What is Crisis Management and How Could it Affect You?

Crisis management, to a business, is simply howplan is best way to go. The main thing to
to deal with the issues that the business isremember is that it can be crucial in such critical
currently facing or will face in the future,times.
alternatively Venette argues that "crisis is aIn the first of the two types of crisis
process of transformation where the old systemmanagement styles earlier mentioned (the non
can no longer be maintained."*. Although this isplanned kind) there are, as you would expect,
agreed upon by most, the area of what istwo possible outcomes when their crisis
considered crisis management has expanded tomanagement is tested. In the first instant the
areas such as short term decisions as well as thebusiness will resist by having a strong
unpredictable changes in the market.management team who are dedicated to their
A basic but effective tool in finding possiblejob. When people are tested the best qualities are
problematic areas in the businesses target niche issometimes released. The second, of course, is
to use the well known S.W.O.T analysis; S.W.O.Tthat the company could be hit hard and crumble
stands for Strengths, Weaknesses, Opportunitiesor make great losses.
and Threats. By creating a S.W.O.T analysis theIn the second type of crisis management, the
business can find gaps in the market they canbusinesses will already be prepared and everyone
penetrate and infiltrate, in order to gain a higherwill know their place, thus giving both structure
amount of market share, as well as see possibleand confidence to the business and employees.
risk factors that could affect the business. To doHowever, in both occasions the businesses that
this effectively a business should make sure theyare able to withstand whatever the crisis has
do a S.W.O.T analysis not only on their ownbeen, tend to become the businesses with the
business, but also on any others that could bebiggest market share. How so? Well businesses
linked. This link could be that they are competingthat show strength can then market that
in the same market; they have complimentarystrength, whilst the weaker are trying to recover,
goods; or many more. Once the niches to getgiving them the advantage on expansion and
into are found, the business can then setup aswaying public opinion as the recovering
crisis management plan for times when such abusinesses will need to focus on restructuring the
crisis occurs.broken market links.
There are typically two types of crisis* as seen in Venette, S. J. (2003). Risk
management styles: those that don't see theircommunication in a High Reliability Organization:
short comings and possible weaknesses in theAPHIS PPQ's inclusion of risk in decision making.
market and those that do see it and act on it byAnn Arbor, MI: UMI Proquest Information and
building a crisis management plan. This is not toLearning.
say however, that creating a crisis management