Crisis Management - Ave Maria[1]

8/8/2019 Crisis Management - Ave Maria[1]

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LOGO

Corporate Responsibilityand Crisis ManagementCorporate Responsibilityand Crisis Management

Ave Maria UniversityAve Maria University


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ADVANTAGES F NEGOTIATINGAEPUTATION

Creates value for the shareholder

Attracts and keep the best professionals

Creates Respect from the community

Allows to face a crisis with a stronger position


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COMPONENTS O REPUTATION

Emotional atractiveness

Products & Services

Vision and Leadership

Process and WorkingEnvironment

Financial Results

Social Responsability

Atractiveness

Trust

Respect

Credibility

Strenght of the brand

Innovation

Quality

Quality/Price Relationship

Vision

Lidership

Value

Management

Environment Talent

Financial Results

Risks/ Debts

Precaution

Corporate Citizenship

Responsability with theEnvironmentl

Ethics

BenchmarkingReputation

Quotient

(RQTM)


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TRUST BANK


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KEY ELEMENTS IN TRUST

RATIONAL

- Controls/laws

- Information

- Responsibilities

-

R le of Law- E onomi al

stability

EMOTIONAL

- Ben marking

- Brand Val e

- Personal experien e

-

Affe tion- Relevan e

- Preferen e


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FOUNDATIONS OF CRISIS COMMUNICATION


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CRISIS s FEATURES:

S rprise

Unforseability Urgen y

Unsteability

La k of Information

Feelings of Perse tion


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TYPES OF CRISIS

Corporate: sto k markets fall...

Laborales: strikes, losing, employmentreg lation...

Prod ts: intoxi ations, q ality problems,extortions...

Se torials: negative laws, environmental

riti isms...

Impa ts: spills, labor a idents, fires...


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SOME EXAMPLES


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TYPES OF INSTITUTIONAL CRISES

Internal

Political

Malpractice

External

Economical

Environment

International Politics

Catastrophes

errorism


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CORPORATIVE vs. INSTITUTIONAL

Is i t t t if c :

Cor or t Soci l onsabilit s. Social D ti s.

Cor orat tation s. Vot s

Informati S bject s. Informer S bject

Competiti e Environment vs. Oposition


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PHASES OF A CRISIS

PRELIMINARY

ACUTE

CHRONICAL

POST-TRAUMATIC

PREPARA I NR

ead the Signs

AC I NWorst Case Scenario

RESOLUTIONRecognize mistakes

RECOVERYClosing the crisis


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STRATEGIES FOR MANAGING A CRISIS

Silen e

Also transmits a message

Rumors e plain what is ine plicable

Denial

Is valid only if everything is false

Transfer of Responsibility

Do not blame the dead

Confession Recognizing the problem is not enough


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In Favor

Take the initiative

Control of the message

Show commitment

Always answer to the key audiences

Duty to inform

Against:

Legal/political consequences Do not be able to keep silence later

Negative visibility

Take political risks

COMMUNICATE?


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WHAT TO DO WHEN YOU HAVE A CRISIS?

CORRECT

Be calm and move

quickly.

Solve the Problem

Activate a Committee

Record dates as soon as

possible.

Take the initiative

Identify friends.

INCORRECT

Wait until the crisis ends.

Try to manage the crisis byyourself.

Do not control the

information

Do not underestimate the

riskiness

Not learning from themistakes


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CONCLUSION

Comm ni ation by itself is generally not eno g tosolve a risis.

Is possible to prote t a ompany s rep tation by

and adeq ate se of omm ni ation. An appropriate management of t e risis begins

before t e risis itself.

T e ompany and its offi ers ave t eresponsibility/opport nity to se omm ni ation as

a tool to prote t t e val e of t eir ompanies. External o nselors an provide experien e ads pport d ring risis.


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PREVENTING A CRISIS


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IS POSSIBLE TO PREVENT A CRISIS?

hat w w:

What coul happen?

Wherecoul happen?

Whycoul happen?

What are thepossibleeffects?

Whoshoul be informabout thecrisis?

What w t w

When is thecrisis oing tohappen?


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HOW TO PROTECT THE REPUTATION

Raise ons io sness abo t t e importan e to prote tt e rep tation.

Be a ead of potential risks.

To reate a prevention system.

To improve ontin o sly.

Lear from past experien es.


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CRISIS PREVENTION PLAN

KEYELEMENTS

iskaudit

Crisis anagement Handbook

Crisis anagement Commitee

Issues onitoring

Trainning

anagement of Knowledge


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WHEN THE CRISIS IS THERE

W at is nder risk? To loose marketing quota

To loose clients Cause damages in the brand

Reduce stock market capitalization

Be e posed to economical sanctions

Criminal responsibilities

Payment Default

Stopping the activities


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Psi ology of t e Crisis

Kebler Ross T eory abo t t e a eptan e of bad news

Astonishment/Surprise What has happened?

Denial- It is not possible!

Anger- How is possible this happened!

Depression- How do we get out of this?

Negotiation- Let's see what can be done

Acceptance- Lets do this!

4. Crisis Commitment


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MONITORING THE CRISIS

Follow t e onformers- Radio, TV, etc.

-Press Agencies

- Follow Up Services: TV/Radio/Internet/press alerts


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MONITORING THE CRISIS

Follow p to t e media

Off-line media:

Gatherings, column articles...

Internet: forums, newsgroups, chats, against a

company webs...

www.boycottnet.org

www.protest.net www.safetyalerts.com

Online news summaries


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THE SPOKESPERSON

A omm ni ator, not an expert: Credibility is more important than data

as to understand journalists and their needs

Must be a person before being a spokesperson.

Must know how to remain in silence in case ofpressure.

Special Situations

Declarations Press Conferences

Interviews

Phone Calls


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UNDERSTANDING THE ROLE OF MEDIA


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Cold MediaNewspapers

Hot MediaTV and Radio

- Create emotional

impressionsS ow t e emotional state

of t e spokesperson

Feelings annot beontrasted ave deeper

and lasting effe ts.

-Create opinion

-Demand the involvement of

the people whouses them.

TOTHINK

FEELINGS

UNDERSTANDING THE ROLE OF THE MEDIA


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TO ACT CORRECTLY IS IMPORTANT TO:

Understand t e media s role.

Speak only is yo ave somet ing

important to sayDefine t e messages yo want totransmit

Do not lie

Always s ow an attit de of ollaborationAdvan e possible q estions and answers

Do not req est to see t e informationbefore it is p blis ed.


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IS NOT CORRECT

To say somet ing off t ere ordTo see jo rnalists and enemies

To avoid answering a jo rnalist s all.Make it personalUnderestimate t e power of t e

media.


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KEYS FOR A GOODMANAGEMENT

Always look for t e appropiate elp(do not a t by yo rself).Always take de isions, even if t eyare wrong

All t e people an talk, b t only onede ides.Understand t e motivations in everya dien eAlways transmit yo ave ontrol oft e sit ation (inside and o tside).Have t e disposition to apologize andre ognize mistakesLearn from every risis and sit ation.


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THE IMPACT OF NEW TECHNOLOGIES


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CLOSING THE CRISIS

Is a privilege of the number one

Do not close the crisis is you dont have asolution.

Learn and correct

Always thanks your friends

Document every step


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ANALISYS OF CASE F


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Crisis Management - Ave Maria[1]

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