| Corporate communications have evolved over years | | | | high attrition and less productivity. At the same time, |
| and so have their potential and objective. The primary | | | | with timely communication, these same employees |
| goal remains the same - communicating information to | | | | have the potential to become the strength of the |
| their employees, stockholders, media and customers. | | | | organization, by standing by the company and |
| Nowadays it is used as a public relations tool to | | | | spreading positive message among the public. |
| project positive corporate image, to form strong | | | | Equally damaging can be the reaction of stockholders, |
| relationship with stockholders, to inform the public about | | | | due to lack of reassurance through proper |
| new products and achievements and to handle crisis in | | | | communication. They can sell off their stock and if |
| a responsible manner. Communication is getting easier | | | | done in large numbers can affect the future of the |
| day-by-day, with web portals, blogs, emails, RSS feeds, | | | | company. |
| podcasts and podcasts, in addition to old-fashioned | | | | Communication channels must be kept open with |
| company publications and press releases becoming | | | | government to ensure their support to survive the |
| the order of the day. | | | | crisis. Especially in case of economic crisis, |
| In this scenario of so many choices for corporate | | | | government, to pacify the public and media, may |
| communication, choosing the appropriate medium or | | | | impose strict laws curbing the facilities enjoyed by the |
| mediums for the occasion requires a good | | | | organization. |
| understanding of the people and circumstances | | | | Last, but not least is the media. They have the sway |
| involved. This choice is very critical during a crisis | | | | to topple the most powerful. Media can make the |
| situation. Handling a crisis in an organization involves | | | | adage 'Pen is mightier than the sword' come true. |
| elaborate planning and a good team. A team | | | | Keeping them informed about the crisis and disaster |
| comprising of the top executives and the concerned | | | | control, will send a positive signal to the public about the |
| managers is essential for a managing the crisis | | | | company's transparency and adeptness at handling |
| confidently and skillfully. | | | | difficult situations. |
| Any crisis in an organization is difficult to handle - | | | | Anticipating the uproar and acting accordingly, is the |
| economic crisis being the worst. The reason being that | | | | key to managing an economic crisis well. With a |
| financial worries have the ability to leave a mark on all | | | | proper crisis management framework in place, it will be |
| aspects of life of the affected person. Each person | | | | easier for an organization to respond to the media |
| associated with the company will be anxious for | | | | queries in a positive manner and be ready with press |
| information and reassurance. For the senior executives | | | | releases. By doing this, an organization can turn the |
| of the company, this is acid test, as they have to | | | | crisis into an advantage. The public will be impressed |
| control the crisis without panicking, as well as inform | | | | by the way the crisis was handled and this will go a |
| the public, uphold the company image and gain back | | | | long way in overcoming future crises. |
| the lost goodwill. The media will be ready with the usual | | | | Mode of communication is just as important as the |
| barrage of questions - how, when, why did it happen | | | | need for communication itself. To employees and |
| and how is it being resolved. | | | | stockholders, personal methods like face-to-face |
| Lack of information leads to speculation, rumor and | | | | interaction and mails are the best. Instead of the |
| misinformation, which contribute to eroding of company | | | | company spokesperson reading out a statement to |
| image and panic among staff and stockholders. Even | | | | the media, if the CEO of the company addresses |
| media is not far behind giving out false information, in | | | | them explaining the position, it will definitely make a |
| the absence of timely press releases. By the time the | | | | better impression on all concerned. |
| crisis gets over and all concerned get to know the | | | | Most organizations give least importance to |
| details, irreparable damage will be done to the | | | | communication during an economic crisis, with more |
| company image and reputation. | | | | efforts going into managing the crisis. They fail to |
| In the absence of clarification and information from the | | | | appreciate that communication is an integral part of |
| company, employees and stockholders may desert, | | | | crisis management. The reason for this is rooted in the |
| customers may switch loyalty, media will have a field | | | | fact that many companies don't have experts |
| day airing false stories and government may enforce | | | | managing public relations. When there is a gap of |
| stringent rules, making it difficult for the organization. | | | | communication between the top brass and public |
| Sometimes, those who desert the company are wary | | | | relations department of a company, the result is poor |
| of coming back and in future, the public will think twice | | | | show during a crisis. |
| before dealing with the organization. | | | | With the economic slowdown and recession looming |
| During an economic crisis, the most affected are the | | | | large over the corporate world, it is high time |
| employees and stockholders. Employees are | | | | organizations wake up to the importance of |
| concerned about their job safety and their perquisites. | | | | communication and act fast to successfully handle the |
| If not assured on time, it can develop into low morale, | | | | crisis if it strikes them. |