Mitroff (2005)

Management > Crisis Management > Lectures > Independent Research > Mitroff's book >The effects of abnormal crises > Defence mechanisms > Victim and villain > Complexity > 4 styles of thinking > Assumptions > Structured problems > 4 views of crises > Crisis tool kit > Controlled paranoia > General Motors > Needed action

Needed action

There is a strong need for crisis leadership. Sloan was excellent in his day, as he never believed that a crisis would not come back - believing that it was "Business as usual". He was long-sighted and took the drastic actions necessary (Finance Department) to stop crises from recurring by always keeping an eye on the possibilities.

Today a central Crisis Department is needed, which reports directly to the CEO or CIO. Some believe that this would add to the bureaucracy of a firm, but this structure would not stifle, but would enable the organisation.

Organisations need world-class learning and signal detection centres.

"Although it is clearly impossible to prevent all crises, being prepared for any crisis speeds up recovery time." It also lessens the psychological impact.

Unfortunately, many CEOs secretly believe that they can work their way out of a crisis when the time comes, without needing to spend all that money on a plan.

A firm also needs a crisis centre, which has three main responsibilities:

1. To design the company's crisis portfolio and how any crisis might trigger other crises
2. To alert for the signals that precede a crisis and ensure everyone is aware of the impending danger
3. To develop real crisis capabilities, as well as theoretical plans, including training exercises and programs to help communication between managers and employees

A well-designed organisation

Spirituality

Benetton-Turkey

Corporate emotional intelligence

CM and betrayal

Myths

Additional myths