Sudden business crises are inevitable. However, dropping your iPhone or running out of M&Ms when you are working late do not count.
Audits, employee issues, accusations of crimes, cash flow problems, and technology fails are just a few of the potential “panic buttons” we all encounter at some point.
Howard Bragman of Reputation.com emphasizes that the best time to embark on a reputation management or PR campaign is before you have a crisis or controversy. “Cleaning-up after a problem is always easier if you have a solid reputation as a business,” he says.
Staying calm in crisis and developing a plan for dealing with it are the keys to surviving and emerging stronger. Andrew Graham of Agency Clear believes that “crisis management is a perpetual mindset. A company shouldn’t slide into crisis mode and go crazy developing new messaging.’ Becoming prepared for bad things to happen should always be going on behind the scenes.”
Smart companies take the time to develop crisis plans in the normal course of the work year. Coming up with a process will enable you to work with your team to calmly think through “What if?” scenarios and develop action plans and accountabilities.
When crisis does strike, in addition to remaining calm and focused, you should:
- Build a trusted, expert, and rational team to help you problem-solve. Reach out to your “inner circle” (your personal and professional network, or LinkedIn) to find others who have faced similar situations.
- Consider engaging a PR firm with experience in crisis management. Have that person or company on-hand before you need it. The best time to find that resource is during the good times. Think of it as the EpiPen for a business bee sting.
- Appoint one or two mature points of contact for dealing with the media in times of crisis. Make sure those people are well-trained and are working from a prepared (and legally-approved) statement. “Avoid being defensive about whatever bad thing happened (or is perceived to have happened),” says Bragman. “Make sure your PR people are working closely with your legal advisors – in collaboration, not at cross-purposes.”
- Tell the truth. Trying to “spin” or whitewash a bad situation can only make it worse. As we all learned from the NFL video debacle, the Clinton-Lewinsky affair and Watergate, cover-ups and denial can sometimes make things worse — and damage credibility.
In a small or growing business, owners need to ensure that a crisis does not bring critical operations to a grinding halt. Leaders also have a responsibility for keeping their teams calm, addressing any rumors directly and honestly, and keeping distractions to a minimum.
As we all know, digital media can compound a crisis. Bad news travels faster and farther – through posts, tweets, and blogs. Like a wildfire, rumors and buzz spread rapidly, before a business can react.
Robert Zimmerman of Zimmerman Strategic Communications says, “Even many members of the media go for the sizzle, report on speculation, and not thoroughly research facts, in order to be the first one who breaks the news.” Zimmerman also refers to something he calls “the vulture effect.” Once bad news breaks, “people who perceived a company has wronged or slighted them in the past will swoop in from nowhere to provide their stories or take on the business.” Again, having a central point of contact in dealing with the media, avoiding defensiveness, and focusing on the facts will mitigate the “bad buzz.”
After the drama has blown-over (as it always does), review your Google profile and make sure that you are consistently communicating good news. Over time, anything unpleasant that has cropped-up online will be overshadowed by positive mentions.
A crisis can actually be a learning experience. “In times of crisis, people really learn who their friends are,” says Zimmerman. Businesses also grow from their mistakes and can take preventative measures to ensure that the same problem doesn’t resurface, tightening internal controls. Like survivors of a battle, a crisis management team will often band together with a greater sense of pride and accomplishment for overcoming a bad storm.