The aftermath of the BP Gulf of Mexico crisis creates a great opportunity for PR Managers or corporate communicators to sell top Australian management within their organisations on the need to think more seriously about corporate reputation management.
The importance of PR and crisis management, and the corporate reputation problems BP faced as a result of what started out as routine operational matter, have been well documented.
Most of the PR commentary has focused around the detail of how BP handled the crisis with an emphasis on what they could or should have better, how they handled the media and, in particular, the perceived shortcomings of BP Chief Executive Tony Hayward.
Of course it’s a wake-up call for all in-house PR professionals to make sure that not only do they have a crisis management plan in place; also to ensure that key executives are thoroughly media trained. It’s an area that I’ve not only written extensively about for a number of years; I’ve helped organisations put in crisis management structures and processes. And helped them test them!
But to me the lessons of the BP crisis go much deeper for in-house PR professionals (and those advising from the outside).
I believe it really provides an opportunity for those in-house PR professionals who think strategically, and who want to be seen as part of the senior management team, and to show how important reputation management is, and the role that PR and communications can play.
In my experience of working with in-house PR Managers for over 25 years, they face a number of challenges to make an impact in this area of reputation management. This is because:
1. The PR or communications function has often grown with an implementation rather than a strategic bias to it. That makes it difficult to change internal mindsets and get a foot under the top table where strategy is decided.
2. Management, if it thinks of reputation at all, fails to understand or appreciate that there are both tangible and intangible contributors to reputation and that in many instances it is those that are intangible that can potentially have the biggest impact (good or bad) on reputation.
3. Getting serious about reputation involves looking hard within the organisation to uncover faults and issues and many in top management prefer to leave those stones unturned. In particular they often fear it will bring an element of negativity to the table, when the CEO, and in particular the Marketing Director, just want to look forward and think positive.
4. Public companies equate reputation with their share price and they think that investor sentiment is what matters. Blindfolded by their financial advisors, and in fear of transgressing ASX rules on disclosure, public communication becomes narrowly defined as ‘market communication’.
5. The PR or Corporate Affairs Manager, while recognising the need and opportunity, often lacks the in-depth knowledge to argue the case not only for reputation management but for him or her to manage and implement it. It’s a lonely task being the sole advocate!
Articles I’ve written on crisis management and the role of corporate PR in recent months and on the general topic of corporate reputation over the years at PR Influences all provide further insights.
However, in the last few weeks a great white paper entitled ‘Reputational Risk Management: A Framework for Safeguarding Your Organization’s Primary Tangible Asset’ by Jeffrey Resnick of Opinion Research Co has been published.
If you have a serious interest in reputation management, it’s a ‘must read’ as it makes the case for better reputation management and provides examples of companies that have analysed their reputational risk profile. Furthermore it advocates the institution of corporate reputation audits and offers a blueprint for their implementation.
Another resource in this area which is one of my favourites is a PowerPoint presentation on Reputation Management from the London School of Public Relations. It’s about 15 years old, but it’s got some good stuff in it for anyone who wants to build a case for why their organisation should take corporate reputation management more seriously.
If anyone else has other sources that will help shed light on what is a complex subject please share them.
PS. On a lighter note it’s now possible to hire help from an external ‘Cyber Reputation Manager’ who will eradicate all adverse comments about your organisation on the Internet.
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