A crisis can be a physical or
non-physical event and even an emerging issue, and threaten to cause
damage or harm to your employees, business operations, brand,
Requires immediate senior management notiﬁcation,
focused involvement, action and resources.
#1 have a crisis management policy
organization’s stance on managing incidents and crises and the type of
response it expects of its people.
Align your stance with your mission and values.
#2 maintain crisis management standards
These standards should reference and incorporate
guidance, and should establish a fundamental
response capability for the range of risks and threats.
#3 create a crisis management structure
Deﬁne the roles, units and responsibilities.
Allocate the resources.
Company Strategic Management Team
Business Units Crisis Management Teams
Regional Support Teams
a crisis management structure
#4 decide the level of crisis
Potential to affect goals
#5 establish a crisis management process
Notiﬁcation & Reporting
Review CM Policy, CM
Identify Roles &
Deﬁne response Teams,
Create concept of
Update / Develop Plan
Monitor Process &
Assess the Crisis and
take measures to
prevent the same
Source:Managing Risks: A New Framework HBR Reprint R1206B
The risks that companies face fall into three categories,
each of which requires a different risk-management approach.
Robert S. Kaplan
–Robert S. Kaplan
“A ﬁrm’s ability to weather storms depends on how seriously executives take risk
management when the sun is shining and no clouds are on the horizon.”
The word “crisis” consists of two words in Chinese;
danger and opportunity.
The leader should recognise the opportunity.
Further Reading & Sources:
1-Managing Risks: A New Framework- Robert S. Kaplan HBR Reprint R1206B
2- Johnson Controls Risk Management System
3- Leadership in a (Permanent) Crisis-Ronald HeifetzAlexander GrashowMarty Linsky HBR Reprint R0907F
4- Crisis Management: Mastering the Skills to Prevent Disasters (Harvard Business Essentials)Sep 1, 2004 by Harvard Business School Press