It’s understandable how sometimes we can be too uncomfortable or even disregarded when facing an unexpected crisis. But as an entrepreneur, it’s our job to be ready, and find ways to resolve it.
Unfortunately, people try so hard to fix and solve crises even those that are out of their hands. But they need to discern that there are a crisis that you can control, and there are those that you can’t.
Here’s the thing: Crisis is never-ending. Sometimes you’re on the top, and sometimes it’s a whole lot opposite. It may have been something a situation you faced before, by someone you personally know of, or it’s completely a stranger.
As we get along, we’d learn the types of crisis, how long it will last, and what are the things that we can do to find a solution, and why!
Types of Crisis
A. Health
A personal health setback that made you lose or gain momentum. Sometimes you just felt weak, and cannot work. There are times that the case is worse than that. But with proper diet, exercise, and routine, this is something you can control.
B. Technological / Cyber
The machine collapses, or there’s a cyber issue within the software. An attack, virus, spam, phishing, and things that made it harder for you, and your employees to work satisfyingly with the use of technology.
C. Organizational
There’s mismanagement within the organization. Those in power don’t act the way they should or they were being too insensitive and demanding to the needs of the board and those under them. This can also happen to the employees who give bad shots to the company. They can either get suspended, fired or replaced.
D. Violence
We’ve heard about violence a lot of domestic and personal households while neglecting violence within the office mostly to those who belong to the labor class. Using fist or gun violence is something intolerable, illegal, and can lead to worst-case scenarios.
E. Malice and Deception
A nasty tactic played by your competitor. It’s sometimes friendly, yet there are those who don’t know what the boundaries are. They can create false rumors, leak important files, tampering software, or hack into the system.
It can also happen within the company. A defense or a rumor mill spread about a certain person within the management who doesn’t like you. An employee who uses manipulation and defamation of character to get what they want from you.
F. Natural
The occurrences of Natural Phenomena or Calamities such as tsunami, thunderstorm, wildfire, volcanic eruption, and thereof. It’s something that we don’t like to see whether we run a business or not. Without a doubt, it’s not within our control.
G. Financial
The loss of a huge amount of money due to various reasons. Maybe the company spends too much money on the things that aren’t necessary. We can also consider factors such as changes in economic stability, within the marketplace, stock exchange. Much worse, they had to face inflation or a despairing bankruptcy.
H. Black Swan
Other than natural calamities we’ve already mentioned, those occurrences that we have no total control such as a pandemic, crash, accident, or even earthquake. We cannot totally predict something like these would happen, and it brings such a huge surprise to the company. This often leads to severe consequences.
These situations and scenarios are the things we should prepare on-hand. Meanwhile, there are severe occurrences that would unexpectedly happen, and sometimes, we cannot do anything but to focus on your goal, and provide alternative measures.
Timeline of Crisis
Another bigger problem to consider is the amount of time one has to think of or wait before everything goes back to normal.
There are crisis that can only last for an hour such as fixing a flat tire. Some crisis can last for a day, a week, a month, a quarter, a year, or even a decade of depression.
However, if you’re someone who’s going to let a crisis fall back on you for the longest time, then you’re simply an amateur. You cannot think of a way to solve it, and you disregard any steps of the way.
The key here is to pump it up. This basically means avoid letting it get extended, and do your best to limit the amount of the impact of the crisis within your company. If it was supposed to last a day, make it an hour. If you can control, do it. The sooner, the better!
Factors Help Contribute to the Extension of Crisis?
A. Consider Your Strategy – You decide whether to extend the crisis or finally put it to an end. Brainstorm, think outside the box, get help on how to properly fix an organizational or entrepreneurial crisis.
B. Emotional Response – The way you carry yourself emotionally brings calmness or tension to the room. If you’re the boss, and gets unworried or calm, you’ll influence your employee to feel the same, and vice versa.
C. Organization Approach – How would your company or an organization face a crisis? Indeed, it’s a matter of teamwork, not just you.
D. A Matter of Trait – Think of the best quality you can show for everyone to relax and be hopeful. Remember, the powerful quality of calmness.
E. Urgency – The sooner you think of a way out, the sooner you’ll find a solution, and apply it.
F. Over- and Underexaggeration – People spread a vast amount of rumors and fake news whenever possible. Like me, you just won’t get why. But let it show it’s nothing but a challenge that can get resolved. Turn your 1 into 10; your 10 into 1.
Top 10 Rules in Dealing with Crisis
1. Think of the Source
What do you think caused the crisis? Can you do something about it, or it’s something out of your control? Why force yourself to fix something that you cannot fix in the first place? Let it go. Like the pandemic, there’s nothing more that we can do than following what the experts’ instructions are, wait patiently, and do our best to stay physically healthy.
2. Quantifying the Risk of Quality
How am I, and my employees are going to get affected? Can we let it slide? What could be the worst-case scenario?
Think ahead. Envision what would happen if you let it be, even if you can do something about it Assess it at an early age.
3. Finding the Roots of the Crisis
If it’s the first time for your company to experience such a crisis hit, then it’s fine. You can take notes on how were you able to immediately find a solution, and what corrections did you take as something you should’ve done, and you shouldn’t do? Sometimes, it’s the key in eliminating future repetition or making the same mistake twice!
4. Battle Plan
The DEFENSE + OFFENSE.
While you’re playing your defense, you might forget other things to consider within your company, and vice versa.
Create a suitable plan that won’t neglect anyone nor anything.
5. Unify your Team
It’s the best time to brainstorm and consult other people in your company. Address the crisis, get other people’s ideas, unified strategies, create a plan, find a solution, and make it happen.
6. Deeper Relationship
Even before a crisis occurs, make time to know your people better. If you want to build a customer-producer or management relationship, you should start within. Take time to personally know them, their weaknesses, and potential. You might discover something that you’re looking for in a company from the very beginning.
If you decide to postpone doing so, and a crisis happens, you might pay the price.
7. Accessibility
Make yourself available. If a crisis happens, this is the time that people – consumers and employees, would resort to you for help. Be someone who people can get hold of, whether it’s through phone, chat, calls, or in other ways. It matters more than ever before!
8. Research
Entering the entrepreneurial or marketing field, you must’ve done your research already. In any possible ways and cases, do your personal research. Call experts in the field. Get valuable and relevant data.
9. Speed back to equilibrium
Like what we’ve been talking about before. The quicker you act to face a crisis or any other problem, the better results you can get.
10. Check what needs to Get Minimized, Eliminated, and Increased.
What are the things that you need? What plans are you gonna make to access it? Is this something to keep or this isn’t necessary? Should I order more of these?
Now that everything’s clear, and made possible, let me ask you a question. What is your plan of action by the next time a crisis arises?
