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CRISIS(Seri Management Crisis)Rachmat Kriyantono, Ph.D(Materi ini saya tulis juga di buku PR & Crisis Management, 2012, Prenada Jakarta)
Rach
mat
Kriy
anto
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h.D
-Lec
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Rel
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s, S
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nive
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of B
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WHY IMPORTANT TO STUDY CRISIS....???• Every organization is likely to experience crisis• Crisis generally threat: the reputation & other organization
resources• Crisis is starting point: good reputation or bad reputation• For PR: this is the best challenge and PR can be called “The
truly PR” based on how PR deals with the crisis
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*Specific threats to organisation:
*Operational viability
*Reputation
*Credibility
*Financial stability
*Legal action
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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DEFINITION
Devlin (2007, h.5): “an unstable time for an organization, with a distinct possibility for an undesirable outcome” Borodzics (2005): crisis is more than
emergency situation. Duke & Masland (2002) & Kouzmin (2008): Crisis as situation that causes physical &
nonphysical damages & disrupts organization system & the environment as a whole, especially for the victims.
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Seeger, Sellow & Ulmer (1998), cited in Smudde (2001, h.34):
“a specific, unexpected, and non-routine event or series of events that create high levels of uncertainty and threaten or are perceived to threaten an organization’s high-priority goals”. Burnet (in G. Harrison, 2005, h.7): “composed of a continuum, beginning with an incident, followed by a conflict, and ending with a crisis, the most serious form of disruption”.
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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G. Harrison (2005, h.11) : “a crisis is a critical period following an event that might negatively affect an organization in which decisions have to be made that will affect the bottom line of an organization. It is a time of exploration requiring rapid processing of information and decisive action to attempt to minimize harm to the organization and to make the most of a potentially damaging situation”.
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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CHARACTERISTICS.... Specific event - The cause of crisis can be identified. - Organization can experience more than one
crisis, such as employees demonstration & product tamper.
Unexpected & happen any time- Tends to threat organization life & cause
damage. - As a part of organization process. Unpredictable time / Low probability- Although we acknowledge that crisis may
happen, but nobody knows the exact time when it comes (Coombs, 2007, h.136).
Rach
mat
Kriy
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no, P
h.D
-Lec
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r of P
ublic
Rel
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s, S
choo
l of C
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mun
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on, U
nive
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of B
raw
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, Mal
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Indo
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• Crisis produces information uncertainty.- Rumours spread out at the beginning. - Public relations must actively provide communication channel to
disseminate truth and open information (crisis communication). • Causing panic- As a result of uncertainty situation. - Differential perceptions• High impact on organization activities.- Negative impact: profit decrease, public trust loss, media scrutiny,
public & regulator investigation, unproductive changes. - Positive impact: new hero, new strategy, new regulation, better
changes (it depends on post crisis communication.• Potential for conflicts- External & internal- Pro & contra 8
- The situation materialises unexpectedly- Decisions are required urgently- Time is short- Specific threats are identified- Urgent demands for information are received- There is sense of loss of control- Pressures build over time- Routine business become increasingly difficult- Demands are made to identify someone to blame- Outsiders take an unaccustomed interest- Reputation suffers- Communications are increasingly difficult to
manage
Common features of a crisis:
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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SOURCES OF CRISIS
G. Harrison (2005) & White & Mazur (1995):
a. Internal sources: human, managemen, & technology
b. External: goverment regulation, natural disaster, malevolent.
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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Types of sources• Technological crisis- Technology misconduct during organization activities (Chernobyl, Lumpur Lapindo, Bhopal, Exxon Valdez, Korean rocket).• Confrontation crisis- Bad relations between organization & public. - Crisis happens when the public express its
anger (publik outrage)
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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malevolence- someone/group wants to harm organization: sabotage, terorism. Management crisis- Management fails to do its resposibility: corruption, loss of valas, change of board of directors, take over (aquitition). Natural disaster crisis Product crisis- Product tamper- misproduction
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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CRISIS STAGES
Coombs (2010); Devlin (2007); Smudde (2001):- Pra-krisis (pre-crisis)- Serious situation starts & the organization
begins to aware. - If it is ignored, it will cause the crisis worse.
Example: Union carbide Bhopal. Some staff had anticipated gas leaking without inform management in Bhopal. 2000 people dead.
- Issue management is crucial, as a part of crisis plan.
- Media begins to sniff at something trouble, then investigate it.
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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Krisis (acute crisis) - The situation can’t be managed by
organization so the situation spread out the organization widely.
- This stage = critical stages of the issue life cycle.
- No crisis without public outrage. - Bad example: biscuit poisonous or
employees strike. - Good example: Sukhoi Russia
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication, University of Brawijaya, Malang-Indonesia
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• Pascakrisis (post-crisis)- Crisis has been accummulated- Organization tries to maintain
reputation or lose it. - Recovery stage: detemine success or
failure - Self-Reflexion diri agar situasi yang
sama tidak terulang.
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HAPPY STUDYING
Rachmat Kriyantono, Ph.D
Rachmat Kriyantono, Ph.D -Lecturer of Public Relations, School of Communication,
University of Brawijaya, Malang-Indonesia
Happy StudyingReferences:- Kriyantono, R.
(2012). PR & Crisis Management. Jakarta: Prenada
- Regester & Larkin (2008). Risk & Issue Management. Baca yuuk...