Why PR Counsel is Needed in the C-Suite
(This is Part 1 in a series of posts about the role communication plays in the top company offices)
Whether small or large in size, every company’s brand and its corporate reputation are interconnected. A company with a well-known brand and good reputation has a dollar value, but it also has significant intangible value. The more value a company builds by protecting both its brand and its reputation, the more likely it will be able to hire and retain the best talent and build a long-term, loyal customer base which helps gain it position as the sales market leader. That well-established and trustworthy reputation also allows for greater value creation within the company. Unfortunately, significant decisions made at the senior executive level and implemented without a strategy or well-executed communications plan, can impact a company’s reputation and financial viability in mere minutes.
So how do you put a process in place to ensure that your brand and your reputation are protected?
Both preparation and training are crucial for both planned and unexpected events, and developing an objective, strategy and thoughtful approach to announce or respond to significant events surrounding the company is vital. Additionally, before doing anything publicly, it is critical that corporate officers have a PR infrastructure in place to mitigate risks by vetting all possible consequences of their planned response.
There are a number of important public steps to take if a corporate crisis arrives, and oftentimes the first step to take is to……
Know when and how to apologize, if needed
If a company faces a situation in which their actions were made in haste or deemed a mistake, in many cases the first action should be to apologize in the most sincere manner possible. It sounds like common sense, but getting caught up in emotions can cause the company’s CEO or spokesperson to inadvertently provide the media the most memorable, but worst possible quote. Everyone can remember former BP CEO Tony Hayward’s unfortunate quote following the worst man-made disaster on record….“I’d like my life back.” The quote and video now lives in infamy on the Internet.
The CEO’s most important job at the point where a mistake is recognized is to restore trust and credibility and provide leadership. Accepting responsibility for the actions of your company and communicating how you will fix things and do better in the future goes a long way with the media, the general public, your customers, and your stakeholders. Attempting to shift blame to someone else, or pass the buck, comes across as a cheap shot and starts to chip away at a company’s reputation.
Although much of this seems like common sense, even the largest companies can mistakenly believe size and market position will be their teflon. In the long run, it’s less expensive to plan and prepare and not make the mistake in the first place than to watch the company’s hard-earned reputation and value quickly diminish to the point of no return.
Next week, Part 2: Stakeholder Engagement Integral in C-Suite Communications
Tags: Public Relations
