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Facilitator: Daniel Munslow
The Power Of Ethics In
Reputational Resilience
Director, MCC Consulting
Director, IABC IEB
Outgoing chair, IABC Africa
Global Advisory Council, GCR
April 2018

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Director, MCC Consulting
Director, IABC IEB
Outgoing chair, IABC Africa
Advisory Council, Holmes Report
International and local speaker
Worked across Africa, Middle East, Europe, US, AsiaPac
Consulted to local and multinational companies, as well as the United Nations
Specialises in internal communication and employee engagement, stakeholder
engagement, reputation management, executive and leadership communication,
crisis communication, research and measurement.
FACILITATOR
© 2018 MCC CONSULTING ALL RIGHTS RESERVED
Iraq
LA Toronto
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Bangkok

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WHAT IS ETHICS IN STRATEGIC
COMMUNICATION?

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Responsible business communication practices benefit all
the stakeholders in business macro environment.
Good business communication practices should be seen as
a market advantage.
Correlation between Ethics and Trust

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Loss of Trust in Business: I don't know
which companies or brands to trust
Source: 2018 Edelman Trust Barometer, slide 26

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Business Is Expected to Lead
Source: 2018 Edelman Trust Barometer, slide 26

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In SA, what does PRISA’s code of conduct
say about ethics?
▪ Positive duty to maintain integrity
and accuracy
▪ Not knowingly, intentionally or
recklessly communicate false or
misleading information.
▪ Obey laws and public policies
governing our professional
activities.

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WHY DID ETHICS BECOME
THE TOPIC OF
CONVERSATION IN 2017?

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Bell Pottinger and what it taught the
world about ethical communication
In July 2017 Bell Pottinger apologised after an email published in South African
media showed it had sought to stress the continued “existence of economic
apartheid”.
“White monopoly capital” slogan was run on a Gupta-owned television channel
The Democratic Alliance complained that Bell Pottinger was seeking to “divide and
conquer” the public.
The outcry led to the resignation of Bell Pottinger CEO James Henderson, also its
biggest shareholder, while its second-biggest investor wrote off its stake.

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Bell Pottinger and what it taught the
world about ethical communication
Clients such as global bank HSBC publicly distanced themselves from the firm.
In September 2017, the Public Relations Communications Association expelled BP
for bringing the industry into disrepute, its most serious sanction..
“Bell Pottinger has brought the PR and communications industry into disrepute with
its actions‚ and it has received the harshest possible sanctions. The PRCA has never
before passed down such a damning indictment of an agency’s behaviour.” -
Francis Ingham, director general of the PRCA.

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Bell Pottinger and what it taught the
world about ethical communication
6 September 2017: “Bell Pottinger could be forced to shut down by end of 2017”
12 September 2017: “Bell Pottinger’s British arm collapsed on Tuesday after the
global public relations agency ran a racially charged political campaign in South
Africa that prompted a client exodus.”

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The Price of Ethics? £100k a Month

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WHAT HAVE INDUSTRY
LEADERS SAID?

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In South Africa: King Report IV
“Focus on Ethical Leadership, not Ethics Management”

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In South Africa: The Ethics Institute
“This makes it clear that ethics management is
neither a goal in itself, nor a mere tick-box
exercise, but that ethics management should
be approached and applied in a manner that
will result in the cultivation and maintenance
of an ethical organisational culture over time.”
- Professor Deon Rossouw, CEO of The Ethics Institute

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Industry leaders
Richard Edelman, the CEO of Edelman, called for PR professionals
to create a PR Compact to address ethical standards.
PRISA: “PRISA members must adhere to the local body’s Code of
Ethics and Professional Standards and to that set by its international
partnership with the Global Alliance”
The Global Alliance for Public Relations and Communication
Management called a summit in February 2018 to discuss ethics in
strategic communication.

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ETHICS IN CRISIS
COMMUNICATION AND
ISSUES MANAGEMENT

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The ethical challenges in crisis and issues
management
▪ Organisations experience uncertainty for
various reasons
▪ Consistency of message is important
▪ Avoiding questions, offering only
selected facts and information, or
creating uncertainty in a crisis are
generally considered unethical.
▪ Generally, you should abide by the three
principles

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Change lenses
▪ The public has the right to know
▪ Public concerns about an organization should be accepted as legitimate, whether you
feel they are or not
▪ Strategic communicators leverage stakeholders as a resource, rather than a burden,
during crisis management
▪ Maintaining information transparency is important in building credibility and trust, and to
enable future support during all phases of issues management

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Scenarioone-apology

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Scenarioone-apology

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Scenariotwo–dodging
thefacts

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THE BOTTOM LINE

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Not acting ethically dents a company’s social licence to operate.
PR firms depend on the ability to win client accounts (and in the case of house
practitioners – secure leadership and executive support). If your own reputation is
dented, how you will protect and enhance another’s reputation.
Ethics is not a nice to have; it is not an option; and there are clear guidelines to
being ethical.

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Ethics is doing the right thing

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▪ Ethics and trust are reciprocal. They are mutually
reinforcing.
▪ Ethics and trust are inseparable. Ethical behaviour and
choices help build trust.
▪ Building trust is part of what is required to maintain good
ethics.

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Daniel Munslow
E dmunslow@mccconsulting.co.za
C +27 83 338 7794
@munslowd
https://za.linkedin.com/in/danielmunslow
Thank You and Questions