A Lesson Learned in Corporate Crisis Management
Posted on May, 22 2014
With recent data breaches in every industry, from retail stores to banking, creating the infrastructure to support corporate crises continues to become an important challenge faced by even the largest organizations. Consumers and business people alike know the cautionary tale of Target as one of the largest data breaches known to the public, impacting millions of consumers as they continue to make international news headlines.
When faced with a corporate crisis, whether internally or externally, is your entire team prepared? It is essential to have the proactive infrastructure in place for crisis communication. Every member of your team will be involved:
1. Communicators are cooperating with the media
2. Employees are working directly with the victims involved
3. Leaders are maintaining contact with third party stakeholders including insurance companies and legal advisors
Although there are some situations with inevitable long-term consequences, an aggressive plan lead by the top management can significantly reduce the impact.
In recent news, Target has made management changes internationally and announced a 16% loss in profit with millions of dollars pending in civil litigation. Target will continue to maintain a critical spotlight with analysts reviewing their reaction to the crisis and it’s impact on the organization.