Transcript Crisis Slides 1

Lesson One:
The Nature of Crises:
Overview & Theories
Michael Caudill
Western Carolina University
Crisis Communications
Lessons
1. Crisis Communications:
Overview & Theories
2. Classic Crisis
Communications Cases
3. The Crisis Communication
Plan (CCP)
4. Communicating with the
Media, Lawyers &
Stakeholders
5. The Role of the Spokesperson
& Creating Key Messages
6. Communicating in Television
& Radio Settings
7. Rumors & Cybercrises
8. Mid-term Examination
9. News Conferences & Public
Hearings
10. Public Hearing Simulation
11. Natural Disasters
12. Death & Injury
(If it Bleeds, it Leads)
13. Crises & Culture
14. Crisis & the Consumer
M. Caudill - Western Carolina University
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The Nature of Crises
Lesson Objectives
 Recall working definitions of crisis & emergency risk
communication concepts.
 Demonstrate an understanding of crisis
communication theory.
 Explain how crisis communication fits into crisis
management.
 Describe how the role of communication evolves from
pre-crisis through post-crisis.
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The Nature of Crises
Lesson Preview
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What is a crisis?
Stages of a crisis: Detection, Prevention/Preparation,
Containment, Recovery, Learning
Public opinion
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Crisis communication theories
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The Nature of Crises
A Crisis:

A major occurrence
with a potentially negative
outcome affecting the organization, company,
or industry, as well as its publics, products,
services, or good name
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The Nature of Crises
What do you think makes an event a crisis?
What are the characteristics of a crisis?
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Characteristics of a Crisis
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Surprise that is always
driven by media exposure.
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Insufficient information
about relevant facts & public
perception of the issue.
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Escalating flow of events
hampers ability of
management to understand
quickly that they "own" the
problem & must respond.
Loss of control over the
way the growing crisis is
perceived & impact on the
organization.
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Intense scrutiny from
Outsiders/Insiders: media,
government, regulators,
activists, stakeholders,
management.
Siege mentality: Leadership
attempts to hide rather than
confront the central issues.
Panic perverts &/or
paralyzes decision-making
process.
Issue judged in public
arena in a manner designed
to satisfy the interests of
outsiders.
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The Nature of Crises
During a Crisis:
 emotions are on edge
 brains are not fully functioning
 events occur too rapidly to draft a plan
- simply following one is a challenge
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p.2
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The Nature of Crises
Crisis Management:
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A process of strategic planning for a crisis
Planning removes some of the risk & uncertainty &
allows an organization greater control
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p.3
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The Nature of Crises
Crisis communications is concerned with
the transferring of information to significant
persons (publics) to either:
 help avoid or prevent a crisis (or negative
occurrence)
 recover from a crisis
 maintain or enhance reputation
Fearn-Banks, K. ,Crisis Communications - A Casebook Approach (3 ed.), p.2
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The Nature of Crises
Crisis Communications:
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Dialog between the organization
& its publics:
► prior to,
► during,
► & after event
Effective crisis communications can not only minimize
or eliminate the crisis…
…but sometimes can bring the organization a
more positive reputation than before the crisis
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The Nature of Crises
The Role of
Crisis & Emergency Risk Communication
(CERC):
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Communication during a crisis cannot be managed
just by mobilizing more people & material –
the communication itself must change
In a crisis, established frames of reference & ways of
understanding may breakdown
Reynolds, B., Crisis & Emergency Risk Communication, p. 11
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The Nature of Crises
Poor Communication Practices 
Poor Public Response:
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Mixed messages from multiple experts
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Information released too late
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Messages that are over-reassuring
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Public recommendations without a “reality check”
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Leaving myths, rumors, & doomsayers unchallenged
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Poorly prepared spokespersons
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Public power struggles & confusion
Reynolds, B., Crisis & Emergency Risk Communication, p. 11
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The Nature of Crises
Decision making in a
Crisis Is Different:
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People simplify
Cling to current beliefs
We remember what we see or previously experienced
- first messages carry more weight
People limit intake of new information
CDC, CERC: By Leaders for Leaders
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The Nature of Crises
CERC Basics:
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Don’t over-reassure:
Don’t placate; display calm concern
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Acknowledge uncertainty:
Offer only what you know & acknowledge distress
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Emphasize that a process is in place:
Describe the process in simple terms
CDC, CERC: By Leaders for Leaders
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The Nature of Crises
CERC Basics:
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Give anticipatory guidance:
Let people know what to expect
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Be regretful, not defensive:
Say, “We are sorry” or “We feel terrible ” when
acknowledging misdeeds or failures
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Express wishes:
Say, “I wish we knew more”
Reynolds, B., Crisis & Emergency Risk Communication, p. 112
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The Nature of Crises
In a Public Crisis:
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Panic is less common than imagined
Panic comes from mixed messages
Acknowledge people’s fears
Don’t tell people they shouldn’t be afraid
They are afraid & have a right to their fears
Be willing to address the “what if” questions
If you don’t, someone else will
Sandman, Peter, Ph.D. in Reynolds, B., Crisis & Emergency Risk Communication, p. 112
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The Nature of Crises
In a Public Crisis:
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Give people things to do
Simple actions give people a sense of control &
motivate them to take action when directed
Ask more of people
Ask people to bear the risk & work toward solutions
with you
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The Nature of Crises
Research shows:
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Companies with ongoing two-way
communications often avoid crises or have
crises of shorter duration or lesser magnitude
Companies with a crisis management plan
come out of a crisis with a more positive
image than companies without one
Fearn-Banks, K. ,Crisis Communications - A Casebook Approach (2 ed.), p.4
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The Nature of Crises
In a crisis,
when everyone else is losing it,
YOU must be the calm center
(yes, YOU!)
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"This is not as bad as it seems“
"This could be worse. We can’t turn a crisis into a
catastrophe”
"This is what we can do..."
Fearn-Banks, K. ,Crisis Communications - A Casebook Approach (2 ed.), p.4
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The Nature of Crises
The 5 Stages of a Crisis:
1. Detection
2. Prevention/Preparation
3. Containment
4. Recovery
5. Learning
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p.8
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The Nature of Crises
Detection:
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Constantly scan horizon for warning signs
(prodromes)
Prevention/Preparation:
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Ongoing public relations programs with key publics
The CCP is the primary tool of preparedness –
a “collective brain”
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p 9-11
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The Nature of Crises
Containment:
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Limiting the duration of the crisis or to keep it from
spreading
Recovery:
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Returning the company to business as usual
Learning:
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Examining the crisis & determining what was lost or
gained, & how the organization performed
Make the crisis a prodrome that helps prevent future
crises
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p 9-11
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The Nature of Crises
Public Opinion
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In a U.S. court of law a person is
innocent until proven guilty
In the U.S. court of public opinion you are guilty
until proven innocent
You influence public opinion by establishing &
communicating proof that the prevailing "truth" is not
the “whole truth”
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p 13
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The Nature of Crises
Crisis Communication:
Theories, Terms & Definitions
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Strategy: How one handles a problem
Stakeholders: People linked to an organization &
affected by it’s decisions (employees, stockholders,
communities, & government officials)
Strategic publics: Stakeholders crucial to an
organization (boards of directors, investors, & unions)
Fearn-Banks, K. ,Crisis Communications - A Casebook Approach (2 ed.), p 17-18
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The Nature of Crises
Crisis Communication:
Theories, Terms & Definitions
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Strategically managed public relations:
Communications programs designed to build
relationships with strategic publics
Segmentation: The division of groups by mutual
interests, concerns, & characteristics
Risk communications: An ongoing program of
informing & educating various publics
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The Nature of Crises
Crisis Communication:
Theories, Terms & Definitions
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Organizational ideology: An organization's
philosophy, working climate, corporate culture
Communications ideology: The organization's
philosophy & attitudes of behavior in communicating
with publics
Fearn-Banks, K., Crisis Communications - A Casebook Approach (2 ed.), p 17-18
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The Nature of Crises
Crisis Communication Theories:
Apologia Theory: Defend reputation & protect image
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Not necessarily an apology - effort may deny,
explain, or apologize through discourse
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“Conciliation”: "We are guilty. We are sorry. Please
forgive us."
“Redefinition”: Org. says that it did not "intend" to
commit misdeed
“Dissociation”: Informing publics that org. might
seem to have committed misdeed, but actually
didn’t
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 51
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The Nature of Crises
Crisis Communication Theories:
Image Restoration Theory:
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Org. must know which publics have negative
impressions & extent of their knowledge
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Org. must know where publics stand before being
targeted for communication
Org. must also determine if publics know anything
that might damage reputation - Sometimes better
to remain silent; other times best to tell your own
bad news
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 51
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The Nature of Crises
Crisis Communication Theories:
Decision Theory:
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Decisions made under various conditions - outcome
may be certain, vague, ambiguous, or risky
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Theory suggests that the decision maker consider
the possible benefit of each alternative “maximizing”
When decision makers sometimes settle for
decision that satisfy minimum requirements “satisficing”
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 51
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The Nature of Crises
Crisis Communication Theories:
Diffusion Theory:
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Examines how new procedures, practices, & objects
adopted/accepted
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5-step process:
Awareness (body is exposed to idea)
Interest (body develops interest in idea)
Evaluation (pros/cons determined & considered)
Trial (idea implemented for analysis)
Adoption or Failure to adopt (acceptance or rejection)
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 53
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The Nature of Crises
Crisis Communication Theories:
Diffusion Theory: adopted depends on 
The Past: What has happened previously? You
must know where you are before you decide to go
forward
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The Decision Makers: Are they open or closed to
change? Is the body “all leaders & no followers”?
The Innovation/Change: Does the new idea show
more advantages/fewer disadvantages over
present practice? Will drastic or gradual change be
required?
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 53
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The Nature of Crises
Crisis Communication Theories:
Grunig & Hunt (1984): PR Excellence Theory
Press Agency/Publicity Model
Public Information Model
Two-Way Asymmetric Model
Two-Way Symmetric Model
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 54-55
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The Nature of Crises
Crisis Communication Theories:
Grunig & Hunt (1984): PR Excellence Theory
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Press Agency/Publicity Model: Least Desirable
"All publicity is good publicity“ - most PR
practitioners still follow this strategy Grunig &
Grunig (1992)
Public Information Model:
Report information “journalistically” - truth is
essential
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 54-55
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The Nature of Crises
Crisis Communication Theories:
Grunig & Hunt (1984): PR Excellence Theory
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Two-Way Asymmetric Model
(aka “scientific persuasion”)
Use surveys & polls to persuade publics
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Two-Way Symmetric Model
(aka “mutual understanding”) Most Desirable
PR as intermediary between organization & publics
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 54-55
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The Nature of Crises
Crisis Communication Theories:
Grunig & Repper (1992): Strategic mgt., publics, &
issues have two primary propositions:
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PR is most likely to be excellent when an integral part
of an organization's strategic management process
PR is managed strategically when it identifies
stakeholders & resolves issues through symmetrical
communications programs
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 56-57
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The Nature of Crises
Crisis Communication Theories:
Marra (1992): Identifies adjustable variables that
make an org. succeed or fail in a crisis
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Orgs. with strong ties with its key publics prior to a
crisis will suffer less damage than those with
asymmetrical practices
Orgs. with CCP’s prior to crises will have stronger
public relationships & less damage
Orgs. that encourage crisis mgt. preparations & twoway communications practices will suffer less damage
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 57
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The Nature of Crises
Crisis Communication Theories:
Fearn-Banks (1996): Adds two characteristics:
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Organization that anticipate, through crisis
inventory, the precise type of crisis will suffer less
financial, emotional, & perceptual damage than the
organization that does not
An organization that maintains the reputation of
having an overall "open & honest" policy with
stakeholders & the news media will have less
financial, emotional, & perceptual damage
Fearn-Banks, K., Crisis Communications - A Casebook Approach (3 ed.), p 59
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The Nature of Crises
Lesson Review
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What is a crisis?
What is a prodrome?
Distinguish between a crisis management plan & a
crisis communication plan
What are the five stages of a crisis? What happens in
each of them?
Name & briefly describe each of the crisis
communication theories in this lesson
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