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Crisis Management

Nov 18, 2014

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Education

Principles of Crisis Management

  • 1. Crisis Management: An Overview

2. Crisis management is the discipline and science of managing breakdown and recovery

  • What is a crisis?
  • How do you manage a crisis?
  • Three examples of a crisis ...

3. What is a Crisis?

  • A crisis is sudden
  • A crisis is unexpected
  • A crisis is the result of an internal or external event that was not accounted for while planning

4. How do you manage a Crisis?

  • You accept that the kind of thinking that got you into the crisis is not the kind of thinking that will get you out.
  • You ask open questions.
  • You execute crisis plans.

5. If youre watching a movie at a theatre and someone yells, Fire!, do you:

    • Panic?
    • Remain Calm?
    • Account for all of the panicky people in the theatre?

6. If youre executing an employee reduction program, do you:

    • Lay off staff to meet cost requirements?
    • Lay off staff to match the productivity stats of your competitors?
    • Lay off staff to bring new people with new ideas into the corporation?

7. If your corporation is moving into a new business, market, or location, do you:

    • Plan to capture the benefits of the new business, market, or location?
    • Plan to expand what you already know?
    • Plan to start a conversation between the old and the new?

8. Crisis management requires mastering three kinds of learning:

    • Informational Learning - find problem, run solution
    • Motivational Learning - Ill be fine as long as Im better than the next guy
    • Transformational Learning - I am new.

9. Mastering the three kinds of learning requires knowing what they are and knowing when and how to use them

    • Informational Learning - efficient answers, cost / benefit, use resources within normal operations
    • Motivational Learning - energize and know the limits of your environment, your team, and yourself
    • Transformational Learning - Non-Linear, throw out the rule book, go to the War Room

10. What is a War Room?

    • In the War Room, you develop crisis plans.
    • In the war room, you execute crisis plans.
    • In the War Room, You question the assumptions that you have previously relied upon.
    • In the War Room, you ask questions that you are not allowed to ask in normal times.

11. Crisis management operates on multiple levels at the same time

    • Corporate - Large, complex organizations are less able to manage a crisis because they are large and complex
    • Professional - Knowing a specialty or discipline well makes it harder to jump outside your own box.
    • Personal - You cant see what youre not equipped to see; you cant do what youre not equipped to do

12. Crisis management recognizes the choice between competitive, cooperative, and structural thinking

    • Competitive - We will kill or capture Bin Laden
    • Cooperative - Its time to sit down and talk with the Taliban.
    • Structural - we can adapt what we learned from the Anbar awakening to Afghanistan.

13. Use the principles of crisis management for all planning methods

    • Understand the assumptions upon which your plans are built.
    • Keep your plans efficient.
    • Keep your planners motivated.
    • Better preparation leads to better performance.

14. When to use a Crisis Management Specialist

    • If youre ruminating, you havent defined the depth of the crisis, seek assistance.
    • It may feel like youre walking off a cliff.
    • A crucible requires enough heat to change the ingredients but not so much heat as to melt the pot!

15. Choosing a Crisis Management Specialist

    • Broad background - education and experience
    • Experience matters, depth and breadth
    • Test their methodology and their creativity