Page 41 - midJersey Business - March 2015

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Nokia recognized and reacted to the could have cost him his career if he failed.
TRAP NO. 2
Assuming there potential crisis; Ericsson did not. The However, the risks of inaction far exceeded
TAKING THE EASY WAY OUT.
are consequences for inaction, the next resulting losses cost Ericsson millions in the risks of the alternative he chose.
consideration is whether there’s a risk in lost revenue and market share and put the It is easy to avoid decisions in a crisis.

taking action. If there’s no perceived risk company into a inancial crisis that lasted The four traps are always there waiting for
in taking a speciic action, there’s really almost ive years.
the unwary, and they all lead to the same

no need to make a decision or to consider Understanding the nature of the crisis place: failure due to nonexistent or poor
alternative courses of action.
also can help avoid the bad decisions decision-making.

caused when considering high-risk al- The hardest part of managing in
ternatives. Knowing how much time you crisis is having the willingness to accept

TRAP NO. 3
When available courses of action have to make a decision and the potential responsibility for decisions made with
GIVING UP. all carry risks, the tendency is to search availability of alternative actions are pre- limited information in too short a time

for a better solution. The trap here is that cious commodities in a crisis. Time allows and the courage to follow through on
it if there’s a perception that no low-risk you to weigh risks versus alternatives or those decisions without second-guessing

solutions are available, the decision- consult with advisers and subject matter yourself. It’s what makes a leader truly
maker may become fatalistic or apathetic, experts. Knowing you have limited time efective in a crisis.

exhibit behaviors such as ignoring or can help you to focus on what you know

selectively interpreting information, or and bring clarity of thought.
attempt to pass the responsibility for In the case of Strong Vincent at Get- Lucien G. Canton, CEM, is a consultant specializing in preparing
managers to lead better in crisis by understanding the human factors
decision-making to someone else.
tysburg, the knowledge that he had only a
short time in which to act caused his deci- often overlooked in crisis planning. A speaker and lecturer, he is the
author of Emergency Management: Concepts and Strategies for Effective
sion to move without orders, an action that
TRAP NO. 4
Hesitation is not Programs. For more information, visit www.luciencanton.com.

RUNNING OUT THE CLOCK. uncommon among decision-makers in
a crisis. Information is incomplete or

contradictory, and there’s usually little
time to wait for better solutions. This is

the fourth trap of decision-making: con-
tinuing to seek for solutions rather than

deciding on the best available alternative,
even if it carries considerable risk. Under

heavy time constraints, this can even led

to panic and bad decision-making.
The area’s leading

full-service ofice
So how does one avoid the four traps of
decision-making in a crisis? The irst step equipment provider

is recognizing these four traps exist and
understanding they’re heavily inluenced Digital Copiers

by time and the availability of good infor- Facsimile
mation. Failing to see the risks of inaction
Printers
or accepting low-risk actions are both
linked to a failure to recognize that a crisis Paper Shredders

is occurring and to put it into the context Computers
of the potential impact on your organiza-
Laptops
tion. This, in turn, is usually the result
of failing to take the time to gather and Networks
Tony Nami
Postage Meters
assess information related to the crisis.
President
Consider, for example, the classic

case study on supply chain management

involving Nokia and Ericsson in 2000.
The crisis was precipitated by a ire in 609-584-5252 | www.priornami.com

the clean room of the manufacturer of
the chips used in each company’s phones.

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