Protecting brand and reputational risk over the next decade
An organisation’s reputation is fundamental to its growth and is largely determined by the interplay of aspects such as ethical compass, governance framework, reputed board and management, robust customer and vendor ecosystems, innovative and caring work-environment, financial performance and social responsibility.
Despite the strategic significance of brand reputation, quite often, organisations lack integrated processes that can assess real-time impact of events. When crises arise, the effectiveness of the organisation’s response-mechanism – both in terms of agility and adequacy – determine the reputational impact. A holistic, integrated approach becomes essential to minimise the response-time.
Aligning the organisation’s fundamental values with its moral and legal obligations towards its employees, customers, vendors, and other stakeholders could be instrumental in mitigating negative sentiments caused by adverse events. Organisations must establish risk-sensing and monitoring capabilities because the worst time to develop a reputation strategy is when your back is against the wall and you are running out of time and options.
Rohit Mahajan, President, Risk Advisory, Deloitte Touche Tohmatsu India LLP