5.7 Crisis management & contingency planning

Introduction - the difference between crisis management and contingency planning

• Contingency planning: preparing the immediate steps to be taken by an organization in the event of a crisis or emergency.

• Crisis management: steps taken by an organization to limit the damage from a significant, damaging event by handling, containing and resolving it.

Effective crisis management

• Transparency

  • This means being honest and open about the crisis, its causes - and consequences and what the organization intends to do in response to it.

• Communication

  • The way the organization communicates during a crisis can make the difference between the crisis escalating out of control and it being a minor setback.

• Speed

  • This refers to how much time there is to respond to a crisis or incident breaking in the media.

• Control

  • Keeping control of the crisis and not being swept along by events helps to present an image of calm and confidence.

• Key steps in contingency planning:

  • Identify the potential disasters

  • Assess the likelihood of these occurring

  • Minimize the potential impact of crises

  • Plan for continued operations of the business