Conflict Management: Dealing
with Issues, Risks, and Crises
Chapter 10
 Public Relations is involved in
“influencing the course of conflicts to
the benefit of the organization and,
when possible, to the benefit of the
organization’s main constituents.”
 The use of public relations to
influence the course of a conflict is
called “strategic conflict
management.”
Competition vs. Conflict
 It is important to understand the
differences between the two.
 Competition can be defined as when two or
more groups or organizations vie for the
same resources. In business these
“resources” could be sales, market share,
contracts, employees, and ultimately,
profits.
 In the nonprofit sector, the competition
might be donations, grants, clients,
volunteers, and even political influence.
Conflict
 Conflict, on the other hand, occurs when
two groups direct their efforts against each
other, devising actions and communication
that directly or verbally attack the other
group.
 PR pros play a key role in organizations’
competition and conflict efforts and
obstacles– successful handling of such
situations increases the value of public
relations to top management.
In competition/conflict, a sense of
mission and conviction is needed:
 That your
organization’s
behavior is
honorable and
defensible
 Your organization
is ethical
 Your organization’s
mission is worthy
 Your advocacy of
the organization
has integrity
 Your organization
works at creating
mutual benefit
whenever possible
 “Fight the good
fight!”
Phases of the Conflict Management
Life Cycle:




Proactive
Strategic
Reactive
Recovery
Proactive Phase
 This phase involves activities and thought processes
that can prevent a conflict from arising or from
getting out of hand.
 One way is through “environmental scanning”—the
constant reading, listening and watching of current
affairs with an eye to the organization’s interest.
 Issue Tracking– attention becomes more focused and
systematic through, for example, the daily clipping of
news stories
 Issues Management– when an organization makes
behavioral changes or creates strategic plans in ways
that address the emerging issue
 Crisis Plan– the first step in preparing for the worst–
an issue or event that has escalated to crisis
proportions
Strategic Phase
 An issue that has become an
emerging conflict is identified as
needing concerted action by the PR
professional.
 Three broad strategies take place in
this phase:
 Risk communication
 Conflict-positioning
 Crisis management
Strategy Phase Three Strategies:
 Risk communication—dangers or threats
to people or organizations are conveyed
to forestall personal injury, health
problems, and environmental damage
 Conflict-positioning—strategies to
favorably position the organization in
anticipation of actions such as
litigation/lawsuits, boycott, adverse
legislation, elections, or similar events
that will play out in the “court of public
opinion.”
 Crisis management—a plan of action for
dealing with worst case scenario crisis
situations
Reactive Phase
 This is when an issue or conflict has
reached a critical level of impact on
the organization
 Now PR professionals must react to
events in the external communication
environment as they unfold.
Reactive Phase Strategies can
include:
 Crisis communications—implement your
crisis communication plan
 Conflict resolution—techniques used to
bring a heated conflict, such as
collapsed salary negotiations, to a
favorable resolution (PR people employing
strategies to assist negotiation or arbitration efforts
to resolve conflict, for example)
 Litigation public relations—employs
communication strategies and publicity
efforts in support of legal actions or trial
Recovery Phase
 In the aftermath of a crisis or a high
profile, heated conflict with a public,
the organization should employ
strategies either to bolster or repair
its reputation in the eyes of key
publics.
 Two ways: Reputation management
and image restoration
Recovery Phase: Two Approaches
 Reputation management—includes
systematic research to learn the state of
the organization’s reputation and then
taking steps to improve it
 Image restoration—strategies to help a
company’s or organization’s reputation
that has been damaged by the poor
management of issues or controversies,
or callous responses to a crisis
How to Communicate during a Crisis
Put the public first
Take responsibility
Be honest
Never say “No
comment”
 Designate a single
spokesperson
 Set up a central
information center




 Provide a constant
flow of information
 Be familiar with
media needs and
deadlines
 Be accessible
 Monitor news
coverage
 Communicate with
key publics
(from page 263)
How organizations respond to crises:






Attack the accuser-confront, challenge, threaten
Denial-there is no crisis!
Excuse-minimize responsibility; no control/harmful intent
Justification-minimize crisis- no serious damage/injury
Ingratiation-take actions to appease publics involved
Corrective action-steps taken to repair damage;
prevent from happening again
 Full apology-take full responsibility, ask forgiveness
(from page 264)
Crisis Management Examples
 Intel’s Pentium Chip
Problems
 Exxon Valdez Oil Spill
in Alaska
 Pepsi’s Syringe Hoax
Crisis
 Wendy’s “Fickle Finger
of Fate”
(pages 265-7)
 Bottled Water Industry
Reacts
(page 259)
 Wal-Mart’s Shrimp
Dilemma
(page 248)
 Home Depot Staging
Community Support?
(page 258)
 China Tries to Counter
Criticisms
(page 270)