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The Old Rules Still Apply in Crises
By Jean Gonsoulin, Senior Vice President, Los Angeles jgonsoulin@golinharris.com Those of us in the baby boomer generation, and perhaps those who followed, remember the cautionary rule for traffic safety we learned in school: "Stop, look and listen, before you cross the street." The same basic concept can apply to managing crises or volatile issues. When companies find themselves under attack, they often scramble to do damage control without really addressing the underlying problem. Instead, they need to do the things that fall naturally under the simple mantra of "Stop, Look and Listen" in order to truly resolve the issue and preserve the company's reputation. Stop...doing what you're doing. Whether it's bad business practices that have now come back to bite you, or personal missteps that reflect poorly on the company, the only way you truly fix the problem is to stop doing it. Obviously the rule does not apply to crises that are beyond your control, but in those instances, the public is much more forgiving. Remember, the true measure of a company's reputation is how it behaves when others aren't looking; so if you do things that are ethically or morally inappropriate, providing "key messages" will get you nowhere if fundamental change is not made. Look...at the issue from all angles and see how you can right things. Critical self-examination can be a painful process, particularly when a company has been accused of wrong-doing or is the subject of negative publicity. The natural inclination is to go into a defensive posture and make justifications for why the situation occurred. However, the smart company will step back, look at the issue, figure out how it got to this point, determine what changes can be made to rectify it and come up with honest explanations for what cannot be changed. Your constituents and the public as a whole can be understanding, and even forgiving, in a crisis if you are candid in your admission of your failings or shortcomings, and you make an honest effort to right the wrong. They will accept your limitations if your explanations are credible and they see that you are committed to doing the right thing. Listen...to your constituents - internal and external. With issues management, it is important to consider all audiences impacted by the situation and its resolution. Too often, companies only consider their investors or the media. However, employees are usually shaken by crisis and their morale becomes a factor; vendors or partners will have questions and their confidence in you can flag; and certainly, customers can turn their loyalty on a dime over a problem. In crisis or issues management, the first step should be to list every possible audience involved or affected. Then consider what each one's concerns will be with regard to the situation and what their individual communication needs will be. Are they worried about their job? Do they need to hear from you as the CEO? Should they hear from you in person or will a reassuring email or company-wide voice mail be sufficient. It's not enough, though, to reach out to your audiences; there must be a mechanism in place for a two-way dialogue because your audiences want to be heard. Then, it's important to listen. What is the feedback to your communications? Are there valid suggestions for making changes? By carefully listening, you can determine whether your efforts for reform or remediation are making a difference and ultimately restore trust among your constituents. There are certainly no hard and fast rules when it comes to crisis and issues management because every situation is different. But there are some elementary guidelines to follow that can help you navigate a bumpy road. First and foremost is to do the right thing. Even with investor demands to turn higher profits, or management pressures to gain great efficiencies, a company must ultimately operate ethically and have faith that the rest will fall into place. And operating ethically means doing the right thing, fixing things when you don't, and listening to the people who matter. Taking the time to stop, look and listen before you cross the street can save your life. Doing the same with your business can save your reputation. |