StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Crisis Management and Its Increasing Importance in International Operations - Literature review Example

Cite this document
Summary
The paper "Crisis Management and Its Increasing Importance in International Operations" states that in the post-crisis period, managers get to know what aspects of the organization need to be changed in order to minimize the potential for crisis in the future…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER95.3% of users find it useful
Crisis Management and Its Increasing Importance in International Operations
Read Text Preview

Extract of sample "Crisis Management and Its Increasing Importance in International Operations"

Download file to see previous pages

A crisis can be referred to as the critical phase of a situation. It is essentially a time of instability that is soon to see a decisive change that may result in a highly undesirable outcome or an extremely positive product. Executives that are able to estimate and plan for this change in the organization increase their tendency to capitalize on the opportunity hidden therein in comparison to the executives that allow the crisis to approach them unprepared. Thus in contrast to the conventional understanding of a crisis, it may be an opportunity rather than a threat.

Nevertheless, a crisis is always characterized by a certain level of uncertainty and risk. Crisis management deals with the minimization of risk in the uncertainty with a view to providing an individual or an organization with increased control over the circumstances and exercising the function of management leadership. According to Fink (1986), a crisis consists of four distinct stages namely, the stage of prodromal crisis, the stage of acute crisis, the stage of chronic crisis, and the stage of crisis resolution.

In the anatomy of crisis, these four stages are always existent and unchanged. A business manager who recognizes each of these stages gains the competency to address issues of huge organizational significance. In order to make a proactive approach towards intervention, a manager needs to recognize the prodrome. All crises may not necessarily comprise all four stages, though they are present in a vast majority of major crises. If there is a warning stage, that is essentially the prodromal stage of the crisis.

A prodrome may become hard to recognize at times and maybe evident at other times, though if the required action is not taken in time, it may lead to the occurrence of an acute crisis. In a vast majority of cases, when no action is taken, it is a result of obsessive decision-making or analysis paralysis within the company. It is the ease with which a crisis can be managed in the stage of prodrome that makes it very important. If the problem is taken care of before its conversion into acute, the process becomes more convenient and reliable.

The whole West is a warren of interconnected transmission lines. The power grid in the West is the largest machine that man has ever made – stretching from Canada to Mexico, from the Pacific Coast to the western front of the Rockies … But like any machine, like your lawnmower or your computer or your car, it is susceptible to breakdown. (Hotz and Clifford cited in Mitroff and Anagnos, 2001, p. 12). There is no turning back at the acute stage of crisis in crisis management in many respects.

As soon as the organization enters the stage of acute crisis from the prodromal stage and the warnings end up, the ground thus lost can almost never be recovered, though a firm can minimize additional damage by taking necessary actions in time. The key to success is controlling the crisis to the maximum extent. If it seems impossible to control the acute crisis, the management should then try to influence the origin, time, and way of the eruption of the crisis. One of the most fundamental challenges that managers encounter while dealing with the crisis in the acute stage despite being ready for it is the intensity and enormity of speed which is often an essential characteristic of the acute stage of a crisis.

...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Crisis management and its increasing importance in international Literature review - 1”, n.d.)
Retrieved from https://studentshare.org/other/1427961-crisis-management-and-its-increasing-importance-in
(Crisis Management and Its Increasing Importance in International Literature Review - 1)
https://studentshare.org/other/1427961-crisis-management-and-its-increasing-importance-in.
“Crisis Management and Its Increasing Importance in International Literature Review - 1”, n.d. https://studentshare.org/other/1427961-crisis-management-and-its-increasing-importance-in.
  • Cited: 0 times

CHECK THESE SAMPLES OF Crisis Management and Its Increasing Importance in International Operations

The Regulatory Intervention That Took Place in the US Post 2008 Crisis

Until 2007, the world experienced low inflation levels, high growth, and an increase in international trade and movements of capital.... Moreover, international companies bear the brunt of their presence in the United States.... Most important and largest mortgage lenders such as Countrywide, Bear Stearns, Fannie Mae, Freddie Mac, Lehman Brothers, and American international Group (AIG) were bankrupt.... Though the Dodd-Frank Act (Act) was passed to address the 2008 crisis and prevent a future crisis of such a magnitude, the Act creates instability on the markets and fails to address properly the international nature of the crisis, which will be further elaborated on in the paper....
12 Pages (3000 words) Assignment

Systems and Operations Management

As a consequence, effective management and utilization of these resources is pivotal in the attainment of the set objectives and goals.... SYSTEMS AND operations MANAGEMENT Professor/tutor University/college Date Table of Contents Table of Contents 2 Introduction 3 Role of Human Resource Management in operation 3 The problems that Ninak Fireworks Ltd face in operation and customer satisfaction 5 A Mind Map that can be used at Ninak Ltd 8 An analysis of how to improve operations 9 References 12 Introduction The successful management of human resources is vital in the realization of an organization's objectives....
8 Pages (2000 words) Assignment

Strategic Operation Management

There are numerous theories and principles that have been developed in the field of strategic operations management.... It is a general perception that operations management is an evolving field and in this highly competitive arena, its importance as a discipline has been growing.... This part of paper explores concepts and views on various theories that have got relevance to the subject of strategic operations management; along with, an overview is presented on various emerging theories related to supply chain management....
8 Pages (2000 words) Essay

Strategic Management and Critical Challenges in Crisis Management

This essay intends to discuss the role and the significance of strategic management in crisis situations and its implications on organizations.... The paper "Strategic management and Critical Challenges in Crisis Management" will begin with the statement that the contemporary business environment has become highly dynamic and uncertain.... Strategic management in crisis situations also referred to as crisis management in organizational contexts, is the art of designing as well as executing plans to mitigate the obstacles witnessed in particular circumstances towards the ultimate achievement of organizational goals....
15 Pages (3750 words) Essay

Operations Management and Business Development

operations management is the aspect of organizational administration that in responsible for undertaking and producing quality products and services, it takes care of distribution and project management doings that ensure efficiency and effectiveness in operations of the business.... Basically operations management supervises and oversees the allocation of resources and supply of goods and services to the consumers as well as evaluating coordination of line waiting. ...
11 Pages (2750 words) Essay

Crisis Management for Cruise Tourism Industry

The paper "crisis management for Cruise Tourism Industry" describes that survey is a popular and common strategy in management research because surveys allow the collection of a large amount of data from a sizeable population in a highly economical way.... ith the emergence of different factors, events and phenomena such as on the aspect of safety and security, the issue on the effectiveness of crisis management comes to fore.... Through improved crisis management, cruise lines will be able to address security and safety concerns....
28 Pages (7000 words) Coursework

Convergence in the Financial Services Industry: Implications of the 2007 Financial Crisis

The study provides a comprehensive situation on the trend toward convergence in the financial services industry and implications for the post-2007 crisis environment.... The occurrence of a financial crisis causes some structural effects in key players in the industry.... In a study by Aizenman, Glick & Lothian (2010), the trilemma configuration – namely the triple goals of monetary independence, exchange-rate stability, and financial integration – were examined in the context of a financial crisis....
12 Pages (3000 words) Research Proposal

The Impact of Credit Crisis on Mortgage Credit Conditions in the UK

Caused by myriad economic factors, the crisis led to the stalling of various industries, which further perpetuated the crisis thereby gravitating the.... The paper "The Impact of Credit crisis on Mortgage Credit Conditions in the UK" is a great example of a literature review on macro and microeconomics.... The credit crisis just as any other economic crisis affected the growth and expansion of various sectors in global economies....
11 Pages (2750 words) Literature review
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us