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A lifebuoy that supports in deep water
Master’s Thesis 30 credits Department of Business Studies Uppsala University Spring Semester of 2017
Date of Submission: 2017-05-30
Nadia Bazydlo
Sofia Wallin Supervisor: Anna Bengtson
- A qualitative case study investigating how an external actor can support an organisation in crisis
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Acknowledgements
For making this thesis possible we would like to thank the respondents at Prime for taking
their time to participate. Without your effort in sharing your knowledge and experiences, we
would not have been able to perform valuable results.
Furthermore we would like to thank our supervisor Anna Bengtson, for her great support and
for her constant availability by giving us guidelines during periods of crises. She also helped
us to achieve our goals and encouraged us to make the paper as good as possible by giving
suggestions for improvements. We also want to thank our seminar group who have given us
valuable and useful feedback during the whole process.
We wish you a pleasant reading and that you will gain valuable insights within this subject,
since you never know when your next crisis will appear.
__________________________ __________________________
Nadia Bazydlo Sofia Wallin
Uppsala University, Uppsala, May 30th 2017
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Abstract Problem Crisis management has never been as important as it is today. Considering that
criticism is being spread in a fast pace through social media, the reputation of
an organisation can quickly be damaged. Several organisations however lack
internal knowledge about crisis management. The majority of the previous
research about crisis management has been conducted from the organisations’
perspective. There is however relatively little research done from an external
actor’s role in supporting an organisation in crisis.
Purpose This study aims to contribute in the crisis management and communication
field by investigating how an external actor can support an organisation in
crisis.
Method The study was conducted through a qualitative single case study of crisis
management support provided to firms by one external actor, a PR-agency.
Primary data for the case was collected from six semi-structured interviews.
Conclusion External actors are a suitable helping hand in crises because they possess
experience and knowledge in media and crisis communication and can view
the situation objectively. Crisis consultants support their clients by providing a
response strategy that is built on being honest and open. Proactive and post
work are not prioritised by clients but are highly important for crisis
preparedness and building a strong reputation. Social media is a standard part
of today’s crisis communication but is also a demanding channel that creates
incentives for hiring external support.
Keywords Crisis management, Crisis communication, Crisis Consultancy, PR-agency,
Reputation, Social Media, External support, Social-Mediated Crisis
Communication Model (SMCC), Situational Crisis Communication Theory
(SCCT)
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Table of Contents
1. Introduction .......................................................................................................................... 1 1.1 Background ...................................................................................................................... 1 1.2 Problem discussion ........................................................................................................... 3 1.3 Research purpose .............................................................................................................. 4 1.4 Thesis outline ................................................................................................................... 5
2. Theory ................................................................................................................................... 6 2.1 Organisational crisis ......................................................................................................... 6 2.2 Different types of crises ................................................................................................... 6
2.2.1 Origin approach of crises ......................................................................................... 6 2.2.2 Influence and predictability approach of crises ........................................................ 7
2.3 Management consulting ................................................................................................... 8 2.3.1 Crisis consulting ........................................................................................................ 9 2.3.2 PR-agencies ............................................................................................................... 9
2.4 Three stages of crisis management ................................................................................. 10 2.4.1 Pre-crisis ................................................................................................................. 11 2.4.2 Crisis Response ....................................................................................................... 11 2.4.3 Post-crisis ................................................................................................................ 12
2.5 Crisis communication ..................................................................................................... 13 2.5.1 Situational Crisis Communication Theory .............................................................. 13 2.5.2 The social media environment ................................................................................. 15
2.6 Reputation ...................................................................................................................... 16 2.7 Model of analysis ........................................................................................................... 17
3. Method ................................................................................................................................. 19 3.1 Research approach .......................................................................................................... 19 3.2 Research design .............................................................................................................. 19
3.2.1 Qualitative research ................................................................................................ 19 3.2.2 Case study ............................................................................................................... 20
3.3 Data Collection ............................................................................................................... 20 3.3.1 Primary data ........................................................................................................... 20 3.3.2 Secondary data ........................................................................................................ 21
3.4 Selection process ............................................................................................................ 22 3.4.1 Selection of Case ..................................................................................................... 22 3.4.2 Selection of Respondents ......................................................................................... 22
3.5 Operationalisation .......................................................................................................... 24 3.6 Data collection process ................................................................................................... 25
3.6.1 The interview process .............................................................................................. 25 3.6.2 Data collection from internal lecture ...................................................................... 26 3.6.3 Data analysing ........................................................................................................ 26
3.7 Ethical considerations .................................................................................................... 26 3.8 Critical reflection ............................................................................................................ 27
4. Empirical Findings ............................................................................................................. 28 4.1 About Prime ................................................................................................................... 28
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4.2 The supporting actor ....................................................................................................... 28 4.2.1 Support from a crisis consultant ............................................................................. 29 4.2.2 Clients ...................................................................................................................... 29 4.2.3 Easier said than done .............................................................................................. 30
4.3 Crisis origin .................................................................................................................... 30 4.4 The life cycle of a crisis ................................................................................................. 31
4.4.1 Proactive work ........................................................................................................ 31 4.4.2 Taking action ........................................................................................................... 32 4.4.3 After action .............................................................................................................. 33
4.5 The audience perspective ............................................................................................... 33 4.6 The connected place to be .............................................................................................. 33
4.6.1 The use of a social media specialist ........................................................................ 34 5. Analysis ............................................................................................................................... 36
5.1 When and how to expect a crisis .................................................................................... 36 5.2 External support ............................................................................................................. 36
5.2.1 Dealing with difficulties .......................................................................................... 38 5.3 Stages of a crisis ............................................................................................................. 39
5.3.1 Preparation for possible battle ............................................................................... 39 5.3.2 Dealing with trouble ................................................................................................ 39 5.3.3 Cleaning up the mess ............................................................................................... 41
5.4 The shifting media usage ................................................................................................ 42 5.4.1 The demanding side ................................................................................................. 43
5.5 The outside perception ................................................................................................... 44 6. Conclusion ........................................................................................................................... 46
6.1 Managerial implications ................................................................................................. 48 6.2 Limitations and future research ...................................................................................... 48
References ............................................................................................................................... 49 Appendix 1 - Interview Guide - Crisis Management .......................................................... 57 Appendix 2 - Interview Guide - Social media ...................................................................... 58 Appendix 3 - The Ten Commandments used in Social Media ........................................... 59
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1. Introduction
The following chapter provides a background to the topic of crisis management and gives a
further explanation of the shifting technological environment. A problem discussion is
thereafter presented that describes and motivates the relevance of the topic, followed by a
research question.
What have an earthquake, corruption, and dishonest communication in common? They are all
examples of incidents that can cause crises. Crises that can affect different levels of the
society, from individual to global impact. In a world that is perceived to be uncertain and
changeable, crises can easily expand and cause huge damage for those being involved.
Organisational crises often occur as irregular and unexpected events that can create high
uncertainty and become a threat to an organisation (Coombs, 2007; Ulmer et al., 2009). It can
furthermore damage a reputation and be a risk of affecting the viability of the company
(Ulmer et al., 2009). Even though a crisis is an unexpected incident with high risks for the
organisation, the damage and appearance of it can however be managed and reduced with the
right knowledge, tools, planning and preparation (Gage & Reinoso, 2002).
The past decade has witnessed plenty of unexpected upheavals that have put organisations
into crises. Some of them have emerged by internal controllable actions (initiated from issues
inside the organisation) and others by external incidents (initiated without any influence from
the organisation) (Jin et al., 2014). The eruption of the volcano Eyjafjallajökull in Iceland is
one example of a crisis that can be interpreted as an external crisis due to the fact that it
happened independently without any controllable impact. This paralysed the whole air travel
in Western and Northern Europe, which in turn affected many other actors negatively
(Nilsson, 2010). Another example is the recent Volkswagen emission scandal, which can be
perceived as an internal crisis that is generated by organisational actions. Volkswagen had
intentionally been dishonest about the nitrogen oxide emissions from their cars, which made
the communication deceptive towards their clients (Spencer, 2015).
1.1 Background
Considering today’s uncertain environment, organisations must regularly cope with diverse
crises, which expose the organisation to threats that can harm its position and reputation at the
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market (Grewal & Tansuhaj, 2001). The development of the technology era has implied new
risks and crises that organisations need to be aware of and be able to handle. Within the
technology, social media plays an essential part in the rapid exchange of information
(Palenchar, 2009). The availability and the access to information around-the-clock create
more pressure for companies to be alert and react on unexpected events or occasions. Social
media creates a place for quick interaction and information sharing, and is thereby also of
great importance in crisis situations (Jin et al., 2014). The technological progress has
transferred how crisis management professionals and researchers communicate, receive, and
distribute information during a crisis situation. It has moreover changed the foundation of the
network communication and how people are connected to one another (Veil et al., 2011). One
result of the technological change is that traditional media is successively being replaced by
social media. Increasingly, the public believe that social media is the most reliable source
when searching for news and engage in conversations (Liu et al., 2011). In this thesis the
public is defined as individuals in the society that can get affected when a crisis occur.
As a result of the fierce media climate and the increased requirements for transparency and
proper actions, crisis management has never been as important as it is today (Fors-Andrée,
2012). Considering that opinions and speculations are being spread in a fast pace through
social media, the reputation of an organisation can quickly be damaged (Alsop, 2004; Barton
2001; Coombs, 2007). It is thereby said that organisations which develop strategies that
prevent crises have better possibility to manage unpredictable happenings than those who do
not (Gage & Reinoso, 2002). Organisations that moreover work with proactive planning of
crises, have a better chance to manage the crisis more effectively, and smoothly recover from
it by rebuilding its reputation in order to continue its business (Barton, 2001; Carney &
Jorden, 1993; Coombs & Holladay, 2006).
Silence is rarely the best way to manage a crisis. To achieve successful management when
handling a crisis, communication is crucial (Bakewell, 1997). Without any internal or external
communication, an organisation will most likely not survive (Wells, 1978). During a crisis,
the communication is challenging because an immediate response from the informative
institution is expected by the surrounding (Aula, 2010; Ulmer et al., 2007). Not only are
organisations being expected to give a quick response, it also needs to be accurate and
consistent (Coombs, 2015), considering that the first impressions are often the lasting
impressions (Bakewell, 1997). In a highly connected world, nowadays people in first hand
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use social media to search information and obtain knowledge about a crisis (Liu et al., 2011;
Seltzer & Mitrook, 2007; Taylor & Perry, 2005). Due to the increased information sharing
online, crisis management has changed (Jin et al., 2014). Today social media has a much
more central role in crisis communication than before. Yet the majority of the organisations
have not incorporated social media into their strategic communication (Liu et al., 2011; Veil
et al., 2011). Even though this is a well-addressed topic, several organisations do not have the
internal knowledge and tools to act and respond to a crisis in media and are therefore
demanding external expertise. Public relations (PR) agencies are examples of external actors
that have great influence and knowledge about crisis management and media relations. These
agencies have a central role when responding to a crisis by providing training and support for
the organisation, both prior, during and after a crisis (Coombs, 2014).
1.2 Problem discussion
A field that has been highly examined lately is how social media can be used in risk reduction
and crisis response, and what importance it has in managing a crisis (Alexander, 2014; Aula,
2010; González-Herrero & Smith, 2008; Schultz et al., 2011; Veil et al., 2011). In fact, during
crisis situations the public's use of social media increases (Jin et al., 2014), which results in
that public participation should be a standard part of today’s crisis management (Baron,
2010).
The reputation of an organisation is another field that plays a vital role in how the
organisation will be able to handle a crisis and how it will be perceived afterwards. Several
authors (e.g. Alsop, 2004; Barton, 2001; Davies et al., 2003; Dowling, 2002; Greyser, 2009)
have investigated the role of reputation in crises, and conclude that a weak reputation before
the crisis reduces the chances of surviving a crisis and vice versa. Furthermore, its is not only
about surviving the crisis, it is also about the damage a crisis can cause on a reputation, which
can affect the organisation’s further progress and business. In recent years many organisations
therefore request help from PR-agencies in order to cope with managing crises and corporate
reputation (Pang & Yeo, 2012; Yeo & Sriramesh, 2009).
Whether it is a life crisis, an organisational crisis or a natural disaster research show that one
can benefit from obtaining support from friends and family but also from external
professional expertise (Wilcox, 1981). The majority of the previous research about crisis
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management has been conducted from the organisations’ perspective, where crises are
supposed to be handled internally. There is however relatively little research done on how an
external actor, such as management consulting, can support an organisation in their crisis
management (Frandsen et al., 2013; Pang et al., 2013). This is problematic, because many
organisations do not have the proper internal knowledge to manage a crisis in a favourable
manner. Wilcox (1981) states that one can gain greater advantage by seeking help from
external professionals. As the support increases, the better a crisis can be handled (Cassel,
1974; 1976). This literature gap is therefore highly interesting and significant to fill in order
to provide organisations with valuable knowledge of how an external actor can support in
crisis management. This could help in reducing the risk of damage, or even prevent the
appearance of it (Gage & Reinoso, 2002). It is moreover crucial to be able to handle a crisis
effectively in order to decrease the chance of harming the reputation (Ashcroft, 1997). If the
damage has already occurred it is even more necessary to have the knowledge of how to
recover from a crisis and rebuild the reputation since it otherwise can create severe damage to
the viability of the organisation (Coombs, 2007; Ulmer et al., 2009).
1.3 Research purpose
Based on the discussion above this study aims to contribute to fill the gap in the crisis
management and communication consultancy literature by investigating how crises are being
handled from the perspective of an external actor towards its clients. In this study, an external
actor is defined as a consultancy firm working with crisis management. More particularly, this
research is applying a PR-agency’s view in managing clients’ crises. External actors can play
an important role in their clients’ crisis management by working with supporting activities,
such as social media. In order to achieve the aim of this thesis, the following research
question is formulated:
- How can an external actor support an organisation in crisis?
By answering the research question, this thesis will result in a both practical and theoretical
understanding regarding the importance of an external actor within an organisation’s crisis
management.
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1.4 Thesis outline
This thesis will present the following. Chapter 2 contains a theoretical framework including
two theories and key concepts connected to organisational crisis, crisis management and crisis
communication. Chapter 3 outlines the methodological selection, in terms of data collection,
sampling and limitations. Chapter 4 present the empirical data collected from the interviews,
expressing insights about supporting activities from the external actor in managing crisis in
different stages and how they contribute with knowledge and tools in crisis management.
Chapter 5 analyses the theoretical framework with the empirical data collected from the case
company. The final chapter ties it all together with a conclusion that can be drawn from the
study in relation to the research question. The last section states managerial implications,
limitations and suggestions for future research.
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2. Theory
This chapter presents the theoretical background that has been chosen in order to answer the
research question. First, a more broadly view of organisational crises and its different types
will be described. Thereafter, the role of the consultancy, more specifically PR-agencies, in
crisis communication is discussed together with two theories consisting of the Situational
Crisis Communication Theory (SCCT) and the Social-mediated Crisis Communication Model
(SMCC). The chapter ends with a model of analysis that the thesis is based on.
2.1 Organisational crisis
An organisational crisis is defined as followed: “A crisis is the perception of an unpredicted
event that threatens important expectancies of stakeholders related to health, safety,
environmental, and economic issues, and can seriously impact an organisation’s performance
and generate negative outcomes” (Coombs, 2015, pp.3). When referring to a crisis in this
study, Coombs’ (2015) definition will be applied. Coombs (2015) is furthermore stating that a
crisis is unpredicted but not unexpected and that well-enlightened organisations have the
awareness of that crises eventually will arise but do not know exactly when it will appear.
Crises have the ability to hit suddenly and without warning, which results in unexpected
surprises and the inability to predict when they will occur (Barton, 2001; Coombs, 2015). A
crisis has the potential to disrupt the operations of an organisation and even threaten the
viability of it. It can moreover create negative outcomes such as damaging the reputation,
harming the financial position, and create loss in the productivity (Barton, 2001; Coombs,
2015; Coombs, 2007).
2.2 Different types of crises
2.2.1 Origin approach of crises
Crises are mainly divided into two different types depending on how the crisis has evolved. A
crisis can either be of external character, which means that the issue has emerged without any
organisational influence, or of internal character, which means that the issue has appeared
within the organisation. This in turn influences how the crisis response strategies are being
designed (Jin et al., 2014). Ulmer et al. (2007) is similarly distinguishing between non-
intentional crises (decreasing economical cycle, natural disasters, unpredictable technical
breakdowns) and intentional crises (terrorism, unethical leadership, lack of risk management).
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Although crises differ in impact and complexity they have several common attributes. Crises
are mainly being associated with uncertainty that affect the organisation's way of handling,
processing and interpreting information.
2.2.2 Influence and predictability approach of crises
Instead of describing a crisis from its origin, it can also be explained in accordance to its
predictability and level of influence it has on the environment. Gundel (2005) has done an
example of this when constructing a matrix with four boxes that represent four different types
of crises: conventional, unexpected, intractable, and fundamental.
Conventional crises are characterised of being relatively easy to predict and plan for. This
type of crisis can easily occur when risks are being realized into an accident. The E. coli
bacteria outbreak in Taco Bell’s restaurants in 2006 is one example of a conventional crisis,
considering that one is aware of the risks when not washing and sanitising food in a hygienic
way (Martin & Holusha, 2006). By having prior accident experience, one is aware of that
similar events can sooner or later occur and it is therefore significant to be able to create
proactive action plans so that the event will not evolve into a severe crisis.
Unexpected crises occur when a crisis goes beyond the conventional and expected but can be
handled relatively well considering the circumstances (Gundel, 2005). An example of an
unexpected crisis is the Västmanland wildfire that broke out during summer in 2014.
Although it was Sweden’s largest wildfire in 40 years and about 13 000 hectare forest were
destroyed, the rescue operation was able to evacuate all the people and the majority of the
farm animals living nearby, however one victim was encountered (Ekström et al., 2014).
Intractable crises are mainly being distinguished by the difficulty of managing a crisis, which
easily can lead to severe problems. With intractable crisis, conflict and definition battles often
follows as to what actually occurred and what the right action is to restore the crisis (Gundel,
2005). One example of an intractable crisis was when the oil tanker Exxon Valdez got
stranded in Alaska in 1989 and 41 million litre oil spilled out in the sea. Even if
decontamination work was implemented during the next three years, measurements from
2009 showed that there was still three million litre oil left, hiding under the sand (Salomon,
2011). Although decontamination work was done it was certainly intractable since oil is in
general hard to manage.
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Fundamental crises are considered to be most complex, because it is unexpected, intractable
and thereby difficult to handle (Gundel, 2005). The likelihood and/or the risk that the
fundamental crisis occurs are extremely difficult to identify and anticipate. Moreover, if the
crisis occurs, the effects often become severe through fast viral dissemination. The terror
attack of 9/11 is an example of a fundamental crisis, mainly because it was hard to predict due
to the unusual situation and confidential arrangements (Gundel, 2005). The consequences
made the crisis also difficult to handle considering its negative outcome and its expansion into
a worldwide issue with future problematic impact (Boin & Lagadec, 2000).
Figure 1. Gundel’s (2005) matrix with examples of crises
2.3 Management consulting
The market for management consulting firms has evolved in a rapid speed during the last
decade (Furusten, 2003). Organisations choose to hire consultancy firms due to several
reasons (Rudgard, 2003). One of the most common reasons is that organisations lack the
expertise within the company, and therefore want to take advantage of external actors, such as
management consultants, in specific tasks or services (Rudgard, 2003; Wilcox & Cameron,
2011).
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2.3.1 Crisis consulting
Obtaining help from external actors can be a winning concept when managing a crisis
(Wilcox, 1981). Research has shown that external support can provide advantages in the
preparation for a crisis, in the response during a crisis and in the handling after a crisis, which
is of great importance for rebuilding the capacity in order to proceed its further business
(Coombs, 2015; Lages & Simkin, 2003; Laufer, 2007; Rudgard, 2003). During a crisis,
verifiable information about the crisis is often lacking, which makes the public actively search
for information in media (Wilcox & Cameron, 2011). This creates pressure on organisations
to answer with complete and accurate information as fast as possible in order to prevent
misinformation and speculations to be spread in media (Coombs, 2015; Wilcox & Cameron,
2011). Crisis management consultancies’ mission is first of all to protect stakeholders from
negative outcomes caused by a crisis, and thereafter to protect financial and reputational
assets (Coombs, 2015; Wilcox & Cameron, 2011). There is however a lack in crisis
preparedness and crisis management in organisations. A study made by Wu and Dai (2001)
concluded that more than half of their respondents admitted that their organisation did not
possess either a crisis management team or a crisis management plan, even though a crisis had
happen during the last five years. Thereby many organisations are often outsourcing these
tasks to management consultancies, such as PR-agencies, to perform preventable, responding
and restoration crisis strategies (Rudgard, 2003).
2.3.2 PR-agencies
PR-agencies provide a variety of services: marketing communication, counselling, public
affairs, media relations, digital and social media, events management, financial relations, and
crisis management (Wilcox & Cameron, 2011). Wilcox & Cameron (2011) state that the
advantages with hiring PR-consultancies are that they are experts in their field and can view
tasks more objectively and thereby analyse it from a new perspective and perform fresh
insights. They often possess a large network with access to a lot of resources, and by being a
successful PR-agency, the firm possess a solid reputation that speaks for its credibility in its
work (Wilcox & Cameron, 2011). The disadvantages are that consultants may lack
understanding of their client's business due to limited information, which may result in
difficulties with accomplishing tasks. In connection to this, managers at higher levels need to
take their time to inform consultants and also be willing to share all of their information, even
their sensitive material. Furthermore, consultancies work with several clients at the same
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time, which may result in a lack of full-time attention towards one customer. Also, hiring
consultants are costly and hiring outside expertise can make internal staff feel less valuable
and see it as an indication that they lack competencies of doing their job (Wilcox & Cameron,
2011).
2.4 Three stages of crisis management
Crisis management builds on a set of factors that are invented for handling a crisis (Coombs,
2015). These factors consists of prevention, preparation, response and revision, which
illustrates the importance of being able to see a crisis as a life-cycle process with different
stages that requires diverse actions to manage it effectively (Gonzalez-Herrero & Pratt, 1995;
Sturges, 1994). Crisis management is not a disposable action that is invented when a crisis
emerge, it is an ongoing process that demand continuous improvements. The life-cycle
perspective and the factors of crisis management have produced alternative stage approaches.
Due to this a three-stage model has been created and recommended by several experts in
crisis management, according to Coombs (2015). The stages consist of: first, Pre-crisis;
second, Crisis response; and third, Post-crisis. These three stages work as a way to synthesise
and organise different insights about the crisis management process (Coombs, 2015). This
three stage model has been chosen since it is one of the few that has been constructed within
crisis communication.
Figure 2. Crisis communication phases, (Coombs, 2015)
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2.4.1 Pre-crisis
Preventing a crisis is the best way of handling one (Coombs, 2015). If the crisis does not take
place, no parties will experience any damage. Pre-crisis is the first reaction stage and refers to
the proactive work that includes prevention strategies in order to avoid a crisis. This phase
contains three main sub stages: signal detection, prevention, and crisis preparation (Coombs,
2015). The majority of all crises provide early signals and by being attentive to these signals
and taking fast action, crises can be avoided (Gonzalez-Herrero & Pratt, 1995). Considering
that 90% of all crises are said to be preventable (Wilcox & Cameron, 2011), it is not only
important to be aware of early warning signs. It is also vital to gather related information and
analyse it in order to develop suitable prevention strategies or preparation plans if the crisis
unlikely occurs. The core in the preparation phase is to implement a so-called crisis
management plan. The plan includes identifying crisis vulnerabilities, choose and educate a
crisis management group and spokespersons, and build up a knowledge foundation in order to
avoid potential threats (Coombs, 2015). Thus, by taking advantage of existing organisational
resources it facilitates to prevent a crisis. The pre-crisis stage is moreover about building up a
stable reputation in order to recover from a crisis in the most harmful way (Alsop, 2004;
Greyser, 2009; Jones et al., 2000).
2.4.2 Crisis Response
The crisis response stage occurs when the first sign of misstep has happened and ends when
the crisis is managed and perceived to be resolved (Coombs, 2015). Communication during a
crisis is a vital part of the crisis response stage. Crisis managers must act to prevent the crisis
from disseminating but also to limit its duration (Mitroff, 1994). Internal managers need to
search and identify from where the crisis first started and thereafter collect information about
the crisis and evaluate its outcome. Thereafter, crisis managers and/or the spokespersons must
make their first public statement to inform external stakeholders about the crisis in a proper
way. Social media is normally the first way to deliver a message about a crisis, and it is vital
to be accurate, quick and deliver a clear and understandable message (Geraldi & Kutsch,
2010). Technology in terms of increasing speed of information, has been a driving force in
creating a fast response by crisis managers due to the higher expectations of obtaining
information fast (Barton, 2001). The faster a crisis arise in media, the quicker a crisis team
must respond, and the more risks the organisation is taking in terms of accidental mistakes.
The benefits of a fast response however outweigh the risks. The organisation can then tell
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their side of the story of what has happened instead of making an unintended invitation to
outsiders to take control and make diagnoses over the situation, which otherwise can create
huge damage and increased work for the organisation. By a quick response, before other
sources, the organisation appears to have control over the situation and takes action against
the crisis in order to solve it, so called stealing thunder (Arpan & Pompper, 2003; Arpan &
Roskos-Ewoldsen, 2005; Claeys & Cauberge, 2010). During a crisis, the crisis management
team needs to ensure that the spokesperson of the organisation is well-informed and prepared
to deliver a consistent message to the public. Consistency builds credibility of the response
and is more believable than inconsistency (Garvin, 1996). Another essential part when
answering a crisis is to have openness in the organisation. This means to be available to
media, willing to share information and be honest. Effective crisis response also allows an
organisation to continue faster with its business, resulting in less productivity loss and
minimising the decreased demand for its service or product (Garcia, 2006).
2.4.3 Post-crisis
When a crisis has come to an end, the organisation often wants to return to its business as fast
as possible. A crisis is however an excellent opportunity for improvements (Pauchant &
Mitroff, 1992). The post-crisis stage is therefore a highly important step but that unfortunately
in some situations is not fully prioritised, mainly because it is time and energy consuming.
When a crisis has ended, managers firstly have to evaluate their work of what went right or
wrong and how effective the crisis management plan was, since evaluation helps the
organisation for further improvement (Barton, 2001). Secondly, after the crisis has been
solved it still needs to be monitored, which can include further collection of information to
stakeholders and other involved (Coombs, 2015). By taking care of the relationship with its
stakeholders, the organisation is automatically taking care of itself. Withholding information
from its stakeholders will in the long run harm the organisation and intensify the damage of
the crisis. A well-conducted evaluation and crisis documentation will hopefully make future
crisis management more efficient and successful with less overall damage (Coombs, 2015).
Coombs & Holladay (2005) and Ulmer et al. (2007) have also done research in this field, with
a focus on image restoration, renewal and how post-crisis communication can prevent
reputational damage or repair an already damaged reputation. Image restoration focuses
mainly on explaining and defining what actually happened and what the cause of the crisis
was in order to repair the organisational image and reputation. Renewal is on the other hand
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more about the work after of how the organisation should move forward and create strategies
to repair the possible damage (Ulmer et al., 2007).
2.5 Crisis communication
Crisis communication is defined as “An interactive process of exchange of information and
opinion among individuals, groups, and institutions; often involves multiple messages about
the nature of risk or expressing concerns, opinions, or reactions to risk messages or to legal
and institutional arrangements for risk management.” (National Research Council, 1989,
pp.332). Crisis communication moreover involves how the organisation chooses to respond to
a crisis and the strategy to achieve a certain outcome (Coombs, 2015). There are several
studies addressing the implications of being able to communicate with the public and how the
reactions can affect an organisation’s further crisis management (Coombs, 2007; Coombs &
Holladay, 2007; Liu et al., 2011). The way of communicating has moreover changed
drastically in the last decade when new communication channels have appeared due to the
technological development (Veil et al., 2011). Within communication strategies it is
important to convey a consistent and accurate message towards its stakeholders in order to
avoid false rumour dissemination that can harm the reputation (Coombs, 2015).
2.5.1 Situational Crisis Communication Theory
In order to obtain knowledge of how stakeholders react to an organisational crisis response
action, a theoretical communication guidance has been evolved by Coombs (2007), named
situational crisis communication theory (SCCT). The SCCT does not only make it possible to
understand how stakeholders will respond to an organisation’s crisis management, it also
identifies how crisis managers can choose and apply proper response strategies to protect
organisations from reputational damage during a crisis. These are the reasons why this theory
will be applied in this thesis. Coombs (2015) has identified the ten most common crisis
response strategies that have been used in order to repair an organisation's reputational
damage caused by a crisis. The SCCT has organised these response strategies by dividing
them into four postures, depending on the strategy's intention. Table 1 shows the four postures
containing: denial posture, diminishment posture, rebuilding posture and bolstering posture.
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Table 1. Crisis response strategies by posture (Coombs, 2015)
Crisis response strategies by four postures
The denial posture aims at avoid all connection and links related to the crisis. The
organisation tries to step away from being involved in the crisis to reduce or avoid any harm.
An example of this kind of crisis is a rumour, were false information about the organisation is
being disseminated in media. Strategies included in the denial posture are attacking the
accuser, scapegoating and denial. The diminishment posture seeks to reduce the responsibility
for the crisis or give an explanation of the crisis occurrence. These strategies are called
excusing and justification. The rebuilding posture attempts to affect the reputation of an
organisation in a favourable manner by providing stakeholders with compensation or through
apology expressing their regret for the crisis and ask for forgiveness. Lastly, the bolstering
posture tries to reinforce a positive connection between the organisation and its stakeholders.
This is performed by reminding of past good deeds, ingratiation to prise stakeholders and
victimage themselves as a victim of the crisis (Coombs, 2015).
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Estimation of reputational threat
In order to estimate the reputational threat of a crisis, three factors are used in the SCCT:
initial crisis responsibility, crisis history and prior relational reputation. Initial crisis
responsibility is about the stakeholder’s perception to which degree the organisation is
responsible for the crisis (Coombs, 1995). If for example the organisation is guilty to an
incident, the response from the surrounding will be negative. If the organisation instead is
absolutely or relatively innocent to the incident, the response will be less severe and the
organisation’s reputation thus less exposed. Crisis history concerns an organisation’s previous
critical events. If the organisation has had similar crises before, it can for instance make it
more difficult for stakeholders to trust the organisation, which thereby result in a less reliable
reputation. Prior relational reputation explains the historic relationship between the company
and its stakeholders. If an organisation has treated its stakeholders poorly during previous
events and thus built up a negative relationship, it will expose its reputation for greater threat
when a new crisis occurs (Coombs & Holladay, 2002; Porritt, 2005).
2.5.2 The social media environment
Social media is defined as a “collection of online technologies that allow users to share
insights, experiences, and opinions with one another. The sharing can be in form of text,
audio, video, or multimedia” (Coombs, 2015, pp.18; cf. Safko & Brake, 2009). Historically,
crisis managers have used news media, newspapers and websites in their response strategy.
The media environment of today is perceived to be highly complex with many different social
media channels to choose from when considering a crisis response. This creates an external
pressure to apply social media in one’s communication (Baron, 2010; Jin et al., 2014; Veil et
al., 2011). Today’s technological environment gives organisations no longer a choice whether
to integrate social media in their crisis communication or not, instead it is more a question of
how and when to do it (Jin et al., 2014).
Organisations must cope with the new digital media, where customers who use social media
on a daily basis or become more active when a crisis occurs, have more trust in information
that is coming from social media than from traditional media (Procopio & Procopio, 2007;
Sweetser & Metzgar, 2007). Individuals are increasingly expressing their opinions through
various social media channels, resulting in a new and changing environment for
communication where information travels fast and global (González-Herrero & Smith, 2008).
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Social media can also be argued to increase the risk of harming an organisation. Due to the
users’ simplicity to share quick and unverified information, which can be both true and false,
it can largely differ from the organisation’s values and thereby damage the organisation’s
reputation (Coombs, 2015). In addition, this creates incentive for organisations to mediate and
distribute complete media coverage before, during and after a crisis in order to avoid
misunderstandings and unwarranted speculations that can put the organisation in danger. In
relation to that, most of the information that stakeholders obtain about organisations comes
through social media (Carroll, 2004; Carroll & McCombs, 2003; Meijer, 2004).
Social-Mediated Crisis Communication Model
The social-mediated crisis communication model (SMCC) explains the importance of using
social media in crises, by visualizing how different media and media users influence and
affect each other (Liu et al., 2011). The model argues that a primary reason for why the public
use social media in crisis situations is to receive emotional support or venting emotional
thoughts (Jin & Liu, 2010). Emotional expressions by the public get more intensified if the
crisis origin is caused internally and if the information about the crisis is disseminated by a
third party through social media (Jin et al., 2014). The model helps organisations to achieve
advantageous crisis results by understanding how the public use social media. It moreover
illustrates that the source of a crisis determinates how the responsibility will be distributed
and how the response will evolve. This means that the public perceives an internal crisis to be
more manageable than an external one and thereby puts more responsibility on the
organisation when the crisis is internally caused (Coombs, 2015; Jorgensen, 1993; Lyon &
Cameron, 2004; Weiner, 1986). According to the SMCC-model, there are two components
that are crucial to take in consideration in order to perform a successful response strategy. The
first component, crisis information form, describes how the information about a crisis is being
communicated, through which media channels. The second component, crisis information
source, indicates where the information has its origin (Jin & Liu, 2010).
2.6 Reputation
When a crisis occurs, anger and anxiety are the emotions that drive people to share negative
information about an organisation, both online and offline (Coombs & Holladay, 2007; Jin,
2009; Jin & Pang, 2010). This creates a negative communication dynamic, which makes it
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even more important for organisations to know how to respond to these comments in order to
compensate the stakeholders and reduce the reputational threat (Coombs, 2015).
Building a strong reputation is a long term process, but destroying a reputation can happen in
a day. As Warren Buffett states “It takes 20 years to build a reputation and 5 minutes to ruin
it”. A reputation is being built and developed through information about the organisation that
stakeholders receive by interaction with media and the organisation (Coombs & Holladay,
2006; Dowling, 2002; Fombrun & Van Riel, 2004). It also develops through information
received by second-sources in terms of word-of-mouth, blogs and discussion boards (Coombs
& Holladay, 2007). Positive interaction between the organisation and its stakeholders builds a
favourable reputation while negative reactions by word-of-mouth or in social media channels
creates an unfavourable reputation (Coombs & Holladay, 2006). A favourable reputation can
be an advantage during the crisis response stage. It overlaps with the credibility of the
response, where stakeholders may ignore the crisis because they do not believe that the
organisation has done anything wrong (Coombs, 2015). Reputations are seen as valuable and
intangible assets that are linked to significant outcomes. It can for example generate
favourable media coverage, which is of great advantage during a crisis (Alsop, 2004; Davies
et al, 2003). Coombs and Holladay (2006) state that a strong and favourable reputation can
create a so-called halo-effect that can protect the organisation during a crisis. It additionally
means that a favourable reputation creates a reputational capital, in relation to the ones that
have a bad or weak reputation. Another advantage by having a strong and reliable reputation
is that it may reduce the negative speculations from non-expert opinions that can come with a
crisis (Coombs, 2015).
2.7 Model of analysis
The above theories have been compiled into an analysis model (see figure 3 below) that will
be used when analysing the gathered empirical data.
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Figure 3. Model of analysis, constructed from the presented theory
The model consists of the three main actors: the organisation in crisis, the external actor and
the public. The model starts with an organisation in crisis that needs support from an external
actor, in this case a PR-agency, in order to handle the situation. The support of the external
actor builds on crisis communication and its two main tools: SCCT and SMCC. The two
theories in combination with the three crisis communication phases (figure 2) are working as
guidelines for the external actor when helping the organisation to respond to a crisis. The
response of a crisis, that are made through crisis communication, are then mediated to the
public that indirectly decide how the reputation of the organisation in crisis will be formed. It
is thereby significant for the external actor to use the right crisis communication in order to
reduce the negative impact that a crisis can cause before, during and after the incident. The
dotted line show that crisis communication will indirect affect the reputation of an
organisation in crisis, although in the end it is the publics who decides what impact it will
have on the organisations reputation.
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3. Method
In the chapter below, the method of what and how this study was conducted is described and
motivated. Firstly, a research approach is being presented followed by the research design of
how the data was collected. Secondly, the selection process of the respondents and an
operationalisation is being presented. The chapter ends by explaining the process of
collecting and analysing the data and a discussion about ethical considerations as well as
critical reflections.
3.1 Research approach
In order to reach the aim of this study, a qualitative research design with an inductive
approach is being applied. An inductive approach is suitable since this study is collecting data
in order to understand and explore a phenomenon while building and extending a theoretical
framework (Saunders et al., 2016). Due to limited research in this field and a desire to deeper
understand the process of how an external actor can support an organisation in crisis, the data
collection is not limited to one theoretical framework. It is rather flexible and continually
developed when new insights are being realised. When clarifying an understanding of a
phenomenon, whose origin is unsure, the study is having an exploratory approach. Because of
the flexibility, the inductive approach fits well with the exploratory study approach, since it
also has the advantage of being adaptable and adjustable to changes (Saunders et al., 2016). In
order to gain new in-depth knowledge about the research phenomenon, the data collection
mainly consists of interviews, which also is in line with a qualitative base. The qualitative
approach is particularly applicable when it is significant to acquire the respondent’s
perspectives of a phenomenon (Yin, 2015). During the interviews a pattern emerged that was
supported with the help of the theoretical framework. The study started with a broad focus
and became narrower during the research process, which also characterises an exploratory
study (Saunders et al., 2016).
3.2 Research design
3.2.1 Qualitative research
To investigate the external organisation’s role as a supporting function, a qualitative approach
was chosen. In combination with an exploratory design a qualitative research approach can
entail new, rich and in-depth data, which enables to understand the external organisation’s
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role and functions towards its clients (Saunders et al., 2016). To obtain an understanding of
the external parts role in managing crises, a single case study approach was applied. Within
the single case study, the respondents were told to prepare case examples that they had been
involved in. Furthermore, the qualitative approach allows the respondents’ to view and
interpret the situation from their own perspective, which is important because it creates a deep
and detailed understanding of the phenomenon (Yin, 2015). Investigating the role of a
supporting function from the respondent’s view is an essential part in answering the aim of
this study as it is examined from the perspective of the external actor. The research design is
also suitable due to that little or no numerical data is needed, instead a verbally or other non-
numerical data forms give more value to the study’s findings (Robson, 2016).
3.2.2 Case study
In line with the qualitative research design and the exploratory approach, a case study design
is the most common strategy when collecting data (Saunders et al., 2016). For this reason a
case study on a PR-agency was chosen as an approach for this research. By conducting a case
study, a deeper understanding of the context can be provided, which is in line with an
exploratory research (Saunders et al., 2016), and what this study is aiming for. A case study is
moreover preferable since it provides rich and accurate empirical data. It is also of relevance
when investigating unexplored research areas as well as answering research questions
addressed with “how” (Eisenhardt & Graebner, 2007), which is in accordance with this
study’s research question. In addition, further arguments for using this approach are to extend
and build theory by providing new insights from an external perspective, and not to test the
theory. Furthermore, a single-case study was chosen for this study in order to gain extended
and deeper knowledge of how the external actor can support an organisation in crisis. This is
preferable when a deep description of a phenomenon will be investigated. It also offers a rich
observation of the details in a process (Eisenhardt & Graebner, 2007). For these reasons a
single-case study is suitable as the purpose of this study is to investigate the details and
elements of a phenomenon (Eisenhardt & Graebner, 2007).
3.3 Data Collection
3.3.1 Primary data
When implementing a case study various data collection methods are suggested. In this study,
semi-structured interviews were considered as the most suitable method for the primary data
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collection, which Saunders et al. (2016) argues is a favourable approach when conducting
exploratory research. Semi-structured interviews consist of a couple of basic questions that
are being further developed during the interview by adding follow-up questions, which
enables to give a thorough description and explore the research question in detail. This kind
of data collection allows the respondents to talk freely beyond the existing theory, which
provides more in-depth answers (Saunders et al., 2016). This is significant in order to truly
understand the process of when and how an external actor supports an organisation in crisis.
3.3.2 Secondary data
In addition to the interviews, secondary data was collected in terms of publically available
information, such as websites and news articles, as well as internal documents and an internal
lecture provided by the chosen PR-agency. These sources enabled to add data about historical
crisis situations and how they had been managed. This material made it possible to attain
insights about the importance of crisis management and what role external actors, such as PR-
agencies, can have in crises. Secondary data was used in order to triangulate, which include
using more than one source of data and method of collection, in order to increase the
credibility of the data and add depth to the research (Denzin 2012; Denzin & Lincoln, 2011;
Saunders et al., 2016).
Pre-study
The purpose with a pre-study is to seek information, in this case through secondary sources,
to obtain an overview of the subject and to explore previous studies within the field. A pre-
study is preferable when there is limited knowledge about the research field in advance
(Bryman & Bell, 2013). This pre-study consisted of searching for information online on
various media websites about previous crises, how they had been handled and how companies
have recovered after a crisis. By performing a pre-study within this research, it provided more
knowledge beforehand that was valuable when investigating the research question and to
understand the context of crisis management. Furthermore, it provided an overview and
insights about different kind of crises, their cause of origin and evaluation of what could have
been done differently. This gave a broader understanding of what crisis management means
and that its outcome depends mainly on how it is handled towards the public in media. It
moreover contributed with background information about different types of crises that helped
in the creation of the interview questions.
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3.4 Selection process
3.4.1 Selection of Case
To be able to answer this study’s research question, it is important to select a case that has the
right settings for what is aimed to investigate (Saunders et al., 2016). In this study the
selection of case was therefore made from a purposive sampling method, which Saunders et
al. (2016) argues to be a preferable method. This is due to that the selection is based on a case
that best meet the study’s objectives and provide informative settings. The purposive
sampling of a case was performed by several criteria to fulfil the aim of this study. The first
criterion was that the external actor was supposed to be a consultancy firm that continuously
work with crisis management. Further criteria were that the firm was located in Sweden and
had a broad client portfolio. This in turn could generate a lot of valuable empirical knowledge
from different situations within the field. Finally, the case firm should be able to provide
information and give access to data that can fulfil the purpose of this study. When searching
for an external supporting actor within crisis management, a PR-agency was considered to be
the most suitable one. The reason for choosing a PR-agency was due to their knowledge and
experience in working with supporting activities and services, especially in crisis management
and media.
Based on the listed criteria above, the chosen case firm was the Swedish PR-agency Prime.
Prime is one of the biggest PR-agencies in Scandinavia, located in Stockholm, Sweden, with a
broad client portfolio and many years in the field. The agency has an extensive knowledge
and experience in crisis management and crisis communication, including several employees
that are mainly being responsible for managing crises (Prime, 2017).
3.4.2 Selection of Respondents
The next step in the process, after the selection of case firm, the selection and access to
respondents from the agency was considered. When selecting the interview respondents, a
snowball sampling method was used. A snowball sampling is useful in research when it is
difficult to identify suitable respondents of the preferred population (Saunders et al., 2016). In
order to come in contact with appropriate respondents for the study, the press manager of the
agency was contacted, which further on gave suggestions on relevant respondents. This is a
typical snowball effect considering that one person was contacted that further on
recommended and identified additional suitable respondents for the study (Bryman & Bell,
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2013). In addition, a non-probability sample was in this case most applicable, considering that
the study was under time constraints and had limited resources (Bryman & Bell, 2013).
The majority of the selected respondents have senior positions with plenty years of experience
and knowledge in the crisis management field. This implied that the interviews gained in-
depth answers. In addition, one respondent gave important insights into the social media area
and what impact it has in crisis, which is perceived to be a relatively new field within crisis
management. More details about the respondents and the interviews, is being presented in
table 2.
Table 2. Description of the respondents and interviews
This table shows more detailed information about the six respondents, which include their
position at the PR-agency, as well as the date and the length of the interview. By interviewing
employees with different positions it made it possible to obtain various aspects of the subject.
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3.5 Operationalisation
In the preparation process for the data collection an interview guide, built on seven different
themes, was created. The seven themes were based on the previous literature review and
theories combined with the research question of how an external actor can support an
organisation in crisis. These themes were thereafter divided into smaller sub-themes that thus
created the foundation for the interview questions (see appendix 1 and 2). This was made in
order to narrow down a large complex into more concrete explanations (Saunders et al.,
2016). The interviews were divided into two main parts. The first part included general
questions in order to obtain a broader knowledge and understanding of how Prime, as an
external actor, mainly work with crisis management and crisis communication both prior,
during and after a crisis occur. The second part consisted of questions regarding one or
several chosen real life case examples that the respondent had been involved in. The choice of
investigating several case examples was due to the significance of gaining knowledge of what
factors affect a crisis origin and how the outcome of a crisis will be depending on how it is
managed. By looking at numerous case examples, different views were revealed, which
provided a deeper understanding of how crises are being managed in practice. Two types of
interview guides were however made. One that was aimed for the first five interviews and
another one that was adjusted for the last interview with the social media specialist, in order
to obtain more specific answers about social media in crisis management. The seven themes
are presented in the Table 3 below, together with the aim of every theme.
Table 3. The seven interview themes and the aim with every theme that the interview guide is build on
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3.6 Data collection process
3.6.1 The interview process
The data consisted of six semi-structured interviews with six employees from the PR-agency
Prime. All the provided information was treated cautiously due to its sensitivity to be spread
outside the organisation. It was moreover vital to be well-prepared before the interviews to
obtain proper information to be able to answer the research question (Saunders et al., 2016).
The interview participation requests were therefore sent out 3-4 weeks before the actual
interviews in order to agree on a suitable date to meet with the respondents. The interview
guide was moreover sent to the interviewees a couple of days before the actual interview to
give the respondents a chance to prepare thorough answers and case examples to limit
possible misunderstandings of the questions. All of this made the interview process very
smooth, which in turn provided comprehensive data for the study.
Five of the interviews were held at Prime’s head office in Stockholm, Sweden. When
choosing the location for an interview it is significant that it is convenient for the respondents
and that the interview is unlikely to be disrupted, since it can have an impact on the given
responses (Saunders et al., 2016). The reason for the interviews being held at Prime’s HQ was
due to make the respondents feel more comfortable than if they would have been hold in an
unknown place. The sixth interview, with the social media specialist, was however made
through a Skype-session due to that the person was on parental leave. Since a camera was
used, both the interviewers and the respondent were able to see each other during the whole
interview. This made the Skype interview similar to the rest of interviews considering that
one could see facial expressions in the same way as one would have been sitting next to each
other in the same room. All the interviews were held in Swedish because it was the
respondents’ and the interviewers’ native language, considering that the chosen language
should be based on what feels natural for the involved parties (Piekkari & Welch, 2006). The
questions were also presented in Swedish, which means that the interview guide and the
answers were afterwards translated to English. Every interview started with a presentation of
the thesis purpose followed by some broader, more general questions, before digging deeper
into the more specific case questions. Since there were two interviewers, notes were taken by
one person while the other one asked the questions, which is preferable in semi-structured
interviews (Saunders et al., 2016). The conversations were additionally recorded in order to
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not miss any important details and to make it possible to transcribe afterwards. Before the
interviews the respondents were informed and agreed on to be recorded.
3.6.2 Data collection from internal lecture
A part of the secondary data consisted of data conducted from an internal lecture. The lecture
was held at Prime’s head office in Stockholm April 30th for 70 minutes and was intended for
people working at the agency. The lecturer was a former Prime employee that is a crisis and
communications expert. The lecture was about crisis management and crisis communication,
where the lecturer shared its experiences in managing previous crises. This provided more
new insights and a broader understanding for the crisis management work from a consultant
perspective. During the lecture, detailed notes were taken in order to make it possible to use.
The lecturer was informed about that notes had been taken and agreed on that part of the
material would be used in this study, the person however wanted to be anonymous and is
thereby referred as the lecturer in the paper.
3.6.3 Data analysing
The interviews were transcribed in order to analyse it together with the secondary data by
sorting out the key messages from the obtained information. When analysing the collected
data, several different areas were identified and applied with various colours. This was made
in order to easier sort out the data and remove parts that were irrelevant and did not contribute
to answer the research question. In order to provide a more comprehensive understanding of
the issue, the general perspective was combined with the given case examples. According to
Saunders et al. (2016), the advantage of recording and transcribing interviews is that the
researcher gains access to comprehensive details about what and how it was said during the
interview.
3.7 Ethical considerations
Before the first contact with Prime, ethical guidelines concerning this study’s data collection
process were gathered from the Swedish Research Council (Svenska Vetenskapsrådet, 2017).
This was especially important in this study due to its sensitivity. For this reason, the
respondents were thoroughly informed about that their participation was voluntary and that
the information about their clients was going to be treated anonymously with no distribution
to third parties. The respondents also had the possibility to be anonymous, everyone however
! 27
agreed on publishing their names in the study. The respondents were moreover provided with
information about that their answers were only going to be used within this study and to this
study's purpose. Additionally they became informed that the study would be publically
published.
3.8 Critical reflection
A qualitative approach with a single case study makes it hard to replicate due to the fact that it
is built on a specific case firms’ subjective perceptions. It is furthermore difficult, or may
even be impossible, to generalise the results to other fields (Bryman & Bell, 2013). However,
these methods are not selected due to their level of generalisability and replicability, instead
they give opportunities to perform an in-depth investigation of a single phenomena with the
value of richness, which is of interest for this study (Eisenhardt & Graebner, 2007; Weick,
2007).
In advance to the semi-structured interviews, the interview guide was sent to the respondents.
This can create issues, due to the respondents’ freedom to choose what information they want
to address or leave out, which can make the answers become partial (Bryman & Bellm 2013;
Saunders et al., 2016). Although, it creates the possibility to attain more in-depth and rich data
by letting the respondents be prepared. By interviewing several respondents, the study is not
only providing more in-depth results, it also ensures that the received answers are trustworthy.
Another risk connected to this is that the interview can go in directions that are not relevant
for the study. This was thus addressed by making a small guidance in a sensitive manner
without making the respondent feel distressed or distracted. In order to not influence the
respondents’ answers, an open mindset with focus on building trust between the interviewer
and the respondent was established (Saunders et al., 2016).
Moreover, recording interviews may put the respondent in an uncomfortable position, which
can result in that they feel restricted to share information. Despite this, recordings enable to
transcribe the data, which entails in more accurate data than if only briefly notes were
composed (Saunders et al., 2016). Same goes for transcribing, even if it is considered to be
very time consuming in relation to other data collection methods, it brings valuable in-depth
data to the research (Saunders et al., 2016). When translating the interview guide and the
answers from Swedish to English, there is a risk that the translating will be incorrect. To
minimise the risk of inaccuracy, a native English speaker were asked to read it through.
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4. Empirical Findings
This section presents the case about Prime and their clients. The empirical findings provide
information of how the case firm works with crisis management, which is being illustrated
with case examples. The section ends by presenting the importance of being aware of the
influence on the reputation and managing social media in crises.
4.1 About Prime
Prime is a Swedish leading PR-agency that is providing various communication services such
as concepts, campaigns, and projects with a global reach (Prime, 2017). Prime is part of one
of the world’s largest PR-networks, Weber Shandwick, which is present in 81 countries.
There are about 130 employees working at Prime mainly within marketing communications,
sustainability communications, citizen communications, public affairs, crisis communication,
etc. According to the respondents, Prime has around 200 clients but uses a 30-list with the 30
biggest and most important clients that they have close collaborations with. Among these
clients one can find authorities as well as private companies, such as IKEA, Sonos,
McDonald's, Hemnet, Trygg-Hansa, Electrolux, The County Administrative Board of
Stockholm, and Riksbanken (Sweden’s central bank). The crisis management department has
been active since 2006 and is one of Prime’s smaller offers but is still highly prioritised. The
department mainly consists of five persons, which are included in this study, that daily work
with crisis management but are at the same time also involved in other projects (Prime, 2017).
4.2 The supporting actor
Over the past decade, the demand of crisis management has constantly increased. According
to Stjernberg, Crisis Management Specialist and Senior Consultant, the reason for the upturn
of crisis management is the changing media environment. Nowadays there are more media
channels that require knowledge and experience to understand how to use them, but there is
also an increased awareness of possible external support. Clumsy behaviour and clumsy
people have according to Moro, Media Specialist and Key Account Manager, always existed,
but as more media channels and multimedia arenas have occurred, the number of crises has
increased.
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4.2.1 Support from a crisis consultant
One of the most common reasons why organisations end up in crises is because of media-
driven activities, which means that organisations obtain information from media that they
have been audited. This in turn can harm the external picture and the reputation of the
organisation. Since the majority of the organisations are not able to handle the crisis by
themselves, they thereby choose to hire crisis consultants due to that they possess knowledge
and expertise within crisis communication. According to Prime, a consultant’s major task in
clients’ crises is to support them in their communication towards media. Prime also helps
clients to prepare for how they will be perceived externally. They are moreover supporting the
board of directors to prepare how to inform the affected parts, by writing press releases, have
an available press phone, and prepare possible question and answers to media.
Working as a crisis consultant at Prime, one has to be available around the clock for its clients
in crisis situations. Prime’s role is moreover to provide internal and external communication.
External communication is about clarifying or modifying the picture of an organisation by
providing the public with information about the situation, in order to not create any false
speculations. Internal communication consists of crisis strategies, media trainings,
copywriting and media contact. A consultant’s role is also to find appropriate information
channels to communicate in, and to find where the problem was founded.
“By working at PR-agencies for many years, one obtains a lot of experience and knowledge
about the media environment. Media practice is therefore a natural part of our job that we
can provide to our clients” - Stjernberg, Crisis Management Specialist
According to the majority of the respondents at Prime, crisis consultancy is valuable for
organisations in crisis due to their ability to see the issue from an outside perspective. Many
clients are not able to handle their crisis situations by themself because they often see the
situation from an inside perspective that results is actions based on anger, frustration and
emotions. Therefore Prime sees their position as “a diplomat between the organisation in
crisis and the media”, says Freudenthal, Key Account Manager and Senior Consultant.
4.2.2 Clients
Today, Prime has more clients than ever before due to that their expertise and experience has
grown within the crisis management field. According to Oljelund, Key Account Manager and
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Senior Consultant, there is also a high acceptance of hiring consultants during crises
situations, considering there is a lot of uncertainty and risks that are connected to a crisis,
which makes companies being extra careful. Clients get in contact with Prime due to that they
are a large consultancy firm with a well-known reputation that are very active in their crisis
management. Organisations come in contact with Prime mainly through word-of-mouth and
recommendations.
4.2.3 Easier said than done
Crisis management is complex due to that there may be many different conflicts and interests
at the same time in combination with the pressure from media. The lecturer mentions that
“You can assume that many people lie to save their own skin and therefore it is a complex
situation”. Another challenging part in crisis management is, according to Freudenthal, to
obtain a complete trust from the client in order to make them give as detailed information as
possible about the crisis, without being afraid that sensitive information will leak out.
Another difficulty when handling a client’s crisis situation is when they want to apply an
invisibility cloak strategy, meaning that the problem should not come out, or should get as
little media attention as possible. This is problematic since Prime’s ideology is the opposite;
to be honest and open about the situation. According to Stjernberg, the client should always
tell the truth, there is however a difference between telling the whole truth and working on a
need-to-know-basis.
“In some situations the whole truth is not necessary but the things you say need to be true.”
- Stjernberg, Crisis Management Specialist
4.3 Crisis origin
All the six respondents agreed on that internal crises are far more common to occur among
Prime’s clients than external ones, which means that they arise from issues inside the
organisation. Usually the origin of a client’s crisis starts with that they have acted in a way
that attracts the public’s disapproval. There are however both unplanned and planned crises,
which are needed to be handled in differently. A planned crisis is according to Oljelund, for
example when an organisation decides to close one of their factories, which often means that
a lot of employees will be terminated. The challenge is then to communicate this information
with a high frequency to various parts, such as employees, suppliers and stakeholders. Prime
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is then supporting the organisation’s communication during the resignation and the days
before the factory close. An unplanned crisis is very similar, the difference is mainly that one
needs to be able to handle the whole situation much faster and take crucial and important
decisions in a short time, which can increase the chance of mistakes. A planned crisis is often
prepared a couple of months ahead, meanwhile an unplanned crisis has often only a couple of
hours forewarning.
“A crisis is generally defined by an increased need for information during a limited time.”
- Stjernberg, Crisis Management Specialist
According to Lisa Thambert, Press Manager and Project Manager, a crisis either starts with
an investigation, when something very concrete is revealed, for example if a CEO uses the
organisation’s money for private use and it leaks out. Or it can be a systematic investigation,
when a reporter finds interest in a particular topic and thoroughly investigate it through
documents and tips from the surrounding. The first action after a crisis has occurred is to
define the crisis type. Prime is separating between two different backgrounds to a crisis. If an
organisation obtains negative response of the wrong reason, for example if there has occurred
a misleading picture of their product or employee, it is a communication problem. If the
organisation is being criticised for the right reason, for example by having a bad product or an
organisational problem, it is a business problem.
4.4 The life cycle of a crisis
4.4.1 Proactive work
The key in handling a crisis in the best manner is to be prepared, according to Freudenthal.
Weak preparation may lay the foundations for a failure. Prime is trying to work proactive and
long term in order to protect the client and its reputation, by creating an air bag against crises.
It is significant to have thorough discussions internally before information will be revealed in
media. The most problematic setting is when the organisation is not prepared and suddenly a
reporter demands an interview. These interviews are often the ones that are leading to trouble.
However, sometimes one can be well-prepared for a crisis but it can be worthless since no one
ever knows what media will reveal. The proactive work that Prime is offering includes risk
inventories and media trainings of how to handle possible questions from media. The agency
is also performing lectures to educate and inform about crisis situations and how to prevent or
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handle those situations. Proactive work is however not their strongest offer and is not being
prioritised. The reason is that organisations often do not want to spend money on something
that possibly can create a crisis but is not really a crisis yet. Even if the client does not
prioritise proactive work, Prime is trying to promote the importance of implementing it. In
one case Prime was asked to scan an organisation to find potential threats and risks, which
they also found. They could then reciprocate the potential threat by rewrite their policy
documents and change parts of their organisation, in order to not obtain any criticism about it
in media.
4.4.2 Taking action
The first thing Prime does when helping an organisation in crisis is to meet the board of
directors, the CEO and the communication manager. The communication manager is often the
direct contact person and also the one who answer all the questions by being the spokesperson
in media. By meeting the involved people from client, Prime obtains all the needed
information of what has happened, and how they plan to inform all the concerned parts such
as employees, clients, collaboration partners and other stakeholders. They then create a
communication plan or a communication strategy that involves possible solutions and
question and answers to media. Prime aims to never ignore a problem and put the lid on,
which they try to accomplish through be as open, transparent and available as possible by
answering all the incoming questions so one can build up a trust towards the stakeholders
again. It is moreover important to list a main message that all the work should proceed from.
In crisis situations, when organisations interact with media, they furthermore need the right
legal grounds to provide correct information, therefore Prime is often collaborating with
lawyers, revision and security partners.
According to the lecturer, the incident is often the side issue and how the crisis has been
handled is the main matter since it decides how it will be received. The most successful crisis
management is about to do right from the beginning. One can say that organisations are like
people, if you want to be respected you have to behave. It is moreover important to always
adapt the communication to the channel where the organisation in crisis is most active.
“Anything can happen that can cause a crisis, but it is not what happened that will be in the
history books, or determine how you come out of the crisis, instead it is how you handle the
crisis that is important.” - Lecturer, Prime
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4.4.3 After action
When a crisis has passed, the majority of Primes clients want to move on with their regular
business and forget about the crisis as fast as possible, due to all the time and energy they
have spent on the response stage. Some organisations however realise the opportunity in it by
being able to strengthen the brand. Prime is nevertheless always recommending to do post
work in terms of further long-term strategies to build up the organisation after potential
damage.
4.5 The audience perspective
An organisation’s reputation can be harmed if the crisis is not being managed correctly. Prime
will not assist clients in creating an improved picture than the reality shows, since it is not in
line with Prime’s values. The public deserves the truth about what has happened. Prime
however disagrees with the picture that crisis communication is a way to diminish and
confuse the crisis.
“It is all about to make clients to appear in a deserved position, not just in a good position.”
- Moro, Media Specialist
Depending on if the organisation has a good or bad reputation before the crisis, it can affect
the outcome of the crisis. In general, one can say that large, established, and well-known
organisations will always be more audited because they are of public interest. There are
however some organisations that have bigger resistance than others in crisis situations and can
survive global criticism and negative effects. The resistance is thereby about building up trust
and have a strong reputation. According to Freudenthal, a crisis is not just about to save a
reputation, it is also an opportunity to communicate and make something good from it.
4.6 The connected place to be
During the last decades many organisations have made a great shift from using traditional
media to social media in their marketing and communication. According to Gunnarsson,
Digital Marketing and Social Media Specialist, social media provides a totally different
distribution than traditional media. The digitalisation allows media to produce much more
material than traditional media.
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“Today the dissemination has a much bigger influence than 10 years ago, which means that
organisations have to be more updated and active in social media when managing crises.”
- Gunnarsson, Social Media Specialist
According to Prime, social media is today the primary channel where people are active to read
about news, take part of discussions and comment different activities. It is an effective media
channel where news is spreading fast and it is therefore a necessary platform for organisations
to be present in. Through social media, organisations can have direct contact with their
customers, in comparison to traditional media where the journalists are the tools for reaching
the public. The increased use of different social media channels creates possibilities for
organisations in crisis by having their own social media channels at Twitter, Facebook,
Instagram, or websites in order to meet criticism and publish information. By using social
media, organisations have the possibility to respond to criticism faster. Social media also
gives the opportunity to tell their story of what has happened, which in some cases can be
hard to reach out with.
“Social media is a necessary channel to handle because the discussion during a crisis
situations will always take place there.” - Gunnarsson, Social Media Specialist
One of the major challenges of working with crises today is that they are becoming much
bigger through social media than they would have through traditional media. Gunnarsson said
that every crisis will in some way always culminate into social media. A crisis may be local in
the beginning but within a few hours it may become national, or even international. As
Gunnarsson said, “A message on social media can quickly get widespread, it can obtain
thousands of comments in just a few minutes, even though it can be a false rumour”. News,
true as false, are usually being spread with a fast pace, which makes social media to be a
demanding platform that easily can create crises.
4.6.1 The use of a social media specialist
When a crisis occurs that involves people's emotions, it can have an aggressive distribution in
social media. This situation can be hard to manage by an organisation that is not used to deal
with social media in crisis situations, which is an argument to bring in external expertise,
according to Gunnarsson.
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A social media specialist at Prime is mainly supporting clients in managing and publishing
messages on their social media platforms or giving advice in how to handle and use social
media. The social media specialist is also performing digital media strategies during clients’
crises. Social media can further be used in a proactive stage of communication, where the
organisation can prepare questions and answers to media, build their own website and prepare
it with valuable information. It can also be applied as a tool for reactive response in crisis to
answer comments and questions from customers. Gunnarsson moreover revealed Ten
Commandments to take in consideration when managing social media in crisis (see appendix
3). These commandments are often conveyed to the client by Gunnarsson when supporting an
organisation in crisis.
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5. Analysis
This chapter will analyse the empirical findings based on the theoretical framework in order
to find out how an external actor can support an organisation in crisis.
5.1 When and how to expect a crisis
According to Jin et al. (2014) a crisis can either be of external or internal origin, which
depends on if the crisis has emerged within (internal) the organisation or without
organisational influence (external). According to the empirical findings, internal crises are the
most common ones to arise, and are thereby the crises that the external actor most often helps
its clients with. As Gundel (2005) moreover states, a crisis can be described from its level of
predictability or environmental influence, which builds on four different types of crises. The
empirical findings however reveal that instead of focusing on the origin and level of
environmental influence, the main focus is to find out if it is either a communication problem
or a business problem. This implies that the external actor’s first action is to find out the
source of the problem. Due to that, it gives better possibilities to know how to proceed and
manage the crisis situation in order to obtain a positive response from the public.
The results are moreover describing two other types of crises, planned and unplanned crises.
These types have the same characteristics as non-intentional and intentional crises, described
by Ulmer et al. (2007). A planned or an intentional crisis gives the organisation a better
opportunity to be prepared with suitable strategies. In these situations a crisis consultant helps
its clients with proactive activities in order to manage the crisis effectively. This type of crisis
would however not be in line with the definition that crises always are unpredictable (Barton,
2001; Coombs, 2015). An unplanned or non-intentional crisis, which appears more suddenly,
entails that the management of the crisis needs to be handled quicker and more accurate
considering that the time is limited and decisions have to be made faster. The empirical
findings reveal that crisis consultants are available around the clock, which implies that they
can support clients in every crisis situation even though it is an unplanned crisis.
5.2 External support
According to the previous research, crisis consulting is being described as one of the most
demanding professions in the consultancy industry (Lages & Simkin, 2003; Laufer, 2007;
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Rudgard, 2003). The empirical findings agree with this and imply that the demand for crisis
management has constantly increased over the past decade. According to the results, the main
reasons for the upturn are the changing and more complex media environment and the
increased awareness of possible external support. In addition, the view of hiring crisis
consultants has become more accepted nowadays. This can be explained by the risks and
uncertainties that are connected to a crisis, which entails that organisations hire external
support to minimise these risks.
According to Coombs (2015), Rudgard (2003) and Wilcox & Cameron (2011) organisations
do not usually possess a crisis management team or a crisis management plan, therefore many
organisations are often outsourcing these tasks to management consultancies, such as PR-
agencies, to perform preventable, responding and restoration crisis strategies (Rudgard, 2003).
According to the results, crisis consultants possess knowledge and expertise in managing
crisis and media, which is a rare skill that is hard and expensive to possess inside a company.
Crisis consultants help their clients by performing press releases, question and answers to
media, media training and educate the board of directors’ in internal and external crisis
communication. Organisations’ lack of skills in crisis management in combination with crisis
consultants’ deep expertise in managing crises is the main reason why organisations are in
need of external support.
Crisis consultancies’ first mission is, according to previous research, to prevent and protect
stakeholders from negative outcomes caused by a crisis, and thereafter to protect financial and
reputational assets (Coombs, 2015; Wilcox & Cameron, 2011). The results show that a crisis
consultant’s role is mainly to support clients by providing and producing crisis
communication, internally and externally. The empirical findings thereby contribute with new
insights about the supporting activities that the external actor helps its clients with, which
means to be able to handle both external and internal communication in crisis management.
Providing help from crisis consultants is preferable due to that they can view the situation
objectively by analyse it from a new perspective and perform fresh insights (Wilcox &
Cameron, 2011). The results show that the consultants’ strength is that they can see the issue
from an external viewpoint and act as a diplomat between the organisation in crisis and the
media. By knowing the external actor’s role and strength in managing crises, organisations
can more easily see the benefits of hiring external support. By being a successful crisis
! 38
consultancy firm, they possess a solid reputation that speaks for its credibility in its work
(Wilcox and Cameron, 2011). According to the case firm, clients choose them instead of other
agencies mainly because they are a consultancy firm with a well-known reputation in crisis
management. Their proven reputation attracts clients primarily through word-of-mouth and
recommendations. This implies that an organisation should ensure that the consultancy firm
has good reviews before hiring them, to know that they possess the expertise and knowledge
that is required.
5.2.1 Dealing with difficulties
Previous research states that consultants may lack understanding of their client’s business due
to limited information about the case, which may result in difficulties with accomplishing
tasks (Wilcox & Cameron, 2011). According to the results, the difficulties with crisis
management are that it can be hard to obtain a complete picture about what has happened.
This is due to that there are many different conflicts and interests at the same time in
combination with the pressure from media. People moreover do not always tell the whole
truth and with limited facts, consultants may make decisions based on incomplete
information. In connection to this, previous research discuss that managers at higher levels
need to be willing to share all of their information, even their sensitive material (Wilcox &
Cameron, 2011). This implies that it is significant that the client trust the consultant and is
willing to share detailed information so that the consultant can perform decisions and
strategies by the right foundation.
Another difficulty within previous research is the lack of full-time attention towards clients
(Wilcox & Cameron, 2011). The results show that crisis consultants are being involved in
managing client’s communication strategies and press services daily, especially during the
most critical phase. This disproves the negative aspects that have been raised against the fact
that an external actor may be distracted. Instead it implies that the external actor gives full-
time attention in supporting an organisation in crisis. Hiring consultants are costly, and hiring
outside expertise can make internal employees feel less valuable (Wilcox & Cameron, 2011).
The empirical findings shows that crisis consultants possess high competence in handling
crisis communication through media, which entails that it is usually more beneficial for
organisations to hire them instead of trying to solve the crisis on their own.
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5.3 Stages of a crisis
As Coombs (2015) describes, the life cycle of a crisis consists of three main parts: pre-crisis,
crisis response, and post-crisis. These three stages are also being applied in the crisis
consultant’s daily work with crisis management.
5.3.1 Preparation for possible battle
According to previous research, the preparation stage is a significant part of the crisis
management, considering it can determine how the consequences of a crisis will evolve or
even decide if the crisis will break out or not. By being aware of early signals, that crises
often provide, the chance of preventing that the crisis occurs increases (Coombs, 2015;
Gonzalez-Herrero & Pratt, 1995). There is however a lack in crisis preparedness and crisis
management in organisations (Wu & Dai, 2001). This is also being confirmed by the
empirical findings, which show that weak preparation may be the reason behind a crisis
failure. According to Coombs (2015) the proactive work consists of three parts: signal
detection, prevention, and crisis preparation. These parts are also in accordance to the
empirical findings which show that in order to find possible signals that can threat the client’s
organisation, crisis consultants offers to scan the organisation for potential risks, which
enables to avoid the occurrence of a crisis. In order to prevent and prepare for crises, they are
moreover performing lectures and media trainings to educate and inform how to handle
possible questions from media if a crisis unlikely occur. These preparation methods are
furthermore in coherence with Coomb’s (2015) crisis management plan which is about
identifying crisis vulnerabilities, educate spokespersons, and build up a knowledge foundation
to avoid potential threats. However, even if both previous research and the empirical findings
agree on that the proactive stage is an significant part of crisis management, it can
simultaneously be perceived to be contradictory as it sometimes is useless considering that
one can never be sure what the media will detect and reveal. This means that even if an
organisation has implemented a thorough preparation and a preventing plan, a crisis can still
appear.
5.3.2 Dealing with trouble
When a crisis occurs, the organisation needs to react with a fast and accurate response. Crisis
managers are being urged to prevent the crisis by stopping the dissemination of the
information as fast as possible (Mitroff, 1994). This tactic is being preferable by many
! 40
organisations, which often wants to hide their problems and minimise the issue quickly. The
empirical findings are however presenting an opposite strategy to what have been revealed in
the theory. This strategy aims to help organisations to be as open, transparent and available to
media as possibly. According to the findings organisations will obtain greater trust from the
surrounding, which will result in an improved reputation after the crisis. The openness and
willingness to share information is also being supported by Garcia (2006). By reaching out
with a fast and honest message, organisations can take control over the situation before any
rumours or false speculations start to circulate (Arpan & Pompper, 2003; Arpan & Roskos-
Ewoldsen, 2005; Claeys & Cauberge, 2010; Coombs, 2015). According to the results, the
client should always tell the truth, but makes at the same time a difference between telling the
whole truth and working on a need-to-know-basis. To be open, transparent and willing to
share necessary information with media are the main tools for handling crisis management in
the best manner. The results reveal that the opposite strategy is never a winning concept,
which organisations may apply if they do not take advice from external crisis consultants.
When a crisis situation appears it is vital for the organisation to inform the closest affected
parts, such as employees and stakeholders, in a proper way (Geraldi & Kutsch, 2010). The
empirical findings reveal that in a crisis situation, consultants first of all meet the
spokesperson, which usually is the communication manager, and help to create a
communication strategy. They moreover help to list a main message that all the work should
proceed from, write press releases, create press release schedules and prepare possible
questions and answers to media. Previous research also states that it is important that the
spokesperson of the organisation is well-informed and prepared to deliver a consistent
message to the public (Garvin, 1996). In line with this, crisis consultants often collaborate
with third parties such as lawyers, accountants and security personnel, which supports and
assure that everything is being handled correctly. By having a well-prepared spokesperson it
facilitates the response phase of a crisis and may also create a stable foundation for further
crisis management work.
The SCCT’s four response strategies show different ways on how to protect and repair an
organisation’s reputational damage caused by a crisis (Coombs, 2007). The empirical findings
reveal that a response strategy needs to be honest and open to be able to function. The denial
and bolstering posture include strategies that are not in line with what the empirical findings
show regarding how a crisis consultant recommends working with its clients. To deny that the
! 41
crisis has existed or see themselves as a victim and blame others for the crisis situation are
examples of strategies that are contradicted to the empirical findings. The rebuilding posture
however tries to affect the reputation of an organisation in a favourable manner by providing
stakeholders with compensation or apologises for the crisis and asks for forgiveness. Within
the diminishment posture there are two strategies: excuse and justification. It is however only
the justification strategy, which means to give an explanation to the occurred crisis, that the
empirical findings agree with when responding to a crisis.
Response through social media
Through the fast technology development, social media has become one of the most
important channels to use when responding to a crisis. The SMCC model includes two
components, crisis information source and crisis information form, which are important when
choosing how to respond to a crisis and communicate crisis information effectively in media
(Jin & Liu, 2010). The empirical findings reveal that a crisis consultant puts a lot of effort into
convincing its clients about the importance of telling their story of the crisis, since it is easy
for false rumours to be spread in social media. Social media is therefore an effective channel
to use when organisations quickly need to respond to criticism and communicate with their
customers. This implies that consultants guide their clients in how to respond to a crisis by
giving them advice in how to inform their stakeholders about the source of the crisis. The
empirical findings moreover suggests that in order to meet the public and stakeholders most
effectively, organisations in crisis should respond through the channel where they are most
active in. It also gives insights of how an external actor can help its clients to handle and use
social media and perform digital media strategies. Social media is an important part of today’s
crisis communication by being a tool for proactive preparation and reactive response in crises.
Both the theory and the results give insights about the importance of choosing the most
suitable channel to reach its audience.
5.3.3 Cleaning up the mess
The literature reveals that when a crisis has come to an end, the organisation often wants to
return to its business as fast as possible. Pauchant & Mitroff (1992) however state that a crisis
is often a good opportunity to make improvements. The post-crisis stage is highly important
but it is unfortunately not fully prioritised by organisations, mainly because it is time and
energy consuming. The empirical findings agree with this and describe that due to all the time
and energy that are being spent on the response stage, the majority of their clients want to
! 42
move on with its business and forget about the crisis as fast as possible. This means that even
though post work requires time and energy from internal resources, it is still of great
advantage in the long run. Barton (2001) moreover highlights the importance of evaluating
the work of what went right or wrong and how effective the crisis management plan was.
After the crisis has been solved it still needs to be monitored, which include continuing to
collect information for stakeholders and other involved (Coombs, 2015). According to the
results, post work enables to strengthen the organisation’s brand and its relationships with
stakeholders. This is in line with Coombs (2015) who argues for the importance to strengthen
the relationship with stakeholders through information sharing. A well-performed evaluation
and documentation can prevent future crisis situations to become damaging and resource
demanding (Coombs, 2015). Coombs & Holladay (2005) and Ulmer et al. (2007) state that
post work can prevent or repair reputational damage and work as image restoration or
renewal. This implies that by implementing post work when a crisis has come to an end, the
organisation has a better chance to recover and prevent that another crisis will occur.
5.4 The shifting media usage
The literature reveals that in present time there is a highly complex media environment with
many different social media channels to choose from when performing a crisis response (Jin
et al., 2014; Veil et al., 2011). According to the empirical findings there has been a great shift
in the media usage, going from traditional media to social media in the communication. The
increased use of social media, which has resulted in greater information flow, has made it
crucial for organisations to keep up with the fast changing media environment.
The expanding media environment with numerous channels creates an external pressure to
apply social media in one’s communication (Barton, 2010). This is in accordance with Jin et
al. (2014), who describe that organisations do no longer have a choice whether to integrate
social media in their crisis communication or not, instead it is more a question of how and
when to do it. The results are in accordance with this and reveal that the crisis will appear and
be discussed in social media anyway. The importance with using social media is, according to
the results, that it brings one closer to the customers in comparison to traditional media where
journalists work as a tool to reach the customers. More advantages are that one can control the
message easier and also respond to the criticism faster. Considering that social media is the
primary communication channel it is perceived to be an essential part of today’s crisis
! 43
communication. It further on gives more advantages than using traditional media, since it
brings the stakeholders closer to the organisation.
Within the SMCC model it has been suggested that it is important to use social media in crisis
communication (Liu et al., 2011). According to the empirical findings, social media is the
primary channel where people are active in when reading news, taking part of discussions and
commenting activities. The results reveal that organisations benefit from hiring external
expertise when managing social media during crisis situations due to that they possess the
skills to provide stakeholders with accurate information. This is in line with Carroll, (2004),
Carroll and McCombs, (2003) and Meijer (2004) who state that most of the information that
stakeholders obtain about organisations comes through social media. By being active in social
media, external actors have a better chance to support an organisational crisis and minimise
the damage by keeping its stakeholders updated with new information.
5.4.1 The demanding side
According to previous literature, social media has its disadvantages. Users of social media can
easily share quick and unverified information that can harm the organisation and its reputation
(Coombs, 2015). The results reveal that there are several challenges and risks when working
with crises in social media. Information and rumours can easily escalate from being local in
the beginning and fast become national, or even international. There are however not only
positive sides with using social media in crisis communication, several risks have been
revealed that are important to take in consideration when managing a crisis. The harsh media
climate creates incentives for organisations to mediate and distribute complete media
coverage in order to avoid misunderstandings and unwarranted speculations (Coombs, 2015).
The empirical findings inform that an external actor that works with crisis management
supports its clients with recommendations and tips about how to best manage social media
during crises. The results further on reveal Ten Commandments to consider when dealing with
social media in crisis (see appendix 3). The main message with the commandments is to be
clear and consistent when using social media in order to not leave any unanswered questions
that can create misunderstandings. This implies that an organisation that are not used to work
with social media on a daily basis should ask for advice and help from an external actor that
have knowledge and experience in handling crisis in social media.
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More and more people are becoming active on social media and are increasingly expressing
their opinions, resulting in a new arena for communication between the company and the
customer, where information travels fast and global (González-Herrero & Smith, 2008). In
addition, according to the SMCC model, the public use social media in crisis situations to
receive emotional support or express emotional thoughts (Jin & Liu, 2010). Emotional
expressions by the public become more intensified if the crisis origin is caused internally and
if the information about the crisis is disseminated by a third party through social media (Jin et
al., 2014). The empirical findings indicate that when a crisis that involves people’s emotions
occurs, it can have an aggressive distribution in social media. It can moreover be hard to
manage criticism that involves people’s emotions by an organisation that is not used to deal
with people’s emotional comments. The external actor’s expertise could therefore be a tool
for managing these situations to avoid mistakes that can make the situation become even
worse.
5.5 The outside perception
The development of social media has made people to easily share both negative and positive
comments and emotions online, which is increasing during crises and can have an affect on an
organisation’s reputation (Coombs & Holladay, 2007; Jin, 2009; Jin & Pang, 2010). This
creates incentive for organisations to respond and manage the situation in the best possible
way (Coombs, 2015). The empirical findings reveal that it is important to manage a crisis
consistent and accurately to minimise the risks of harming the organisation reputation. A
reputation is built on how the public see the organisation through information conducted by
media (Coombs & Holladay, 2006; Dowling, 2002; Fombrun & Van Riel, 2004). It is
furthermore built on secondary sources in terms of word-of-mouth, blogs and discussion
boards (Coombs & Holladay, 2007). The results further on reveal that it is important to build
a solid reputation by giving honest and open information. If a crisis has occurred, the
stakeholders should obtain the truth about the situation, or at least as much information as
needed. This implies that an organisation’s reputation is important to take in consideration
when dealing with crises, since a reputation can quickly be damaged if wrong actions are
made.
A favourable reputation is stated to be of great advantage during crisis situations (Coombs,
2015). It can lead to that the public may ignore a crisis, by having less negative thoughts. It
! 45
can moreover generate better media coverage, work as shield against harm and create
reputational capital (Alsop, 2004; Coombs, 2015; Coombs and Holladay, 2006; Davies et al,
2003). This is confirmed by the empirical findings, which state that some organisations have
bigger resistance than others, depending on their level of truthfulness and former reputation.
The stronger the reputation of an organisation, the more resistant it is to a crisis. Coombs
(1995) further explains that the reputational threat is depending on whether the organisation is
initially responsible for the crisis, the organisational crisis history and the prior relational
reputation with stakeholders. This will also contribute to how the organisation’s reputation
will be affected by a crisis (Coombs & Holladay, 2002; Porritt, 2005). This entails that a
favourable reputation creates stronger protection against crises. Previous organisational
actions and the level of responsibility will also affect the crisis outcome. By taking these
aspects in consideration, external actors have a better ability to know the starting point of how
to help the organisation in crisis.
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6. Conclusion
The aim of this study was to investigate how crises are being handled from the perspective of
an external actor towards its clients and more precise how an external actor can support an
organisation in crisis. A conclusion of the findings is presented below.
The results show that crisis management is a very comprehensive research area and that no
organisation is safe from the occurrence of a crisis. Not all crises are however unpredictable,
since there are both planned and unplanned crises. Within a planned crisis the crisis
consultant helps its clients by performing proactive work. When an unplanned crisis occurs,
crisis consultants are constantly available for support. Internal crises, that have its origin
inside the organisation, are nevertheless the most common ones to arise. These crises are also
the ones that the external actor often helps its clients to solve. The origin and the level of
predictability or environmental influence of a crisis are perceived to be non important to focus
on. It is rather crucial to determine if it is either a communication problem or a business
problem. This provides better possibilities for the external actor to know how to handle the
crisis situation in a favourable manner.
The findings show that the demand of an external supporting actor in crisis situations has
increased during the past decade. Some of the reasons for the upturn are the more complex
media climate and the greater acceptance of hiring external support, together with increased
uncertainty and risks connected to a crisis. This study’s main findings reveal that an external
actor is supporting its clients by providing and producing crisis communication internally and
externally. Furthermore a crisis consultant possesses experience and knowledge in media and
crisis communication and views the situation objectively. By having knowledge about the
external actors role in crisis management, organisations better realise the external actor’s
utility. During crisis situations, the external actor is moreover helping its clients on a daily
basis by performing press releases, educating the board of directors and the spokespersons
through media trainings, preparing questions and answers from media, and giving advice in
how to handle criticism. Organisations that internally lack these skills, in combination with
the crisis consultant’s expertise in crisis management, are the main reasons for taking
advantage of external support. From the external actor’s view, the challenges are the different
interests and conflicts that make it hard to obtain a complete picture. Limited information is
! 47
another reason that makes it difficult to support and perform decisions. Trust between the
external actor and the client and the willingness to share information is therefore important.
An external actor that works with crisis management has a carefully studied plan for handling
a client’s crisis. The external actor’s crisis work is moreover divided into three parts. The first
one, proactive work, is important since weak preparation may result in a crisis failure. Even
though the proactive work is significant, many organisations lack knowledge within crisis
preparation. One can however never be sure what the media will detect and reveal and when a
crisis will occur. Despite one can not fully prepare for a crisis, the preparation stage, which
include education provided by the external actor, is vital for being ready the day the crisis
occur. The second part, crisis response, consists of two main tactics, either to hide and deny
the problem, or to be open, transparent and honest to the surrounding. The latter one, which is
a part of one of the main theories named SCCT, is the most successful strategy in the long
run. Within this strategy the organisation needs to be accessible and honest, and having a
well-informed spokesperson. Moreover, in order to follow the latter strategy, the external
actor helps to inform the stakeholders about the source of the crisis through a suitable
response channel. These aspects are highlighted in the SMCC-model, as well. The last and
third part, post work, is highly significant but as the proactive work, not always prioritised by
clients. Post work enables external actors to build up and strengthen the organisation’s
reputation and its relationship with stakeholders after potential damage.
This study furthermore confirms that there has been a shift in the choice of media channel
when communicating during crises, going from traditional media to social media.
Communication through social media is a standard part of today’s crisis communication due
to it is the primary channel for news reading and interaction. The findings from this study
indicate that social media is a demanding media channel, where information is travelling fast.
This demanding channel creates incentives for hiring external support that helps the
organisation in crisis to minimise the damage by keeping stakeholders updated and answering
to criticism. Social media brings one closer to stakeholders, at the same time as users of social
media can easily share quick and unverified information that can harm the organisation and its
reputation. In this situation the external actor works as a shield to diminish the reputational
damage. A favourable reputation creates stronger resistance to negative reactions of a crisis
and generates better media coverage. Therefore, when an external actor helps an organisation
in crisis it is highly important to take the reputation in consideration, since if wrong actions
are made the reputation can quickly be damaged.
! 48
6.1 Managerial implications
Based on the findings, this study has implications for consultancy firms within the field of
crisis management and organisations in crisis. Firstly, organisations in crisis can benefit from
the insights of how an external actor can support in crisis situations by being aware of the
advantages with hiring external support, such as their ability to view the situation objectively
and their expertise in handling crises effectively. Secondly, organisations in crisis can obtain
advice from external actors on how to deal with the complex and demanding media
environment in order to solve the crisis successfully. Thirdly, the external actor can benefit
from this study by obtaining more knowledge on how to work with the three stages of a crisis
and understand the advantage of both the proactive and post work when handling a crisis, and
not only the response stage. Fourthly, both the organisation and the external actor can benefit
from obtaining knowledge about the challenges of collaborating with the concerned parties.
6.2 Limitations and future research
Since this research is a single case study the data is restricted to only one specific case, which
means that it can result in lack of credibility. To reduce this risk, the case firm was selected
due to several criteria. Also, a pre-investigation about the firm was made in order to find out
if it was applicable for this study. The pre-investigation included a first contact with the firm,
asking questions regarding their suitability to the study as well as their desire to share
experience and information. Since it is a single case study, the research is moreover not
generalisable for all external actors in the consultancy industry. Possible future research could
therefore make a multiple case study that include several external actors that work with crisis
management in order to find out if or how they differ from each other. Considering that this
study is investigating a phenomenon from one external viewpoint, the empirical findings may
be considered as biased. Some of the theoretical framework in this thesis has its origin from
Coombs (1995; 2007; 2015). By including research from only one source, it can be perceived
as biased. It is however important to be aware of that Coombs is the major researcher within
the crisis management field, which means that it was not relevant to present information from
other sources. The study is furthermore not taking into account the client’s perspective of
crisis management. This is therefore a suggestion for future research since by investigating
the topic from the client’s perspective, it can reduce possible bias. Instead of investigating the
management of crisis, future research can rather target the research on a more specific aspect
of crisis management, for example deeper examine the reputational impact on a crisis.
! 49
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Appendix 1 - Interview Guide - Crisis Management
About the company and the respondent • How long have you been working at Prime and what is your position? • How long have you been working with crisis management?
Crisis consultation
• Would you generally be able to describe what your crisis management offer is? • What do your customers want help with when they are in a crisis situation? • What makes Prime good at managing crises comparing to others? • What are the challenges with working as a crisis consultant?
Type of crisis
• How often does a crisis arise that you have to deal with? • Is it more common for a crisis to occur internally or externally? • What types of crises are the most demanding to work with?
Upcoming questions will be answered both based on your chosen case and from a more general perspective from Prime.
• Can you mention a specific case where Prime helped a customer in a crisis in which you were involved?
• What were the underlying factors for the crisis to arise? Proactive work
• Did you do any proactive work to prevent the crisis from occurring? • Can you avoid a crisis occurring?
Response strategies
• How and by whom was the crisis discovered? • What was your response strategy? • What is important to consider when communicating with the public about a crisis?
Post work
• What happened after the crisis was resolved? • How do you work after a crisis has ended? • Did you help the client build strategies for how to proceed after the crisis in order to
correct possible damage? Reputation
• What were the consequences of the crisis? Was the client’s reputation affected? • How do you work to maintain a good reputation even if a crisis is created that could
damage the reputation? • Depending on whether the client has a strong reputation/brand beforehand - does it
affect the outcome of the crisis? Social Media
• When and how are social media used in crisis communication? • What are the pros/cons of dealing with a crisis through social media? • How do you choose which media channel you want to use to communicate effectively
during a crisis?
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Appendix 2 - Interview Guide - Social media
About the company and the respondent • How long have you been working at Prime and what is your position? • How long have you been working with crisis management? • What does your work look like Social Media Manager in Crisis Management? What
are your tasks? For these questions, please give concrete examples based on your own experience. Social Media
• How is social media used in crisis management? • Why are social media a good platform for communicating in crisis management? • What is important to consider when dealing with a crisis through social media? • Has the changed media environment changed the way in which a crisis is
communicated? • When and how are social media used in crisis communication? • What are the pros / cons of dealing with a crisis through social media? • How do you handle social media in comparison with traditional media during a crisis?
Response strategies
• How do you put up a media strategy to deal with a crisis? • What is important to consider when communicating in media with the public about a
crisis? • How is a crisis addressed through social media?
After work
• What can be done through social media as post-work after a crisis? Reputation
• How do you work with social media to maintain a reputation? • Depending on whether the customer has a strong reputation / brand beforehand - does
it affects the outcome of the crisis? • In view of today's fast dissemination of information through social media, can
reputation easily be affected?
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Appendix 3 - The Ten Commandments used in Social Media