The Crisis Resulting from Organization Misdeeds

Crisis Scenario: Organisational Misdeed

In cases whereby crises of organisational misdeeds arise when management takes certain decisions knowing the harmful consequences,  In such cases, superiors ignore the after-effects of strategies and implement the same for quick results.  This will adversely affect the stakeholders and external parties (or interested parties).

Examples of crises of organisational misdeeds can be further classified into the following three types.  They are

1. 

   Skew management value,
2. Deception
3. Management misconduct

1. Skewed Management Values

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

2. Deception

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

• Management makes fake promises and wrong commitments to the customers
• Communicating false information about the organisation and products will lead to a crisis of deception

3. Management Misconduct

Organisations face the crisis of management misconduct when management indulges in deliberate acts of illegality.  For example:

• Accepting bribes.
• Leaking or passing on confidential information.
•  

Reflection as a BCM Practitioner

As discussed in "What Crisis or Crisis Scenario Should I Be Planning For My Organisation?", you may wonder whether this type of crisis may not be part of your job scope. The key in this discussion is to identify the types of crisis scenarios and for responsible professionals who had identified the potential likely crisis to raised it to the right interested parties to implement the crisis response to this set of a specific crisis scenario.

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Reference Guide

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.

Note:  This version is the draft 2nd Edition being updated in 2021. The numeric in the square bracket {C##] and [AX-#] is the cross-referencing of the actual chapter and appendices in 2016 Edition.

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