When should you switch to manual control?

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Experience shows that the need for crisis management arises if the company cannot achieve the desired result. In this case, we can confidently say that there are shortcomings in the internal control system. In order to prevent further depletion of material and financial resources, it is necessary to centralize decision-making as much as possible, which determines the procedure for actions with the human and material resources of the enterprise. That is, business owners or persons authorized by them should take power into their own hands as much as possible.

The success of anti-crisis management is us companies board of directors email list determined by how rationally the process of strategy implementation is controlled. A very good option is to create an anti-crisis committee that will review the reporting and subsequently coordinate the work plan to overcome the critical situation.

What does the effectiveness of crisis management depend on?
The following factors influence the effectiveness of the crisis management process:

Availability of a system for monitoring alarm signals and the frequency of its testing.

Professionalism of the crisis manager or group of managers.

Correct selection of strategy, methods and tools for solving problems.

Experience in crisis management.

The volume of available assets, both tangible and intangible.

Quick response to changing circumstances.

Authority of the management team in the top management structure.

The quality of business communications in the company.

Understanding and solidarity of line employees.

The effectiveness of the strategy can be analyzed based on the results obtained. Before starting the activities to overcome the crisis, it is necessary to form a work plan and deadlines for achieving specific goals. If the planned results are not achieved, it is necessary to find the reasons for this and make adjustments to the strategy.

There is also the concept of "crisis-free management". It implies complex and continuous management of the development of the enterprise from the time of its foundation.

Crises will always exist, as they are subject to the laws of cyclicity of external and internal systems, and they cannot be fully controlled. But crisis-free management is based on a proactive approach and prevention of the development of an exacerbation, while anti-crisis financial management is a reactive position regarding an already ongoing exacerbation that has significantly affected the work of the organization.