Crisis Management Communications Warwick Network, 27 July 2006 Ian Rowley, Director of Communication Next week, there can’t be any crisis. My schedule is already full. Dr Henry Kissinger, while US Secretary of State To Cover Today • What is a Crisis? (15 mins) • Issues Management (20 mins) • Dealing with Crisis (25 mins) What does Crisis make you think of? • • • • • • Sabotage, Extortion, Product Faults Health Risks, Fire/Accidents “Dirty Tricks” and Fraud Financial Crises Hurricanes, Floods, Pollution Pressure Groups 31% 16% 16% 15% 12% 10% Infoplan 1994 survey of top 250 UK companies Recent “Crises” at Warwick • • • • • • • • Action Short of a Strike Failure of IT Circuit Board Flooding to Kirby Corner Road/University House Student Death on Campus Sabotage of UniTemps Staff Database Late Opening of Heronbank/Liberty Park Mumps/Meningitis Outbreak on Campus Clinton Visit What is a Crisis? An event which causes the company to become the subject of widespread, potentially unfavourable, attention from the international and national media and other groups such as customers, shareholders, employees and their families, politicians, trade unionists and environmental pressure groups who, for one reason or another, have a vested interest in the activities of the organisation. Register and Larken, 2005 Impact of a Crisis • Consumer confidence – loss of sales or market share • Loss of reputation • Compensation • Pressure on the SMT, especially institutional leaders • Distraction from primary business goals Issues Management – because prevention is better than cure! “An issue, an unsettled matter which is ready for decision” Chase and Jones Issue Lifecycle Opportunity to Influence Difficult to Influence Pressure Media coverage Issue Management Early issue identification Potential Emerging Current Crisis Dormant Development Hainsworth and Meng 1990 Group Brainstorm You have been invited to be a member of the University of Warwick’s issues management taskforce. Today is the first meeting of the taskforce. Working in small groups (2-3 people) you are asked to: 1) brainstorm possible issues which might impact on the University; 2) list, in order of inevitability, your top 5 issues; 3) formulate a strategy for monitoring one of your 5 issues over time Successful Crisis Management Successful management of a crisis situation is about recognising you have one, taking appropriate actions to remedy the situation, being seen to take them and being heard to say the right things. Register and Larken, 2005 Points for Consideration 1 • Membership of the Crisis Management Team (24 hour contact) • Authorisation and Access to Resources • Base Camp (plus alternative meeting space) • Telephony capacity, emergency call centre • “Dark” website • Plan for loss of IT and other systems, including cascading home telephone list Points for Consideration 2 • Media – (nearly) always co-operate, provide content • Use of the CEO, consistency of spokespeople • Concern before cost • The rise and rise of activism • New Media, threats and opportunities • Public Distrust of Science and Scientists Points for Consideration 3 • Make internal stakeholders your advocates • Co-operate with emergency services • Develop third party advocates • Importance of Government • Special arrangements for dealing with affected families Dealing with Crisis: Group Exercise