Transcription

Handle Difficult Situations

You might have heard about the tussle between Apple and Samsung regarding the IPR issue which was failed to be
negotiated behind closed doors and finally was settled in the court, drawing a lengthy legal battle between the two
technology giants. In 2011, Apple sued Samsung for replicating the aesthetics for its marquee iPhone series. In
retaliation, Samsung dual sued back Apple with respect to non-payment of royalty for use of its intellectual property.
Both wanted to avoid legal battles, as Samsung is a major supplier for Apple products.

However, negotiations did not bear fruit, as the case was settled in court, which ended Samsung paying millions of
dollars to Apple. This example makes us understand that be it a professional or the personal context, having expertise
in terms of negotiating with the other party is imperative to have fruitful results at the end.

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In this segment of the discussion, we will try to learn and understand art of effective negotiations. Let's first try to
understand what exactly is a negotiation. Negotiation is defined as an interpersonal decision making process that is
necessary whenever we can't achieve objectives single-handedly (as per Thompson). However, Bazerman and Moore
says, when two or more parties need to reach a joint decision but have different preferences, they usually enter into
negotiations. Now, as we know what exactly is the negotiation, let's try to quickly understand various classifications
or categories of negotiations.

Negotiations are broadly categorised into two – formal discussions and informal discussions. Whenever you are
entering into a negotiation with your prospective employer in terms of job offer, that comes under the category of
formal negotiations. Similarly, when you are negotiating or bargaining with your supplier, that can also be a formal
negotiation on behalf of your company. However, when you are trying to negotiate the work terms with your
colleagues in terms of understanding the work process, that can be informal in nature. Similarly, when we are trying
to convince a client for a delayed delivery, it can also be under the category of informal negotiations or discussions.

Another important classification of negotiations is distributive and integrative negotiations. Distributive negotiations
are based on the principle that resources are finite and they have to be distributed between the parties involved.
Whereas integrative negotiations are based on the principle that a mutually beneficiary approach can expand the pool
of resources which are to be shared, creating a win-win situation for both the parties. Under distributive negotiations,
the strategy followed is to win at the cost of the other parties, resulting into a win-lose situation. In integrative
negotiations, the strategy is to collaborate with the parties who are involved in the negotiation. Distributive
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negotiations usually promote the attributes of individualism whereas integrative negotiations promote the attributes
of relationship building and mutual benefit. The narratives used during such distributive discussions are close ended
in nature, whereas the narratives used during integrative negotiations are usually open ended and inclusive.

As you understood the basic and the generic classification of negotiations, let's quickly move on to another important
model of negotiation, which is known as Dual Concern Model of negotiation. This model proposes 5 different
negotiating strategies based on two dimensions. One, what is the concern that you have towards the other party’s
interest and what is the amount of concern that you are showing for your own outcome out of negotiation? Based on
these two dimensions, there are five different negotiating strategies that can be adopted. When both your own
interest in the negotiation outcome and your concern towards the interest of the other party are low, this kind of a
negotiating strategy is known as withdrawing negotiating strategy. As the name indicates, you will try to withdraw
yourself from the negotiation process, reason being, neither you are interested in your own outcome, nor you are
interested in the outcome of the other party. The second category of negotiation strategy, when you are having high
levels of concern both for your own outcome and the outcome of the other person, that negotiation strategy is named
as collaborative negotiation strategy, where you will try to collaborate with other party in terms of creating a win-win
result or situation for both the parties involved in negotiation process.

Third category of negotiating strategy as per the dual concern model where your concern for the outcome of the other
party is high and your own interest in the negotiation outcome is low. This kind of a negotiation strategy is known as
conceding in nature. You want to lose at the cost of winning of the other party. You want to accommodate the other
party more at the cost of your own loss.

Fourth category of negotiating strategy under this model where your self-interest is dominating when compared to
the interest of the other party, this kind of a negotiating strategy is known as contest in nature. As the name indicates,
this negotiation will result into one party winning at the cost of the other party, resulting into a win-lose situation.

Last and final category of negotiating strategy under this model is where you have moderate level of interest in your
own outcome and a moderate level of interest in the outcome of the other party, such a negotiating strategy is known
as compromising in nature. Though this negotiating strategy won’t result into a complete win-win situation, it is better
in relative comparison with other negotiating strategy where only one party is winning at the cost of the other party.

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Now, let's try to understand the four key concepts in a negotiation process. The first element in the negotiation process
is understanding BATNA, which stands for Best Alternative to a Negotiated Agreement. The second element is knowing
our reservation or the walkaway price. This is essentially the least preferred solution that we are expecting, and yet
we are satisfied with this option. The third important element in the negotiation process is ZOPA, which stands for
Zone of Possible Agreement. As we know that in each bargaining or the negotiation process, there are two parties.
Any range that is between the two BATNAs of both the parties will fall under the category of zone of possible
agreement. That means for this zone at one end BATNA of one party will be there, whereas in the other end the BATNA
of the second party will be there. Finally, the fourth important element in the negotiation process is Value Creation
Through Trade. Always try to have something at your perusal to the negotiation table which can enhance the value of
the other party, ultimately resulting into your own win in the negotiation process.

Let's try to understand these four important elements in the negotiation process with an example. Kumar is on a
lookout to buy a second-hand phone and approaches his friend Suresh, who has an old phone that he wants to sell.
Suresh is willing to sell his phone at a price of rupees 12,000. Hence, this forms his preference. Under ideal
circumstances, Kumar would like to pay rupees 7,000 for a second-hand phone. So, this is his preference. Kumar finds
the exact model that is in a similar working condition being sold online for Rs. 9500. So it forms his BATNA. That is,
best alternative to a negotiated agreement. Unless Suresh can offer a price which is lower than the one he has offered
already, Kumar might prefer buying the phone online for Rs. 9500. Suresh, after posting it online, is able to get offers
of up to 8000 rupees. So that will be his reservation price. And he might be able to make a deal with Kumar at any
point in this zone of possible agreement, that is ZOPA. However, if Suresh has another buyer who is willing to pay Rs.
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10,000 for the phone, then this will become his best alternative to negotiated agreement, and no agreement might be
possible between Kumar and Suresh.

By now, we have a minimum knowledge about understanding what is negotiation, what are the various categories of
negotiations, and important components or elements of negotiation. Now, let's quickly move on in terms of
understanding a nine-step protocol that helps us in reaching effective negotiations. One, consider what a good
outcome can be for both you as well as for your counterpart. It may not be the best outcome, but the intention of this
particular homework is to create a win-win situation for both the parties in the negotiation process. Identify all the
potentially value-creating avenues that are available and that you can bring to the negotiating table. Do a proper
homework in terms of understanding the BATNA, reservation price both for you as well as for the other party. This
helps in the negotiation process in terms of creating a win-win situation.

Shore up your BATNA. Being open in negotiation process helps in creating win-win situations, at the same time
avoiding win-lose situations. So it is always a good thing to have alternatives for the negotiated agreement. Fifth
guideline or the fifth point that has to be remembered in negotiation processes is, anticipate whether there is any
possibility for the authority. These kind of circumstances or situations may arise when one party is relatively having
more authority due to the resource availability or due to the dependency of the other party. Do a thorough homework
whether any such issues are going to be prevailed during negotiation process. Learn all you can about the other party

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in terms of their culture, the value systems, and how they have framed the issue that they have brought to the
negotiation table.

Another important element for effective negotiation processes is try to gather information about external standards
and criteria which are relevant about fairness in bargaining agreements. Try to be as flexible as possible and be open
for the negotiation of the other party. Expect enough road bumps and delays in the negotiation process. At the end,
try to always alter the process of negotiation in your favour by creating as many value creation venues for the other
party as possible.

Another important element that we need to keep in mind for negotiation success is how to manage emotions during
negotiations. This is a three-step process, starting from closely observing the emotions of the other party to diffusing
fear and manoeuvring the emotions and effectively strategizing these emotions. Let's try to understand each in detail.
In terms of observing emotions, try to be inquisitive and pose questions so that emotions can be stimulated in the
counterpart. Try to perceive the sentiments of the other party during responses by paying close attention to both their
verbal and non-verbal cues.

The second important component in managing emotions is diffusing fear and manoeuvring emotion. Engage with your
counterpart in terms of communication with an objective of evoking optimum emotions in them. However, don't try
to manipulate, but guide the sentiment of talks towards building synergy. Finally, reflect and then respond after
factoring in emotions of counterpart.

Third and the last important component in managing emotions is how you can effectively strategize the emotions.
Express yourself, which is based on due diligence of stakeholders and history of engagements. Always be prepared
with a contingency plan, that is, Plan B, for alternative scenarios which are acceptable for the parties who are involved
in the negotiation process.

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Considering the learnings in this session, let's look at the acquisition of Lucasfilm by Disney as an example for successful
negotiation. George Lucas, the owner of Lucasfilm, has contemplated producing a new trilogy of Star Wars films
through Lucasfilm, but he was concerned regarding significant time commitment, an estimated 10 years to make three
films. Thus, he contemplated selling his company and entering retirement, but grappled with the consequences of
losing control of the cinematic universe he had created. Here, prospective buyer, the Disney Movies owner Bob Iger
and George Lucas engaged at a personal level, managing emotions effectively to avoid their zone of possible
agreement and making it a win-win situation for both the parties, where Disney consolidated status as the market
leader in the superhero genre, and for Lucasfilm it was assured of involvement in script creation and regular release
frequency of movies. Thus, a successful deal was concluded worth 4.05 billion dollars, half in cash and half in stocks.

Giving and receiving feedback or two of the inevitable managerial functions. Imagine yourself where you are supposed
to give annual feedback in terms of performance appraisal to your subordinates, or you may be at the receiving end
of your performance appraisal from your superior. How do you feel in both contexts? Scared? Worried? Tense?
Thinking that you may not be effective in terms of giving the feedback, particularly when the feedback is negative or
constructive. This makes it an imperative thing to understand and inculcate the art of giving and receiving effective
feedback. So, this is going to be our topic of discussion for today's session.

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Let’s first try to understand what exactly is feedback. Feedback is conceptualized as information that is provided by an
agent. Here, the agent can be your teacher, your peer, a book, your own family members, yourself, or your past
experience. And the information provided by this agent would be regarding the aspects of one’s performance or
understanding.

Now, why feedback is important? In general, and in particular in our professional and corporate lives, feedback helps
us in reinforcing the positive behaviour in other individuals. Whenever you appreciate the actions or the behaviour of
the individuals, they make sure that such positive behaviours would be repeated. Another important function of
feedback is, apart from appreciating the positive behaviour and actions, feedback process also helps us in correcting
the mistakes and errors in the form of redirecting behaviour. This would facilitate you in rectifying the mistakes or
giving an opportunity to the other person where they can improve upon their actions and behaviours. Feedback also
ensures to have an open communication in organisations. Apart from this, feedback plays a very important role in
solving the problems.

Feedback is most likely to have a positive and lasting effect when it focuses on behaviour that the recipient is able to
change and its delivery is well timed, making us to understand the importance of timing of feedback. It is important
for us to understand when to give feedback and when not to give feedback. Whenever you feel there is a need to
recognise the good work, performance, or behaviour of the individual, it is good to give a pat on the back in the form
of your positive feedback. On the other hand, when you think that I don't have complete information which is required
to offer the feedback to the other person, please avoid giving feedback. Now, coming back to deciding what is the
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appropriate time for feedback, whenever there is a situation wherein feedback and motivate the person in terms of
improving his and her skills that’s exact time for giving the feedback. But if the receiver does not seem to be
emotionally stable in terms of receiving the feedback offered to him or her, you can postpone the feedback process.
When you realise that the person is already expecting a feedback and the underlying problem of the recipient can't be
ignored, it has to be addressed then and there, this is the most appropriate time for giving the feedback. However, if
the solution for the problem is not yet formulated at your end which can help or facilitate the recipient, you can avoid
giving feedback.

At this juncture, let's move on to understand different types of feedbacks. Feedbacks can be broadly classified into
two categories - reinforcement or affirming feedback, and the second category is redirecting or corrective feedback.
Reinforcement or affirming feedback is used when we notice positive behaviour and this positive behaviour or positive
actions of the individuals are positively contributing to their and the organization’s performance. If we are giving
feedback about the same to the individuals, this falls under the category of reinforcement feedback, where we
encourage the participant to continue with the existing positive behaviour, performance, and actions. On the other
side, where we have redirecting or corrective feedback, the main purpose of this kind of feedback is where we try to
rectify the actions. When we point out that the present behaviour actions of the individual are not contributing either
to their own performance or the performance of the organisation, we essentially involve in redirecting behaviour
where the objective is correcting the existing performance, actions, or behaviour of the individual.

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Now, the important question arises, what are the aspects on which I can give the feedback and what are the aspects I
can avoid giving the feedback? Look at the continuum which is there on your screens. On the extreme left, we have
aspects like job skills, time and work management, whereas on the extreme right we have the personality traits and
habits of the individuals. Whenever you are giving the feedback, your objective or purpose is to influence the
behaviour of the individuals. So, when you move towards the extreme left-hand side, they are the aspects that it easy
to influence. It is easy for you to give the feedback on the job skills or the time or the work management of the
individuals, to some extent even on the knowledge levels. However, when we move towards the right extreme of the
continuum, i.e., towards habits and personality traits, they are highly difficult to be influenced. They are ingrained
inherently into the individuals. So, it is better to avoid giving feedback on the aspects like personality traits, habits,
and attitudes because they are highly difficult to be influenced.

Let's spend some time in terms of understanding various models of feedback, starting with B.E.T model. This is also
known as a model used whenever we want to give positive feedback to the individuals. B.E.T stands for an acronym
which is like identify the behaviour, particularly identify the positive behaviour of the individual. For example, the
positive behaviour can be being on time. Or, your subordinate has performed extremely well in the ongoing project,
any kind of positive feedback that is positively contributing for the organization and for the individual. So, identify that
particular behaviour. Then, appreciate what kind of impact this positive behaviour is having, both on the team, on the
individual, and on the overall organization's progress. This is the second element effect. Appreciating the impact
created by the individual with the help of his or her positive behaviour. Finally, close the feedback with a thank you
for their positive behaviour, which in turn is contributing for the upliftment of the team, or the overall performance
of the organization. In a nutshell, B.E.T model is used in identifying, appreciating the individuals whenever they indulge
into positive actions and positive behaviours.

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What if, if you come across some sort of negative behaviour or negative actions, or the actions that are not in alignment
with the expectations? For this situation, we use the next model of feedback, which is known as B.E.A.R model of
feedback. Like B.E.T model, B.E.A.R model also starts with identifying the behaviour or the actions or the performance
of the individuals. Essentially, the negative aspects. In a nutshell, identifying those behaviours, actions, and
performances that are not aiding, or not aligned with the expectations from the individual. Then, bringing in the effect.
What kind of effect these negative actions or behaviours or performance of the individual are having on the individual
himself or herself, on the team performance, and on the overall performance of the organization? That is, we are
trying to bring it to their notice what kind of negative impact their negative actions are having. Then we will come up
with a suggestion in terms of alternatives for the existing behaviour, or existing actions. In this stage, we will try to
suggest an alternative course of action to the individual. Finally, we will end with the result. If the individual changes
his course of action from the existing to the new suggested alternative course of action, what kind of results can be
expected out of such behaviour? In simple words, whenever you want to go for corrective feedback mechanism,
B.E.A.R may be an appropriate model to be followed.

Moving on to the third model of feedback, it is popularly known as SANDWICH model of feedback. As the name
indicates, you need to stuff the important element at the crux of your feedback between two positive phrases. So, the
process can go like this. You can start with the positive feedback to the individual in terms of a prize, appreciating their
recent actions, performance, our behaviour and how it is contributing to the oral organization's performance. Then
slowly you can bring it, the criticism part. The areas or the behaviours or the actions which you want to be modified

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by the individual. This is the negative part of the feedback or the corrective mechanism. Finally, end the feedback
process again by bringing in some of the positive performances, actions, and behaviours of the individual.

By now, it is clear for us how important feedback is. Giving feedback is not the only element that has to be mastered.
At the same time, receiving feedback is equally important. Let's try to spend some time in terms of understanding
what are the things that we need to keep in mind so that we can become effective whenever we are receiving feedback
from others. Carefully listen to the comments, be it the criticism or the comments or the information provided by the
other party whenever they are giving feedback to you. Control your feeling of justifying your actions or behaviour.
Don't start jumping to justifying and defending yourself. Try to be open in terms of accepting the views, opinions, or
the comments given by the other person. Try not to be rigid. The moment you start closing yourself, it would be a
waste of time for both the parties involving in a feedback exercise. Once you receive the feedback inputs from the
other party, be it your supervisor, peer, or the family members, carefully try to process the information and give a
proper thought like how you can incorporate the suggested changes in your existing actions and behaviour. After
incorporating the suggestions, keep a track of what kind of progress you are making after accepting the input in terms
of suggestions, criticism, or the feedback from the other person. By involving into these practices on a regular basis,
we can become good in accepting the feedback, criticisms, and comments from the other individuals. This can also be
a prerequisite when you start giving feedback to the other person in terms of empathizing with them.

One of the most important contexts for difficult conversations and communication is handling crises. Before
understanding the details of crisis and crisis communication, various strategies of crisis communication, let's look at
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this example of Pepsi to see how they mitigated a crisis that could have led to the fall of the brand name forever. In
1993, a couple has claimed to found a syringe in a Pepsi tin can, which further created a storm of similar reportings
and accused Pepsi for lack of product safety. Pepsi dealt with this crisis by launching informative videos on the
mechanics of how the cans are manufactured and processed, thus removed doubts on safety from the minds of the
general public. Pepsi also worked closely with the FDA to investigate the acquisitions. For that, Pepsi was able to get
hold of the footage where the couple deliberately inserted the needle in the Pepsi can and debunked the myth. FDA
continued the investigation with the help of Pepsi and was able to convict the couple for false acquisitions and rested
the case. This is how, when successfully managed, a crisis can be averted.

Let's now discuss in detail the concepts regarding crisis and crisis management. Before that, it would be interesting
for us to understand what exactly is crisis and what is crisis communication. Crisis can be an event or incident that
threatens the survival or reputation of an organization. Coming to crisis communication, the communication of the
organization in the event of crisis used to minimize the crisis impact on their reputation can be known as crisis
communication. Before moving to crisis communication strategy, it may be interesting to know the different categories
of crises that may hit your organization.

We'll be talking about three broad categories of crisis, starting with victim. Under this type of crisis, your organization
is not at fault, but rather can fall as a victim of the ensuing crisis. The second category of crisis is intentional crisis,
where the company is accused for consciously triggering a crisis event. That is, the company is deliberately creating a
situation or an event that may turn the events as a crisis. Third category of crisis are accidental in nature. Although a
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company is held accountable, but not to have caused crisis deliberately. Though the company's involvement is there,
it is not deliberate.

Now we know what is crisis and what are the different categories or types of crisis, let's try to understand what kind
of threats, particularly the reputational threats a crisis can pose on the organization. These threats can again be
categorized into three categories. Economical threats: As the name indicates, what kind of adversarial effect can the
crisis have on the bottom line of the company in terms of its economical and financial performances? The second
category of threat can be threat to social perception. It is that crisis can challenge the brand equity issues about your
brand or the organizational reputation in general. How the crisis is compelling the stakeholders or the general public
to change perception about your company from positive to negative. Finally, there can be a threat to trust quotient.
This may be a challenging threat from the perspective of protecting shareholder interest. When the shareholders lose
trust in terms of your organization, they may not be interested to invest further.

Now, let's move on in terms of evaluating the crisis threats. It is important for us to understand the level of response
required based on the nature and the intensity and the damage caused by the crisis. So, what you are expected to do
is, identify the nature and criticality of the crisis before deciding on the extent of response. Because you need to tailor-
make your communication strategies based on the kind of impact and the threat posed by a particular crisis. The
second important thing is evaluating the threat to company's reputation. Under this, we need to assess the extent of
impact the incident, i.e., the crisis might have had on image of the organization. So whatever strategies we adopt in
order to overcome this is face-saving and image protection strategies.
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Now, let's move on to understanding the vital cogs of crisis communication. First and foremost, the most important
thing is, foresightedness. Try to create an inventory of feasible solutions based on potential crisis scenarios which
might occur in future. So you need to forecast what are the all possible or the potential crisis that may hit the
organization, either based on your past experience, or following the industry trends, or taking the learnings from the
other, similar organizations in terms of the crisis faced by the respective companies.

Moving on to the second important vital component is fast-tracking execution. You need to be swift in engaging
personnel who can help in damage control. This step is very, very crucial during the crisis process. Try to keep all
communication channels open for disseminating of relevant information. At the same time, ensure that the uniformity
of message is there.

Another important element that has to be kept in mind is transparency and having ethics. Don't camouflage the facts.
Try to engage stakeholders in a participatory manner. You need to send the signals that your company is trying to be
transparent in terms of providing all the relevant information and data related to crisis. At the same time, you are
bound and stick to your ethical performances.

Now, let's try to understand the vital cogs that we have just discussed by having a practical application of them, taking
New Zealand's strategy for managing COVID-19 crisis. Starting with foresightedness, the government enhanced the
enhancement of testing capacity, despite relatively small sized population. Moving on to the second important
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component, fast-tracking execution. Under this, what the New Zealand's government has done is, the implementation
of lockdown transpired on an urgent basis before the actual crisis has hit the nation. Finally, in terms of ensuring
transparency with the general public and the society as a whole, the government started addressing the nation with
the true picture on a regular basis. You might be knowing through the news that the PM is directly involved in all these
aspects, creating an element of trust in the mind of all the citizens of New Zealand.

Now, let's quickly move on to understand what are crisis communication strategies and what we need to keep in mind
in terms of chalking out an effective crisis communication strategy. The crisis communication strategies can be broadly
categorized into two to three segments, like pre-crisis strategies, post-crisis strategies, which inherently include the
strategies to be adopted during the crisis. Now, let's spend some time on understanding different crisis strategies in
different stages. Coming to pre-crisis stage, your important strategy could be keeping a watch out for probable crisis.
What we discussed in the earlier sections as potential crisis. Then create a contingency plan, sensitize personal to
potential risk avenues. These are some of the important communication strategies that we need to follow before the
actual crisis hits the organization.

Now, what kind of communication strategies are required when the actual crisis has hit the company? This we will
discuss under post-crisis communication strategies. Analyse the scale of damage, be it in terms of economic or in terms
of the casualties that may happen because of the crisis. Always keep a tab on consequent sequence of the events, so
that you can understand the pattern of the events that are unfolding. Make an informed decision with all the relevant
data and facts at your hand.

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Now, the time to discuss in detail pre-crisis communication strategies. Your pre-crisis communication strategies need
to always start with anticipating the crisis. In order to perform this particular activity, you can identify and gather your
crisis communication team, conduct some brainstorming exercises on identifying potential crisis scenarios. For this,
you can use your own past experience. If your company has the past record of hit by any crisis, what were the
circumstances then, can be a good starting point to identify potential crisis. If not, you can use the other companies
which are operating in the same industry in terms of various crises faced by those organizations. Another starting point
which is useful can be, especially for intentional crisis, whether your company is planning to have a future merger,
acquisition, or turnaround plan. It can also be a good starting point in identifying potential crisis scenarios. By involving
in this particular exercise, we may actually prevent the crisis by simply modifying the existing plans or preparing
ourselves for possible responses during a crisis. Once we are done with this exercise anticipating crisis, before moving
to the next important communication strategy, one of the important elements that we need to keep in mind is,
anticipating crisis is not a single-episode exercise. You need to keep on doing this particular exercise on a regular basis.

Let's move on to the second communication strategy, identifying the right team and the right spokesperson for your
crisis communication. Crisis communication teams essentially comprise pre-screened and trained spokesperson.
Because how you are presenting your case in front of the stakeholders is the most important element in crisis
communication that decides how you are able to handle the crisis. Spokespersons have to be identified in terms of
having a right mix of right skills, right position, and right training, so that they should be effectively communicating
through various channels of communication. So, I talked about three rights here. You need to choose a spokesperson
with right skills, occupying a right position in the organization, and received right amount of training in terms of acting
as spokesperson.

Let's spend some time on understanding spokesperson training in detail. The stakeholders of your company may
misinterpret or misunderstand the organizational information if it is not delivered effectively. The spokesperson of the
company should minimize the happening of such potential event. That's the reason why we are stressing upon having
a spokesperson with three rights at hand - right skills, right position, with right amount of training.

Establishing monitoring systems is one of the important elements in crisis communication strategies. Established
notification systems will allow you to rapidly reach your stakeholders using multiple modalities. Gather the intelligence
on crisis prevention and crisis control, which includes the media response. So, it's important for you to closely and
keenly monitor what is the happenings in the market with respect to crisis of your organization. Monitoring feedback
further allows you to accurately adopt the strategy, bring in some sort of modifications, if required, and adopting
suitable tactics for handling the crisis.

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The next important communication strategy that we need to keep in mind is, knowing our stakeholders. It is very
important for the organization to identify the important stakeholders, both internal and external. Ensure that the
stakeholders receive the message as is required to be communicated further. Make sure you are giving them the right
amount of information, right piece of information at the right time.

The final pre-crisis communication strategy is, be ready with some holding statements. These are the messages which
are designed for the use of immediately whenever a crisis breaks or hits the organization. The organization's crisis
communication team should regularly review these holding statements to determine if they require revision or can be
used as it is. It's a good idea to have different sets of holding statements for different kinds of crises. For example, if a
natural calamity hits your organization and resulting into a crisis, you can have a different holding statement when
compared to the crisis of having a fire accident in the organization.

During the crisis and post crisis, the following communication strategies can be handy. Observe and track the media,
particularly during the crisis. Track the reports with the mention of organization for future analysis. It also helps us in
terms of having a sentiment analysis. That is, analysing the sentiment on social media reports. What kind of sentiments
are burning in the minds of the stakeholders? How you need to effectively handle them?

Number two, convene meeting with the stakeholders. Evaluate the efficacy of the organization's response. Try to
analyse where plan could have been improvised. Moving further, try to update the communication plans as and when
they are needed. Update the crisis communication plan with new insights and learnings gathered from stakeholders
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and media. Share the revised plan with key team members highlighting the revision. Specially with the spokesperson.
Next, communicate with the team members on a continuous basis. Communicate the crisis mitigation and learnings
with the team members. Here, three things we are trying to communicate. What is the actual crisis, how it has been
mitigated, and what are the key learnings from the crisis? You can also ask for suggestions from the team which can
improve the plan in future.

Let's try to reflect the learnings that we have in terms of crisis, crisis communication, various strategies to be followed
or kept in mind during crisis communication with a real-time example. In 1982, Tylenol was responsible for 19% share
of Johnson & Johnson profits and was leader in painkiller market, but in the same year seven people died due to the
consumption of tampered Tylenol tablets. Johnson & Johnson's chairman reacted to the media coverage of deaths on
consuming Tylenol by immediately constituting a 7-member strategy team. The immediate response of the team is to
recall a massive volume of product, with an estimated cost of 100 million dollars from the shelves and advocated the
users not to consume Tylenol until further clarification from the company. Even post crisis, the company made
nationwide presentations to educate the consumer base and relaunch the product with enhanced safety to avoid
tampering, rather than just pleading innocence. The company chose the consumer safety first approach for long-term
association, rather than just pleading innocence, thus effectively handling the post-crisis communication.

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