| Crisis management is relatively a recent discovery | | | | business. In this case, management tackles the |
| in management arena. Crisis management is a | | | | situations on various levels. The lead role is taken |
| wonderful tool in the hands of management. It | | | | by the PR department. It concentrates on |
| performs the function of anticipating and | | | | rebuilding the brand image by assuring the public |
| forecasting crisis and the methods to deal with | | | | of the products quality and consequent services. |
| them. It prepares an organization in dealing with | | | | Crisis management also involves, preparing crisis |
| unexpected crisis situation. It is also instrumental in | | | | contingency plans, providing accurate information |
| helping organizations to categorize the nature and | | | | to the media, public and shareholders apart from |
| cause of the crisis, take preventive measures, | | | | making fast moves for better long term results. |
| curtail damages and finally convalesce as fast as | | | | Like for example, it has been seen that often |
| possible. | | | | automobile majors have been forced to withdraw |
| Crisis is basically an unpredictable event which can | | | | their vehicles from all over the world because of |
| cause damage to the organization. The damage | | | | malfunction of certain engine parts. While doing |
| can be in form of monetary, perceptual or natural. | | | | this, the company image takes a huge beating not |
| In case of natural crisis, it can occur in form of | | | | to forget the legal, political, environmental and |
| fire, some natural disaster, earthquake, explosions | | | | financial implications. Thereafter, it demands a |
| or violence among others. This is also called as | | | | huge exercise from the crisis management team |
| sudden crisis. In the event of sudden crisis, | | | | of the company to rebuild the brand image or |
| management focuses more on ensuring minimal | | | | else the company runs the risk of losing its |
| damages and speedy recovery. | | | | credibility. The complete build up towards |
| Crisis management is more focused towards | | | | contingency plan is difficult but forecasting crisis |
| damages caused to the image of the | | | | and being prepared for it with credible solutions |
| organizations. Often termed as perceptual crisis, | | | | helps a lot in the long run. |
| this can be the worst form of crisis for any | | | | |