Midterm Flashcards
What other terms can “crisis” be interchanged with? (4)
Disaster
Business Disruption
Catastrophe
Emergency Contingency
Blanchard identified no fewer than how many different definitions of the term “crisis”
24
“A crisis is the ________ of and unpredictable event that threatens important expectancies of _________ and can seriously impact an organization’s ________ and generate _________ __________. “
-Timothy Coombs
Perception
Stakeholders
Performance
Negative Outcomes
“An organizational crisis is a ________ , _______ event that _______ the viability of the ________ and is characterized by ________ __ ______ , _________, and _______ __ _________ , as well as a belief that ________ _____ __ _____ ______.”
- Pearson and Clair
Low-probability
High Impact
Threatens
Organization
Ambiguity of cause
Effect
Means of resolution
Decisions must be made swiftly
What are the 5 Key points in the definition of a Crisis?
Low Probability
High Damage
Ambiguity of Cause
Swift Decision-making
Perception
What are the three boundaries that Crisis cross?
Geographical
Functional
Time
What is a geographical Boundary?
Cities have the potential to impact an organization beyond traditional and geographical lines.
What is a functional boundary and what does it mean?
It threatens multiple life-sustaining systems and infrastructures.
It means that many organizations/industries may have a role to play in managing a crisis. This has implications for coordinating response and recovery.
What is a time boundary?
Crises do not necessarily have a definite beginning or end. Their origins can be deep and the impacts they have can go on for many years.
What does the transboundary nature of crises involve?
It involves an interconnected (system) of critical infrastructure which suggests that transboundary crises are more complex and consequence potential is greater.
What are the four distinct phases of the life cycle of a crisis?
Preconditions
Trigger Event
Crisis
Post Crisis
What is the Preconditions phase?
A set of smaller events that typically occur prior to a crisis.
During the preconditions phase, there are Warning Signs. What are some reactions of organizations to those Warning Signs that makes them prone to crisis?
They are unaware
They do not believe they are serious threats
They may be in denial
What is the Trigger Event Phase?
The point in which the crisis escalates and upsets the normal equilibrium of the organization
The organization functions normally until with preconditions “brewing beneath the surface” the trigger event occurs - sets the crisis in motion, and in doing so renders the crisis noticeable to stakeholders.
What is the Crisis Phase?
The escalation produces the greatest damage to the organization and its stakeholders.
Damage can be extensive and it can have major effect on business or organization.
What is the Post crisis Phase?
When the acute phase of the crisis is over, there should be reflection on the event for lessons learned
Aim should be on preventing a similar occurrence
What has been cited by researchers as some of the factors that cause organizations to be crisis prone? (3)
Organizational mismanagement (including poor crisis leadership)
Organizational culture does not support crisis preparation
Is NOT Crisis Prepared
What are some reasons an Organization is NOT Crisis prepared?
View crisis as random or unlucky
Does not adopt technical and behavioral actions to prepare for and manage their way through crisis
Does not see the Organization as part of a wider system of community and stakeholders
Does not establish contingency plans
Does not develop Organizational capability
Does not understand the nature of risk
Does not consider preventative measures to minimize risk
Does not plan to reduce the impacts of unavoidable risk
Does not organize and train
How does the Canadian Standards Association define Crisis Management?
“The ability of an organization to manage incidents that have the potential to cause significant security, financial, or reputational impacts.”
What can “Crisis Management” be taken to refer to?
Either managing a crisis after it has arisen and/or managing in such a way that a crisis does not arise in the first place