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Nearly 80 Percent Believe Responsible Companies Recover Faster After Crisis According to New Global Executive Survey

Weber Shandwick
2006-11-16 09:51 1219

Over One-Half Believe Corporate Responsibility is a Critical Driver of

Overall Reputation

NEW YORK, Nov. 15 /Xinhua-PRNewswire/ -- A substantial majority of global

business executives (79 percent) surveyed believe that companies with strong

corporate responsibility track records recover their reputations faster post-

crisis than those with weaker records. This finding did not differ by region.

The survey, Safeguarding Reputation(TM), was conducted in 11 markets by

global public relations firm Weber Shandwick with KRC Research.

Executives Who Believe Strong Corporate Responsibility

Record Aids Reputation Recovery

Total North America Europe Asia Pacific

79% 79% 78% 79%

Source: Weber Shandwick Safeguarding Reputation(TM) conducted with KRC

Research, 2006

"Reputation recovery is increasingly driven by more than financial

metrics," said Weber Shandwick’s International Head of Corporate

Responsibility & Sustainability Brendan May. "As social, economic and

political agendas increasingly influence consumer and market issues,

companies now recognize that a record of corporate responsibility can

inoculate a company against long-term reputation failure. Responsibility is

no a longer nice-to-have. It is now a must-have corporate mandate."

Responsibility Is a Vital Building Block of Reputation

Global business executives were also asked to rate factors that build

company reputation today. Over one-half (55%) surveyed report that being

recognized as committed to corporate responsibility contributes "a lot" to a

company’s overall reputation. European and Asia Pacific executives were more

likely than their North American counterparts to agree on the importance of

corporate responsibility in driving reputation.

Executives Who Believe Corporate Responsibility

Contributes "A Lot" to Company Reputation

Total North America Europe Asia Pacific

55% 47% 56% 52%

Source: Weber Shandwick Safeguarding Reputation(TM) conducted with KRC

Research, 2006

"Companies have awakened to the fact that corporate responsibility is a

business imperative in building a good reputation today. Leaders understand

that responsible companies attract the best talent, earn valuable trust and

generate more positive word-of-mouth," added Weber Shandwick’s U.S.

Corporate Practice Chairperson Micho Spring. "In fact, KPMG International

reports that 52 percent of the largest 250 firms of the Fortune 500 publish

corporate social responsibility reports, an increase of 45 percent from three

years ago."

Safeguarding Reputation(TM)

Safeguarding Reputation was conducted by Weber Shandwick in partnership

with KRC Research among 950 global business executives in 11 countries

spanning North America, Europe and Asia Pacific. Brazil was the only Latin

American country participating in the survey. All interviews were conducted

by telephone between July 20 and August 8, 2006. The sampling error for the

total sample is +/- 3.2 percentage points.

About Weber Shandwick

Weber Shandwick is one of the world’s leading global public relations

firms with offices in major media, business and government capitals around

the world. The firm specializes in strategic marketing communications, media

relations programs, public affairs and issues management, reputation

management, and provides corporate communications counseling. Weber Shandwick

also provides specialized integrated services including Web relations,

advocacy advertising, market research and visual communications. Find out

more at http://www.webershandwick.com .

Weber Shandwick is a unit of The Interpublic Group of Companies (NYSE:

IPG), which is among the world’s largest advertising and marketing services

organizations.

About KRC Research

KRC Research is a full service market and attitudinal research firm.

Research partner to Weber Shandwick and other Interpublic Group agencies, KRC

specializes in strategic communications research, including research to

support product communications, corporate communications, public affairs, and

social marketing. KRC provides a full range of primary research services,

including surveys, focus groups, and executive interviewing. Find out more

at http://www.krcresearch.com .

About reputationRx ( http://www.webershandwick.com/reputationrx )

Weber Shandwick’s new reputationRx Web site provides professionals

interested in leadership issues with the latest news, research findings,

insights, best practices and commentary on how to build and safeguard CEO and

corporate reputation. It covers a full range of topics such as reputation

care and recovery, CEO turnover, corporate responsibility, and strategies for

communicating CEO and corporate reputation. The site is also continually

updated to include the most recent newsmakers and fast-breaking trends that

are transforming the business and reputation landscapes.

Source: Weber Shandwick
collection