The anatomy of crisis management

International guest speaker and global specialist in crisis and emergency management systems, Alan Taylor, told delegates at the packed venue, that a crisis was the loss of management control resulting in an actual or potential threat to a company's long term ability to do business, due to the impact on the operability, image, reputation and liabilities of the company.

Speaking on the 'Anatomy of Crisis Management', Taylor, a director of Alan H Taylor & Associates in Australia, said the development and implementation of an effective crisis management system was crucial to any business. By definition, Crisis Management was "the strategy and actions undertaken to regain management control and protect corporate assets - real and intangible - from actual or potential threat to long term viability posed by a catastrophic incident, a non-physical event or a series of negative developments that escalate to crisis proportions."

And in order to ensure business continuity management, a company had to maintain transparent management control of a company during a crisis or an emergency. Taylor said there was a need to develop and implement a set of 'Standard Policy and Procedures' documentation such as:
· Crisis and Emergency Management Policy or Business Continuity Management Policy.
· Occupational Health and Safety Policy.
· Corporate Guidelines for Handling of Kidnap, Ransom and Extortion.

"All well founded companies should have policies and procedures in place to ensure continuous business continuity in the business world of today." These policies and procedures should cover:
· Company objectives (vision, mission, key core values, company charter, etc).
· Regulatory requirements.
· Insurance requirement.
· Social requirements (license to operate).

Part of that business continuity management system, was efficient and effective Crisis and Emergency Management (CEM) plans and procedures in place that can be activated in the event of an accident or incident.

Taylor warned that companies that did not have an effective and efficient CEM in place when an incident occurred, risked their reputation and made it difficult to exercise transparent management control, risking the escalation of an incident to crisis proportions. "Public opinion can form from perceptions or media opinion, which can turn to 'reality' and then solidify into 'fact'."

In fact, Taylor emphasised, a CEM system had to be embedded into the daily operations of any business.

In an Emergency Management Team, the role of the Public Affairs department or centre is crucial. Functions include:
· Answering media queries and providing information.
· Monitoring media coverage.
· Advising management of public impact/issues.
· "Mind" management before/during/after public announcement. Must be well briefed and proactive, not reactive.
· Ensure communications were carried out quickly, accurately and effectively. Providing factual information to: employees; Government officials; news media; general public; public officials.

Commenting on corporate culture and the challenges inherent in organisations, Taylor said that unfortunately, in many counties, companies still exist with 'silo mentalities' and have a pyramid management structure. "CEM, as described, is a flat structure which brings in the specific technical and operational expertise into a generic CEM structure, which has all the staff functional expertise and support functions already designated and trained to take over any incident and gain management control."

He stressed the importance of bringing in the experts to design a comprehensive CEM plan that was integrated into organisational culture. "CEM actually develops a culture and organisational structure of its own, however, it should still adhere to the policies, objectives, and key core values of the company."