The Four Keys to Risk Communication

When an organization—whether public or private—faces a complex situation that puts its reputation, operations, or stakeholders at risk, it must activate a communication strategy aimed at addressing the crisis.

When managing a high-stakes contingency, one of the first questions we ask the CEO is how much of their time is being devoted to the problem. In most cases, the answer ranges from 60% to 80% during the initial stages, and the efforts involve not only the leader but also a significant part of the executive team.

This highlights two things: first, the impact a crisis can have within an organization, and second, the need to overcome it promptly so leadership can return to normal operations.

Although the specific actions and messages will depend on the circumstances that triggered the crisis, there are four key steps to consider:

 

1. Preparation

To prevent a crisis from turning into a slow and continuous drain, preparation is crucial. Our experience shows that in more than 70% of cases, organizations that had done prior work were better able to handle the crisis. This includes operational and legal decisions, as well as the establishment of crisis communication protocols and plans.

The problem arises when no decisions were made, risk maps were not evaluated, and once the crisis occurred, its magnitude wasn’t properly assessed.

 

2. Informing the Public

A crisis is a complex ecosystem, and communication plays a fundamental role within it. When a company or institution faces a crisis that exposes it publicly, everything moves fast. The media demands explanations because they have a duty to report what’s happening, and this is intensified by the immediacy of social media, where information spreads rapidly and widely.

The premise is clear: public scrutiny is swift and outpaces corporate response. For example, in the case of essential services, people’s tolerance for interruption is minimal. Additionally, public criticism and the prompt reaction of authorities and advocates defending consumers occur immediately.

Therefore, it’s essential that the organization provides information. Out of fear of further exposure, some companies prefer a policy of silence, hoping the attention will fade over time. This is like gambling. The risk is that, if they lose, the company’s reputation is left in check, and years of brand building can be jeopardized in a matter of days.

 

3. Focus on Containment

In times of crisis, communication should aim for containment—that is, providing context and information that helps clarify the main concerns and highlights the efforts being made to resolve the situation.

This also helps prevent another major problem organizations face during crises: the spread of inaccurate information from third parties that could further expose them.

 

4. Keep Stakeholders Informed

Finally, in the face of a highly visible crisis, all stakeholders will be paying close attention. Therefore, communication must also be directed toward them—especially employees, investors, customers, and authorities if applicable.

The organization must prepare specific messages that take into account the needs and expectations of each group.

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