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Global events, natural catastrophes and other current affairs in the news can have effects, good or bad, on businesses in other locations and in unrelated industries. For example, many chief executives and other C-suite leaders had to inform internal audiences about how their companies may or may not have been impacted by emerging situations in the banking industry recently.
When external circumstances beyond their control could impact internal operations, it is important for a CEO to understand what the top priorities are in terms of employee communication. Below, members of Forbes Communications Council share their top tips to help CEOs avoid misunderstanding and limit potential damage when external events stand to affect their organizations.
1. Be Visible Beforehand
A CEO should always be visible to the company’s employees so that when crises or other external circumstances come up, the employees are familiar and comfortable with hearing from the CEO. It’s not just about what communication happens when a situation occurs; it’s about laying the groundwork for building trust and relationships on a consistent basis. - Lyndsi Stevens, Celerium
2. Don’t Sugarcoat It
You must always aim to be sincere, honest and straightforward when communicating with your team, as they can see right through you if you try to sugarcoat your message. We all appreciate our leaders telling us the truth, especially when it comes to delivering difficult news. And remember, it’s better to over-communicate than under-communicate. - John Gumas, Gumas Advertising
3. Explain What It Means For The Team
CEOs should always answer the question, “What does this mean for you?” Even if the circumstances are out of their control, it’s critical that they think through how this external event affects their team and clearly communicate that message. As the leader of an organization, everyone is looking to the CEO for guidance, and this is a prime opportunity to be transparent and provide important clarity. - Victoria Zelefsky, The Menkiti Group
4. Be Clear And Consistent In Your Communications
Clear and consistent communication is a top priority. Employees want to hear directly from their CEO, and they want the CEO to deliver the same message to their leadership team that is delivered to all employees. Focus on open, honest, transparent, clear and consistent communication from the top down. - Brad Sivert, Tavant
5. Show You’re In Charge And Acknowledge Hardships
Above all, be visible. During a storm, people want to see that the captain is still steering the ship. In simple terms, explain what is happening and the impact on the company, then outline next steps. If a restructure is needed, acknowledge that it’s going to be difficult, express gratitude for the contributions of those impacted, openly share transition resources (severance, benefits and so forth), and explain the path ahead to those staying. - Simone Grapini Goodman, American Diabetes Association
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6. Help Employees Keep Company Goals Top Of Mind
No matter what, keep the company’s goals and go-to-market strategy top of mind for employees. Distractions such as market volatility can divert your collective focus and derail momentum. You should acknowledge when these conditions are affecting the company; be transparent and optimistic about the steps you’re taking to either mitigate their impact on the team or seize the opportunity they pose. - Matt Naeger, Merkle
7. Stay Calm And Make An Accurate Announcement
When a CEO has to handle a PR crisis, no matter if it is external or internal, the key is to stay calm and make an accurate announcement. When a plane is heading downward, you are not expecting the pilot to start yelling at everybody, “We are going to die!”—you expect someone to take full ownership of the situation even if it is stressful. - Santiago Vicaria, Ontop
8. Explain Direct Impacts To Internal Stakeholders ASAP
Fast and transparent conversations are appropriate when sharing critical news. Most people want answers to just one question: “How will this impact me directly?” For example, will the company be financially impacted, and will people lose their jobs? Sharing that answer as quickly as possible will help quell concern among the masses and open the door to employees accepting a solid plan of action going forward. - Jeanniey Walden, Liftoff Enterprises
9. Preserve Employee Trust With Openness And Vulnerability
Employee trust is critical, and that is what’s at risk. Communicate quickly, openly and with vulnerability—even if the answer is, “We don’t know, but we’re working on it,” followed by updates and follow-through. Know that a lack of information creates uncertainty, fear and speculation. Leadership requires quick, clear and trustworthy action. - Sarah Falcon, Object Edge
10. Don’t Wait To Find The Perfect Thing To Say
In situations such as this, CEOs should focus on delivering quick and clear communications. It is important to thoroughly think through what will be said, but waiting too long to find the perfect way to say something or until you have all the information at hand can cause employees distress and uncertainty. - Roshni Wijayasinha, Prosh Marketing
11. Provide A Communication Playbook
Offering a communication playbook can be helpful in these situations. It can provide clear guidance to employees on how to communicate internally and externally during times of crisis or uncertainty. It should include templates for different types of communications, such as internal memos, customer notifications and press releases, to help employees quickly and effectively communicate key info. - Jessica Wong, Valux Digital
12. Don’t Try To Conceal The Unknowns
Uncertainty uncovers true leadership. Sometimes, there are unforeseen shifts in a market. Leaders should consider sharing the unknowns or possibilities with their teams. Fear the consequences of concealment more than the possibilities of the unknown. You are not the smartest person in your organization. You are just the leader. Your team may unlock solutions to help your organization thrive, not simply survive. - Kurt Uhlir, eXp World Holdings
13. Keep Communicating Frequently With Your Team
The best thing to do when there is uncertainty is to communicate frequently with your team. Even if you don’t have answers (or can’t share the whole truth), it is calming to your team to know that you are thinking of them and care about their experience. Absence of information in a stressful situation can only lead to wild imaginations. Get ahead of it and be a reassuring figure. - Ellen Sluder, smrtPhone
14. Relay Any Relevant Updates Or Changes Promptly
One of a CEO’s top priorities is to be transparent and provide clear, honest information about the situation. This helps build trust and mitigate uncertainty among employees, who may be anxious about how the event will affect their jobs and the company’s future. It is also crucial to communicate any relevant updates or changes promptly to keep employees informed and prepared. - Asad Kausar, Dabaran
15. Share Information Even If The Business Isn’t Impacted
Quick communication is essential. Trust and transparency are imperative to maintaining a company’s culture, and it’s important to share information—whether it impacts the business or not—so that employees can either feel at ease or go into planning mode. - Sherri Schwartz, OvationCXM
16. Default To Oversharing
Transparency is key; default to oversharing. While it may seem risky, when an absence of information exists, humans innately tend to fill in the blanks with their own reasons. Given the multiple narratives that can arise thanks to this aspect of the human condition, it’s better to transparently share information about possible impacts (even if you’re unsure) to ensure trust is preserved between you and your team. - Patrick Ward, Rootstrap
17. Provide Ways To Contact You
Keep communication open, honest and authentic. Once you deliver news of an external event that potentially could impact internal operations, don’t stop at providing the news. Give your team ways to contact you to ask questions, pose ideas and offer solutions, turning this event into an opportunity to strengthen your company culture and the synchronicity of your team. - Melissa Kandel, little word studio
