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Corporate Reputation & Risk Management
           Brian Cronkhite – August 4, 2010
“A good name is better than riches.”
-- Don Quixote
Reputation is shaped by perceptions
•   They are formed by what people know, see, hear, read and experience
•   They determine how people think and feel — and, therefore, how they
    behave
•   Perception = reality




       What do you see?
Reputation is shaped by perceptions
•   They are formed by what people know, see, hear, read and experience
•   They determine how people think and feel — and, therefore, how they
    behave
•   Perception = reality




       What do you see?
Reputation is shaped by perceptions
•   They are formed by what people know, see, hear, read and experience
•   They determine how people think and feel — and, therefore, how they
    behave
•   Perception = reality




       What do you see?
A good reputation is forged over…
And a consistent, complex web of interactions…
When reputation is good…
Recommended as a place to work

     Give the benefit of the doubt

                   Recommend as JV Partner

Recommend stock

     Pay more for products / services
When reputation is bad…
“It takes 20 years to build a reputation
and five minutes to ruin it.”
-- Warren Buffet
A CHANGING ENVIRONMENT
6 communications trends re-shaping the RM
equation
#1 Professionalism - of NGOs, Activists
#2 Transparency
#3 Accountability
#4 Dialogue
#5 Alignment
#6 Speed
‘   ’
’
What role should communications play in RM?

                                1.       Corporate              2. Corporate
                                         sensor                     conscience
                                         –    identifies and       –    contributes and
                                              assesses                  participates in
                                              stakeholder               the decision-
                                              sentiment                 making process

                               3. Corporate                     4. Corporate
                                   communicator                     monitor
                                     –       speaks for the         –   ensures
                                             corporation in a           company is
                                             truthful, timely           delivering on
                                             manner                     its promises

Source: Harold Burson’s view
on the role of Corp
Communicator
Discussion
Brian Cronkhite                          Talk to B-M online:
Managing Director, Corporate Practice,
Greater China

T: 86 21 5403 6950                       http://www.burson-marsteller.asia
brian.cronkhite@bm.com

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Corporate Reputation and Risk Management

  • 1. Corporate Reputation & Risk Management Brian Cronkhite – August 4, 2010
  • 2. “A good name is better than riches.” -- Don Quixote
  • 3. Reputation is shaped by perceptions • They are formed by what people know, see, hear, read and experience • They determine how people think and feel — and, therefore, how they behave • Perception = reality What do you see?
  • 4. Reputation is shaped by perceptions • They are formed by what people know, see, hear, read and experience • They determine how people think and feel — and, therefore, how they behave • Perception = reality What do you see?
  • 5. Reputation is shaped by perceptions • They are formed by what people know, see, hear, read and experience • They determine how people think and feel — and, therefore, how they behave • Perception = reality What do you see?
  • 6. A good reputation is forged over…
  • 7. And a consistent, complex web of interactions…
  • 8. When reputation is good… Recommended as a place to work Give the benefit of the doubt Recommend as JV Partner Recommend stock Pay more for products / services
  • 10. “It takes 20 years to build a reputation and five minutes to ruin it.” -- Warren Buffet
  • 12.
  • 13. 6 communications trends re-shaping the RM equation
  • 14. #1 Professionalism - of NGOs, Activists
  • 15.
  • 16.
  • 18.
  • 23.
  • 24.
  • 25.
  • 26. What role should communications play in RM? 1. Corporate 2. Corporate sensor conscience – identifies and – contributes and assesses participates in stakeholder the decision- sentiment making process 3. Corporate 4. Corporate communicator monitor – speaks for the – ensures corporation in a company is truthful, timely delivering on manner its promises Source: Harold Burson’s view on the role of Corp Communicator
  • 28. Brian Cronkhite Talk to B-M online: Managing Director, Corporate Practice, Greater China T: 86 21 5403 6950 http://www.burson-marsteller.asia brian.cronkhite@bm.com