Insights|25 June 2024

Corporate reputation in the age of AI

Corporate reputation in the age of AI
Profile pic of Anusuya Mitra
Anusuya Mitra
Regional Director – Corporate Communications

Whether a company or individual, reputation is everything. And in the age of AI – where issues like mistrust, privacy, preference, and IP infringement abound – reputation management remains core to success. More than a trend, we’re rocketing toward an AI-empowered future, which means that communication strategies need to evolve quickly to stay relevant for impactful corporate reputation or executive positioning programmes.

AI and PR: A powerful partnership

As we see businesses bringing AI into their corporate strategies and practices, a smart PR approach ensures the human touch in communication, maintains trust through transparency, and provides ethical oversight. Specific AI technologies offer sophisticated solutions for data analysis and trend spotting, like natural language processing and machine learning. While these can support content development, as well as monitoring and analysis, PR professionals need to bridge the gap between technology and authentic stakeholder relationships. Managing crises with empathy and helping to align AI strategies with company mission will go a long way to authentically safeguard reputations.

But why introduce AI at all if risks are present, and how can they be mitigated?

We’ve heard it many times over and I’ll say it again: PR needs to embrace AI

In the world of corporate reputation management, AI is set to be a game-changer. Scanning social media and news around the clock, spotting potential crises before they arise, and giving real-time insights and sentiment analysis. That’s AI in action, a digital pulse on public opinion – identifying trends and how people feel about a brand. With AI in the PR toolkit, practitioners can get smarter insights, react faster, and stay more connected – ensuring they stay ahead in building trust and authentic relationships with their clients and, in turn, helping clients resonate better with their audiences.

Maintaining trust in the AI era

The best and assured way to build trust is through transparency. It ensures ethical practices and mitigates potential risks that can come with the mishandling of AI technology. Paired with continuous monitoring and updating of AI tools, a transparent AI strategy is crucial to keeping an organisation aligned with ethical standards and stakeholder expectations.

Now, let’s look at the building blocks of trust, and see how transparency around AI can defend and elevate a company’s reputation.

  1. Accountability: Transparent AI practices build trust among stakeholders by showing how decisions are made, fostering confidence in both the technology and the organisation’s principles. By being upfront about data sources and decision-making processes, companies can rectify biases and prevent unethical practices.

  2. Regulatory Compliance: Adhering to transparent practices helps meet regulatory requirements – which are evolving quickly. It’s crucial to keep an eye on policy updates to avoid potential legal issues and reputational damage. It also serves to prove a commitment to ethical standards and compliance.

  3. Brand Differentiation: Demonstrating transparency and explainability sets companies apart. In an era of growing concern about data privacy and ethics, being upfront about AI practices attracts customers who value these principles.

  4. Stakeholder Empowerment: When stakeholders like employees and customers understand AI's role, they’re more likely to trust and embrace the technology. This confidence in the company’s integrity around AI use in business operations can lead to better collaboration and higher productivity in the workplace, as well as customer satisfaction and loyalty.

  5. Crisis Management: In crises, being able to explain AI's involvement or role in decisions is vital. There is room to grow in how PR works with brands to plan, action, mitigate and monitor during a crisis situation. AI-powered tools can be a crucial supporting element during issues management. For instance, in the cycle of crisis management, real-time monitoring of news articles, social media and sentiment analysis of large data volumes can be AI-driven – which then lends time to focus on how that information can be used to drive an effective crisis management programme. AI can also play a powerful role in helping communications teams during post-crisis assessments, image and video analyses, automated chatbots and notifications, and more. Transparent communication is at the core of any activity involving reputation. Keep the focus on conveying your brand’s message, and rebuilding trust, while leaning on AI tools for the data legwork.

By prioritising transparency, organisations can enhance trust to maintain a strong, positive reputation. At Sinclair, we welcome conversations about how we can work together to harness AI to elevate your corporate reputation.

Profile pic of Anusuya Mitra
Anusuya Mitra
Regional Director – Corporate Communications
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