The essential role of CEOs in reputation management

Reputation is the cornerstone of an organization’s success. It can take years to build and seconds to crumble. In today’s interconnected world, where information travels at the speed of light, a company’s reputation is more vulnerable than ever. Hence, reputation and crisis management are critical aspects of corporate governance.

While it’s often considered the responsibility of public relations and communication executives, reputation management is the primary remit of CEOs and presidents. The CEOs and presidents serve as the top leaders and role models for the organization. They set the tone for the company’s culture, values and ethical standards. By embracing a commitment to integrity, transparency and ethical behavior, they lay the foundation for a positive reputation. Employees often emulate the behavior and values of their leaders, making the CEO and president’s conduct a crucial aspect of reputation management.

The CEOs and presidents are responsible for making strategic decisions that can have a profound impact on the organization’s reputation. Initiatives on product launches, market expansion, corporate social responsibility initiatives and mergers and acquisitions can either enhance or damage the company’s reputation. Therefore, these leaders must consider the potential reputation-related consequences of their choices.

Reputation management as a CEO’s primary remit

Indeed, reputation management is not a standalone function. It should be strategically aligned with the company’s mission and business objectives. CEOs and presidents are uniquely positioned to ensure that reputation management is integrated into the core strategy of the organization. When it becomes an integral part of the corporate strategy, reputation management is more likely to be effective and sustainable.

Company culture starts at the top, with the CEO and president. These leaders have the power to create an organizational culture that prioritizes ethical behavior, sustainability and responsible business practices. When reputation management becomes a cultural norm, employees throughout the organization are more likely to act in ways that enhance, rather than jeopardize, the company’s reputation.

During a crisis, the CEO and president are expected to provide leadership, reassurance and direction. Their communication skills are put to the test, as they must effectively convey the company’s stance, actions and commitment to resolving the crisis. Public relations and communication executives can support this effort but the CEO and president’s involvement is indispensable in demonstrating authenticity and leadership.

The CEO and president are often the faces of the company, and they play a crucial role in building and maintaining trust with stakeholders, including customers, employees, investors and the public. Trust is a cornerstone of a strong reputation and when these top executives actively engage in transparent, ethical, and sustainable practices, trust is more easily established and upheld.

Filipino corporate executives lead the way

Filipino corporate executives have recognized the importance of reputation and crisis management, understanding that a company’s reputation is a valuable asset. Several prominent examples demonstrate how Filipino CEOs and presidents have taken the lead in these areas.

Jollibee Foods Corp. - Ernesto Tanmantiong

Ernesto Tanmantiong, the CEO of Jollibee Foods Corp., has overseen the global expansion of the beloved Filipino fast-food brand. His leadership has not only focused on business growth but also on ethical and responsible practices. Under his guidance, Jollibee has committed to sustainability, responsible sourcing and corporate social responsibility initiatives. This approach has helped Jollibee build a positive reputation, not just as a food chain but also as a responsible corporate citizen.

Ayala Corp. - Jaime Augusto Zobel de Ayala

Jaime Augusto Zobel de Ayala, chairman and CEO of Ayala Corp., has played a pivotal role in shaping the company’s reputation as a socially responsible and sustainable conglomerate. Under his leadership, Ayala Corp. has focused on environmentally conscious projects, clean energy investments and community development initiatives. These efforts have reinforced the organization’s reputation as a leader in sustainable business practices.

Gokongwei Group - Lance Gokongwei

Lance Gokongwei, as the president and CEO of JG Summit Holdings, extends his role beyond operational oversight; he is also the chief steward of the group’s reputation, embodying the values and vision of the conglomerate. He emphasizes integrity, excellence and innovation, ensuring that these principles are deeply ingrained in the company culture and reflected in its business practices. His commitment to sustainability, community development and ethical business practices plays a crucial role in shaping the public perception and trust in the Gokongwei Group.

San Miguel Corp. - Ramon S. Ang

Ramon S. Ang, the president and CEO of San Miguel Corp., has championed the conglomerate’s commitment to sustainability and responsible corporate governance. He has been a vocal advocate for ethical business practices, transparency, and accountability. Under his leadership, San Miguel has prioritized environmental sustainability and social responsibility in its operations, thereby enhancing its reputation both locally and internationally.

By actively participating in reputation management, these top leaders have been able to establish a culture of ethical behavior, crisis preparedness and trust-building, ultimately safeguarding their companies’ reputations in an ever-evolving business landscape.

Ultimately, reputation is not just a public relations concern; it is a fundamental element of effective corporate leadership. Indeed, reputation is our license to operate.

*Dr. Ron F. Jabal, APR, is the CEO of PAGEONE Group (www.pageonegroup.ph) (www.pageonegroup.ph) and the founder and president of the Reputation Management Association of the Philippines (www.rmap.org.ph). Please correspond to ron.jabal@pageone.ph or rfjabal@gmail.com