COMM2699

Issues, Risk and Crisis Communication

Week 4:
Crisis Response Strategies

2021s3
Last week

• Media theories: Framing, agenda setting

• Stakeholder analysis / mapping
This week

• Review: Environmental scanning

• Crisis Response strategies and theories
• Consultation for A1

3/30/21 3
Road map

W2: Locating W3: W4: W6:

& Tracking Stakeholders Crisis Crisis Comm.
Issues, Risks and Issues Response Planning and
and Crisis Management Strategies Messaging

W7: Social W10:

W8: A2 W9:
Media and Preparing for
Group Media
Social Press
presentations Relations
Listening Conference

W11: Press W12: A3

conferences due
4
Review
Reputational risk …

• Is an event that has the potential

to negatively impact stakeholder
perception

• Yum! A donut! Why?

Image source
Criteria for prioritizing 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 influence Affectability: The organization’s capacity to influence the

or counteract? issue

How bold will we be? Profile: Willingness of the organization to be proactively

identified with the issue
What is media framing?
• Framing: the selection of some aspects of a perceived reality
that are highlighted in order to advocate a particular issue
(Entman 1993).
• Framing defines an event or a specific issue and sets the
tone of the debate at the same time (Tankard 2001).

10/31/19 8
Theory: Agenda setting
• Agenda setting is the ability of media to determine “salience”
of issues, or the process of retrieving an issue in the
audience’s memory.
• Setting an agenda is also influenced by a person’s perception
to certain beliefs. For example, a person who is highly
sensitive to political issues would regard political news as
important.

10/31/19 9
Environmental scanning
• A process which an organization can use to systematically
gather and interpret relevant data which identify issues,
threats, opportunities
• Basically, we listen, observe, think about what is “out”
there that can hurt our reputation now or in the future
• An organization gathers information about the external
world, its competitors, its external stakeholders, and
• Its internal world (i.e. employees, investors, management)
• Then responds to the information through strategies and
plans as needed
Source: Ghosh, A. (2016)
How-to environmental scanning

1. Monitor & listen:

• Think about your stakeholders. How are they most likely
to talk about your company – on social media, at
school/work, through feedback to your website, by
buying/selling company stock?
2. Prioritize what you hear
• What are the most common topics/themes?
3. Research so you can make informed decisions
• How popular is this issue among key stakeholders?
4. Decision-making based on research findings
• Now that we know, what do we do?
Review: Stakeholder mapping
Crisis
response
strategies

Source: Kalvin PR (n.d.)

Top theories

• Tim Coombs: Situational Crisis

Communication Theory (SCCT)
• Spin-off theories: Networked
Crisis Communication Theory
(NCCT)
• William Benoit: Image Repair source

Theory
Remember, crises evolve in stages

An organization’s
response to a crisis
has to be dynamic
and fluid to address:
• Changes occurring
in the crisis itself and
• Changing occurring
in public
perceptions about
the crisis Source: National Restaurant Association (2008)
Situational Crisis Communication
Theory
What is SCCT?
Situational Crisis Communication Theory
• SCCT can protect an organization’s reputation during a crisis
by identifying how stakeholders will react to the different
crisis response strategies
• Stakeholders’ perceptions of a firm in crisis are influenced
by:
• The organization’s reputation prior to a crisis
• The organization’s response to the crisis (its self-defense)
• The organization’s perceived responsibility for the crisis
Source: Dean 2004, cited in DeGategno, S.Z. Exploring how two-phase crisis response strategies influence
public perceptions of an organization in a corporate social responsibility-related crisis 2014.
What is SCCT?
Situational Crisis Communication Theory

• The ultimate goal of any crisis response =

restoration of the company’s image
• Companies use crisis response strategies to
• Repair the reputation
• Reduce negative affects and
• Prevent negative behavioral intentions
What is SCCT?
Situational Crisis Communication Theory
• A framework for understanding a crisis situation based on
attribution theory (the blame game)
• People try to explain the causes of events, activities,
behaviors, etc. (often this means blaming … )
• People make attributions based on the information available
• Attributions shape stakeholders’ attitudes and behaviors
toward the organization in crisis
• Crisis managers can use SCCT to protect their organization’s
reputation during a crisis by identifying or predicting how
stakeholders will react to the different crisis response
strategies
 How to apply SCCT
1. ‘Perceived’ responsibility/ causes of events
• The public will try to assign responsibility for the crisis
(attribution theory). There are three categories of crises:
Remember: Perceptions don’t need to be factual to be
“real.”
The victim cluster “It’s not your fault. It’s the heavy rain
that collapsed that wall.”

The accidental cluster “It’s not your fault. It’s just an

accident that the car hit the wall.”

The preventable “It is YOUR fault! Your managers

cluster stole the money so the wall wasn’t
built properly in the first place.”
 How to apply SCCT
1. ‘Perceived’ responsibility/ causes of events

Assess the type of crisis the organization faces:

• The victim: very little attribution / blame that
organization is responsible (e.g. natural disasters,
workplace violence)
• The accidental: low attribution / blame that the
organization is responsible (e.g. sector challenges,
technical-errors that cause accidents or product
harm)
• The preventable: Stakeholders strongly believe that
the organization is responsible (e.g. management
misdeeds, human error that causes accidents or
product harm)
 How to apply SCCT
1. ‘Perceived’ responsibility/ causes of events

Two factors can intensify public opinion toward an organization

facing a crisis:
• The organization’s history of crises
• Have similar problems happened before to this company?
How bad were they?
• A company’s prior negative reputation (so it starts out
under a dark cloud of public opinion)
• If either or both factors exist, people will attribute greater
responsibility to the organization for the crisis
• Consider: Dolce & Gabbana crisis in China and the
company’s history of controversial advertisements …

Source: DeGategno, S.Z. Exploring how two-phase crisis response strategies influence public
perceptions of an organisation in a corporate social responsibility-related crisis 2014).
How to apply SCCT
3. Two kinds of information to provide

Instructing Telling people what to do to protect

information themselves during the crisis
Don’t drink the water! It’s bad

Adjusting Providing information that helps people

Information cope physically & mentally with the crisis
Everything is under control now, we
update you the progress.
If you feel unwell, contact us or 911 or
local media service
Source: DeGategno, S.Z. Exploring how two-phase crisis response strategies influence public
perceptions of an organisation in a corporate social responsibility-related crisis 2014).
 How to apply SCCT
3. Four kinds of messaging

Example: A water pipe burst stops water service to a village

Instructing “Don’t drink the water! It’s bad!”

Adapting Informing stakeholders in order to relieve the

psychological stress of uncertainty
“The water service will be back by 8 p.m. today. In the
meantime, here’s some bottled water.”
Corrective Stakeholders want to know what is being done to
actions protect them in the future
“We’re installing new pipes, so this kind of accident
won’t happen again”

Expressions of “We apologise for the inconvenience this water cut has
concern caused you, your family, your business, etc
 How to apply SCCT
4. Response strategy
Deny Strategy - I am not involved, it is a rumour, I am a victim
Completely re-assigns the blame away from the organization.

Diminish Strategy - I am involved, but not direct and …

Minimize the amount of responsibility placed on the organization
by justifying and offering excuses for the company's actions.
 How to apply SCCT
4. Response strategy
Rebuilding Strategy - I am involved, and it is my mistake
Redeeming the organization's reputation by taking responsibility
for the crisis and offering apologies or compensation to those
affected by the outcome(s).
Bolster Strategy - I am involved, it is my mistake, but I am a
good guy serving you for years
Position the organization as an asset to its stakeholders. This is
achieved by reminding stakeholders of the organization’s former
good deeds and praising stakeholders for their dedication and
loyalty.
 How to apply SCCT
5. Response types
Strategy Example

Attack the accuser Manager confronts the person / group claiming

something is wrong with the company
Denial Manager: “There is no crisis!”
Scapegoat Manager blames a person or group outside of the
company for the crisis
Excuse Manager minimizes company’s responsibility by
denying any intent to do harm and / or claiming
inability to control the events that triggered the crisis
 How to apply SCCT
5. Response types
Strategy Example

Provocation Manager claims crisis was a result of the company’s

justified response to someone’s actions
Defeasibility Manager claims a lack of information led to the crisis
Accidental Lack of control over events leading to the crisis
situation
Good intentions Manager says company meant to do well

Justification Manager minimises the perceived damage caused by

the crisis
 How to apply SCCT
5. Response types
Strategy Example
Reminder Manager reminds people about the company’s past
good work
Ingratiation Manager praises stakeholders for their actions

Compensation Company offers money or other gifts to victims

Apology Company takes full responsibility for crisis, asks for
forgiveness
How to apply SCCT
5. Plan strategy to deal with the situation
How to apply SCCT
5. Plan strategy to deal with the situation
Tim Coombs: Situational Crisis
Communication Theory

• Aarhus School of Business, Aarhus University (2009)

Situational Crisis Communication Theory (7:03)
• Institute for PR (2013). Situational Crisis
Communication Theory (clip) (2:29)

On Canvas too
Networked crisis communication
Theory
SCCT has evolved into NCCT

• Networked crisis communication theory (NCCT)

• Created by Utz, Schultz & Glocka (2012)
• SCCT is good but it neglects the role of social media
in crisis communication
• NCCT is a network-centered theory
• SCCT focuses on the organization itself
• NCCT takes into account different social networks
such as networks of social relations and social media

The medium used to communicate matters

more than messages to communicate
 What is NCCT?

• Social media are important in crisis management and

communication since it connects people directly to
information
1. By using social media, an organization signals that it
cares about stakeholders, wants to reach them quickly
and directly.
2. It also signals that the organization might be willing to
listen to their feedback.
3. Crisis communication via social media leads to higher
reputation and fewer secondary crisis reactions
(meaning negative messages are less shared /
forwarded).
Another version:
Social Mediated Crisis Communication
• Popularly used in emergency situations with at-risk
populations (natural disasters, health public issues, etc)
• Key points:
• It’s very import to strategically matching crisis information
form (traditional media, social media, word-of-mouth)
and
source (organizations, govt agencies, third party people,
etc) when organizations respond to crises
• Influential embedded in these populations can create
information suitable for and attractive to their peers

Remember, match the Form of the message + the

Source of the message to the Target Audience
Crises evolve in stages

• How should an organization adapt its response

strategies to fit the various phases of a crisis? (pre-crisis,
crisis handling, crisis recovery?)

• How does public perception of an organization’s

response at the onset of a crisis affect public perceptions
of the organization in the later stages of a crisis?

• How should the organization respond in order to

improve or change the perceptions held by key
stakeholder groups towards the organization as the crisis
begins, continues and ends?

• Remember media theories around framing!

 Ex: MH370 / Malaysian Air (2014)

Action Stakeholder response

Phase 1 Malaysian Airline and the Malaysian Public began to speculate about
govt did not respond immediately what was happening (the information
to plane’s disappearance void fills with rumors)

Phase 2 Airline and govt began sharing a Families and public to accuse them of
variety of disorganized information hiding the truth
and publicly speculated on what
might have happened
Phase 3 Airlines and govt said, without Families and the international
supporting evidence, that ‘beyond community rejected this strongly
reasonable doubt’ the plane was lost
and there were no survivors

Phase 4 Long search began to find the Rumors are still circulating on social
missing plane media, harming the reputation of the
pilot and co-pilot and their families.
Image Repair Theory
William Benoit : Image Repair Theory

Perception is fundamental to image restoration, as the

accused actor will not engage in a defensive strategy unless
the perception exists that he is at fault. The actor who
committed the wrongful act must decide on the strategy of the
best course based on their specific situation. Factors such as
credibility, audience perceptions, and the degree of
offensiveness of the act must be taken into account.

On canvas
William Benoit : Image Repair Theory

The nature of attacks or complaints that prompt responses to

corporate crisis:
1. The accused is held responsible for an action.
2. That act is considered offensive.
No matter what happened, we can’t let the stakeholders to
form an unfavorable impression of the corporate

On canvas
William Benoit : Image Repair Theory

Perceptions are more important than reality:

1. Whether the business in fact is responsible for
the offensive act is not important, but whether
the firm is thought to be responsible for it by
the relevant audience is more important.
2. Whether if the act was in fact offensive is not
important, but whether the act is believed by
the relevant audience(s) to be heinous is
important
On canvas
William Benoit : Image Repair Theory

Different stakeholders have different interests,

concern, and goals. The crisis communicators
must identify the most important audiences (or
prioritize important audiences) to target

On canvas
Image Repair Theory –
Response Strategy
Rather than describe the kinds of crisis situations or the
stages in a crisis, the theory of image repair focuses on
message options.

Strategy Examples
Keep silence “No comment”
Denial “It did not happen.”
“I did not do that.”
Evade responsibility “I didn’t know it was wrong.”
“It was out of my control.”
Image Repair Theory –
Response Strategy
Rather than describe the kinds of crisis situations or the
stages in a crisis, the theory of image repair focuses on
message options.

Strategy
Reduce offensiveness (bolstering,
minimization, differentiation, attack
accuser, compensation)
Corrective action
Examples
“I’m a good person. I won’t do that.”
“The problem is not that bad.”
“I will fix the problem.”

Mortification “I admit responsibility and ask for

forgiveness.”
Do stakeholders accept these strategies?

Strategy SH responses
Full apology and request for forgiveness, with or without Very high
compensation acceptance
Corrective actions and actions to prevent recurrence of crisis High
Ingratiation (i.e.; organization’s mentions its past good deeds, Mild
praises of SH) acceptance
Justification (organization tries to minimize damage from crisis, Mild
claiming to be victim of crisis too) acceptance
Excuse (organization tries to minimize responsibility, denies Mild
intention to harm or says that it had no control over events acceptance
Denial, where organization claims no crisis occurred No acceptance
Attack the Accuser: Organization confronts those who say a No acceptance
crisis exists, may threat legal action.

Source: Coombs, 2010

Should you apologize?

• Harvard Business School (2019). 3 Questions to Answer

in an Apology (2:09)
• CBC News Canada (2018). The business of saying sorry
and why corporate apologies are complicated (4:18)
• How much “legitimacy” does one of these speakers
have?
• Do you think Mark Zuckerberg’s apology is effective?
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Should you apologize?

• Harvard Business School (2019). 3 Questions to Answer

in an Apology (2:09)
• CBC News Canada (2018). The business of saying sorry
and why corporate apologies are complicated (4:18)
• How much “legitimacy” does one of these speakers
have?
• Do you think Mark Zuckerberg’s apology is effective?
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Six elements of an effective apology

Expression of regret People will reject apologies that they perceive to be

insincere.
Explanation of what went People don’t want to hear excuses, but an
wrong explanation and telling your side of the story can help
understand can give perspective.

Acknowledgment of People will reject the apology if they think you haven’t
responsibility learned from your mistake.
Declaration of repentance Show that you have learned and will change

Offer of repair Show you are taking steps to fix a situation by doing
Step A, Step B, etc
Request for forgiveness Tricky! Some people will forgive and move on. Others
will not or will reject your apology.
It’s good practice to always ask for forgiveness.
source
Case Study: Krispy Kreme donuts

KARE 11 (5 Nov. 2019). Digital

Dive: Krispy Kreme strikes a deal
with doughnut delivery guy
(2:31)

Image source: Krispy Kreme Facebook

Case Study: Krispy Kreme donuts

KARE 11 (5 Nov. 2019). Digital

Dive: Krispy Kreme strikes a deal
with doughnut delivery guy
(2:31)

Image source: Krispy Kreme Facebook

Putting in Action: Donuts

• Environmental scanning: Krispy Kreme learned

about Jayson Gonzalez’ actions through a
newspaper article (26 Oct)
• Actions: Krispy Kreme firmly tells Gonzalez to
stop reselling their donuts (3 Nov)
• Social Listening: Social media backlash begins
immediately!
• Gonzalez had been reselling the donuts for eight
months before the news coverage.
• So, is there a crisis if there is no media coverage?
Putting in Action: Donuts

From Jayson’s
Facebook page
Putting in Action: Donuts

From KK’s
Facebook
page
Putting in Action: Donuts

From KK’s
Facebook page
 Putting in Action: Donuts

From Twitter
(#boycott krispy
kreme)
Let’s discuss

Scenario: You work in Krispy Kreme’s corporate communication

office
• Is this a crisis? Is this a risk?
• What would be your response when you first hear that
someone was reselling your product at a markup price?
• What would you say? Who would you “message?” How bold
would you be?
• Now, after you’ve monitored and analyzed the social media
comments, does your response strategy change?
• What do you do/say now? To whom (stakeholders)?
• A stakeholder power/influence map helps here!
SCCT and Donuts

Lessons learned from Krispy Kreme

• Constantly monitor the press/social media
• Quick response to protect the brand …
• Be willing to change your strategy in the face of
stakeholder comments and social media unrest

Image source
SCCT and Donuts

SCCT helps an organization protect their reputation during a

crisis by identifying or predicting how stakeholders will react to
the different crisis response strategies

Goals:
• Repair the reputation
• Reduce negative affects and
• Prevent negative behavioral intentions

• In your opinion, how successful was Krispy Kreme is

protecting its reputation in this event?
Case study: MasterFood
• What was the crisis scenario that they involved?
• What were their response strategies? Message(s)?
• Where were tactics/media that they used?
• What are lesson learned from the case?
Case studies
Case study: Vietnam Airlines
• December 2020, Vietnam Airlines apologized for the
COVID-19 infections originating from a flight attendant who
failed to follow quarantine regulations.
• VA admitted that its quarantine facility’s management and
monitoring board were at fault.
• VA said all quarantine regulations had been explained to its
staff.
• VA emphasized its top priority is to ensure the COVID-19
prevention and control tasks for the flying public and its staff
• VA temporarily suspended the head of its cabin crew
division.
• The flight attendant received a 2-year suspended jail term
(March 2021).
Case study: Vietnam Airlines

• Is this a crisis?
• What type of crisis?
• Victim?
• Accidental?
Preventable?
• What is the crisis
response strategy? source

• Was it effective?
Next week

• Let’s firm our groups

• A1 due Friday!
• Crisis planning and messaging
Copyright © 2021 RMIT University Vietnam