Facing allegations of improper behaviour such as fraud, illegal activities or employee discrimination is incredibly challenging for businesses and individuals. These kinds of accusations can affect everything from your sales and partnerships to the morale and mental health of your workforce.
Even before assertions are investigated, damage is done to your reputation based on rumour alone. A recent example is major firms like John Lewis quitting CBI following reports of rape before the case has even reached court.
As allegations can have such fast and severe consequences, you must take immediate action to tackle them correctly. Sticking your head in the sand or handling accusations in the wrong way could make your situation much worse before it gets better.
What is your public image?
Your public image is how you are generally perceived by others. As with celebrities who craft a public persona but might be different in private, a public image is not always honest. However, successful organisations work hard to build a public image based on transparency which incites trust.
When factors such as allegations suggest that a person or company has been dishonest or is untrustworthy, it can seem like your public image is just an illusion. As all relationships are built on trust, this shattered reputation causes consumers and partners to disassociate themselves. This loss of support and sales can be the kiss of death for even the most established business or person.
How to manage allegations
Understanding how to manage allegations will help to protect against irreparable damage if you or your company is ever at the centre of a scandal.
1. Respond quickly
First and most important is a quick response – but don’t make an impulsive emotion-led statement. Take a moment to draft a clear, measured response that acknowledges the accusations without any blame or admission.
2. Seek legal advice
As soon as allegations arise – and preferably before they become public – seek legal advice from white-collar crime lawyers who are specialists in corporate investigations and regulatory action. They will guide you through the entire process and help you manage the situation in a way that diminishes the negative effects of the accusations.
3. Company communication
Once you have addressed the public, you need to prioritise internal communication. Be transparent with staff about the situation, including a timeline of what to expect, how it may affect their day-to-day tasks and support channels for open discussion on an individual basis.
4. Rebuilding trust
It isn’t easy rebuilding consumer trust in a brand but there are steps to take that will make it easier. Most important is transparency as this is the cornerstone of trust, and don’t be afraid to take accountability for mistakes made as this helps to create authentic and compassionate connections.
