ABSTRACT
Reputation is of immense importance to all organizations as it paves the way
to acceptance and approval by stakeholders. It underpins competitive
advantage by demonstrating differences from other similar organizations
Reputation does not occur by chance. It relates to leadership, management,
and organizational operations, the quality of products and services, and-
crucially-relationships with stakeholders. Reputational performance is also
connected to communication activities and feedback mechanisms
Reputation is a collective representation of images and perceptions that
involves relationships with stakeholders. It is gained, maintained, enhanced,
or detracted from over time. All members of an organization make a
contribution to building and sustaining a reputation
Brand, identity, and reputation are sometimes used interchangeably but
inaccurately. Image is an organization’s self-presentation; brand is its offer in
terms of products, services, and customer relationship; whereas reputation is
bestowed by the perceptions and interactions of others
Reputation management is a term whose validity is contested. There are those
who consider that reputation cannot be managed and that it is an outcome of
interactions between the organization and its stakeholders; others make the
case that it can be developed in a planned manner by organizations that are
fully aware of their operating environment and respond constructively to it
Closely allied to reputation is relationship management, which is being
strongly advocated as the new paradigm for public relations. This moves
public relations away from message creation and dissemination to the
development of mutually beneficial relationships between organizations and
stakeholders (publics). Strong, positive relationships are the bedrock of good
reputations
Case studies show how positive and negative aspects of corporate decision-
making, communication and operation performance affect reputation. In
some instances, a good reputation has a defensive halo effect in protecting
an organization in a crisis; whereas a poor or declining reputation limits an
organization’s operational freedom and can lead to its failure
Best practice in reputation management has found that CEOs (or equivalent
leaders) are very important in reputational matters in some countries (Italy,
Canada, and the USA) but much less so in others (Belgium, France, and the
UK)
A good reputation is an excellent calling card: It opens doors, attracts followers, brings in customers and investors-it commands our respect.
