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Take
Steps Now to Preserve Your Company's Valuable Reputation
We
are familiar with a company that in the past 120 days
declared bankruptcy and had its license revoked - all in
the public eye and without having a crisis communications
plan in place.
The
company provided a high value consumer service in a
regulated market segment. For the past several months it
received several "non-compliance" notices which
sparked an interview with the local newspaper. During it,
the co-owner exploded with juicy sound-bites galore and
the reporter walked away with a story that landed on page
one.
The
article marked the beginning of an exodus of customers as
well as a decrease in new customers. Additionally, its
"non-compliance" hearing date was set and its
customers were notified of the hearing. The few remaining
customers began putting fall-back plans into place.
Basic
accounting could quickly tally up the hard costs of this
situation as well as forecast the company's income for the
immediate future. Beyond that?
A
well-thought-out, forward-looking crisis communications
plan would have provided the company with a detailed
roadmap including recommendations for customer retention
and outreach, as well as comprehensive media, industry and
government relations strategies.
We
aren't suggesting that a crisis communications plan would
have prevented the bankruptcy and/or the loss of the
business license. But a well-executed plan would have
let the company exit with its reputation in better shape
than it's in today, and its management and staff
positioned to move forward with a slate cleaner than it
will be for the forseeable future.
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