What is a crisis? Crisis is any event that jeopardizes orharms your image, reputation, or financialstability. The key here is potential impact. Howbadly can you or your institution be hurt? The more serious the potential harm, thegreater the crisis
Crisis Management Crisis management involves identifying a crisis, planning aresponse to the crisis and confronting and resolving the crisis. Crisis management can be applied in almost any field ofendeavor, but it is most commonly used in international relations,political science, business and management. Many school districts have developed crisis response guides,which identify potential situations such as fires and otherdisasters, bomb threats, confronting unwelcome visitors, violence(and threats there of) and the death of a student. In general terms, the theory of crisis management can be dividedinto crisis bargaining and negotiation, crisis decision making, andcrisis dynamics. In a crisis, always sit down and think hard about your decisionmaking, and crisis dynamics.
In Management In business there are three main types of crisis : Financial crisis – short term liquidity or cash flowproblems; and long term bankruptcy problems. >> EnronCorporation, Baring PLC, etc Public relations crisis – More commonly called “crisiscommunications”, negative publicity that could adverselyaffect the success of the company. >> IPDN, Maskapaipenerbangan indonesia, etc Strategic crisis – changes in the business environmentthat call the viability of the company into question >> US inVietnam war & Iraq Conflict, Sony Indonesia, Matsushita,etc
Defining PR Crisis A public relations crisis is an event, rumor, or storythat has the potential to affect your reputation,image or credibility in a negative way. A significant business disruption that stimulatesextensive news media coverage. The resultingpublic scrutiny will affect the organization’s normaloperations and also could have a political, legal,financial and governmental impact on its business.(Institute for Crisis Management)
Majalah Tempo: “Langit Eropa tertutup untuksemua maskapai Penerbangan Indonesia” Dari Brussels, Belgia, Komisi Transportasi Uni Eropamenyatakan bahwa pesawat kita sangat tak aman Langit Uni Eropa tertutup untuk semua maskapai penerbanganIndonesia. Jumlah maskapai penerbangan yang di cekal di benua itu sekitar150, dan 51 maskapai atau sepertiga diantaranya dari Indonesia Penilaian lembaga itu sudah terkenal kesahihannya FAA dan Organisasi Penerbangan Sipil Internasional juga telahmemperingatkan bahwa penerbangan sipil Indonesia tidakmemenuhi standar internasional Karena tak kompetitif, maskapai kita tak lagi terbang ke eropasejak November 2004
PR Crisis Most small businesses think that “Crisis PR” is theconcern of only Fortune 500 companies, but a crisis canstrike any organizations at any time. If u think that your tiny business, out of public eye, isinvulnerable to a crisis, you’re wrong. Smallerbusinesses, which often rely on one or two keycustomer, can lose that business at the drop of a hat.For this seasons, you should plan for any possible crisisthat could occur.
Potential crisis situations For your business, potential crisis situations may include the following: Public health (for example, a toxic spill or a cancer causingproducts Safety and security issues Financial and business issues Environmental issues Disasters (product tampering, service outages) Business practices and ethics Worker misconduct Legal issues Accident and disaster (driver accidents, crashes,fires, building collapses) False advertising Customer complaints Out of stock products
The basic causes of a business crisis arefour in numbers:1. Acts of God (storm, earthquakes, volcanicaction, etc).2. Mechanical problems (ruptured pipes, metalfatigue, etc)3. Human resources (Human error)4. Management decision/indecision
Crisis Rules #1 Your chief communications leader – the personresponsible for managing the chaos should it occur – thepresident, agency head or nonprofit CEO must have fullconfidence in your crisis abilities, and you must have24/7 direct access to the boss. #2 As the chief media/PR/marketing team leader inhigher education, an independent school, governmentagency, or nonprofit association, your job is to build,strengthen, nurture, and protect the institution’s imageand reputation. #3 In time of crisis, you have a moral obligation tocommunicate quickly and effectively with key audiences.