A few years ago, a former coworker told me he was very excited about his new position at an important company. It was the opportunity he had been looking for for a long time and in a few days it would come true.
It was his first day of work and he had not yet reached his taxi to go to work when he tripped and fell abruptly onto his body; when he tried to get up, his right foot did not respond. His diagnosis: ankle sprain, recovery time: twenty-five days of rest. Plus side: he had health insurance.
This crisis situation, evidently, could not have been foreseen, like many others that happen from one moment to the next. If we transfer it to the corporate field, a communication crisis can have a negative effect on the brand as well as significant financial losses.
According to the Crisis Management Institute, only 14% of corporate crises are sudden, that is, they stem from fortuitous events such as natural disasters or unforeseen situations outside the control of the company’s staff.
A clear example of a crisis was seen in the spot that Coca-Cola aired a few weeks ago, featuring the Spanish actor Gotzon Sánchez, known for publicly supporting ETA prisoners.
In that spot, he was the father of a teenager who told him he had grown up and was capable of making his own decisions, such as becoming an Atlético de Madrid fan. The soft drink brand, which has always stood out for its family-friendly, feel-good tone, did not notice Sánchez’s political preferences because, as they stated in a press release, they do not usually look into those aspects when they hire an actor.
Because of this, the anti-terrorist association Dignidad y Justicia asked the president of Coca-Cola to withdraw the advertising campaign. The company acted immediately and apologized if it was uncomfortable for its followers and the general public.
This case highlights the importance of a Crisis Management Plan, even for one of the most prestigious companies in the world. Its quick action shows that there is a cohesive team that knows its functions and roles.
Every company can be susceptible to a “corporate earthquake” in communication; however, a Crisis Management Plan with well-established stages can reduce serious consequences.
When preparing this document, remember to include seven aspects:
- Detection of the organization’s vulnerabilities.
- Possible crisis scenarios and impact on your “Stakeholders”.
- Developing a Contingency Plan, including strategies, alerts, arguments and communication materials.
- Appointing the members of the Crisis Committee, defining responsibilities and reaction times.
- Monitoring of actions, statements, news items or impacts in the media.
- Recovery of credibility and good reputation.
- Evaluation of impact and actions. Best practices.
Keep in mind that those in charge of communication or marketing areas are not solely responsible for maintaining the corporate reputation; it involves all of the organization’s collaborators, who from their roles are fundamental pieces in driving its optimal performance.
Analyzing possible risk scenarios and constantly preparing and updating the Crisis Management Plan cannot prevent this kind of fortuitous event, but it can greatly help anticipate and reduce the impact of a blow to the organization’s reputation and finances.
