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PR 101

When the mothership's crisis becomes yours

  • Updated
Social Studies

 

Crises can catch you off guard. Don't let your failure to have a crisis communication plan exacerbate the damage. A well-developed plan can minimize damage and ease any transitions.

Probably the last thing you want to think about is what happens to you and your franchise if the franchisor declares bankruptcy. Or what happens if a hurricane strikes and leaves you out of business for weeks?

We live in rapidly changing times. Virtually everyone is vulnerable to a public relations crisis. But almost all crises share a far-too-common characteristic: They catch companies off guard. In spite of the unpredictability of such an event, you can (and should) plan how your company communicates with employees, customers and the media during and after a crisis. If your franchisor goes bankrupt, customers and the media wonder if your business is in jeopardy, too. If a disaster strikes, who is responsible for your locations? Instead of waiting to see who does what, create a crisis communications plan now.

So, what is a crisis? A crisis is any situation with the potential to affect long-term confidence in an organization or a product, or which may interfere with its ability to continue operating normally.

All companies are vulnerable to a crisis, just in different ways. In some instances, a crisis involves a disastrous accident at a franchisee location; in others it's a product failure or ethical misconduct by a franchisor. All of these examples can damage the reputation for your brand. Effective crisis management entails a lot of explaining and possibly defending, items usually not included in an operations manual. The first and foremost goal of any crisis communication plan is to protect the integrity and reputation of your company.

Key communication principles in a solid crisis communication plan include:

Identify a spokesperson with the authority to make statements on behalf of your company.

Their responsibility is to talk with your key influencers, including customers, shareholders, employees, and the media. By defining roles in advance you ensure that all of your stakeholders receive the same message in a timely and efficient manner. Plan it, do it.

Create your key messages in advance.

Develop potential scenarios and anticipate statements you can make. That way, there's a template to use as a reference tool when crisis strikes. This is critical when time is of the essence. You can quickly edit a statement so you can respond to all inquiries with simple, direct, and positive messages. If transparency is not already a daily part of your business operations, it is time to integrate that practice. Never mislead or try to hide the truth. It comes out eventually. Remember to stick with the facts and not speculate on any issues.

Draw up a timetable for communication and prioritize the audiences you have to reach first.

Proactive communication is critical at this time, and response time is measured by minutes instead of days or even hours. If crises are a fact of life then it is the response that makes all the difference to minimize damage to your reputation. Prompt, thoughtful responses can counter any confusion and replace it with respect for your leadership and franchise. You must be specific about how you are addressing the consequences of

the crisis and what steps your franchise is taking to prevent a recurrence.

Stay in touch with key local media.

In times of a crisis, media often go straight to corporate headquarters for information. Don't let that deter you from cultivating a relationship of openness and trust between your franchise and those reporters who cover your industry. When there is bad news, you are in a better position to field inquiries and explain actions ahead.

How long a crisis lasts often directly reflects how well your organization is prepared. It is vitally important that you put together a plan to effectively communicate with your key internal and external stakeholders - from employees to suppliers, to investors and the media. A crisis communication plan helps minimize any potential losses in revenue and reputation, and with smart advance planning you can avoid disaster and keep your business afloat.

Gini Dietrich is chief executive officer of Arment Dietrich Public Relations in Chicago.  Gini can be reached at [email protected] or 312-787-7249.

 

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