Customize Your Crisis Plan with Risk Scenarios

Because organizations face very different kinds of vulnerabilities, you need scenario-based crisis plans centering on real risks with a high potential to occur and large consequences when they do occur.

A fast food restaurant, an industrial helicopter company and a nonprofit child welfare agency don’t share the same vulnerabilities, so why should they have the same crisis plan? They need unique crisis plans built around risk scenarios each might actually face.

A fast food restaurant should prepare for a food safety crisis response, not one involving a helicopter crash or child abuse. That sounds obvious, but in practice many organizations settle for a crisis plan based on a template they plucked up somewhere online. Scenario-based crisis plans may or may not look like the crisis plan templates you can find online. This is a case where function is more important than form.

There are common elements in crisis plans, such as up-to-date phone lists, a designated crisis team leader and protocols on how to field press calls. While not unimportant, those are not the defining characteristics of a savvy, effective crisis response.

Here are some of critical characteristics of scenario-based crisis plans that you won’t get from a template:

Conduct an Issue Audit

A scenario-based crisis plan begins with an issue audit where key staff members and stakeholders meet to identify the spectrum of vulnerabilities facing their organization. Candor is critical so you don’t leave off a sensitive issue everyone would prefer  to ignore. The issue audit should cover the waterfront of potential operational, financial, legal, competitive and reputational risks.

Assess Probability and Potential Consequence of Risks

After a range of risks have been identified, they need to be assessed to determine how likely each is to occur and, if it does occur, how seriously it could hurt the organization. This is what risk managers and insurers do, but many organizations don’t have anyone to manage risk or the wherewithal to insure against risk. The key deliverable from a risk assessment is to create a hierarchy of risks in which those with the highest likelihood to occur and the largest potential impact are put on top.

Measure Your Perception Gap

Conducting perception gap research is essential to understand reputational risks. You may think your reputation is spiffy, but stakeholders or customers may disagree. Knowing there is a perception gap and why that gap exists is valuable information that can inform crisis scenario planning and an actual crisis response. The cost of perception gap analysis can be spread because its findings are also worthwhile for organizational branding, management decision-making and employee training and recruitment.

Determine What Risks You Can Control

An often overlooked aspect of crisis preparation is crisis avoidance. Look at your list of potential risks and assess which ones have factors that you can control. Are there ways you can improve safety in your operation? Can you install more reliable safeguards for your processes? Is there a way to diversify your revenue stream? How can you differentiate yourself from competitors in a way that will build goodwill with customers? The answers to questions like these about your list of vulnerabilities should generate a management action plan that at once increases organizational viability and lessens or eliminates a potential crippling organizational vulnerability.

Write a Crisis Plan Based on Highest Risk Scenarios

Craft crisis scenarios that are likely to occur, could wreak the most damage and over which you have little control. You should add scenarios that you could eliminate or mediate, but haven’t. Each crisis scenario should anticipate how and by whom it might be triggered, which can a valuable guide on where to look for the cause of a crisis and what steps to take to address it.

Get Specific in Crisis-Scenario Responses

Because you have identified high-likelihood, high-impact risks, it makes sense to be as specific as possible on how to respond. Where will you go to get the facts and how will you vet them? Who needs to be alerted about the crisis? What resources will you call on to assist with your crisis response? How will you organize internally to address the crisis? Who will be your spokesperson? What process will you use to ensure timely, accurate and trust-building crisis updates? Is there useful background information you can prepare in advance to release to the public when a Crisis scenario occurs?

Include Crisis Plan Checklist

Don’t forget to add basics such as internal and external contact information, designating a crisis team leader and media training for spokespersons and key fact-finders. Fact-finders may not be the persons you want in front of reporters and TV cameras, but they will understand their role better if they have experienced the pressure of responding on deadline to harsh questioning.

Evaluate Whether Your Crisis Plan Aligns with Your Values

A crisis will only become an opportunity if an organization’s response aligns faithfully to its professed values. The most memorable crisis responses are ones that closely correspond to an organization’s values. Are the actions outlined in step with those values? Will you do everything expected based on your values? Can you point to specific responses that demonstrate your commitment to your values?

Run a Crisis Plan Fire Drill

A crisis plan isn’t an abstract manual; it is a realistic how-to-guide. Your organization won’t be fully prepared until you test your crisis plan, find out our kinks exist and iron them out. The best way to do that is to conduct an organizational fire drill involving a high-risk, high-impact scenario.

Keep the Crisis Plan Fresh

Crisis plans don’t have unlimited shelf life. Build in a timeline to review the plan, asking questions about newly emerging crisis scenarios and whether your media-training spokespersons are still available. Make sure to update contact lists regularly. Think continuously about ways to prepare background information in advance that can be stored on a ghost website for when you need it. Visual explanations and videos take time to produce, so don’t wait until a crisis strikes to get into the director’s chair.

Follow these steps and you will be as ready as possible for a crisis that could affect your organization. A disciplined crisis planning process is beneficial even if a crisis scenario occurs out of the blue. Your organization will have developed the mentality and muscle tone to respond as a unit with speed, accuracy and commitment.