Anti-crisis management is a special set of measures and principles of enterprise management

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Anti-crisis management is one of the most common terms in the Russian business environment. Let's figure out what kind of activity it is, how it differs from ordinary management.

Let's start with a definition: crisis management is a set of certain knowledge and results of the analysis of practical experience, which is aimed at optimizing the mechanisms of system management necessary to identify possible hidden resources, as well as a certain development potential. The anti-crisis management strategy is directly related to decision-making in conditions of limited resources, a high degree of risk and uncertainty.

In one case, it means the management of a company during an economic crisis, and in the other, anti-crisis management is the management of a company during its bankruptcy. This concept is often associated with the activities of managers in judicial procedures at a certain stage of bankruptcy.

An anti-crisis management system is a system in which the mentioned type of management is considered as a single set of measures frompreliminary detection of a crisis situation to methods for overcoming and eliminating it.

Anti-crisis management is a management system in which a systematic and integrated approach is carried out, aimed at detecting and eliminating adverse events for business using the full potential of modern management. And this also includes the development and implementation at the enterprise of a special effective program of a strategic nature, which allows to eliminate certain temporary difficulties, strengthen, and for a start at least maintain its market position, relying on its own resources.

The anti-crisis management system is based on the following basic principles:

1. Initial diagnostics and identification of crisis situations in the financial activities of a particular enterprise. Considering that any occurrence of crisis situations at an enterprise carries an irreparable threat to the organization itself and is associated with unjustified losses of capital, then the possibility of a crisis must certainly be diagnosed at an early stage in order to neutralize such situations in a timely manner.

2. The next essential principle is the urgency of responding to such crises, since such events tend to generate accompanying problems. Therefore, the sooner such situations are identified, the sooner it will be possible to start rebalancing.

3. Another principle is completeimplementation of all available internal opportunities for the exit of the enterprise from the current crisis state. When overcoming the threat of bankruptcy, an enterprise should rely solely on its internal financial capabilities.

So let's sum it up. Today, any enterprise, no matter how effectively it functions, needs such management activities as anti-crisis management. This concept implies not only management of an organization during a crisis using bankruptcy procedures, but also pre-crisis management, designed to develop measures to prevent crisis situations, and even post-crisis management, aimed at eliminating the negative consequences of a crisis and maximizing its positive results.