Tag Archives: diversity

CDA 230

This is republished with the permission of Interfor International. Its president, Don Aviv, is a Reputation Communications Advisory Board member.

Reputation management for entities is particularly relevant these days as the whole world watches the Twitter saga unfolding.

With the social media giant in freefall and its new boss Elon Musk pushing his own inscrutable agenda, the question of how organizations can effectively manage reputations during times of change or crisis should be front of mind for the leadership of any organization paying attention.

Since Musk took the reins of the social media giant, Twitter has faced major challenges such as users and advertisers fleeing the platform and senior employees jumping ship. The mass layoffs the company has endured and the media circus accompanying every action has exacerbated the hit to Twitter’s brand.

The situation could become more volatile.

It is still not clear what Musk’s vision for success with Twitter is, and there are plenty of reasons to be skeptical of his ability to dig himself out of the deep hole he has dug himself, despite the success of Tesla and Space X.

Perhaps this is a case in which we can examine how an organization can learn how to manage its reputation in the public eye… and come out even stronger.

The current imbroglio that Twitter finds itself in is an extreme situation where the world’s richest man has acquired the world’s public square and the result is a stunning explosion of brand value. But observant companies can still learn valuable lessons from this fiasco about how to manage their reputation in the public eye, and even come through stronger when faced with significant challenges.

What it is, and why it matters

Reputation management is often defined as the practice of influencing stakeholder perceptions and public conversations about an organization and its brands. It includes monitoring perceptions and conversations, responding to reputation threats and proactively seizing opportunities to boost reputation.

Reputation management is more challenging for an organization with many moving parts, as opposed to individuals or small businesses which can monitor reputations online by tracking news, reviews, and social media. 

A larger organization, especially a publicly traded company, must manage expectations of shareholders and multiple partners, so reputation management becomes complex. But there are steps organizations can take to put their best foot forward online, in the media, and to their customers.

What can organizations do to protect their reputations?

Companies can take several steps to manage their reputation on an organizational level. A positive reputation can take years to build and a few minutes to ruin. There is always the risk that one misinterpreted tweet or post can cause a maelstrom on social media, so it is best to consider the following actions, all of which can be done preemptively.

– Be as transparent as possible in communications and with your audience.

Of value today in an organization is the ability to be transparent and own a mistake. Brands are as fallible as people, and as creators and influencers continue to be the face of organizations, brands will continue to strive to be perceived as relatable. This is especially true for Gen Z, who grew up on screens and understand which brands are authentic.

-Be diverse, but really embrace diversity

A lot of lip service surrounds diversity these days, with limited real action often taken in organizations. The best way to change is to promote diversity in your organization (including diversity of thought). Work to build diverse teams and share with your community what you’re doing, particularly the wins of team members.

-Be good to your employees

As we’re seeing with Twitter, Musk’s behavior and communication style is driving many employees away. His direct and abrasive style is self-selecting for employees who value his style of management, but the optics (as covered in the media) are not great. In general, people do talk, so being good to your employees will help generate good will.

These are three important points for reputation management on an organization level, but attention must also be paid to your online presence. In Twitter’s case, this is less relevant as they are a social media company. But most companies have a robust digital footprint which needs to be monitored. 

Steps for a better online presence:

-Prepare a digital strategy

As the saying goes, “failing to plan, means planning to fail,” so having some kind of plan is key. The online world is dynamic, but the good news is you can gauge feedback immediately and understand trends with easily accessible analytics. 

-Make your website (and social media) the authority

There is often an educational component to the service or product you market. With so much noise online and everyone jockeying to be an “expert,” building a presence with authority and developing content such as testimonials, data, and media links will help you stand out. The more authority you have online and the more transparent your communication, the better your reputation will be.       

-Have conversations with your customers

Your customers are your lifeblood and engaging with them (and the comments they post) can help spot challenges which may arise. Taking that extra step is also key in building brand loyalty with your community.

Related reading: The Essentials: Online Reputation Management FAQs

 
 
Wall Street Journal interview with Shannon Wilkinson

The Wall Street Journal has published an interview with Shannon Wilkinson, our founder and CEO. Here are highlights from the article, CEOs Face Reputation Pitfalls If They Avoid Social Media:

What are a few of the most common mistakes CEOs and top executives make that can lead to reputation damage to them and their organizations?

Ms. Wilkinson:  Many CEOs…they don’t own a lot of real estate in their name online, and they have not been proactive in creating a strategy to publish information about them on the Internet. When that happens the world creates your profile online, or Internet bots do. Whatever information third parties publish about you–whether credible or not, whether quality or not–will fill out the top pages of the Google search in your name and you have no control over that. The longer that stays the more difficult it is to replace it with more relevant  information.

Are these the same issues they were dealing with a few years ago? How has the reputation risk landscape changed?

Ms. Wilkinson: The reputation risk landscape has gone through three developments. The first, which CEOs noticed around 2005, was the first wave of proliferation of anonymous malicious commentary that appeared widely on the Internet and was often directed toward companies, toward CEOs. The second wave was the proliferation of consumer reviews online, particularly geared toward customer service and complaints. The third phase we’re in now is the lack of privacy online, the continual spills of confidential in-house memos and emails, and of course the hacking.

What are some best practices executives and organizations can take to make it less likely they will fall victim to reputation slip-ups?

Ms. Wilkinson: The first is to look at the company’s internal culture. A lot of negativity comes from employees so it’s a good time to look inside at the opportunities employees have, and to look at diversity and inclusion, particularly providing women with opportunities. This is really the hot seat CEOs face now. This is going to be an issue for every company—employees, consumers are looking at how equitable companies are at providing opportunities for women, minorities, the LGBT group.

What makes top executives susceptible to engaging on social media in a way that can cause them reputation headaches?

Ms. Wilkinson: Some lack an understanding of how many people use social media and how they use it. I think most CEOs don’t encounter issues because of what they say on social media, it’s what is said on social media in response to their actions, that is the bigger threat. They’re so scrutinized and it’s so easy for a comment to be taken out of context.

 
 

After enduring an online firestorm, Starbucks has stopped encouraging its baristas to write “Race Together” on coffee cups.

Starbucks is planning several steps as part of the “Race Together” initiative that promise to substantially benefit minority groups. But by leading with the slogan, the company has prompted heated criticism.

One issue that is increasingly incensing the online community is when consumers feel they are not represented within the senior-level staff of the brands they are loyal to. And with this campaign, Starbucks unfortunately highlighted that issue. As the New York Times’ Sydney Ember observed, “Many have pointed out that the company’s leadership is predominantly white, while many of its baristas are members of minorities.”

This controversy reinforces the importance of authenticity in public relations initiatives. We don’t doubt that CEO Howard Schultz’s heart is in the right place with this campaign. And we support his efforts to encourage discussion and the economic components of the campaign. But if he is going to associate the Starbucks brand with such a serious social issue, he should have preceded that slogan with action…including perhaps a seriously substantive movement to diversify Starbucks’s leadership.

 
 

After stepping over the line with some of her comments during an episode of Fashion Police—a show that makes snark part of its mission statement—Giuliana Rancic has come forward with an apology. And it is an excellent example of how to apologize through the media. It is sincere and authentic, while demonstrating understanding of where she misstepped and how her statement may have offended audiences. She directly addressed the target of her comments, Zedaya, with humility and grace.

We can expect to see Ms. Rancic recover, likely stronger than ever.

Note: Zedaya’s response to that apology is no less impressive.  Celebrities can learn from her intuitive grasp of how to negotiate the new media climate. We all can.

 
 
Crisis management

Every day, it seems, another major American brand experiences a crisis. Despite a large and experienced  industry of experts that fix them, they don’t seem to be going away. Last fall the CEO of Microsoft became one of many corporate leaders to unwittingly create one.

Why are so many CEOs stumbling in the diversity department? The problem often starts internally. Statements and actions by CEOs and other leaders portray them as out of touch with the people their companies target as consumers. Outrage ignites online, goes viral, and then lands on prime-time news. CEOs and boards are surprised over the impact of their actions or statements. They are often puzzled as to why a backlash occurred at all.

If you are a CEO, there are several steps you can take to ensure you don’t become the next target of online backlash. The first is to understand why these crises are happening so often and what they share in common.

My recent Forbes.com piece,  The Most Successful CEOs Embrace Customer Diversity, sheds light on the problem. How else can CEOs incorporate a more well-balanced blend of diversity within their corporate cultures? Conduct a search for #diversity and you will find plenty of suggestions.