Crisis Management Paper Study
Crisis Management Paper Study
Covid-19
Xceed
- This paper is meant to discuss the role of crisis management during the Covid-19 phase
in Xceed Egypt and the actions that was already planned and how they were
implemented, developed, and maintained and how they affected the business behavior
for all Xceed entities even after the Quarantine was over, Crisis management is a critical
organizational function. Failure can result in serious harm to
stakeholders, losses for an organization, or end its very existence. Public relations
practitioners are an integral part of crisis management teams. So, a set of best practices
and lessons gleaned from our knowledge of crisis management would be a very useful
resource for those in public relations. Volumes have been written about crisis
management by both practitioners and researchers from many different disciplines
making it a challenge to synthesize what we know about crisis management and public
relations’ place in that knowledge base. The best place to start this effort is by defining
critical concepts.
1-Theoretical Part:
- A crisis management model is the conceptual framework for all aspects of preparing for,
preventing, coping with, and recovering from a crisis. By viewing events through a
model, crisis managers gain context and can better apply best practices.
- A crisis is an unpredictable or low-probability event that can cause significant negative
effects to a business. Often, the causes, consequences, and solutions to a crisis are
unclear, yet stakeholders must act quickly.
- This definition incorporates the ideas of crisis management researchers such as
Christine Pearson and Judith Clair, who in 1998 developed one of the first
comprehensive crisis.
- definitions in “Reframing Crisis Management.” In 2007, W. Timothy Coombs put
forward another widely cited definition of "crisis" that emphasizes the importance of
stakeholders perceiving the unpredicted event as a threat.
Many models have been developed as part of a larger effort to build overall organizational
capacity and skill to anticipate, avoid, and mitigate crises. Therefore, most models emphasize
the importance of taking initiative, rather than being reactive.
This spectrum of skillfulness in crisis management can be broadly described as a crisis
management maturity model that ranges from reactive to proactive — or even pre-emptive
action. To learn tips on becoming more proactive in your strategy, read “How to Craft a Strong
Crisis Management Strategy.”
The different approaches along a crisis management maturity model, from most to
least advanced, are as follows:
- Pre-emptive Crisis Management: This approach seeks to prevent or resolve a crisis at its
earliest sign.
- Proactive Crisis Management: In this approach, organizations take initiative early in the
crisis and seek to shape how events unfold.
- Responsive Crisis Management: This occurs when there is little warning of a crisis.
However, thoughtful, and quick analysis can lead to effective action that accounts for
long and short-term results.
- Reactive Crisis Management: This is often a panic-driven or knee-jerk reaction. Emotions
like fear play a leading role, and objective thinking is largely absent from the crisis
response. The company faces crises defensively and, following the crisis, the business
may experience problems, high turnover of senior leaders, or even business failure.
A similar model by Can Alpaslan and colleagues focuses on stakeholder involvement and views
the crisis management maturity continuum as follows:
Proactive Crisis Management: All stakeholders that could potentially be harmed should
participate in crisis preparation. In the response phase, the organization anticipates knock-on
effects and voluntarily discloses the most negative information before the media discovers it.
Accommodative Crisis Management: The organization accepts that a crisis is possible and
involves a broad set of stakeholders in preparation. In a crisis, the company accepts
responsibility, voluntarily meets the needs of the victims, and tells the truth.
Defensive Crisis Management: The business prepares only for crises with high expected costs
and involves stakeholders only if required by law. During a crisis, the organization resists
admitting full responsibility, but does admit some. The company only does what is mandated by
law.
Reactive Crisis Management: The organization denies the possibility of a crisis and any negative
consequences. In a crisis, the company denies all responsibility, closes off communications, and
hides the truth. Its stance is uncooperative.
- Scenario-Based vs Capacity-Based Model: -
Until the mid-20th century, organizations primarily faced crises that they had seen before
(though of course they were still challenging). The most common threats included natural
disasters and labor problems, so companies typically planned for these and other familiar
scenarios.
However, the increasing pace of business, advancements in technology, and increasing
globalization forced companies to more frequently confront novel and unpredicted crises, such
as workplace violence or global pandemics. In this newer context, scenario-based planning
holds limited value, since this kind of preparation hinges on facing a known hazard, which
triggers a set series of actions.
Organizations fare better by developing their capacities to handle any kind of crisis, even ones
that are completely new. Companies can still detail response plans for common kinds of
calamities, like fires, but compared to the scenario-based model, a capacity-based model
emphasizes building capacities like communications, financial backup plans, and readiness for
remote work.
Modular crisis management plans work well in the capacity-based model. Modular plans break
down responses into component actions that managers combine and match to the specific
demands of the crisis. You can find details on modular planning by reading “Step-by-Step Guide
to Writing a Crisis Management Plan.” See “Free Crisis Management Templates” to download
templates for management plans, helpful checklists, and tabletop exercises.
Fink’s Model of a Crisis and Other Lifecycle Crisis Management Models
In his influential 1986 book Crisis Management: Planning for the Inevitable, Steven Fink laid out
a four-stage crisis model consisting of the prodromal, acute, chronic, and resolution stages.
The prodromal stage covers the period between first signs and crisis eruption. During this
period, Fink states that crisis managers should be proactively monitoring, seeking to identify
signs of a brewing crisis, and trying to prevent it or limit its scope.
The acute stage begins when a trigger unleashes the crisis event. This phase entails activation
of crisis managers and their plans.
The chronic stage encompasses the lasting effects of the crisis, such as after a flood or a
hurricane when teams repair damage to buildings and roads. Finally, the resolution stage
represents the end of the crisis and a time for internalizing what went wrong through a root-
cause analysis and implementing changes to ensure there is no repetition.
Finks Crisis Model
Fink’s model, along with other top crisis management models (including a four-stage model
developed by Alfonso Gonzalez-Herrero and Cornelius Pratt in 1996), liken the unfolding of a
crisis to a lifecycle with multiple sequential stages. Gonzalez-Herrero and Pratt’s models see the
stages as birth, growth, maturity, and decline, and they define a crisis management model that
parallels these stages as including issues management, planning-prevention, crisis, and post-
crisis. Their model focuses on the communication aspects of crisis management, and the
researchers described issues management as a highly proactive phase in which the organization
searches for and anticipates issues that may become problematic.
Brand and communications consultant Alan Hilburg explains the crisis lifecycle as an arc that
consists of avoidance, mitigation, and recovery.
This concept is similar to another popular model with three stages: before, during, and after a
crisis. According to Coombs, the most important models are this three-stage framework, Fink’s,
and a third by Ian Mitroff, a researcher who is often considered the founder of modern crisis
management study.
Most Influential Crisis Management Theories
Although the two terms are often used interchangeably, a crisis management theory is distinct
from a crisis management model, as models seek to represent the structure or application of
crisis management, while theories are more abstract concepts.
Some of the most well-known crisis management theories include attribution theory,
situational crisis communication theory, stakeholder theory, and contingency theory. Theories
from management studies and other disciplines have also been applied in crisis management,
including the diffusion of innovation theory, resilience theory, and human capital theory.
- Xceed, Egypt’s leading business process outsourcing (BPO) and shared services
company, in 2001 Xceed was founded to help clients around the world meet the
requirements of the rapidly evolving global market.
- Driven by great passion towards growth, Xceed adopts the latest technologies,
accentuates an immaculate customer experience and promotes sustainable
development in order to provide comprehensive and optimized onshore/offshore
customer management solutions.
- Xceed eyes expansion as a goal and a vision, as it connects four continents in eight
languages through ten sites in Egypt, Morocco and Mauritius.
- Xceed is fully owned by Telecom Egypt and has an overall operating capacity of more
than 10’000 Omni - channel workstations, Delivering high-quality services across
numerous industries, such as telecoms, fast food, technology, tourism, automotive,
financial services, fast-moving consumer goods and healthcare. The company serves a
number of different industries and has continuous support from the Ministry of
Communication. Its growing network of onshore and offshore corporate clients include
key government accounts and a growing network of top industry clients.
- Capitalizing on the groundbreaking success in the contact center area, Xceed extended
the services to include “Human resources outsourcing”, “Finance &Accounting
outsourcing” and “BPO consultancy.”
- Xceed, the first certified contact center company in Egypt and the MENA region, was
built on a culture of excellence, therefore, our state-of-the-art infrastructure and
contact centers ensure secure, reliable and scalable customer experience solutions. Our
technology and business models provide the perfect balance between cost-effectiveness
and market competitiveness. Our latest IT solutions offer the best set-up and
maintenance systems, call center hosting, data centers and much more.
- Xceed helps clients adapt to the evolving market demands through upgrading staff
capabilities and skills and boosting their internal development. Our multidisciplinary
teams tailor and implement new-age training programs that tackle development on
individual, department and enterprise levels. We help sustain an internal awareness
that works in alignment with your growth objectives.
3-Practical Part (How Xceed applied the crisis
management during the Covid-19):
Definition/Introduction
- SWOT Analysis (short for strengths, weaknesses, opportunities, threats) is a business
strategy tool to assess how an organization compares to its competition. The strategy is
historically credited to Albert Humphrey in the 1960s, but this attribution remains
debatable. There is no universally accepted creator. Also known as the SWOT Matrix, it
has achieved recognition as useful in differentiating and establishing a niche within the
broader market. Beyond the business world, SWOT Analysis can also be applied to the
individual-level to assess a person's situation versus their competition further. There are
both internal and external considerations build into the tool. "Strengths" and
"weaknesses" are internally related. The former representing a facet of an
organization/entity which lends it an advantage over the competition. The latter being
characteristic of that same entity, which leads to a relative disadvantage against the
competition. Regarding externally related, "opportunities" are realities in the greater
environment that can be exploited to benefit the entity. While on the other
hand, "threats" are realities in the greater environment, which might lead to problems
for the entity.
- The concept of strategic fit, a ubiquitous objective sought by all organizations, can be
explained as to how well the internally-related factors fit with the externally-related
factors.
Issues of Concern
While the SWOT analysis is widely known to facilitate the formation of organizational or
personal strategy by assessing internal and external elements, it also has its criticisms. Some
critics feel that the tool proves to be too superficial and formulaic, consequently hindering
performance as outputs might be misunderstood or misused. This latter point is especially
pertinent when SWOT analysis is attempted without real critical reflection by a collective group.
Having only a few individuals perform the assessment increases the risk of misrepresentation of
the SWOT inputs, leading to erroneous outputs. Also, organizations can anchor on one facet of
the analysis, losing sight of the other critical elements of the matrix. Lastly, the SWOT captures
the internal and external aspects of a single time-point. In reality, the environment is rapidly
evolving.
- External Environment (PESTDEL):
- Political Environment
- Economic Environment
- Social Environment
- Legal Environment
- Socio-culture
- Supplier
- Competitors
- Customer
- Labor Market
- Strengths:
Internal characteristics of the business that give it an advantage over others in the
industry, such as:
-What advantages does your organization have?
-What do you do better than anyone else?
-What unique or lowest-cost resources can you draw upon that others can't?
-What do people in your market see as your strengths?
-What factors mean that you "get the sale"?
-What is your organization's Unique Proposition (U P)?
- Weaknesses:
Internal characteristics that place the firm at a disadvantage relative to others, such as:
-What could you improve?
-What should you avoid?
-What are people in your market likely to see as weaknesses?
-What factors lose you sales?
- Opportunities:
external chances to make greater sales or profits in the environment, such as:
- What good opportunities can you spot?
- What interesting trends are you aware of?
Useful opportunities can come from such things as:
- Changes in technology and markets on both a broad and narrow scale.
- Changes in government policy related to your field.
- Changes in social patterns, population profiles, lifestyle changes, and so on.
- Local events.
- Threats:
external elements in the environment that could cause trouble for the business, such as:
- What obstacles do you face?
- What are your competitors doing?
- Are quality standards or specifications for your job, products or services changing?
- Is changing technology threatening your position?
- Do you have bad debt or cash-flow problems?
- Could any of your weaknesses seriously threaten your business?
Strength Opportunities
Weaknesses Threats
Awareness: Raise employees’ awareness about the pandemic such as explanatory video
(played on TV screens continuously across floors & break area), Informative banners
inside our premises, informative labels and sending daily precautionary measures for
COVID 19 E-mails.
Work remotely: we delivered PCs and Laptops to every employee to be able to work
remotely to reduce employee’s manpower physically inside the organization.
Precautionary procedures: business resilience department announced for the whole
company that in case of any need to work from site we have to stick to Precautionary
instructions assertively such as wearing face masks during their working
hours ,decreasing numbers of the employees inside the elevator, increasing the hygiene
inside the company , Keep distance between the employees in the workspace and inside
the whole company and incase of any violation disciplinary action taken by personnel
department and deductions applied on their monthly salaries.
Secure Delivery: Company Assets (PCs) to Employee's Home: Conducted deal with
specialized vendor to PCs to employee’s home to guarantee Safe delivery for company
assets (PCs) and reducing physical communication between the employees.
COVID 19 daily reports: business resilience department sent daily report with
employee’s details who suspected covid 19 to all concerned partis such as security team
to prevent them to enter our premises and personnel team to consider them 2 weeks
paid sick leave after company’s doctor approval.
Enhanced Security Procedures: The rise of remote work has brought along a surge of
concerns regarding data security. In response, the company have stepped up their game
by implementing strong security procedures to ensure the protection of sensitive
customer information. They have introduced measures such as encrypted
communication channels, multi-factor authentication, and secure VPN connections.
These precautions are put in place to provide an extra layer of security and peace of
mind for both the call center and the customers they serve.
Business Meetings become online as possible to avoid physical communication through
Microsoft teams or zoom.
Virtual training invented and reviewed by training team to be able to contain the
pandemic crisis.
Work from home leads to decreased number of employees on premises, so we save
some sites cost (Rent, electricity, sanitizing, etc.…).
- Disadvantages:
some of employees didn’t follow the instructions which lead to apply penalty deduction
from their salary which cause employee dissatisfaction.
We face some challenges to collect company assets from resigned employees, some PCs
had corrupted monitor or CPU which led to asset damage and more cost to bring
alternative.
Electricity cut out and internet connection instability decreased the employee’s
adherence and productivity.
Work from home effected badly on Employees quality of performance due to less
physical interaction between middle management and their employees.
Operation management complaints that virtual training trainees not efficient as training
on premises.
We directed to deliver MIFI or additional internet bundle to avoid landline internet
instability which cause more cost.
6-References used: -
1- The Essential Guide to Crisis Management
2- www.Smartsheet.com
3- www.xceedcc.com
4- https://onlinelibrary.wiley.com/doi/full/10.1111/1467-6486.00071
5- https://www.emerald.com/insight/content/doi/10.1108/17554251011064837/full/html
6- https://www.investopedia.com/terms/s/swot.asp