Blogs

Jo Geraghty

Director

Truth in advertising

Date added: 14th Dec 2015
Category: Culture of conduct/ethics

Qualities such as trust and truth and transparency may not make it onto the official organisational culture list; but when they go awry they can damage the reputation of the company as well as having a knock-on effect with employees, customers and suppliers.

Whether you’re looking to guide or build or reset your organisation’s culture; you may well be looking for qualities and values such as customer care, a desire for excellence, or growth through innovation. But there are other attributes which are no less valid but which are generally assumed rather than articulated.

Qualities such as trust and truth and transparency may not make it onto the official organisational culture list; but when they go awry they can damage the reputation of the company as well as having a knock-on effect with employees, customers and suppliers. It doesn’t even matter whether the lapse is as a result of a deliberate act or an omission, the act of a few rogue employees or by management direction, unfortunately the result is the same.

In the past few months we’ve seen a number of examples of this and now Reckitt Benckiser in Australia has been added to the list.  Following action by the Australian consumer watchdog, the company has been ordered to remove a number of Nurofen brands from the shelves after a court found that brand varieties which were advertised to combat specific types of pain all contain the same ingredients.

A spokesperson for the Australian Competition and Consumer Commission said “Truth in advertising and consumer issues in the health and medical sectors are priority areas for the ACCC, to ensure that consumers are given accurate information when making their purchasing decisions.” Meanwhile a spokeswoman for Nurofen confirmed that “Nurofen did not set out to mislead consumers” adding that the company was complying with the court order.

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