Burson-Marsteller release EMEA Crisis Survey results

In the past 12 months, “controversial company developments” were the type of crisis most frequently encountered by survey respondents, with the “entry of new and innovative business models into their market” identified as the second most experienced cause of crisis.

These were followed by logistical difficulties (third), online/digital failure (fourth), negative social media campaigns (fifth) and regulatory scrutiny (sixth).  When respondents were asked about the next six to twelve months, “new and innovative business models entering their sector” topped the list with the arrival of “disruptive innovators” seen as more likely to occur than any one of the traditional crises experienced in the previous year.

Disruptive innovation is clearly a focus of attention for business leaders with:

Other findings include:

The threat of crisis is at its highest since 2009 with 49% of business leaders having experienced a crisis at their current company.

Political risk continues to be both a source of crisis, as well as an ‘amplifier’ during a crisis, with 25% of businesses having encountered a crisis resulting either from intense regulatory or political scrutiny. Once in a crisis, governments and regulators are the most feared actors.

Businesses are becoming increasingly vigilant of digital challenges – be they in the form of new media campaigns or data security. Forty-nine percent of businesses have a digital crisis communications plan – up 10 points from 2013 – and one in five businesses has been in crisis due to an online or digital security failure.

Commenting on the findings, Jeremy Galbraith, Burson-Marsteller’s CEO for Europe, Middle-East, Africa and global Chief Strategy Officer, says, “The findings of our survey emphasise that we are living through a particularly disruptive era with communicators facing a perfect storm of challenges. The upturn in the global economy has seen new brands enter old markets and small innovators rapidly expand, challenging traditional brands and industries.”

“At the same time, the online revolution means cyber hackers can access data and armchair campaigners, so-called ‘clicktivists’, can protest from their living rooms. And this is all set against a backdrop of a massive erosion in the trust the public places on the words and actions of big business.”

“Communicators need to remember the four P’s: Purpose, Plan, Predict, Pioneer. That is, Purpose should guide business, Plan how to handle a crisis in ‘peacetime’, Predict and monitor the trends in your market and Pioneer by being innovative and bold,” concludes Galbraith.

For more information, visit www.burson-marsteller.com. Alternatively, connect with them on Facebook or on Twitter.