Preparing your business for a reputation incident

Building your business's reputation can take years, and yet it can be damaged or destroyed in hours.

Potential reputation incidents can take businesses by surprise and may include:

  • highly negative media or social media coverage
  • rumour-driven crisis (spread of unfounded rumour)
  • inappropriate workplace behaviour (e.g. bullying, harassment)
  • organisational misdeeds and legal action (e.g. fraud, theft).

Public relations is managing how people think about your business. A well-planned PR campaign can minimise the impacts of reputation incidents to your business.

Make a plan

To prepare for, respond to, and recover from disasters and emergencies, your business should develop the following types a of plans:

Note: By law, you must have an emergency plan for your business.

Prepare for a reputation incident

Respond to a reputation incident

    • Check and confirm the facts.
    • Contact authorities (if required).
    • Brief relevant staff.
    • Decide if you should respond.
    • Prepare messaging.
    • Decide who to contact, when to contact them, and the best communication channels (e.g. social media, radio, TV, newspapers).
    • If appropriate, contact key stakeholders or those directly affected.
    • Monitor social media and media coverage.
    • Suspend scheduled social media posts or advertising campaigns until the incident is resolved.
  • First decide if responding to the issue will help or make the situation worse.

    Social media response

    • Review your social media guidelines (if you have them).
    • For highly contentious issues, provide a social media response as soon as possible before it goes viral.
    • When responding, remain professional, respectful and polite.

    Media response

    • Review your media guidelines (if you have them).
    • Prepare your media response.
    • Make sure the tone of your message is not defensive.
    • Emphasise the wellbeing and safety of your staff, customers and the community come first.
    • Explain relevant circumstances that may have lead to the incident, polices in place to address it and steps taken to resolve it and prevent it from happening again.
    • Put the incident into context – if appropriate, highlight how long your business has successfully operated without having a similar issue or has managed similar issues.
    • Provide written responses to journalists.
  • Social media rumours

    • Always be quick to correct or remove false or misleading information posted on your social media site(s).
    • Consider if responding to certain social media posts will help or escalate the issue.
    • When responding, always remain professional, respectful and polite.

    Media rumours

    • Before responding to false media reports, consider if your comments will help or whether it will result in additional negative media attention.
    • When responding, clearly state how information or claims being made are incorrect, provide evidence where possible and ask the media outlet to remove the information or provide a retraction on the same or next day.

    If the rumour has received wide coverage, send out communications to the media, staff, customers, suppliers and other stakeholders.

    • Investigate all complaints of inappropriate workplace behaviour – using an external investigator can prevent claims of bias.
    • Suspend the person responsible if there's a serious breach of your behaviour policy or code of conduct.
    • Notify the police if required.
    • Seek advice if needed from
    • Identify how policies were breached and update procedures to stop it happening again.
    • Let staff know how you're handling the incident and advise them of any new or updated policies.

Recover from a reputation incident

  • Check staff involved are okay and provide them with information and details for support services.

    • Develop a marketing and promotion plan to promote positive information about your business.
    • Evaluate how you handled the incident.
    • Record lessons learned and update your business policies and business continuity plan.
    • Advise or train staff on appropriate behaviour and workplace culture and policies.

Communication tips

Communication is crucial during a reputation incident. Your staff and customers will want to know what you are doing to manage the incident, minimise the damage and stop it from happening again.

  • Key stakeholders

    Consider who your business needs to communicate with during an incident which could cause reputation damage.

    Key stakeholders may include:

    • staff
    • customers, visitors or guests
    • clients
    • suppliers and distributors
    • industry body or association
    • regulatory body or agency.

    Before responding to the media

    • Review or draft key messages.
    • Plan and practice your response.

    During an interview

    • Don't feel you have to answer every question, just stick to what you want to say.
    • Avoid saying 'no comment', instead say 'I can't confirm right now', or 'I don't have those details', and 'what I can tell you is'.
  • We're sorry to hear about your experience with (include details). We take pride in our (services/products) and take feedback from customers seriously. Please message us directly so we can help you resolve this issue.

    • Rumours that our business is experiencing financial difficulties (or other rumours) are completely unfounded and incorrect.
    • We are open for business as usual.
    • If customers or clients have any concerns, please feel free to contact us directly.
    • We take this matter very seriously and have a zero-tolerance policy towards workplace (bullying/harassment).
    • The person involved has been suspended (or placed on leave) pending the outcome of the investigation.
    • We are cooperating with authorities and have launched an independent investigation into the matter.
    • Due to privacy considerations we cannot discuss the investigation publicly at this stage.
    • As an initial step, we have put in place additional procedures for all staff members to (provide appropriate information) so this doesn't happen again.
    • We will also review our policies and procedures to introduce mandatory ethics and workplace culture training as part of our staff inductions.
    • We understand this is a distressing situation and an independent investigator is looking into the incident.
    • We send our deepest sympathy to the family and friends of (in case of an accident or death).
    • The wellbeing of our staff, customers and the community always comes first.
    • As this matter is before the court, we can't comment on the specific details of the incident, but will provide more information when we can.
    • Thank you for your understanding at this stressful time.

Go back to the Small business disaster hub.