“As of 1 June 2020, the Emission gate scandal had cost Volkswagen $33.3 billion in fines, penalties, financial settlements and buyback costs for cheating on the emissions testing for its diesel car.”
According to PwC’s Global Crisis survey, nearly 7 in 10 leaders have experienced at least one corporate crisis in the last 5 years — with the average number of crises experienced being 3. Yet, a study from Deloitte shows that the majority of companies do not have a plan in place that prepares them to respond effectively to unforeseen circumstances.
1. Overview
Crisis management planning is essential for your business to succeed and overcome any obstacle. Ensuring that you are in control of any situation allows you to promote your company while protecting your reputation. Yet as some statistics reveal most organizations do not invest upfront in crafting a crisis management strategy and crisis communications planning.
- Seven out of 10 organizations report plans to increase their investments in building resilience. (PWC)
- Only 23% of survey respondents felt their business’ various crisis management functions are well integrated. (PWC)
- 75% of respondents said technology has facilitated the coordination of their organization’s crisis response team. (PWC)
- Areas that make businesses feel most vulnerable to crisis are corporate reputation, cyber-crime, and rumors. (Deloitte)
This is why having a crisis management strategy is crucial for your organization.
2. Approach
We will work with you to design, document and implement a solid approach to crisis management that addresses the various kinds of crises your business might feasibly face.
We will work with your leadership teams and help them navigate through uncharted waters using crisis management techniques and find the compass back to their planned destination.
We will assist you to develop a philosophy that your organization should always embrace crisis management with the attitude of ‘when’ and not ‘if’; therefore, you should act today and not tomorrow once a crisis is on your doorstep.
3. Benefits
By creating a solid crisis management strategy and crisis communications plan your organization will have some of the following benefits:
- build a great host of resources to tackle any crisis
- help identify more potential threats
- build a culture of communication
- less downtime when disaster hits
- improves company morale
- pinpoint the risks
- establish a clear chain of command.
4. Deliverables
Some Key Deliverables are defining
- establish the top priorities that should be addressed initially, and subsequently action should be taken on the objectives of lower priorities.
- detailed crisis management teams (CMT)
- define the specific roles and responsibilities of the CMT
- details of available resources and contacts that the team can call upon as needed
- effective utilization of project resources