Crisis Management

Recently, much has been talked about regarding the LRT incident in Malaysia. While crisis and incidences are unexpected and bound to happen, it is important that we are well prepared to manage the situation to revert back to business as usual as soon as possible. Additionally, a well-managed crisis will help to protect the company’s reputation and fortify investors' and stakeholders’ confidence.

There are 2 aspects in crisis management. Firstly, managing the crisis situation. This is where acting quickly, efficiently and effectively by utilizing all the premeditated plans, processes, resources, teams, comes into action to manage and resolve the crisis at hand.

The second aspect of crisis management is managing the communication resulting from the crisis. Among others some of the best practices (sighted from Maple Leaf Foods case) for the communication would be :

1)Using a prominent spokesperson from the company.

2)Acknowledging the problem and publicly apologizing.

3)Being transparent and displaying a strong understanding of the situation.

4)Showing empathy for the victims. Aligning your communications to human safety and peoples’ anxieties.

5)Articulate clearly the steps being taken to fix the problem or situation.

6)Ensure media is briefed professionally and be accessible to the news media.

7)Use appropriate communication channels to reach out to various stakeholders.

8)Regularly update senior management and all stakeholders.

It is in a crisis that the value of the crisis management plans and the character of the organization and its leaders will be most tested.