Session 2: Crisis Communication
Part 1
What is a crisis?
A crisis is a turning point in a situation, where an important change takes place that could
determine a negative outcome. For organizations, crisis include:
- Natural crisis (floods, earthquakes, fires)
- Political crisis (corruption, changes in government)
- Internal crisis (misconduct, abuse) → Metoo
Coombs, 2015:
A crisis is the perception of an unpredictable event that threatens important expectancies of
stakeholders related to health, safety, environmental, and economic issues, and can
seriously impact an organization's performance and generate negative outcomes.
Ndlela, 2019:
Stakeholders: Stakeholders in a crisis can be defined as individuals, groups, communities
or organizations, who may affect, be affected by or perceive themselves to be affected
by the crisis.
Why do we care about stakeholders?
- Interest around stakeholders comes from stakeholder theory, an economic theory
that posits that organizations are embedded in a series of relationships with other
organizations, communities, and institutions such as governments.
→ According to this theory, the goal of an organization should be the mediation of
everyone’s interests (and not just making a profit).
→ “An organization’s success is dependent on how well it manages the
relationships with key groups such as customers, employees, suppliers,
communities, financiers and others that can affect the realization of its purpose”
(R. Edward Freeman & Phillips, 2002).
Why stakeholders? Why does it matter? -
In practice it does matter because decisions that do harm, that affects stakeholders, can
spill over to affect other groups/stakeholders… This can be very bad for the reputation of a
company.
Stakeholder classification: Why and how?
Organizations as networks: Most organizations, no matter if NGO or commercial, are
involved in a number of relationships that include people inside and outside of the
organization. When thinking of how to respond to a crisis, organizations should understand:
- Which stakeholders are affected
- How seriously they are affected
- What are the consequences of the stakeholders being affected.
→ This requires a classification!
,Stakeholder management: At the center of establishing and maintaining relationships with
stakeholders is communication. Organizations should:
- Be aware of whom to relate to in case of a crisis.
- Involve stakeholders in pre-crisis preparedness, for crisis that can be prevented
- Establish appropriate communication channels for each stakeholder.
Step 1: Identifying stakeholders →
Step 2: Analyze stakeholders →
Step 3: Plan stakeholder communication →
Step 4: Engage stakeholders
Two fundamental questions:
1. How to define and identify stakeholders?
2. How to manage the relationship with various stakeholder groups?
Primary versus secondary stakeholders:
- Primary stakeholders: those who are directly, significantly or potentially affected by
the activities of the organization (employees, customers, suppliers, etc.). This can
also mean those who are directly, significantly and potentially affected by a crisis.
- Secondary stakeholders: those who indirectly affected or whom the impact is not
that direct, such as the media, special interest groups and authorities.
Internal versus external stakeholders:
- Internal stakeholders: directly affected and take part in the organization’s decision-
making and operations. E.g. managers, owners, employees (inside).
- External stakeholders: not involved in the organization’s operations. E.g.
customers, suppliers, authorities (outside).
Important for the way you communicate!
, Organizational linkage:
Classifying them based on their linkage, on what they can do for us as an organization. What
can they do for us as an organization.
1. Normative: Who shares similar values or problems as the organization.
2. Diffusive: Similar to secondary stakeholders. They have to do with the fact that they
only appear when there is a crisis. Only interested when something is going on.
3. Functional: Everyone who is essential for the management of the crisis. That the
crisis is handled/solved. Even if it is not in your favor. Help you to figure out the
crisis.
4. Enabling: In case of a crisis, who gives you the perspective of how large the crisis is.
For example the government.
Matrix model:
Interest: How involved stakeholders are in the crisis. Power and influence: How many other
stakeholders can they influence?
A. High power/low interest stakeholders in this category can have a lot of influence if
they decide to use high power, but not a lot of interest in doing so.
B. High power/high interest: this group includes key stakeholders who should be
involved in decision-making.
Part 1
What is a crisis?
A crisis is a turning point in a situation, where an important change takes place that could
determine a negative outcome. For organizations, crisis include:
- Natural crisis (floods, earthquakes, fires)
- Political crisis (corruption, changes in government)
- Internal crisis (misconduct, abuse) → Metoo
Coombs, 2015:
A crisis is the perception of an unpredictable event that threatens important expectancies of
stakeholders related to health, safety, environmental, and economic issues, and can
seriously impact an organization's performance and generate negative outcomes.
Ndlela, 2019:
Stakeholders: Stakeholders in a crisis can be defined as individuals, groups, communities
or organizations, who may affect, be affected by or perceive themselves to be affected
by the crisis.
Why do we care about stakeholders?
- Interest around stakeholders comes from stakeholder theory, an economic theory
that posits that organizations are embedded in a series of relationships with other
organizations, communities, and institutions such as governments.
→ According to this theory, the goal of an organization should be the mediation of
everyone’s interests (and not just making a profit).
→ “An organization’s success is dependent on how well it manages the
relationships with key groups such as customers, employees, suppliers,
communities, financiers and others that can affect the realization of its purpose”
(R. Edward Freeman & Phillips, 2002).
Why stakeholders? Why does it matter? -
In practice it does matter because decisions that do harm, that affects stakeholders, can
spill over to affect other groups/stakeholders… This can be very bad for the reputation of a
company.
Stakeholder classification: Why and how?
Organizations as networks: Most organizations, no matter if NGO or commercial, are
involved in a number of relationships that include people inside and outside of the
organization. When thinking of how to respond to a crisis, organizations should understand:
- Which stakeholders are affected
- How seriously they are affected
- What are the consequences of the stakeholders being affected.
→ This requires a classification!
,Stakeholder management: At the center of establishing and maintaining relationships with
stakeholders is communication. Organizations should:
- Be aware of whom to relate to in case of a crisis.
- Involve stakeholders in pre-crisis preparedness, for crisis that can be prevented
- Establish appropriate communication channels for each stakeholder.
Step 1: Identifying stakeholders →
Step 2: Analyze stakeholders →
Step 3: Plan stakeholder communication →
Step 4: Engage stakeholders
Two fundamental questions:
1. How to define and identify stakeholders?
2. How to manage the relationship with various stakeholder groups?
Primary versus secondary stakeholders:
- Primary stakeholders: those who are directly, significantly or potentially affected by
the activities of the organization (employees, customers, suppliers, etc.). This can
also mean those who are directly, significantly and potentially affected by a crisis.
- Secondary stakeholders: those who indirectly affected or whom the impact is not
that direct, such as the media, special interest groups and authorities.
Internal versus external stakeholders:
- Internal stakeholders: directly affected and take part in the organization’s decision-
making and operations. E.g. managers, owners, employees (inside).
- External stakeholders: not involved in the organization’s operations. E.g.
customers, suppliers, authorities (outside).
Important for the way you communicate!
, Organizational linkage:
Classifying them based on their linkage, on what they can do for us as an organization. What
can they do for us as an organization.
1. Normative: Who shares similar values or problems as the organization.
2. Diffusive: Similar to secondary stakeholders. They have to do with the fact that they
only appear when there is a crisis. Only interested when something is going on.
3. Functional: Everyone who is essential for the management of the crisis. That the
crisis is handled/solved. Even if it is not in your favor. Help you to figure out the
crisis.
4. Enabling: In case of a crisis, who gives you the perspective of how large the crisis is.
For example the government.
Matrix model:
Interest: How involved stakeholders are in the crisis. Power and influence: How many other
stakeholders can they influence?
A. High power/low interest stakeholders in this category can have a lot of influence if
they decide to use high power, but not a lot of interest in doing so.
B. High power/high interest: this group includes key stakeholders who should be
involved in decision-making.
