Although there’s no way to predict every crisis, you can generalize types of crises into categories and make plans based on what may happen. Some crisis management examples include:
Financial loss: When your company suffers from a financial loss, you may have to announce bankruptcy or lay off employees. You can plan for this scenario without knowing the initial cause of the financial crisis.
Technological failure: A technology mishap could leave your customers without access for an extended period of time. This type of crisis affects your reputation and your bottom line, so it’s important to prepare for this situation.
Natural disaster: You can prepare for some natural disasters based on where you’re located. For example, if your company is located in areas where there can be floods, you can create a crisis plan for flooding that involves evacuations, customer communication, disaster recovery, and more.
Operational changes: While it may not seem like a traditional crisis, you should have a plan in place to prepare for an unexpected major shift in leadership. Additionally, your operations process may be affected if you have to lay off a lot of employees, and the public may need to know.
Organizational mishap: There’s always the chance that your company will be accused of misconduct or wrongdoing, and in this crisis situation, you’ll need a plan for how to respond. This crisis plan may involve issuing a public apology and figuring out how to recover.
The rising volatility of global events has forced companies to equip themselves to deal with impending radical changes in conducting business. It is a practical fact that you cannot completely avoid a crisis, but by taking appropriate and timely steps, you can manage it and lessen its day-to-day impact.