Bizcertainty: Leadership in volatile times.
1300 724 368
crisismanagement by bizcertainty

Crisis Management Action Plan

What managers need to be doing in these desperate times

Crisis Operating Procedure

  • Keeping the Business on track
  • Reduce and minimise costs
  • Consider increasing or decreasing price of service/product
  • Defer purchases
  • Ensure your invoices are paid promptly and follow up outstanding debts in a timely manner
  • Consider discounts for on time payments
  • Establish most profitable aspects of business and promote extensively
  • Offer staff fewer hours, or enforce leave provisions
  • Communicate with staff and seek ideas and options from them

Command & Control Leadership

This is “a style of leadership that uses standards, procedures, and output statistics to regulate the organization”. A command and control approach to leadership is authoritative in nature and uses a top-down approach, which fits well in bureaucratic organizations in which privilege and power are vested in senior management and in those times when a business requires clarity and strong direction . It is founded on, and emphasizes a distinction between, executives on the one hand and workers on the other.
Seriously review the way you manage and assess the effectiveness of your style right now to maximise the outcomes you can achieve as a leader, staff will be looking for clear direction and decisive action from you:

  • Taking or taking back control
  • Regular, clear, brief and uncompromising direction
  • Clear goals and concise feedback loops
  • Rational, consistent well thought out and logical decision making and planning
  • Stick to your plan and be decisive
  • Show compassion and understanding

Strategies in Crisis Management

Do’s of Crisis Management

  • Call management teams together immediately to plan responses as the situation evolves.
  • Take advantage of management diversity and hear all perspectives on the situation.
  • Be aware that reputation is a driver of market value.
  • Make a statement when experiencing more than one crisis at a time or in close succession.
  • Get all the facts before deciding anything to avoid multiple statements, retractions and apologies.
  • Monitor the reaction to your response and reconvene to make a decision about whether to take further action.

Don’ts of Crisis Management

  • Don’t ignore the situation. If the choice is to remain silent, continue to monitor it.
  • Don’t overlook the speed of social media and how it can be a negative or a positive force.
  • Don’t make excuses for poor choices in behavior.
    Don’t underestimate how interconnected systems are.

Productivity & Performance Maintenance

  • Set and discuss progress on goals, generate and reiterate clear expectations
  • Get feedback on day-to-day performance and productivity
    Set and discuss progress with learning and development activities
  • Foster greater engagement
  • Embrace flexible and remote working
  • Recognise the opportunity to consider accessing remote talent

Client Retention & Account Management

  • Connect with your customers regularly to provide assurance and let them know you are still in business
  • Seek new clients immediately as there will be new opportunities as competitors leave the industry or fail to communicate

Contingency Planning

  • Do short term, medium and longer term contingency plans for every area of your business
  • Do “what if scenarios”
    Look at every area of your business and see it operating a different way or not at all
  • Consider other markets, different services or product you could offer
  • Assess new ways of reaching your market and them reaching you
  • Consider retreating from the market until demand or far better conditions appear
  • Seek professional advice
    Investigate every angle: for relief from taxation, payroll taxation, business grants, interest or repayment relief
  • Consider relocation, downsizing, moving your business entirely to an at home status
  • Seek technology solutions
  • Sell assets and hold cash