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When leaders fail to handle a crisis adeptly and sensitively—and sometimes even when they do the best job possible—organizational damage, problems, and challenges will inevitably result. The organization's reputation may be hurt, stock values may plunge, key employees may leave, and lawsuits may loom.

Organizations live and die by their reputations, so it's essential that leaders develop a strategy to restore the organizational reputation after a crisis. The best way to do this is to implement a concerted public relations campaign focusing on employees, shareholders, the media, the community, and public interest groups. By reestablishing the organization's reputation, by affirming a sense of security and well-being, leaders can reduce ...

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