Crisis Management and strategies for it.pptx

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1. Crisis Management Presented To : MA’AM SEHRISH JAVED

2. Kamran Arif Agha Muhammad umer khan Asad javed Abdullah bin khalid Muhammad Husnain ali Group C:

3. content: What is crisis? Things to keep in mind during crisis! Types of crisis. Crisis Management Stages of crisis management

4. What is Crisis ? Crisis is any event that is expected to lead to, an unstable and dangerous situation affecting an individual, group, community or whole society. It is a situation that is unpredictable, but it is not unexpected. A crisis is a change – either sudden or evolving . It results in an urgent problem that must be addressed immediately.

5. THINGS TO KEEP IN MIND DURING CRISIS: Don’t panic or spread rumors around. Be patient. At the time of crisis the management should be in regular touch with the employees, external clients, stake holders as well as media. Avoid being too rigid. One should adapt well to changes and new situations

6. TYPES OF CRISIS Natural Events: Uncontrollable natural events , health disasters, earthquakes, floods, fire, disastrous accidents, environmental pollutions. Technology Breakdowns: Data loss, security breaches, out-of-date equipment . Example : Bhopal disaster Business-related Crisis: Sudden death of a crucial leader, serious breach of law, vendor fails to deliver critical supplies, employee stealing from a client. Crisis of Malevolence: Organizations face crisis of malevolence when some notorious employees take the help of criminal activities and extreme steps to fulfill their demands. The Tylenol murder case in Chicago on September 29, 1982.

7. Crisis Management Team Crisis Management Team includes : Head of departments Chief executive officer Members of BOD Media Advisors Human Resource Representatives Role of Crisis Management Team: Detecting the early signs of crisis. Identifying the problem areas Sit with employees face to face and discuss on the identified areas of concern Prepare crisis management plan which works best during emergency situations

8. Like most human events, crisis can be described in terms of stages, or relatively identifiable sequences of events and reactions. Stages enable planners to monitor risks, progress, target stakeholders, and take strategic action appropriate to the stage. Stages of Crisis Management:

9. Nature of crisis: Make crisis planning a part of your strategic planning. Get together and share ideas – work with colleagues to analyze your situation Perform a SWOT analysis Narrow your crisis-risk list – focus on the crisis that would have the worst result, would be most likely to occur.

10. 2. Recognizing Crisis: Check for the key identifiers of the crisis. Recognize the situation in which the crisis is being occured . Interpreting your score: If you answered yes to any of the above questions, you are probably dealing with an approaching crisis Is it a crisis? Has the event in question caused, or does it has the potential to cause  Yes no Injury to any person? A threat to the health and safety of any person? yes no A threat to the environment? yes no A breakdown or a threat to your reputation? yes no A loss of data? Serious financial loss? A serious threat to employee’s morale and well-being? yes no A legal action against your organization yes no

11. Minimizing damage : When a crisis strikes, the first thing you must avoid it from spreading. You must make decisions quickly. Be on the scene. Your physical presence is important. Communicate about the crisis quickly. Be original (do not guess or attempt to cover up) Resolving crisis: A crisis requires fast, confident decision making. But how do you make good decisions when events move so quickly, when things are confusing, and when it is hard to sort out what’s important. Managing emotions that accompany a crisis Taking an effective leader’s role Effective actions can also help Managing all the resources and employees

12. Learning from Crisis: ( Review and critique CM efforts for improvement): When you survive a crisis, don’t just try to put it behind you. Rather take the opportunity to learn from the experience and make changes to avoid or prepare for another similar event . Review how the crisis was handled. Ask yourself the following questions: Could we have prevented the crisis? If so how? At what point did we realize we were in crisis? Could we have recognized the signs earlier? What warning signals went off that we may have ignored? What warning signals did we pay attention to? What did we do right? What could we have done better? Successful crisis management stories of PEPSI.