In order to reduce the risks associated with unforeseen events, it is important that organisations develop contingency plans in order to reduce financial and other damage they can cause. They help reduce risks and increase safety, but can be costly and time consuming to prepare.

Despite the best planning, things can go wrong. Organisations need to have in place crisis management strategies in order to weather the situation. Managers need to decide on levels of transparency and channels of communication in order to ensure speed and control of the crisis.