the role of the executive and the trustees in a crisis robin swinbank
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The role of the Executive and the Trustees in a crisis Robin Swinbank. The Counsel House. An independent ‘virtual’ consultancy providing interim management, consultancy and crisis management services. - PowerPoint PPT PresentationTRANSCRIPT
The role of the Executive and the Trustees in a crisis
Robin Swinbank
The Counsel House
An independent ‘virtual’ consultancy providing interim management, consultancy and crisis management services.
Provides senior management with access to a team of some of the UK’s most experienced independent consultants.
Our consultants have worked in airlines, banking, charity, engineering, IT, professional services, railways, etc.
Handled a number of high-profile issues and crises for major public sector organisations and FTSE-listed companies.
The role of the Executive and the Trustees in a crisis
What is a crisis?
The role of the Executive and the Trustees in a crisis
A crisis is something that can result in:• a boycott of your company’s products or service• loss of consumer confidence• damaged trade relations• a dramatic fall in share price• low staff morale / inability to recruit• major lawsuits• reduced credit ratings• immeasurable damage to the company's
reputation• demands for resignations• the loss of a license to operate• possible closure of part or all of the company
What is a crisis?
The role of the Executive and the Trustees is a crisis
• BP oil spill• $11.2 billion clean-up bill• $20 billion compensation
fund for victims• US DoJ investigation pending -
potential lawsuits• At its worst, 30% + drop in
share value.
• Care home 'abuse' caught on film
• Four arrests after patient abuse caught on film
• Undercover reporter 'haunted' by abuse of patients
It can happen to any organisation, large or small:
What is a crisis?
The role of the Executive and the Trustees is a crisis
• Two-tier reporting and involvement are required • Needs both the commitment and involvement of the trustees and the
executive• In some cases, a corporation can afford to be seen as a ‘bad boy’
whilst a charity cannot• A reputation lost in the voluntary sector maybe harder to regain than
in the commercial sector• The management teams in the voluntary sector are probably less likely
to have been prepared to face a crisis
Crisis management is different for a charity
What can the Trustees do in a crisis?
The role of the Executive and the Trustees is a crisis
• Provide gravitas, experience and advice• Offer a ‘sounding board’ for the executive• Review and approve crisis plan (plus media statements)• Offer the objective opinion, both to the executive and to the media• Act as the senior spokesperson / figurehead• Mentor the executive• Bring in external expertise if required• If appropriate, remove or replace a dysfunctional executive
What can the Executive do in a crisis?
The role of the Executive and the Trustees is a crisis
• Develop and execute a crisis management plan• Identify and communicate with ALL the stakeholders that matter• Act as frontline spokesperson for the organisation• Respond to enquires and issue statements• Monitor what is going on• Keep the team ‘onside’• Report to the Trustees• Go when ‘the game is up’
Crisis management – the strategy
The role of the Executive and the Trustees is a crisis
The overriding strategy is to set out to be in a better position after the crisis dies down than the one you were in before the crisis arose.
A ten-step plan for crisis management:
The role of the Executive and the Trustees is a crisis
1. Be prepared2. Start to take the initiative3. Develop a sympathetic persona4. Set your own agenda5. Make the media your ally and not the enemy6. Create effective channels of communication7. Know your target audiences8. Front up your own defence9. Find objective and authoritative allies10. Don’t reinvent the wheel
Six case studies in the voluntary sector:
The role of the Executive and the Trustees is a crisis
1. Child-protection charity chief executive convicted2. Charity boss falsely accused of sexual abuse3. Care worker accused of stealing from a service user 4. Teenage welfare charity accused of letting children in its care take
drugs5. Care charity who had child with learning difficulties in its care
involved in a fatal accident6. Nursery boss accused with child abuse
The role of the Executive and the Trustees is a crisis
John F Kennedy
“The Chinese use two brush strokes to write the word 'crisis.'
One brush stroke stands for danger; the other for opportunity.
In a crisis, be aware of the danger- But recognise the opportunity.”
The role of the Executive and the Trustees is a crisis
What is it like being caught in the media spotlight?
Imagine being interviewed on Newsnight by Jeremy Paxman
Or being door stepped at home by a media pack…
…and they ask you a question…
The role of the Executive and the Trustees is a crisis
… ‘Tell me, is it true, have you stopped embezzling your charity yet?’
Now try and answer the question without incriminating yourself!
The role of the Executive and the Trustees is a crisis
Welcome to the world of crisis managementAlthough you are completely innocent …
• Answer ‘yes’ and it implies you have been embezzling funds.
• Answer ‘no’ and its implies you are continuing to embezzle funds!
Win a £1,000 donation to your charity• Please fill in a feedback form before you leave to be in with a chance to win
• Plus, receive a free guide to insurance
For more information, contact us at:
Conference House Ltd. 24 St. Clements Passage, Huntingdon, Cambs. PE29 3TP
07831 [email protected]
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Thank you for listening