Boards of Directors have weighed in. A staggering 60 percent of them believe that disruptive risks are “much more important” today than they were five years ago.
And they don’t think their companies are doing enough to address disruptive risks, either. What can crisis leaders do to regain the Board’s confidence and improve visibility?
It won’t be easy. Less than 20 percent of Board members say they are extremely or very confident in management’s ability to address disruptive risks, according to survey data from the National Association of Corporate Directors. But managers evince the same lack of confidence when polled, too.
Senior executives on the frontlines of corporate crisis management (Risk, Ethics, Compliance, Legal, and Communications) are surprisingly equivocal about the quality of their company’s crisis management plans and lukewarm about their organization’s level of crisis readiness. According to the Morrison & Foerster’s Crisis Management Benchmarking Report, nearly two thirds of companies are only somewhat or minimally confident in the utility of their crisis management plans in the event of an actual crisis. Over 60 percent of companies are somewhat, minimally, or not at all confident in their ability to manage crises.
And those numbers won’t improve as the threat of disruptive risk increases. And increase it will: where once organizations could afford relatively immature crisis programs, they must now confront a whole slew of disruptive threats, including cyber breaches, natural disasters, terrorism, workplace violence, major regulatory changes, intellectual property theft, product recalls, etc.
It’s not surprising, then, that neither senior managers nor Boards feel particularly confident in their crisis management efforts. There are, however, concrete steps to take to improve preparedness throughout the crisis and risk lifecycle.
What’s required is an integrated corporate crisis and business continuity management solution, advanced software that gives response teams and decision makers the tools they need to know what’s happening, collaborate quickly and effectively, make better decisions, and enact the right plans to take action when it counts the most.
Looking to tackle the Board’s concerns about a lack of visibility and situational awareness, in particular? Best-practice software gives teams and decision makers the ability to know what’s going on in a rapidly-evolving situation, orient themselves, and then assess unfolding events in context.
The solution will also boost situational awareness, by providing teams and stakeholders with a single, integrated system capable of addressing critical events in real time. That flexible system will include chat, impact, assessment, and communication planning functionality that enables teams to provide updates and alerts to employees, increasing their situational awareness during a crisis.
Having a single source of truth (complete with important documents, releases, and other critical files) at the team’s fingertips not only helps de-escalate critical issues before they become crises, but also improves decision making during crises, as well as encourages an efficient return to the status quo ante. Other advanced features to consider include situational awareness dashboards and situation reports.
That’s not all. A whole set of advanced features go into the best-practice integrated crisis management software that will exponentially increase your level of preparedness and improve your ability to react to and recover from critical events. Keen to learn more? Download our buyer’s guide to advanced crisis management software.
For more crisis management content, follow @teamnoggin on Twitter