Subunit 5.7 Crisis management and contingency planning review

Which term describes the procedures, processes and policies set in place to help an organization handle a crisis if or when it arises.

• Contingency plan

• Balance sheet

• Business plan

Which of the following is not a factor that directly affects the effectiveness of crisis management?

• Transparency

• Communication

• Safety

Which of the following is most likely to be an unquantifiable risk for a publishing company?

• The outbreak of infectious diseases in a city which temporarily reduces the demand for new books

• Product recall following misprints in the publication of a new novel

• Fire damage to stocks of books and magazines

One of the factors that affects the effectiveness of crisis management, about being open and honest with all stakeholders during a crisis. It is about disclosing the truth, such as the scale or severity of the crisis.

(a)  

Which term describes the management process of handling unexpected and unpredictable events that may threaten the normal operations or survival of a business organization?

• Crisis planning

• Scenario planning

• Crisis management

Which of the following is not a factor affecting effective crisis management in the event of an earthquake, tsunami or other natural disaster?

• Communication

• Speed

• Costs

• Control

One of the factors that affects the effectiveness of crisis management, about using a crisis management team to handle a crisis and ensure there is leadership and governance.

(a)  

One of the factors that affects the effectiveness of crisis management, about making prompt decisions and actions in order to return to the business to its normal operations as soon as possible.

(a)  

Which is a key step in contigeny planning?

• Prepare a press conference and invite the BBC

• Minimize the potential impact of crises

• Secure a hideout for the senior managers

Which is an example of an organizational crisis?

• Having your ice cream eaten by a naughty seagull

• Theft and vandalism

• Not being able to go to a Bad bunny concert