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Saturday 29 January 2011

6 main principles of PR in the crisis situation




 
Sometimes there are situations when negative information about the company goes out of control and threatens the business. That may be true, as in the case of batteries ignition in laptops of famous manufacturers or falsification as "syringe panic" around the Pepsi in 1993. Every crisis is different, but there are some general guidelines that will help find a way out. Following them, PepsiCo is not only out of the crisis, but even broke a five-year sales record.
  1. The speed and stay ahead. When the situation got out of control, the company is in the "catching up" position. The first day of the crisis is a crucial time, to be followed by the reaction of the company. Procrastination creates an information vacuum. Do not even hesitate, it will be immediately filled with rumors, speculation and commentary competitors.
  2.  Information transparency. It is necessary not only to provide the media with all the necessary information, but also to answer questions of  any audience in sufficient volume. In 1993, PepsiCo made visits of the journalists to the company's factories, helped in the shootings, explained in detaisl the principles of equipment work and why the syringes were not physically able to get into the cans with drink. Moreover, even ordinary Americans could call the company and ask a question. Dozens of people were ready to respond the hotline anytime. Every question that remains unanswered is food for speculation. Any lack of information immediately filled with rumours. If the crisis was provoked by the company enemies, they will take advantage of the situation. For example, you can be asked what kind of material is used for the bottles plug for the drink. If you leave the matter unattended, you can soon crawl rumors that  you make plugs of lead or  uranium. Audience will "eat" any even unbeliavable information. Better say that plugs are made of special plastic, that passed every kind of  test, non-toxic and hypoallergenic.
  3.  Honesty. Honesty is the best policy. This proverb has a financial basis. It would be naive to believe that the controversial moments are not interestin for the journalists. If journalits are interested, you can be sure: sooner or later the truth will come out. Hiding the truth and the destruction of documents could not save Enron, but at the same time has ruined the once prosperous auditing company Arthur Andersen, involved in the scandal. If the company made a mistake or there was an accident at the enterprise , it is better to openly admit it, be the first to announce the comments and action plan. So did Deutche Bank, which in 1994 became the victim of a swindler Schneider. It was a severe blow to the reputation. The Bank didn't not just admit his mistake, but also funded the completion of projects initiated by Schneider. "No worker will pay for our mistakes," - said the press service of the bank.
  4. Initiative. You must become the main source of news about what's happening around your company. Even if you have to disclose negative information, it is better to do it yourselves. In any case someone gets the initiative, and better, if you are, because then you will be able to give your own interpretation of events.Make media play according to your rules. The mechanism of action is simple: journalists like to receive information before anyone else. Give it first, and journalists will take it from you. Provide enough information, with details and reporters won't  seek it  from other sources. Provide information in advance, and then the alternative source would be simply uninteresting.
  5.  Coordination. It is important to understand that any disagreement within the company will be interpreted not in your favor. If the manager says one thing and his deputy simultaneously gives an interview where he says the opposite, the affair receives an unfavorable version. In a crisis, the fact of disagreement within the company itself  undermines the credibility and confidence in the case of crisis - it is the second key factor after time. PepsiCo in its time wasn't only carefully instructing their employees what and how to say about the case, but was also sending out the information to all their members and connected businesses.
  6. Work with multiple levels. In a crisis, the audience is not limited to the media. People at PepsiCo worked on several levels:
  • Media: Press conferences and visits to enterprises were organized to journalists; consultants worked to provide journalists with any sufficient information,informational materials were prepared, even the details of packaging technology were given to the media.
  • Consumers: Special informational videos were provided for consumers (videos were even launched on satellite channels), in broadcast and traditional media explaining why the syringes just physically could not get into the can with Pepsi.The company distributed information directly.Special hotline was organised, and any citizen could ask a question.
  • Employees and partners: The staff was given the information about  the incident and the correct interpretation of events. And all the partners of the company were given the detailed information.
  • Governmental organizations: PepsiCo didn't only cooperate with the FDA, but  actively participated in the investigation and provided full access to information.There were other groups such as company's shareholders. For each group specific arguments and information is given, it is delivered to the  audience by the appropriate kinds of channels.

To cut it in a nutshell I can say, in a crisis situation the company must respond quickly, act in advance, work in coordination to get the initiative and become the main source of information at all levels and avoid the information vacuum.

Thursday 27 January 2011

Crisis: danger or opportunity?



Crisis is an event that happens in every sphere. The development of the world is impossible without striking situations that can affect the industry or even destroy the business. But luckily people try to  learn from mistakes.
However,a proverb says "it  is easier to preclude, than to cure", many actions on crisis PR and management are taken after the strike happened. These actions are taken to destroy the effects that already exist.
However these days much attention is paid to the preventive measures and actions in the first hours/days of crisis.
There can be 2 ways out of the situation-if use the crisis correctly and do everything wisely, crisis can become a friend,not a foe.
After the Pepsi "syringe crisis" it has been reported that actually Pepsi bacame even more  recognisable trademark than before,the sales of Pepsi after the crisis went up rapidly and it left rival Coca-Cola behind.
This is an example when a crisis can become an opportunity.
The example of a bad crisis management is BP (BP spills oil).

Actually as the crisis is a challenge for the company,it is also a gerat challenge for PR practitioners.
Completing the role of connectors between the world and the organisation, PR profs have a lot of things to do. They have to make right decisions and right moves to overcome crisis and what is more important leave the brand audience still loyal.
It is also a great challenge for PRos to"make a credible showing" and to support the high level of professionalism.

These days PRos have such tool as Social Media. Actually it can also become a friend or a foe.
With the invent of Internet and Social Mrdia platforms,news now spread even quicker than before.
But just imagine what can happen when news is bad for your roganisation?
In this case you should be really fast in your decisions. (See the presentation of Ogilvy below)


PRos play an extremely important role-their decisions either save or kill the brand.
The Chinese sign of "crisis" comes to my mind this time
It consists of 2 concepts:danger and opprtunity. Chinese people are clever enough to understand that crisis can be both.
So it seems that Chinese sign supports my article this time and really explains a lot.


Here is the Presentation of Ogilvy: Social Media For Crisis Management



Here are 2 videos from Youtube: Parodies on BP.
That is how crisis management SHOULDN'T work






Tuesday 25 January 2011

The War Spin - When PR and War mix together


On the last session of our studies in the University Of Westminster we had a great opportunity to watch a BBC film on war spin.
The theme is extremely essential as "war spin" seems to appear almost in every war.
The example we saw was the story of Private Lynch, that became a war hero in the times of Iraq War.
The media widely covered the issue of a poor 19-year-old girl captured by Iraqis and saved by the US forces.
Actually when the film began I couldn't quite understand what happened on the screen: soldiers with guns were running under  the song of 50Cent. Looks weird. It all seemed like the shots from a movie,not like a real documentary. All the moves,words and actions of the army-guys seemed to be rehearesed.
Well actually it all was a fiction.
Private Lynch wasn't captured and tortured by Iraquis,she was perfectly fine in one of the Iraq hospitals,and all the personnel treated her well.
According to one of the witnesses it was a complete madness.The forces broke into the hospital and acted like heroes of an American action movie.
Actually one member of staff who helped the girl to be passed to the US army forces (while actually it wasn't allowed for him by Iraq law) was killed by the US army.
He was killed for his help!
Isn't it absolutely crazy?
Meanwhile the American journalists in Iraq covered the issues happening in Iraq at that time.
Tip here: They were passing from 12-16 hours in the depot.
Question: how could people who sit all day long in the depot,not seeing what is actually happening around write the truth?
Answer: By no means

So here is the essence: the US government used the inability of people know the truth and their lack of information of what is happening in Iraq to promote US actions as only possible, reasonable and important.

The slogan of this war is "Maximum imaginary-minimum insight".

Well, here I can say, comes the concept of PR ethics. I know that political PR has never been really ethical,bit how can it all be so dirty and unjust?
I think PR profs should fight more for their profession to be seen as ethical. Isn't it the theme of conversations held for such a long period of time?

Anyway, US PR profs and the government had an extremely distinct view of what they wanted to get as the result of their actions. They had clear tactics and strategy. And it is really hard to say that their actions were unsuccessful. The huge nation and some other countries of the world believed in the US actions.
Taking my eyes away from the problem of Iraq I can say just one thing- here PR people worked well.It's hard to deceive so many people,but the US Government and PR professionals made it. 
The got what they wanted.

I think that we as ordinary people,as well as journalists (in this case locked on the depot) should get the access to the information on a free basis, so that it is our idea whether to believe military forces and government or not.
Unfortunately, I think, it won't be realistic in future.
Here comes the power of people. Noone wants to lose it so easily. 
These days the power is in the hands of those who have the information and believe me-they won't let us bite even a tine bit of their "power" cake.


P.S. For you to think:

George W Bush succinctly explains his job- The catapult of Propaganda


Pro-War Ad




Thursday 20 January 2011

Well Let's Get Acquainted

Hey!
My name is Yana and I'm a student of the MA PR and Communication of the University of Westminster,London, UK.
This is my first expirience in PR but anyway I'm planning to become very much expereinced and as a result get a great PR job =)
My background was related to the Linguistics and Translation, so actually  Ican tell you a lot about Onomatopea or Allophones =)
But I decided to change my life completely and let something new and interersting enter my life,so I hope this blog will become useful for you and great fun.

Enjoy =)