How to measure an organization’s reputation?


Reputation is one of the most important assets in an organization, and it has great influence on the consumers’ choice. However, its measurement and evaluation can be difficult. So, how can we measure and evaluate it?

When communication, which importance is undeniable, is sustained by data that can be measured and evaluated, it becomes particularly necessary to find a way of measure and evaluate an organization’s reputation.

Reputation derives from the many perceptions of a series of stakeholders – consumers, employees, partners, among others – regarding an organization and its products and services. Because it is a set of perceptions, reputation turns out to be an abstract and intangible asset. So, it raises the need for measuring and evaluating it.

In this way, the Reputation Institute created Reptrak, a tool that allows to measure reputation through seven dimensions, which weight should vary according to the organization’s sector.

Therefore, it is recommended to analyse seven dimensions:

1 – Products and services

Being able to influence – a lot – a company’s reputation, in this dimension, products and services provided by the company are analysed, working as an interaction between organizations and their clients. If these products and services meet the expectations, the company’s reputation should be better and vice-versa.

2 – Innovation

In this dimension, it is analysed and evaluated the capacity of an organization to evolve, taking into consideration the direction in which it is going, the evolution’s speed, its quickness and in which way it distinguishes in this evolution. The tendency is that organizations which are more creative and have more future vision will have a better reputation.

3 – Organizational culture

A positive organizational culture allied to a healthy work environment and an attractive package of benefits can have a positive impact on talents’ attraction and retention. But there is more: the organization’s reputation can also get a positive impact.

4 – Governance

This dimension is linked to the ethical behavior and transparency of organizations, and it can be one of the crucial dimensions to evaluate the reputation.

5 – Social responsibility

Having an increasing importance, organizations’ reputation is influenced by social responsibility. A company that focuses on the development of its community, giving back part of what it gets, can gather value to its corporate image.

6 – Leadership

Related to the organizations’ management, this dimension takes into consideration the way in which managers’ mistakes are managed, if the company’s values are shared by all employees and if the future vision of leaders meets the organization’s strategies.

7 – Financial performance

Financial performance can help the organization to understand its stability.

Although it is difficult to measure and evaluate an organizations’ image and reputation, the analysis of these seven dimensions enables us to have an idea of each one of them. Analysing the seven indicators as a whole, it is possible for a company to identify features that need to be improved or have a worse performance. Thus, the company will know which good practices are to maintain and the ones that need to be improved, so that there isn’t a reputational problem in the future.

Lastly, the measurement and evaluation of reputation helps to reach success.

As Philip Kloter used to say, “the art of marketing is the art of brand building”. So, it had never been this important to know what the perception of the organization is and, as such, it had never been this important to measure reputation.

BySofia Neves, press officer in Media em Movimento