Future of Risk Series: Reputation Risks Accelerate and Amplify
January 12, 2017 9:02am
By Nancy Albinson, Andrew Blau and Yang Chu
In today’s hyper-connected world dominated by mobile devices, social media, and evolving expectations from society, information can spread like wildfire. This convergence of mobile and social media is intensifying the impact of reputation risks for organizations and is driving them to fundamentally rethink their approaches to risk management and proactively address these accelerated, amplified risks.
What forces are driving this trend?
What are the opportunities?
What are potential threats and pitfalls?
Case studies: Where is this trend already in play?
A media conglomerate fired its head of communications for an offensive personal social media post—which went viral in a matter of hours—in an effort to prevent further damage to its reputation.
Websites like Ripoff Report and Scambook offer online platforms for consumers to post complaints. Ripoff Report receives more than a million visits a week and generates several million dollars of revenues a year from firms that pay to resolve customer complaints.1
Food safety incidents can cause significant reputation loss and revenue impact for food and beverage companies. The impact on a company’s reputation is often intensified due to the negative attention received through social media channels. Brands that are not prepared to respond to crisis face further scrutiny for moving too slowly when incidents occur.
Explore the future of risk trends:
1 Adam Tanner, "Love it or hate it, Ripoff report is in expansion mode," Forbes, May 09, 2013
deloitte & touche,
Nancy is a managing director at Deloitte & Touche LLP and leads Deloitte Advisory’s Innovation Program. She guides the business in establishing innovation strategies, identifying emerging client needs, overseeing a portfolio of strategic investments from validation to commercialization, and building a culture of innovation.
Contact: Nancy Albinson
+1 973 602 4523
Andrew Blau is a Deloitte Advisory managing director at Deloitte & Touche LLP. He leads Strategic Risk Solutions, which helps clients spot, assess, and manage critical long-term risks.
Contact: Andrew Blau
+1 415 932 5416
Yang Chu is a senior manager at Deloitte & Touche LLP. She is a specialist in strategic, financial, operational, technological, and regulatory risk and focuses on exploring emerging trends for opportunities and threats for clients and for Deloitte.
Contact: Yang Chu
+1 415 783 4060
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