A crisis is always a crisis also within an organisation

When we assess the crisis management capabilities of an organisation, we too often focus only on outwardly visible actions. Was the organisation prepared for the situation or was it caught off guard? Did the organisation get its message across or did the media set the news angle? How well did the CEO fare in the face of a journalist's grilling? Even if the organisation does well in the eyes of external evaluators, such as customers, in all of these areas, the crisis may still fall short in the eyes of an important target group: the employees.  

"If a journalist calls, please direct them to contact the CEO." 

Sound familiar? Research shows that organisations find it challenging to assess what information to share with employees in a crisis situation. A difficult situation is often met with the above phrase, minimal information and the simplest of instructions. The less you open up the situation and share information, the less you need to discuss the issue. This is a lazy and often costly conclusion.  

We take it for granted that crisis management will focus on repairing the damage and restoring public confidence to ensure business continuity. If a company loses a customer due to a reputational crisis, the door may well be closed very soon. When the media is sniffing around, the focus needs to be on crafting clear core messages and practising interview situations. It is therefore understandable that in a crisis situation, the focus is on external communication. When the crisis subsides, the organisation's management will breathe a sigh of relief and, in the best cases, learn lessons for similar situations. Problems only emerge when the organisation tries to get back to business as usual. 

I interviewed people working in different organisations to better understand how crises affect the internal dynamics of organisations. Seven out of ten of the employees I interviewed had experienced a crisis situation that had undermined their trust in their employer organisation. The crises experienced by the employees were all different, but what these situations had in common was that there was almost no interaction between the employees and the management of the organisation dealing with the crisis throughout the crisis. And no, a memo sent in the name of the CEO does not yet meet the definition of interaction.  

So why is crisis interaction, crisis communication, such an important part of crisis management? Firstly, a crisis always tests trust and secondly, trust is built and maintained through interaction. If there is no interaction at all in an organisation during a crisis, trust is undermined. At the same time, it is good to recognise that without interaction, information will not be shared either. When you don't know, you try to invent. In crisis situations this often means speculation and we all know that in an uncertain situation rumours spread like wildfire.  

It is easy for organisations to understand the cost of public trust - or the loss of it - and therefore they are prepared to go to great lengths to maintain it. I dare say that, in the worst case, losing the trust of employees can come at an even higher price. After all, trust is a key element of well-being in the workplace.  

Quite few organisations want to deliberately lose the trust of their employees. The lack of interaction is often due to the fact that it is laborious and it is difficult to know what information would be relevant from the employees' point of view. Organisations should therefore see internal interaction as a key part of crisis management and resolution. Incidentally, the three employees I interviewed who felt that the crisis had strengthened their confidence in the organisation were all more committed to their employer.  

Veera Svahn

The author is a partner at Blic and a crisis communication expert.