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RMIT Classification: Trusted

COMM 2699 -
Issues, Risk and
Crisis Communication

Week 1: Introduction

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RMIT Classification: Trusted

What will I learn?

• How to identify and describe the processes involved in risk and


issues management
• How to compare and contrast issues, risks and crises using
appropriate theoretical frameworks
• How to evaluate communication strategies undertaken by a
range of companies in response to crises, and to assess the roles
of stakeholder groups
• To create a crisis communication plan to guide the chosen
client through a real-world issue or crisis
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RMIT Classification: Trusted

A1: Locating & Tracking Issues and Risks

• Focus: Crisis prevention

• Individual work

• Main work: 1,200–1,500-word essay

• 35 points

• Due Week 4, Friday

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A2: The Communication Plan

• Focus: Crisis communication preparation

• Group presentation

• 30 points

• Due Week 8

• This group stays together for A2 and A3 and works around the
same client for both assignments

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A3: Press conference and essay

• Focus: Crisis readiness and recovery

• Group work: press conference and media kits – 15% - week 11

• Individual work: reflection essay – 20% - week 12

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Issues, Risks and Crisis

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Defining terms

• Issue management is about steering the ship out of troubled


water (prevention)

• Crisis management is about saving the ship after it has struck an


iceberg (cure)

• A crisis is a poorly managed risk!

• Risk management is the practice of identifying potential risks,


analyzing them, and taking action to reduce or avoid them

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What is an issue?

• A condition or event …

• internal or external to an organization …

• which, if it continues,

• will have a significant affect on the functioning or performance of


the organization or its future interests

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How did we do?

• Public safety – Parking area crashes, injuries in the gym, falling


downstairs, food poisoning, river flood, fire, theft, assault, students
jumping out of unlocked windows …
• Social media! Bad raps on RMIT Confessions, et al
• Cyber-security
• Competitor universities
• Staff shortages, staff quality
• Government relations might go sour
• Industry relations might go sour
• Other ideas?
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How do you know you have an issue? (1)

1. An issue arises from a social and/or political dispute ( ‘the


disputation’ theme)
• The #MeToo movement forced resignations of key CEOs
• Cartier forced to stop buying gems from Myanmar, re:
Rohingya ethnic massacres
• Child labor and cocoa production
• Sweatshops and garment/shoe production

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RMIT Classification: Trusted

How do you know you have an issue? (2)

2. An issue exists when there is a gap (real or perceived) between


an organization's performance/behavior and the legitimate
expectations of key stakeholders about how they think that
organization should behave (the expectation or legitimacy gap)
• Consumer's pressure small cafés to nix plastic cups/straws
• Your mother is unhappy about your grades
• Dolce & Gabbana’s “chopstick” ad campaign
• RMIT lecturers stressing over student phone use in class and
therefore not learning!

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RMIT Classification: Trusted

How do you know you have an issue? (3)

3. An issue is assessed by its capacity to seriously harm the


organization and its interests (aka the impact theme).

• Boeing 737-Max jet crashes, banning the planes from the sky
and canceling orders to new planes indefinitely

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RMIT Classification: Trusted

What is issues management?

• An anticipatory, strategic management process that helps


organizations detect and respond appropriately to emerging
trends or changes

• Issue communication: a subset of IM that contributes to and


supports development and implementation of the strategic plan,
including message development and effective delivery (so,
useful for A2!)

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Jaques: Four aspects of an issue (1)

1. Issues may not necessarily be “real.” Perceptions matter!


“If stakeholders think there is a risk or crisis, there is one.”
(Holladay and Coombs 2013)

2. Issues occur in the public arena, somewhat external to the


organization

• Consider: animal-rights groups boycotting Burberry and others


over sales of fur coats.

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RMIT Classification: Trusted

Jaques: Four aspects of an issue (2)

3. Issues are significant and genuine threats, spread over time


• Issues Management is not a general problem-solving tool for
everyday problems

4. Issues require a structured approach and a planned strategy,


not an ad hoc response

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Jaques’ Stages of Issue Management


• Scanning
Issue • Monitoring
identification • Stakeholder input

• Review
• Assess • Identify
• Consult Evaluation
Analysis & • Characteristic
• (Re)prioritize
pioritization • Formal criteria
• Ranking

• Assign tasks
• Tactical implementation • Goals and objectives
• Stakeholder Strategy • Identify allies
communication Action Plans • Allocate resources
options
• Report progress • Criteria for success

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RMIT Classification: Trusted


What is a risk?

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What is a risk?

• A probability or threat …

• of damage, injury, liability, loss, or any other negative


occurrence that is

• caused by external or internal vulnerabilities, and

• that may be avoided through preemptive action

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RMIT Classification: Trusted

There are so many different kinds of risk!

Physical hazards (fire, Chemicals (improper Unexpected financial


flood, weather) storage or use) loss
Equipment (faulty Ergonomic (poor Loss of important
equipment, poor workplace design, suppliers or
maintenance) room layout) customers
Employee-related Psychological Decrease in market
(insufficient staff (bullying, harassment, share (new
numbers, untrained discrimination) competitors or
staff, employee safety, products)
labour actions

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Useful criteria for priorising issues / risks

How bad will this be? Potential magnitude for the organization if the
issue is left unmanaged.
How popular is this issue? Salience/Legitimacy: How widely do people in
general view this issue as a concern.
How big will this be? Visibility: Extent of coverage in the news
media
When does this hit? Proximity/Timing: When is the issue likely to
reach its climax?
What can we do to Affectability: The organization's capacity to
influence or counteract? influence the issue.
How bold will we be? Profile: Willingness of the organization to be
proactively identified with the issue.

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Jaques: Crisis management relational model

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Class activity 1 -
Let’s list some issues facing Grab

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Class activity 2 -
Let’s looks at some risks facing RMIT campus
Issues Risk – yes/no? How likely
(low, medium, high)
People falling downstairs
Cyber-security breach
Bad rap on social media/press
Declining student enrolment
Fire
Vandalism to computer labs
Govt takes away our license
Assault on a student
Injury in the gym
Food poisoning at campus café

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RMIT Classification: Trusted

Class activity 3 - Case Study

TOYOTA RECALL CRISIS

Questions

[1] What is the issue?

[2] Identify other potential issues Toyota may face.

[3] How did Toyota respond to the crisis?

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RMIT Classification: Trusted

Class activity 4 – Case Study

ZALO FEE COLLECTION CRISIS

Questions

[1] What is the issue? Explain

[2] Can you make some consequeces Zalo may face if they collect
fee from non-business users?

[3] How did Zalo respond to the crisis?

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RMIT Classification: Trusted

References (1)

AdWeek (2014). Graphic: crisis magnified. Viewed 29 Jan. 2019,


https://static.adweek.com/adweek.com-prod/wp-
content/uploads/sites/8/2014/09/Crisis-magnified.jpg
Carpenter, E. (2008: Graphic: Perception vase. Viewed 29 Jan, 2019,
http://bp0.blogger.com/_Avtt0o7q5_4/R8gsqaANE4I/AAAAAAAABOU/omC7ttcIaO8/
s1600-h/perception_vase.gif
The European Union Agency for Network and Information Security (ENISA) (2019)
Graphic: crisis just ahead. Viewed 29 Jan 2019,
https://www.enisa.europa.eu/news/enisa-news/cyber-crisis-cooperation-
report/@@images/c609c245-05ac-463c-be4c-0564d51f9293.jpeg
Law, S. (2014). The Power Of Teamwork. Viewed 29 Jan. 2019,
https://youtu.be/vtXKQOtNWPg

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RMIT Classification: Trusted

References (2)

MIPTV (2018). Photo: CONFERENCES. Viewed 29 Jan. 2019,


https://www.flickr.com/photos/mipmarkets/40446292185
St. Tammany Parish Library / Charles Schulz (n.d.) Graphic:
Lucy_Peanuts_Reference. Viewed 29 Jan 2019.
https://stpl.bibliocommons.com/events/uploads/images/full/3e36a30815b93ae68dba
3d595b514ae5/Lucy_Peanuts_Reference.jpg
TNC (2018). Graphic: Communication Planning Process process-icon-1-1024x534.
Viewed 29 Jan. 2019, http://reefresilience.org/wp-content/uploads/process-icon-1-
1024x534.png
TNC (2018). Graphic: Communication Planning Process strat-comms-def-2018.
Viewed 29 Jan. 2019, http://reefresilience.org/wp-content/uploads/strat-comms-def-
2018.png

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