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Small vs. Large Scale

What would be some ways in which the suggestions in thie class would need to be adjusted for a very small company?

I realize that generally speaking the information applies accross the board. I would think that a smaller company would have fewer options and/or less flexibility in preparing for cirses (i.e. fewer products, less capital to explore other product possibilities) I am only at the beginning of my thinkingg around this so was curious to mine the experience of others in the course. Also, I imagine that resources - people and money - are going to afect one's ability to deal with crises. I would love to hear how those on the smaller/tighter end of the business spectrum have adpated.

Wendy,
When considering best practices and process you have almost the same opportunities in a small operation vs large. I came from a small operation that was very successful and when I went to a larger one the process and best practices work for both institutions. The only difference is the ability to make changes with cash flow needs . Keep in mind the overhead for a large operation requires more money to operate. The process for best results is the same large or small.

Dr. Gary Carlson

I think that small companies would have no more or less difficulties in performing a crisis audit, but just have different crises.

A smaller company would have a smaller group of employees to communicate with, fewer rumors to work around, more one-on-one communication. I am also of the opinion that the fewer steps there are in any plan the fewer risks there are for breakdown.

I am not ignoring the benefits of a larger corporation having the finances and manpower to do more (upto and including hiring a professional crisis manager), but that would also allow for more miscommunication and a lack of transparency from the top levels down to the average worker.

David,
Key people are the necessary development of a Crisis team. Each person needs to have the ability to make decisions in their own area of responsibility.

Dr. Gary Carlson

Every organization, large or small, is going to have the same type of fundamental crises. How they present themselves is what may differ. Thinking of long-term crises - a university may have the same type of “sales” problem as a large manufacturing corporation; for the corporation, they may not be selling as many products as they have in prior years, the university may be down in their enrollments compared to prior years.

No matter the size of the organization, the success in dealing with crises truly comes down to those key personnel who are making the decisions to guide the organization through. The team needs to be able to long-term plan, as well as think on their feet – they are the most valuable resource and can be found at a small or large organization.

Jessica,
Great practice is good for the bigs and the smalls. It is the process and planning that makes the difference.

Dr. Gary Carlson

Dr. Carlson,

Do you think that organization(planning)and teamwork(communication)are the two key ingredients?

William,

Yes, they would rate at the top. This is the challenge for a leader to see that this occurs.

Dr. Gary Carlson

Wendy, You raise an interesting point. I would think that being a small company would have both advantages and disadvantages, some of which have already been pointed out by others here.

For me, the biggest advantage in being part of a small organization is that it gives you flexibility, both in the planning stage and when something bad actually occurs. The disadvantage, of course, is limited resources. For example, a mom & pop operation can't afford to use a third-party service that rotates their backup tapes offsite to a secure vault located under a mountain in West Virginia. On the other hand, they can take their backup tapes home at the end of each day, which has the advantage that (A) there is no cost at all, and (B) if a backup tape is needed, it can be retrieved simply by driving home to fetch it.

Of course, being a small organization that's owned by a much larger corporation creates an interesting blend, giving us the best of both worlds, or the worst of both worlds, depending on one's perspective. Much will depend on how readily those in the mother ship delegate authority and allow each unit to operate independently, based on local conditions. If a tornado is bearing down on our building, I expect we would all run down to the basement without first waiting for approval from headquarters. Afterwards, there will be plenty of time to debate whether we should have called them first to ask for permission.

Robert,

You make valid points throughtout your assessment of the situation for large and small organizations. In today's technology driven companies we are blessed with defaltion. Defllation is the technology that once was expensive is now reduced in price. What I am seeing is the abilit of smaller companies to enjoy the advancements of new technology at an affordable price. Innovations don't need to be for only the large companies. Also, what works in a large companies for people management and motivation works in small companies. Key areas for both are honesty, consistency, compliance, integrity and empathy contribute to creating a great team. Crisis management is at its best when you can provide this environment for your employees.

Dr. Gary Carlson

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