Crisis Management
The Impact Of Accidents On Firms' Reputation for Social Performance
(Impact Of Accident On The Solid Reputation for Social Performance)
Industrial accidents such as falling aircraft in the airline industry, tabarakan train in the railway industry and others will greatly affect the company's reputation. Such events will menciderai social performance of the company. So companies need to build a reputation with a vengeance so that all three crises are caused by industrial accidents tesebut to get out of the crisis. In this paper we will try membahasa neighbor impact of the crisis for a solid reputation for social performance that is based on an article entitled The Impact Of Accidents On Firm's Reputation For Social Performance writings Stelios C Zyglidopoulos in Business And Society, Dec, 2001, 40, 4 with provide some cases that occur.
We need to recognize the various impacts of the accident to the reputation of the company, because this recognition will help us in handling the crisis that emerged. In this article was written, there are three reasons why we have to recognize the various impacts of the crisis for the reputation, the reasons are:
a. Corporate reputation (corporate reputation) is one of the difficult parts of the source of persistence is very important dimngerti company because the company's reputation became the main source for the function of competition.
b. The company's reputation can contribute to the resilience of strong competition because the function takes place in a long time period so that they can develop a solid business.
c. The company's reputation for social performance is an important part to a strong reputation as a whole.
A strong corporate reputation is not necessarily acquired in the short term, but needs to be built with patience and long periods of time. However, that reputation has been maintained in this long period can be stained or broken even in a very short time due to accidents such as sekandal, product keamaanan accidents, collisions, etc..
Examples of cases that can be taken to do with this is the case of industrial accidents Bakrie group with mud incident Lampidonya (2005) in Sidoarjo. In this case Bakrie Group does not handle these cases thoroughly and even allowed to drag on. The case has caused stagnant mud lampindo residents so that so many citizens who lost their homes and jobs because of their settlements. Even worse the company with the government as an extension of the company because the owner of an official company pemerinthaan as if trying to wash their hands of this case with mendengungkan issue Lapindo mud as a natural disaster.
Lately also the oil spill incident off the coast of Florida, USA by British oil company, BP's case caused pollution of marine ecosystems is very broad. A batch of oil is not only pollute the sea water in Florida but also kill many creatures living off the Coast of Florida so that they can have a negative impact on the environment. In this article the case of the Exxon Valdes also given the oil spill causing environmental pollution.
Cases like these result in signinifikan of corporate reputation has been built over the years. Some of the impact caused by this accident can be seen below:
a. This accident defame a reputable company that will negatively impact the company's social performance. Level of respect for the people (consumers or relation) will be dropped even if not immediately acted upon will most likely be very abandoned.
b. Attention will be very influential media tehadap this problem so that when constantly curl up by the media it will damage or even destroy the company image.
c. Handling of these issues will greatly affect the performance reputation. If pengananan accident was not done quickly and thoroughly, the level of confidence in the company cuku slowly or likely to decline drastically. Lapindo mudflow case is not solved completely, the level of confidence in the company also began to decline or even disappear.
d. Kekomplekskan accidents that arise will be able to reverse and damage the reputation of the resulting robustness jelaknya social performance.
e. Accidents are not handled properly, will impact more severe because the stakeholders will re-evaluate their thinking on the reputation of the company.
Basically an accident in a company often can not be avoided even though the company has with a vengeance does not keep happening. However the problem after an accident is how the company acted quickly to restore the reputation of the company.Because corporate reputation is very useful for the continuity and robustness of existing companies.
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