Reputation Management: The Key to Successful Public Relations and Corporate Communication (2nd ed.)

Citation

Hazlett, K. (2012), "Reputation Management: The Key to Successful Public Relations and Corporate Communication (2nd ed.)", Journal of Product & Brand Management, Vol. 21 No. 5, pp. 380-381. https://doi.org/10.1108/10610421211253669

Reputation Management: The Key to Successful Public Relations and Corporate Communication by authors John Doorley and Helio Fred Garcia is a meticulously detailed work. It finds its strength in the numerous real‐life examples found in each chapter that clearly describe the concept being discussed and lend credence to the authors' statements.

Reputation Management's credibility stems from the backgrounds of the two authors, both seasoned corporate communication professionals with experience at such prestigious companies as Merck, Hoffmann‐LaRoche, CS First Boston, and both now as educators sharing their expertise with future generations of communicators.

As such, while the text is very much communication‐focused, both experienced corporate communicators and senior managers as well as up‐and‐coming practitioners will benefit from a thorough reading. From the initial chapter, “Reputation Management,” through the last, “Public Relations Consulting,” all aspects of this complicated, crucial concept are discussed and explained.

The authors make it clear from the beginning that reputation management isn't a “back‐burner” option for any organization wishing to establish itself in today's consumer‐driven world. “The reputation component of market capitalization, reputational capital, is a concept closely related to ‘goodwill,’ and it is worth many billions of dollars in many large corporations” (p. 5).

Whether you are the chief communicator or the chief executive, say the authors, the way in which your organization is perceived by your stakeholders will affect your overall success. “Reputation is an asset and must be managed like any other asset” (p. 28).

Chapter 2, “Ethics and communication,” addresses a critical element in the communication process, particularly when it comes to reputation. Not only must an organization think ethically; it must be perceived as acting ethically […] and, again, stakeholder perceptions are key. “The corporate scandals of the 2000s demonstrated that a company's ethical lapses can cause significant harm to reputation, operations, morale, customer demand, stock price, and in some cases even a company's survival” (p. 60).

All too often, even in today's mega‐connected business and social world, corporate management shows a tendency to discourage outward‐bound communication regarding its policies and practices. Chapter 3, “Media relations,” discusses the importance of establishing relationships and encouraging ongoing communication with the media. As both authors emphasize […] from experience […]. “There is one group that influences every other constituency that matters to a company, a group that can affect the company's reputation quickly and profoundly: the news media” (p. 77).

In addition to the traditional media, with which most corporate managers are familiar and feel as though they are experienced enough to “handle,” the Internet has spawned a rapidly‐expanding new mode of public communication known by various terms, but most often referred to as it is in chapter 4, “Social media.” From Facebook to Twitter to blogs and wikis, the general public now has an opportunity to comment on, react to, praise […] and damn […] an organization's actions.

As the authors point out, “With social media, people can connect with organizations and each other in ways that were limited or not possible before – employees with the mainstream media, customers with employees, the general public with customers, and so on” (p. 114).

The inherent lack of control over these communication activities generates tremendous anxiety on the part of corporate managers […] and the desire is to limit interaction. But these individuals, acting on traditional training and experience, must understand that the choice is no longer theirs. The communication will take place, and they must become a part of that dialogue. Public engagement is vital to protecting reputation, and “social media allows companies to go directly to their customers, potential customers, and a general audience to get immediate and direct feedback” (p. 121).

Not only must external audiences be considered; internal audiences […] employees […] must also be addressed in the formulation and conduct of an organization's reputation management efforts. Chapter 5, “Organizational communication,” makes it very clear that this must be a top‐down initiative. “[Aligning and engaging] employees in support of reputational interests must be a leader‐driven and leader‐led activity. In those organizations that most effectively promote alignment, the CEO is front and center on the topic” (p. 136).

Subsequent chapters address specific stakeholder groups including government relations, community relations, and investor relations. In particular as it relates to investor relations, but equally applicable to other areas, “over the last ten years in the United States, a variety of initiatives have gone into effect designed to enhance transparency, level the informational playing field, speed the availability of corporate data, and improve corporate governance” (p. 218). The world is watching, and clear, consistent communication is mandatory.

Discussion of the often‐related topics of issues management (Ch. 11) and crisis communication (Ch. 12) serves to emphasize the importance of these two concerns in effective reputation management. To begin, “issues management is a corporate process that helps organizations identify challenges in the business environment before they become crises” (p. 280).

Managers […] and communicators […] must be vigilant in their identification and analysis of issues that have the potential to impact their organization for one critical reason […] “Most issues are or could become public, and much damage to a company's operations and reputation is based on public reaction and criticism” (p. 295).

Chapter 13, “Corporate responsibility,” emphasizes the importance of both acting responsibly and communicating that action to your stakeholders. “Meeting the non‐financial expectations of stakeholders helps a company manage risk, protect its reputation, attract and retain employees, grow its markets and improve its financial performance for shareholders” (p. 338).

Not only must the organization work diligently to satisfy the demands for and expectations of its products or services; it must demonstrate, through word and action, its commitment to bettering the work environment, communities in which it operates, and society as a whole.

The final chapter, “Challenges and opportunities in corporate and organizational communication,” sums up the importance of reputation management in the life and success of an organization and the role that effective communication can play in building and maintaining awareness of the organization's activities. “An organization's reputation is the sum of how its various stakeholders view it […] Enlightened companies know that an effective corporate or organizational communication process can both enhance and protect its reputation” (p. 381).

Reputation Management: The Key to Successful Public Relations and Corporate Communication should sit on every manager's bookshelf as a reference work and a reminder of the importance that reputation holds in the corporate hierarchy and the value that an engaged communication function can bring to the table.