2. Definition
• A crisis is defined as an event that by its nature
or its consequences:
• constitutes a threat to vital national interests
or to the essential needs of the organization,
its stakeholders or public;
• prompts rapid decision making;
• demands coordination between different
departments and organisms
3. Key features of a Crisis
• Low probability
• High impact
• Uncertain/ambiguous causes and
effects
4. Common features of a crisis
• The situation materialises unexpectedly (strong element of
surprise)
• Decisions are required urgently
• Time is short
• Specific threats are identified
• Urgent demands for information are received
• There is sense of loss of control
• Pressures build over time
• Routine business become increasingly difficult
• Demands are made to identify someone to blame
• Outsiders take an unaccustomed interest
• Reputation suffers
• Communications are increasingly difficult to manage
6. Crisis Management
• prevents a crisis from becoming a catastrophe.
• Crisis management can be defined as a system or
methodology of solving crisis situations. We can be
sure that the actual crisis situation will differ from our
expectation.
A crisis is like a virus, the effects can be sudden, insidious,
infectious and extremely dangerous…
7. Problem characterizationProblem characterization
Crisis management is a very complex and not easily
predictable process. The problem can be explicated in
three claims:
• Nobody knows when a crisis event will happen.
• The scenario of a crisis/emergency event can be
expected and prepared for but the real situation will
change it.
• Our knowledge of a crisis/emergency event solution
is developed step-by-step and hour-by-hour and its
”current version” has to be utilized continuously in
the crisis event solution.
9. Three criteria of success
• Has organisational capacity been restored?
• Have losses been minimised?
• Have lessons been learned?
10. Crisis Planning
• Assess risks
• Produce plans
• Define roles and responsibilities
• Appoint crisis management team
• Draw up communication plan
• Produce contact and organisation chart
• Promote crisis-ready culture
• Publish plans and conduct training
• Test, review and practise
11. • Plan in advance
• Rehearse via simulation
• Stipulate who the spokesperson is
• Crisis is no time to find yourself on a learning curve.
Community measures and Emergency procedures are
essential
• Planning requires that crisis can occur at any time. Nine out
of ten crisis occur when you are asleep, probably after a late
night or at a week-end!
Pre-Crisis Actions and
Preparations
12. • Pre-crisis actions costs are often (but not always) a tiny
fraction of the losses that are typically incurred by crisis for
which there has been inadequate preparation;
• It is very easy to underestimate the damage a crisis can do and
the costs it can have.
Pre-Crisis Actions and Preparations
13. • Emergency Procedures
• Staff awareness
• Network of experts for urgent meeting/advice
• Standard Decisions (safeguard clauses) ready in all official
languages
Pre-Crisis Actions and Preparations
14. Pre-crisis actions and preparations
• The crisis unfolds
• After the crisis
• In a Nutshell
15. The Crisis Unfolds
• Appointment of a press contact person who is
always available and ready to reply immediately
• Quick reaction in taking and repealing measures
• Dispatch of information in real time
• Consistency of information (everyone should
have the same story)
• Development of a detailed chronology
16. The Crisis Unfolds
• The services/officials concerned ought to show
flexibility and may have to stay late hours, work on
week-ends or report their vacations
• The work-plans and tasks should be re-organized so
as to allow for an effective management of the crisis
and all its side effects (letters, working groups…)
• Risk assessors and risk managers must work in strict
co-operation!
17. The Crisis Unfolds
• Coordination between the Units and Directorates
concerned is essential, so as to ensure that all the
aspects of the crisis are being tackled .
• Show sympathy for those affected by the crisis.
18. After the Crisis
• Promote positive stories in the media
• Analyze the management of the crisis
• Update Emergency Procedures
19. In a Nutshell
Be prepared
• Sooner or later you may also be involved in a crises,
which will involve a lot of extra work
• What is the most likely scenario for you/your
service? Are you ready for it?
• The crisis may be worse than you expected!
20. In a Nutshell
Say the truth
• People and institutions do not like facing and
managing crisis. This may lead them into half-
truths, lies and evasions
• What is said to the media, other bodies needs to be
updated and consistent
21. Role of apologies in crisis
management
• Controversial - for fear of legal outcomes
• Evidence says that a compensation and sympathy are effective
• True contrition includes sympathy for victims and offers of
compensation to offset losses or suffering
22. In a Nutshell
Be visible
• If the crisis is major, then organization needs to be at the site of
the crisis quickly and to be visible
• Failure to show sympathy will be punished by the media and by
all members of the public and can destroy the reputation of the
organization
24. Communication plan:
Core elements are:
• Identifying audiences (Who?)
• How communication is to take place (How?)
• What messages are to be communicated (What?)
The core process is:
• Active, two-way communication
25. The Top 12 Crises of 2015
1.Volkswagen
2. FIFA
3. Chipotle
4. Ashley Madison
5. HSBC
6. Petrobas-Dilma Roussef (company executives accepted bribes from a
cartel of 20 companies)
7. Mecca Crane Collapse
8.Starbucks (wading into the discussions around race that followed
police shootings in Ferguson and elsewhere)
9.Theranos
10. Nestle India
