Session No. 21

# Course Title: Business and Industry Crisis Management, Disaster Recovery, and Organizational Continuity

# Session 21: Crisis Communication

## Time: 2 hr

**Objectives:**

1.  Complete objective 20.3 (Apply the crisis communication planning
    questions, activities, principles, goals, priorities, and guidelines
    discussed in session 20 to a case study -- "Talk about fireworks"
    (pages 28--29 from Barton)) through small-group discussion and
    preparing and delivering a short (three to five minutes) oral
    presentation of your group's work.

2.  State the essential elements of management communication and explain
    the importance of each element in a crisis communication context.

3.  Explain the role of the media in crisis communication, and
    considerations for effectively dealing with the media and the public
    during a crisis.

**Scope:**

This session starts with small-group work in which the students will
discuss their individual efforts to apply one of the sets of planning
questions, activities, principles, goals, priorities, and guidelines to
a case study from Barton's text, prepare a collective report of their
ideas, and, through their group reporter, provide a short oral report to
the class. The small-group work, the oral reports, and any resulting
discussion should be followed by completion of the modified experiential
learning cycle for objectives 20.1--3 and 21.1. The elements of
effective communication as included in Barton's text are then presented
for discussion, followed by a presentation and discussion of the role of
the media in crisis communication and considerations for effectively
dealing with the media and the public during a crisis. As time permits,
the instructor may wish to conduct a class discussion of the continuing
Arlington Plastics case study in Barton, pages 140--143, using the
questions on page 143 to stimulate the discussion and/or apply the
elements of effective communication and the considerations for dealing
with the media and public to the case study "These Sodas Are Being
Manufactured by the Ku Klux Klan," on pages 147--148, using questions 1
and 4 on page 148 to stimulate discussion. The modified experiential
learning cycle for objectives 21.2 and 3 and the case study discussion
should be completed at the end of the session.

**Readings:**

*Student Reading:*

Barton, Laurence. 1993. *Crisis in Organizations: Managing and
Communicating in the Heat of Chaos.* Cincinnati, OH: South-Western
Publishing Co. Pages 14--29.

Lerbinger, Otto. 1997. *The Crisis Manager -- Facing Risk and
Responsibility.* Mahwah, NJ: Lawrence Erlbaum Associates. Pages 31--51.

*Instructor Reading:*

Barton, Laurence. 1993. *Crisis in Organizations: Managing and
Communicating in the Heat of Chaos.* Cincinnati, OH: South-Western
Publishing Co. Pages 14--29.

Dyer, Samuel C. 1995. "Getting People into the Crisis Communication
Plan." *Public Relations Quarterly.* Vol. 40, No. 3. Pages 38--41.

Lerbinger, Otto. 1997. *The Crisis Manager -- Facing Risk and
Responsibility.* Mahwah, NJ: Lawrence Erlbaum Associates. Pages 31--51.

Lukaszewski, James E. 1997. "Establishing Individual and Corporate
Crisis Communication Standards: The Principles and Protocols." *Public
Relations Quarterly.* Vol. 42, No. 3. Pages 7--14.

Mallozzi, Cos. 1994. "Facing the Danger Zone in Crisis Communications."
*Risk Management* \[on-line\]*.* Vol. 41, No. 1. Start page 34.
Electronic version 5 pages.

Taylor, Bob. 1996. "Crisis!" *Business and Economic Review*
\[on-line\]*.* Vol. 43, No. 1. Columbia, SC: University of South
Carolina. Start page 12. Electronic version 5 pages.

Traverso, Debra K. 1992. "Opening a Credible Dialogue with Your
Community." *The Public Relations Journal.* Vol. 48, No. 8. Start page
32. New York. Electronic form 3 pages.

**General Requirements:**

Complete the modified experiential learning cycle for objectives 20.1--3
and 21.1 at the conclusion of objective 21.1.

Complete the modified experiential learning cycle for objectives 21.2
and 21.3 and the optional discussion of one of Barton's case studies at
the end of the session.

Objective 21.1 Complete objective 20.3 (Apply the crisis communication
planning questions, activities, principles, goals, priorities and
principles, and guidelines discussed in session 20 to a case study --
"Talk about fireworks" (pages 28--29 from Barton)) through small-group
discussion and preparing and delivering a short (three to five minutes)
oral presentation of your group's work.

Requirements:

Collect the individual written assignments.

Review the rules of small-group work as necessary and rotate roles in
the small groups.

Give the groups approximately 25 minutes to discuss the individual group
members' ideas and to develop a group report that applies the crisis
communication questions, activities, principles, goals, priorities, and
guidelines to the case study "Talk about fireworks," from pages 28--29
in Barton.

Have each small group reporter provide a short (three to five minutes)
report of the group's work.

Complete the modified experiential learning cycle for objectives
20.1--3, and 21.1 at the conclusion of the oral reports.

Remarks:

I.  Group work.

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A.  Goal: apply the content of the last session to a case study through
    the discussion of each team member's individual ideas and the
    development and delivery of a small group report.

B.  Rotate group assignments. Group reporters are to deliver a short
    (three to five minutes) report of the group's work.

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II. Complete the modified experiential learning cycle for objectives
    20.1--3, and objective 21.1 at the conclusion of the oral reports.

Supplemental Considerations:

None.

Objective 21.2 State the essential elements of management communication
and explain the importance of each element in a crisis communication
context.

Requirements:

Present the material by means of lecture and discussion as necessary.

Complete the audience/goal analysis, message development, and support
and information requirement exercises presented in Barton's text through
class discussion.

Remarks:

I.  Communication as a strategy.

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A.  Effective communication is necessary to establish, enhance, protect,
    and restore an organization's reputation.

B.  "If there is one key lesson crisis management experts have learned
    over the years, it is that facts alone do not win arguments,
    perceptions do" (emphasis added; Mallozzi p. 1, on-line).

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1.  Consequently, in order to communicate effectively, both in times of
    normal operations and in crises, organizations must adequately
    consider the perceptions of their constituents (internal, external,
    and the media) and structure their communication strategy and
    actions accordingly.

2.  Barton lays out a series of six building blocks (elements) that form
    the basis of an effective communications strategy.

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II. Building blocks of a communication strategy (Barton p. 123--128):

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A.  Audience.

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1.  Identify relevant audiences before a crisis and design crisis
    communication plans specific to those audiences.

2.  Communicating with these audiences is not just a during- and
    post-crisis requirement. Communication in times of routine
    operations is necessary to establish and maintain a positive
    reputation. (Remember principle 6 from the Weber McGinn, Inc.,
    "Twelve Principles of Crisis Leadership": To emerge from a crisis
    with its business base and reputation intact, an organization must
    respond in a manner that is 100% consistent with its image.)

3.  To conduct an audience analysis, Barton recommends a series of
    questions:

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a.  Where are these audiences located?

b.  Can you reach them by calling a meeting of interested parties in
    your company auditorium, or will you use the mass media? Would a
    mailing or telegram suffice?

c.  Would a press conference reach the intended audiences, or would it
    bypass those who have a specific interest in this crisis?

d.  Could you communicate with interested individuals in one day, or
    would a crisis communication program take several days or longer?

e.  Do you have the correct names and addresses of the individuals who
    are vital to implementing this plan?

f.  Can you make any judgements about the demographic composition of
    your audience?

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B.  Goal.

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1.  Effective crisis communication requires a specific goal for each
    audience.

2.  Not only is the goal necessary for shaping the content of the
    communication, it is necessary for evaluating the effectiveness of
    the communication.

3.  Barton recommends a series of questions that can help establish
    goals:

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a.  Do you know what you want to say, or are you merely communicating
    because it seems like the right thing to do? Will your communication
    help bring the crisis closer to closure, or could it complicate the
    problem?

b.  How can you prevent misunderstandings? Should you merely clarify
    existing information?

c.  Is someone spreading misinformation about your organization? How can
    you counter this?

d.  Is your communication goal to calm people, or is it to alert them to
    potential harm? Should you even attempt to soothe the public if
    there is a distinct possibility that further damage, deaths, or
    injuries could still occur?

e.  Do you seek to delay public scrutiny of your organization, or do you
    welcome inspections and tours at this time?

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4.  Lead a class discussion of the audience/goal analysis exercise,
    included on pages 124 and 125 of Barton.

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C.  Message.

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1.  The construction of a message (one-way delivery), which targets a
    specific audience to accomplish a specific goal should include
    consideration of the following:

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a.  Tone.

b.  Content.

c.  Receiver.

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2.  As discussed in the session on risk communication (session 9),
    effective communication (which takes into account the audience's
    concerns and perceptions) generally involves a mutual exchange of
    information (two-way exchange). Therefore, if at all possible,
    crisis communication should not be limited to merely delivering a
    message.

3.  Lead a class discussion of message development included on page 127
    of Barton.

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D.  Source.

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1.  The spokesperson (crisis communicator) should be chosen with the
    target audience and specific goals in mind.

2.  The development of the message and choice of a spokesperson should
    include consideration of the following points:

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a.  Will your message be brief, or does the complexity of the crisis
    require a carefully composed and organized, detailed message?

b.  Should the message be delivered in person or by way of
    teleconference or other channel? What assumptions will people make
    about your organization given the channel you select?

c.  Should the crisis invite further dialogue (two-way exchange) between
    the parties? Should the message have a tone that indicates that the
    crisis has been or is about to be solved, thus discouraging further
    communication?

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3.  Ask the students, Do you agree with the above suggestion that there
    are situations where further communication should be discouraged?

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E.  Support and Information.

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1.  We have discussed information support necessary for the crisis
    management team in session 19.

2.  Lead a class discussion of internal and external support and
    information requirements included on pages 127 and 128 of Barton.

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F.  Feedback.

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1.  As the crisis progresses and eventually winds down and ends, an
    evaluation of the entire crisis response, including crisis
    communication, should be conducted and documented (become part of
    the organizational memory).

2.  Barton recommends a series of questions that should be part of the
    evaluation.

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a.  How did people learn of your problem?

b.  How effective was your response?

c.  Did you convey the correct series of messages?

d.  Whom did you offend, isolate, or fail to reach?

e.  If you were frequently asked to correct mistakes or provide
    amplification, why was this the case?

f.  Which messages were most effective in mitigating the problem? and
    which were least successful?

g.  How can you maintain an on-going dialogue with especially important
    audience members?

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3.  The last question above is particularly important. Before another
    crisis occurs is the time to build equity with relevant audiences
    through two-way communication and demonstrated commitment to safety,
    public concerns, and protection of the environment.

Supplemental Considerations:

The elements of effective communication can be applied to the case study
"These Sodas are Being Manufactured by the Ku Klux Klan," on pages
147--148. (See the supplemental considerations in objective 21.3).

Objective 21.3 Explain the role of the media in crisis communication,
and considerations for effectively dealing with the media and the public
during a crisis.

Requirements:

Present the material by means of lecture and discussion as necessary.

Complete the modified experiential learning cycle for objectives 21.2
and 3 and the discussion of one or both of the case studies (see
supplemental considerations) at the end of the session.

Remarks:

I.  Role of the media.

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A.  "With rare exception, the media are the most important constituency
    in a crisis because they frame it and they judge it. They declare
    guilt or innocence. A single story can exonerate a company or
    inflict permanent damage." (Emphasis added; Taylor p. 1.)

B.  Television.

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1.  Local television news programming has proliferated over the last
    decade, making it more and more likely that even minor crises will
    receive some level of television coverage.

2.  Crisis communicators must be ready with their initial
    comment/statement of the facts as known immediately following the
    crisis event, or run the danger of having the television reporter
    find someone who is willing to tell the story from his/her
    perspective (possibly unfavorable) or even make speculations about
    the situation based on incomplete information and personal opinion.

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C.  Newspapers.

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1.  Newspapers present a special problem since they "are more and more
    becoming analytic organs, spending less time on who, what, when,
    where, and why, and more time on investigative pieces" (emphasis
    added; Taylor p. 3).

2.  As a crisis unfolds, there should be a level of expectation that the
    newspaper coverage will go beyond reporting the breaking facts and
    will "investigate the company history, trying to find footprints
    that shed light on why the crisis happened. They aren't searching
    for evidence that clears you of wrong doing either." (Taylor p. 3.)

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a.  Companies should therefore have a thoroughly researched corporate
    history approved and readily available.

b.  Based upon the risk assessment function and risk management
    strategies, the history should attempt to emphasize the positives
    (based on factual information) to bolster the company's good will
    and to establish control over the communication process (e.g., the
    company has never been cited for environmental infractions, the
    company has spent \$XXX on earthquake mitigation projects, the
    company has an active employee assistance program, etc).

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D.  "There is a generic news coverage formula for corporate crises,
    particularly those involving the environment or damage to other
    parties" (Taylor p. 3) that should be considered in dealing with the
    media -- "Event (i.e., corporate greed, selfishness, and/or
    irresponsibility) + Victim's First-Person Accounts + Third-Party
    Critics = Conclusions" (Taylor p. 3).

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1.  This formula is used time and time again by the media.

2.  Crises are viewed as arising from corporate and individuals'
    deficiencies such as greed, irresponsibility, incompetence,
    disregard for the public, etc.

3.  Those victimized by the "corporation deficiencies" are allowed to
    tell their own personal stories, which provide the human interest
    spin on the coverage.

4.  Outside "experts (including politicians)," who often have little
    knowledge of the actual situation and facts, provide their
    perspective (generally negative towards the corporation).

5.  Taken together, this combination of opinions (possibly preconceived)
    and partial information (possibly biased or slanted to make a better
    story) allows the media to reach conclusions about the situation and
    communicate these conclusions as news.

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E.  What the organization must do to counter this formula and grasp
    control of the situation.

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1.  The starting point is the event. The organization must be ready to
    present the event in a factual manner along with an understanding of
    its history and any information that will help in presenting the
    event in the most appropriate positive manner.

2.  If it is known, the organization should clearly state the extent of
    the crisis, what it is doing to control the crisis, and what it
    plans to do to resolve the crisis.

3.  Proper concern and compassion should be shown to victims. It is not
    necessary and is generally imprudent to admit guilt until the facts
    are known, but it is prudent to express sincere concern and
    compassion for victims who have been injured and/or experienced
    personal losses.

4.  Defenders of the organization, drawn from the field of "experts" and
    credible members of the community, should be identified and made
    available to the media.

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II. Monitoring communications.

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A.  A good crisis communication plan does not necessarily end with
    message delivery and dialogue with the media.

B.  "Good crisis communications plans support a media monitoring
    program, and public relations professionals go to great lengths to
    ensure that what the media reports is correct. However, monitors
    should also audit what is being said to ensure that the public is
    being told the details they need to know." (Emphasis added;
    Traverso p. 2.)

C.  Debra Traveso's 1992 article, "Opening a Credible Dialogue with Your
    Community," provides a short case study of the problems encountered
    by Dow Chemical Company following the derailment of a CSX freight
    train carrying products to their plant near Midland, Michigan.

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1.  Event description: On July 22, 1989, a CSX freight train carrying
    products to Dow Chemical and transporting products from six other
    companies derailed in the community of Freeland, Michigan, near the
    Dow plant. A chemical spill and resulting fire required the
    evacuation of a 25-square-mile area, affecting approximately 1,000
    people. Many of the residents could not return to their houses for
    up to a week.

2.  Dow had done its planning and immediately responded by assisting CSX
    and local authorities in establishing an EOC and media center in
    Freeland.

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a.  The Dow plan had been regularly exercised and revised.

b.  Dow assigned trained personnel to respond to inquiries, compiled
    media phone lists, developed a communication network with the media
    and local authorities, and employed trained spokespersons.

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3.  Even with this planning and preparation, Dow was surprised by the
    affected citizens' reaction to the situation.

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a.  Five days after the derailment, a local citizen forum was
    established and met without inviting the media or Dow and CSX.

b.  The next day, the forum met again, and again excluded the media but
    did invite Dow representatives. At this meeting they expressed their
    frustration that they were not receiving the information they needed
    to know, such as how long the clean-up would last, when they would
    be allowed back into their homes, and what the long-term
    environmental and health impacts would be.

c.  R. Matt Davis, Dow's manager of news and media relations reported,
    "During the meeting they said they weren't blaming us, but they felt
    they weren't getting the complete story from the media" (emphasis
    added; Traverso p. 2).

d.  From the citizens' perspective, the media was continually rehashing
    the incident and was not reporting what was being done. Instead of
    communicating the information citizens needed, the media was
    focusing on how the incident had happened.

e.  According to R. Matt Davis, "I attended the press briefings and that
    information (what was being done and the impact) was being given
    out, but that's not the information that the people outside the
    immediate area wanted to read, so instead, the media reported the
    bigger story, the more dramatic information" (emphasis added;
    Traverso p. 2).

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4.  What Dow learned from this was that "informing and updating the
    media and responding to their needs during an emergency does not
    necessarily equate to informing the public and responding to their
    needs. You can't assume that just because something is said during a
    press briefing or in a press statement that it will reach the
    public. Therefore, organizations should go directly to the public
    with their information." (Emphasis added; Traverso p. 1.)
    Accordingly, Dow applied this lesson learned to its crisis
    management planning by:

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a.  Setting up a media monitoring program.

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(1) Media monitoring goes beyond providing information to the media to
    making sure the public receives what it wants and needs to know.

(2) The total message conveyed by the media is not just the content. It
    also includes emphasis, tone of voice, and timing in relation to
    other news being reported. It is necessary for the company to
    monitor this part of the message also, and to attempt corrective
    measures if the message is being distorted or slanted.

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b.  Setting up a telephone hotline staffed by personnel who can get
    answers to the public's questions.

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(1) Technology makes it possible to have toll-free numbers immediately
    available. Advertise the number by means appropriate to the intended
    audiences.

(2) Properly advertised and implemented, a hotline demonstrates that the
    organization cares about the public's concerns and has nothing to
    hide.

(3) Telephone responders need to be trained and proficient in customer
    relations and appropriate telephone response. They don't have to
    know all the answers but do need to be able to access answers and
    call back the original questioner with the answers.

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c.  Establishing openness and procedures for meeting directly with the
    public.

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(1) As is reported in this case, the public in general may want to
    bypass the media and go directly to the source for their
    information.

(2) Dow went as far as selecting two representatives from the community
    to attend CMT meetings and to staff the EOC.

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d.  Opening a dialogue between the organization and its constituents
    before and in response to a crisis through:

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(1) Establishing community advisory panels. Share plans and ideas with
    the community and be ready to consider and discuss their concerns
    and advice. Include community leaders on emergency notification
    lists.

(2) Conduct teachers' seminars. Educate the public. An ideal starting
    point is through the children.

(3) Conduct public meetings. Establish a time, place, and agenda that
    minimize the possibility of the meeting degenerating into
    adversarial confrontation.

(4) Encourage coffee klatches. Employees are a valuable resource for
    conducting public relations and receiving feedback from the
    community. Encourage them to take and actively pursue this role in
    their neighborhoods and as members of groups they belong to.

(5) Provide tours. After an event, provide a tour of the site to allow
    the public to see what has been done to correct the situation.
    Before a crisis strikes, build good will by allowing the public to
    visit facilities and understand what is going on in their community.

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e.  In summary, R. Matt Davis states, "I would still be in frequent
    contact with the media, but I would set up a community relations
    process with some forum to personally communicate with people in the
    community" (emphasis added; Traverso p. 3).

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III. The assigned reading from Barton, particularly the interview with
     Phil Levy (pages 144--146), provides the balance necessary for a
     discussion of the role of the media in crisis situations.

Supplemental Considerations:

The presentation and discussion of objective 21.3 supplement Barton's
coverage of "Communicating in a Crisis" on pages 128--140. The
instructor may wish to conduct a class discussion of the continuing
Arlington Plastics case study (pages 140--143) using the questions posed
on page 143. Alternatively, or in addition to the Arlington Plastics
discussion, the instructor may wish to lead a class discussion of the
case study "These Sodas Are Being Manufactured by the Ku Klux Klan,"
applying Barton's six elements of effective communication (objective
21.2) and the considerations for dealing with the media and the public
(objective 21.3) to the case. Questions 1 and 4 of the case study can
also form the basis of a class discussion.