Third, it is highly recommended that Globecell offer those customers with replacement phones a year of free service and high discounts on next-generation phones. Service recovery strategies must be focused on creating exceptional value to mitigate brand equity loss and turn around customers' perception of the product or service that originally was part of the crisis (Chen, Myagmarsuren, 2011)
0 And Social Media Communications Channels. Communications across all channels in crisis communications must reverberate with authenticity, transparency and trust to achieve the aims of making service recovery possible and mitigating damage to company reputation (Ferrante, 2010)
0 Effects on the Brand, Customers and Broader Business Environment Too often CEOs and senior management teams attempt to hide, lie or in some way obfuscate or cloud the truth about massive problems or crises in their company. The case of BP and the Gulf Oil spill, their CEO saying it was not his or his company's fault instigated a war with the media that lasts to this day (Hopkins, 2011)
The case of BP and the Gulf Oil spill, their CEO saying it was not his or his company's fault instigated a war with the media that lasts to this day (Hopkins, 2011). Microsoft's attrition of key talent to Google and other start-ups and their threats of suing both the companies recruiting their employees and in some cases the employees themselves is another example of how not to manage a crisis communications plans (Keeffe, Darling, 2008)
What these two best practices do is set the foundation for shared ownership of the crisis with stakeholders by fully informing them of the current and future plans to alleviate factors that caused the crisis to begin with (Stephens, Malone, Bailey, 2005). A third best practice is to define the measures of performance that will be used for evaluating the success or failure of the crisis plan on long-term brand equity (Levick, 2007)
2.0 Selection of Communications Channels The level of skepticism and mistrust globally continues to accelerate, driven in part by companies who refuse to take responsibility for their actions and CEOs who dodge accountability (Showkeir, Showkeir, 2009)
The first step of communicating a risk situation and all its associated factors is from the agency managing director to subordinates in charge of communication practices and risk mitigation. One component of such communication is the need to assemble a risk communication team (Clawson Freeo, 2012)
2). In his essay, "Powerful Crisis Communications Lessons PR Lessons Learned from Hurricane Isabel," one public relations firm (2003) reports that their company developed a crisis communications plan that allowed them to effectively respond to a wide-scale outage on the magnitude caused by Hurricane Isabel: "Our plan for responding to a hurricane like Isabel, which was drafted by my colleague Bill Yingling, was mapped to the operational steps that we take to respond to such a natural disaster -- prepare, assess, restore, and analyze" (Brown, 2003, p
In fact, the terrorist attacks of September 11, 2001 and the series of natural disasters that affected the coastal regions of the United States in the years that followed appear to have been a wake-up call for many enterprises. Indeed, following the terrorist attacks of September 11, 2001, a survey of national public relations professionals determined that many companies area assigning higher priority to updating their crisis communications plans and attempting to identify faster approaches to communicate with all employees during such emergency situations (Duhe, 2005)
2). Crises can assume a number of both manmade and artificial forms, including strikes, terrorisms, fires, boycotts, product tampering, product failures, or a wide range of other, comparable events; the size of the enterprise involved is not relevant to the need for crisis planning and management (Fearn-Banks, 2002)
S. businesses in particular is underscored by three salient factors: The increasing mass media reporting of hazards and their attendant risks; The phenomenal growth in the number of product-liability lawsuits, particularly since 1975; and, The pervasive, enormous impact of business crises on more than the reputations and the financial and social status of businesses (Gonzalez-Herrero & Pratt, 1996)
The convergence of the foregoing factors has created environments in which a number of enterprises have been forced to respond strategically to crises; the communications strategies that have been adopted in response represent a trend wherein companies are perceiving themselves as being more vulnerable to crises today than they were in the past (Gonzalez-Herrero & Pratt, 1996). Unfortunately, in spite of these trends, an enormous number of companies in the United States still do not have any type of crisis communications plan in place today (Samansky, 2002)
However, not responding quickly enough also presents a formidable danger as well. "If a company does not respond rapidly, that weakness will also be spread rapidly and will be dissected again and again" (Pomerenke, 1998)
Select the Proper Channels of Communication "How crisis messages are communicated through various communication channels also influences stakeholders' perceptions of the organization's credibility during times of crisis. Selecting proper channels can resolve problems of ambiguity and consistency of messages as well as protect an organization's reputation" (Vielhaber & Waltman, 2008)
Advance planning, communication training and regular crisis drills are the most important elements of good crisis communication preparation. A noted crisis communication expert notes, "Preparation involves creating the crisis management plan, selecting and training the crisis management team, and conducting exercises to test the crisis management plan and crisis management team" (Coombs, 2007)
Advance planning, communication training and regular crisis drills are the most important elements of good crisis communication preparation. A noted crisis communication expert notes, "Preparation involves creating the crisis management plan, selecting and training the crisis management team, and conducting exercises to test the crisis management plan and crisis management team" (Coombs, 2007)
Another expert notes, "Take immediate action to prevent the situation from growing worse. You will need to mobilize a response team, and you will need to alert authorities" (Jarret, 2007)
The Amazon Web site seemed to suddenly lose all gay or lesbian themed books, and detractors felt it was an Amazon policy that amounted to book banning. By the time Amazon responded by saying it was merely a technical glitch, there was major damage to the company's reputation, created solely by social media (Probst, 2009)
They quickly issued a warning, removed all Tylenol from store shelves across the country, and redesigned the product's seals, leading to new sealing procedures for all medicines in the country. A PR expert notes, "Amid predictions that the Tylenol brand was doomed, the company saw a quick recovery of its 35% market share and in the process fostered an ongoing customer loyalty" (Smith, 2005, p
Today, it is just a matter of seconds for an employee or participant to post an email or a blog on the Internet, and the word spreads from there. Two writers note, "Technology has diminished an organization's control of crisis communication by opening numerous communication channels for others to use to explain their positions and build support" (Vielhaber & Waltman, 2008)