The perils of natural disasters such as Hurricane Sandy remind us of just how little control we can have over our business operations at times and just how quickly our fortunes can turn.
While we would certainly never wish for devastating events to occur, when they do, we must be prepared for them, and if at all possible, use these moments as opportunities to grow as organizations and support our communities.
There are a few critical actions that all businesses can take to be prepared for moments of crisis and ensure that employees and customers know the protocol for handling times of hardship. I’ve outlined some measures that I have taken – as well as others – in my business career that have proven invaluable in maintaining confidence during times of duress.
Communicate
Communication is such an important component of a successful, prepared business – especially during times of difficulty. Management must communicate effectively to its employees the protocol for conducting business, and the company must communicate to its customers about the procedure for orders, service, shipments, etc. (as best as known.) In the case that an event can be anticipated, advance measures should be taken for communicating the expected needs of all employees and customers such as:
- Alternatives to main office space (company meeting place)
- Alternative means of communication (company hotline, intranet or message board)
- Emergency contact information
- Any changes to company operations (to be posted on company website and sent via email and social media channels)
- Email to specific cohorts of customers addressing any specific needs they may have
It is better to over-communicate and risk being too thorough than not sharing enough and leaving people guessing, especially if information can be conveyed before power outages or other disruptions to regular channels of communication occur. At my company MyCubesafe.com, we sent out emails to our customers with contact information and posted personal messages via Twitter and Facebook letting people know how they could get in touch with us. Just letting your customers and employees know that you are there for them goes a long way in showing the care and support that is needed during difficult times. It is far easier to manage events before a crisis occurs than to manage a crisis. Try to be as prepared as possible, and use effective communication to chart out the course of business as far in advance as possible.
Save
During times when normal business is interrupted, but financial obligations remain, it’s imperative for a company to have cash or credit reserves at their disposal. Financial responsibilities such as payroll, technology, hosting, and insurance must be funded even if the typical sales cycle is curtailed. Keep cash on hand, and for items such as payroll, call your bank to work out a plan with them in as far as advance as possible to make sure payments are made in a timely manner.
Many companies that are lenders of credit will adjust their policies to accommodate their customers as inoperable systems come back online. Make sure to check with them to know what their revised standards are. American Express, for example, communicates effectively in letting their members know the services that are available to the company’s customers during times of irregular events. View the American Express website to see how they communicate to their members.
Support
If you are in a position to support those in your community either financially or by volunteering time, it is a great way to build meaningful connections with your neighborhoods, clients, and company families. We must all remember that business is about relationships and caring.
The companies that are able to lend a face to their brand and connect with people on an emotional and personal level are those whose businesses tend to thrive when normalcy is restored. In fact, this is why we are in business in the first place: because we believe that we have a product or service that is better than anything in the marketplace. If you can’t deliver the main product from which you typically derive your sales, then go above and beyond in delivering your caring and support to your clients. Care and support are two of the most meaningful currencies that you can offer the social marketplace that will further add value to your brand – and to others’ lives. You want to be known as reliable, compassionate, and trustworthy because you genuinely care about your various client families.
Respond (rather than react)
In times of duress, it is easy to react impulsively rather than respond thoughtfully. Sometimes you have to make quick decisions that are necessary to reserve the security of your business and family. But whenever possible, think through your options and have patience. Times of crisis don’t call for a perpetuation of crisis, but rather require a restoration of calm. If you are forced to make a quick decision, keep it simple and focus first on the action that will mitigate the greatest source of pain. Then address ancillary issues as you buy you and your management team more time.
While much of this advice might seem most applicable to an established business, it is equally relevant for a startup – because you are a young company, you have the opportunity to set a positive cultural tone from the outset of your business life. It is important that you develop a strong culture early in your business that embraces qualities such as communication, community, and service. Always be thinking of the integrity of your organization: what you are all doing individually to support the culture of your organization and community if there is an absence of visible leadership.
Every company has a culture, and as we are reminded by the eminent business consultant Peter Drucker: "Culture eats strategy for breakfast." Culture takes over when the leader leaves the room. Set up the right culture so culture can always lead your team and community no matter where the leader is.
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