How to Manage a Crisis Before It Hits

No industry or company is safe from crisis. Every company's reputation is potentially vulnerable to accidents, strikes, cyberattacks or data theft. How well a firm's reputation and balance sheet hold up in a crisis will depend on how well the firm communicates with stakeholders and with traditional and online media. The old-style approach to crisis management was reactive: Companies hoped that nothing would go wrong and that, if it did, management would have the competence and know-how to handle the situation. Experience shows, however, that good crisis management requires forecasting and planning. In this article, we look at key issues companies must address in order to safeguard their reputations.