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Fewer companies developing crisis management plans

Crises continue to be in our newspaper headlines, lead stories on radio and television broadcasts and posts on social media networks. And crises continue to affect businesses in many forms and continue to occur without notice.

Crises continue to be in our newspaper headlines, lead stories on radio and television broadcasts and posts on social media networks. And crises continue to affect businesses in many forms and continue to occur without notice.

But what’s happening where we work in response to this continuing trend of crises?

Are businesses preparing for crises by developing crisis management plans?

Do you know if your company has a crisis management plan or a business disaster recovery plan?

Does it have a crisis communication plan?

The American Management Association did a survey in 2005, asking 105 executive members and customers to determine if crisis management plans were, indeed, in place.

According to the results, more than half (60 percent) of all U.S. companies surveyed have crisis management plans, a downward trend from two years prior (64 percent). And, as we know from a later survey, that figure is continuing to fall.

Among those companies that do have crisis management plans, they also have addressed concerns different from those of previous years. The greatest concern was for natural disasters (77 percent), followed by more traditional risks such as technology system failures (73 percent) and industrial accidents (65 percent), as well as risks from crime (31 percent), terrorism (46 percent) and major fraud (18 percent).

When planning for a crisis communication plan, companies are focused more closely on their senior management team (79 percent) and employees (84 percent) than on family members (38 percent).

More than half of all respondents say their organization has designated a crisis management team (56 percent) and half have conducted crisis drills or simulations (50 percent). And 38 percent have trained key personnel in crisis management skills.

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