Banking reputational capital when you work in a 'controversial' sector

By 52M Consulting Ltd

07 Mar 2019

Whether it's competitors waiting to cash-in, or campaigners that oppose what you do, make a mistake and they'll be quick to exploit it by using it to undermine your reputation.

A competitor needs only to casually drop it into conversation with your customers for some of them to think about replacing you. Campaigners only need to stir-up stories in the media for regulators to take notice, residents to become even more wary and investors to take flight.

For example, imagine you're in the waste industry working with clinical waste, and suddenly you find a problem with third-party incineration capacity that leaves you with a build-up of untreated waste. Very quickly, your reputation could come under threat leading to an exodus of customers and the collapse of your business.

Think that sounds far-fetched? The management team at Healthcare Environmental Services (HES) probably did before it happened to them. A basic Google search of news relating to this particular company quickly reveals the extent to which a media furore was whipped-up, undermining the company's hard won reputation among customers and regulators. 'Good news' stories from its past that could have acted as a counterweight to all the bad publicity? Nowhere to be seen in comparison.

That's what we mean when we talk about banking 'reputational capital'. And it's especially important in large-scale renewables, road and rail, onshore oil and gas, housing and waste - all sectors that court controversy from time-to-time.

It's about making sure that, if you find yourself in the eye of a media storm, your most important stakeholders can remember (or easily find examples of) all the positive things your business has done over the years. It gives people pause for thought, and stops them writing you off as a bad corporate citizen.

Reputational capital is essentially all about trust in your brand.

You can create it in any number of ways, for example by paying your staff the Real Living Wage (like we do as members of the Living Wage Foundation, just search for 52M here) and then telling people about it.

The more you can showcase a track record of professional, ethical business operations, the more people will come to trust you, and rightly so because you'll have earned it.

Then, if something goes wrong and there's a very public incident, or you advance plans for a development that starts to become 'controversial' in any way, your stakeholders will be harder to overwhelm with negative news stories.

In order to bank reputational capital you can later rely on, you need to have a genuine track record of doing good - there's no point in 'greenwashing' your environmental credentials, for instance - and you need to keep telling your good news stories. You can do this through your own website in the form of blogs, using social media and by issuing press releases to mainstream media.

The truly great thing about reputational capital is that you get to benefit from it twice - once as you're banking it and again if you ever need to raid your reputational coffers.

If you'd like help telling your stories to raise your profile and start putting some reputational capital away for a rainy day, why not  start with our XPressRelease service? And, remember, your brand extends to your supply chain in this context, so make sure the companies you work with are banking their own reputational capital too.

Enjoyed this? Read more from 52M Consulting Ltd

Latest news

1

New India branch campus on the horizon for Lancaster University Keir Starmer meets Indian PM and included Prof Simon Guy Lancaster University. Pic Simon Dawson

New India branch campus on the horizon for Lancaster University

09 Oct 2025

2

Best events and talented students complete finalists list for Lancashire Tourism Awards 2026 Best Events and Talented students on Lancashire Tourism Awards finalist list

Best events and talented students complete finalists list for Lancashire Tourism Awards 2026

09 Oct 2025

3

East Lancashire Learning Group named UK digital transformation leader in CIO 100 Awards Andrew Dewhurst with the award win

East Lancashire Learning Group named UK digital transformation leader in CIO 100 Awards

09 Oct 2025

4

PHX Training appoints new business leader in Blackpool Jason Davenport PHX Training

PHX Training appoints new business leader in Blackpool

09 Oct 2025

5

Velocity seals Airbus extension worth up to $54m Velocity Composites Has Announced Its Entry Into The Us Market

Velocity seals Airbus extension worth up to $54m

08 Oct 2025

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
CMI Level 5 Management and Leadership Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Management and Leadership Course

Preston Campus, Preston , PR1 2HE

09:00 - 17:00

CMI Level 5 Project Management Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Project Management Course

Preston Campus, Preston, PR1 2HE

08:00 - 17:00

Help to grow management course
Help to grow - barriers to growth.png.png
LBV Hub Seminars
26 Sep 2025 - 16 Dec 2025

Help to grow management course

Preston Campus , Preston , PR1 2HE

09:00 - 15:00

Advantage: AI – A Workshop for Business Leaders – Oct 10th
Ai 10.10.png.png
LBV Hub Seminars
10 Oct 2025 - 10 Oct 2025

Advantage: AI – A Workshop for Business Leaders – Oct 10th

Door4 Office, Burnley Wharf, Burnley, BB11 1JG

09:00 - 12:00

Unlocking major project opportunities in the North West
Lancs-cham-logo.jpg.jpg
LBV Hub Seminars
15 Oct 2025 - 15 Oct 2025

Unlocking major project opportunities in the North West

Strathmore Hotel, Morecambe, LA4 5AP

08:00 - 10:00

The New Employee Rights Landscape: Day One Compliance Essentials
EventBrite NORi - 15th Oct 2025 Webinar.png.png
LBV Hub Webinar
15 Oct 2025 - 15 Oct 2025

The New Employee Rights Landscape: Day One Compliance Essentials

Microsoft Teams, Microsoft Teams, PR253XH

13:30 - 15:00

The Autumn Re set - pour me a wine
LBV Advert_Autumn Reset 1200 x 630px.png.png
LBV Hub Networking
16 Oct 2025 - 16 Oct 2025

The Autumn Re set - pour me a wine

The Artistry House , Preston , PR1 3JJ

17:30 - 19:30

The Business Network Central & East Lancashire
LBV Header (26).png.png
LBV Hub Networking
16 Oct 2025 - 16 Oct 2025

The Business Network Central & East Lancashire

Stanley House, Blackburn, BB2 7NP

11:30 - 14:15

October Freelancer Meet-Up
LBV Hub Networking
16 Oct 2025 - 16 Oct 2025

October Freelancer Meet-Up

Society1, Coworking Space, Preston, PR1 3LT

10:00 - 11:30

Women scaling up Blackpool Fylde and Wyre
LBV Hub Seminars
22 Oct 2025 - 09 Jan 2026

Women scaling up Blackpool Fylde and Wyre

The Small Business Academy, Blackpool, FY4 5JX

09:30 - 15:30

HR Essentials for pubs, bars and licensed venues
EventBrite NORi - 22nd Oct Webinar.png.png
LBV Hub Webinar
22 Oct 2025 - 22 Oct 2025

HR Essentials for pubs, bars and licensed venues

Online - Teams, Leyland, PR253XH

13:30 - 15:00

RISE - Lancashire's unique leadership programme for women
thumbnail_Emma Weston Illustration WENDY BOWERS RISE Illustrstion.jpg.jpg
LBV Hub Seminars
22 Oct 2025 - 18 Mar 2026

RISE - Lancashire's unique leadership programme for women

East Lancashire Chamber of Commerce, Clayton le Moors, BB5 5JR

09:30 - 15:30

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin