The HR Role in Crisis Management

Lately, we have witnessed so many external challenges that sometimes resulted in changing business models completely. In companies, when a crisis occurs, employees are those who can determine success. Let's start with defining crisis management. It is the collective framework of decisions and choices that an organization makes to respond to a crisis. The main goal of this study is to position an organization to withstand a crisis. The following blog will cover the HR role in crisis management.

Creating a crisis management strategy is an imperative process because it provides guidelines on preventing or averting crises, dealing with crises, and the recovery process. Especially after we all witnessed the recent uncertainties.

What does a typical crisis management process look like?

Ian Mitroff described the crisis process as a 6-stage model:

  • Signal detection: this stage should focus on creating early warning systems that enable the business to respond effectively to a crisis.
  • Crisis preparation: planning, preparing, and training.
  • Crisis containment: executing all the plans and processes, adapting to the circumstances of the crisis, and minimizing the impact on the business.
  • Crisis recovery: going back to normal operations.
  • No-fault learning: reviewing and assessing performance to extract the key learnings.
  • Redesign: integrate the learnings into existing management processes.

What is HR’s role in crisis management?

Now, after covering all the stages of crisis management, what is the role of HR in those situations? Since crises are affecting employees the most, human resources are the key department when a company runs into any bump on the road. The most important thing handled by HR is crisis communication and employee relations. They are responsible to keep employees up to date with all the relevant information.

The HR role in crisis management evolved to the point where they are working with the leadership to determine how to communicate the crisis and to answer all the questions employees might have. They are a connection between the leadership and employees since they are sharing the feedback received from the team.

HR team or a person is responsible for policy and process management. For example, when COVID-19 changed the workplace completely and many people started working from home, the role of HR changed. They were responsible for creating guidelines and remote work systems.

Training is important during a crisis, especially for the management and key personnel. And HR should coordinate, create, and conduct that training within the organization.

Is the HR Outsourcing solution in times of crisis?

Every time crises occur, there is a risk of losing staff. By developing an HR Outsourcing crisis plan, an organization ensures that it protects its human resources and hence promotes continuity of the business. To begin with, having an HR Outsourcing crisis plan prevents the loss of key staff and thus preserves a company’s knowledge hub.

HR Outsourcing partner undertakes a key role in crisis management from the pre- to post-crisis stages. HR is protecting the welfare of employees. At the same time, they are ensuring that employees contribute by doing their part in times of stress. Thanks to HR, your staff will be prepared for crises through training, effective leadership, and empowerment. By developing various communication plans, your HR outsourcing partner can ensure that your employees are protected.

During the crisis, you cannot allow your business to be late with paychecks or not be compliant with the law. There are many challenges in meeting the local rules and regulations when being a payroll provider. Every European country has different local employment and payroll regulations. HR Outsourcing is a great solution for this. There are several possible reasons for businesses to hire payroll services in Europe. Hiring these types of services allows the company to utilize its time more efficiently and effectively.

Learn more

In case you would like to have more information on HRO services in Europe do not to connect with Monique Ramondt-Sanders - Executive Vice President of Human Resource Outsourcing at EuroDev. Interested in more information concerning our HR Outsourcing services? Please have a look at our HR Outsourcing page

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About EuroDev

EuroDev was established in 1996 in the Netherlands with a single, defined purpose to help mid-sized North American companies expand their business in Europe. So far, we have partnered up with over 500 companies and helped them define and meet their European business goals. Services provided include Sales Outsourcing, HR Outsourcing, and Digital Marketing. Services provided include Sales OutsourcingHR Outsourcing, and Digital Marketing.


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