Coming into your new role, you recognize that a Crisis Management Plan has never
ID: 411449 • Letter: C
Question
Coming into your new role, you recognize that a Crisis Management Plan has never been created for the company, Blossoms Up! In your last company, it experienced a business continuity disruption that had a severe impact on its financial standing, but an effective business continuity and crisis management plan significantly helped to respond quickly to the major issue and in an organized manner. This is one more area in which you can prove HR to be an important strategic partner. Negative media publicity--For example, a news story breaks out about a $500,000 sexual harassment claim filed against a high-ranking director.
Include a section for post-crisis review with an assessment tool to evaluate the crisis management plan response. List any follow-up communication or activities that may be needed to ensure that the current crisis has been appropriately addressed and that the potential for future crises in this area is reduced.
Explanation / Answer
Following are the elements of prompt response to the crisis, that need to be taken immediately after the claim comes to the fore.
1. Organize a meeting of key members of the organization and devise a crisis handling strategy. Define the roles and responsibilities for effective management of situation.
2. Communicate effectively. It is important that the communication that is directed to the stakeholders is prompt, fact based and relevant, and it reaffirms the company's resolve to deal with the crisis firmly and shows zero tolerance towards such acts.
3. Constitute an enquiry board that is independant and impartial, preferably of the persons ranking higher than the accused of the sexual harassment.
4. Keep a check of the media, social and conventional, and other outlets that can be used to create negativity against the company.
5. Make legal fellows get into the action and assess the quantum of potential damage.
6. Take help of professional crisis management experts if necessary.
The preventive measures to minimize the chances of occurance of such events in future may include,
(a) Effective communication within organization in contemporary way to exhibit the sexual harassment policy and company's zero tolerance towards the violations. This should be reaffirmed periodically and through multiple avenues.
(b) Constitute a all time standing committee for such events with a clear reporting and communication system for such events so that the victim may not end up venting her / his frustration through other outlets like social media.
(c) Fix a timeline for resolution of such cases.
(d) Utilize the services of a third party in assessing the pulse of employees in this regard.
The evaluation of the crisis response may be judged through following outcomes.
1. Timely response to the crisis.
2. Success in checking the negativity both online and offline.
3. Promptness of conduct of enquiry and resolution of the matter.
4. Financial implications of the case in terms of damages and potential loss of business / market share
5. Loss of goodwill and rapport of the organization.( Though it is difficult to assess)