Impact Of Reptrak On Organisational Reputation Building
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In the 21st century, businesses are in ceaseless struggles with each other to set their unique identities in the marketplace. Advancement in communication technology has accelerated the corporate reputation by establishing a superior level of interconnectivity among different stakeholders. In the context of corporate reputation building, RepTrak serves as an only provider of data and insights regarding ESG perception on a global scale. This essay aims to assess the significance of RepTrak methodology in corporate reputation building along with its drivers. Drivers of reputation in corporate sphere are mainly innovation, products and services, leadership, performance and governance. Based on its existing historical database, RepTrak intends to make a world-class method for determining organizational reputation from varied perspectives.
Significance of Reptrak methodology in reputation building
Reptrak all over the world has acquired the prominence of a leading organization, specialising in reputation data and insights. According to Chan et al. (2018), the Reptrak model acts as a global standard for measuring and analyzing perceptions and sentiments of target audiences across different geographies and industries. This author also shed light on the fact that Reptrak methodology is a standardized framework to set the benchmark of corporate reputation. In terms of analysing the significance of Reptrak, it is necessary to elucidate the impact of corporate reputation on business sustainability. Reptrak pulse in terms of measuring corporate reputation relies on perceptions, trust, esteem and admiration of the consumer base. Diez-Cañamero et al. (2020) added that both qualitative and quantitative format of research is followed by Reptrak methodology to explain the international reputation of a firm. Corporate and organizational reputation being an intangible element effectively extends the outreach of organizations and also strengthens their loyal consumer base all over the world. Taking this scenario into account, it is to be stated that Reptrak methodology and its strategic application is vital in the context of corporate reputation building and at the same time paving the path for better ROI. As per recent data of 2021, an extensive survey of Reptrak has pointed out that leading giants like Rolex SA, Microsoft Corporation, Ferrari N.V and Adidas have enduring corporate reputations in marketplace (Hood, 2021). This everlasting reputation is exerting a positive impact on society, while the core purpose is to empower a bright yet inclusive future for all.
Impact of media impression on organizational reputation
In the media scenario of 21st century, social sites play a dominant role and arena of corporate communication is entirely transformed by the advent of 2.0 web technologies. Gao et al. (2018) regarded social media as an intangible and inimitable aspect of social exchange and communication which is fundamentally altering the usual ways of business. In context of corporate reputation, uptake of social media is increasing at a rapid pace, while having a profound impact on commitment in relationship building. Social and traditional channels of media in a three-step way intends to affect the relationship in both positive and detrimental manners. Zeesahn et al. (2020) stated that a sound corporate reputation confers competitive and favourable edges to an organization. Organizations in possession of a better and superior reputation attract more able and qualified human resources, while their good images act as branding.
A poor reputation of a company can ravage its corporate health and leaves it susceptible to negative media attention and low retention of employees. From this statement, it can be deduced that the function of media is to add value through impression setting. For instance, digital advertising on social media sites creates an initial impression in the mind of the audience regarding a company or brand and based on reputation drivers, they finally make out their buying preferences. Gallagher et al. (2020) enlightened the fact that the personal reputation of organizations is built based on a mosaic of personal information available about the organization or brand. It is to be stated that social sites assist in building a new set of sustainable relationships between representatives of organizations and consumers. The ability of social media is not confined to making a social impression, but also it provides an engaging method of communication. Farzin and Fattahi (2018) argued that social media is referred to as a potent tool owing to its ability to shape the thought process of individuals. From this perspective, traditional and social media both are highly influential in terms of stakeholder communication and response from corporate communicators. Therefore, media through different channels elucidates the process of corporate reputation building.
Consequences associated with loss of reputation
In face of situational contingencies and the inability to adapt to a sea of change enable an organization encounters reputational damage. Kong et al. (2021) identified that for many organizations, a priority of shareholders directly or indirectly is related to the needs of employees and consumer power. Leading ride-offering organisations like Uber is still striving to restore their reputation in the marketplace as their culture is considered to be associated with allegations of sexual harassment. In 2019, Uber made an attempt to streamline and alter its marketing efforts in order to get rid of negative publicity (Siddqui, 2019). Negative outcomes of reputational damage have a far-reaching impact on business operations. Ranging from falling share prices to declining profit rates are traced out in the organizational framework, which undermines employee retention. As a consequence, companies find it difficult to recruit fresh talents and hit the margin of operating profit. In the wake of the Covid-19 crisis, chances of reputational damage have increased as expectations of stakeholders have completely changed.
In light of the above statement, it is to be assumed that brand and corporate reputation is the highest strategic risk area for firms. Tham et al. (2020) held the view that negative media coverage or ineffective social media operation can act as a catalyst for negative review generation. Ethical reputation is of paramount importance to organizations as it permeates the protection of sensitive details of stakeholders. For instance, leading giants like Facebook also became prey to the Cambridge Analytica scandal, where Mark Zuckerberg's team failed to protect the privacy of its 87 million users (THE GUARDIAN, 2018). In the aftermath of this scandal, Facebook was bound to reform its policies regarding data privacy and protection.
Enhancement of CSR activities to stimulate recovery of reputation
Reputational recovery is one of the most vital aspects to recover financial stability and strengthen the loyal base of consumers. As per the view of Kim and Thapa (2018), a culture of ethics and compliance can escalate the overall organizational operation to a superior level. CSR stands for corporate social responsibility that takes into account the expectations of a significant stakeholder base like consumers, NGOs and media. For instance, the climate pledge and net-zero carbon emission policy have aided Amazon to create an enduring image in society and at the same time stay true to bold commitments to society (AMAZON, 2022). On the other hand, sustainable and harmonious streamlining of operation in supply chains of organizations can help to revamp corporate reputation.
Amplification of organizational reputation through leadership
The presence and standing of the CEO and managing directors serve as driving forces in delineating corporate reputation. Kim et al. (2019) clarified that leadership hinges on a harmonious reputation and promotes the central purpose of an organization. Strong leadership in an organizational framework espouses the core value system and consolidates the brand strength. For instance, the extraordinary and strategic leadership of Elon Musk has contributed to the everlasting fame and reputation of Tesla (Blank, 2018). It is to be analysed that strong emphasis on authenticity; distributed power and agility have lifted the position of leaders from mere organizational heads to a representative of organizational values.
Advantages of using RepTrak for reputation measurement
Brand and reputation are incredibly vital for organizational and business welfare. Langham (2018) depicted that RepTrak being a measurement algorithm can support organizational leaders and directors to improve the intrinsic alignment between reputation and stakeholder expectations. RepTrak methodology beefs up the reputations of organizations, based on the application of qualitative and quantitative measurement. For instance, Estee Lauder has ranked 53 in the global reputation spotlight, offered by RepTrak and at the same time it has enriched the brand image. On the other hand, RepTrak takes part in linking the marketing strategies with that of the corporate narrative. As per data, Carlsberg Group's commitment to becoming completely carbon neutral by 2030 has attached the brands with sole purpose (CARLSBERG GROUP, 2022). Along with that, RepTrak has a wide array of advantages like the elevation of growth, better employee reputation, higher sales and advocacy. A clear insight regarding strengths and weaknesses allows companies all over the world to heighten the unique promise of a brand to a higher level.
RepTrak plays an indispensable role in shaping and moulding organizational positioning in the global marketplace. Leading giants like Carlsberg Group, Estee Lauder, Disney and Rolex have their prominent places in reports, offered by reputation intelligence tracker, RepTrak. This essay has placed an emphasis on the significance of reputation and its effect on business activities. Providing different ratings to different global companies based on reputational drivers strengthens the corporate brand positioning. Scrutiny of strengths and setbacks of organizations in a business environment, RepTrak methodology also paves way for increased levels of trust, while enabling the design of custom policies. On contrary, CSR activities and leadership skills of managers and CEOs amplify the reputation or restore the damaged reputation. Advantages of using RepTrak tools are pointed out in order to consolidate the level of corporate trust and brand reputation. In a nutshell, this study exhibits the impact of reputational damage on market positioning, while outlining methods of recovering them.
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