More Companies Have Crisis Management Plans American Management Association Survey Shows

NEW YORK, September 3, 2003—More companies have crisis management plans in place today than they did at this time last year, an American Management Association (AMA) survey shows. According to the results, 64% of executives said their companies have a crisis management plan, up from 49% in 2002. And 62% of the companies have designated a crisis management team compared to 54% last year, while 42% have conducted crisis drills or simulations, up from 39% in 2002.

AMA surveyed 146 members and customers from August 4–22, about the preparations, if any, their companies have taken in the event of a crisis. Of those companies that have crisis management plans, 87% also have written contingency plans in place. According to the respondents, the primary reason for having a plan is to ensure continuous customer service (71%), mitigate financial loss (12%) and protect the company brand/reputation (7%).

The survey also shows that more companies have ongoing and back-up communications plans with senior management (84%), employees (81%), emergency respondents (64%) and media (40%), than they do with insurance carriers (33%), regulatory bodies (32%), contractors (31%), legal entities (27%) or family members (26%).

More than a third of respondents (38%) said that their companies offer formal training on security issues, up from 35% in 2002. And 39% said that key personnel across all business lines have been trained in crisis management skills, compared to 29% last year.

AMA’s survey also shows that executives have a high level of concern for evacuation planning (34%), employee screening (30%), cyber threats (28%), workplace violence (26%), travel safety (23%) and hazardous material/mailroom safety (20%).

More companies believe they are better prepared to handle natural disasters (65%), technology failures or loss of data (64%), workplace violence/unethical behavior of employees (57%), industrial accidents/fatalities (50%), disturbances such as terrorism or political unrest (45%), compared to crime (35%), major fraud (28%), death of a senior executive (28%) or malicious rumor/slander (11%).

About AMA
American Management Association is the world’s leading membership-based management development organization. For 80 years, it has provided valuable and practical action-oriented learning programs to people at all levels, in all industries, from companies and agencies of all sizes. More than 500,000 AMA customers and members a year learn new skills and behaviors, gain more confidence, advance their careers and contribute to the success of their organizations through a wide range of AMA seminars, conferences and executive forums, as well as through AMA books and publications, research and print and online self-study courses.


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