Rethinking Reputational Risk

How to Manage the Risks that can Ruin Your Business, Your Reputation and You

This book

• Explains the underlying behavioural and organizational risks that can leave organisations vulnerable to what can be catastrophic reputational damage • Provides a framework and insights that will help risk managers and boards to focus on and deal with the fundamental behavioural risks that underlie reputational risks • Reveals how and why these risks remain hidden for long periods before emerging unexpectedly, giving readers the incentive to troubleshoot for their organizations well before trouble emerges • Uses a wide variety of real-life case studies - BP, Barclays, AIG, Volkswagen and the

NHS - and examples of organizations that have suffered reputation damage to draw out insights

Description

A company's reputation is one of its most valuable assets, and reputational risk is high on the agenda at board level and amongst regulators. Rethinking Reputational Risk explains the hidden factors which can both cause crises and tip an otherwise survivable crisis into a reputational disaster.

Reputations are lost when the perception of an organization is damaged by its behaviour not meeting stakeholder expectations. Rethinking Reputational Risk lays bare the actions, inactions and local 'states of normality' that can lead to perception-changing consequences and gives readers the insight to recognize and respond to the risks to their reputations. Using case studies, such as BP's Deepwater Horizon oil spill, Volkswagen's emissions rigging scandal, Tesco, AIG, EADS Airbus A380, and Mid-Staffordshire NHS Hospital Trust, and analysis of their failures, this hard-hitting guide also applies lessons drawn from behavioural economics to the behavioural risks that underlie reputation risk.

An essential read for risk professionals, business leaders and board members who need to understand and deal with business-critical threats to their reputation, this book presents a new framework that will be invaluable for all involved in safeguarding an organization's reputation.

Author Information

Anthony Fitzsimmons is Chairman of Reputability LLP and an authority and leading thinker on reputational risk and the propensity of behavioural and organizational risks to cause reputational damage.

Derek Atkins BSc PhD MIMMM CEng FCIM FCII Chartered Insurer was a visiting Professor at Cass Business School, London, teaching risk management, reputational risk, and insurance, and a partner in Reputability LLP. He was the co-author of a dozen books. Edition: 1 Date: 03/01/2017 Price: £32.99 Paperback: 9780749477363 Ebook: 9780749477370 Pages: 336 Format (mm): 235x155 Product Category: Professional/ Academic Subject: Risk Management

Table of Contents

1 Rethinking

1 Introduction 2 Reputation Basics 3 How Reputations are lost 4 What is Reputational Risk? 5 The hole in Classical Risk Management 6 Stakeholder Behaviour 7 Risks from failing to communicate and learn 8 Character, Culture and Ethos 9 Incentives 10 Complexity 11 Board composition, Skill, Knowledge,

Experience and Behaviour 12 Risks from Strategy and Change 13 Incubation and complacency 14 The special role – and Risks – of leaders

2 Case studies

15 BP: Texas City Explosion 16 BP: Deepwater Horizon 17 Tesco PLC 18 American International Group (AIG) 19 EADS Airbus A380 20 Volkswagen 21 Mid Staffordshire NHS Foundation Trust (Stafford Hospital)

3 Practicalities

22 The way forward 23 System Basics – Getting to ‘go’ 24 Setting up the Reputational Risk

Management System 25 Operating the Reputational Risk

Management System