Ethics in PR

Whats the key to selling a car? Or anything else?

PRSA Board of Ethics and Professional Standards, 2011

See if you can fill in the blanks based on hints in the following slides.

James Earl Jones

No. 1 on this attribute

Tom Hanks
No. 2

Michael J. Fox
No. 3

Morgan Freeman
No. 4
Forbes e-Poll 2010

Others in the Top Ten on this attribute

Sally Field

Ron Howard
Will Smith Bill Cosby Denzel Washington Mike Rowe
Forbes e-Poll 2010

Need a hint? Lets reveal one letter at a time

__ R __ __ __

__ R __ S __

__ R U S __

TRUST
Its critical to success in public relations.

What does it say about us that some celebrities are trusted so much and business, government and other institutions so little?

There is a pervading crisis of confidence and trust in the global corporate culture. Trust has been ruptured between many organizations and their constituencies. Yet trust is at the basis of every relationship. The loss of trust leads to the loss of reputation and, ultimately, to the loss of business.

Trusted? Top 10?

Trusted?

Trusted?

Trusted?

Most Trusted Brand In the U.S.

Millward Brown research, 2010

#2 Most Trusted Brand in America

Millward Brown research, 2010

Top 10 Most Trusted Brands

Amazon.com FedEx Downy Huggies Tide

Tylenol Toyota (changing?) WebMd Pampers UPS

Milward Brown research, 2010

Is trust important to business?

Trust is something business cant do without...It isnt some fuzzy nice-to-have; its the lubricant without which the businesses are as frozen as a rusted motor. If there is debt or credit, there has to be trust.

Business columnist Simon Caulkin, The Guardian

Who is trusted among TV News Networks?

Public Policy Poll, 2010

Can Experts Be Trusted?

2010 Edelman Trust Barometer

Can sources be trusted?

2010 Edelman Trust Barometer

What professions are most trusted?

Will you define your profession? Or will it define you?

#1 Profession for Honesty and Ethical Standards

Nurses

Best (and worst) Professions for Honesty and Ethics

Gallup Poll, Nov. 2009

Nurses Pharmacists Police Engineers Dentists College Teachers Clergy Chiropractors Psychiatrists Journalists

Bankers Governors Lawyers Business Execs Advertising practitioners Senators Insurance Sales Stockbrokers Members of Congress Health Insurance Managers

Do we trust government?
Only 17% of Americans trust the government to do the right thing most or all of the time. 52% of Americans agreed with the statement that quite a few government officials are crooked.

Whereas Only 10% urban Indians trust their government!!!

Do we even trust what we eat?

Less than 20% of consumers trust food companies to develop and sell food products that are safe and healthy for themselves and their families. 60% are concerned about the safety of food they purchase.

IBM Research June 24, 2009

CAN I TRUST YOU?

Thats what defines reputation.

What Affects Corporate Reputation?

*Ranked #1 in 2006 **Ranked #3 in 2006

2010 Edelman Trust Barometer

Researchers asked: DO YOU AGREE OR DISAGREE WITH THIS STATEMENT?

Trust is the most important consideration I make, even more than political viewpoint, when I consider who to vote for, and more important than price and quality when I consider who I do business with, or who I invest with.

Edelman Trust Barometer, 2007

DO YOU AGREE OR DISAGREE WITH THIS STATEMENT?

Trust is the most important consideration I make, even more than

political viewpoint, when I consider who to vote for, and more important than price and quality when I consider who I do business with, or who I invest with.

85% Agreed 66% Agreed Strongly Only 10% Disagreed

Edelman Trust Barometer, 2007

How to earn trust

Ethical behavior is the right thing to do. Its also the foundation of long-term business success and profitability.

Code of Ethics
The Public Relations Society of America A standard for ethical behavior and trust building

Basic Code Principles

Honesty
Adhere to the highest standards of accuracy and truth in advancing the interests of those you represent and in communicating with the public.

Maintain the integrity of relationships with the media, government officials, and the public.
To ensure honesty, investigate the accuracy of information given to you. Reveal sponsors for causes/interests. Disclose financial interests.

Basic Code Principles

Fairness
Deal fairly with clients, employers, competitors, peers, vendors, the media, and the general public. Respect all opinions and support the right of free expression. Build trust with the public by revealing all information needed for responsible decision making.

Basic Code Principles

Expertise
Advance your profession through your continued professional development, research, and education. Build mutual understanding, credibility and relationships among a wide array of institutions and audiences.

Basic Code Principles

Advocacy
Serve the public interest by acting as responsible advocates for those you represent. Provide a voice for the organization through ideas, facts and viewpoints to aid informed public debate.

Basic Code Principles

Independence
Provide objective counsel to those you represent. Avoid real, potential or perceived conflicts of interest. You will build the trust of clients, employers and the public.

Professional Standards Advisories

(Code Additions & Updates)

Plagiarism

Falsely representing anothers ideas or words as your own Different than copyright infringement All too frequent today with Internet availability Must give proper credit to creator

Professional Standards Advisories

(Code Additions & Updates)

Looking the Other Way

Failing to sound alarm for ethical dilemmas Some professions dont tell by custom

Too much See no evil, hear no evil, speak no evil

Professional Standards Advisories

(Code Additions & Updates)

Expropriation of Intellectual Property of Others

Stealing ideas from business presentations Must have an upfront understanding and presentation must be presented with a copyright indicated

Professional Standards Advisories

(Code Additions & Updates)
Use of Video News Releases as a Public Relations Tool

News stories, B-roll and clips on video are VNRs Producers of VNRs must indicate their origin TV stations must indicate the origin of a VNR

Professional Standards Advisories

(Code Additions & Updates)

Financial Information

Exercising independent professional judgement Keeping track of company affairs and all investor laws and regulations Ensuring full and fair disclosure.

Professional Standards Advisories

(Code Additions & Updates)

Internet Public Relations

Disclose any affiliations in chat room postings

Offer opportunities for dialogue and interaction with experts Reveal the background of experts, disclosing any potential conflicts of interest Practice principled leadership in the digital world, adhering to the highest standards

Professional Standards Advisories

(Code Additions & Updates)

Corporate Practice Truth and accuracy in communications How to handle confidential information What gifts are acceptable and not acceptable Fair dealings with suppliers and vendors

Safeguarding of client proprietary information

Abuse of inside information

CREDIBILITY IS:

DWYSYD
DO WHAT YOU SAY YOU WILL DO

The Page Principles

(The Arthur W. Page Society includes PR leaders from Americas leading corporations)

Tell the truth. Prove it with action. Listen to the customer. Manage for tomorrow. Conduct public relations as if the whole company depends on it.

Realize a companys true character is expressed by its people.

Remain calm, patient and good-humored.

How does trust pay out?

Efficiency. Business transactions take longer and cost more when trust is absent.
Improved employee performance. One study showed trust in senior management improved profitability 13%.

Customer retention. Trust in salespeople has a significant impact on customer retention.

Vendor Selection. A survey of purchasing managers shows trust is a top criteria for selecting vendors. Innovation. Product innovation increases when there is trust between business units.
Arthur W. Page Special Report, 2009

Trust
If you build it, they will come.

(Dominos Sales up Dramatically)