Crisis Communication and Management: Lessons from Some Recent Crises/ Disasters

Crisis Communication and Management: Lessons from Some Recent Crises/ Disasters Dr Goh Moh Heng President 1 BCM Institute We are a global convergence of thought leadership in Business Continuity, Disaster Recovery and Crisis Management Global Professional Development and Qualification developed by Technical Experts and Thought Leaders Largest Continuity Training and Certification Organization in Asia Pacific Governed by Education, Examination and Certification Committees Delivered by Industry Practitioners, Professionals and Peers Learned by Professionals, Practitioners, Consultants, Auditors, Officials from all industry sectors of over 850 Organisations and Multi National Corporations (MNC) across 40 countries Education Conducting and administering courses and exams. 2 www.bcm institute.org Certification & Professional Development Providing a career path and a common body of knowledge for business continuity and disaster recovery professionals Thought Leadership Organizing conferences and seminar events. Publishing technical and research papers Copyright 2015 @ Dr Goh Moh Heng BCM Institute 1

Dr Goh Moh Heng 3 www.bcm institute.org President Business Continuity Management (BCM) Institute www.bcm institute.org Managing Director GMH Continuity Architects Asia Pacific BCM Consulting Firm www.gmhasia.com Professional BCM Appointments Technical Advisor for TR19:2005 & SS540:2008 BCM Standard (Management Council and Technical Committee) www.ss540.org Project Director, Technical Working Group for SS507:2004 ISO/IEC 24762 Guidelines for BC DR Services http://www.bcmpedia.org/wiki/dr_goh_moh_heng Dr Goh Moh Heng Prior Appointments Government of Singapore Investment Corporation (GIC) Standard Chartered Bank Global Head for BCM PricewaterhouseCoopers Senior Technical Advisor, China Business Continuity Management Forum Expert panel of the Asia Pacific Economic Cooperation (APEC) Network on Improving SME Disaster Resilience Awarded the "Business Continuity Lifetime Achievement Award" in London, United Kingdom by the Continuity, Insurance and Risk (CIR) Magazine Published Books: 7 book BCM Series 7 book BCM Specialist Series 4 www.bcm institute.org http://www.bcmpedia.org/wiki/dr_goh_moh_heng Copyright 2015 @ Dr Goh Moh Heng BCM Institute 2

Disclaimers The content and discussion of this presentation are purely for learning purpose. The content presented if quoted should be within the context of crisis communication and management. 5 Agenda Crisis Communication and Management: What is crisis communication embodies with an organization? Definitions and types of crisis Case Studies Key learnings 6 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 3

Crisis Management Crisis Management or CM is the overall coordination of an organization's response to a crisis, in an effective, timely manner, with the goal of avoiding or minimizing damage to the organization's profitability, reputation, or ability to operate http://www.bcmpedia.org/wiki/crisis_management 7 Crisis Communication is the gathering, coordination and timely dissemination of crisis related information and opinion to interested parties to protect and defend an organization in facing a public challenge to its reputation. http://www.bcmpedia.org/wiki/crisis_communication 8 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 4

Types of Crisis Natural Technological Confrontation Malevolence Organizational Misdeeds Skewed Management Values Deception Management Misconduct Due to Workplace Violence Due to Rumours Lack of Fund Due to Natural Factors Have your organization openly identified the type of crisis that could happen? 9 Business Continuity Management Do you have a holistic framework to handle crises and disasters? 10 Crisis Commmunication Plan Copyright 2015 @ Dr Goh Moh Heng BCM Institute 5

Case Study: Volkswagen VW confessed that 11 million vehicles worldwide are equipped with software used to cheat the EPA 11 Martin Winterkorn, the ex chief executive of Volkswagen, set to to resign from his remaining roles with the stricken car giant 12 Oct 2015 Photo: AP/Richard Drew Source: http://www.telegraph.co.uk/finance/newsbysector/industry/11926341/volkswagens former boss Martin Winterkorn tosever links with the crisis hit auto maker.html 12 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 6

Germany is not Volkswagen, but the wake up call should not be ignored Impact to National Brand October 13th, 2015 http://www.economonitor.com/thoughtsacrossatlantic/2015/10/13/ger many is not volkswagen/ Will your crisis be a national agenda? 13 VW Effect on all partners Effect on all suppliers Source: Bloomberg http://www.bloomberg.com/ne ws/articles/2015 10 04/volkswagen chief warns ofexistential threat of cheatingscandal How does it affects your stakeholders? 14 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 7

Approval for affected Volkswagen diesel vehicle models suspended: NEA Singapore's National Environment Agency says no new registrations will be allowed until Volkswagen has completed rectification of all affected vehicles. POSTED: 12 Oct 2015 15:30 Updated: 12 Oct 2015 23:33 Are you prepared and ready for the long run? 15 Case Study: MH370 16 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 8

First Press Conference for MH370 Malaysian Prime Minister Najib Razak (C) delivers a statement on the missing Malaysia Airlines flight MH370 during a press Source: conference ChannelNewsAsia in Kuala Lumpur. Mr Najib says new satellite analysis of MH370's path placed its last position in the southern Indian Ocean. (AFP PHOTO/MOHD RASFAN) http://www.channelnewsasia.com/news/specialreports/mh370/photos/mh370 najib press/1047128.html 17 Subsequent Press Conferences for MH370 Source: www.wazariwazir.com Department of Civil Aviation s Director General Azharuddin Abdul Rahman and on the right is Malaysia Airlines Chief Executive Officer Ahmad Jauhari Yahya. March 13 2014. Source: The Associated Press March 16, 2014 Who is your spokesperson? 18 Source: News.com.au April 07, 2014 Copyright 2015 @ Dr Goh Moh Heng BCM Institute 9

BP set to pay largest environmental fine in US history for Gulf oil spill $18.7 Billion Source: www.nydailynews.com Source: www.cbc.ca Do you notice any similarity from MH370 spokesperson? 19 Source: www.pennlive.com Conclusion Do you have a holistic views of all crises? Deposit insurance response (Why you exist?) Organisational response Do you have your plans and procedures ready? Are the respective crisis response teams ready? Are they trained? and exercised? 20 Learn the mistakes of others and do not let others learn from your mistakes. Copyright 2015 @ Dr Goh Moh Heng BCM Institute 10