Management Assignment

Exhibit IM-C

Fundamentals of Crisis Management

Point Brief Description

Crisis Planning

Effective crisis management planning presets certain key aspects of

crisis management, such as the chain of command, communications

strategy in a crisis, the crisis management team, replacement

members for the crisis management team, and rudimentary

operational plans for known contingencies.

Fluid Decision Making

During Event

In a crisis, the decision maker(s) cannot be locked into rigid,

inflexible plans. Crises are fluid processes that require fluid

decision making. Planning may not anticipate the crisis.

Crisis Management

Team

In a large corporation, the crisis management team should include

the chief executive officer, lead legal counsel, head of investor

relations, head of public relations, and the human resources officer.

The team should be small enough to move rapidly, and large

enough to be effective.

Unity of Message Spokespersons and company executives must at all times speak

with one voice. Messaging needs to be timely, unified, truthful,

reliable and reassuring. Messaging must also be brief.

Attitude of Vigilance Decision making in a crisis is stressful. Awareness of the situation

must be focused and vigilant. Panic and emotional shutdowns are

enemies that cloud judgement and good decision making.

Clear Lines of

Communication with

Key Stakeholders

The crisis team will need to have clear lines of communication with

(depending on the crisis): police, fire department, emergency

medical personnel, local, state and/or federal officials, employees,

and key external stakeholders such as customers and investors.

Act Quickly and

Decisively

The first rule of crisis containment is to act swiftly and decisively.

Solid information and sound analysis are often absent in a crisis,

making good decision making problematic.

Put People First Make the people in the situation your first concern. Material things

can be replaced. Crisis costs are never within the budget.

Physical Presence Top or key executives need to be on the scene as quickly as is

possible. Key persons on the scene sends a very strong message

that the company thinks the situation is important.

Source: Fink (2013) & Harvard Business School Publishing (2004)