Even while the travel and tourist industry is one of the fastest growing in the world, it is also very vulnerable to a variety of disaster risks. We read about earthquakes, tsunamis, tropical storms, and floods wreaking havoc on popular tourist spots every year. The frequency of extreme weather, which has a significant impact on travel destinations and transportation, has increased due to climate change. Epidemic dangers include those from SARS, avian flu, Ebola, MERS, and Zika. Terrorist attacks now occur anywhere on the planet, including in popular tourist places that are generally quiet.
Making destinations safer, more secure, and more prepared for any potential disaster threats to the tourists and the business is crucial for maintaining the healthy growth of travel and tourism.
To minimize the bad effects on travelers and the tourism business, tourism crisis management means creating policies, procedures, and manuals to act quickly in the event of a tragedy. Tourism businesses and destinations that have done their homework are quick to plan and take the required steps for post-disaster recovery.
In the tourism business, crisis management is the proactive and strategic strategy used by industry participants to foresee, prepare for, respond to, and recover from unanticipated occurrences that could jeopardize tourist safety, trip plans, and general satisfaction. The main objectives are to lessen the negative consequences of a crisis, rebuild consumer confidence in the tourism offering, and facilitate a quick recovery for all parties concerned.
Even though it is a growing worldwide sector, the tourist industry is not immune to unforeseen difficulties and setbacks. Crises can happen at any time, having an effect on both enterprises and visitors. Crisis management in the tourism sector is crucial to protecting visitors’ safety and guaranteeing the viability of enterprises in the face of inescapable risks.
Understanding the Nature of Tourism Industry Crises
Tourism industry crises can take various forms, each demanding a tailored response. Natural disasters, such as hurricanes, earthquakes, or tsunamis, can disrupt travel plans, infrastructure, and local communities. Human-made crises, such as terrorist attacks, civil unrest, or geopolitical tensions, can impact the safety and security of tourists in affected regions. Additionally, health-related crises, exemplified by pandemics like COVID-19, present unique challenges with widespread implications for global travel.
Pre-Crisis Planning and Preparedness
Effective crisis management begins long before a crisis occurs. The tourism industry must engage in pre-crisis planning and preparedness to mitigate potential risks and enhance responsiveness during emergencies. This involves conducting thorough risk assessments, identifying vulnerabilities, and establishing crisis response teams with clear roles and responsibilities. Robust communication plans are essential to disseminate accurate and timely information to tourists, employees, and the general public, building transparency and trust.
Crisis Response and Communication
When a crisis strikes, the effectiveness of the response and communication can make a significant difference in managing the situation. Tourism businesses must activate their crisis response teams promptly and implement pre-established protocols. Swift communication with relevant authorities, local communities, and other stakeholders is essential to assess the situation accurately and make informed decisions. Transparent and timely communication with tourists is crucial for managing expectations, providing safety guidelines, and offering alternative solutions.
Resilience and Recovery Strategies
Building resilience is a key component of effective crisis management in the tourism industry. Diversifying tourism offerings, both in terms of destinations and experiences, can help reduce the impact of crises that affect specific regions or sectors. Creating contingency funds and investing in comprehensive insurance policies can provide financial stability during challenging times. Collaborative efforts among public and private sectors can strengthen the managing capabilities, fostering a collective commitment to the industry’s survival and recovery.
Post-Crisis Evaluation and Learning
After managing a crisis, a thorough post-crisis evaluation is vital to learn from the experience and improve future crisis management strategies. The tourism industry should embrace a culture of continuous learning and adaptation, updating plans based on emerging trends and challenges. Sharing lessons learned with other industry players promotes knowledge sharing and elevates practices across the tourism sector.
3 Elements of a Business Continuity Management
Business continuity management’s job is to plan ahead and get ready so that an organization can identify, mitigate, and lessen the impact of risk while maintaining the continuity of its essential business processes. Planning and becoming ready for the next event is a continual process driven by continuous improvement, regardless of a company’s present BCM maturity. The business continuity management (BCM) plan is the basis of that.
The majority of BCM processes are built on a BCM plan, which has three separate sections: an operational recovery plan, a crisis management strategy, and an emergency response plan. To have a highly effective BCM program, each component of a three-pronged business continuity plan needs to be solid.
Emergency Management and Response
An emergency response plan provides a detailed set of protocols and guidelines that seek to minimize the impact on the safety and health of personnel and reduce the overall effect of an emergency. Proper planning and training of an organization and its staff enable a quick and effective response to the threat. Every emergency response plan should:
- Set specific emergency response goals
- Design evacuation routes and staging areas
- Evaluate and enhance emergency response communications
Regular reviews and testing are needed to ensure that the plan functions as intended and delivers when disaster strikes.
Crisis Management and Communication
A crisis management plan may sound similar to an emergency response plan, but in a BCM context, they address two different needs. Organizations should view the crisis management plan as the bridge between its emergency response and its operational recovery. To execute a crisis management plan effectively, organizations need a well-trained crisis management team. Every crisis management plan should:
- Verify the appropriate resources available in support of the decisions and activities of the crisis management team
- Provide instructions for identifying, managing and recovering from the crisis
- Develop status boards designed to track all team activities and assist in the coordination of incident remediation
- Identify key constituencies and outline necessary communication protocols
Disasters will test even the most experienced people’s capabilities, which is why it is necessary to conduct training and exercises that challenge the crisis management team to maintain the plan’s effectiveness.
Business Restoration and Operational Recovery
An operational recovery plan helps ensure that personnel and assets are protected, and operations are efficiently restored following business interruptions, emergencies, crises or disasters. This plan helps organizations recognize threats to their operations and develop functional response capabilities to recover. Every operational recovery plan should:
- Qualify and quantify threats and vulnerabilities
- Develop mitigation and control strategies for the significant threats to business continuity
- Determine the impact that major risks have on the supply chain and logistics
Threats and vulnerabilities often escalate after a business interruption. Qualitative and quantitative analysis across an organization is needed to identify the natural, technical and human-made gaps to any Business Continuity Management strategy.
What Are The 10 Elements of Crisis Management?
In the following ways, a crisis management plan equips a company to deal with an unanticipated disaster: it shortens and lessens the impact of a crisis; it protects employees and anyone else affected; it maintains operations and productivity to the greatest extent possible; and it protects a company’s reputation.
Making your business more resilient and able to withstand the long-term repercussions of a catastrophe is the goal of crisis preparation. According to a PwC study, businesses that have crisis response plans in place performed better (after a crisis) by a ratio of almost two to one. In actuality, 41% of those businesses with strategies came out stronger than before, and 39% reported an increase in income as a result.
Because emergencies are unpredictable — and crises rarely unfold exactly as you’ve rehearsed — your crisis management plan must be flexible and practical. Therefore, make sure that your plan can adapt to changing circumstances and that you can realistically execute it under pressure.
You should cover the following 10 components in your plan:
- Risk Analysis: Outline the scenarios you think your organization could face. Having a more specific sense of these potential occurrences will guide your planning. You do not need to include every conceivable risk, but cover a broad range, such as a natural disaster, a cyberattack, a loss of utilities, a technology failure, the death of a CEO, a shooter in the workplace, a financial crisis, an operational accident, and a product failure.
- Activation Protocol: Be sure to include triggers for the crisis management plan, as the natural first response to an emergency is often paralysis. Using levels of urgency as your criterion, define the circumstances that activate a particular crisis response. In addition, explain how to escalate that response, in the event that a crisis turns out to be more serious than it first appeared. Based on the type or location of the incident, the protocol should also direct your staff on how to respond. And, the protocol should establish some type of communication that signals the end of a crisis.
- Chain of Command: Include a crisis management-related organization chart in your plan, so it’s clear who has final authority and who reports to whom. Making a well-defined org chart supports coordination and consistency, which decentralized organizations sometimes struggle to achieve. Depending on the seriousness of the event, your plan may call for additional layers of command. For example, an emergency at one site may activate the response team and leader at that particular site, but a company-wide crisis may require a headquarters crisis team that has regional teams operating underneath it.
- Command Center Plan: Determine what will serve as the base of operations for the team during a crisis. In addition, indicate what supplies and utilities the team will require. In the event that the first command center is unavailable, you will also need to designate a backup command center.
- Response Action Plans: Perform detailed planning around how you will respond to various scenarios. This planning includes assigning responsibility for each task. Think of these response actions as modular elements that you should employ as the situation requires. Conceptualizing crises in this way makes your crisis management plan adaptable.
“The best plans use an all-hazard approach, meaning you don’t write plans with a specific crisis in mind, but rather with all potential hazards in mind. Using this method ensures that you’ll have a consistent response and a team that’s always ready, regardless of the nature of the incident,” recommends Regina Phelps, Founder of crisis management consulting firm Emergency Management & Safety Solutions.
- Internal Communication Plan: Create systems and backup methods for members of the crisis management team to communicate with each other. Collect contact information for all team members as well as anyone they might need to call upon, including outside consultants and subject matter experts. You must also establish ways to disseminate urgent information to all employees, such as using a notification provider to send texts and automated calls or implementing a method for your employees to check in and report their safety and whereabouts. Determine how you will share sensitive news internally, such as a threat to the company’s viability or a loss of life. In addition, don’t forget to establish a schedule and mechanism for updates.
- External Communication Plan: Define plans for communicating with the public and key external stakeholders. Appoint a spokesperson. Write detailed instructions, including whom you will notify (e.g., media outlets in a particular geographic area). Also, draft holding statements, the details of which you can fill in later, once you have the relevant information. Prioritize your strategic communication objectives and outline talking points. Make sure your plans align with other communication efforts. Be ready to create a special website or telephone line to answer consumer or community questions.
- Resources: Think about everything the crisis management team might need, from hardhats to credit cards and a standby public relations advisor, and line these things up. Information resources will be especially important in a time of crisis. These resources include many kinds of stakeholder agreements, including union contracts, maps of facilities, timelines, flowcharts of key processes and procedures, supplier contracts, benefits information, and more.
- Training: Being able to execute your crisis management plan quickly is paramount, and holding drills and exercises with the crisis management team is crucial to that goal. Rehearsals or even tabletop drills can reveal flaws in the plan, and practice will help the crisis team become comfortable with their individual roles and work together. Make sure to stay current by doing regular training. In addition, provide training to other staff members based on their particular jobs, such as showing a warehouse manager how to use a fire extinguisher, explaining to a production associate how to stop an assembly line, or teaching an executive assistant how to respond to a media phone call.
- Review: Create a structured review process in order to schedule regular follow-up check-ins regarding your plan. As your business or the risk environment changes, you will need to update your crisis management plan. After an actual crisis, the team should analyze what went well and what did not. Identify important lessons, and implement any necessary changes.
The most crucial step in ensuring a successful response using Crisis and Emergency Risk Communication (CERC) is planning. A crisis communication plan needs to be developed and kept up to date, which takes time and effort. Plans should show a process rather than attempting to decide everything or provide all the answers. The success of a response depends heavily on an understanding of the aspects of a plan, the sorts of information to include, and the kinds of questions to ask.