Crisis management is critical

Before a crisis strikes, business owners should think about how a disaster would impact employees, customers, suppliers, the general public and their company’s value.

A crisis can strike any company anytime, anywhere. Advanced planning from our team of experts is the key to survival.

Daily headlines are filled with companies dealing with crisis. Is your company prepared? Just as BP learned with the gulf oil spill and Malaysian Airlines learned through two disasters, a crisis can strike at any time. However, unlike Fortune 500 firms, smaller companies are often unprepared and usually do not have a crisis plan in place. They believe it will never happen to them. But, what if it does?

How well would your company fare if you died in an auto accident on the way to work? Who would assume your role and continue operations? Suppose you own a retail company and you discover that one of your primary products or services has created a major health issue. What would you do? If you operate a construction company and an industrial accident has killed several key members of your team. How would you react?

Before a crisis strikes, business owners should think about how a disaster would impact employees, customers, suppliers, the general public and their company’s value. A crisis can strike any company anytime, anywhere. Advanced planning is the key to survival.

A critical component of crisis management planning is the establishment of a succession plan. You should clearly outline the necessary steps to follow if you suddenly become unable to perform your duties. This plan may include selling the company, or transferring ownership to family members or key employees.

What is most important is that you create the crisis management plan when everything is running smoothly and everyone involved can think clearly. By planning in advance, all parties will have time to seriously think about the ideal ways to manage different types of crises.

As we develop your crisis management plan, seek advice from the experts that include your leadership team, employees, customers, communications experts, investment bankers, exit planners, lawyers and financial managers. Each of these individuals can provide you valuable insight that could be critical should a crisis strike your company.