COVID Brings Crisis Management Into The Spotlight

 COVID has stressed businesses to the breaking point. No one saw it coming. However companies that had a formal Crisis Management Plan (CMP) , put it to use when the pandemic hit. So what constitutes a CMP plan?  There are 4 basic components: 

1) Planning phase

2) Preparation Phase

3) Response 

4) Recovery

In the planning phase, development and understanding of financial constraints, organizational resistance, information and communication difficulties, and the  "fog of war"  factor , all have to be evaluated and tested.

In the preparation phase, the crisis team needs to generate countermeasures and loss reduction actions for the things learned in the planning phase.

If a crisis happens then the response phase is set in motion. Life safety is usually the first concern. Then the business should follow their planning and hope the preparation was adequate.

Recovery phase action usually follows the hierarchy and and priorities set forth in the planning phase , along with coordination of personnel and communication with customers.

A solid CMP is not an option in today's world, it should be a priority. If COVID has taught us anything, it is just that.

Until next time be careful out there and know your risks.

G. Kevin Nemith 

 President /Agency Leader - CNC Insurance, Pfister Insurance, members of the Hilb Mid-Atlantic Group. 

Contact Kevin at    knemith@hilbgroup.com