Given certain factors, customers are unpredictable and uncontrollable. Customers can positively or negatively affect the reputation of the company and the company must ensure that customers are well satisfied with the product or service offered. Commercial risk, commercial risk is the possibility that a financial institution will realize a lower profit than expected or will instead realize a loss. than a profit. The financial institution is unpredictable and if not managed carefully it can lead to a potential crisis which could lead to the collapse of the institution. Crisis management plan. A crisis is any event that causes disruption to a company's operations or business functions for a period beyond the acceptable period. downtime. Management planning is a plan and responds to internal and external factors that pose a threat to a business, such as those mentioned above. Therefore, the organization must have strategic plans to ensure a smooth transition from the effects of the crisis to normalcy. Antonacopoulou & Sheaffer (2013) argued that the environment in which businesses operate today is often described as hostile, aggressive, uncertain, dynamic and complex. Therefore, the complexity of business environments leads to various crisis events (Heller & Darling, 2012). . It is therefore very important that leaders not only focus on when and how a crisis might occur. To minimize such unforeseen impact on organizations requires reasonable crisis management practice. According to Smith (1992), the article reveals seven Cs of crisis management that demonstrate or have proven elements of crisis prevention. In other words, the elements develop and discuss the five phases of the crisis management plan but classified the phases into three classes. The five phases include: identification, preparation, prevention, damage control, recovery, and signal learning (Antonacopoulou and Sheaffer, 2013). However, for better analysis and understanding, I have summarized the phases into three groups. This includes crisis management, the second category is called operational crisis team and the last category is called legitimation crisis. Crisis Management This division of people will often encompass the first three phases of the crisis management plan. These are the signal identification, preparation and prevention phases. Therefore, this stage aims to provoke situations that pose a threat to the survival of an organization, which places the organization under what is known as extreme time pressure. Studies by Haller and Darling (2012) show that this phase represents the period during which a crisis incubates and plays a crucial role in the strategy and system approach that results in a problem at the functional and operational levels of the organization. occurs when a management team fails to consider the impending situation that is about to occur and may pose a threat to the survival of the company. The important aspect at this stage is effective communication, high cultural value and the decision-making process and how they generate vulnerability. The management team's failure to respond to incidents in a reasonable manner could eventually lead to a potential crisis. This phase represents a crucial stage where the decision adopted or not adopted by the company's management team can hinder the growth of the company culture (Herbane, 2014). The main issues addressed in this phase include the role played by management in creating errors, structural weaknessesmanagement, restricted decision-making and communication processes and problems arising from the interaction of the business environment. Therefore, the organization must understand that any minor problem must be resolved as it could lead to catastrophic failure of the organization. The organization must be able to identify signals that could lead to a potential crisis and the organization must be prepared to manage the problems and possibly come up with solutions.strategies that can be adopted to prevent the crisis from developing further, minimizing thus the effects of the crisis. Therefore, these problems will be reflected in the failures of contingency plans that address the scope and scale of the problems the organization faces in its operational phase of any crisis. Operational Crisis The second category, called operational crisis, is the result of crisis escalation. a problem to such an extent that the damage damaged the reputation of the organization or threatened the reputation of the organization. This phase is characterized by human management in reducing the impacts that the organization faces due to the escalation of the crisis. This phase of the crisis management plan is by far the most visible and important because it indicates the damage already caused (R. Blevins, Lord & Bjerregaard, 2014). Therefore, this phase requires additional resources to contain the intentional demands of the events, and eventually return the business to normal operation. This phase is also characterized by the role played by external factors which, in most cases, act as rescuers who take short-term control of the damaging event until the situation is reduced to a more manageable by the organization's management processes. In case the events have resulted in a complete loss of business, it is in this phase that all evidence is collected for further analysis. The operational crisis phase will often involve controlling the damage caused by the crisis escalating to the point of becoming menacing or even menacing. harm the company’s image (Antonacopoulou & Sheaffer, 2013). Due to the nature of the threat and its causes, the crisis will often not end at this point, but could further escalate and build reputation. Therefore, the operational crisis phase will often address issues resulting from harm due to the escalation of a problem that develops into a crisis. This escalation of the problem towards a crisis then constitutes a threat, or even leads to damage to the reputation and image of the company. the reputation of the company and various processes aimed at ensuring the validity of the company among internal and external shareholders. This creates an opportunity for the management team to come up with strategies that can be used by the organization to deal with future crises that arise during the first stage of the crisis management plan. In addition, this stage is often characterized by organizational learning leading to strategies that can be used in the future to help curb any possible threat to the company's image (Antonacopoulou & Sheaffer, 2013). In this step, the company will try to restore the already damaged image among its internal and external stakeholders. The company will take precautionary and preventive measures, thereby restoring trust among its partners, customers and stakeholders. During this phase, most companies will often use the recovery and learning process to identify the factors that led to the escalation of the crisis and develop strategies that the management team can.

Essay / Given certain factors, customers are unpredictable and uncontrollable. Customers can positively or negatively affect the reputation of the company and the company must ensure that customers are well satisfied with the product or service offered. Commercial risk, commercial risk is the possibility that a financial institution will realize a lower profit than expected or will instead realize a loss. than a profit. The financial institution is unpredictable and if not managed carefully it can lead to a potential crisis which could lead to the collapse of the institution. Crisis management plan. A crisis is any event that causes disruption to a company's operations or business functions for a period beyond the acceptable period. downtime. Management planning is a plan and responds to internal and external factors that pose a threat to a business, such as those mentioned above. Therefore, the organization must have strategic plans to ensure a smooth transition from the effects of the crisis to normalcy. Antonacopoulou & Sheaffer (2013) argued that the environment in which businesses operate today is often described as hostile, aggressive, uncertain, dynamic and complex. Therefore, the complexity of business environments leads to various crisis events (Heller & Darling, 2012). . It is therefore very important that leaders not only focus on when and how a crisis might occur. To minimize such unforeseen impact on organizations requires reasonable crisis management practice. According to Smith (1992), the article reveals seven Cs of crisis management that demonstrate or have proven elements of crisis prevention. In other words, the elements develop and discuss the five phases of the crisis management plan but classified the phases into three classes. The five phases include: identification, preparation, prevention, damage control, recovery, and signal learning (Antonacopoulou and Sheaffer, 2013). However, for better analysis and understanding, I have summarized the phases into three groups. This includes crisis management, the second category is called operational crisis team and the last category is called legitimation crisis. Crisis Management This division of people will often encompass the first three phases of the crisis management plan. These are the signal identification, preparation and prevention phases. Therefore, this stage aims to provoke situations that pose a threat to the survival of an organization, which places the organization under what is known as extreme time pressure. Studies by Haller and Darling (2012) show that this phase represents the period during which a crisis incubates and plays a crucial role in the strategy and system approach that results in a problem at the functional and operational levels of the organization. occurs when a management team fails to consider the impending situation that is about to occur and may pose a threat to the survival of the company. The important aspect at this stage is effective communication, high cultural value and the decision-making process and how they generate vulnerability. The management team's failure to respond to incidents in a reasonable manner could eventually lead to a potential crisis. This phase represents a crucial stage where the decision adopted or not adopted by the company's management team can hinder the growth of the company culture (Herbane, 2014). The main issues addressed in this phase include the role played by management in creating errors, structural weaknessesmanagement, restricted decision-making and communication processes and problems arising from the interaction of the business environment. Therefore, the organization must understand that any minor problem must be resolved as it could lead to catastrophic failure of the organization. The organization must be able to identify signals that could lead to a potential crisis and the organization must be prepared to manage the problems and possibly come up with solutions.strategies that can be adopted to prevent the crisis from developing further, minimizing thus the effects of the crisis. Therefore, these problems will be reflected in the failures of contingency plans that address the scope and scale of the problems the organization faces in its operational phase of any crisis. Operational Crisis The second category, called operational crisis, is the result of crisis escalation. a problem to such an extent that the damage damaged the reputation of the organization or threatened the reputation of the organization. This phase is characterized by human management in reducing the impacts that the organization faces due to the escalation of the crisis. This phase of the crisis management plan is by far the most visible and important because it indicates the damage already caused (R. Blevins, Lord & Bjerregaard, 2014). Therefore, this phase requires additional resources to contain the intentional demands of the events, and eventually return the business to normal operation. This phase is also characterized by the role played by external factors which, in most cases, act as rescuers who take short-term control of the damaging event until the situation is reduced to a more manageable by the organization's management processes. In case the events have resulted in a complete loss of business, it is in this phase that all evidence is collected for further analysis. The operational crisis phase will often involve controlling the damage caused by the crisis escalating to the point of becoming menacing or even menacing. harm the company’s image (Antonacopoulou & Sheaffer, 2013). Due to the nature of the threat and its causes, the crisis will often not end at this point, but could further escalate and build reputation. Therefore, the operational crisis phase will often address issues resulting from harm due to the escalation of a problem that develops into a crisis. This escalation of the problem towards a crisis then constitutes a threat, or even leads to damage to the reputation and image of the company. the reputation of the company and various processes aimed at ensuring the validity of the company among internal and external shareholders. This creates an opportunity for the management team to come up with strategies that can be used by the organization to deal with future crises that arise during the first stage of the crisis management plan. In addition, this stage is often characterized by organizational learning leading to strategies that can be used in the future to help curb any possible threat to the company's image (Antonacopoulou & Sheaffer, 2013). In this step, the company will try to restore the already damaged image among its internal and external stakeholders. The company will take precautionary and preventive measures, thereby restoring trust among its partners, customers and stakeholders. During this phase, most companies will often use the recovery and learning process to identify the factors that led to the escalation of the crisis and develop strategies that the management team can.

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