Category of Crisis Types

A crisis is sudden, unplanned events that cause significant organisational disturbances and trigger employee fear and threats. The category of crisis types include:

Natural
Technological
Confrontation
Malevolence
Organisational Misdeeds
- Skewed Management Values
- Deception
- Management Misconduct
Due to Workplace Violence
Due to Rumours
Lack of Fund
Due to Natural Factors

Natural

Disturbances in the environment and nature lead to natural crises, which are generally beyond human control.

Natural disasters include tornadoes, earthquakes, hurricanes, landslides, tsunamis, floods, and Droughts.

Technological

A technological crisis arises when technology fails. Problems in overall systems also lead to technological crises.

For example, the Breakdown of the machine corrupted software and soon gave rise to the technological crisis.

Confrontation

Confrontation crises arise when employees fight amongst themselves. Individuals do not agree with each other and eventually depend on non-productive acts.

For example, boycotts, strikes for indefinite periods, internal disputes, ineffective communication, and lack of coordination give rise to confrontation crises; employees disobey superiors, give them ultimatums, and force them to accept their demands.

Malevolence

Organisations face a crisis of malevolence when notorious employees use criminal activities and extreme measures to fulfil their demands.

For example, Acts like kidnapping company officials and false rumours all lead to a crisis of malevolence.

Organisational Misdeeds

Crises of organisational misdeeds arise when management makes certain decisions, knowing the harmful consequences of the same towards the stakeholders and external parties.

In such cases, superiors ignore the after-effects of strategies and implement the same for quick results.

For example, a Crisis of organisational misdeeds can be further classified into the following three types:

Skewed Management Values
Deception
Management Misconduct

Skewed Management Values

The crisis of Skewed Management Values arises when management supports short-term growth and ignores broader issues.

Deception

Organisations face a crisis of deception when management purposely tampers data and information.

For example, management makes fake promises and makes wrong commitments to customers. Communicating wrong information about the organization and products leads to a crisis of deception.

Management Misconduct

Organizations face a crisis of management misconduct when management indulges in deliberate acts of illegality.

For example, accepting bribes and passing on confidential information.

Due to Workplace Violence

Workplace violence is a type of crisis that arises when employees are indulged in violent acts.

For example, beating employees and superiors on the office premises itself.

Due to Rumours

Spreading false rumours about the organization and brand leads to a crisis.

For example, Employees spread inaccurate information, tarnishing their organisation's image.

Lack of Fund

The crisis also arises when organisations fail to pay their creditors and other parties.

For example, a lack of funds can lead to a crisis, bankruptcy, or liquidity crisis.

Goh, M. H. (2016). A Manager’s Guide to Implement Your Crisis Management Plan. Business Continuity Management Specialist Series (1st ed., p. 192). Singapore: GMH Pte Ltd.

Extracted from Appendix 2: Crisis Types

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