Ch 7: Stakeholders Engagement

The Crisis Communications Team (CCT) must engage the organization’s supporters and other groups the emergency affects in order to resolve crises quickly and maintain its credibility. This chapter will discuss how to create specific key messages and to understand the psychological impact on stakeholders potentially involved:

• Victims and families
• Employees
• Community where event occurred and/or where the organization operates Customers
• Investors
• Government: enforcement, regulators and elected officials

7.2 Benefits of interacting with stakeholders

By speaking and listening to groups and individuals the crisis affects, the organization can increase the likelihood of the following:

• Establish authority and capability to end the crisis
• Disseminate information not appropriate for press coverage (such as sensitive information for victims and families)
• Confirm facts, control rumors
• Ensure public safety (such as directing affected people to take health-related actions)
• Identify the organization with involved/affected individuals
• Acknowledge concerns of those affected
• Better understand the nature of the emergency
• Mitigate further damage
• Continue operations for future service
• Avoid negative outcomes: loss of public/financial support, investigation of poor response
• Develop a call to action: involve the audience in the response effort and allow the public to feel a sense of control. In some cases, establish a toll-free number or announce a website for the public to provide information or share concerns

Psychological aspects of a crisis
Often, crises result in varying and complex psychological phenomena. For example, common experiences among the 5,300 individuals exposed to nerve gas in the 1995 attack on Kasumigaseki Station in the Tokyo subway system included anxiety, fear nightmares, insomnia, depression and fear of subways. These reactions and others often surprised and alarmed the victims. By recognizing and acknowledging a range of emotions, the organization supports victims’ needs for help and for coping resources. The US Centers for Disease Control and Prevention (CDC) have conducted and compiled research on how crisis responders can better communicate – and address their own coping – by understanding these psychological responses Incorporating instructions or messages with an understanding of these conditions can greatly augment a communications strategy and/or be used with accompanying fact sheets.

Oklahoma City bombing
Two years after the Oklahoma City bombing, 16 percent of children and adolescents who lived approximately 100 miles from Oklahoma City reported significant Post-traumatic Stress Disorder

(PTSD) symptoms related to the event. PTSD occurs when the physical and emotional responses to a traumatic event continue to affect people after the danger has passed. This is an important finding because these youths were not directly exposed to the trauma and were not related to victims who had been killed or injured. PTSD symptoms were greater in those with more media exposure and in those with indirect interpersonal exposure, such as having a friend who knew someone who was killed or injured.

Media coverage
The media’s tone, message repetition and choice of imagery may also increase or cause negative emotional responses for the involved parties and even the general viewing audience. In turn, the CCT should distribute its own video/photography of the incident, capturing images of dedication to recovery efforts and any rescue successes. The CCT should also work with the media to cover positive ‘milestone’ events.

Honeymoon period
Although a crisis may involve negative consequences on many levels, positive outcomes are possible, which an organization can use to galvanize support to resolve the crisis. The swift response in the United States and around the world to attacks in New York City Washington, DC and Pennsylvania is one example.

The ‘honeymoon period’ following an emergency may include stakeholder support, such as:

• Resilience and coping
• Altruism
• Relief and elation at surviving the disaster
• Sense of excitement and greater self-worth
• Changes in the way the future is viewed
• Feelings of strength and growth from the experience

If applicable, see section 7.12 Understanding the psychological effects of a crisis for further research from the CDC on the mental and emotional impact of emergencies.

7.3 Stakeholder groups

While different groups may have varying connections to a crisis and/or the organization(s) involved, some groups have similar information needs. For emergencies involving public safety issues, see the figure 7.1 for a diagram on the relationships among the parties involved.

Figure 7.1 Audience Relationships

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7.4 Key messages

Key messages to stakeholders must be consistent with messages delivered to the media for the general public Stakeholder messages, however, may include extra information or instructions, such as a need for employees to provide additional assistance or change work routines. In all cases, the organization’s message must express:

• Dedication to resolving or mitigating the crisis
• Commitment to quick action
• Intent to inform stakeholders
• Provision of resources that provide healing, comfort and empowerment

7.5 Information to victims and families

The first priority of an organization responding to an emergency should be to provide notification to family members and coordinate family briefings prior to releasing victims’ names to the public. Family members should then be given time to notify other family members and friends, prior to public release of the victims’ names. Organizations do not want to increase the pain the event may cause to these people by having them learn of important event details through the media – particularly the identification of victims of details of how victims were killed or injured.

Consider the following provisions the US National Transportation Safety Board has established to protect families of airplane-accident victims:

• Hotel: to ensure privacy, designate a single hotel for victims and families, separated from any establishment the organization uses for its Crisis Center. Issue identification cards for family members. (Reporters have occasionally misrepresented themselves as family members to obtain access and interview family members.)
• Security guards: if necessary, provide staff to prohibit the media from unauthorized entry into the families’ hotel
• Information phone lines: provide family members with a private, toll-free number that gives information on victim identification, recovery efforts and healing/coping assistance
• General assistance: provide information on response and recovery efforts by local authorities such as points of contact for criminal investigations hospitals and the medical examiner
• Memorial services: hold them near the incident scene and allow family members to visit. (A media pool may be established to provide coverage.)
• Briefing with involved organizations: conduct a briefing for representatives of other organizations to describe and/or coordinate the assistance provided to the families.

Because a Communications officer is the liaison between the press and the organization for interviews and press conferences, he or she can make arrangements when a victim or family member wants to speak with media. Work with the press to obtain as many interview details as possible. See section 8.6.3 Interview guidelines for interview Do’s and do Not’s and additional guidance.

7.6 Employee communications

During crises, employee communications are just as important as communications to external stakeholders Timely and direct communication with employees is crucial

for a number of reasons:

• Employees will inevitably be concerned about their organization, families and community. As a rule, they would much rather hear any important news from their employer than from the press.
• Inviting outside experts, such as officials from emergency response or research specialists, to explain risks or give instructions to employees will establish the organization’s ability to mitigate related problems
• Ultimately, employees are messengers for an organization. If they have the right information, they can play a role in shaping perceptions throughout the community. In acting as ‘ambassadors’ for the organization in the larger community, employees may express the positive feelings associated with the honeymoon’ period following a crisis.

7.6.1 Employee communications vehicles

There are several options to communicate with employees about a crisis situation.

• Employee meetings: face-to-face or small group meetings are often the best way to communicate in a crisis situation, especially since they provide two- way communication
• Email: while email is perhaps the quickest way to disseminate news, it is important to ensure that everyone the organization needs to reach has access to the system and regularly reads his or her email. Keep in mind that because email is easily forwarded and internal communications are likely to become public quickly.
• Bulletin board/intranet announcements: in organizations where employees are accustomed to reading bulletin boards or checking an intranet site for announcements, both venues can provide an effective way to disseminate information quickly
• Teleconferences: this method enables a large number of employees to hear directly from a senior executive; it is particularly useful in the case of a large, geographically diverse employee base
• Letters and memos: this is a useful vehicle especially if there are additional materials, such as frequently asked questions, that the organization wants to distribute to employees. One way to draw special attention to urgent news is to print the letter on colored paper.
• Phone line: free to call number that provides a ‘human voice’ serves as another way for employees to speak with someone directly if they have questions or concerns. These telephone numbers can be included in letters sent to employees.
• Video and slide presentations: both tools offer another way to provide additional information to employees as well as to reinforce messages previously communicated in a meeting. However, since it takes time to develop these presentations, they are generally most useful as post-incident communications or in continuing situations.

7.7 Community communications

An organization can communicate with its community indirectly through the community’s neighborhood associations, elected leadership, local media and an organization’s own employees, who often live in an employer’s community. However, it is sometimes advisable, depending on the nature and severity of the crisis situation, for an organization to communicate directly and proactively with the community itself. Some methods include:

• Placing advertising, such as an open letter to the community, in the local newspaper
• Identifying and reaching out to the informal opinion leaders of the community, such as business education and/or religious leaders
• Mailing an open letter to the community
• Holding a town meeting or open house
• Creating a crisis response page on the organization’s website with background, response coping and contact information

7.8 Investment community communications

In crisis situations affecting public companies, it may be necessary to communicate directly with the investment community. Such proactive communications are required if an event, or the implications of an event, are deemed to have a potential impact on the company. In addition, some situations not legally ‘material to the company may require proactive communications in order to mitigate potential concerns Proactive techniques include: distributing public statements/releases to the investment community and the media, holding one-on-one phone calls and hosting an open conference call for the investment community In the case of a public company, care must be given to ensure the company adheres to financial regulations such as those of the US Securities and Exchange Commission, and does not selectively disclose material information.

There may be some cases where proactive outreach to the investment community is unnecessary. However, in all situations, the company’s investor relations professionals and/or senior management should be prepared to respond to inquiries.

Credibility restored
Based on strong sales and growth prospects, the children’s apparel company, The Children’s Place conducted its initial public offering in September 1997 at US$14 per share. The unpredictable warm weather and some merchandising missteps caused an unexpected drop in sales and a stock price fall to US$4. Analysts abandoned the stock and a group of investors claimed the sales prospects were misleading. Company research revealed the weak sales season was isolated Al|so, its unique merchandising strategy and a strong brand image validated its growth plans

To restore its credibility, the company engaged existing and potential investors, analysts and the financial and industry media. By conducting and following-up on meetings with investors and store tours with analysts the company improved its financial image. Following two consecutive earnings periods of excellent sales/ earnings growth, it marked its revival with a ‘Back to School* analyst/financial media fashion presentation during autumn 1998. Building relationships with retail reporters resulted in coverage of their sales success and attracted financial media, analysts and portfolio managers to this event. The company was able to showcase its solid merchandising and sales trends strong brand appeal and its price-to-value fashions Consequently the stock appreciated to US$30 per share.

7.9 Customer communications

While customers may learn of an organization’s Crisis through media coverage or other means, the organization should also plan for direct communications to customers.

A few vehicles include:

• Direct telephone calls: in severe situations it may be appropriate to place calls to major customers
• Direct mail/email: direct mail, in the form of email, faxed or posted letters and so on can reach a broader group of customers
• Specialist call center: vendors can provide call banks with operators who can handle a heavy call load and provide live or recorded information to customers. An organization can also set up a toll- free number for customer assistance

7.10 Government communications Regulatory/Law Enforcement

Most often, crises will result in the involvement of investigative, enforcement and/or regulatory authorities. Frequently the authorities involved will direct how communications about the actual incident and/or investigation are handled, especially when public safety issues or investigations in involved. The organization should:

• Comply with the authorities’ requests/instructions
• Be sensitive to the authorities’ concerns
• Ensure that Joint Information Center (JIC) with authorities serves the general public interest rather than the organization’s private interests
• Communicate the organization’s own key messages about its actions, efforts and priorities using forum separate from the JIC

Oil tanker spill
The US Coast Guard (USCG) needed to spend a great deal of time discussing who was in charge of the JIC at a major oil spill because a private company attempted to use the JIC credibility to put out inaccurate information favorable to the company. The representative from the oil company attempted to change the information the JIC was going to release to indicate that the source of the thousands of gallons of spilled oil was not yet determined. The USCG confirmed immediately that the 20-foot hole in their oil tanker was the source. The oil company’s behavior thus threatened the accuracy of the information to the public, its credibility for possible investigations and further dealings with the authorities.

Elected officials

In many crises communications with federal, state or local government elected officials are critical. Keeping elected officials briefed on the situation can help minimize public criticism and acquire additional resources. Public officials generally garner significant press attention in crisis situations and can help communicate an organization’s message with the added credibility their office provides.

Guidelines in communicating with elected officials include:

• Provide timely responses to all government inquiries. Track correspondence to establish who handled the query and the turnaround time
• Communicate the organization’s complete cooperation with the authorities/investigating agencies
• When possible and appropriate, refer to the organization’s track record of responsible behavior in all operations Avoid any activity with elected officials that may seem inappropriate. A political scandal will cause significant damage to the organization and the official in question

Overall, organizations need to engage al involved groups during a crisis and not just the ones seemingly most important. The following case study is an example of how to engage all involved groups.

7.11 Managing volunteer and charitable offers

Often the CCT will be entrusted with facilitating incoming volunteer and charitable assistance during and after a crisis.

• Designate person(s) to manage the operation
• Designate a sector or staging area for incoming volunteer and charitable offers
• Follow up with letters of appreciation

Volunteer or charitable offers can significantly help – but also divert – CCT attention away from executing the crisis communication plan. If the organization has a relationship with other entities accustomed or familiar with handling this type of situation, such as the Red Cross or local charitable organizations, request they manage the volunteer and charitable offers.

7.12 Understanding the psychological effects of a crisis

If the incident involves a severe impact on the organization, community and/or stakeholders; it is important to understand the psychological impact on all of those audiences when creating messages with empathy and understanding. It is also important to understand that even the media coverage can have a long-term physical and emotional impact on those affected groups and the public. This reinforces the need for media ground rules to protect the well-being of victims witnesses and others the media might want to interview.

7.12.1 Emotional Responses

Emotional responses to traumatic incidents include but are not limited to the areas in the following chart. Some of these reactions can unnecessarily tax the response and CCT efforts to engage with stakeholders.