TUESDAY 16 AUG 2016 12:44 PM

GOOD CRISIS MANAGEMENT CAN CREATE OPPORTUNITIES

Charles Dickens famously said in A Tale of Two Cities, “It was the best of times, it was the worst of times.” Of course, he wasn’t talking about a business, but the phrase certainly captures the tumultuous and uncertain times we experience when a crisis arises.

It’s widely accepted that a crisis is one of the biggest challenges a business can face.

But it can be an opportunity. A crisis experience can demonstrate what a company believes in and the culture that underpins that belief. Afterwards, if those beliefs and behaviours allow you to look back with the certainty that you did right, then a crisis can be the best of times.

Danone Nutricia Early Life Nutrition has a distinctive culture, something we work to nourish and protect. We align ourselves behind two key ideas: our core purpose, which recognises that getting the right nutrition early in life has a positive influence on health for a lifetime, and our commitment to ‘doing right’ in terms of our ethical, quality-driven approach. These two ideas shape and guide our interactions with our consumers, partners and each other.   

Last year we had to take the difficult decision to recall a batch of our baby food due to a quality issue.  We had to make the decision quickly and with limited information. So we looked to our core purpose and asked, ‘What is the right thing to do for babies and their parents?’ It wasn’t about how we can protect our brands or our market share. They are important considerations of course, but not our immediate priority.  

That single question made it easier for us to make the right call and come together behind the decision to recall. In our discussions with the authorities and within Danone we felt empowered to be advocates for our consumers and the decision we had taken. Decision making becomes easier when you have a clear guiding light that is shared by everyone in the organisation.

In a similar vein, that time spent in crisis prevention can also demonstrate how a company can live its purpose. Making sure crises don’t happen must be the heart of any crisis management strategy. Evaluating business decisions against our commitment to early life nutrition and the high standards to which we hold ourselves, is an example of both how we live our core purpose and engage in practical risk management. This extends to every aspect of our business operations – for example quality & safety, nutrition, ingredient sourcing and, of course, the marketing and promotion of our products.

At the same time, creating a climate of authentic and open communication internally and externally is crucial and should underpin any organisation’s desire to live by its dreams and build its reputation. Good communication generates trust and must be deliberative and unremitting. By engaging all levels of the organisation, the Danone Nutricia leadership team has been active in fostering open dialogue and trusting relationships. This is one of the key factors behind our success in winning 10th place in the Best Companies Best Place to Work awards this year (in the medium-sized companies category).

Danone Nutricia Early Life Nutrition has now achieved 10 consecutive years of strong growth, winning leading positions for our brands. During that time, of course we’ve faced challenges. But we are confident that our genuine belief in our purpose, our desire to do right and commitment to authentic communication has not only allowed us to weather the storms but inspired us to innovate and grow. It’s an exciting place to be because we believe that what we do and how we do it really matters.

Helen Messenger is head of corporate communications at Danone Nutricia Early Life Nutrition