Crises affect the best run companies and organizations. They also spring-up with great frequency in less well run companies and organizations. Generally crises are the result of smart people doing dumb things. Sometimes they are the result of poor quality, greed, corruption or worse. Regardless of the reason for crises, it must be handled with the utmost care, speed and professionalism. The ten point outlined below identify the key elements to success crisis management.
1. Identify the problem
What is the crisis? Define it. Not what caused it or who is to blame but rather what it is in clear terms. This can also be referred to as the problem statement.
2. Create a team
Now that the crisis is defined, what areas does it touch? Assemble a team with the owners of the subject matter experts in each of those areas. For a business this generally means: executive management with a representative, marketing/product management, operations, legal, human resources, information technology, finance, PR or media relations sales and research & development. If any of these functions are not necessary, do not include them in the team just to fill a seat. For other organizations such as non-profits it may include: executive leadership, development, IT, member relations, finance, PR or media relations, human resources and marketing.
3. Set up a command center.
Find a place where all the members of the team can meet and updates on the crises can be monitored and tracked. The command center should be manned 7x45 by a representative of each key functional area until the crises has been resolved.
4. Communicate out.
The first thing the team needs to do once the problem has been identified is communicate the problems and what is being done about it quickly and clearly to all appropriate media outlets through PR or media relations. Generally, more information is better. The more senior the person providing the updates is the better also. Ideally it should be the CEO of the company or organization or the most senior person directly involved with the crisis. Also update customers, investors, employees, clients, constituents, and members - anyone with an interest in the company or organization.
5. Problem breakdown
Break down the problem with the crisis management team. Identify what the problem is, what the potential solutions are and which are the most viable courses of action. Bring in other subject matter experts as needed but do not take the accountable functional areas owners out of the loop or off the hook. They own a successful resolution from their area.
6. Receive communications in.
Concerns of customers, employees, shareholders and constituents need to be addressed. Set up phone hotlines and email folders related to the crises. Have knowledgeable people take the calls. If they cannot, have a mechanism so every call is returned with an answer in 24 hours. The same holds true with e-mails.
7. Resolve the problem.
Nothing is more important than resolving the problem or crises because it is a disruption to everyday business. It could ruin the reputation of the business or organization. For a company it can destroy shareholder value. For other organizations it can impact membership, causes, careers, lives and worse. The crisis team needs to commit their time, money and energy and also grab the best and the brightest internal or external to the company or organization to resolve the problem or crisis quickly.
8. Provide updates and resolution.
Communicate updates through all outlets and communicate final resolution of crisis at the most senior level available. Communicate frequently. Communicate in a timely fashion. Do not hold information back. Make leaders, functional owners and subject matter experts available to questions from the media (all forms). Have all communication controlled through the command center i.e. centrally.
9. Investigate (the post mortem).
After the crisis has been resolved establish a team to investigate what happened, why, who was responsible and what actions need to be taken to insure that it does not happen again (or is minimized). Insure the team has full access plus as much time and budget as they need to do their jobs effectively.
10. Integrate improvements
Integrate the findings of the team into business as usual. Take the learnings from the crises to change the business or organization so there is a minimal chance of the crisis repeating itself. Make these changes know to all the company's or organization's stakeholders.
Crises happen - no matter how careful, quality conscience and integrity focused any company or organization considers itself. And when they do, it is up to the leadership to establish a crises team and command center quickly. By following these 10 steps, the best will be made out of any bad situation.
