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The subject is crisis management.

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Answered Same Day Aug 02, 2021


Nishtha answered on Aug 17 2021
147 Votes
Running Head: CRISIS MANAGEMENT                             1
Table of Contents
Scenario A:    3
Q1: Crisis Management Plan for Toyota    3
a) Activation Guidelines    3
) Action Plan    3
c) Pre-Approved Communication Strategies    4
d) Contact Information to all Relevant Personal Internal and External Parties    4
e) Resources Required    4
Q2: Distribution and Implementation of Crisis Management Plan    4
Scenario B:    5
Q1: Crisis Management Plan for Shop Owner in Ma
ickville    5
a) Activation Guidelines    5
) Action Plan    5
c) Pre-Approved Communication Strategies    5
d) Contact Information to all Relevant Personal Internal and External Parties    5
e) Resources Required    5
Q2: Distribution and Implementation of Crisis Management Plan    5
Q3: Evaluation of the Crisis Management Plan    6
a) Evaluative Questions    6
) Scale Rating of Evaluative Statements    6
Q4: Changes for Next Time    6
References    8
Scenario A:
Toyota announced to recall 9 million vehicles because of the problem of unintended acceleration. This step cost much to the company. It involves both financial and reputational cost for the Toyota. If the company had crisis management plan, it did not have to face setbacks, which the company faced in 2010-2011. The investors and the customers lost their interest as well as their confidence from the company.
The company recommended designing a crisis management plan in order to deal with this situation in future. The crisis management plan would have help Toyota addressing many factors that pose threat to the sustainability of the business. As mentioned by Bundy, Pfa
er, Short and Coombs (2017), this crisis plan will guide the company to maintain the momentum of the
and value in worse situations.
Q1: Crisis Management Plan for Toyota
a) Activation Guidelines
Not all incidents need escalation to the crisis level. As informed by Austen-Smith, Diermeier and Zemel (2017), if the company has crisis management program than the playbook is only meant to be activate when issue escalates or has a potential to escalate to the crisis level. For example, in the case of the Toyota, firstly, the organization must define what should be defined as crises such as reducing quality and low sales.
In this case, the sudden unintended acceleration (SUA) was the main crisis that Toyota faced; causing a chain of reaction that resulted in a series of other problems. The crisis will first enter into internal escalation protocol where management will determine, the level of impact by the crisis.
) Action Plan
It is the checklist of the crisis management team. As stated by Wang (2017), it includes all the important elements that need to be consider at the time of crisis. Abu Amuna, Al Shobaki and Abu-Naser (2017) have described every task and action plan identified and assigned to the respective departments. This assigned task needs to be fulfilled by 24-48 hours of a crisis occu
ing. In this case, the...

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