Effective Crisis Communication for Employees

When things get tough, whether it’s a big change in who’s in charge, a pandemic, or natural disasters, companies and everyone involved often find themselves in the spotlight. The public is looking for statements or even actions in response. The company’s stance can either attract or repel old and new customers, investors, and employees, and either strengthen or undermine established corporate values.

To get the best result, it’s important to think carefully about who should make a public statement, when, and how. It’s tough to come up with a position that’ll satisfy most stakeholders without contradicting the company’s values. But silence as a tactic has long been out of date.

In this article, we’ll look at how to create the most effective crisis communication strategy.

• What is crisis communication?
• Why is effective communication important for crisis management?
• Crisis communications: The two main types
• Crisis communication strategies
• Why is crisis communication important?
• Crisis communications: Best practices
• Employee satisfaction could make or break employee commitment to your business

What is crisis communication?

Crisis communication is all about the strategies, protocols, techniques, and systems companies use to deal with threats to their integrity. It means gathering, processing, and sharing the information you need to solve the problem. The people who need to know about this information can be pretty diverse: company employees, media folks, clients, shareholders, and investors.

A crisis can happen within the company or be caused by something outside. The leader’s job is to be ready for anything and make sure that everyone’s in the loop.

Internal communication within the company is all about keeping the team together and helping them get through a rough patch with as few losses as possible.

The company also communicates with the media, the public, and stakeholders to get support from politicians, market leaders, clients, and public opinion.

Since crisis communication usually happens in response to something, it’s a good idea for organizations to have a plan in place ahead of time for any incident. This way, if something goes wrong, team members won’t panic because they’ll know exactly what to do. This helps everyone stay calm, reduce stress, and make things easier for everyone involved in the crisis.

Stages of Crisis Communication

— Before the Crisis

The first and most important thing is to get ahead of it. You can even start crisis communication before a crisis even happens. Even if a crisis hasn’t happened yet, it’s still a good idea for managers and leaders to plan ahead.

At this stage, it’s important to take action to prevent a crisis and prepare for it. One way to prevent a potential crisis is to try to reduce the risks. It’s important to keep an eye on any trends or problems that could turn into a disaster. Timely analysis lets companies plan their response. If you can spot potential crises, you can let your stakeholders know what to expect and show them you’ve got things under control.

Because things can change so quickly, it’s not possible to be fully prepared for every situation. This means that organizations can only identify and prepare for a limited number of possible outcomes. It’s important to remember that prevention and preparation shouldn’t be tied to specific scenarios. There are lots of universal steps and actions that can really help you prepare for potential incidents. Here are some ideas for a more flexible planning approach:

You need to create a response team, appoint an employee as the organization’s representative, create and test effective communication channels among employees, formulate procedures and guidelines, and conduct training on communication skills and crisis management for team members.

— During the Crisis

The second stage is the most intense and immediate. At this stage, the organization is facing a full-blown crisis, and the business needs to respond quickly to everything that’s going on.

There are three basic principles of crisis communication that everyone agrees on:

Speed, accuracy, consistency

These principles also apply to internal crisis communications. But if the crisis goes public and affects the general public, there’s another thing to think about: don’t refuse to comment on the situation.

David Sturges, in his article “Communicating through Crisis”, says that how you present information during a crisis is as important as what you’re saying. Sturges points out three key things to keep in mind when it comes to the strategic direction of the content.

Instructive Information

This includes any instructions given to people directly affected by the crisis, often company employees. The most important thing is to keep those affected safe. The company has to look out for its stakeholders to keep itself safe. If it doesn’t, a new crisis caused by inaction will make things worse. This info should be shared right away when the crisis hits, and it has to be accurate, clear, and actionable.

Regulative Information

This is the kind of info that helps people deal with stress and other negative emotions caused by the crisis. It often includes words of sympathy and updates on what the company is doing to make sure it doesn’t happen again.

Information to Help Recover Losses

This is used to make people feel good about the organization. When it comes to internal communication, this information is all about restoring stability and trust among employees. This kind of communication can only happen once the crisis participants’ more urgent physical and mental health issues have been taken care of.

— After the Crisis

The third stage of crisis communication is the longest. The fallout from a crisis can last much longer than the crisis itself, sometimes for years. So, don’t stop communicating just because the main problem is solved.

Post-crisis communication is all about adding to what you’ve already done and learning from what happened. The main goal of this kind of communication is to manage how different groups of people react to what’s going on. Before the company gets back to normal, employees will want to know:

When will things go back to normal?

What does “normal” look like now?

How did the crisis affect the company?

What steps will the company take to make sure this doesn’t happen again?

Types of Crises a Company May Face

Anthropogenic Disasters: These include wars, terrorist attacks, and major financial crises. One example is the “Great Recession” of 2007-2008, which was caused by years of questionable practices by global financial institutions. As a result, lots of businesses around the world either struggled to stay afloat or closed down completely.

An internal financial crisis can be triggered by the closure of stores in a retail company or bankruptcy.

Crisis Caused by Company Misconduct. This kind of crisis comes from unethical actions by the management that put the well-being of stakeholders at risk. There are three main types of crises like this:

— Crisis due to managers doing illegal stuff, like fraud, theft, or bribery

— Crisis due to lies: This includes cases of outright deception or hiding facts, such as the danger of a product or harm of a service.

— A crisis due to immoral acts is when people neglect safety, ignore rules and regulations, cut costs inappropriately, and engage in other practices aimed at financial gain but disapproved by society.

Technological Crisis. In a small company, even a server crash can be a disaster. Technological crises include any major equipment failure, server, or platform shutdowns. This is probably the most common crisis organizations face, caused by the use of technology. It can harm company processes and reputation, especially if technical failures harm the environment or public welfare.

Natural disasters include things like hurricanes, earthquakes, fires, tornadoes, floods, and other effects of global climate change. It’s tough to say exactly when and how bad these things will be, but we can probably guess. Companies can plan ahead and be ready to face the consequences of things like losing human and material resources, operational difficulties, and market disruptions.

Confrontational Crisis: Sometimes, people or groups start boycotts, protests, and blockades to get what they want. They try to get the media and the public to pay attention to the organization’s unethical practices.

Crisis Caused by Workplace Violence: This is when current or former employees act out in ways that are physically, verbally, morally, or psychologically violent towards employees.

Crisis Caused by Hostility: This includes cybersecurity threats, hacks, data breaches, and spreading false rumors to harm the organization’s image and its employees.

Why is effective communication important for crisis management?

How you communicate during a crisis will determine the future of your organization. How you communicate during and after a crisis will determine the outcome and impact on the organization and the brand.

It’s important to keep the lines of communication open and regular to keep the business running smoothly and increase the chances of recovery. It helps employees, clients, and other stakeholders understand what’s going on and what they need to do next. It also builds confidence and trust in the company overall.

When a crisis hits, management usually focuses on the external audience—clients and the press. It makes sense because protecting the company’s reputation is one of the main things public relations is all about. It’s really important for management to keep their image in front of investors and clients. They also need to make sure they don’t get taken advantage of by competitors.

But don’t forget about keeping your employees in the loop. If there’s a lack of or weak communication, it can lead to misunderstandings and unrest. Sometimes, when there’s no communication, employees have to go to external sources for information, and that information might not be accurate. If employees don’t have confidence in the company, they won’t be as productive.

When there aren’t any reliable communication channels for unexpected situations, it can lead to confusion, misunderstandings, assumptions, rumors, and worries that spread quickly throughout the office. Everyone has their own take on the situation, and no one knows who to turn to for answers or how to help. There’s a good chance that the rumors will spread not only within the company but also outside it.

When things get tough, employees want to know the truth. If they don’t get the facts, they’ll find other ways to figure out what’s going on. It’s no surprise that employees want to know the truth about their work, because it affects their quality of life. People often form their opinions based on what employees say, not what management says, because employees are less likely to present wishful thinking as reality and hide unpleasant details.

The public has a choice: to listen to well-prepared statements that were carefully thought out and edited several times, or to believe insider information, forming opinions based on data from sources who know the company best—the employees. It’s hard to keep up with the rumors that spread through social media. That’s why management wants to avoid them during a crisis.

With the current trend towards workforce optimization and the growing wave of layoffs worldwide, any team is at risk of being affected. Management risks losing its talented employees during a crisis, not just because of the crisis itself, but also because of poor communication. If they feel like they’re being left in the dark and don’t know what’s going on, this is likely to happen. All this leads to a lot of people leaving, more costs for hiring and training new people, and less productivity.

Crisis communications: The two main types

Experts in crisis communication, like Timothy Coombs, the author of “Situational Crisis Communication Theory,” say there are two types of crisis communication based on who you’re talking to.

Public crisis communication is all about building a connection with people outside the company. The words and actions are aimed at investors, customers, suppliers, and the general public.

Personal Crisis Communication. This type is all about building connections between the crisis team and between employees.

It’s important to remember that employees are a special group of stakeholders because they’re involved in both public and private crisis communication.

Ideally, both types of communication should be consistent, and the messages should be the same for both internal and external audiences.

Crisis Communication Strategies

What are the best ways to talk to employees during and after a crisis? Amanda Coleman dives deep into the world of crisis communication in her book, “Crisis Communication Strategies.” We’ll take a closer look at each one to see why they’re so important during a crisis.

Speed of Decision Making

Time is of the essence, especially in a crisis. It’s important to make decisions quickly to avoid any hiccups in the process. If you don’t communicate with your employees during a crisis, they’ll feel uncertain, afraid, and distrustful. That’s why it’s important to make decisions quickly and let your team know what’s going on.

Even though you have to make decisions quickly, they shouldn’t seem rushed or thoughtless. To make sure they don’t mess up, companies should figure out the best way to communicate during a crisis.

Using Appropriate Communication Channels

The way you communicate is key. It affects how well information is shared. When a crisis hits, it’s important to focus on the best ways to keep the team informed and gather information. Sometimes management will hold a general meeting to explain the situation. In other cases, they might share documents with the team, so everyone can follow the situation and share their ideas about it. No matter what method you choose, the tool should help you share a clear and understandable plan.

Creating a Crisis Communication Plan

One of the most important things to do when it comes to crisis communication is to create an action plan. Once the crisis is over, we’ll take a look at how well we communicated and how the business handled the difficult circumstances. This is where the crisis communication plan comes in handy.

The plan should be simple to understand and easy to modify so it can be adjusted as needed to address specific problems. Instead of going into too much detail, focus on clear guidance, well-defined roles, and lists of necessary actions. Following these recommendations will help organizations handle different kinds of crises.

Training on Communication and Crisis Management

A lot of the responsibility for clear communication during a crisis falls on the emergency response team. But without instructions and established rules, they might not know how to act in an emergency. So, employees should get annual training that will help them:

— Be prepared for tough times;

— Know why it’s important to manage crisis communication;

— Communicate with employees during a crisis;

— Ask questions and respond to criticism from both internal and external stakeholders;

— Look at previous crisis experiences and see where you can improve.

This training should involve managers, HR staff, and employees from the PR and marketing departments. This is important because internal crises can easily turn into external ones that these departments will have to handle.

Why is crisis communication important?

Crisis communication is a great way to keep your brand or organization out of the news for all the wrong reasons. It also helps keep your employees happy and loyal.

The Edelman Trust Barometer survey from 2022 showed that most people don’t trust most institutions. Despite this, 77% of survey participants said they trust their employer. Business was found to be the most trusted institution, with a trust level of 61%. When things go wrong, companies have a big part to play because people lose trust in the media, government, and other institutions.

A crisis is a disruptive event that causes fear, uncertainty, and confusion. When a crisis hits, a company’s job is to get things back to normal and make sure all the necessary processes keep running smoothly.

To achieve all this, the workforce needs to be on board. Leaders should make sure that team members are safe and well-informed. It’s important to keep the team informed and reduce stress levels. Without communication, business can’t run smoothly.

It’s important for business owners, managers, and team leaders to stay in touch with their staff to keep them informed, calm any fears, and share guidance on how to move forward.

If there’s a lack of communication, it’ll make people more uncertain and give them more room to spread rumors. Instead of doing their jobs, employees spend time wondering what’s going on outside their control. This leads to a drop in engagement and productivity.

In today’s world, every employee can represent the company they work for in their personal lives. How an employee talks about the company, what values they convey, and what viewpoint they follow can all be affected by how well the company communicates during a crisis.

Crisis Communications: Best Practices

We took a look at the main strategies and procedures for crisis communication above. Now, let’s take a look at some more practices that will help us build a strong foundation for crisis communication. These actions and principles apply to every stage of crisis management.

Break the Silence

It’s important to announce the crisis as soon as it starts. Even if we don’t have all the facts, let people know that the team is aware of the situation and is gathering more information. If you stay silent, it looks like you don’t care. And that lets the press or the public twist individual facts and the situation as a whole. Your employees will be looking to you for relevant information, so if you don’t have it, they’ll notice. If you avoid talking about the crisis, it’ll hurt the company’s reputation with stakeholders, including employees.

Avoid Censorship

It doesn’t matter how hard a company tries to stop employees from sharing information privately, whether in person or virtually. It’s a dead-end approach. It’s better to provide timely, accurate information than to ban communication within and outside the office. This way, each team member can be as truthful as possible when they speak.

Keep it Real

Crises are rough times, so communication should be straightforward and clear. When you’re talking to employees and the public, make sure you’re using facts that can be verified to avoid any confusion or rumors. Spreading false information can have real-world consequences for those directly affected by the crisis and for the company’s reputation, which in turn affects employees.

Be consistent

All messages from the company during a crisis should be consistent in tone and content. If you’re not consistent, it’ll just make things more confusing and people will think you’re not very competent. It’s important for the company to make sure that everyone who speaks on behalf of the company has the same information and message.

Show Your Support

When an organization is facing a crisis, employees are likely to be worried about their future. So, companies need to:

It’s important to identify and understand the concerns of your employees. Showing compassion is also key. Creating a psychologically safe environment and supporting participants throughout the process are also essential.

When crises hit, employees are at their most vulnerable. That’s why it’s so important for organizations to establish empathetic relationships with their colleagues’ concerns. Don’t forget to thank your team for all their hard work and resilience. This will keep them motivated to keep going, even when things get tough.

Collect Feedback

The main goal of internal crisis communication is to get people to trust the company again. Building trust is all about two-way communication, and that should never stop, even in the toughest times. It’s important for organizations to have open channels for feedback. This lets employees share their thoughts, ask questions, give feedback, and make suggestions.

Also, companies should actively look for feedback by creating anonymous surveys and other confidential ways for employees to speak openly without worrying about getting in trouble.

Reflect

It’s also important to reflect on whether the plan was effective or not. Once the crisis is over, it’s time to review what went well and what didn’t. Then, you can start making improvements. To see if the crisis communication plan is working, you need to ask employees what they think. Find out how satisfied they are with different aspects of the communication.

Plan for the Future

It’s important to let employees know what the next steps are. Of course, it’s tough to predict what’ll happen in a year’s time during a crisis, but it’s good to have a plan for the next three to six months. Has the organization’s focus shifted? Has funding for certain areas decreased? If so, do we need to let employees know? What are the company’s strengths and weaknesses? Knowing what to expect in the near future will help employees prepare for the initiatives and challenges that lie ahead.

Stay Optimistic

It’s tough to stay positive when bad news keeps coming. Even in a crisis, leaders should set an example for others by finding and highlighting the positive aspects of work. Managers’ attitudes towards employees can really affect how loyal they are to the company, so it’s important to lift spirits when necessary. Even a quick, funny joke can brighten an employee’s day, which in turn boosts their engagement and productivity.

Employee satisfaction could make or break employee commitment to your business

If employees don’t feel like their opinions matter, they’re going to start looking for greener pastures. This can also make them more likely to leave if the business suddenly faces a crisis.

Rewards and recognition are the best ways to get employees engaged. When employees understand how important they are to the team, it makes them more loyal, which means that organizations don’t have to worry about high turnover in case of sudden upheavals.

It’s important to support employees’ well-being. So it’s important to find out what the relationship is like between management and their subordinates. Use surveys to find out what changes are needed in the workplace. Then come up with a plan to make these changes happen and get it done.

Good internal communication helps you deal with a crisis and also affects how it turns out. Good leaders know that their employees are the foundation of any successful business, so they make sure they’re taken care of first and foremost.