Steps to Address Inaction During a Corporate Crisis (Deloitte)
What exactly defines a Corporate crisis? For each type of business and industry, there is likley a different answer to this question. Problems can arise at any company revolving around Management, sourcing, brand reputation, or even around security. Is your business prepared?
In this brief article produced by Marla Knapp and Rhonda Woo, of Deloitte Governance, Risk & Regulatory practice and Crisis Management Solutions respectively, both women highlight some key steps to take to correctively and collectively manage risk, establish steps to investigate the issue and how to implement a path to resolution. I found the following key takeaways from this article which I will share here;
- Immediately assemble a Crisis Management team responsible for handling the situation. This team should include members of management whose strength is Strategic Analysis and action as well as a someone skilled in inclusive team management.
- Corporate leaders and workers both must overcome denial of the issue and causes, take responsibility for fixing the problems, and put longer-term reforms in place based on the company’s core values.
- Management should resist the urge to fix the problem itself and instead, aim to fix the cause. Identifying and fixing the cause will likely require a revision of corporate strategy, governance, and culture which is often a challenge for companies who are not prepared with an agile process of reform when necessary.