Chatpter/Week 2: The Issue Scanning Methodology

Question 1

Coombs: Types of Crisis

Answer 1

1. Crisis: some breakdown in a system that creates shared stress
2. Organizational Crisis: The perception of an unpredictable event that threatens important expectations of stakeholders relations to health, safety, environment, and economic issues, and can seriously impact an organization’s performance and generate negative outcomes.
3. Disaster: sudden, seriously disrupts routines of systems, requires new courses of action to cope with the disruption, and pose a danger to values and social goals.

Question 2

What are the two types of organizational crisis? Coombs

Answer 2

1. Traditional Organizational Crisis: has high potential to adversely affect reputation
2. Paracrisis or Social Media Crisis: are situations where a crisis manager must manage a crisis risk in full view of its stakeholders. “para” means “resembling or protection from something.” run parallel to a potential “real” crisis. Incites stakeholder uncertainty/panic

Question 3

Definition of crisis management

Answer 3

seeks to prevent or lessen the negative outcomes of a crisis and thereby protect the organization, stakeholders, and industry from harm

Question 4

PPRR

What are the four factors of Crisis Management?

Answer 4

1. Prevention
   The steps to AVOID crisis (also known as mitigation)
2. Preparation
   The crisis management PLAN and related preparation
3. Response
   The application of preparation components to a crisis including recovery
4. Revision
   Evaluation of the organization’s response intended to improve response to future crises

Question 5

Coombs 3 Stage Approach (P.C.P)

Answer 5

1. Pre-crisis (IM fits in here)
   - Signal detection
   - Crisis prevention
   - Crisis preparation
2. Crisis
   - Crisis recognition
   - Crisis containment
3. Postcrisis
   - Prepare for next crisis
   - Leave a positive impression on stakeholders
   - Ensure the crisis is truly over

Question 6

Jones and Chase IM Model (5 Steps)

Diagram on word document

Answer 6

1. Issue identification
2. Issue analysis
3. Issue change strategy option
4. Issue action program
5. Evaluation

Question 7

What does OODA LOOP stand for?

Diagram on word document

Answer 7

O: observe
O: orient
D: decide
A: act

Question 8

What does each stage of the OODA LOOP do?

Diagram in word doc

Answer 8

OBSERVE
Looking for triggers, internal & external events. Connect to data sources. DEMAND

ORIENT
build context for decision execution. Orchestrate, transform, predict & build the context

DECIDE
Model and execute decision using business rules, analytics, AI, processes

ACT
Model how decisions’ results should be applied. Take action based on the consequences and results of the decision execution. DELIVERY

Question 9

Affleck’s RadarScan IM Model compared to RACE

Answer 9

1. Soul (RESEARCH)
2. Scan (RESEARCH)
3. Analyze (ACTION/PLAN)
4. Strategy (ACTION/PLAN)
5. Action (COMMUNICATION)
6. Review (EVALUATION)

Question 10

Comparing 4 issues management models (Look at word doc)

Question 11

Evolution of Issues Management

Answer 11

1. Howard Chase (1982): “Issue management is the capacity to
   understand, mobilize, coordinate, and direct all strategic and policy
   planning functions and all public affairs/ public relations skills,
   toward achievement of one objective: meaningful participation in
   creation of public policy that affects personal and institutional
   destiny.”
2. PRSA (1987): “Issue management is systematic identification and
   action regarding public policy matters of concern to an
   organization.”
3. Robert Heath (2005): “Issue management is a strategic set of
   functions used to reduce friction and increase harmony between
   organizations and their publics in the public policy arena.”

Tony Jaques (2009, pp. 280-286) points out that
definitions of Issues Management evolved at relatively the
same time from two distinct points of view:

1. “issue management as a way to enable participation in
   the public policy process”
2. “issue management as an organizational process, or
   set of processes, effective not just in the public policy
   arena but across a full range of public relations and
   management activities.”

Question 12

Definition of Public Policy

Answer 12

A course of action or inaction chosen by public authorities to address a given problem or interrelated set of problems

Question 13

Definition of an ISSUE from Tony Jaques

Answer 13

1. An issue is a contestable difference of opinion;
2. An issue is a gap between the action of an
   organization and the expectations of its
   shareholders (stakeholders); and/or
3. An issue as an event, trend of condition which
   creates, or has the potential to create, a significant
   impact affecting the organization.

Question 14

Ch 2.

Risk defined and key points

Answer 14

uncertainty about and severity of the consequences of an activity with respect to something that humans value

a risk is a threat if it develops but is an opportunity if managed properly

a risk is knowledge that something bad can happen while a crises is when something bad HAS happened

A crisis is when a RISK is realized

Question 15

Ch. 2
situation, threat and opportunity

Answer 15

a situation is a threat depending on the response

Question 16

Ch 2.

Enterprise Risk Management (ERM)

Answer 16

a form of business strategy based on identifying, assessing, and preparing for risks faced by managers that can interfere with the organization’s objectives and operations

is a way to understand how various elements within and organization can contribute to crisis management followed by an explanation of the organizational context for risk (stakeholders and risk, issues management and reputational risk)

Question 17

Ch. 2

ERM typical risk categories (6)

Answer 17

1. strategic: disruptions to the business plan (goals and strategy)
2. financial: money flow
3. operational: internal risks
4. compliance: legal and regulatory
5. technology: technological infrastructure
6. reputation: suffers in some way due to actions of lack of action from the organization

Question 18

Ch. 2
What does ESG risks stand for? (examples)

Answer 18

Environmental risks
- climate change
- pollution
- resource depletion
- waste

Social risks
- employee engagement
- working conditions
- local communities
- health and safety
- customer relations
- data

Governance risks
- executive pay
- corruption
- bribery
- board diversity
- taxes
- cybersecurity

Question 19

Ch. 2

what are vulnerabilities

Answer 19

they are risks

they are weaknessess that could develop into crises

Question 20

Ch. 2

risk management

Answer 20

represents attempts to reduce the vulnerabilities faced by an organization

Question 21

Ch. 2

Risk Assessment

Answer 21

the starting point for risk management efforts

identify risk factors and assess the probability of that risk developing into a crisis

both internal and external

Question 22

Ch. 2

two factors that drive risk aversion decisions

Answer 22

1. Cost

when managers choose to engage in risk aversion, risk management becomes crisis mitigation

Question 23

Ch. 2

What is risk communication

Answer 23

a dialogue between the organization creating the risk and the stakeholders who are asked to bear the risk

Question 24

Ch. 2

Stakeholders and Risk: Stakeholder mapping?

Answer 24

Stakeholder mapping helps identify the stakeholders relevant to the organization and is an approach in risk management .

This informs ERM how to understand organizational risks

Question 25

Ch. 2

Stakeholder theory

Answer 25

is one way to think about the various constituentes that are somehow connected to and affect the organization

Question 26

Ch. 2

Primary and Secondary Stakeholders

Answer 26

Primary: directly affect the organization and can stop organizational functions and trigger a crisisb
- investors, employees, customers, suppliers, government

Secondary/influencers: indirect influence on the organization but can still affect or be affected.
- competitors
- activists
- media

influencers can not stop the function of an organization but they can damage it

Question 27

FCGMSS

Ch. 2

Six types of paracrisis (defined)

Answer 27

1. faux pas: done with good intentions but it ends up embarrassing the organization. Ex. customers being offended by an ad that was solely meant to boost sales
2. Challenge: some stakeholders argue that existing practices of an organization are irresponsible or simply wrong. Ex. stakeholders believe a company is sourcing materials in an irresponsible way.
3. Guilt by association: some negative actor or action being linked to the organization.
4. misinformation: unverified and negative information about the organization being circulated among stakeholders.
5. social media misuse: when stakeholders identify that the organization has violated social media rules or ethos
6. Social media hacking: When social media accounts are hacked and they post bad stuff

Question 28

Ch. 2

What is Issue Management

Answer 28

an issue is a trend or condition that tif continued would have a significant effect on how a company operates

the proactive attempt to have an issue decided in a way that is favourable to an organization

Question 29

Ch. 2

Jones and Chase Model

Answer 29

1. issue identification
2. analysis
3. change strategy option
4. action program
5. evaluation