08 October 2013
Kenneth Underhill outlines the growing importance of reputational risk and how it can be protected against.Companies have always faced risks that could damage their reputation. But those risks have never been as pervasive and immediate as they are now and a quick glance through recent newspaper headlines underlines the extent of this challenge. Financial institutions and internet retailers have faced scrutiny and censure for their tax structures; supermarkets and food suppliers have faced a crisis over horsemeat contamination in beef products; and fashion retailers have been held to account following the tragic collapse of a garments factory in Savar, Bangladesh, earlier this year. There is no question that reputation is critical to the long-term health of any company and that it is now a key issue for every boardroom.