How a company manages a tough crisis often gives customers a far more honest look at how they are run than any meticulously fashioned press release could ever offer. There are many examples of ineffective crisis management. For example, the FIFA crisis where some top-managers were arrested to have accepted millions of bribes; Krispy Kreme Klub, accused to have used an inappropriate and offensive name of a customer promotion; The recent VW crisis that falsified the results of cars performance; Sport Directors where top-managers were accused to have paid workers under the legal minimum wage and the more recent BHS collapse.
The unsuccessful management of a crisis can damage the reputation of the company, its geographic location, its workers, management and even whole communities. Large volumes have been written about crisis management by both practitioners and researchers from many different disciplines which make it a challenge when trying to synthesize our knowledge base. However, what we can do is learn from business mistakes and failure to effectively manage crises to inform the planning and implementing of business crisis management strategies.
Businesses want to know how to implement crisis management strategies that can save them from disasters that are sometimes unforeseeable. Speakers are unconfirmed at present but keep your eyes peeled as the website will be updated very soon. Who will be the company spokesperson? Information should come from a single source for clarity. Choose the public face of the crisis manager before trouble strikes.
Create a company policy that employees will not speak to media. Contact your legal counsel if government agencies are involved. Government regulations require notification of most workplace accidents. Provide complete contact information for each group in your communications plan.
Calls from customers go to client care, calls from suppliers go to the procurement manager. Try to provide direct contact information that skips the automated phone tree. In times of business crisis, stakeholders want to talk to a human being.
Your business may have other individuals and companies that need to be kept in the loop, so expand your list to cover everybody from the cleaning crew to top-tier management in companies that provide goods and services.
Your message should be highly targeted to each group, providing answers to their highly specific questions. A crisis can take many forms, from bad weather to bad luck. Look down the road. Where is your company exposed to risk? This way, information funnels efficiently to the correct people, and decisions get based on the management plan.
As with the levels of urgency and activation, the actual response plans need to be set out in accordance with the type of crisis you face.
Protecting your premises from power outages differs from dealing with a PR disaster, for example. The best way to lay this out is to use a modular approach that can plug and play into each situation.
Having a proper training program in place is vital, as it will ensure a plan gets executed properly under stressful situations. All team leaders need to know what's expected of them and all members of your organization need to know what they should do.. If any equipment is required, leaders need to be sure that they know how to use it. Some first aid training is also a good idea for emergency leaders or designated safety officers.
Once drawn up, the most important element of a crisis management plan is to ensure that it remains relevant. Doing real-world tests of your management plan is also essential to ensure that all aspects work. A crisis plan—or lack thereof—can make or break a business. About the Author: Kelly Lowe is a passionate writer and editor with a penchant for topics covering business and entrepreneurship. When she's not tapping away at her keyboard writing articles, she spends her free time either trying out different no-bake recipes or immersing herself in a good book.
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