Actions taken by a company to maintain its credibility and good reputation after a situation has occurred that may affect the company in a negative manner and therefore reduce sales of that company's product or service.
| Marketing Dictionary: crisis management |
Actions taken by a company to maintain its credibility and good reputation after a situation has occurred that may affect the company in a negative manner and therefore reduce sales of that company's product or service.
| 5min Related Video: Crisis management |
| Business Dictionary: Crisis Management |
Management system developed for the purpose of diminishing potentially serious outcomes in certain targeted situations. Examples include aircraft and naval disaster management, fire and emergency evacuation procedures, and flood protection.
| Small Business Encyclopedia: Crisis Management |
Crisis management is a business plan of action that is implemented quickly when a negative situation occurs. The Institute for Crisis Management defines a business crisis as a problem that: 1) disrupts the way an organization conducts business, and 2) attracts significant new media coverage and/or public scrutiny. Typically, these crises have the capacity to visit negative financial, legal, political, or governmental repercussions on the company, especially if they are not dealt with in a prompt and effective manner.
Over the past several years, high-profile public relations disasters (the Firestone tire problems on Ford sport utility vehicles, various product recalls, disturbing product tampering incidents) have thrown an intense spotlight on the issue of crisis management. Indeed, as companies have witnessed the damage that poor crisis management can wreak on business fortunes, a growing percentage of firms have intensified their efforts to put effective crisis management strategies in place.
Hundreds of potential threats exist for every organization. Corporate crises can take the form of plant fires, loss of competitive secrets, workplace violence, product defects, embezzlement and extortion, industrial accidents, sabotage, and natural disasters. Any of these events—as well as numerous others—can cause an immediate and prolonged financial loss to a company, require an intensive communications effort directed to investors, employees, consumers and other entities, and may present a series of regulatory, community relations and competitive challenges.
To assess whether a particular company has a higher exposure than others to categories of crisis, a company may employ a risk or crisis manager who may prepare statistical models, review industry data, or work with consultants to understand how one or more crises could impact the organization. Once this process of risk is completed, many companies then design a Crisis Management Plan (CMP) to determine how negative events can be avoided or reduced in scope. But business consultants and public relations experts counsel all companies to put CMPs in place, no matter how remote such threats seem. Indeed, many businesses are able to secure lower insurance premiums if they have written crisis management procedures in place, which is a sure indication of the importance of such plans.
Sudden Crisis and Smoldering Crisis
Robert B. Irvine, president of the Institute for Crisis Management, noted in Communication World that the Institute characterizes most business crises as one of two types: sudden crisis or smoldering crisis. "We define a sudden crisis as a disruption in the company's business that occurs without warning and is likely to generate new coverage," he said. Examples of such events include business-related accidents, natural disasters, sudden death or disability of a key person, or workplace violence.
Smoldering crises, meanwhile, are defined by the Institute as "any serious business problem that is not generally known within or without the company, which may generate negative news coverage if or when it goes 'public' and could result in more than U.S. $250,000 in fines, penalties, legal damage awards, unbudgeted expenses, and other costs." Examples of smoldering business crises include indications of significant regulatory action, government investigations, customer allegations, media investigations. "In some instances," Irvine added, "crisis situations may be either sudden or smoldering, depending on the amount of advance notice and the chain of events in the crisis."
According to Irvine, while companies need to make sure that they prepare as best they can for sudden crises, it is often the slow-burning smoldering crisis that causes the most damage to a company's image and bottom line. "You really need to be focused on the less dramatic, more complicated, and ultimately more costly smoldering crises that are likely to be brewing in your business. The problem is that these smoldering crises often are the result of management decisions, or indecisions. They may be caused be shortcuts to win contracts, questionable actions by top producers or someone who has had an unblemished record with your organization and is close to retirement. In short, they often are tough to detect and then to resolve because they directly or indirectly involve management decisions, and management has a tough time admitting errors because it reflects on their egos and abilities."
Small Businesses and Crisis Management
"A good image is a terrible thing to lose!" noted Bill Patterson in Public Relations Journal. "It has been said that 30 years of hard work can be destroyed in just 30 seconds." This grim truth is especially evident among small businesses that are rocked by crises, since they are less likely to have the deep financial pockets to weather unpleasant public relations developments. After all, business crises often throw multiple financial blows at companies. Diminished sales as a result of unfavorable publicity, boycotts, etc. are the most widely recognized of these blows, but others can have a significant cumulative impact as well. Added expenses often come knocking in the areas of increased insurance premiums, recall/collection programs, reimbursements, attorneys' fees, and the need to retrieve lost customers through additional advertising.
But business consultants and public relations professionals agree that small business enterprises can do a lot to minimize the damage done by sudden flare-ups of bad news, provided they adhere to several fundamental rules of behavior.
PREPARATION BEFORE THE CRISIS. Small businesses that are faced with public relations crises are far more likely to escape relatively unscathed if they can bring two weapons to bear: 1) a solid record as a good citizen, and 2) an already established crisis management strategy.
"Before the crisis, it is important to build good will and good relations on a daily basis," said media consultant Virgil Scudder in an interview with Communication World. "The way you are treated in a crisis, by the media and the public, will be determined in part by what they think of you at the beginning of the crisis situation." Writing in Public Relations Journal, Bill Patterson offered a similar assessment of the importance of building a "reservoir of good will" in the community: "The most important rule in defending, preserving, or enhancing a reputation is that you work at it all year long, regardless of whether or not a crisis strikes."
The other vital component of crisis management preparation is the creation of an intelligent and forceful strategy for dealing with various crises if they do occur. "For many executives, a crisis is something that happens to someone else," wrote Patterson. "It is a distant thought that can quickly be relegated to the back of the mind, replaced by concern for profit and productivity." But business owners and managers who choose to put off assembling a CMP do so at significant risk. Indeed, the hours and days immediately following the eruption of a crisis are often the most important in shaping public perception of the event. A company that has a good CMP in hand is far more likely to make good use of this time than one that is forced into a pattern of response by on-the-spot improvisation, or one that offers little response at all in the hopes that the whole mess will just go away.
In an article for Entrepreneur, Kim Gordon outlined several steps small businesses can take to be prepared in the event of a crisis. First, companies should perform an assessment to determine their most likely sources of vulnerability. Second, they should select a company spokesperson in advance. "Pick someone who is cool under pressure, credible, good on camera, and adept at presenting a positive image for your business," Gordon stated. It may be helpful for this person to attend media training in order to practice interview techniques. Third, small businesses should prepare positive messages about their operations that can be disseminated to media contacts in the event of a crisis. These messages may include any points you want the public to keep in mind during the negative publicity, such as an impressive safety or environmental record. Finally, Gordon suggested that companies prepare a list of key people to contact in case of an emergency.
RESPONDING DURING THE CRISIS. When a crisis does erupt, prompt and proactive communication should be a cornerstone of any business's crisis containment strategy. As Stephanie Smith and Kim Hunter pointed out in Communication World, "in the throes of a crisis, effective communication is crucial to a favorable public perception. Actions taken by a communicator during the first moments of a crisis can affect perceptions of an individual or company well after the crisis is resolved."
In order to ensure that your company's perspective is heard, it is vital that you do all you can to make sure that your message is accurately presented to any media providing coverage of the crisis. "Perception is truth," wrote Patterson. "And, even though most executives don't like it, the media establishes the perception of your organization. So, in this new public relations discipline of reputation management, dealing with the media in an organized, aggressive, and timely fashion is mandatory." In addition, Scudder suggested that effective interaction with various media—radio, newspaper, television—is often predicated on realizing that representatives of those media outlets are not infallible. "There are two things you should not assume on the part of any journalist," he said. "Knowledge and perspective. Do not assume they know the facts. Tell them the facts. And if they know the facts, do not assume they know what the facts add up to."
Effective communication with media, then, is an essential element of any CMP. But consultants offer other tips as well. Following are a list of other actions that small businesses should take when confronted with a crisis management situation:
Further Reading:
Barton, Laurence. Crisis In Organizations: Managing and Communicating in the Heat of Chaos. South Western Publishing, 1993.
Bryan, Jerry L. "The Coming Revolution in Issues Management: Elevate and Simplify." Communication World. July 15,1997.
Clark, Susan. "Don't Walk Away …" Super Marketing. June 16, 1995.
Gordon, Kim. "Under Fire: Will a Crisis Take Your Company Down? Here's How Deft Handling Can Turn Public Opinion Around." Entrepreneur. April 2001.
Gorski, Thomas A. "A Blueprint for Crisis Management: Understanding What It Takes to Weather the Inevitable Storm." Association Management. January 1998.
Irvine, Robert B. "What's a Crisis, Anyway?" Communication World. July 15, 1997.
Keating, Lauren. "Proactive Approach Minimizes Damage to Image." Atlanta Business Chronicle. November 10, 2000.
Patterson, Bill. "Crises Impact on Reputation Management." Public Relations Journal. November 1993.
Simms, Jane. "Controlling a Crisis." Marketing. November 9,2000.
Smith, Stephanie, and Kim Hunter. "Virgil Scudder Tackles Crisis Tactics." Communication World. February 1997.
See also: Disaster Planning
| Military Dictionary: crisis management |
(DOD) Measure to resolve a hostile situation and investigate and prepare a criminal case for prosecution under federal law. Crisis management will include a response to an incident involving a weapon of mass destruction, special improvised explosive device, or a hostage crisis that is beyond the capability of the lead federal agency. See also crisis; hostage; hostile.
| Wikipedia: Crisis management |
Crisis management is the process by which an organization deals with a major unpredictable event that threatens to harm the organization, its stakeholders, or the general public. Three elements are common to most definitions of crisis: (a) a threat to the organization, (b) the element of surprise, and (c) a short decision time.[1] Venette[2] argues that "crisis is a process of transformation where the old system can no longer be maintained." Therefore the fourth defining quality is the need for change. If change is not needed, the event could more accurately be described as a failure or incident.
In contrast to risk management, which involves assessing potential threats and finding the best ways to avoid those threats, crisis management involves dealing with threats after they have occurred. It is a discipline within the broader context of management consisting of skills and techniques required to identify, assess, understand, and cope with a serious situation, especially from the moment it first occurs to the point that recovery procedures start.
Contents |
Crisis management consists of:
Crisis management methods of a business or an organization are called Crisis Management Plan.
Crisis management is occasionally referred to as incident management, although several industry specialists such as Peter Power argue that the term crisis management is more accurate. [3]
The credibility and reputation of organizations is heavily influenced by the percpetion of their responses during crisis situations. The organization and communication involved in responding to a crisis in a timely fashion makes for a challenge in businesses. There must be open and consistent communication throughout the hierarchy to contribute to a successful crisis communication process.
The related terms emergency management and business continuity management focus respectively on the prompt but short lived "first aid" type of response (e.g. putting the fire out) and the longer term recovery and restoration phases (e.g. moving operations to another site). Crisis is also a facet of risk management, although it is probably untrue to say that Crisis Management represents a failure of Risk Management since it will never be possible to totally mitigate the chances of catastrophes occurring.
During the crisis management process, it is important to identify types of crises in that different crises necessitate the use of different crisis management strategies.[4] Potential crises are enormous, but crises can be clustered.[4]
Coombs[4] identified nine types of crises
Lerbinger[5] categorized seven types of crises
Natural crises, typically natural disasters considered as'acts of God,' are such environmental phenomena as earthquakes, volcanic eruptions, tornadoes and hurricanes, floods, landslides, tidal waves, storms, and droughts that threaten life, property, and the environment itself.[4][5]
Technological crises are caused by human application of science and technology. Technological accidents inevitably occur when technology becomes complex and coupled and something goes wrong in the system as a whole (Technological breakdowns). Some technological crises occur when human error causes disruptions (Human breakdowns[4]). People tend to assign blame for a technological disaster because technology is subject to human manipulation whereas they do not hold anyone responsible for natural disaster. When an accident creates significant environmental damage, the crisis is categorized as megadamage.[4] Samples include software failures, industrial accidents, and oil spills.[4][5]
Confrontation crises occur when discontented individuals and/or groups fight businesses, government, and various interest groups to win acceptance of their demands and expectations. The common type of confrontation crises is boycotts, and other types are picketing, sit-ins, ultimatums to those in authority, blockade or occupation of buildings, and resisting or disobeying police.
An organization faces a crisis of malevolence when opponents or miscreant individuals use criminal means or other extreme tactics for the purpose of expressing hostility or anger toward, or seeking gain from, a company, country, or economic system, perhaps with the aim of destabilizing or destroying it. Sample crises include product tampering, kidnapping, malicious rumors, terrorism, and espionage.[4][5]
Crises occur when management takes actions it knows will harm or place stakeholders at risk for harm without adequate precautions.[4] Lerbinger[5] specified three different types of crises of organizational misdeeds: crises of skewed management values, crises of deception, and crises of management misconduct.
Crises of skewed management values are caused when managers favor short-term economic gain and neglect broader social values and stakeholders other than investors. This state of lopsided values is rooted in the classical business creed that focuses on the interests of stockholders and tends to view the interests of its other stakeholders such as customers, employees, and the community.
Crises of deception occur when management conceals or misrepresents information about itself and its products in its dealing with consumers and others.
Some crises are caused not only by skewed values and deception but deliberate amorality and illegality.
Crises occur when an employee or former employee commits violence against other employees on organizational grounds.
False information about an organization or its products creates crises hurting the organization’s reputation. Sample is linking the organization to radical groups or stories that their products are contaminated.[4]
Successfully diffusing a crisis requires an understanding of how to handle a crisis – before it occurs. Gonzalez-Herrero and Pratt created a four-phase crisis management model process that includes: issues management, planning-prevention, the crisis, and post-crisis (Gonzalez-Herrero and Pratt, 1995). The art is to define what the crisis specifically is or could be and what has caused it or could cause it.
No corporation looks forward to facing a situation that causes a significant disruption to their business, especially one that stimulates extensive media coverage. Public scrutiny can result in a negative financial, political, legal and government impact. Crisis management planning deals with providing the best response to a crisis.[6]
Preparing contingency plans in advance, as part of a crisis management plan, is the first step to ensuring an organization is appropriately prepared for a crisis. Crisis management teams can rehearse a crisis plan by developing a simulated scenario to use as a drill. The plan should clearly stipulate that the only people to speak publicly about the crisis are the designated persons, such as the company spokesperson or crisis team members. The first hours after a crisis breaks are the most crucial, so working with speed and efficiency is important, and the plan should indicate how quickly each function should be performed. When preparing to offer a statement externally as well as internally, information should be accurate. Providing incorrect or manipulated information has a tendency to backfire and will greatly exacerbate the situation. The contingency plan should contain information and guidance that will help decision makers to consider not only the short-term consequences, but the long-term effects of every decision.[6]
When a crisis will undoubtedly cause a significant disruption to an organization, a business continuity plan can help minimize the disruption. First, one must identify the critical functions and processes that are necessary to keep the organization running. Then each critical function and or/process must have its own contingency plan in the event that one of the functions/processes ceases or fails. Testing these contingency plans by rehearsing the required actions in a simulation will allow for all involved to become more sensitive and aware of the possibility of a crisis. As a result, in the event of an actual crisis, the team members will act more quickly and effectively.[6]
Providing information to an organization in a time of crisis is critical to effective crisis management. Structural-functional systems theory addresses the intricacies of information networks and levels of command making up organizational communication. The structural-functional theory identifies information flow in organizations as "networks" made up of members and "links". Information in organizations flow in patterns called networks.[7]
Another theory that can be applied to the sharing of information is Diffusion of Innovation Theory. Developed by Everett Rogers, the theory describes how innovation is disseminated and communicated through certain channels over a period of time. Diffusion of innovation in communication occurs when an individual communicates a new idea to one or several others. At its most elementary form, the process involves: (1) an innovation, (2) an individual or other unit of adoption that has knowledge of or experience with using the innovation, (3) another individual or other unit that does not yet have knowledge of the innovation, and (4) a communication channel connecting the two units. A communication channel is the means by which messages get from one individual to another.
There has been debate about the role of apologies in crisis management, and some argue that apology opens an organization up for possible legal consequences. "However some evidence indicates that compensation and sympathy, two less expensive strategies, are as effective as an apology in shaping people’s perceptions of the organization taking responsibility for the crisis because these strategies focus on the victims’ needs. The sympathy response expresses concern for victims while compensation offers victims something to offset the suffering."[8]
In the fall of 1982, a murderer added 65 milligrams of cyanide to some Tylenol capsules on store shelves, killing seven people, including three in one family. Johnson & Johnson recalled and destroyed 31 million capsules at a cost of $100 million. The affable CEO, James Burke, appeared in television ads and at news conferences informing consumers of the company's actions. Tamper-resistant packaging was rapidly introduced, and Tylenol sales swiftly bounced back to near pre-crisis levels.[9]
Johnson & Johnson was again struck by a similar crisis in 1986 when a New York woman died on Feb. 8 after taking cyanide-laced Tylenol capsules. Johnson & Johnson was ready. Responding swiftly and smoothly to the new crisis, it immediately and indefinitely canceled all television commercials for Tylenol, established a toll-free telephone hot-line to answer consumer questions and offered refunds or exchanges to customers who had purchased Tylenol capsules. At week's end, when another bottle of tainted Tylenol was discovered in a store, it took only a matter of minutes for the manufacturer to issue a nationwide warning that people should not use the medication in its capsule form.[10]
When Odwalla's apple juice was thought to be the cause of an outbreak of E. coli infection, the company lost a third of its market value. In October 1996, an outbreak of E. coli bacteria in Washington state, California, Colorado and British Columbia was traced to unpasteurized apple juice manufactured by natural juice maker Odwalla Inc. Forty-nine cases were reported, including the death of a small child. Within 24 hours, Odwalla conferred with the FDA and Washington state health officials; established a schedule of daily press briefings; sent out press releases which announced the recall; expressed remorse, concern and apology, and took responsibility for anyone harmed by their products; detailed symptoms of E. coli poisoning; and explained what consumers should do with any affected products. Odwalla then developed - through the help of consultants - effective thermal processes that would not harm the products' flavors when production resumed. All of these steps were communicated through close relations with the media and through full-page newspaper ads.[11]
Mattel Inc., the toy maker, has been plagued with more than 28 product recalls and in Summer of 2007, amongst problems with exports from China, faced two product recall in two weeks. The company did everything it could to get its message out, earning high marks from consumers and retailers. Though upset by the situation, they were appreciative of the company's response. At Mattel, just after the 7 a.m. recall announcement by federal officials, a public relations staff of 16 was set to call reporters at the 40 biggest media outlets. They told each to check their e-mail for a news release outlining the recalls, invited them to a teleconference call with executives and scheduled TV appearances or phone conversations with Mattel's chief executive. The Mattel CEO Robert Eckert did 14 TV interviews on a Tuesday in August and about 20 calls with individual reporters. By the week's end, Mattel had responded to more than 300 media inquiries in the U.S. alone.[12]
The Pepsi Corporation faced a crisis in 1993 which started with claims of syringes being found in cans of diet Pepsi. Pepsi urged stores not to remove the product from shelves while it had the cans and the situation investigated. This led to an arrest, which Pepsi made public and then followed with their first video news release, showing the production process to demonstrate that such tampering was impossible within their factories. A second video news release displayed the man arrested. A third video news release showed surveillance from a convenient store where a woman was caught replicating the tampering incident. The company simultaneously publicly worked with the FDA during the crisis. The Corporation was completely open with the public throughout, and every employee of Pepsi was kept aware of the details. This made public communications effective throughout the crisis. After the crisis had been resolved, the corporation ran a series of special campaigns designed to thank the public for standing by the corporation, along with coupons for further compensation. This case served as a design for how to handle other crisis situations. [13][citation needed]
One of the foremost recognized studies conducted on the impact of a catastrophe on the stock value of an organization was completed by Dr Rory Knight and Dr Deborah Pretty (1995, Templeton College, University of Oxford - commissioned by the Sedgewick Group). This study undertook a detailed analysis of the stock price (post impact) of organizations that had experienced catastrophes. The study identified organizations that recovered and even exceeded pre-catastrophe stock price, (Recoverers), and those that did not recover on stock price, (Non-recoverers). The average cumulative impact on shareholder value for the recoverers was 5% plus on their original stock value. So the net impact on shareholder value by this stage was actually positive. The non-recoverers remained more or less unchanged between days 5 and 50 after the catastrophe, but suffered a net negative cumulative impact of almost 15% on their stock price up to one year afterwards.
One of the key conclusions of this study is that "Effective management of the consequences of catastrophes would appear to be a more significant factor than whether catastrophe insurance hedges the economic impact of the catastrophe".
While there are technical elements to this report it is highly recommended to those who wish to engage their senior management in the value of crisis management.[citation needed]
The Bhopal disaster in which poor communication before, during, and after the crisis cost thousands of lives, illustrates the importance of incorporating cross-cultural communication in crisis management plans. According to American University’s Trade Environmental Database Case Studies (1997), local residents were not sure how to react to warnings of potential threats from the Union Carbide plant. Operating manuals printed only in English is an extreme example of mismanagement but indicative of systemic barriers to information diffusion. According to Union Carbide’s own chronology of the incident (2006), a day after the crisis Union Carbide’s upper management arrived in India but was unable to assist in the relief efforts because they were placed under house arrest by the Indian government. Symbolic intervention can be counter productive; a crisis management strategy can help upper management make more calculated decisions in how they should respond to disaster scenarios. The Bhopal incident illustrates the difficulty in consistently applying management standards to multi-national operations and the blame shifting that often results from the lack of a clear management plan.[14]
The Ford-Firestone Tire and Rubber Company dispute transpired in August 2000. In response to claims that their 15-inch Wilderness AT, radial ATX and ATX II tire treads were separating from the tire core—leading to grisly, spectacular crashes—Bridgestone/Firestone recalled 6.5 million tires. These tires were mostly used on the Ford Explorer, the world's top-selling sport utility vehicle (SUV).[15]
The two companies’ committed three major blunders early on, say crisis experts. First, they blamed consumers for not inflating their tires properly. Then they blamed each other for faulty tires and faulty vehicle design. Then they said very little about what they were doing to solve a problem that had caused more than 100 deaths—until they got called to Washington to testify before Congress.[16]
On March 24, 1989, a tanker belonging to the Exxon Corporation ran aground in the Prince William Sound in Alaska. The Exxon Valdez spilled millions of gallons of crude oil into the waters off Valdez, killing thousands of fish, fowl, and sea otters. Hundreds of miles of coastline were polluted and salmon spawning runs disrupted; numerous fishermen, especially Native Americans, lost their livelihoods. Exxon, by contrast, did not react quickly in terms of dealing with the media and the public; the CEO, Lawrence Rawl, did not become an active part of the public relations effort and actually shunned public involvement; the company had neither a communication plan nor a communication team in place to handle the event—in fact, the company did not appoint a public relations manager to its management team until 1993, 4 years after the incident; Exxon established its media center in Valdez, a location too small and too remote to handle the onslaught of media attention; and the company acted defensively in its response to its publics, even laying blame, at times, on other groups such as the Coast Guard. These responses also happened within days of the incident.[17]
Corporate America is not the only community that is vulnerable to the perils of a crisis. Whether a school shooting, a public health crisis or a terrorist attack that leaves the public seeking comfort in the calm, steady leadership of an elected official, no sector of society is immune to crisis. In response to that reality, crisis management policies, strategies and practices have been developed and adapted across multiple disciplines.
In the wake of the Columbine High School Massacre, the September 11 attacks in 2001, and shootings on college campuses including the Virginia Tech massacre, educational institutions at all levels are now focused on crisis management.[18]
A national study conducted by the University of Arkansas for Medical Sciences (UAMS) and Arkansas Children’s Hospital Research Institute (ACHRI) has shown that many public school districts have important deficiencies in their emergency and disaster plans (The School Violence Resource Center, 2003). In response the Resource Center has organized a comprehensive set of resources to aid schools is the development of crisis management plans.[citation needed]
Crisis management plans cover a wide variety of incidents including bomb threats, child abuse, natural disasters, suicide, drug abuse and gang activities – just to list a few.[19] In a similar fashion the plans aim to address all audiences in need of information including parents, the media and law enforcement officials.[20]
Historically, government at all levels – local, state, and national – has played a large role in crisis management. Indeed, many political philosophers have considered this to be one of the primary roles of government. Emergency services, such as fire and police departments at the local level, and the United States National Guard at the federal level, often play integral roles in crisis situations.
To help coordinate communication during the response phase of a crisis, the U.S. Federal Emergency Management Agency (FEMA) within the Department of Homeland Security administers the National Response Plan (NRP). This plan is intended to integrate public and private response by providing a common language and outlining a chain-of-command when multiple parties are mobilized. It is based on the premise that incidences should be handled at the lowest organizational level possible. The NRP recognizes the private sector as a key partner in domestic incident management, particularly in the area of critical infrastructure protection and restoration.[21]
The NRP is a companion to the National Incidence Management System that acts as a more general template for incident management regardless of cause, size, or complexity.[21]
FEMA offers free web-based training on the National Response Plan through the Emergency Management Institute.[22]
Common Alerting Protocol (CAP) is a relatively recent mechanism that facilitates crisis communication across different mediums and systems. CAP helps create a consistent emergency alert format to reach geographically and linguistically diverse audiences through both audio and visual mediums.[citation needed]
Historically, politics and crisis go hand-in-hand. In describing crisis, President Abraham Lincoln said, “We live in the midst of alarms, anxiety beclouds the future; we expect some new disaster with each newspaper we read.”[citation needed]
Crisis management has become a defining feature of contemporary governance. In times of crisis, communities and members of organizations expect their public leaders to minimize the impact of the crisis at hand, while critics and bureaucratic competitors try to seize the moment to blame incumbent rulers and their policies. In this extreme environment, policy makers must somehow establish a sense of normality, and foster collective learning from the crisis experience.[23]
In the face of crisis, leaders must deal with the strategic challenges they face, the political risks and opportunities they encounter, the errors they make, the pitfalls they need to avoid, and the paths away from crisis they may pursue. The necessity for management is even more significant with the advent of a 24-hour news cycle and an increasingly internet-saavy audience with ever-changing technology at its fingertips.[23]
Public leaders have a special responsibility to help safeguard society from the adverse consequences of crisis. Experts in crisis management note that leaders who take this responsibility seriously would have to concern themselves with all crisis phases: the incubation stage, the onset, and the aftermath. Crisis leadership then involves five critical tasks: sense making, decision making, meaning making, terminating, and learning.[23]
A brief description of the five facets of crisis leadership includes:[24]
This entry is from Wikipedia, the leading user-contributed encyclopedia. It may not have been reviewed by professional editors (see full disclaimer)
| incident control point | |
| management | |
| Management By Crisis (business term) |
Copyrights:
![]() | Marketing Dictionary. Dictionary of Marketing Terms. Copyright © 2000 by Barron's Educational Series, Inc. All rights reserved. Read more | |
![]() | Business Dictionary. Dictionary of Business Terms. Copyright © 2000 by Barron's Educational Series, Inc. All rights reserved. Read more | |
![]() | Small Business Encyclopedia. Encyclopedia of Small Business. Copyright © 2002 by The Gale Group, Inc. All rights reserved. Read more | |
![]() | Military Dictionary. US Department of Defense Dictionary of Military and Associated Words, 2003. Read more | |
![]() | Wikipedia. This article is licensed under the Creative Commons Attribution/Share-Alike License. It uses material from the Wikipedia article "Crisis management". Read more |
Mentioned in