How's Your Company "RQ" (Reputation Quotient)?

In light of recent corporate scandals, from Enron andfalter and find their reputations and profits flagging as a
Global Crossing to those of once trustworthy mutualresult.
funds, is it any wonder that more people are asking,- Transparency: Strong reputations develop when
"Can I trust this company enough to do business withcompanies are transparent in their business affairs.
them?" But the trust issue isn't just relative to theThis means lots of communication, creating highly
buyers of your products and services, its vitallyvisible presences across whatever media is available
important to employees as well. Impacting theirto them, engaging stakeholders in continuing dialogs.
retention and performance in very real ways.- Consistency: Strong reputations result when
According to a survey of 1,200 workers by globalcompanies focus their actions and communications
consulting firm Watson Wyatt, forty-four percent ofaround a core theme. This almost single-minded focus,
American workers say top managers and executiveswhen continued over time, builds a belief presence in
are sometimes dishonest, and 40 percent say thethe mind of the stakeholder that 'you'll do in the future
same of co-workers. Meanwhile, 51 percent ofwhat you did in the past.'
workers say companies too often 'spin' the truth whenBuilding up your RQ: It's all about the 'message'
talking to them, according to a separate survey ofKnowing then that your reputation is a solid contributor
1,000 Americans by Towers Perrin, another globalto your staffing or recruiting firms' bottom line, how do
consulting firm.you build it up? Your reputation is based on the signals
The lack of trust contributes to weaker ties betweenor message you send to your stakeholders. So, building
workers and the companies for which they work,your RQ can be approached as a three-step process
which in turn has a significant impact on corporateto identify, build, and manage your message:
profitability. How much, you ask? Well, the three-year- Determine your message. In their landmark book
total return to shareholders is almost three times lower"Positioning", Jack Trout and Al Reis make the
at companies with low trust levels than at companiesunassailable point that success is first and foremost
with high trust levels, according to Watson Wyatt'sdependent on knowing who you are and what you
WorkUSA 2002 survey.(want to) do that's different from anybody else.
When you add the loss of employee trust to unethicalUnearth your unique promise of value. Learn what
business practices to the bursting of the 'dot-com'separates you from your peers and is compelling to
bubble and the recession of the past few years, thethose who need to know about you so that you can
response is natural. Shell-shocked consumers andexpand your success.
business-buyers alike are taking a measured look at a- Construct your message. Build a communications
companies' reputation before making a purchase orplan to express your brand -- a brand position that
investment. That's where RQ comes in.everyone within your company and every stakeholder
What is RQ?outside your company can and will buy into. Identify the
RQ is a new term, for 'Reputation Quotient'. The termtools that you will use to communicate your unique
RQ was coined by Dr. Charles Fombrun, Professorpromise of value so that you will become consistently
Emeritus of the Stern School at NYU and the founderand constantly visible to those around you.
of the Reputation Institute ( Dr. Fombrun has done- Orchestrate your message. Manage your brand
extensive research with companies around the worldenvironment. From your desk to your advertising and
to understand the roles that their reputations play inpublic relations to your products and services to your
their success.employee benefits and community service programs
He has learned that the most successful companies,to the office party if you have one, you must ensure
and those that can endure great challenges, all havethat everything that surrounds you sends the same
one thing in common: Strong reputations, or high RQ.on-brand message.
According to Christopher Foss of the ReputationAs demonstrated by the companies whose sinking
Institute, "It's common knowledge that a good 50fortunes are due to poor ethics and poor reputations, a
percent of most companies' market value is made uphigh RQ is highly desirable -- especially for staffing and
of what accountants call intangible assets that are notrecruiting companies whose business is built on
on the balance sheet. Assets like knowledge capital,relationships with clients, candidates, and employees. It
like the brand itself, relationships with vendors. Andtakes serious time and effort to build it, yet it can be
reputation is one of those intangible assets. But if youtrashed quickly due to carelessness. And it is not
view reputation as a magnet that has the ability toquickly regained. In short, a good reputation is a
attract resources that are crucial to the bottom line, theprofitable one, and should be a key component of your
degree to which you have a strong reputation or don'tbusiness strategy.
is going to definitely affect your ability to attractAbout VCG, Inc.
resources and to do well financially."Our focus is your success. Since 1976 staffing firms
The four principals of your company RQhave counted on VCG, Inc. for staffing software
The research conducted by the Dr. Fombrun indicatessolutions that help them improve the productivity and
that there are four key principals of the reputationprofitability of their operations. Founded by staffing
quotient:professionals and technologists intimately familiar with
- Distinctiveness: Strong reputations result with athe business of staffing, VCG is the staffing industry's
company's distinctive position in the minds oflargest and most experienced dedicated staffing
resource-holders or consumers. Much of this attributesoftware development firm. VCG solutions today
is often related to the firm's brand positioning andpower hundreds of successful staffing companies and
marketing efforts but its believability is directly linked to12,000-plus staffing professionals throughout the U.S.,
the other principals.Canada, Europe, Southeast Asia, and Australia. VCG,
- Authenticity: Strong reputations arise whenC-PAS, StaffSuite, TempWare-V, WebPAS,
companies are genuine. Companies must 'walk the talk'StaffSuite WorldLink, and WebPAS WorldLink are
in their media relations and corporate performance andregistered trademarks of VCG Inc.
governance. This is the area where many companies