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Reputation Management Capabilities as Decision Rules

Author

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  • Pursey P. M. A. R. Heugens
  • Cees B. M. Van Riel
  • Frans A. J. Van Den Bosch

Abstract

We draw on a detailed grounded theory study of the reactions of Dutch food firms to the recent introduction of genetically modified foods to inductively identify the capabilities that firms develop in response to reputational threats. Central to the view on capabilities we propose are the decision rules organizations use to link individual actions to organizational outcomes. Four reputation management capabilities were identified, which were aimed at, respectively: (1) engaging in a cooperative dialogue with relevant stakeholders; (2) presenting the organizational point of view favourably in the eyes of external beholders; (3) avoiding organizational ‘ownership’ of critical reputational threats; and (4) communicating meaningfully with affected parties, even under conditions of high adversity and time‐pressure.

Suggested Citation

  • Pursey P. M. A. R. Heugens & Cees B. M. Van Riel & Frans A. J. Van Den Bosch, 2004. "Reputation Management Capabilities as Decision Rules," Journal of Management Studies, Wiley Blackwell, vol. 41(8), pages 1349-1377, December.
    • Handle: RePEc:bla:jomstd:v:41:y:2004:i:8:p:1349-1377
    DOI: 10.1111/j.1467-6486.2004.00478.x
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    Cited by:

    1. Ronald Sims, 2009. "Toward a Better Understanding of Organizational Efforts to Rebuild Reputation Following an Ethical Scandal," Journal of Business Ethics, Springer, vol. 90(4), pages 453-472, December.
    2. Sajid Ullah & Farman Ullah Khan & Laura-Mariana Cismaș & Muhammad Usman & Andra Miculescu, 2022. "Do Tournament Incentives Matter for CEOs to Be Environmentally Responsible? Evidence from Chinese Listed Companies," IJERPH, MDPI, vol. 19(1), pages 1-20, January.
    3. Feldman, Percy Marquina & Bahamonde, Rolando Arellano & Bellido, Isabelle Velasquez, 2014. "Uma nova abordagem para mensurar a reputação corporativa," RAE - Revista de Administração de Empresas, FGV-EAESP Escola de Administração de Empresas de São Paulo (Brazil), vol. 54(1), January.
    4. P. P. M. A. R. Heugens & N. A. Dentchev, 2007. "Taming Trojan Horses: Identifying And Mitigating Corporate Social Responsibility Risks," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 07/434, Ghent University, Faculty of Economics and Business Administration.
    5. repec:dau:papers:123456789/4799 is not listed on IDEAS
    6. Renata Konadu & Samuel Owusu‐Agyei & Theophilus A. Lartey & Albert Danso & Samuel Adomako & Joseph Amankwah‐Amoah, 2020. "CEOs' reputation, quality management and environmental innovation: The roles of stakeholder pressure and resource commitment," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2310-2323, September.
    7. Xingqiang Du, 2015. "Is Corporate Philanthropy Used as Environmental Misconduct Dressing? Evidence from Chinese Family-Owned Firms," Journal of Business Ethics, Springer, vol. 129(2), pages 341-361, June.
    8. Pursey Heugens & Nikolay Dentchev, 2007. "Taming Trojan Horses: Identifying and Mitigating Corporate Social Responsibility Risks," Journal of Business Ethics, Springer, vol. 75(2), pages 151-170, October.
    9. Laurent Tournois, 2016. "A Manager-Customer Empirical Investigation Of The Subjective Performance Of Proactive Market-Oriented Consumer Goods Companies: Testing A Double-Mediation Model," Post-Print hal-04477573, HAL.
    10. Atif, Muhammad & Hossain, Mohammed & Alam, Md Samsul & Goergen, Marc, 2021. "Does board gender diversity affect renewable energy consumption?," Journal of Corporate Finance, Elsevier, vol. 66(C).
    11. P.P.M.A.R. Heugens, 2004. "A Neo-Weberian Theory of the Firm," Working Papers 04-02, Utrecht School of Economics.
    12. David Eduardo Cavazos & Matthew A Rutherford & Karen Patterson, 2016. "Applying an Attribution-Based View of Reputation to Examine Firm Responses to Government Product Ratings," Corporate Reputation Review, Palgrave Macmillan, vol. 19(1), pages 59-76, February.
    13. Tino T. Herden, 2020. "Explaining the competitive advantage generated from Analytics with the knowledge-based view: the example of Logistics and Supply Chain Management," Business Research, Springer;German Academic Association for Business Research, vol. 13(1), pages 163-214, April.
    14. Breeda Comyns & Elizabeth Franklin-Johnson, 2018. "Corporate Reputation and Collective Crises: A Theoretical Development Using the Case of Rana Plaza," Journal of Business Ethics, Springer, vol. 150(1), pages 159-183, June.
    15. Jesus R. Jimenez-Andrade & Timothy J. Fogarty & Richard J. Boland, 2022. "Post-scandal Organizational (Dis)order: A Grounded-Theory Approach Shifting from Murphy’s Law to Safer Regulatory Environments," Corporate Reputation Review, Palgrave Macmillan, vol. 25(1), pages 62-77, February.
    16. Heugens, P.P.M.A.R. & Zyglidopoulos, S.C., 2007. "Unfit to Learn? How Long View Organizations Adapt to Environmental Jolts," ERIM Report Series Research in Management ERS-2007-014-ORG, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.

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