By Lynn McMahon, Pipitone
A crisis can impact any organization at any time, and in today’s digital age, the chances of a crisis occurring are greater than ever. Just ask Brunswick Corporation.
On June 13, 2023, a cyber-attack compromised the personal information of both employees and customers at Brunswick, costing the boating manufacturing giant $85 million and forcing a nine- day shutdown – a devastating blow to the firm’s public perception and Q2 financial outlook.
While this crisis undoubtedly had a negative effect on Brunswick and its investors, it’s also a solid example of a manufacturing company effectively navigating a modern-day crisis.
From an operational perspective, Brunswick took all the correct actions:
However, none of the operational measures would have contributed to the company’s recovery had it not previously established and immediately activated a comprehensive crisis communications plan.
Any event that is disruptive and poses a threat to the safety of individuals, organizations or corporations can be a crisis. Generally, a crisis event necessitates quick decision making and action.
A crisis can strike any organization. And unfortunately, manufacturing is one of the most vulnerable industries. Others include:
According to the Institute of Crisis Management, only about half of organizations and corporations have written crisis plans. That’s a staggering statistic, given the risks of not planning. We have lived through crises, from pandemics to product recalls. Yet, some believe it will never happen to them.
Denial is one reason for a lack of plan; good intentions are another. Developing a crisis plan is an intensive process. It requires the complete support of leadership, a time commitment and an investment of resources. But, without a doubt, the risks of not having a plan far outweigh the costs.
Even with that awareness, it can be challenging to make crisis planning rise above competing priorities. Engaging an experienced crisis consultant can help to ignite the process, keep the planning moving on schedule and ensure you have an expert by your side in the event you need to activate the plan.
A crisis plan will never anticipate every possible scenario. However, it will enable you to plan for what you can anticipate and position you and your team to be prepared to address what you cannot. During a crisis, time moves at both warp speed and a sloth’s speed. Everything must be done immediately, yet the situation can feel as if it’s dragging on forever. You will emerge from a crisis, and with planning, possibly do so in a stronger position.
Of course, the best crisis plan is one you never need to use.
In our next post, we’ll take a deeper dive into the elements of a crisis plan. In the meantime, if you’d like a no-cost conversation about your company’s vulnerabilities and how to plan for them, I’ll buy the beverages. Reach out to me at lmcmahon@pipitone.com.
As Pipitone’s vice president of Public Relations, Lynn McMahon guides the group to utilize all tools of the trade – planning, strategy, creativity, writing, media relations and more – to help clients achieve their business objectives. Engaged, strategic and imaginative, Lynn enjoys crafting comprehensive PR plans, conducting media training and collaborating with the Pipitone team.