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Crisis Management
For many, the term crisis management may bring to mind examples of disastrous situations brought about by organizational wrongdoing or situations in which the aftermath was handled so poorly that the mishandling resulted in the downfall of the organization. Such events certainly receive ample coverage in the media. However, Professor Ken Brumfield (2012) offers two examples that provide a stark contrast to this prevailing image. He details two instances in which skillful planning and execution during a crisis resulted in the saving of lives. He tells how investment firm Morgan Stanley was able to successfully evacuate all but 6 of its 2,500 employees safely from the World Trade Center on September 11th, before the second plane collided with the towers. He also explains how, through its flexible leadership and quick response, the U.S. Coast Guard was able to rescue 1,200 people following Hurricane Katrina, while organizations around them floundered. These striking tales provide the impetus for reexamining the definition of crisis management, its relationship to business, and how effective crisis management can yield positive results.
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