If the entire country opened up for business tomorrow without any restrictions, the residual effects of the shutdown on local economies throughout the nation would last for months to come as no small number of businesses come to terms with the fact that this hole is far too big for them to dig out of simply by opening their doors again. More than a few firms will have to turn to Chapter 11 bankruptcy protection to give their businesses a fighting chance to survive.
In my work in bankruptcy communication, I’ve found that this type of crisis scenario is unique when compared to other crisis situations because the number-one question on the part of just about every stakeholder group is the same:
How will this affect me?
But what further makes it unique is that there are roughly 31 or more answers to that same question. The reason is that once you start addressing the self-interest of your company’s various stakeholder groups, the answer changes, even slightly, by each group and sub-group.
All employees are not the same. That goes without saying, right? Well consider the fact that your firm could have hourly and salaried employees, union and non-union, full-time and part-time, headquarters and field offices, R&D and operations, vested employees and non-vested, customer services employees and sales representatives. And then of course, you may have retiree groups to consider. And all of that may fall under just the “employee” umbrella.
Companies that enter the bankruptcy process have their share of concerns, but one of them need not be the possibility that they mishandled communications by taking a one-size-fits all approach to the communication process.
Another common mistake they make is that they can spend an inordinate amount of time preparing to announce a Chapter 11 filing without planning for the ongoing communications process during the reorganization and eventual emergence from bankruptcy protection.
Because I’ve gotten calls on this already, I’m going to offer a free initial consultation on this process. If you or someone you know have questions about communicating prior to and during a Chapter 11 bankruptcy reorganization, please feel free to call me at 412.854.8845 or email me at email@example.com.