Crisis Management in Today Organization: Hr Strategic Role

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Crisis management in today organization: HR strategic role 1. Introduction What is a crisis management? It is an unexpected crisis that happens on the company that will affect the trust and loyalty of the stakeholder. It can be extremely costly because it will affect the company reputation and brand. For example like financial failure from poor business management, workplace violence, fires, cybercrime, computer viruses, product tampering or union strikes and other external issue like damaged economy that causes from London bombings, terrorists attacks on 11 September and others. The SHRM 2005 report indicates that only 56% organizations created or revised their disaster preparedness plans but 45% did not after the terrorist attacked on…show more content…
During a crisis, one of the roles of a leader is to create and sustain the organization 's credibility and trust among crisis stakeholders for example like management, employees, customers, suppliers, partners, communities, investors, media, and government. Depending on the crisis situation, a leader 's goal is to assist the organization in returning to productivity. Overall, it is important to protect and sustain the organization 's reputation, brand and value in the marketplace As a HR department, they have a ways to prevent and overcome the impact of crisis management. So one of the HR strategic roles is to focus on leadership qualities such as strategic thinking, communication, empowerment, trust and integrity, considering a succession planning for crisis management and others. For example like human resource functions that will be applied to the crisis management planning. According to the SHRM 2005 (Strategic human resource management) disaster survey report, 65% of HR professionals believe that their organizations are well or very well prepared to face the crisis or disaster. On the perceptions of employees, only 50% of them think that their organizations are well or very well prepared. 85% of HR professionals indicate their organizations have some form of a formal disaster preparedness plan, and 15% do not. Organization must create a plan to make sure

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