risk
Stakeholder trust and social-license erosion
Gradual loss of trust and social license among customers, employees, investors, regulators, and communities — from perceived values misalignment, poor ESG/governance conduct, or repeated service failures — weakening stakeholder relationships and long-term enterprise value even absent a single acute crisis.
Record JSON · Open in map · Data retrieval guide
Catalog revision: f368a6cce277037e4b1e1ff46004e3acd295f96c9ac63a411a0e45775a7f468e. A connection does not establish full coverage.
Attributes
- category
- reputational
- domain
- Governance, Policy & Oversight
- Risk Assessment & Management
- taxonomy
- coso-erm-risk
- enterprise-risk
- inherent_rating
- medium
Details
- risk_id
- reputational-stakeholder-trust
- category
- reputational
- likelihood
- medium
- impact
- medium
- inherent_rating
- medium
- treatment
- mitigate
- taxonomies
- coso-erm-risk
- enterprise-risk
Source
No record-specific source URL is provided.
Connections
- UC-AUDIT-27 — Govern expanded internal audit ERM responsibilities mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Board-approved service boundaries, impairment disclosure, and independent coverage preserve assurance credibility for the stakeholders who rely on internal audit.
- UC-GOV-04 — Set tone at the top: integrity, ethics, and risk-aware culture mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Demonstrated integrity and core values counter the perceived values-misalignment that erodes stakeholder trust.
- UC-GOV-21 — Communicate and report risk and control information mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Reporting to external stakeholders on risk and performance sustains stakeholder relationships and trust.
- UC-GOV-02 — Understand organizational context and stakeholder expectations mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Identifying stakeholder needs and expectations lets the organization meet them, sustaining trust.
- UC-GOV-38 — Assign and maintain Three Lines accountability by risk activity mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Documented, governance-approved Three Lines accountability makes risk ownership and retained board and management responsibility transparent, supporting stakeholder trust.
- UC-GOV-26 — Enforce personal-data processing principles and minimization mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Fair, transparent, minimized data handling sustains individual and stakeholder trust.
- UC-GOV-27 — Manage privacy complaints and account for disclosures mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Responsive complaint resolution and disclosure transparency preserve individual trust.
- UC-GOV-25 — Operate a privacy program with accountable leadership mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Demonstrable privacy stewardship sustains customer and regulator trust.
- UC-RISK-05 — Communicate and consult with stakeholders on risk mitigates Stakeholder trust and social-license erosion
- strength
- related
- rationale
- Structured, inclusive stakeholder consultation on risk, considering human/cultural factors, sustains stakeholder relationships and social license, a contributor to trust.