Reputational Risk Management addresses potential damage to public perception, brand equity, and stakeholder confidence from operational failures, ethical lapses, or association with controversial issues. Unlike most risks, reputation damage can arise from perceptions regardless of factual accuracy and spread rapidly through social media. For example, a product safety incident might cause reputation losses far exceeding direct recall costs through customer defection and investor concern. Effective management requires stakeholder mapping, social media monitoring, crisis communication planning, and values-aligned decision making. Because reputation underpins customer loyalty, employee attraction, and investor confidence, boards increasingly recognize it as a critical strategic asset requiring proactive protection.