Tropical Shores Resort (TSR) operates luxury beachfront properties across Southeast Asia. In December 2023, TSR developed detailed contingency plans for responding to potential tsunamis, including evacuation routes, emergency supply stockpiles, and staff training protocols.
Define the term 'contingency plan'.
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Atlas Manufacturing Ltd produces precision engineering components in multiple locations worldwide. After conducting risk assessments in 2024, AML identified several potential threats from crisis situations to business continuity.
State two potential crisis situations that could affect a business.
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Eastern Food Corporation, a major food producer in Indonesia, faced allegations of contamination in January 2024. Their management team managed the crisis situation well, with a particularly effective approach to communication.
State two elements of effective crisis communication.
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Alpine Solutions Ltd, a European logistics company, conducted detailed risk assessments in January 2024 to identify potential disruptions to their operations.
Define the term 'risk assessment'.
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As an important element of its contingency planning, Caribbean Cruise Lines developed new emergency protocols in March 2024 following changes to industry regulations.
State two key elements of contingency planning.
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Pacific Freight Limited conducted comprehensive risk assessments in February 2024 to identify potential threats to their operations.
State two limitations of risk assessment in contingency planning.
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Nomad Healthcare Solutions, a medical equipment manufacturer, implemented new organisational structures in March 2024 to improve their crisis management capabilities.
State two characteristics of crisis management.
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FoodWave, a restaurant chain, suffered a power outage affecting operations at multiple locations. It implemented a contingency plan that included backup generators and alternative cooking methods.
Explain one benefit for FoodWave of having a contingency plan during the power outage.
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AirEase Airlines is a low-cost airline operating domestic and regional flights. The company recently experienced a significant crisis when one of its planes encountered a mid-air technical failure, resulting in an emergency landing. While no injuries occurred, the incident caused widespread media attention, raising concerns about passenger safety.
To address the crisis, AirEase immediately grounded its fleet for inspections, issued public statements to reassure passengers, and provided compensation to affected customers. The company is now evaluating its contingency planning and communication strategies to minimise reputational damage and prevent similar incidents.
Explain one advantage and one disadvantage of AirEase Airlines’ crisis management approach during the technical failure incident.
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AirEase Airlines is a low-cost airline operating domestic and regional flights. The company recently experienced a significant crisis when one of its planes encountered a mid-air technical failure, resulting in an emergency landing. While no injuries occurred, the incident caused widespread media attention, raising concerns about passenger safety.
To address the crisis, AirEase immediately grounded its fleet for inspections, issued public statements to reassure passengers, and provided compensation to affected customers. The company is now evaluating its contingency planning and communication strategies to minimise reputational damage and prevent similar incidents.
Describe two factors AirEase Airlines should consider when revising its contingency plans.
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HealthPlus operates a chain of private hospitals. During a recent outbreak of a contagious virus in one of its facilities, the hospital faced a crisis when 20 staff members and patients were infected. The incident attracted media attention, and the hospital was criticised for its lack of preparedness.
To manage the crisis, HealthPlus implemented strict infection control measures, issued regular updates to the media, and provided counselling services for affected individuals. The company is now developing contingency plans to prevent similar crises in the future.
Analyse two benefits and one limitation of HealthPlus issuing regular updates to the media during the crisis.
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HealthPlus operates a chain of private hospitals. During a recent outbreak of a contagious virus in one of its facilities, the hospital faced a crisis when 20 staff members and patients were infected. The incident attracted media attention, and the hospital was criticised for its lack of preparedness.
To manage the crisis, HealthPlus implemented strict infection control measures, issued regular updates to the media, and provided counselling services for affected individuals. The company is now developing contingency plans to prevent similar crises in the future.
Explain one advantage and one disadvantage of HealthPlus implementing strict infection control measures during the virus outbreak.
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CleanWave installs water purification systems for residential and commercial customers. Recently, the company faced a crisis when its flagship water filter model was found to have a manufacturing defect that compromised water quality. This led to customer complaints, returns, and widespread criticism on social media.
To manage the crisis, CleanWave issued a product recall, offered free replacements, and posted updates on its website and social media channels. The company is now reviewing its production and quality control processes to prevent similar issues.
Explain one advantage and one disadvantage of CleanWave recalling its defective product.
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CleanWave installs water purification systems for residential and commercial customers. Recently, the company faced a crisis when its flagship water filter model was found to have a manufacturing defect that compromised water quality. This led to customer complaints, returns, and widespread criticism on social media.
To manage the crisis, CleanWave issued a product recall, offered free replacements, and posted updates on its website and social media channels. The company is now reviewing its production and quality control processes to prevent similar issues.
Analyse two benefits and one drawback of CleanWave posting updates on social media during the crisis.
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