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By Hannah Hutchison All businesses expect to gain profits, make a difference in the world, and change the way people live; but they don’t expect to have a crisis. Crises can happen at any point in time to any business and the best way to deal with it is to know what to do. A crisis is a negative event that can ruin you and/or your company’s reputation. Examples of a crisis include: industrial accident, fraud, negative articles in media, investor backlash, poor customer service, product recalls, employee misconduct, etc. So, what should you say or do during a crisis? Accept responsibility! Help people prevent further harm by informing stakeholders so they can prevent adding to the crisis. Help the people involved cope psychologically with the crisis and express sympathy to the victims. Finally, tell the public what you’re doing to prevent another crisis. “It takes 20 years to build a reputation and 5 minutes to ruin it. If you think about that, you’ll do things differently,” says Warren Buffett.
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April 2020
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