My now adult children still often chide me when I
remind them how the concepts underlying the second law
of thermodynamics can be seen in everything we do. The
effects of an action can never be wholly undone: while
the email can be deleted, the impact of reading it can't
be erased from memory.
The examples in life - and the media - are easy to see:
it takes time, energy, strength, courage and integrity
to build a reputation. It takes just a few seconds of
stupidity, a lie, or one poor decision, to demolish it.
Our reputations - our personal brands - precede us in
almost every situation. We nurture and polish them,
believing that the right shine will open doors and bring
rewards.
Strange then that in our professional lives many of us
assume that the bulk and grandeur of the corporation
will shield our reputation when something goes wrong -
when a "crisis" disrupts the daily routine, and any
action we take will have far reaching consequences.
At the onset of a crisis the corporate leader moves into
a new spotlight on an unfamiliar stage, where the script
says promote courage and assuage fear, instill calm and
minimize panic, inform with facts and douse the rumors,
make and clearly communicate sometimes radical
decisions.
In other words, demonstrate characteristics of
leadership under extreme pressure in strange
circumstances, where the trusted systems of
communication and command may have stopped functioning.
In severe cases the corporate leader may have just a few
hours or days to prevent the fatal collapse of the
business. What ever the outcome for the business,
personal reputations have been shredded because the
corporate leader was perceived to have managed the
"crisis" badly.
Can we better prepare ourselves to manage an unexpected
event that may change the course of careers and lives?
As the second law of thermodynamics reminds us, it takes
determination and energy to maintain integrity and
order.
The assiduous few who minimize the risks to their
reputation will use some determination and energy to
create a crisis management plan and learn and hone the
skills needed. With so much at stake it's an insurance
policy that should not be overlooked.
The first step is the longest because it often needs a
change of mindset, an evolution of the culture, to
acknowledge that crises do happen and that efficient
management of their effects can be hampered by the way
the organization thinks and acts now.
As our Crisis Management Handbook notes:
Analysis of numerous real-world crises shows it is not
lack of planning or emergency response resources that
turns problems into public relations and economic
disasters. More often than not, the factors spelling the
difference between effective management and
mismanagement are subjective attitudes and related
tendencies of human nature contributing to an
organization's management culture.
More succinctly: the incident is usually not the cause
of the crisis; your reaction to the incident usually is.
Broadly there are five cultural scenarios that frustrate
even the best written crisis plan:
1. Isolationist - the organization tends to operate
within a shell, having strong relationships only with
suppliers and customers.
2. Reactive - the classic "it won't happen to us" or
"we'll deal with it if it happens" approach.
3. Them vs. us - anyone who questions or raises a
concern about something the organization is doing is
portrayed as the enemy.
4. "Don't tell the boss" - if culture were a disease
this is the fatal one. There is a high risk in telling
management bad news because the messenger gets shot. So
no-one really knows what is going on, even after it is
too late.
5. External communication is not important - there are
no friends and allies to call on when the crisis hits
because no-one knows who you are.
The diligent corporate leader knows reputation -
personally and the organisation's - needs to be
preserved and nourished, and integrates that premise
into every plan and strategy, from the vision and
mission down to day to day operational procedures.
Crisis planning, training and preparation are
acknowledged as part of the organization's advantage
over competitors, and that small amount extra energy
used is viewed as a sound and practical investment in a
more secure future.
Source: Robert Pritchard link