Why no board can do without a corporate/public affairs professional
No Board should be without a corporate/public affairs professional. In a world that is increasingly disruptive, inter-connected and dominated by 24 hour news cycles and unceasing social media, corporate/public affairs plays a critical role in managing an organisation’s brand, profile and reputation.
Corporate/public affairs is a specialism which covers a broad range of skills, not limited to external/internal communications, media relations, government relations, policy development, advocacy, campaigns, copywriting and editing, PR and crisis communications. It also includes issues, risk and reputation management, and managing relationships with stakeholders.
Corporate/public affairs and strategic communications allow organisations to recognise, establish, maintain and value good relationships with stakeholders, ensuring that their concerns and perceptions are considered as part of the strategic process. ‘Bringing the outside in’ in this way, scanning the horizon for issues, managing any that arise, preparing for, avoiding or managing crisis are essential components in maintaining an organisation’s reputation, maintaining its brand value, maintaining understanding and goodwill both inside and out, and promoting enduring resilience and stability. It enables the identification of new opportunities and supports the identification and management of risk.
This is particularly important in the new era of ESG sustainability (managing and reporting environmental, social and governance issues within business operations), as ESG and reputation are inextricably linked. ESG has elevated the importance of reputation management, bringing it firmly to the heart of business strategy. Increasingly, organisations will need to view their ESG decisions through the lens of reputation, aligning it to their stakeholders’ needs and demands.
ESG sustainability is all about risks and opportunities that impact an organisation’s ability to create sustainable long-term value. Much of the value of modern companies is tied up in intangible assets. ESG prompts organisations to build strategy, policies and positions based on a clear articulation of purpose and values. This requires organisations to look hard at every aspect of their operations, as there is an obvious risk that failure to meet any self-set values or targets, or the expectations of society more generally, may lead to reputational damage or even regulatory fines. In extreme cases, it could even lead to crisis.
As the list of issues covered by ESG is both so wide and so important to consumers, regulators, investors, employees and other stakeholders alike, it is important that the Board has direct oversight at a high level. Equally, because the Board is the ultimate holder of an organisation’s strategy and articulation of purpose, it is ultimately responsible for its reputation too.
Organisations are run by humans, for humans, who make mistakes, and the risk of reputational risk and crisis is ever present. Corporate/public affairs professionals are trained to spot and/or deal with these issues at an early stage so, in order to optimise good governance (the G in ESG), their presence on the Board is vital.
A corporate/public affairs professional can provide the Board with the expertise it needs to manage these vitally important areas of risk and opportunity.