Crisis Management: When Does a Crisis Start?

Many of us don’t hear about a crisis until it hits the newswires, either through social media, news websites or through a posting on a social site we might follow. In some cases, we might not know about a crisis until we see 1st responders racing down the road heading towards and emergency.
Some will automatically see a disaster as a large catastrophe and one of the BCM/DR industry definitions of a disaster is that it’s a sudden, unplanned event that prevents the organization from performing normal operations. Though both a crisis and/or disaster can start well before the public or media even get wind of the problem.
Sometimes a disaster doesn’t begin until after a period of time when a lesser level of operational hindrance has been experienced. Then when the disaster itself occur, the management of the situation will determine the level of crisis; meaning how well the crisis is handled from the perspective of the public, media, stakeholders (vendors, partners etc) and employees.
For an operational impact, it could be that a key application is offline but is that a disaster? Probably not. If the offline application has a major impact upon people causing major distress and problems such as something in health care or the financial industry, then yes, that application being offline – even for a short time – is a disaster. How the immediate response and post-disaster activities are managed is what will create the crisis for the company. If you get something up and running within a very short time (and in today’s world that’s usually no more than an hour) then it might not be a disaster and a quick response and communication to the community will suffice. If it’s longer, then the management level and involvement of the situation and the level of impact it has becomes a disaster.
Still, if an organization has an internal Crisis Management process in place, early identification and response measures may prevent the incident from escalating and becoming a crisis – or a disaster if nothing is done about it – in the media or public eye. It was just an incident that didn’t have any major impact. Oddly enough, it could have been a major interruption but the impact on Service Level Agreements (SLA), employees, customers, vendors and partners was limited in size and scope; it was just a major incident for the company involved because of the resources (financial, time, personnel) it took to get resolved.
So, when does a crisis start?
It starts the moment the organization believes that someone – anyone – will begin to ask questions. It could be a client, employee (who will access social media about it if they haven’t been educated about not communicating corporate activities), vendor, partner or in some cases a financial institution or legislative body. An organization may be able to manage the situation internally with little impacts being had on external – and internal parties – but as soon as questions are asked about the disruption, you have the start of a crisis. It’s how well you manage those initial questions – along with the incident response itself (I.e. getting the critical application up and running as soon as possible) – that will determine how big the crisis escalates. If you don’t manage it properly the crisis will grow and escalate, making it a ‘Public Relations’ disaster.
The start of a crisis is different for every organization. It all depends on the level of preparation, preparedness and response is developed and instilled within the corporate operations. If an organization doesn’t have anything developed or the level of development is sub-par and very ‘flimsy’, the crisis starts quickly and escalates quickly – reaching that “PR” disaster timeframe in record time.

**NOW AVAILABLE**
Books by StoneRoad founder, A.Alex Fullick, MBCI, CBCP, CBRA, ITILv3.
Available at http://www.stone-road.com, http://www.amazon.com, http://www.volumesdirect.com

About these ads

One thought on “Crisis Management: When Does a Crisis Start?

  1. Pingback: Today’s Digest 13. July 2013 » Continuity Management News

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s