Innovation & Insights
Our 2011 Crisis Preparedness Study found that 65 percent of business decision makers believe new media have actually made managing crises more difficult, and this while only half of business have crisis management plans. Sixty-six percent of respondents believe new media have also significantly increased the potential cost of a crisis. Among the 59 percent who experienced a crisis in the past, those that did not have a crisis plan were much more likely to experience a drop in revenue (41 percent) than those with a crisis plan (30 percent).
Out of the four regions surveyed, Asia Pacific companies appear to be the leaders in crisis preparedness with 64 percent having a crisis plan in place. Slightly more than half of European (51 percent) and US (55 percent) respondents have crisis plans. Latin American companies are the least likely to be prepared (29 percent). However, even among those with a crisis plans, 47 percent still think that their current plans have gaps and would cover the company only to some extent . Nearly half of respondents (49 percent) think the rise in digital communications has increased companies’ vulnerability to crisis, yet only 38 percent of companies have a digital crisis communications plan to effectively respond to new media crises.
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