When an issue becomes a crisis: an investigation of pre-crisis communication through annual reports Online publication date: Fri, 28-Jun-2019
by Faith Hatani
International Journal of Management Practice (IJMP), Vol. 12, No. 3, 2019
Abstract: Drawing on the issues management approach, this study investigates the pre-crisis communication of a multinational enterprise through its annual reports. Using Toyota's global recall crisis as an example, the study examines what a crisis-ridden firm actually focused on and the extent to which the firm communicated warning signs, before a crisis. By employing a leading-edge text analytics software, Leximancer, the study explores the narratives of the annual reports. It sheds light on a less-explored dimension of crisis communication and evidences a shortfall in Toyota's issues management. The findings show that Toyota's articulation of its core values, commitment to safety and customer-orientation subsided before the global recall crisis, despite the fact that some safety issues had surfaced by that time. The analysis highlights that there is a need for the company to conduct a more rigorous self-evaluation of its priorities through the process of outlining annual reports in a non/pre-crisis period.
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