asset strategist and risk specialist, I encourage business leaders, entrepreneurs, investors, and management teams alike, to seek familiarity with a range of (fiduciary) obligations that reflect the business things intangible held in their domains of interest and specialization, for two mission essential reasons…

  1. the economic fact that 80+% of most business’s value, sources of revenue, competitiveness, future wealth creation, and brand, etc., originate with and derive from various forms, contexts, and applications of intellectual, structural, and/or relationship capital, ala primary intangible assets.
  2. moremost business’s today, for the foreseeable future, irrespective of sector, are irreversibly intangible asset intensive, dependent, and reliant.

Readers who, for their reasons and influences, suspect the validity (or some aspect) of 1 and/or 2 above, and prefer deferring to conventional thought and past practice as either a rationale or guide to diminish, omit, overlook, or dismiss the various contributory roles and value-adds of business things intangible, should measurably expect…

  • continuing to do so, will not likely or consistently convert to favorable returns for their business, irrespective of its size, stage of maturation, or sector.

Advisedly, business reputation risks today and going forward, are measurably less deferrable, escapable, or manageable after-the-fact.

Business reputation risks routinely materialize, embed, explode, and cascade at others will and at keystroke speeds, whether (a.) fiduciarily obligated, (b.) emerging from risk-taking operating cultures, or (c.) motivated by internal – external economic – competitive advantage adversaries.

For many businesses, and for various reasons…

  • the direct, indirect, potential irreversibility, and time – resource costs to try to ameliorate, i.e., parse and investigate economic – competitive advantage damages stemming from the materialization of a single (soon-to-be-generalized) reputation risk, are not insignificant nor merely an inherent risk of doing business.
  • a particular reputation risk may be moreless likely to explode (circumstantially), and may be more likely and more rapidly will be characterized (internally – externally) as potentially irreversible to a brand…

if – when leadership inaction and/or remedial action is circumstantially interpreted as being less decisive, specific, and/or culturally – operationally accountable relative the risk which has come-to-light and is now exposed in global public domains to obligingly skeptical current – prospective consumers, buyers, clients, supply chains..

I respectfully invite readers to consider the variously unconventional ‘business reputation risk’ perspectives conveyed in this series of posts at Business Intangible Asset Blog.


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