“A crisis is a major occurrence with a potentially negative outcome affecting the organisation, company or industry as well as its publics, products, goods, services or good name” (Galloway & Kwansah-Aidoo, 2005). A crisis can come in many different shapes and forms. It has the potential to threaten the reputation, integrity or survival of an individual or organisation (Galloway & Kwansah-Aidoo, 2005). In order to preserve reputation and goodwill with stakeholders, it is of the utmost importance that an organisation or individual applies strategic crisis management actions in the post-crisis stage. This essay will analyse and evaluate the actions of two organisations during a crisis. The examples provided demonstrate two recent instances of organisations that have experienced crises and how each managed the predicament. The crises that will be explored are the 2012 2Day FM prank call crisis and the 2014 Malaysian Airlines MH370 crisis. Industry research and literature, as well as issues and crisis management theory will be applied to dissect each crisis.
A “black swan” crisis is an event that is extremely rare but has massive consequences (Taleb, 2008). Johnson (2009) states, “Black swans are important events, either good or bad, that are highly improbable but happen nonetheless”. This year, Malaysian Airlines encountered two “black swan” events in four months. In March of this year, the disappearance of the Malaysian Airlines flight MH370 caused an upheaval of panic,
Crisis communication is the most important aspect of external and internal organization communication. This type of communication ranges from image restoration campaigns to employee turnover. In the articles that I have analyzed, I discovered many examples of crisis communications and its importance. I will discuss the Bridgestone-Firestone Corporation's image restoration campaign and explain Benoit's theory of image restoration. Also, I will discuss how crisis communications fits into public relations models. Two examples for discussion will be how supervisors should convey bad-news to their employees, and group communication within employee turnover. My last example for this discussion will be Bill Clinton's image repair discourse.
Those who take the threat of organizational crises seriously know that they cannot talk their way out of things that they have directed themselves into. This proposition holds for organizations as well as the individuals who work for them. In the case of United Airlines, both the times the organization itself had directed towards crises, which could be averted if the compensation of the broken guitar was paid and if the last-minute change in staff travelling on plane would not have introduced.
The objective of this case is to understand the importance of crisis management. This case is intended to make the reader consider not only financial implications at the time of the event but the effects on the long term strategies of the organization. Also, the case urges participants to think about the consequences not only on the customer but on those within the organization as well.
From the analysis, the crisis arose from a series of biased or irrational individual and organizational behaviors. To avoid the catastrophic effect, each individual and organization must change their behaviors.
Here, Taco Bell had a customer that started a crisis for their organization, by saying that the hamburger meat used in the ingredient was not real meat. Furthermore, the customer file a lawsuit against the organization. Here, when a crisis occur the first step is to convening with your crisis management team. However, maybe only one team member is present at this crisis, it is their job to assess casualty. Once this done the terms member will contact all other crisis member were they can meet to collaborate a plan for this crisis. If there are any human injury, this step in very important crisis team out to the family member that has love one involved in this crisis. The organization should be the first one reach to the family this show that
Research indicates that many organizations all over the world will be confronted because of critical events, which are likely to compromise the reputation of the organization (Nudell & Antokol, 2001). Due to this fact, planning on how to overcome its critical event in the face of
Here, Taco Bell had a customer that started a crisis for their organization, by saying that the hamburger meat used in the ingredient was not real meat. Furthermore, the customer file a lawsuit against the organization. Here, when a crisis occur the first step is to convening with your crisis management team. However, maybe only one team member is present at this crisis, it is their job to assess casualty. Once this done the terms member will contact all other crisis member were they can meet to collaborate a plan for this crisis. If there are any human injury, this step in very important crisis team out to the family member that has love one involved in this crisis. The organization should be the first one reach to the family this show that
According to our textbook public relations plays a critical role during chaotic situations. It is of great importance to confront the unfavorable incidents to the public. Crisis communication is a four-step process consisting of: risk assessment, crisis communications planning, response, and recovery. Going back to the NIU shooting incident we can see the steps that were followed to cope with the aftermath. Assistant Vice President for Public Affairs said “the term crisis management is something of an oxymoron, implying as it does that events bringing sudden shock, panic, and chaos can submit to project “management.”Of course, it is imperative for us to have crisis plans in place and for those plans to be practiced on a regular basis (Guth and Marsh, pp.390). She was also awarded the Public Relations Society of America’s “Best of the Silver Anvil” (Guth and Marsh,
This study is an overview of the similarities and differences, advantages and drawbacks of how two food companies, Chipotle Mexican Grill and Jack in the Box handled the crisis effects of an e. Coli outbreak on both business and brand identity. This study will comparatively analyze each company’s leadership initiatives, management styles, and business practices when faced with a direct business crisis. Presenting a discussion on the overall strategy, perception of events and methods used to handle a crisis. An examination of any support mechanisms, procedures or policies to cope with inherent danger or opportunity in an emergency situation. A before and after look, at both company’s core values, mission, reputation and the impact of lessons learned with the maturation of the business through crisis situations.
The acute crisis of metabolic decompensation in MSUD is a deadly dangerous medical case that demands immediate action to lower concentrations of leucine and other BCAA in plasma. This aim can be reached by using Intravenous mixtures of amino acids , which deals with the process of protein synthesis , however these mixtures are not generally available and requires medical care and continuous administration , that what lead to developing enteral mixtures suitable for administration by nasogastric drip in minimal volume along with provision of water and calories intravenously , to reduce concentration of Lucien and other BCAA in patients with acute crisis of metabolic decompensation in MSUD. This way proved
You have been given grant money to devise a plan to deal with a major tragedy in the city of St. Charles. Many local residents were affected – Children, parents, teachers, local business persons, etc. They are in need of money, food, clothing, health care, housing, etc. How would you lead a group to provide support and assistance?
Zaremba (2010) points out that “crisis is any unanticipated event, incident, situation, or development that has the potential to damage or destroy your organization’s reputation”. (P.234) This definition indicates two attributes of crisis: unexpectedness and destructiveness, so effective communication is crucial to manage a crisis. The Nuance Group, a successful management consulting company, with a reputation of experienced and highly educated consultants, was facing the crisis brought by its great “reputation”. As a consultancy, it’s their profession to market themselves. A glossy brochure with specific introduction of consultants’ information, which is the highlight of the company’s reputation, is a fabulous method to market
The main issues that Gupta’s focus should be on in regards to short term are the allegations from Center for Science and Environment (CSE) that threatens to tarnish the image of the company’s brand, and the survey result of the its consumers. Crisis is inescapable. When it does occur, for the most part, ones’ wish is for it to go away as fast as possible. While it is an uncomfortable dilemma; nonetheless one ought to have a plan in place to reconcile the issue. In this case study Gupta, president and CEO of Coca Cola India found himself in a crisis that could either conquer his company’s animation or redeem its success as the lead in India. According to Dolewski, the element of surprise should be incorporated into the role of managers due to the variation in the amount of a disaster warning. Bearing in mind Gupta had tactics in place in to dealing with desolations that results from crises, it will at least allow company managers to start from a resilient situation. The gift to identify short-term issues in crisis is an accomplishment but having a solution is an entirely different scenario.
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
When you think of benchmark cases in crisis management, certain names come to mind immediately. Johnson & Johnson's handling of the Tylenol crisis is a great example of crisis management and has become a benchmark of how to handle a crisis. The Dow Corning silicone breast implant crisis has become a benchmark of how not to handle a crisis. There are a number of valuable lessons learned from this particular crisis. Both crises dealt with public health and safety issues, but both were handled very differently. Because of this, Dow Corning's reputation and image suffered considerably.