In trouble? Nobody likes it, but there are ways to save the situation—and they may not be the ones you’ve thought of. Time to get real!
Every business is subject to crisis, no matter what plans or preventive action they may have in place. Sometimes, it just happens out of the blue.
Charles de Gaulle once said, “Faced with crisis, the man of character falls back on himself. He imposes his own stamp of action, takes responsibility for it, makes it his own.”
When something goes wrong with your business to the point that it’s almost out of control or has already severely impacted your operations or financials, perhaps it’s a good time to declare a “state of emergency” and mitigate further damage. Here are a few tips on crisis management:
Acknowledge that you are in a crisis. Burying your head in the sand like an ostrich won’t help you. The problem won’t just go away by itself—not unless you’re Harry Potter!
Take a deep breath, clear out your mind, and focus on the problem at hand. Avoid unnecessary distractions at this stage. Focusing on the problem during the early stages can and will reduce its impact upon your business.
“Acknowledge that you are in a crisis. Burying your head in the sand like an ostrich won’t help you.
Don’t play the “I blame you” game. It’s the wrong time to start blaming others for being where you are now. Instead, work and support each other to sort the problem out. You can run a proper investigation afterwards.
Don’t lie. You can’t hide the truth to cover the crisis. It is crucial to be transparent, and inform all of your stakeholders about the situation in order to maintain your credibility.
Make decisions and take action. It’s time to demonstrate your leadership skills. Decisions can be tough at this stage, as people might get emotional and your actions could be perceived as unpleasant. Bear in mind that this will be for the good of the business.
If you have ever wanted to demonstrate your communication skills, this is the perfect time to do so. Communicate effectively and transparently about the situation. Keep everybody up to date with what’s going on, and explain your plan to sort the crisis out.
Be patient and have faith. Do not lose control over the situation. Ask for help. You will need it very much. Remember the employees around you; they will share your pain, and will help you out in order to save the situation.
If you need to go public with the crisis, be sure to put out a proper statement. Make it short, direct, and unambiguous. If you are running a big organization, choose a suitable spokesperson to communicate the message.
“Be patient and have faith. Do not lose control over the situation. Ask for help.
Don’t be afraid to apologize. If you are running the business, then it’s your job to mitigate the crisis. If something does happen and people get hurt, be accountable. You owe it to them.
After the storm is over, sit, think, and put together a plan to avoid getting into similar situations again. Ask people for advice, create a plan with action steps, and consider different scenarios. Always keep your eyes open.
Remember, no business is immune, but smart business owners will know how to survive. Be a survivor!
