High-profile crisis management in Australian and New Zealand organisations (original) (raw)

2007, Asia Pacific Public Relations Journal

This thesis demonstrates that it is paramount to develop crisispreparedness strategies and practices based on empirical research, in order to improve an organisation's ability to manage effectively and, ultimately to survive, a high-profile crisis event. Although there are many high-profile crises that have been managed successfully by applying strategies to make organisations more resilient, there is still considerable confusion and uncertainty about the way these crises have been evaluated and the way their success can be measured in relation to other crises. There are no international crisis-preparedness standards in relation to a set of crisis outcomes indicators that could be applied. This lack of empirically proven relationships between crisis-preparedness strategies and their effect on crisis outcomes makes the identification of effective strategies very difficult. Case studies, anecdotal evidence and a limited number of empirical crisis management studies (i.e. effect on share price) suggest a great variability in the effectiveness of certain strategies and practices that have produced inconclusive results. This study analyses the strategies variability to advance knowledge in the field of crisis management. The purpose of this study is to address the gaps and contradictions in the literature. The study achieves this purpose by investigating the relationships between crisis preparedness: strategic preparedness, stakeholders' relationships, crisis histories and the outcomes of a crisis event, using qualitative and quantitative methods and innovative ways to operationalise these concepts. A high-profile crisis management model (HPCM) was developed from the literature to show the theoretical relationship between crisis-preparedness dimensions and crisis outcomes. Hypotheses were developed and tested based on the relationships we identified in the model. The relationships were tested using quantitative information from 50 organisations which experienced a highprofile crisis. The tested hypotheses were further explained by utilising four qualitative case studies of Australian and New Zealand organisations. Preface This research was funded by an ARC Linkage grant, with industry partner, Media Manoeuvres. This research had the full support of the Public Relations Institute of Australia (PRIA) and the Public Relations Institute of New Zealand (PRINZ). Marnie Collins from the Statistical Consulting Centre of the University of Melbourne provided advice to carry out the quantitative statistical analysis in the thesis. The Centre for Global Innovation and Entrepreneurship was instrumental to gained access to crisis experts from the European Academy of Crisis Management and other sources of information. I was assisted in the editing of this thesis by Dr. Jo Stubbings from Ink Sling Writing, Editing, and Proof Reading Services; Erina Reddan and Clare Kermond. Acknowledging all the people who provided assistance to me in this academic adventure is, in itself, a very daunting task, as one always runs the risk of forgetting to put a key name in the thesis puzzle. Firstly, I would like to thank my Supervisor Associate Professor Mile Terziovski for his full support and dedication. Professor Terziovski was the academic guide that with enthusiasm, energy and professionalism helped me to walk to the end of this road. Professor Mile worked long hours in this project and he was always available for critical discussion. I'd also like to thank my associate Professor Danny Samson for his useful advice, particularly during the confirmation process. My academic and PhD colleagues were invaluable in testing and teasing at the various arguments in this thesis to strengthen and deepen it. And, of course, for the support through the ups and downs of undertaking such a demanding piece of research. I'd like to acknowledge the administrative staff of the Department of Management, the School of Graduates, the Melbourne Research and Innovation Office, for their unending patience and support. Particularly because they were brave enough to test the boundaries of the ARC linkage limitations to help me retain the financial assistance necessary for me to complete this thesis. My thanks and appreciation goes also to Sam Elam and her Media Manoeuvres team for supporting this research, as well as to Robert Masters, former president of the Public Relations Institute of Australia, who gave me feedback and facilitated access to research respondents in Australia and New Zealand. Thanks to my friends in the Sindicato who kept me more or less sane in our weekly meetings. And thanks, too to my wife's family, especially Kate, who supported this research by looking after my children when deadlines pressed closer. My own family in Mexico has been a profound source of support as well, for which I thank them. Finally to my wife, Erina, and my daughters, Maya and Alena, who have been endlessly patient and the unwavering force behind my motivation to complete this adventure. I dedicate this thesis to Erina for being my music and to Maya and Alena for being the instruments that played it.