Crisis management: Fighting fire with water

Working in the field of PR or marketing, one of the worst case scenarios that we have all heard about is crisis management. Whether the crisis happens as a direct result to the firm or the firm’s client, as a PR and marketing pro, those two words definitely cause cringe.

Wikipedia defines crisis management as “the systematic attempt to avoid organization crises or to manage those crisis events that do occur.” In PR client crises can occur at anytime and handling the them with a successful management plan, can ultimately make or break a company’s reputation.

According to Nick Purdom of PR Week, “the PR industry has an important role to play in helping companies identify and manage risks that could damage their reputation.”

So how do you deal with fire and not get burnt? Fight it with water or don’t fight it at all.

Johnson & Johnson
Probably known as one of the largest company crises within the field of PR, Johnson & Johnson’s Tylenol tampering caused the company a 7 percent reduction in market share in 1982.
After Johnson & Johnson recalled the Tylenol bottles from every store, the PR crisis management team came into full effect. First, they re-introduced the bottles complying with the FDA and were filled with tamper-resistant caplets. They then offered a $2.50 coupon and gave consumers 25% off the purchase of Tylenol. Today, Johnson and Johnson is still one of the largest companies in the world and is known as handling the crisis management situation successfully.

Exxon Valdez Crisis
Unlike Johnson & Johnson, Exxon’s crisis of 1989 fought fire with, well nothing. According to the online interactive media lab at University of Florida, time is key in crisis management. Exxon waited too long to deal with the oil spill crisis causing their reputation and eventually their company by never taking responsibility. The company never communicated with the media or the public, never responded to the crisis and damaged their reputation because no PR crisis campaign was in effect.

After these two renowned crises occurred, it becomes very clear that as a PR practitioner it is best to handle a company crisis quickly and efficiently. Clearly, communicating with the media, giving something back to the public and providing future reassurance, can eventually lead to a successful crisis campaign.