Saturday, July 5, 2008

Crisis Communications

Crisis is a major catastrophe that may occur either naturally or as a result of human error, intervention or even malicious intent. Though all crises are unique, they do have some common characteristics:
  1. Element of surprise
  2. Insufficient information
  3. Quick pace of events
  4. Intense scrutiny (especially by the media)
  5. Presence of Panic
  6. Chaos in communication

Preparing for crises
  • Assess organizational risks: All organizations- public, private or non-profit are at some risk in case a crisis occurs. Plan in advance for crises for better management in case crises occur. Be prepared for crises with higher probability of occurring. Determine which constituencies would be most affected by the crisis.
  • Set communication objectives for potential crises: Be sure about what to say and to whom when a crisis occurs. Communication takes on more importance than action when the crisis involves more intangible things such as reputation than other tangible things.
  • Analyze channel choices: Whether communication objective will be achieved depends on the effectiveness of the channel the company chooses to convey the message. During crisis constituencies crave for information and are more sensitive than usual. The choice of communication channel often reflects how sensitive a company is to its constituencies’ needs and emotions.
  • Assign different teams to each crisis: Different problems require different kind of expertise. Assigning different teams to handle different crises helps the organization put the best people in charge of handling the crisis and communication. Most of the time the person closest to the crisis is the one people want to hear from.
  • Plan for centralization: When it comes to crisis, corporate communication must be centralized. Planning for centralization can strip away layers of bureaucracy, keep lines of communication open throughout the organization and dissipate conflict. Decentralized organizations often find it more difficult to communicate efficiently between divisions.
  • Create a formal plan:
  1. Make a list of whom to notify internally or externally in an emergency
  2. Release as much information as soon as possible to avoid loss of credibility.
  3. A strategy to notify employees
  4. A location to serve as Crisis Headquarters
  5. A description of the plan

Communicating during a crisis

The corporate communication strategy framework can be used to communicate during a crisis. Steps to communicate during a crisis are as follows:
  1. Get out on the scene and take control of the situation
  2. Gather as much information as possible
  3. Set up a centralized crisis management centre
  4. Communicate early and often
  5. Understand the media’s mission in a crisis
  6. Communicate directly with affected constituents
  7. Remember that the business must continue
  8. Make plans to avoid another crisis immediately
After all these steps, always maintain a feedback system. This will check how effective the communication strategy has been. If it works well improvise on it. If it doesn’t, find out the reason for its ineffectiveness and come up with a better solution.

Reference:

Ray O’Rourke, presentation to Corporate Conference, New York University, January 1997.

Brian O’Reilly, “Managing J&J on a Roll, “Fortune, December 26, 1994.

Frank Corrado, Media for Managers (New York: Prentice Hall, 1997).


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