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Crisis Management

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Crisis Management

  1. 1. CRISIS & CONFLICT MANAGEMENT <ul><li>TOPIC: </li></ul><ul><li>CRISIS MANAGEMENT TEAM(CMT) </li></ul><ul><li>BY:Maya </li></ul>
  2. 2. What is a Crisis? <ul><li>Three elements are common to most definitions of crisis: </li></ul><ul><li>a threat to the organization, </li></ul><ul><li>the element of surprise, and </li></ul><ul><li>(c) a short decision time. </li></ul><ul><li>Definition of crisis </li></ul><ul><li>A major unpredictable event or it can be an activity, that has potentially negative result. </li></ul>
  3. 3. Specific disasters for an organisation: <ul><li>Coombs identified nine types of crisis: </li></ul><ul><li>Natural disasters </li></ul><ul><li>Malevolence </li></ul><ul><li>Technical breakdowns </li></ul><ul><li>Human breakdowns </li></ul><ul><li>Challenges </li></ul><ul><li>Mega damage </li></ul><ul><li>Organizational misdeeds </li></ul><ul><li>Workplace violence </li></ul><ul><li>Rumors </li></ul>
  4. 4. Common features of a crisis: <ul><li>The situation materialises unexpectedly </li></ul><ul><li>Decisions are required urgently </li></ul><ul><li>Time is short </li></ul><ul><li>Specific threats are identified </li></ul><ul><li>Urgent demands for information are received </li></ul><ul><li>There is sense of loss of control </li></ul><ul><li>Pressures build over time </li></ul><ul><li>Routine business become increasingly difficult </li></ul><ul><li>Demands are made to identify someone to blame </li></ul><ul><li>Reputation suffers </li></ul><ul><li>Communications are increasingly difficult to manage </li></ul>
  5. 5. Crisis management <ul><li>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 </li></ul>
  6. 6. Crisis Planning: The plan documents are key to success. <ul><li>Assess risks </li></ul><ul><li>Produce plans </li></ul><ul><li>Define roles and responsibilities </li></ul><ul><li>Appoint crisis management team </li></ul><ul><li>Draw up communication plan </li></ul><ul><li>Produce contact and organisation chart </li></ul><ul><li>Promote crisis-ready culture </li></ul><ul><li>Publish plans and conduct training </li></ul><ul><li>Test, review and practise </li></ul>
  7. 7. Crisis Management Team <ul><li>The role of the Crisis Management Team (CMT) within a business is a straightforward management process. </li></ul><ul><li>It should: </li></ul><ul><li>* Establish what has happened </li></ul><ul><li>* Assess the impact </li></ul><ul><li>* Resolve any conflicts of interest </li></ul><ul><li>* Identify and prioritize actions required </li></ul><ul><li>* Retain control </li></ul>
  8. 8. Responsibilities of Crisis management team: <ul><li>Prevention and to be normal again. </li></ul><ul><li>To minimise losses </li></ul><ul><li>To encash any opportunities </li></ul><ul><li>Survival </li></ul><ul><li>Successful outcomes </li></ul><ul><li>(and they all must be trained that how to cope with crisis situations) </li></ul>
  9. 9. An ideal crisis management team requires representation from various groups such as: <ul><li>Facility management; </li></ul><ul><li>Legal department; </li></ul><ul><li>Risk management; </li></ul><ul><li>Information technology; </li></ul><ul><li>Human resources; </li></ul><ul><li>Financial services; </li></ul><ul><li>Real estate management; </li></ul><ul><li>Corporate security; and </li></ul><ul><li>Public relations/ communications. </li></ul>
  10. 10. <ul><li>Two of these principles are especially critical to successful crisis management. </li></ul><ul><li>First, only when the crisis management team members understand and are committed to the crisis plan will they be effective in their tasks </li></ul><ul><li>and second, only when a crisis culture is established within the entire business will the company be ready to respond appropriately to a crisis. </li></ul>
  11. 11. <ul><li>A crisis management team needs the following to be in place to be effective: </li></ul><ul><li>Role one: </li></ul><ul><li>There must be clearly identified ‘assessors’ (along with back-ups to these people) whose sole mission is to be able to assess the business interruption impact and provide feedback to the incident management team. </li></ul>
  12. 12. Role two: <ul><li>Identify a group of senior executives whose role is to receive the feedback provided by the assessors. </li></ul><ul><li>Core responsibilities for this team or individuals) are: </li></ul><ul><li>Provide guidance to the assessors. </li></ul><ul><li>Receive recommendations and provide approval and direction. </li></ul><ul><li>Be accountable for the direction </li></ul><ul><li>provided. </li></ul>
  13. 13. Role three: <ul><li>We must have a person designated for internal and external communication efforts . One of the fundamental flaws in many crisis responses is that an overdose of information is provided but with no real focus to the communication. </li></ul><ul><li>Effective and proactive communication will create and build the perception that the organization is under control; that the company knows and understands what is happening; and that it will resolve the situation </li></ul>
  14. 14. Continued.. <ul><li>Their core responsibilities are to: </li></ul><ul><li>Analyze and assess incidents </li></ul><ul><li>Resolve incidents; </li></ul><ul><li>Provide recommendations. </li></ul><ul><li>Execute actions to facilitate the return to a state of normality. </li></ul>
  15. 15. Selecting A Leader <ul><li>The leader maintains the cohesiveness of the team. </li></ul><ul><li>Successful leadership entails coordinating regular meetings, training, and evaluating of the threats to the business operations . </li></ul><ul><li>The leader establishes basic principles of crisis management for the team. </li></ul><ul><li>They include: </li></ul><ul><li>Creating a written plan that can be implemented both vertically and horizontally within business operations; </li></ul><ul><li>Defining the specific roles of each crisis management team member </li></ul><ul><li>Creating a communication plan that allows timely and accurate exchanges of information; </li></ul><ul><li>Establishing a training schedule for the crisis management team and the respective action teams; and </li></ul><ul><li>Creating a crisis culture that will thrive on cooperation. </li></ul>
  16. 16. Crisis team members must be: <ul><li>PERSONALITY TRAITS: </li></ul><ul><li>Well-informed and authoritative </li></ul><ul><li>experienced </li></ul><ul><li>Polite and patient. </li></ul><ul><li>Brave enough to face the reality. </li></ul><ul><li>Should have positive approach. </li></ul><ul><li>Effective communicator </li></ul><ul><li>Risk manager </li></ul><ul><li>Problem identifier </li></ul><ul><li>Accurate and reliable </li></ul><ul><li>Mind stability </li></ul><ul><li>Available and willing to work in stress </li></ul><ul><li>Trustworthy </li></ul>
  17. 17. CONCLUSION <ul><li>Benefits of </li></ul><ul><li>Effective Crisis Management with CMT: </li></ul><ul><li>They include: </li></ul><ul><li>Proactive crisis planning for future unpredictability. </li></ul><ul><li>Precautionary measures. </li></ul><ul><li>Enhanced safety for staff and customers </li></ul><ul><li>Effective management of major incidents </li></ul><ul><li>Increased staff awareness of the organization </li></ul><ul><li>Increased confidence and morale within the organization </li></ul><ul><li>Protected and often enhanced reputation </li></ul><ul><li>Reduced risks </li></ul><ul><li>Levels of control and authority limits </li></ul>
  18. 18. THANK YOU!