Crisis Management

Crisis: A time of intense difficulty, trouble or danger.

The above is the standard dictionary definition of the word “crisis.” You might look at it, as I did, and determine that it is a bit weak, compared to the amount of times it has been used of late. Let’s face it, that definition comprises an average day in the life of a trade contractor or subcontractor.

What is, and is Not, a Crisis?

It seems that, in the past decade or so, the word “crisis” has been over-used, don’t you think? Everything seems to be put in that category, almost without thought. Well, everything is not a crisis. Sometimes though, there are general situations in business that can be categorized as a “crisis.” Determining what is and is not a crisis is your job as the boss and your field representative’s job as your proxy. Defusing hysterical employees, contractors and others who think that every difficulty is a crisis is also a part of why you make the “big bucks” (tongue firmly in cheek). After all, managing a “crisis” is the same as managing your everyday business, only it is a bit more intense.

Identifying the “Crisis”

Taking the temperature down a notch is the first rule to remember. Once a calmer view of any given situation is made, the critical nature of the incident becomes much clearer and can be dealt with accordingly. Obviously, a burst water main in the ceiling of a manufacturing plant could be called a crisis. Especially if product is being damaged or destroyed in the floor(s) below. Immediate response, in that case, is required. It could rightly be called a crisis. Not taking care of such a disastrous problem, immediately, would result in financial losses that could, at best cost a great deal of time and money and at worst, put the owner of the material being destroyed out of business.

Employees who don’t show on time, or suffer from “brown bottle flu” every Monday, likewise is not a crisis. If you have had employees with that particular problem before, you handle it the same way you always have or come to whatever decision you need to solve the problem. Crisis averted! 

Having a special-order item delayed, mis-delivered or damaged upon delivery, is not a crisis... no matter how much the GC, architect or owner may say it is. Gathering all the pertinent information and arriving at a solution—no matter how off-putting to some of the interested parties—is how one would deal with these issues. Again, crisis averted!

These are all examples of everyday problems that occur in our line of work... and have for a very long time. We’ve dealt with this type of disruption to our planned workflow before, and it has never amounted to what could even remotely be called a CRISIS. Dealing with everyday problems, such as those illustrated above, is what you do. It’s called “being in business.”

How Do You ‘Manage’ a Crisis?

The answer is really quite simple:

1) Identify the problem.

2) Determine the immediacy and severity.

3) Promulgate a course of action.

4) Work the solution to a desired “best case” outcome using your experience and ability.

Let’s take the example of the burst water main. Identifying the problem is pretty easy (water, water everywhere!). Determining the immediacy and severity is as well. Damaged ceiling, damaged product... a huge mess! First, best course of action is to turn off the water! But what if in so doing other equipment, that might require water, is damaged? The solution is a little less obvious than simply repairing the break, although that might be the best short-term solution.

In the aftermath, I would say that figuring out why the break happened (old piping, piping used as a “hanger” for materials, pressure surge, etc.) would be the immediate action to take. Effecting a repair or replacement of the piping would be the next step in the search for the best outcome.

Of course, this point of view is from the perspective of the plumber, not the owner or his insurance company. Pointing fingers, and absolving or condemning different parties, is something that crisis management should seek to clarify, if not avoid altogether.

The Real Issues

That is the key to managing a “crisis” in the context of this article; making sure your hands are clean, or in the political parlance of our time “CYA.” Really, everything can be taken care of, usually to the satisfaction of most concerned parties. In resolving the problem, however, the blow back from unexpected consequences can come out of nowhere and flatten you.

That is the real crux of crisis management in our industry. Someone is always looking for someone to blame, whether or not that party had anything to do with the critical issue. Such is the nature of business today. Always remember, water and $**t flow downhill!

We have seen it time and again, especially over the past decade or so. It is not rocket science to understand your vulnerability in the greater scheme of crisis management. Protect yourself at every turn.

Even if you are the “hero” today, you can easily be painted as the “goat” tomorrow. So be aware when you are trying hard to solve a “crisis” that is not of your doing.