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How can you prevent corporate crises with proactive communication?

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A corporate crisis can damage your reputation, erode your trust, and disrupt your operations. Whether it's a product recall, a data breach, or a scandal, you need to act fast and communicate effectively to mitigate the impact. But what if you could prevent some of these crises from happening in the first place? That's where proactive communication comes in. Proactive communication is the practice of anticipating and addressing potential issues before they escalate into crises. It can help you build a positive image, strengthen your relationships, and reduce your risks. Here are some ways you can use proactive communication to prevent corporate crises.

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Jayme Owen

Senior Director, Executive Communications at Elanco

1 Identify and monitor your risks

The first step to proactive communication is to identify and monitor your risks. What are the sources of uncertainty, volatility, or conflict that could affect your business? How likely and how severe are they? How would they impact your stakeholders, such as your customers, employees, investors, regulators, and media? You need to conduct a risk assessment and update it regularly to stay on top of the changing environment. You also need to establish a monitoring system that alerts you to any signs of trouble, such as negative feedback, complaints, rumors, or incidents.

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Jayme Owen

Senior Director, Executive Communications at Elanco
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Regularly assessing corporate risks is key to spotting and reducing the possibility of situations escalating to become issues or even a crisis. Consider a key stakeholder assessment twice a year to reconfirm that changes in the macro environment or industry don't require new or different attention. Macro social topics are constantly evolving, so it's important to review these and assess what impact these may have on your industry, business or workforce.

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2 Engage and inform your stakeholders

The second step to proactive communication is to engage and inform your stakeholders. You need to establish and maintain open and honest communication channels with your key audiences. You need to share your vision, values, goals, and achievements with them. You need to listen to their concerns, expectations, and feedback. You need to address their questions, doubts, or complaints promptly and respectfully. You need to demonstrate your commitment, credibility, and transparency. By doing so, you can build trust, loyalty, and goodwill with your stakeholders. You can also prevent misunderstandings, misinformation, or mistrust that could lead to crises.

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Melissa Musiker

Interim Head of Comms UPSIDE Foods | Founder & Principal @ Six Mile Creek Strategy | Strategic & Corporate Communications | Advisor | Agtech Foodtech Biotech Nerd
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ENGAGE being key here. That is a two way street. Its not just about "educating" them about what you are doing and then force feeding your key messages. Its about coming to the table without judgement or assumptions, listening to them, understanding where they come from.

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3 Prepare and test your plans

The third step to proactive communication is to prepare and test your plans. You need to have a crisis communication plan that outlines your objectives, strategies, messages, and procedures for responding to different scenarios. You need to have a crisis communication team that includes your leaders, spokespersons, and experts. You need to have a crisis communication toolkit that includes your contact lists, templates, channels, and resources. You need to test your plan and team regularly to ensure they are ready and effective. By doing so, you can reduce your response time, avoid mistakes, and enhance your confidence.

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Jayme Owen

Senior Director, Executive Communications at Elanco
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Many organizations have preparedness plans, but they stop short by not pressure testing these. These tabletop exercises are critically important to ensure that not only the best-case scenarios will work - like all primary crisis leaders are available, but what happens if you're a global organization working across multiple time-zones - does everyone know how to operate - what if systems are compromised and email is not an option? Practice and pressure tests enable organizations to try and stay a step ahead in any unexpected situation that may arise.

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4 Learn and improve from feedback

The fourth step to proactive communication is to learn and improve from feedback. You need to evaluate your communication performance and outcomes after every crisis or potential crisis. You need to collect and analyze data, such as media coverage, social media sentiment, stakeholder surveys, and business metrics. You need to identify your strengths, weaknesses, opportunities, and threats. You need to solicit and incorporate feedback from your stakeholders, such as your customers, employees, investors, regulators, and media. You need to implement changes and improvements based on your findings. By doing so, you can improve your communication skills, processes, and results.

Proactive communication is not a one-time effort, but a continuous practice. It requires planning, execution, evaluation, and adaptation. It also requires collaboration, coordination, and alignment among your internal and external stakeholders. By using proactive communication, you can prevent corporate crises or reduce their impact. You can also enhance your reputation, trust, and resilience in the long run.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Melissa Musiker

Interim Head of Comms UPSIDE Foods | Founder & Principal @ Six Mile Creek Strategy | Strategic & Corporate Communications | Advisor | Agtech Foodtech Biotech Nerd
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You can't communicate your way out of a business strategy problem. In those cases, the more you talk the worse it gets. You either have to own your past decisions and stick by them in the face of criticism or change.

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How can you prevent corporate crises with proactive communication?

1

2

3

4

5

1 Identify and monitor your risks

2 Engage and inform your stakeholders

3 Prepare and test your plans

4 Learn and improve from feedback

5 Here’s what else to consider

Corporate Communications

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How can you prevent corporate crises with proactive communication?

1

2

3

4

5

1 Identify and monitor your risks

2 Engage and inform your stakeholders

3 Prepare and test your plans

4 Learn and improve from feedback

5 Here’s what else to consider

Corporate Communications

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