Research On Business Crisis Management

With the economic global and information age coming, the operation environment to our company becomes more and more complicated, it changes so fast and the competition among business is more hot than before. The crisis happens frequently and threatens the business' operation. After China enter the door of WTO, the Chinese enterprises must operate and compete each other in the rule of WTO. There are opportunities and threatens to business, but people's consciousness to their facing crisis is weak, people and media often pay more attention to society crisis and accident which have person died. So the research on business crisis management is so weak. We also have no integrated business crisis management theories system in our country, crisis management practice is very lack in the business. When the crisis breaks out in the business, the management of the business commonly has little good idea to control and eliminate it. Then the loss takes place. Some corporation collapsed. Therefore, this article study the business crisis from its sources and measures of crisis management, it tries to give a good mechanism of crisis management, improve business operation level and make the business survive long.This article discusses and analyses root cause of business crisis. According to the source and characteristic of business crisis, business crisis can be defined outburst affair and hidden operation trouble. The article gives some general theories and procedures how to manage outburst affair and hidden operation trouble systematically. It tells us that if you want to do well in business crisis management you must take a stitch in time for saving nine and prevent it from taking place in advance. When outburst affair happens, the business must react fast as possibly, communicating with all people who are concerned of it through media and other ways. What we do is to reduce the lost and bad influence from crisis. The soul of crisis management is to eliminate crisis lost and find new chance from it. We all wish the company operate and develop well too. We can establish business pre-warning system by matrix of corporate pain indicator.This article analyses the crisis management in WHTJ and TEEC which the writer worked in. Eight crisis management tools are given to deal with outburst affair and hidden operation trouble. The eight tools are pre-warning mechanism, organization reform, powerful interior control, financial control, corporate self-diagnose, communication, building framework for crisis management and plan for crisis management. Because the environment to enterprise changed very fast after China joined WTO. Many managers and people in company do not know how to do, the article gives some ideas to our business.Many corporations must have ethic fault, law limited and green request to their doing and products in the coming, some suggestion is given to those.This article includes four chapters. Chapter 1 introduces the concept, character, origin and categories. Chapter 2 gives some general crisis management theories. Chapter 3 tells of eight kinds of tools of crisis management to outburst affair and hidden operation trouble basing on WHTJ and TEEC crisis management analysis. Chapter 4 discusses the crisis and how to manage it in WTO for our business. In the end, three kinds of crisis to our business must be attached importance to.