Category Archives: crisis management

I Hate to Tell You This: The Dos and Don’ts of Breaking Bad News

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In business, we can’t escape bad news. Whether the topic is layoffs, poor earnings, a deal that fell through or any number of business or workplace challenges, communicating a negative outcome is sometimes as difficult as living with the outcome itself. There is no silver bullet to best communicate bad news, but it is the responsibility of business owners and spokespeople to manage the impact of that bad news on stakeholders and the business.

Communicating internally

When communicating bad news to your team, it is important to remember that for some, the news can be upsetting. Keep the following in mind when communicating bad news within your business.

Do: Be clear

A bad news announcement is stressful under the best of circumstances. A confusing announcement only makes the problem worse. When communicating, take extra steps to avoid generalities and include whatever specifics can be shared to ensure the news cannot be misinterpreted. For example, rather than saying “layoffs are expected,” consider “Due to economic conditions, we are planning to reduce the number of staff in our New York office by 15% by year end. The specific roles impacted by this decision are still being considered, and we expect to know and share more details by the end of the quarter.”

Do: Provide resources

After bad news breaks, team members will have questions. Consider putting together a FAQ or other fact sheet that managers and team members can turn to for more information. Also, consider giving your team members access to leaders who may be able to best answer common questions.

Don’t: Sugarcoat the news

Don’t belittle the intelligence and maturity of your team members by utilizing flowery language. The first instinct to soften the blow of bad news can be useful, and compassion has a part to play in delivering bad news. However, being overly sweet can come off as disingenuous.

Working with partners

Bad news will usually impact more than just your business. It often impacts the businesses and clients with which you work. For example, downsizing can reduce your capabilities, leading to partner concerns about being underserviced. When planning for bad news, consider the following as it relates to your partners.

Do: Be proactive

The people and businesses that work with your company expect they will be kept in the loop about news that impacts them. If a staff reduction is planned, they should hear it from your business first — not from news headlines or via the gossip mill.

Do: Plan

Communicating with partners involves more than just messaging. It involves timing. When preparing partner-related messaging, ensure all materials are developed before an announcement. Depending on the nature of the news, it may be beneficial to communicate with partners before sharing with the public. However, the time between the two announcements should not exceed 24 hours. Any longer risks a leak and losing control of the message.

Don’t: Overshare

While being proactive is important, it does not mean a business should share every detail of a bad news announcement. Businesses need to tailor partner messaging to only include information that pertains to the partner. If a partner has questions, schedule a time to speak with them one-on-one after the news breaks.

Talking to the public

Sharing bad news with the world can create opportunities for error, misinterpretation and even crisis if not handled correctly, especially in today’s world of instant digital communication. That said, when sharing bad news businesses should work through a medium like the news media or their website. When working with these mediums, keep the following in mind.

Do: Be Transparent

Generalities and vague comments create doubt. At worst such vagary provides opportunities for bad actors to take bad news and make it sound far worse than the reality. While being open about bad news can be painful, it is far better to keep control of the facts and remain transparent.

Do: Be Responsive

Public response to a bad news announcement could include anything from a reporter on a deadline or a social media post. Regardless of the source, responsiveness is critical for managing a negative announcement. Just like transparency can help reduce the chance of misinformation about a negative announcement, responsiveness can ensure facts and truth remain at the center of the conversation.

Don’t: Lie

You will be caught. It may not be immediately, but it will happen. Misstating facts and hiding critical information are sure ways to not only lose the trust of the public but create new problems as well. This goes for guessing or speculation, too. When announcing bad news, stick to the facts.

While these tips will help to better manage the impact of bad news on a business, they are all focused on mitigating the potential damage to the business and its reputation. There is no way to fully negate the impact of bad news. However, by following the above tips businesses can better survive delivering bad news, and work to grow in the long term.

Sorry Seems to Be the Hardest Word

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Giving your public relations team a seat at the table early in a situation can mean the difference between successfully navigating a potential reputational crisis and falling victim to embarrassing, costly and ruinous public backlash against your brand via social media and the press. One just needs to look at the now nearly infamous Kyte Baby incident, where CEO Ying Liu delivered a cringe-worthy and awkward TikTok apology in January, to see how harmful it truly can be to fail to consider strategic counsel from a seasoned PR advisor. This was in response to the company’s termination of an employee’s request to work remotely while her adopted newborn was in a neonatal intensive care unit.

While the underlying issue at Kyte Baby seemed connected to parental leave policies, the decision was viewed by consumers as antithetical to the company’s mission and values. Under the title of Kyte Cares, the company’s website reads in part: “At Kyte Baby, we have dedicated our company to helping babies and families find comfort for more than a decade … we understand the importance of family and recognize parents’ vital role in nurturing and supporting their families.”

The controversary swirled as enthusiastic fans of Kyte Baby’s products learned of the employee’s termination and complained to the company and online. Ironically, it was Liu’s awkward and stilted apology that brought the company out of the shadows of social media and made headlines around the world.

A Failure of Consideration

It would be a mistake to discount Liu or her decision as ill-considered. She is a working mother and entrepreneur who also happens to hold a doctorate in economics. Also, the tone of her original video apology, where she asked the employee in question to forgive “how her parental leave policy was communicated and handled,” would imply she was advised on how to respond.

What happened was a failure of consideration. A failure to consider what the decision to terminate would say about the company, and a failure to consider how Liu’s response to public backlash would be presented and received by that public.

If there was a PR professional advising her to act as she did, that person should be fired. If there was no PR professional advising Liu alongside of the company’s attorneys, then the fault lies squarely with Liu and the company’s fundamental inability to live its mission in a way its loyal customers might expect.

My guess, and it is only a guess, is this matter was seen as a legal issue and addressed accordingly. What it lacked was someone in the room, steeped in the brand’s mission and reputation, who would have played devil’s advocate both on the decision to dismiss the employee as well as gaming out any potential blowback from the apology. Had a skilled PR professional been in the room from the start, Liu would have been advised on the optics of dismissing a new mom with a sick child from a company founded to help moms navigating health issues (skin conditions related to fabrics) among their young children. Further, had a skilled PR pro spoken to Liu when her original apology was scripted and planned for wide distribution on TikTok, Liu would have been strongly advised to take a different approach.

Instead, Liu made a decision that matched the company’s (then) policy on parental leave. Liu made a legally appropriate CEO decision to follow company policy but failed to be the empathetic mom who founded the company 10 years earlier to help other moms.

Why PR Needs a Seat at the Executive Table

Liu is only the latest example of organizational leaders – C-suite and others – who failed to look beyond policy or legalese. In the same month Kyte Baby made headlines, a former account executive for Cloudflare, an IT company, recorded and posted to social media a video of her termination over Zoom by two human resource professionals she had never met and who didn’t know her. That company’s CEO also went on a social media apology tour, calling the video “painful” to watch and noting the way the matter was handled was inappropriate.

Organizations large and small make mistakes. Having trusted counsel – both legal and others – consider and review decisions that can impact the brand is vital. Moreover, the rules governing the workplace have changed and continue to evolve. Not only are people making space for their work in their homes and having to integrate that work into their lives beyond 9-to-5, but we are also in an era where the aggrieved can turn to social media and expose former employers who act in bad faith – real or perceived – to a firestorm of negative publicity. And, frankly, a lot of organizational leaders are getting it wrong.

Having a communications professional as part of the decision matrix can help. Whether in-house or an outside consultant or agency, these are trained professionals whose jobs are to consider every decision, message, social media post and internal memo through the lens of the organization’s reputation. It’s an invaluable service when you consider the alternative: Kyte Baby is navigating an ongoing boycott while trying to share positive news about their new parental leave policies. Cloudflare blew up on social media for the wrong reasons and may struggle with recruitment of vital talent as a result.

Lawyers are excellent advisors. They protect their clients in the court of law. Public relations professionals focus on reputational threats and protect clients in the court of public opinion, which is where consumers tend to decide where and how to spend their money. Both must be in the room where decisions are made.

The Lesson of 2023: Messaging Matters More Than Ever

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From the explosive exploration and application of generative AI across society, to bank failures and financial upheaval, inflation and more, 2023 was the year that surprised no one and everyone at the same time while keeping us all wondering what might follow.

This was also a year where proper messaging, or the failure to provide proper messaging, played into the headlines at a level we hadn’t seen since the height of the pandemic.

Introducing:  AI

Across the calendar, 2023 was the year where everyone wanted to talk about technology, specifically artificial intelligence. From an ill-considered public discussion about using AI to advance diversity at Levi’s to the very public spectacle that was the firing and rehiring of Sam Altman at OpenAI — and all manner of speculation of how AI would improve nearly every business — poor messaging drove headlines and cost their brands.

In March, Levi’s announced plans to use AI-generated clothing models to allow customers to see clothes on models who looked more like them. The initiative was met with backlash for failing to include in their messaging the platforms to find the AI models or information on how to customize the models, as well as what the change would mean for human models. The company was forced to issue a follow-up statement clarifying the initiatives and explaining, among other things, that it was not meant to substitute real action on diversity, equity and inclusion at the company.

Of course, the messaging around Sam Altman’s firing and rehiring at OpenAI made our list of messaging gone wrong in 2023. First, the board of directors of OpenAI fired Altman with a public announcement claiming he was “not consistently candid in his communications with the board,” and that the board “had no confidence in his ability to exercise his responsibilities.” After Microsoft swooped in to try to pick up Altman and his colleagues, pressure from employees and investors mounted, prompting OpenAI to post on X that Altman would be returning as CEO.

It seemed not a day passed this year when the public square did not feature a discussion about the digital world. And, regardless of your technological interest or acumen, few can honestly say they were not aware of or participating in the buzz around AI.

Failing Fabulously

Meanwhile, the financial sector was rocked when a few banks formerly ranked as among the 30 largest in the US imploded despite reassurances from business and government officials. In fact, one of the failed banks committed financial suicide due largely to poor messaging. Silicon Valley Bank, in the wake of rising inflation and interest rates, issued a statement in March that made no mention of its financial strength and instead focused exclusively on losses, manifesting an old-fashioned bank run that effectively killed the institution.

Additionally, theories and speculation on inflation and a potential recession offered real-world consequences for the global economy. Notes from a March meeting of the US Federal Reserve didn’t mince the words of Fed economists, noting bank failures were likely to cause “… a mild recession later this year.” This set off a chain of events that saw Silicon Valley leaders like Google, Meta and others publicly trim headcounts while other industries took a long, wait-and-see approach to spending in 2023.

The Value of Words

In short, buzz and speculation that included the active participation of brands and businesses through their messaging not only influenced public perception, but that messaging also drove consumer decision-making.

In a world increasingly attuned and sensitive to business and industry messaging, 2023 offered a bevy of examples too numerous to mention here that reinforce the adage, words matter. One of the key takeaways from this as we look to 2024 and beyond is that minds, as well as markets, can move more dramatically than ever based on how messaging is conceived and delivered. Brands and nonprofits will do well to apply this lesson to their new year planning. And, of course, Kimball Hughes PR is always here to help craft as well as pressure-test the words and content that shape the perceptions of those audience(s) most important to your organization.

Trick or Treat: Recent Brand Wins and Fails

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In the spirit of the Halloween season, we thought we would take a look at some tricks and treats in corporate communication efforts from the past several months that have made headlines. From widespread crises to clever spooky-time initiatives, brands and organizations around the world are experiencing tricks and treats impacting their brand.

Getting Tricky

Shein,a Chinese clothing company known for fast fashion, made headlines recently when they invited a group of influencers for an inside look at their factories. This trip came after several journalistic investigations last year revealed unsavory business practices including violations of labor laws and an environmentally unsustainable business model. The idea behind the trip was to have a positive image of the company presented by trusted influencers.

Unfortunately for Shein, this attempt to reclaim their brand image was not well received by the public since influencers only toured and commented on the company’s innovation center rather than multiple locations. Some accused influencers of taking part in a “propaganda stunt” as they shared reports with followers of clean factories and happy workers. After the backlash, some influencers ended their relationships with the company.

Shein’s experience is a key lesson in transparency and influencer marketing. While influencers are trusted by the public, they are not a surefire marketing tool and can present new risk exposure. A better approach from a communication perspective would have been for Shein to have a more honest and open conversation with the influencers, talk about prior news reports of poor conditions, point out discrepancies and note changes that were made to improve the work environment for employees.

In other news, the National Highway Transportation Safety Administration (NHTSA) recently pushed for a recall of about 52 million vehicles made with parts by a supplier, ARC Automotive, due to defective air bag inflators. General Motors (GM) manufactured approximately 20 million of those vehicles and recalled nearly one million in May for the same reason. The potential recall comes just two weeks after members of the United Auto Workers began to strike. GM made a statement in response to the NHTSA saying, they “believe the evidence and data presented by NHTSA at this time does not provide a basis for any recall,” per CNBC. “If GM concludes at any time that any unrecalled ARC inflators are unsafe, the company will take appropriate action in cooperation with NHTSA.”

GM has an obligation in the scenario to communicate a message regarding public safety. While vehicle manufacturers have come a long way in terms of safety standards over the last several decades, and the court of public opinion requires they tread carefully. Although GM’s concerns with the data presented could be valid, they could be seen as failing to prioritize customer safety. A good communicator will always encourage leadership to message with a sense of humanity, considering all sides of a situation and would have encouraged any messaging to include customer safety at the top.

Time for a Treat

It can be hard to gauge just how much candy to buy in preparation for trick or treaters.This year, Mars, the manufacturer of M&M’s, teamed up with delivery service GoPuff to create the M&M’s Halloween Rescue Squad. On Halloween after 3 p.m. ET, consumers can visit the M&M’s website to order free M&M’s in all locations GoPuff serves.

As one of the most popular candies in the U.S., M&M’s is taking a smart step to reinforce a positive brand image. Earlier this year, M&M’s was caught up in public controversy when they made changes to their “spokes candies” to remove gender norms from the characters. The controversy was thought to ignite a culture war that garnered the attention of national news outlets, political commentators and more. Less than a year later, the Halloween Rescue Squad is a way for media and the public to engage with M&M’s in a more positive, timely way.

Good communications can be a treat – or win – for your company, elevating your brand and bringing new customers to your door. But beware the trick of an ill-considered communications strategy. Partner with a public relations team who understands your business, your needs and can see the big picture.

Behind the Picket Lines: Communicating in Times of Employee Discord

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Years ago, autumn was not just about pumpkin spice, leaf peeping, back to school and football. It was also celebrated as the end of summer’s re-runs with a new line-up of fresh television shows released each September. While those days are long gone with the advent of streaming platforms, this year looked a bit different. We were back to reruns.

The Writers Guild of America was on strike for more than five months, forcing a rapid halt to the production of new content for Hollywood. Then, its resolution in late September was followed with a strike by the Screen Actors Guild-American Federation of Television and Radio Artists, who have been behind the picket lines for more than 100 days now. Both unions were and are respectively pushing for long-term pay, control over artificial intelligence and employment consistency.

And it is not just Hollywood on strike these days. Roughly 46,000 workers with the United Auto Workers union in Kentucky, Michigan and Texas found themselves behind picket lines this fall demanding improved wages and benefits.

These strikes, coupled with employee push back on employer demands for a return to office point to the fact that today’s employees have a bigger voice, and their actions are forcing employers to listen. From a communications perspective, unhappy or disgruntled employees who take their complaints public can lead to a brand reputation problem. Fortunately, a smart, proactive plan for internal and external company communications can help diffuse situations and paint your company in the best light.

Best Practices for Communicating Amid Employee Issues

While a strike, social media backlash to a corporate return-to-work mandate, or round of layoffs may burden and inconvenience leadership with staffing shortages, overtime pay and/or mounting legal fees, the reputational damage could be the most destructive –  particularly if the press gets wind of it.

One of the best ways to get ahead of reputational issues related to employee discord is to work with a public relations team to build a comprehensive plan for internal and external communications. This way, leadership is better prepared and will have direction on how to maintain good communication with employees, vendors, stakeholders and the community. Among other best practices, leadership should consider the following in a time of employee discord:

  • Keep an open dialogue with employees.

Employees want to feel heard. With many employer return-to-work mandates, employees did not feel their needs were being considered.

Many employees like the cost savings and flexibility of remote work and feel they are more productive as a result. Employers who feel strongly about employees returning to work should communicate with employees rather than simply mandating a change. They should make the case for employees as to why a return to the office is necessary and even consider acknowledging the sacrifice employees made to work from home during the pandemic. After having that dialogue, leadership might determine that offering an incentive to bring employees back or a hybrid option could help maintain or improve employee morale and prevent discord.

  • Control emotions and cool tempers.

Communications between the U.A.W. and auto manufacturing plants have become heated with Stellantis issuing a press release that began with the fighting words, “we are outraged.”

Aside from pride, big dollars are at stake, causing emotions and tempers to run hot. But a good public relations professional can help a leadership team craft messaging that carries a human element and reflects a more considered approach. A public relations team would caution executives from letting anger show through, particularly in negotiation-related communications.

  • Keep your media team updated with all developments to avoid surprises.

Whether it is a salacious email leak connected to a member of the leadership team or a negative social media post gaining momentum, it is critical to keep your public relations team updated regarding developments during a time of employee discord.

You never know what will erupt into headlines and damage the reputation of your company. If your public relations team is made aware of the situation with time to spare, they can proactively prepare a plan and smart messaging to try to prevent a situation from spiraling out of control.

While a good public relations team may not be able to do anything about the employee discord forcing reruns upon us this fall, they can help company leadership better communicate – and recognize the value of open and frequent dialogue. Hopefully, we will see these workers and executives come to common ground soon, but until then, let us encourage a focus on good communication.

5 Steps to Navigating a Crisis Situation

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Planning your escape while your house is engulfed in flames is, arguably, the worst time to try to develop an escape plan. Surprisingly, countless business leaders take this approach to crisis communications management; trying to make a plan to save the business as metaphorical flames lick at their hands and feet.

The smart move is to have a comprehensive crisis communications plan in place long before you need to use it. However, given the relative lack of thoughtful crisis communications planning among many organizations, the next best strategy is to try to navigate the crisis as best as possible without getting too badly burned.

If your business or non-profit lacks a crisis communications plan, but you find yourself trying to manage a crisis situation, here are five steps you can take to try to minimize the damage:

Gather the Facts

The worst thing an organization can do early in a crisis is make assumptions or speculate. The outcome of your crisis will be shaped largely by your initial response. What can you verify? Start with what happened, when, who was involved and how you expect this event to impact your organization’s stakeholders and the public. Keep emotion out of it, recognizing emotions will run high in a crisis. Remember, we all have different perspectives and opinions when we’re asked to recount a situation. This is where you must insist on only dealing with verifiable facts.

Assemble Your Team

Typically, this includes one or more people in leadership, your organization’s attorney and one or more crisis communications professionals; either your in-house communications person or an experienced public relations agency specializing in crisis work. Empower the team to examine the situation and guide the course of how you will message to internal and external audiences.

Take Control of All Communications

From answering phones and the receptionist greeting guests to the intern handling your social media and the company daily email newsletter, your crisis communications team has to have complete control over all your communication channels. It’s best to deactivate comments on your Facebook page, pause your company newsletter and instruct everyone answering phones or greeting the public to direct all questions to a member of the crisis communications team. Everyone must be in sync in managing how your organization communicates in the middle of a crisis situation.

Be Consistent in Your Messaging

While it is important to adapt your messaging as facts present themselves, the messaging strategy and tone you and your crisis communications team agree to should remain consistent. Shifting the premise of your messaging will only create chaos, creating further confusion and eroding trust in your organization’s ability to manage the situation. There is also a tendency by some to question the strategy if an immediate resolution does not manifest. Recognize that once in a crisis, there are no quick fixes but often rather only a series of unpleasant realities. Managing a crisis in progress is about being patient and, frequently, picking the least damaging option available among several less-than-ideal options.

Do Not Lie

A final point on messaging: don’t lie. Don’t guess and don’t try to obfuscate. As noted in step one, your messaging must be fact-based. You should never try to spin your way out of a crisis as doing so almost always leads to making matters worse. Be honest, even when painful. And while legally you may be advised to not admit guilt, there are ways your legal and communications team can work together to provide fact-based and forthright messaging that will ultimately move you toward a more positive outcome in crisis situations.

Applying the above steps can help your team better manage a crisis and help ensure you aren’t completely overwhelmed by circumstances, some of which may not be of your organization’s making or in its control. But when in doubt, contact a professional crisis communications team. Your reputation and bottom line are worth the investment.

When Conferences Go Wrong: Have a Plan

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Some conferences go smoothly. Others end in the wake of an active shooter event. There is a lot of grey between those two extremes, and organizations sending personnel to conferences ought to have a communications plan in place for the unexpected.

Last month, my colleague Eileen Coyne and I were attending RISKWorld in Atlanta (April 30 to May 3). On the final day of the conference, ahead of the closing keynote, an active shooter event took place a few miles from the conference location.

Our first notification of trouble came in the form of an ABC News alert. Text alerts from our hotel and the convention followed. Digital signage at the conference turned green with white text, alerting everyone to shelter in place and that the conference center was not part of the active shooter scene.

We immediately reached out to our families as well as colleagues to advise them that we were fine, that the conference was shutting down and the event in question was not nearby. As it turned out, the shooting took place two blocks from our hotel. It would be hours before the hotel would come out of lockdown and allow guests to come and go.

In speaking with other attendees, it became clear that if their companies had formal crisis communications plans at all (and about half of most US organizations do not), they did not have protocols for staff attending off-site events during an emergency.

Given the current social climate, all organizations need to develop crisis protocols for off-site events. Contacting the staff attending the event, confirming they are safe and cascading that message across the organization – and potentially to the family of those staffers involved — should be part of any crisis communications strategy. This applies whether it’s your CEO speaking at the conference as well as employee attendees or sales team members staffing the company’s vendor booth.

Whether the crisis originates from the actions of a person or persons, Mother Nature or something else, having a plan for out-of-town staffers in case of emergency is key. And, importantly, those traveling should be trained in the details of the plan — including phone contacts and protocols if cell or other communication services are disrupted.

According to the FBI, active shooter deaths and injuries are at a 5-year high this year. Companies with traveling personnel who spend any significant time on the road should receive active shooter training. This includes the basic principles of run, hide and fight, as well as what to do when and if authorities arrive on scene if you are present during an active shooter event.

This may all appear extreme. And it may be, until your organization is receiving urgent calls from worried families, coworkers or clients in the middle of a crisis event. Being able to respond quickly, with a protocol to follow and facts in hand can help keep your team safe during a chaotic and worrying situation and allow you to communicate factually with all parties concerned.

Crisis of Confidence

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In the span of just three months – one at the end of 2022 and two at the beginning of 2023 – the insurance industry has been at the center of significant crises situations that have played out in the media. While the scenarios cover a broad spectrum of what could go wrong, from each situation emanates one key theme – the value in planning ahead for a potential crisis.

In December, State Farm was the focus of an investigative feature story detailing allegations that the insurer discriminates against black homeowners in claims scenarios. With a human, empathetic approach to its response, State Farm struck exactly the right tone in a situation where the story would have proceeded with or without the company’s input. The response, shrouded in what appears to be sincere embarrassment, may ultimately serve State Farm well if the company continues to resolve the matter while owning any mistakes made.

The Norfolk Southern train derailment on Feb. 3, 2023 and the resulting chemical spill dominated most headlines and broadcast news coverage for most of February. As investigations proceed and claims likely exceed Norfolk Southern’s liability coverage, increased scrutiny will fall on railroad insurance generally and risk management practices in the transportation industry more specifically. In time, insurers will face questions about how the U.S. transports sensitive cargo and the safety measures it mandates of its insureds.

And finally, in late February, North Carolina investment firm founder Greg E. Lindberg again generated headlines when he was charged by a federal grand jury in a $2 billion fraud scheme. According to the indictment, Lindberg and others are accused of improperly taking money for personal use from insurance companies controlled by Lindberg. This news follows a 2020 bribery conviction of Lindberg that was overturned on appeal in 2022. Lindberg has since made several combative statements, issued a press release announcing planned actions by his defense team, and otherwise taken actions to ensure his name remains in the headlines, come what may.

And these are just a few of the more recent, audacious headline makers.

As has been said many times before, the insurance industry has a communications problem. And like so many other industries, the crisis communications capabilities of the insurance industry are lacking.

Countless businesses of all sizes are ill-prepared for crisis situations where they must communicate with multiple stakeholders: investors, board members, employees, vendors, the public at large, industry leaders, etc. Most lack a Crisis Communications Plan. And for those who might have a crisis plan of a sort, those plans are often out of date by many years and/or have never been stress tested. In fact, if you quizzed most senior executives at any number of organizations, they would be hard pressed to verify a Crisis Communications Plan exists for their company, and who is assigned to what roles on the designated crisis team.

Crisis Communications Plans give companies and non-profits a road map to follow, designate team members with clearly defined roles, and provide approved language for a range of scenarios that allow for the type of rapid response required in the current media environment. These plans also empower crisis team members with both formal training that helps them to avoid missteps and with the authority to act in the best interests of the organization within certain parameters. Lacking such a plan, most companies find themselves making it up as they go, which is akin to trying to close the barn doors while the horses are mid-stampede from that same barn. The best you can hope for in that scenario is not to be crushed in the experience.

Like insurance itself, a good Crisis Communications Plan is a hedge against disaster. While it will require an initial investment, the savings such plans provide can be incalculable in a true emergency situation. Some crises result in bet-the-business risks that often can only be resolved if the actions taken are deftly communicated. One need only look at recent bank failures – driven by crises of confidence primarily – to understand how vital quick, thoughtful and fact-driven communication can be in the life of any organization.

Why Lack of a Crisis Communications Plan Should Terrify You

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Crises come in many forms.

They could present as one (or more) negative online reviews of your business. Others manifest through the court system in the guise of lawsuits or other law enforcement actions involving executives, employees or clients/customers. Customer complaints, employee disputes or soured relations with the local community or other stakeholders can constitute critical crises situations. Still others might involve negative press coverage or complaints on social media. The worst crises involve issues of life and death.

In Crisis, You’re Surrounded. Sometimes Literally.

Try to imagine having your workplace or for senior leadership, your home, surrounded by numerous news vans for hours or even days; harassing your workers, customers, and neighbors relentlessly to secure comments about whatever negative issue has befallen your organization. Now try to imagine keeping to a business-as-usual schedule as the world puts you under an intense microscope.

You don’t have to be a crisis expert to recognize when your organization is mired in one. In 1964, U.S. Supreme Court Justice Potter Stewart described how he determined if something was obscene by famously saying, “I know it when I see it.” The same standard applies for leaders in determining if a crisis exists and how seriously it threatens the organization.

In more than 15 years of crisis communications management, I’ve seen all the above scenarios and quite a few more. Most of the organizations involved were wholly unprepared and found themselves, at best, struggling to manage.

Yes, they had lawyers. In nearly every case, the lawyers were excellent. But lawyers concern themselves with minimizing liability; their concern is rarely public opinion. And public opinion, frankly, will make or break a business’s bottom line or crush a non-profit’s fundraising capabilities, not to mention create reputational damage that can linger for years.

The Scariest Role Playing Ever

I like to pose the following to senior leaders, and while some may find these scenarios alarmist or extreme, they happened. My colleagues and I have managed them. Nearly every case was a bet-the-business situation and in each, the client lacked a crisis plan. This meant the best that could be done was to try to get their version of events out in front.

Imagine getting a text message or email that briefly outlines one of the following scenarios:

  • Your CFO has been arrested, is in custody and there will be a mug shot and perp walk in front of waiting press outside the police or district attorney’s office within the hour.
  • One of your workers has been killed on the job, either in a work-related accident or active shooter incident, and numerous local and national media are asking for a statement immediately.
  • Your CEO has been unexpectedly terminated or has died. The press are seeking an interview with whomever will take over, and the board of directors has called an emergency meeting expecting you to lay out how you will manage this situation.
  • Protesters have surrounded your business with signs and megaphones that are paralyzing your operations and drawing the attention of media regarding alleged poor worker conditions, or health code violations or claims that non-union labor was employed in a recent or ongoing renovation.
  • One of your leading donors has been arrested on charges of financial fraud and the media are reaching out asking if you will return the substantial funds provided to help compensate the donor’s alleged victims.
  • You have been accused of sexual harassment, law enforcement are at your door or on their way to interview you and the press have learned of this and are surrounding your workplace or home right now.

If you were involved in any of the above scenarios and you looked out your window, you would likely see a parade of news vans pulling up while your cell phone and email exploded with all manner of stakeholders asking questions. What would you do in the first 5 minutes? The first 10 minutes? The first hour? Most importantly, what would your plan be to manage the situation?

Calling the lawyers is a given, but they won’t manage the press.

Dozens of Questions at Once

What’s the process one follows to draft a statement the lawyers can live with that will also help the organization to try to stop the bleeding? Who will write that statement? How will they vet it? Does someone from the organization read the statement to the press? Is it emailed? What if the press keep asking questions? Do you do an interview, and if so, with which outlet? What are the pros and cons of doing an interview? Is the person to be interviewed media trained? Who is in charge of ongoing messaging? Who has to sign off on the messaging?

So many questions will emerge. Unfortunately, answers will be needed for most of those questions within the first hour or two. Otherwise, the situation can easily devolve to the point where it becomes nearly impossible to manage all the moving pieces.

Now, is every situation so extreme? No. A few bad reviews of your restaurant won’t prompt a media blitz. But, you’d better have a timely plan to message to your existing and prospective customers before reservations start canceling. However, every crisis scenario — from minor to major — requires timely communications, and that’s a challenge at best when there’s no plan and each passing hour might be damaging the organization.

If what I’ve shared raised an eyebrow or you actually tried to answer some of the above and struggled to clearly answer my questions even a little, then you are not prepared for a crisis. And you absolutely need to be.

Start By Asking for Help

Crisis communications planning, like life insurance, is something no one really wants to use. But to protect the people and things you care about you need both.

If you’re curious about what you might need in a crisis communications plan or what the process might look like for your organization to create one, get in touch with me.

Our agency offers free crisis communications planning consultation — which, of course, is different from crisis communications management. We do that too.  But if you’re planning for 2023 and beyond for your organization, consider putting the development of a crisis communications plan at the top of your priority list. Because when a crisis comes, and one will, not only will you know it when you see it, you’ll wish you had a robust and tested plan to address it.

Avoid These Cringe-Worthy Crisis Communications Errors

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You don’t have to be a communications professional to cringe when you read certain emails and social media posts today. In the new COVID-19 world we find ourselves, it can be difficult for businesses to know what to say, when to say it and how often to say it to their clients and the public. Everyone wants to jump in with a message, look for revenue opportunities or offer helpful advice, but some do it better than others.

Below we offer common mistakes and some tips to avoid them.

4 Mistakes to Avoid When Communicating During a Crisis:

  1. Not adjusting scheduled social media posts in light of new circumstances. This should be an automatic step whether you’re facing a global pandemic or a crisis isolated to your business. Make sure you read them all, and then delete and edit them to be relevant and tasteful in the context of new circumstances.
  2. Going ahead with planned announcements without considering how they will be perceived. You may be excited about your latest opening or product launch, but such an announcement may be ignored or — worse — perceived as insensitive and opportunistic when you do it. Timing is everything.
  3. Being opportunistic. There is a difference between offering sincere help during difficult times and being perceived as trying to make an extra buck when others are suffering. It’s all about perceptions.
  4. Pitching related stories to the media that are just in very bad taste and opportunistic. Just take a look at this piece by Mashable to see PR people at their worst. PR pros should be able to know when they have an expert who can make a real contribution to a conversation and when it’s just a bad idea.

5 Things to Consider When Messaging:

How do you know whether your message will be well received or will make you appear careless and opportunistic?

  1. Put it in perspective. COVID-19, for example, is a global pandemic with unprecedented and tragic consequences. People are dying and more will die. Many more will lose their jobs, businesses will suffer and many will face economic and personal hardship. Most of us are scared and worried. Think about this when messaging and make sure your messages are in touch with the current reality.
  2. Make sure it’s relevant. In the context of the above, what is relevant? For example, this blog is being written to help prevent businesses from making mistakes when communicating during the current and future crises. That seems relevant to our audience and a way we can help.
  3. Does it address what your audience’s needs. Ask yourself if you’re tooting your own horn, going through the motions or really addressing what your clients, employees and partners need to know. Sometimes, as in the current environment when our mailboxes are full of COVID-19 messages, what your audience needs is a message as simple as “We’re here for you.”
  4. What are others doing? You don’t want to follow the crowd necessarily, but seeing what others in your industry are doing can help guide your decisions about what to do or what not to do.
  5. Test it. There no time for focus groups, but try running your message by a long-time partner or client who you trust and get their reaction.