Crisis management: everything you need to know

Crisis management: everything you need to know

You’ve probably heard about crisis management, but have you come to think about how to act properly during times like this? Continue the content and see everything you need to know about good crisis management.

What is a corporate crisis?

Any problem, negative situation, or consequence that has started from a problem, can generate and directly impact the result of a company. The impact can either be financially or its reputation, solidity, and image. Within all stages that can happen during a time of turbulence, the problem becomes a crisis when it interrupts the progress of your business and causes some impact on the company. If this impact has not occurred, the crisis has not yet been established and you are facing a problem. From there, you should face it head-on and never ignore it. Some common problems companies deal with include:

  • Poor service;
  • Natural disasters;
  • Product failures;
  • Data leakage;
  • Unfortunate placements and many others.

Almost every emergency is an ignored problem, so be aware of your organization’s problems. It is very important to listen carefully to employees, customers, suppliers, and anyone who involves in the chain where the problem occurred. Listen carefully to what your customers talk about in service channels and discussion forums.

It is possible to demonstrate that 86% of crises are predictable, while only 14% are unexpected, according to the Institute for Crisis Management – The PR Crisis Bible.

Stages of a crisis

crisis management

While we always expect the best in business development. It is a mistake to believe that no problems will pop up along the path to success. We are all subject to problems, failures, and unexpected disasters. That said, it is essential to recognize what are the phases of a emergency so that you navigate every moment with useful actions. Check below the exceptions before, during, and after a crisis.

Anticipating the crisis

Ben Franklin said, “An ounce of prevention is worth a pound of cure.” Mapping the risks that your organization is extremely important so that, in the event of a crisis, everyone knows how to act and to whom and how to communicate the issues.

During the crisis

Transparency is the soul of the business, its employees should be the first to be informed about the situation. Moreover, taking responsibility for the problem is fundamental, after all, any lie can inflate the emergency. Be available and have a formal positioning, your client wants to hear from you about what happened and what has been done for correction. Don’t be reactive and don’t take too long to act.

After the crisis

Assess the size of the damage, follow the theme, develop new action plans, and list all the learning stemming from this crisis. Remember that everything is about learning. Now is the time to win back your customers and regain your reputation. Commit to doing everything that was promised.

The importance of communication

In times of emergency, communication will be a vital resource for solving the problem. Thinking about both the internal and external environment, establishing a dialogue will ensure that your audience has empathy as well as supports you in the recovery process. It is essential that:

  1. The frontline team must be empowered to identify a problem that could become a crisis.
  2. There must be an internal drive flow, with efficient and responsible channels defined for immediate action
  3. The team should know how and when to trigger their superiors.
  4. Train all teams to know what they can and can’t do about customers.
  5. Keep a communication channel open so employees can ask questions.

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