29 Sep DATA CRISIS MANAGEMENT: Lessons to learn
Managing Crises: Data crisis management in the social media age requires novel ways of thinking about risk and response.
The art of data crisis management is an important practice area as the world becomes increasingly interlinked with social media and lightning speed communications.
Universal availability of instant, semi-personalised social media channels has led many members of the public to demand hyper-transparency from corporations, delivered at lightning speed. Senior executives are expected to enter a purportedly personal dialogue with consumers and other stakeholders without spin, demonstrating ownership of a problem and its resolution regardless of fault. Public critics and consumer advocates deploy the same social media tools and channels, necessitating quick positioning by the business in crisis, with rapid responses and clear messaging. Prudential and privacy regulators and equity markets also expect clarity and consistency in communications.
Data crisis management in the social media age is a new frontier for commercial practice, requiring novel ways of thinking about the mitigation of risk and preparation of detailed plans for response. Indeed, data crisis management has become a consultancy practice in itself, with a new breed of crisis management consultants assisting businesses to address the new characteristics of corporate crises.
Case studies such as #ubergate and Bloomberg Financial’s “snooping scandal” illustrate the two common mistakes that corporations make when responding to a data crisis. In the article below, we share our recommendations on data crisis management, and how privacy risk management has become woven into the fabric of doing business in the 21st century.