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Crisis Management

The 7 Habits of Highly Effective Crisis Managers

Michael Herrera

Published on: November 06, 2024

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The recent hurricanes in the southeastern U.S. provided a golden opportunity to see how skillful the typical American business leader is at managing a crisis. Unfortunately, the results showed that many leaders have a lot to learn in terms of what it takes to be an effective crisis management leader.
    

[Related on MHA Consulting: Critical Assistance: How a Consultant Can Strengthen Your Crisis Management Program]

A Wake-Up Call for Crisis Management Leaders

To the general public, the recent hurricanes affecting Florida and North Carolina were notable for the high human and economic toll they exacted. For me as a business continuity consultant, they were also an opportunity to assess how organizations in the affected areas did in managing the crisis. 

Unfortunately, the response of most companies, based on my subsequent conversations with leaders across the region, was far from textbook. It was frequently characterized by reactions such confusion, paralysis, and delay, to the detriment of these organizations and their stakeholders.

I don’t mean to pick on leaders from the southeast. It’s likely that managers elsewhere would struggle the same way if they were presented with the same challenges. 

Nonetheless, the recent struggles faced by organizations impacted by the hurricanes offer an excellent opportunity to reflect on the importance of sound crisis management—and to share some of the principles and practices that skilled crisis managers use to successfully navigate emergencies.

I encourage leaders everywhere to think about the state of crisis management preparation at their organization—as well as whether they follow the practices laid out below and how they might benefit from doing so. 

The 7 Habits of Highly Effective Crisis Managers

Countless books have been written on effective crisis management. In fact, I wrote one myself, with MHA Senior Advisory Consultant Richard Long; it’s called Crisis Management: A Handbook for BCM Professionals, and it’s available free for download here.

My aim in today’s blog is to share in thumbnail form a handful of points and tips about crisis management that struck me as being especially relevant in the wake of recent events.

Here are my 7 habits of highly effective crisis managers:

1. Take Extreme Ownership

Leaders must fully own every aspect of a crisis, good or bad. True ownership means avoiding blame-shifting and tackling tough decisions head-on. Effective crisis leaders don’t dwell on what went wrong but turn swiftly toward finding solutions, setting a powerful example for their teams.

2. Keep the Process Simple

A clear, straightforward response process prevents chaos. We recommend the APIE approach: Assess, Plan, Implement, Evaluate. When teams have a simple, consistent response method, they can react without having to waste time pondering what to do. Crisis response is inherently messy, but by using a process such as APIE, teams can bring a measure of order to a chaotic situation, thus achieving “organized chaos.”

3. Prioritize and Execute

Effective crisis management requires the ability to prioritize risks and act on them accordingly. This means a leader must quickly identify the primary threats, ranking them based on likelihood or potential impact, and then execute a response. Prioritizing and executing allows leaders to manage multiple challenges at once, focusing on the most urgent issues while ensuring the organization remains as stable and prepared as possible.

4. Maintain Situational Awareness 

Crisis situations are stressful by definition, but skilled managers have the ability to maintain an even keel emotionally, avoiding tunnel vision and maintaining an awareness of the big picture. This means remaining mindful of the whole breadth of the potential impacts and the company’s interests, currently and into the future. 

5. Make Decisions Interactively 

Good crisis managers understand that “the room has the answers.” Rather than going it alone, they draw on their team’s collective experience and perspectives, recognizing the strength of interactive decision-making. 

6. Choose Crisis-Capable People 

Many people are capable; members of the crisis team should be “crisis capable”: good under pressure, possessing common sense and deep knowledge of the business, and willing to speak their mind. Members of your crisis team shouldn’t be chosen based on their titles or for political reasons. 

7. Create Three Core Documents

Many companies do a poor job in managing the documentation aspect of a crisis; however, crisis documentation is simple and straightforward. In managing a crisis, effective managers produce three core documents, updating them regularly:

  • A briefing agenda to guide their meetings;
  • A situation report providing an up-to-date summary of the crisis
  • And an incident action plan (IAP) directing the team’s immediate activities.

These three documents create a framework that anchors everyone’s efforts, enabling a coordinated, effective response.

By embracing the seven habits outlined above, leaders can elevate their crisis management capabilities, ensuring that their teams are ready to respond effectively when challenges arise.

Building Resilience Through Stronger Crisis Management

Effective crisis management has never been more critical for organizations aiming to safeguard their people, assets, and reputations. Every manager who plays a role in helping their organization navigate emergencies should strive to improve their company’s preparedness and their own skills. 

By adopting the seven habits outlined above, leaders can establish a foundation for proactive, organized responses, transforming uncertainty into manageable challenges. Leaders who commit to honing these skills position their organizations not only to survive crises but to emerge stronger in their wake.




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