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November 1, 2012

From the November 4, 1999 Archives - Concord faculty members win research award.

by Ginger Boyles Princeton Times

PRINCETON — Concord College faculty, Dr. William Crandall, Dr. Chris Ziemnowicz,  and McNair Scholar student, Jeff Wegner, completed a study on how organizations are dealing with catastrophic crisis events. 

Dr. Crandall presented the results at the 35th annual Southeaster Chapter of the Institute for Operations Research and Management Sciences in Myrtle Beach. The paper won an award for the best research paper in the Management and Strategy track at the meeting.

The paper, titled "Examining crisis management effectiveness: An application of the Pearson and Clair Framework" looked at seven areas organizaiton must address when faced with a crisis, such as product tampering, employee death, natural disaster, accidents, scandal, or health and safety issues. The professor and student paper focused on seven different areas to see if an organization handled a crisis well.

Overall their research showed that most companies and organizations do well, however, there seems to be a weakness in dealing with detecting whether a crisis is occurring, and then containing the problem.

The companies that do the best job practice what is know and accommodative strategies, where the company acknowledges responsibility, extend apologies if necessary, and compensate when appropriate instead of maintaining the status quo. The best example of this is when the Johnson and Johnson company took responsibility for the Tylenol cyanide poisoning scare.

The worst is when companies take a defensive strategy that deny responsibility for the crisis, blame other parties, and try to maintain the status quo. The company A. H. Robins followed this policy when they marketed the Dalkon Shield and eventually the company went out of business.

 

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