When uncertainty is the only constant – time for “strategic risk communication”

by Oluwatobiloba Akerele:

Strategic risk communication involves creating clear and consistent messages that keep stakeholders (employees, management, and external partners) well-informed about risks, response strategies, and recovery plans. This type of communication builds trust, improves preparedness, and encourages a culture of resilience.

Strategic and consistent risk communications form the foundation of effective business continuity management and organizational sustainability approaches. Strategic risk communication drives foresight and enables businesses to adapt to unexpected situations.

It is important to understand that business continuity management is not a reactive strategy but a highly proactive approach that needs to incorporate strategic risk communication internally and externally.   An organization becomes resilient when employees and stakeholders at every level are aware of potential risks and the strategies designed to address them. This shared awareness cultivates a culture of responsiveness, empowering teams to tackle challenges with confidence and clarity.

Strategic risk communication guarantees that all stakeholders, including employees, management, and external partners, are aligned and informed about risks and response strategies. Clear and consistent messaging sustains trust and confidence, which are critical during crises. When everyone is aligned, collaboration and coordination thrive, enabling organizations to tackle challenges together. The ability to convey information effectively can be the key to transforming chaos into order and uncertainty into clarity.

For example, Johnson & Johnson faced scrutiny over its COVID-19 vaccine after reports of rare blood clotting events. The company quickly implemented a strategic communication plan to address public concerns. On April 13, 2021, the U.S. Centers for Disease Control and Prevention (CDC) recommended a pause in the use of the vaccine. Johnson & Johnson responded by providing clear, factual information about the risks and benefits of the vaccine, emphasizing its commitment to safety and transparency. The company held press conferences and issued statements to keep stakeholders informed, which helped maintain public trust and confidence in their product.

Effective internal communication builds trust, which is essential for crisis preparedness and management. During crises like the COVID-19 pandemic, organizations must prioritize clear, frequent, and empowering employee communication, enabling continuous feedback (Schmidt, 2023). Internal crisis communication should be holistic, addressing pre-crisis, acute crisis, and post-crisis phases to prevent escalation.

For instance, Starbucks implemented a strategic and robust risk-communication plan to keep its employees informed about safety protocols and operational changes during the COVID-19 pandemic. On the other hand, Hertz, a car rental company, struggled with communication during the pandemic. As travel restrictions were imposed, Hertz faced significant operational challenges. The lack of proactive and clear communication regarding safety measures and rental policies led to confusion among customers and employees. The misalignment contributed to a decline in customer trust and ultimately contributed to Hertz’s bankruptcy filing in May 2020. This example highlights how effective strategic risk communication can make a difference in organizational resilience.

Target implemented a more robust risk communication framework after experiencing a significant data breach in 2013. The framework ensured that stakeholders were promptly informed about security measures and data protection efforts. The company held regular updates and town hall meetings to keep employees informed and engaged. This commitment to transparency and communication not only helped rebuild trust but also enhanced Target’s overall resilience against future threats.

Strategic risk communication is not a one-off task. It demands continuous evaluation to boost overall resilience. For instance, IBM has established a continuous feedback loop within its communication strategy, allowing employees to provide input on the clarity and effectiveness of internal communications. This approach enables IBM to adapt its messaging based on employee feedback, ensuring that communication remains relevant and effective. The examples given highlight the importance of the internal and external risk communication approach.

As a strategic communications expert, it is best to ensure your organization leverages consistent internal and external risk communication and adapts regardless  of the limitations posed by uncertainties….. Are you doing this?

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Oluwatobiloba Akerele is a strategic communication leader with over a decade of progressive and diverse experience.

Oluwatobiloba initiated the Research, Engage, Adopt Technology, Campaign, and Harmonize (REACH)communications model which has been the foundation of winning communication strategies.

Written by: Editor