Tuesday, February 16, 2010

CMPS & CMTS in NASCAR

Chapter 5 in Crisis Management in the New Strategy Landscape emphasizes the important of having both a crisis management team (CMT) and a crisis management plan (CMP) in place. The CMT members have the duty of thinking of all possible threats that the organization could potentially face. The CMP is a document that lists the guidelines that the organization will follow should a crisis occur.

I have already mentioned some potential crises for Joe Gibbs Racing (JGR), which range from crises on the track to crises with different members of the race team. According to our book, “A crisis is more than just an event; it is an attack on a specific stakeholder or institution, whether inside or outside an organization” (Crandall 92). Stakeholders for race teams include internal personnel, such as owners, drivers, mechanics, crew chief and crew, spotters, and all others that work for the team. External stakeholders might include fans, NASCAR officials, and sponsors.

A possible “attack on a specific stakeholder” might be an accusation of cheating from another team or an official. This has happened before. For example, Robby Gordon, (Owner and Driver in Sprint Cup) was accused of cheating in 2009 in the Baja 250 in Mexico. Owners, drivers and mechanics, along with the crew chief should be on a crisis management team for crises of this type.

Possible steps to outline in the crisis management plan might be detailed accounts of what has been done to the cars and to the motors. Purchase records should be kept carefully and a complete and constantly updated list of parts and brands used should be readily available, should it be requested. Steps should also be outlined to keep the reputation of the team positive once the crisis is over. Rumors can damage reputations and it is important to keep the organization in a positive light.

Another relevant issue brought up in the book is that of ensuring the crisis plan is kept up-to-date. To do this, JGR needs to make sure that they are always aware of changes in rules and regulations and that their cars meet the necessary specifications. Also, they need to constantly scan the environment to see if other teams are having problems or if there are controversies concerning the parts that others are using. If awareness levels are high and all JGR cars are constantly being checked over, a crisis of this type will be very preventable.

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