CRISIS MANAGEMENT

CRISIS MANAGEMENT M. VenkateshSaravana Kumar Assistant Professor Department of Commerce CA St. Joseph’s College (Autonomous), Tiruchirappalli

M.VENKATESH SARAVANAKUMAR • ASST.PROF, • DEPT OF COMMERCE COMPUTER APPLICATIONS • ST.JOSEPH’SCOLLEGE

A crisis occurs when a person is confronted with a critical incident or stressful event that is perceived as overwhelming despite the use of traditional problem-solving and coping strategies.

Critical Incidents That May Precipitate a Crisis • Developmental (i.e., life-transition events): Birth of child, graduation from college, midlife career change, retirement • Existential (i.e., inner conflicts and anxieties related to purpose, responsibility, independence, freedom, or commitment): • Environmental(i.e., natural or man-made disasters): Tornado, earthquake, floods, hurricanes, forest or grass fires • Medical (i.e., a newly diagnosed medical condition or an exacerbation of a current medical problem):Multiple sclerosis, human immunodeficiency virus infection, infertility, myocardial infarction, cancer, medical problems that result in partial or total disability • Psychiatric (i.e., actual syndromes and those that affect coping):Depression or suicidal thoughts, events precipitating acute or post-traumatic stress disorder • Situational (i.e., uncommon, situation-specific events): Loss of job, motor-vehicle collision, divorce, rape

PSYCHOLOGIAL ISSUES • LEARNING TO KEEP CALM • PREVENTING INTERUPPTIONS • CONTROLLING CRISIS • IMPORTANCE OF GOOD COMMUNICATION • TAKING ADVANTAGES OF CRISIS • PUSHING NEW IDEAS • EMPOWERMENT

Principles of Crisis Management • STEP 1. Provide reassurance and develop rapport through validation of the problem and use of active listening skills. • STEP 2. Evaluate the severity of the crisis and assess the patient’s mental, psychiatric, suicidal or homicidal, and medical statuses. • STEP 3. Ensure the safety of the patient and others through voluntary hospitalization, involuntary commitment, securing close monitoring by family and friends, or helping to remove the patient from a dangerous situation. • STEP 4. Stabilize the patient’s emotional status, explore options for dealing with the crisis, develop a specific action plan, and obtain commitment from the patient to follow through. • Counteract the patient’s use of inappropriate coping mechanisms such as denial, withdrawal, and reliance on harmful behaviors and substances. • Help the patient focus on his or her strengths and how these and other coping mechanisms were used successfully in the past. • STEP 5. Follow up with the patient to provide ongoing support and to reinforce appropriate action.

PSYCHOLOGIAL ISSUES • crises in the workplace (e.g. industrial accidents, natural disasters, acts of terrorism, or the traumatic death of an employee), corporate officers and managers are confronted with a staggering array of issues, many of which require an instantaneous or almost instantaneous response.

At the same time, these managers are themselves under severe stress originating from at least three sources: • ( 1 ) the nature of the crisis and their action or inaction during the event, which can result in shock, confusion, guilt, denial and anger; • (2) their lack of experience in dealing with such events, leading to feelings of uncertainty about appropriate responses; and • (3) the expectation placed upon them by the various stakeholders (employees, vendors, clients, shareholders and the wider community)

While a great many life experiences can cause stress and stress-related reactions in people traumatic event is both qualitatively and quantitatively different from the reactions that people commonly experience.

Regardless of the location of the traumatizing event, the majority of traumatized persons recover. However, the degree of their recovery depends on the interaction of several factors:

the nature of the event itself and a person’s action or lack of action during it; • the cumulative effect of any previous trauma; • other current life stressors, such as illness, divorce or financial problems; • person’s personality traits; - the actions and statements of others during and after the event.

LEARNING TO KEEP CALM • Slow down. If possible, don't react immediately. ... • Stay positive. When stressful situations occur, your mind may go in a thousand directions and some of your thoughts may be negative. ... • Never ask “what if?” ... • Take care of your body. ... • Limit caffeine. ... • Call a trusted friend or mentor. ... • Disconnect. ... • Develop a coping strategy.

PREVENTING INTERUPPTIONS • Turn Off the Notifications • Close your Email Inbox • Say No When Necessary • Turn On the Music • Avoid the Gossip • Physically Isolate Yourself • Block Your Calendar

CONTROLLING CRISIS

IMPORTANCE OF GOOD COMMUNICATION

Verbal communication • Witten communication • Oral communication • Non-verbal communication • Visual communication

BARRIERS IN COMMUNICATION • Poor listening • Emotional barrier • Cultural barrier • Interruptions • Gender • Physical barrier • Language barrier

TAKING ADVANTAGE OF CRISIS MANAGEMENT • You can capture the spirit and energy of a crisis and use it not only to achieve the immediate goal, but also to build new patterns of achievement over time. • If you and your team have recently experienced a surge of performance due to a crisis, special deadline, or extraordinary challenge, consider taking the following steps:

Organize a post-crisis learning clinic. Include the key people w ho were involved — from your team, other parts of your organization, and even outside parties. • Take stock of what you learned: What was done differently? What new patterns or innovations were sparked by the crisis? And most importantly, what new ways of working — individually or collectively — should be continued?

Identify a critical initiative that you want to accelerate. • Carve out a stretch goal that will demonstrate progress in 100 days or less — and then consciously apply one or more of the new patterns to it. • Use the next 100 days as a real-time experiment to build the new innovations into your team’s muscle memory, while also generating additional learning from the 100-day challenge.

EMPOWERMENT • A management practice of sharing information, rewards, and power with employees so that they can take initiative and make decisions to solve problems and improve service and performance. • Empowerment is based on the idea that giving employees skills, resources, authority, opportunity, motivation, as well holding them responsible and accountable for outcomes of their actions, will contribute to their competence and satisfaction.

CRISIS MANAGEMENT