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Crisis And The Ceo
The document discusses crisis communications and the role of public relations. It provides advice for PR professionals on how to effectively counsel CEOs during a crisis. This includes having a simple crisis plan in place, prioritizing target audiences, being assertive when bringing concerns to the CEO, and focusing on outcomes rather than criticism when giving advice. Case studies are presented and research is cited on what keeps CEOs awake at night and their perspectives on change, competitiveness, and corporate social responsibility.
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Crisis And The Ceo
- 1. Risk Communications Counselingthe Top Dog Presented by Dan Keeney, APR DPK Public Relations February 27, 2009
- 2. Agenda Crisis fundamentalsThe role of public relations How we sometimes contribute to a crisis getting worse Inside the mind of a CEO Case studies Your Company PR
- 3. The Fundamentals Thethree components of crisis communications are crisis planning, response and recovery
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- 5. Fundamentals: Define ItA crisis is an unexpected and uncontrolled event or series of events that disrupt normal operations for a prolonged period and cause unwanted public scrutiny
- 6. Planning: Keep thePlan Simple The process of planning involves an objective inward-assessment Examine operations and processes Evaluate and catalogue assets Good plans can be hundreds of pages Better plans are just a few pages
- 7. A Crisis Planthat Works “ One of the first things you learn is you have to have a plan in place. It doesn’t matter whether it’s sophisticated or simple – you’ve got to have one. Frankly, the simpler the plan, the better.” - Larry Hincker, Virginia Tech
- 8. A Crisis Planthat Works “ Most plans I see are convoluted, unrealistic, out-of-date nightmares to interpret and never tested by a drill. Good plans point you in the right direction so you can act fast. If yours doesn’t, throw it out and start over.” - Richard Amme
- 9. A Crisis Planthat Works Keep it simple Focus on functional aspects of response Build out crisis infrastructure Examine and mitigate vulnerabilities
- 10. Planning: Crisis InfrastructureCrisis communications library Fact sheets, bios, aerial photos, database of contacts Communications infrastructure Offsite crisis response facility Satellite phones, VoIP capabilities Consider having a “dark” crisis response Web site ready www.yourcompanyanswers.com
- 11. Planning: Vulnerability ChecklistFatality Succession Security Activism Health and safety Employee discord Workplace violence Forces of nature Litigation Hostile takeover Regulatory Quality issues Legislation Racial issues Environmental issues Animal rights issues Human rights issues Guilt by association Criminal acts
- 12. Prioritize Target AudiencesInsiders Employees, shareholders, suppliers, customers Government Local, state and federal regulators and lawmakers Neighbors Media to reach community
- 13. Plan for RapidResponse Who is on the Response Team and who are their alternates? At what point do you activate the Crisis Response Team? How can they be reached 24x7? Who is spokesperson?
- 14. Prioritizing Target AudiencesInsiders Employees, suppliers, customers Government Local, state and federal regulators and lawmakers Neighbors Media to reach community
- 15. Prioritize from theinside out Employees Shareholders Suppliers, customers Government Local, state and federal regulators and lawmakers Neighbors Media to reach community
- 16. The Role ofPR Investigator Confidant Truth teller Forecaster Do Gooder Implementer
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- 20. Forecaster We're inbig trouble
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- 23. The Dirty LittleSecret Is… We think CEOs have it under control
- 24. The Dirty LittleSecret Is… But our deference to CEOs hurts them in a crisis
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- 26. Communication in aCrisis According to Gladwell: “ (Crises) are likely to be the result of an accumulation of minor difficulties and seemingly trivial malfunctions.” - Outliers, pg 183
- 27. Example: Three MileIsland
- 28. Example: Three MileIsland The Problem: Routine water blockage Moisture leaks into plant’s air system Then the accumulation of minor difficulties Trips two valves, shutting down flow of cold water to steam generator Valves for backup cooling system weren’t open Hanging tag in control room blocked view of indicator Backup relief valve stuck open Gauge in control room that should have warned of a problem wasn’t working
- 29. Learn from PlaneCrashes Gladwell writes: “ The kinds of errors that cause plane crashes are invariably errors of teamwork and communication.” - Outliers, Pg 184
- 30. Avianca Flight 052An accumulation of little things Malfunctioning autopilot Bad weather Long flight Misunderstandings with FAA Poor communication in the cockpit Let’s climb aboard…
- 31. Mitigated Speech Anattempt to downplay or sugarcoat the meaning of what you are saying “ Some people have been slow to embrace our message.”
- 32. Lessons from PlaneCrashes Airlines now employ “Crew Resource Management” training Teaches junior crew members how to communicate clearly and assertively
- 33. Mitigated Speech inPR Example: You learn that children are getting hurt using your product How does your CEO learn of your concerns?
- 34. What do youdo? Brief your boss and hope Send an e-mail Walk into his/her office Schedule a meeting Call his/her cell phone
- 35. What do yousay? Let’s get the distributors on the phone The switchboard is lighting up Get the product off the shelf now Who should we notify first about a recall I think we may want to issue a recall
- 36. Learning to beAssertive A short video Credit: Video Arts
- 37. What Keeps CEOsAwake? Source: PriceWaterhouseCoopers 12 th Annual Global CEO Survey
- 38. What We KnowAbout CEOs CEOs want the insights of key advisors CEOs expect change CEOs feel less in control CEOs value reputation and customers
- 39. CEOs: Know Changeis Needed Percentage of CEOs who say their organizations face substantial change vs. ability to manage change Source: IBM Global CEO Study
- 40. IBM’s Analysis Constantchange is certainly not new. But companies are struggling with its accelerating pace. Everything around them seems to be changing faster than they can . As one U.S. CEO told us, “We are successful, but slow.” Source: IBM Global CEO Study
- 41. CEOs: Keys toCompetitiveness How important are the following sources of competitive advantage in sustaining your growth over the long term? Source: PriceWaterhouseCoopers 12 th Annual Global CEO Survey
- 42. CEOs Need aPaddle Suddenly everything is important . And change can come from anywhere. CEOs find themselves – as one CEO put it – in a “white-water world.” Source: IBM Global CEO Study
- 43. CEOs: Threats onthe Radar How concerned are you about the following threats in relation to your business growth prospects? Source: PriceWaterhouseCoopers 12 th Annual Global CEO Survey
- 44. CEOs: Growing InfluenceTo what extent has the influence of stakeholders who influence your decisions about the success of your business in the future, changed in the past three years? Source: PriceWaterhouseCoopers 12 th Annual Global CEO Survey
- 45. CEOs: Impact ofCSR CEOs are generally positive about the impact of rising corporate social responsibility expectations. Source: IBM Global CEO Study
- 46. Why PR “Doesn’tGet It” Perceived as focusing on the “wrong things” We come across as wanting to be everyone’s friend The families of the victims want answers Don’t want to leave a reporter hanging Don’t want our neighbors to be mad Employees are glum We shy away from numbers
- 47. The Art ofGiving Advice Be positive Eliminate criticism Urge prompt action Focus on outcomes Be an incrementalist Be pragmatic Be a strategic force - James Lukaszewski, http://www.e911.com/monos/articles/article-leader-to-leader-fall-2008.pdf
- 48. Case Study: BabySeat Maker Millions sold Customers injured CEO blamed the parents PR’s role: negotiated terms of recall
- 49. Case Study: PharmaMade compounds for doctors nationwide Patients died CEO argued that doctors, patients and the coroner may have erred PR’s role: apology and process improvements
- 50. Case Study: RetailRespected college town retailer Sued by university for trademark infringement CEO attacked judge’s character PR’s role: get students involved
- 51. Summary The CEO:PR is a comb over To be an equal, think like one Plan ahead Seek the truth Speak the truth Strengthen your relationship now
- 52. Questions/Discussion Download thispresentation at http://slideshare.com/dpkpr Also: E-mail: [email protected] Phone: 214-432-7556 Web: www.dpkpr.com Blog: www.theprcounselor-blog.com Twitter: http://twitter.com/dpkpr