A push for change in the world of finance holds lessons for other industries
Preventing reputation threats caused by customer dissatisfaction is a common goal of crisis management, and for the financial world (and many other tightly regulated industries) it has the added benefit of helping you avoid running afoul of the folks who make the rules.
As the below quote, from a Bank Systems and Technology article by Jenni Palocsik, explains, creating a comprehensive system to manage complaints can not only protect your reputation, but prevent those dreaded regulatory fines as well:
…more important is to establish and maintain a rigorous complaints management process to help financial institutions understand and correct potential problems before they repeat themselves or grow even larger. It’s always better to provide employees with coaching and training when problems are found, rather than leaving them to possibly escalate into investigations and the risk of fines from regulatory agencies. Addressing any problems proactively can enable banks to save themselves from the potential harm these complaints can present to their reputations—and their bottom lines.
During a routine exam or audit, regulatory agencies review companies’ complaints management processes, so having a comprehensive program with supporting data and documentation is strongly recommended.
Evidence continues to emerge supporting one of our favorite sayings, “reputation is your most valuable asset.” Reputation with your customers, reputation with other businesses, vendors, regulators, all of these and more affect the health and well-being of your organization.
Protect your reputation, and include the very real possibility that it will be threatened in your crisis management planning. Take it from us, you’ll be happy you did.
The BCM Blogging Team