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Prevention and management of enterprise crisis
Prevention and management of enterprise crisis

Crisis prevention is an important link in crisis management. The purpose of strengthening crisis prevention management is to ensure that decisive preventive measures are taken before the crisis occurs to prevent the outbreak of the crisis. Doing a good job in crisis prevention can get twice the result with half the effort for the business development of enterprises, ensuring that enterprises can face the crisis calmly when it really comes, and turn it into intangible or business opportunities in the shortest time.

1 the necessity of enterprise crisis prevention

The enterprise crisis has both internal and external causes; There are both controllable factors and uncontrollable factors. In the increasingly fierce market competition environment, the inevitability of the crisis has become an indisputable fact. From light crisis to enterprise, it brings loss of people, money and materials, and from heavy crisis, it affects the stable development of enterprises and even pulls enterprises into the abyss of bankruptcy. At present, it has become a wise choice for many successful enterprises to integrate the concept of crisis prevention management into the management of enterprises. When an enterprise encounters a crisis, it can fully reflect the value of crisis prevention and minimize the losses of the company's brand reputation, financial status and operating conditions.

2 Classification of enterprise crisis

2. 1 Crisis brought by internal environment of enterprises

2. 1. 1 employee depression crisis

When employees' sense of belonging is not strong, their sense of aimlessness is strong, their work pressure suddenly increases, they lose their basic trust in the enterprise, their work benefits are not improved, and their work results are not rewarded, the team will have no fighting capacity and directly affect the productivity and profitability of the enterprise.

2. 1.2 Crisis of deteriorating financial situation of enterprises

Enterprise finance is the core of the company, and any financial problems may lead to financial crisis. For example, unreasonable investment structure will lead to low profit level of enterprises and difficult realization of funds; Problems in the expenditure structure will lead to a decline in the ability of enterprises to accumulate funds; In addition, unscientific financing structure will make the financing cost of enterprises higher than the average level, thus making it difficult to repay debts.

2. 1.3 product quality crisis

If the products produced by an enterprise have hidden quality problems or technical errors and are not strictly checked before entering the market, once the quality problems are exposed, it will definitely affect the corporate image. These problems may lead to the return of enterprise products, even kill a brand or product line, and even dim the prospects of the whole enterprise.

2. 1.4 Crisis caused by work accidents

Accidents often occur in manufacturing and some high-risk industries. If these accidents are common minor accidents, they may bring a series of negative effects, and there will be no long-term harm, but when the liability accidents are extremely serious, these accidents are often fatal to enterprises.

2.2 crisis brought by the external environment of enterprises

2.2. 1 Crisis caused by media reports and destructive rumors

Media reports are related to the overall image of enterprises. Negative reports will generally bring crisis to the products and image of enterprises. Other destructive rumors, such as some employees' dissatisfaction and complaints, and some senior managers' inappropriate remarks, will damage the image of the enterprise and cause unnecessary crises.

2.2.2 Crisis caused by government actions

Environmental changes caused by a certain government policy, attention to a certain industry or overall layout planning will often have a great impact on enterprises.

In addition, once the enterprise made some mistakes, the government began to pay attention and gradually intervened in the investigation, and the crisis began to appear. If the scope of investigation is large and the time is long, it will directly have a negative impact on the enterprise, seriously affect the normal development of the enterprise and trigger a business crisis.

2.2.3 Crisis caused by deterioration of natural environment

The deterioration of the natural environment may also have an impact on the normal development of enterprises, and it often takes several months to recover. Floods, earthquakes, hurricanes and mudslides will reduce the production capacity of enterprises and lead to the closure of enterprises. The key point for enterprises to cope with the crisis lies in whether they can quickly correct and maximize the recovery of the adverse consequences caused by natural conditions.

2.2.4 Crisis caused by the deterioration of the relationship between cooperative units

No matter which link the cooperative unit is related to the production and operation of the enterprise, the deterioration and fracture of one link will inevitably lead to the chaos of the normal operation order of the enterprise.

3 key points of enterprise crisis prevention and management

3. 1 Integrating enterprise crisis prevention management into enterprise culture

Enterprises should integrate crisis prevention and management in the process of cultural construction. The strength of crisis consciousness is related to the life and death of enterprises. Crisis is not terrible, what is terrible is turning a blind eye. The purpose of integrating it into corporate culture is to remind employees not to feel paralyzed and contemptuous. Every enterprise has a crisis, and the crisis is around us. Countless failed enterprise cases tell us that we must guard against delay, and the crisis losses of enterprises can be reduced through our efforts.

3.2 The resources of the enterprise should be appropriate? Insurance?

In order to prevent accidents, some families often choose to buy insurance. In the same way, for enterprises, the insurance of various resources of enterprises is to prevent problems before they happen and reduce losses. We can choose the appropriate insurance according to the current situation of the enterprise. In a crisis situation, insurance can provide economic support or compensation for enterprises to resume operations in the shortest time. However, at present, in my insurance industry, the types of insurance specifically for this situation are still in the initial stage, and there are not many types to choose, which needs further development of the insurance industry.

3.3 The relationship with external information disseminators should be harmonious.

Enterprise personnel should deal with the relationship with external information disseminators in peacetime. For example, enterprises, news media, and brother units of public security departments. Parkinson believes that the vacuum caused by communication errors in the crisis will soon be reversed and occupied by rumors that catch the wind and shadow. No comment? In particular, this kind of problem will arise from. Therefore, effective and true communication is the premise of crisis management.

3.4 the establishment of crisis prevention and management organizations

Crisis management organization is the guarantee to effectively handle the crisis and coordinate all aspects. Its main function in the enterprise is to predict the crisis that will appear in all aspects of the enterprise. Make a crisis plan and come up with countermeasures at the first time when the crisis occurs. Responsible for the daily training of employees, so that employees can master the necessary knowledge of crisis prevention and make clear the necessity and importance of crisis management.

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