FRIDAY 7 AUG 2009 2:42 PM

THE WHITES OF THE EYES

EGMs, press conferences, annual meetings. A public event in a time of crisis can be a trial. But careful planning goes a long way, says Caroline Parry:

As they surveyed the empty Metro Radio Arena in Newcastle on the morning of 15 January 2008, the communications team of ailing bank Northern Rock knew it was the calm before the storm. They had good reason to be nervous. After being taken to the brink of collapse by months of worsening trading conditions and negative press, Northern Rock could not afford for a potentially hostile Extraordinary General meeting – called by its institutional investors to restrict the board’s ability to sell its assets – to further inflame the situation.

The meeting that day had been pulled together quickly, and over the Christmas and New Year period at that. But Nicky Havelaar, managing director of Crown Business Services which created the event in 13 days, had stayed focused on the event’s priorities: “They were to ensure the chairman could conduct the meeting openly, correctly and effectively, and also to create a safe and comfortable environment for the shareholders who attended.”

Creating a live event during a time of crisis can be daunting. With the clock ticking, a communications director must oversee every detail from the choice of location through to anticipating the questions that may be asked. Havelaar says that the process calls for three things: creativity, resourcefulness and adaptability. Preparation takes two forms. The first is honing the messages that the organisation wishes to convey to the audience. The second (just as important) is planning the mechanics of the presentation, stage-managing the event to minimise potential disruption or reputational damage.

Cliff Hide, head of investor relations at communications agency Imagination, says that all companies should have a pre-written crisis plan. This will mean most of the background facts with which to build messages are to hand. “Organised companies have pre-drafted press releases and website content ready for a crisis situation as the worst thing to do is allow a vaccum.”

They should begin by developing a story or narrative of what has happened and what will happen next. This has to be coherent, clear and concise as it will help to develop central messages that can be communicated. It should also allow questions to be anticipated and a degree of preparation to be done for developing answers.

Laurence Borde, managing director at international roadshow agency Media Tree, says having a “four-minute elevator pitch” to hand is important to achieve that. This ensures that everyone in the team, from the press office fielding phone calls, to the chief executive speaking at the event, is clear onthe facts and key points that need to be made.

Think long and hard about the architecture of the event. It can be useful for the crisis team to speak to the media and other attendees, such as NGOs or shareholders, to get a feel for the issues and concerns. This may also offer a heads-up on questions that may throw senior management off the point, such as personal attacks or ethical concerns.

When selecting who will present, Borde says it is worth considering that some senior management will have better rapport than others, and picking speakers that are eloquent and can express themselves clearly. However, in contentious situations or if there is some kind of spat, she suggests using simultaneous translation. “It can take the sting out of what is being said, gives the speaker more time to react and offers a certain level of level of gravitas.”

Using a team of speakers rather than just focusing attention on one member of senior management can also help to encourage particularly nervous speakers, and can also tone down defensive or aggressive members of the team. Coaching as part of senior management training can also help with techniques for breathing, body language and facial expressions.

When it comes to the question and answer session, it is useful to have someone on the floor that can recognise which audience members
are more reasonable and sensible and which are known troublemakers so questions can be selected accordingly, says Borde. She adds you can also take questions from a live webstream, which means the moderator can interrupt a potentially difficult situation by reverting to this.

In the case of the Northern Rock, UK Shareholders Association noted at the time that chairman Bryan Sanderson received a less critica reception than had been expected because questions asked and comments made at the meeting had been anticipated.

Where it is not possible to anticipate the reaction of the audience – in situations, for example, with activists or angry customers – there are technical measures that can be used to support the team. These include using comfort monitors linked back to the company’s investor relations team, who can prompt the speaker using cue cards that are projected to the panel or lectern, or back-up slides can be called up to support a point. If a team of speakers has been decided on, reserve the front row of the auditorium for senor management so that they can be called on for specialist questions.

Selecting the right venue is crucial. In high profile and unplanned scenarios, such as a disaster or unexpected protest, Imagination’s Hide says it is important to avoid an unplanned live event in front of the company’s office. He explains: “People only come to you if they feel it will benefit them so you have to be open and give them all the facts to you can. Once you have a crowd outside, the TV crews have something to film and journalists have people to speak to.”

Where an event has a longer planning time, such as the Northern Rock EGM, it is more likely that it will attract a crowd, including journalists and potentially protesters or employees. But that longer lead time gives the crisis team more time to plan how to deal with this, as well as other key details.

Security will become a key consideration if a crowd is expected. A neutral venue in a convenient location is ideal but Borde suggests communications directors should look for options with multiple entry-points so the public and press can go in one way, and directors can have another way in.

Once the event is underway, says Havelaar, communications directors need to start planning for the next stage. “The event is just one element in the ongoing process of the managing the issue. Next, you need think about moving the story onwards and outwards, beyond your particular situation.”

Top ten tips for handling a live event during a crisis
•Have a regularly practiced crisis plan in place and implement it quickly – make sure there is regular and frank contact with senior management.
•Speak out when you have the facts to hand – do not allow a vacuum but be open and transparent.
•Choose the right location – is it convenient for all parties to get to?
•Choose an appropriate venue – does it have the space and technical resources that you need? Can it be branded suitably?
•Create an ‘elevator pitch’ that pares the story of the crisis down to key messages, so it can be easily remembered
•Anticipate questions – ask your investor relations and press teams to survey media, investors, stakeholders, NGOs. It may give you a heads-up on unexpected issues
•Don’t shy away from Q&As – but use a moderator to pick questions and control potentially stormy situations
•Use appropriate techniques to reassure your senior team – everyone is different and you need to work around nervous, defensive or aggressive speakers
•Be aware of what might is happening outside – do you need different exits for different groups to avoid unplanned
photo calls
•Remember: the issue won’t go away at the end of the event. It’s just part of an ongoing communication process