Audits

Not long ago, companies devoted few resources to crisis preparedness.  Since many had never experienced a reputational crisis, they didn’t see the need. But this attitude has changed as organizations of all kinds have stumbled in dealing with challenging issues.

Now companies are questioning whether they are ready to act if the worst happens. For many companies, a starting point is an audit that assesses their level of crisis readiness, as well as identifies issues unique to their business or sector that could cause them reputational harm.

The audit is a straightforward process:  we interview senior executives, typically the general counsel, chief risk officer and key business unit heads, among others. The interviews flow from basic questions: How would you describe your ability to respond to crises?  How well do you think you’ve handled past problems? What issues worry you most?

Based on these interviews and relevant research, we develop a Findings Report that summarizes what we heard, provides a candid analysis of issues we believe need to be addressed, and offers recommendations for limiting exposure and preventing reputational crises. These audits often serve as the impetus for developing crisis communications plans.

• Crisis Communications Plans

Communications are at the heart of crisis management. Indeed, it is impossible to separate effective communications from effective crisis management. Learning about the facts of a situation and making the best possible decisions based on available information is always a communications challenge.

In a crisis, the time to decide and act is consistently inconsistent. But the process for assessing and responding to a crisis situation cannot be, which is why it is imperative for companies today to have crises communications plans.

These plans can be tailored to fit a company’s particular culture, but they all share common elements — a designated crisis response team and the processes they will follow to respond to and mitigate a serious reputational situation.

Understanding roles and responsibilities and having the right protocols in place allows executives, decision-makers and communicators the maximum time to think, prepare and focus on substance and limit the damage caused by crises.

At a time when companies face more reputational threats than ever, it is imperative they develop  and put into practice crisis response plans and foster a culture of preparedness.

• Scenario Plans

Nearly every company is able to identify three or four scenarios that would cut to the heart of their businesses and reputations. Given the threat these scenarios carry and the quick response required if they occur, many companies also opt for scenario plans to complement crisis communications plans.

Scenario plans can’t anticipate every aspect of a specific situation. But they can give companies a vital head start by spelling out, in advance, a strategic approach for managing the scenario, identifying key stakeholders and including drafts of key messages, media statements, Q&A’s and communications for employees, customers, vendors, regulators and other stakeholders.

These plans often include brief “backgrounders” related to a particular scenario – a company’s record, for example, on ensuring its sourcing partners overseas follow fair labor practices – that can be used to provide important context for initial media stories, which many times determine how the matter will be viewed for the duration of coverage.

With these plans in place, companies are able be to react at a moment’s notice to limit reputational damage if the scenario occurs.