Dealing with a digital crisis

Dealing with a digital crisis European Chamber of Commerce, Taipei November 03, 2010 Burson-Marsteller l Asia-Pacific l Evidence-Based Communications What we’re going to cover today  What’s driving issues and crisis today  Crisis communications approach and framework  How to manage issues before they escalate  How to respond during a crisis  Recovering from a crisis Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Companies feel vulnerable Q: Which, if any, of the below are reasons why you feel it is more difficult to plan for a crisis today? (Among those who feel it is more difficult to plan) Source: Digital Crisis Preparation Study – Burson-Marsteller/Penn Schoen Berland, August 2011 Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Digital seen as an ever bigger threat Q: How likely you think it is that your company will experience any of the following potential crisis in the next 6-12 months? (Top Very + Somewhat likely to experience this type of crisis) Global Controversial company developments 50% Online or digital security failure 47% Logistic difficulties 47% Intense regulatory scrutiny of your product or company 45% Critical or negative new media campaigns 43% Danger to product safety 42% Technical accidents 40% Intense political scrutiny of your product or company 40% Criminal actions 33% Source: Digital Crisis Preparation Study – Burson-Marsteller/Penn Schoen Berland, August 2011 Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Product safety the top concern in Asia Q29-37: How likely you think it is that your company will experience each of the following in the next 6-12 months? (Top Very + Somewhat likely to experience this type of crisis) Burson-Marsteller l Asia-Pacific l Evidence-Based Communications US EU APAC LATAM GLOBAL US EU 54% LATAM APAC GLOBAL 53% Issues & crisis triggers Product quality Health & safety Lay-offs/closures Data loss Supply chain management Whistleblowers Environment Human rights Equal employment Customer service Disgruntled employees Nationalism Greenwashing Monopolisation Marketing Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Supply chain management Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Customer service Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Whistleblowers Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Disgruntled employees Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #1 Listen continuously Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #2 Move fast • 10.38am: A consumer went to Drugstore X to purchase nutritional product and was told they had been recalled and they had no stock at the moment • 11.46am: Rumor up in online that a hero nutritional products had just been recalled in a leading drugstore (Drugstore X) in Hong Kong • 12.56pm: Apple Daily caught the rumor online and called ABC company to clarify • 1.15pm: Internal assessment and confirmed there was no such recall It was just a rumour • 1.30pm: Confirmed with Drugstore X that it was misunderstanding among the Drugstore staff • 1.50pm: Take immediate action to liaise with the website with a clarification note posting online to cease the rumor spreading • 2.15pm: Alert immediately the retail chains and aligned them with the agreed media messages • 2.30pm: Prepare Customer Relations Representatives (hotlines) with agreed key messages that align with media statement • 3.00pm: Negotiate with retail outlets on stock availability • 3.30-4.30pm: Reply to in-coming media enquiries online and in print Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #3 Be accurate Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #4 Be patient Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #5 Be transparent Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #6 Be consistent Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #7 Be responsive Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #8 Be human Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #9 Be sincere Burson-Marsteller l Asia-Pacific l Evidence-Based Communications #10 Don’t be heavy-handed Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Crisis framework Prepare Recover Respond Reassure Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Make people feel involved Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Beware the long-tail Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Thank you Charlie Pownall Managing Director (Asia-Pacific) - Digital charles.pownall@bm.com @cpownall Burson-Marsteller l Asia-Pacific l Evidence-Based Communications ... Evidence-Based Communications US EU APAC LATAM GLOBAL US EU 54% LATAM APAC GLOBAL 53% Issues & crisis triggers Product quality Health & safety Lay-offs/closures Data loss Supply chain management Whistleblowers... Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Beware the long-tail Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Thank you Charlie Pownall Managing Director (Asia-Pacific)... l Asia-Pacific l Evidence-Based Communications Crisis framework Prepare Recover Respond Reassure Burson-Marsteller l Asia-Pacific l Evidence-Based Communications Crisis preparedness – social