AN OUNCE OF PREVENTION: MORE THOUGHTS ON CRISES

By its very definition, a crisis is not a crisis until it happens.

And the most common mistake, from start-up companies to sophisticated established ones, is that most still believe it cannot happen to them.

Attitudes that "it will happen to someone else" persist. So, blind optimism, coupled with denial - common human characteristics - compound any company's or organization's crisis potential.

And therein lies the problem.

Let's face it. By the time an investigative reporter or a camera crew appears on your doorstep, the crisis has arrived and the guilty verdict, if you will, is in before you are even proven innocent. That's the ugly news in a nutshell.

The scenario that follows - the knock on the door - is familiar. The less prepared ones may wing it, offering "off the cuff" remarks or developing some scheme to buy time so that senior management can huddle together in an effort to minimize and control damage. That very time lapse will most likely work against you. On the other hand, the more savvy corporation will make a run for the bookshelf, dust off "The Crisis Plan," and put into effect what was a long-ago planned, boilerplate action plan for moments like these.

Neither of these scenarios really work and here's why.

Talking "off the cuff," long considered by most communicators to be the single worst way of handling a crisis, is still very much in evidence. There is something about handing a microphone to a panicky employee or even management personnel that triggers spontaneous retorts.

As to "The Crisis Plan," although essential to the well-being of all companies, from "Mom and Pops" to Fortune 500s, they are usually written to establish fundamental policies that are pre-determined and serve as decision-making guidelines, should the unexpected happen. They, however, usually fall short of detailed plans targeted at specific incidences and audiences.

There is much more that can be done.

The key - pre-empt a potential crisis. Of course, realistically not all can, but many can be diverted before it is categorized as a crisis. Crises can now dart out from all different directions. Take the Internet: Websites, online news groups - most of the "information age" media have opened up a plethora for the unexpected. You now don't have to wait for that reporter on your doorstep or phone to ring to know there is trouble brewing.

So in thinking smart, focus on prevention. Implementing a plan for prevention of a crisis requires strategic planning and discipline - without waiting for just cause.

Make a list. Identify what might constitute a crisis for your company. Isolate items and group them as internal and external. Consider possibilities of crises from every angle. Consider that somebody around you will do something stupid and add that too.

Categorize Crises According to Source, i.e., natural disasters (earthquakes, contamination, floods); social/political stances and rulings (FDA requirements, spending cuts, grassroots demonstrations); management/labor issues (reengineering, whistle blowers, lay-offs, decline in business, sexual harassment, strikes, illegal workers);-stakeholder relations (takeover, mergers, acquisitions, pre-mature disclosures).

Identify Types of Crises, i.e, unexpected (death, injury, fires, equipment malfunctions, Mother Nature "tantrums"); lingering issues (labor disputes, bankruptcy, special interest group pressures).

Consider Probabilities, i.e., high (frequent similar occurrence in your industry/community); medium (realistically could happen, but hasn't as yet); low (remotely possible); none (not a consideration within the scope of your industry and community).

Most common crises do not necessarily fall within media's interests or concerns. Although most corporations think of negative media coverage as the ultimate disaster, crises that do not fall within that realm can be just as damaging nd need equal attention in prevention planning.

The goal of any crises plan is to prevent the escalation of a crisis, minimize

consequences, mitigate damages and keep daily operations on track as best possible. The same thing can be said about a crises prevention plan, with the difference being that a large share of crises can be kept at bay.

The effort expended is worth the insurance reaped vis-a-vis a company's reputation as well as customer and employee loyalties.