Crisis Management Case Study

Ginger&Co.
Members:CaitlinGorham,
EdwardImmel,RaquelLamal,Amy
Manske,JenaRichter&ChloeScheller
CrisisManagementPlan
OriginalPlanCreationDate:03/28/12
LastModifiedDate:04/18/12
Thisdocumentis
Kohlsconfidential.
K O H L S C O R P O R A T I O N
CRISIS MANAGEMENT PLAN
TableofContents
SummaryofChanges2
Introduction.3
Acknowledgments..4
CompanyOverview5
CompanyGoals.6
CompanyObjectives.7
CrisisManagementPlanOverview.9
IntellectualPropertyandProprietaryInformation11
CrisisRehearsalDates12
CrisisRehearsalEvaluationForm.....13
CrisisManagementTeamOverview14
CrisisManagementTeamMembers15
CrisisManagementTeamContactInformation..18
CrisisControlCenters.19
RiskAssessment.25
CrisisImpactandRiskGrids..26
TopTenCrises.30
IncidentReportLog.33
IncidentReportForm.34
MediaKitTemplate.35
TipsforCommunicatingwithMedia37
StrategyWorksheet.........................39
KohlsCrisisEventResponse.40
BasicStakeholderAnalysis.43
StakeholderContactInformation.44
PostCrisisSurvey.47
PostCrisisEvaluationForm..48
BusinessContinuityPlan.49
Addendums..50
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SummaryofChanges
DateofChange
PagesAffected
ChangeDetails
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March28th,2012
ToallRecipients,
ThefollowingdocumentcontainsKohlsCorporationCrisisManagementPlan.The
purposeofthisplanistoprovideguidanceforresponseandrecoveryintheeventofacrisis.It
includespotentialcrises,alongwithcontactinformation,equipment,andrecoveryprocesses.
Thisdocumentalsoincludesreportformsandmediareleasetemplatesfordocumenting
incidentsandrespondingeffectivelyandtimelyinaneventofacrisis.
TheCrisisManagementPlanincludestipsonsignaldetection,crisispreventionandcrisis
preparation.Italsoprovidesappropriatestrategiesforcrisisrecognition,damagecontainment
andrecovery.Attheendofacrisis,KohlsCorporationmustcompleteapostcrisisevaluation
andrevisionofplanswheninneedofimprovement.
InordertomeasuretheefficiencyoftheCrisisManagementPlan,rehearsalswilltake
placeonaregularbasis.Therehearsaldatesaresetupeverytwomonthsinordertoensure
thatprocessesarethoroughlyunderstoodandimplemented.
ItisimportanttonotethattheCrisisManagementPlanisaworkingdocumentthatwill
becontinuouslyupdatedinordertoimproveeffortsinpreventingandmanagingconflictsand
crisesthatimpactKohlsCorporationdirectlyortheretailindustryingeneral.
ByfollowingtheCrisisManagementPlanwecancontinuetoimprovethewayinwhich
Kohlspreventsandhandlescrisestherebyprotectingcompanyreputationandensuringfuture
success.
Sincerely,
ChloeScheller
PresidentofInvestorRelations,KohlsCorporation
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Acknowledgments
April9th,2012
TheinformationcontainedwithinthisdocumentissolelywrittenforKohlsCorporationona
nationallevel.Thisinformationisintendedasaguidelinetobeusedwhenrespondingtoacrisis
impactingKohlsCorporation.Thisdocumentistobereviewedonaregularbasistoensure
effectivenessismaintained.ThisreviewistheresponsibilityoftheKohlsCrisisManagement
Team.Updatestothismanualwillbeimmediatelydistributedifthechangeisdeemed
significant.
Bysigningthisdocument,eachpartysigningbelowacknowledgesexistenceofthisplan,is
committedtoensuringaprocedureisavailablefortheentirecorporation,andagreesto
provideresourcesneededtomaintaintheplan.
We,themembersoftheKohlsCrisisManagementTeamhavecreated,implementedandfully
understandthefollowingcontentoftheCrisisManagementPlan.Thefollowingplanshouldbe
usedasaguidelineinanycrisissituation.Weareawareofourresponsibilitytoadjusttheplan
accordingtothenatureofthecrisis.TheCrisisManagementTeamstridestoupholdthevalues
andexpectationsoftheKohlsCorporationwhileworkingthroughanycrisis.
____________________________________________________________________________
CaitlinGorham
ChiefExecutiveOfficer
ChloeScheller
PresidentofInvestorRelations
____________________________________________________________________________
AmyManske
VPofPublic&CommunityRelations
JenaRichter
ChiefOperationsOfficer
____________________________________________________________________________
EdwardImmel
ChiefSecurityOfficer
RaquelLamal
VictimControlManager
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CompanyOverview
KohlsCorporationwasfoundedbyMaxwellKohl.ThefirstKohlswasestablishedin1962in
Brookfield,Wisc.Originally,asmallgrocerystore,overtimeKohlsbecamethelargest
supermarketchainintheMilwaukeearea.Now,with1,100storesand130,000associates,
KohlsisoneofthelargestretailersintheUnitedStatesoperatingin49differentstates.
ThemajorityofKohlsstoresoperateintheMidwestandWest,butKohlscontinuestoexpand
intootherregions.
Kohlsappealstomiddleclassconsumersbyofferingavarietyofnamebrandandprivatelabel
clothing,accessories,andhomegoods.Kohlscompetitorsincludediscountandmidlevel
departmentstoressuchasJCPenneysandMacys.Duetoawidespreadconsumerbaseand
effectivebusinessprocesses,KohlshasbecomeaFortune500company.
TheKohlsmissionistobetobetheleadingfamilyfocused,valueoriented,specialty
departmentstoreofferingqualityexclusiveandnationalbrandmerchandisetothecustomerin
anenvironmentthatisconvenient,friendlyandexciting.
Crisesareinevitable.InorderforKohlstoliveuptotheKohlsmission,crisesmustbemanaged
effectivelyandethically.Kohlshasaresponsibilitytoconsumers,holdinguptocompany
values,andcommunitycultivation.BylivinguptothestandardsofaFortune500company,
followingcompanyvaluesandrespondingappropriatelytocrises,Kohlswillcontinuetobea
successandacompanyassociatescanbeproudtoworkfor.
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CompanyGoals
BusinessGoals
Tobetheleadingfamilyfocused,valueoriented,specialtydepartmentstore.
Tobealeaderthroughoutthecommunitywithdonations,resources,talentandtime.
Tobecontinuallydevelopingthroughannualgrowthbybothexpansionandrevenue,
liveuptostockholdersexpectationsandsurpassingstandardsofaFortune500
company.
CommunicationGoals
ForKohlstargetaudiencesandstakeholderstobeawareofthefamilyfocused,value
oriented,specialtydepartmentstoresKohlsoffers
ForKohlstoinspirechangeinthecommunitythroughdonations,resources,andthe
talentsofitsassociates.
ForKohlstocoordinateourconsumersexpectationsofquality,convenienceand
affordabilitywithourbrandimage.
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CompanyObjectives
AwarenessObjectives
IncreasetheawarenessoftheKohl'sCaresprogramby15%.
Increaseawarenessofsustainabilityeffortsby15%.
AcceptanceObjectives
Figure1representsthewordsandphrasesthatourcustomerscurrentlyassociatewiththe
Kohlsbrand.
Figure2representsthewordsandphraseswewouldideallylikeourcustomerstoassociate
withtheKohlsbrand.
Thereputationofabrandiscrucialtoacompanyssuccessandshouldbeconsideredatall
times,especiallyintimesofcrisis.BythinkingstrategicallyandcommunicatingeffectivelyKohls
Corporationcanmaintaintheirrespectedreputation.
ActionObjectives
Increasenetincomeby23%.
Increasesalesby17%.
Open42storesintheUnitedStatesin2012.
Remodelmorethan80storesin2012.
Log100,000employeevolunteerhoursthroughKohlsCaresin2012.
Raise$1.5millionforKohlsCares.
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Figure1
Figure2
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CrisisManagementPlanOverview
Description
TheKohlsCorporationCrisisManagementPlanisdesignedtoprovideaguidelinefor
immediateresponseandpostcrisisrecoveryfromanunplannedbusinessinterruptionthrough
astructural,reputationalorsafetycrisis.Thisplansuppliesanoverviewofpotentialissuesand
theresponseandrecoveryactionstobeexecutedbyKohlsintheeventofacrisis.
Purpose
TheCrisisManagementPlanhasbeendevelopedtomeettheseobjectives:
Provideaguidelinetoimplementandmanageresponseandrecoveryofunplanned
crisisorbusinessinterruption
Supplyinsightonsignaldetection,crisispreventionandpreparation
Suggestappropriatestrategiesforcrisisrecognitionandaddressinginternalandexternal
publics,includingthemedia
Isolateandreduceimpactlevelsofacrisis
Reduceexposuretofuturecrises
Improveresponseratesandactionsforfuturesuccess
Scope
ThisfollowinglistisasampleofscenariosintheCrisisManagementPlanaredesignedto
prepareKohlsforpotentialcrisesthatdirectlyandindirectlyinvolveKohlsCorporationandif
nothandledappropriatelycoulddamagethereputationoftheKohlsbrand.
Productrecall
Cyberattacks
Customersatisfaction
Stakeholderrelations
Stock
Naturaldisasters
Intenttouseaweapon
Badmarketing
Informationfraud
Ethics
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Assumptions
TheCrisisManagementPlanhasbeendevelopedbaseduponthefollowingassumptions:
AllKohlsStoreSafetyPlansareuptodate,rehearsedandsuccessfulinimplementation
inconjunctiontostateandfederalrulesandregulations.
TheCrisisManagementPlanisconsistentlyreviewed,updatedandrehearsedtoensure
aviablestateofreadiness.
Alldesignatedalternatelocations,includingcrisiscontrolcentersareunaffectedbythe
crisis.
AnadequatenumberofqualifiedCrisisManagementTeamMembersareavailableto
resumecrisismanagementandrecoveryresponsibilities.
CriseswillbehandledaccordingtotheCrisisManagementPlanbyusingthestrategies
andresourceslistedinthisdocument.
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IntellectualPropertyandProprietaryInformation
ConfidentialInformation
WhileworkingatKohlsCorporationyoumayencounterconfidentialinformation.This
informationisnottobereleasedtothepublicforanyreasonandcanonlybeusedforcompany
purposes.
Kohlsrespectstherighttokeepprivateinformationforthebetterofthecompany.
Confidentialitemsinclude:
Marketingplansincludingproductintroductions,strategyandreleasetimelines
Tradesecrets
Projectsinprocess
Budgetandunpublishedfinancialstatements
Businessplans
Namesofemployeesuntilverifiedandfamiliesnotified(ifapplicable)
Employeeinformation:compensation,skilllevel,privateinformation
IntellectualProperty
IntellectualpropertyisprotectedunderKohlsCorporationspolicy.Thisinformationisnotto
bereleasedtothepublicforanyreasonandcanonlybeusedforcompanypurposes.
Intellectualitemsinclude:
Inventions
Discoveries
Innovations
Ideas
Agreement
Employeeswillsignwrittenagreementsregardinginformationsharing.Ifemploymentis
terminatedallconfidentialinformationmustbeturnedovertomanagementbeforebeing
released.
Tofindoutmoreaboutlegallimitations,copyrights,trademarksandtermsandconditions
specificforcustomers,visit:
http://www.kohlscorporation.com/customer_service/SecurityPrivacy/SecurityPrivacyPolicy.html
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CrisisRehearsalDates
Rehearsaldatesareestablishedtoreviewourcrisisplan.Thesereviewswillbeimplementedonthe
15thofalternatingmonths.
Eachreviewwillentailthefollowing:
Updatecontactsandcontactinformation
Areviewofthecurrentlyimplementedcrisisplan
Ananalysisofanynewcrisisthathaveoccurred
Suggestionsforcrisiseventsthatmaybeforeseen
Implementationofanynewchanges
Establishedannualdatesforcrisismeetingandreview:
January15th
3:30pm
March15th
3:30pm
May15th
3:30pm
July15th
3:30pm
September15th
3:30pm
November15th
3:30pm
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CrisisRehearsalEvaluationForm
DateofEvent:_____________Timenotified:_________________Location: _________________
YourName
YourPosition
Hasalltheinformation,contacts,and
formsbeenupdated?
Whatareahadthemostconfusionor
uncleardirections?
Whatchangescouldbemadetothat
areatoclearanyconfusion?
Whatwasmosthelpfulduringthe
rehearsal?
Whatareasneedtobeaddressed?
AdditionalComments:
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CrisisManagementTeamOverview
TheKohlsCrisisManagementTeamisagroupofqualified,goodlookingpersonnelwhohave
theresponsibilitytocreateandimplementtheCrisisManagementPlan.Thisplanistobeused
asguidelineintheeventofacrisisandadaptedbasedonthenatureofthecrisis.TheCrisis
ManagementTeamsmainpurposeistoupholdthevaluesofKohlsCorporationandtoprotect
andrestorethereputationofKohls.
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CrisisManagementTeamMembers
CaitlinGorham
CaitlinGorhambecametheCEOofKohl'sin
April2009after11yearswiththecompany.
PriortojoiningKohl's,sheservedasdivision
managerofMacy'sDepartmentStore.Caitlin
maintainsanactiveinvolvementinmanyofthe
Kohl'sCarescharityorganizationsand
hasreceivedUnitedWay'sacclaimedPlatinum
CorazonAwardforheroutstandinggenerosity.
Caitlin'sextensiveknowledgeoftheKohl's
Corporationandleadershipskillsmakeheran
assettotheCrisisManagementTeam.
EdwardImmel
EdwardImmeljoinedtheKohl'sCorporationas
ChiefSecurityOfficerin2009.Hisstrong
backgroundinInformationScienceshaskept
Kohl'sasafeenvironmentinboththephysical
anddigitalsetting.Hisriskmanagementskills
helphimworkcloselywithourbusiness
continuityplan.
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RaquelLamal,MD
RaquelLamalbecameamemberoftheKohls
CrisisTeaminJuneof2010.Shetookonthe
roleofVictimManagerafterhavingpreviously
workedasahighschoolguidancecounselor.
Shehasspentmanyhourshelpingstudents
dealwithlossandgriefissuesandiswellsuited
todealwithdifficultissues.
AmyManske
VPofPublicandCommunityRelations
AmyManskebecametheVicePresidentof
PublicandCommunityRelationsinMay2009
afterspendingsixyearswithTargetaspartof
theCommunityRelationsdepartment.Amyhas
strategicthinkingthatisvaluabletotheCrisis
ManagementTeam,alongwithexperiencein
publicrelations.Herabilitytocommunicate
withthepublicandappropriateaudiencesin
timeofcrisisisanimportantskillbroughtto
theteam.Shealsoorganizesandparticipatesin
manycharityeventsfortheKohlsCares
program.
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JenaRichter
JenaRichterassumedtheroleofChief
OperationsOfficerinApril2010.Shepreviously
heldasimilarpositionwithOfficeMaxInc.and
servedpreviouslyonacrisismanagement
team.Shesupervisestheoperationsofour
retaillocationsclosely.Jenabringsvaluable
knowledgeofretailstoreoperationsand
managementofcrisesatalocalandnational
leveltothisteam.Jenasdetailoriented
mindsetalsoprovidesapositivecontributionto
thiscorporationandtothisteam.
ChloeScheller
ChloeSchellerjoinedKohlsasPresidentof
InvestorRelationsinJuly2008.Herprevious
experienceworkingintheInvestorRelations
departmentatAppleInc.hasprovidedherwith
valuableexperienceinpreventingand
recoveringfromlocalandnationalcrises.Her
abilitytocommunicateeffectivelywith
stakeholdersandexternalaudiencesmakesher
anassettotheCrisisManagementTeam.
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CrisisManagementTeamContactInformation
CaitlinGorham
Call/Text:(715)7410878
Email:gorhcm17@uwgb.edu
EdwardImmel
Call/Text:(920)7134738
Email:immeew21@uwgb.edu
RaquelLamal
Call/Text:(920)6043167
Email:lamarm05@uwgb.edu
AmyManske
VicePresidentofPublicandCommunityRelations
Call/Text:(920)5854198
Email:mansal23@uwgb.edu
JenaRichter
Call/Text:(262)3659688
Email:richjm10@uwgb.edu
ChloeScheller
Call/Text:(608)7729969
Email:schecl31@uwgb.edu
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CrisisControlCenters
CrisisControlCenterI:
Location:
Room605M
6thFloorCofrinLibrary
2420NicoletDrive
GreenBay,WI54311
CofrinLibrary605M
AvailableEquipment:
DesktopComputer
TelevisionScreenwithhookup
Chairs(6)
ConferenceTable
Whiteboardanddryerasemarkers
PlugOutlets&SurgeProtector
HighspeedWirelessInternet
CellPhones
Laptops(6)
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CrisisControlCenterI:
CofrinLibrary605MFloorPlan
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CrisisControlCenterII:
RichardLieblConferenceRoom
Location:
RichardLieblLounge
RichardLieblHall
UWGreenBayCampus
3304ThompsonCourt
GreenBay,WI54311
AvailableEquipment:
Largeconferencetablewithchairs
Threecouches
Television
Sinkunit
PlugOutlets
CellPhones
Laptops(6)
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CrisisControlCenterII:
RichardLieblConferenceRoomFloorPlan
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CrisisControlCenterIII:
MossyOakSafeHaven
Location:
PheasantRunApartments#38
2970MossyOakCircle
GreenBay,WI54311
AvailableEquipment:
Kitchen
ThreeCouches
DiningTable
Television
PlugOutlets
CellPhones
Laptops(6)
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CrisisControlCenterIII:
MossyOakSafeHavenFloorPlan
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RiskAssessment
RiskAssessmentAnalysis:
TheCrisisManagementTeamconductedresearchonvarioustypesofcrisesthatcouldoccur.
Theresearchhelpedusdeterminewaystorespondtolikelycrisesandgiveustheabilitytostop
thecrisisbeforeitescalates.Theteamthenclassifiedthethreatsintofivecategories:
1.
2.
3.
4.
5.
Personnel
Event
Industry
Reputation
Financial
PotentialCrisisRatingsCriteria
LikelihoodMeasure:
1.
2.
3.
4.
5.
<Once/5years
<Once/year
Once/monthtoonce/year
Once/weektoOnce/month
>Once/week
SeverityMeasure:
1.
2.
3.
4.
5.
Noexposure
Localexposure
Regionorstateexposure
Nationalexposure
Frontpagenationalexposure
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CrisisImpactandRiskGrids
Crisis
Personnel
Discrimination
WorkplaceViolence
Health&Safety
EmployeeFraud
MisuseofConfidentialInformation
SexualHarassment
EmployeePostsonSocialMedia
CorporatePersonnelScandal
EmployeeStrikes
Layoffs
Industry
EconomicState
ProductPrice
PriceManipulationwith
Competitor
Event
NaturalDisasters
Vandalism
Violence
FacilityProblems
HostageSituation
WeaponsInStore(Intentwith
Weapon)
Bomb
Charity
Financial
Embezzlement
Robbery
Bankruptcy
Stock
Likelihood
Severity
Impact
3
2
1
1
1
3
4
1
1
1
1
3
2
2
3
1
4
2
1
4
4
2
6
4
3
1
4
6
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4
4
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3
3
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1
3
1
1
2
4
6
3
3
4
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2
1
1
1
3
1
2
3
4
4
5
2
5
4
6
4
4
5
6
5
8
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Crisis
Likelihood Severity Impact
Reputation
BrandManagement
StakeholderRelations
LegalIssues
ExecutiveDismissal
Rumors
SupplierOutsourcing
BadMarketing
WastefulPractices
Designer/EndorserScandal
HazardofSecondaryProducts
ProductRecall
CyberAttacks
SweatshopLabor
InformationFraud
Ethics
CustomerSatisfaction
1
2
3
1
3
3
2
1
1
1
3
4
1
2
2
4
4
4
1
3
2
1
3
4
4
4
4
2
4
3
3
2
4
8
3
3
6
3
6
4
4
4
12
8
4
6
6
8
Onceeachpotentialcrisishadacategorythelikelihoodandseverityofeachcrisiswas
determinedandmultipliedtomakeanoverallimpactscore.Thetoptencrisesareasfollows:
1. ProductRecall
2. CyberAttacks
3. CustomerSatisfaction
4. StakeholderRelations
5. Stock
6. NaturalDisasters
7. WeaponsinStore
8. BadMarketing
9. InformationFraud
10. Ethics
Aftertheaboveanalysiswascompletedriskgridswerecharted.Figure3istheriskgridshowing
mostlikelycrisesKohlsCorporationmayencounter.Figure4isamorespecificriskgrid,
outliningthetop10mostsignificantcrisesthatcouldoccur.
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Figure3
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Figure4
Top Ten Crises:

1.Product Recall
2.Cyber-Attacks
3.Customer Satisfaction
4.Stakeholder Relations
5.Stock
6.Natural Disasters
7.Weapons In Store (Intent with Weapon)
8.Bad Marketing
9.Information Fraud
10.Ethics
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TopTenCrises
BasedontheCrisisManagementTeamsanalysisofpotentialcrisesinthefieldsoflikelihood,
severity,andreach,atoptenlistofcriseshasbeencompiled.Thefollowinglistcontainsthose
toptencrisesandguidelinesonhowtomanagethem.Eachcrisismustbeassessedasan
individualincident;thisdocumentprovidesguidelinestoconsider.
1.ProductRecall
Intheinstanceofaproductthatispotentiallycausingharmtoconsumers,allclaimsaretobe
investigated.Iftheclaimsfoundtobetrue,consumersaretobenotifiedasquicklyaspossible,
andtheproductistonolongerbesold.Theproductsinformationistobepublished,including:
specificserialnumbers/modelnumbers,howtolocatethesenumbers,howtoreturntheitem,
andreasonfortherecall.Thisinformationcanbesharedinavarietyofmannersincluding:
hotlines,metropolitannewspapers,governmentagencywebsites,socialmedia,mediareleases,
andthecorporatewebsite.Whennotifyingstakeholders,besuretoexpressconcernand
ensurehow,inthefuture,theincidentwillbeavoided.
2.CyberAttacks
Whenconfrontedwithacyberattack,suchasawrittenstatement,video,orrougewebsite,the
CrisisManagementTeammustfirstconsidertheseverityandscopeoftheattack.Iftheincident
isnotviralorlargeinscope,itisoftentimesbesttowithholdanduphold,orignoretheattack,
asconfrontingitmaybringunnecessaryattentiontothematter.
Ifthedecisionismadetoconfronttheattack,optionsinclude:contactingthewebmasterof
thatspecificdomainorprovidingastrategicresponseonthesamesocialmediaplatformon
whichtheattackoccurred,i.e.YouTubeorFacebook.Kohlslegalcontactsaretobeutilizedin
anymeasurestaken.
3.CustomerSatisfaction
Inordertoavoidissueswithcustomersatisfaction,Kohlsasacorporationproactively
approachescustomersforfeedbackviaonlineandinstorechannels,monitorssocialmedia,
andtrainsassociatestosympathizewithcustomersandresolvecustomerdissatisfactionwitha
senseofurgency.Theactiontobetakeninacrisisinvolvingcustomersatisfactionmustresolve
theissuetothegreatestextentpossible.
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4.StakeholderRelations
StakeholderrelationshipsarecrucialtoKohlsCorporationssuccess.Again,asaproactive
companywespendtimeandenergybuildingrelationshipswithallpartiesinvolvedwiththe
Kohlsbrand.Intimeofcrisisitiscrucialtomaintaintheserelationshipsasbestaspossibleby
addressingthecorrectaudiencesandresolvingconcernsinatimely,effectiveandappropriate
manner.Determiningthereachofthecrisisisalsoavaluablecomponentbecauseitwilldirect
totheproperchannelsandcorrectiveapproach.
5.Stock
Inacrisisinvolvingstock,itisvitaltobehonest,yetnotanopenbook.Informationshouldbe
sharedwiththeproperstakeholdersinamannerthatavoidsjargon.TheCrisisManagement
Teammustbesuretoanticipatequestionssuchaswhoislosingmoneyandwhoisgaining
money.
6.NaturalDisasters
Insituationsofnaturaldisasters,itisimportanttobeasproactiveandpreparedaspossible.If
theeventisforeseen,contactauthoritieswithanyquestionstoensurebestpreparation.The
numberoneconcernininstancesofnaturaldisasterissafety.Ifinjuryoccurs,contact
emergencypersonnelandexpressconcern.
7.WeaponsInStore(IntentwithWeapon)
IfanindividualentersaKohlsbuildingwiththeintenttouseaweapon,employeesare
instructedtorespondbyusingsafetyprotocols.Employeesareexpectedtocontactemergency
personnelinadiscreetmannerastonotalerttheassailant.Alsoifpossible,theyshould
evacuatethelocationtoprotectpotentialvictims.Ifanyharmoccurstovictims,expressdeep
concernpostcrisiswhenaddressinginthisorder,thevictimsfamilies,stakeholders,and
media.
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8.BadMarketing
Toavoidmisinterpretedmessages,themarketingteamatKohlsistoassessnewideasintently
andaligncommunicationwithaudiencesandbusinessgoalsbyconsideringoutcomes.Inthe
casethatmarketingismisconstruedormiscommunicationoccurs,acknowledgetheoccurrence
andprovidereassuranceorapologyaswarrantedbythesituation.
9.InformationFraud
Inthecaseofinformationfraud,suchasleakofcustomerpersonalinformation,affected
partiesaretobecontactedpersonally.Highestconcernshouldbeexpressedtocustomersand
correctiveactionshouldbeprovided,ifpossible.Itisalsonecessarytodenyanyintentofharm
andtodistancethecorporationfromtheevent.
10.Ethics
Kohlsvaluesaretobeatthecoreofalloftheactionsofthecorporationandits
representatives.Ifanoccurrencehappenstothecontrary,perceiveddamageistobe
minimizedandanapologyistobeissued.Besuretounderscorehowthisinstancewillnot
occuragaininthefutureanddistancethecorporationfromanyspecificpartyresponsible.
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IncidentReportLog
Reported
Date
PartiesInvolved/Location
Description
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IncidentReportForm
Crises Management Team Member(s):_____________________________________________
Date:________ Time:____________ Media Contact/ Informant:_______________________
Channel Used:______________________
Date of Incident:_________
Time of Incident:_________ Location of Incident:______________________________

Notes:________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
Stakeholder(s) of Concern:
______________________________________
______________________________________
______________________________________
Contact Information:
____________________________________
____________________________________
____________________________________
Contacted?
Yes: _________ Date: _________ Time: ________ No: _________
Action Response:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Recovery actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
______________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________
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MediaKitTemplate
Amediakithasbeenpreparedwithcurrentfacts,backgroundinformationothermaterialsthat
mayberelevanttothecoverageofKohls.
RightPocket
MediaRelease
MediaRelationsRequestForm
MediaContactInformation
FactSheet
ComplimentaryNotepad
LeftPocket
CompanyProfile
CrisisBoardofDirectorsBiographies
KohlsCares:CharitableStewardship
KohlsGreenScene:EnvironmentalStewardship
BusinessCards
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K O H L
S CORPORATION
KohlsNewsroom
FORIMMEDIATERELEASEMediaContact:AmyManske(VP)
April17,2012PhoneNumber:(920)5854198
ReleaseNo.1201
INSERTHEADLINEHERE
City,Date
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PleaseNote:ForBroadcastqualityvideoandaudio,photostillsandothermediaresources,visittheKohlsMediaLinkat
www.kohls.com.
BasedinMenomoneeFalls,Wisc.,Kohls(NYSE:KSS)isafamilyfocused,valueorientedspecialtydepartmentstoreofferingmoderately
priced,exclusiveandnationalbrandapparel,shoes,accessories,beautyandhomeproductsinanexcitingshoppingenvironment.Witha
commitmenttoenvironmentalleadership,Kohlsoperates1,134storesin49states.Insupportofthecommunitiesitserves,Kohlshas
raisedmorethan$208millionforchildrensinitiativesnationwidethroughitsKohlsCarescausemerchandiseprogram,whichoperates
underKohl'sCares,LLC,awhollyownedsubsidiaryofKohl'sDepartmentStores,Inc.Foralistofstorelocationsandinformation,orfor
36
theaddedconvenienceofshoppingonline,visitwww.Kohls.com,orjointhediscussiononFacebookhttp://www.facebook.com/kohlsor
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Twitterhttp://twitter.com/Kohls
TipsforCommunicatingwithMedia
MediaConference:
Haveapreparedmediakit.
Anticipateyourquestions
o Answerthe5Ws(who,what,when,whereandwhy),howthecrisesoccurred
andwhythereportersshouldcare(i.e.Sowhat?)
o Howwillyoupreventthisfromhappeninginthefuture?
Haveacoremessagewiththreesubsets.Repeatittoshowconfidence,accuracyandto
providemultipleopportunitiesforthemediatogatheraclearsoundbite.
Chooseagood,crediblespokespersonandeducatethemonthecrisis.
Practiceandanalyzewhatyouaregoingtosay.Whatwordscanbemisinterpreted?
Practiceansweringquestions.Themediamaynotalwaysbeniceandyouneedto
remaincalmatalltimes.
Usevisualswhencommunicatingcomplicatedinformationifitwillhelpwithyourcause.
Determinetheaudience(s)whoisaffectedthemostbythecrisis?
Bepoliteanddonotarguewiththereporters.
Sympathizewithyourmainaudience(s).
Avoidjargon.
Holdtheconferencebetween9a.m.11a.m.ifpossible.Thiswillallowthemost
reporterstoattendandmeettheirdeadlines.
Understandtheequipmentusedatamediaconferenceandhowitworks(Multbox,
microphones,cameras,lighting,etc.)
Keepinmindethicsandcompanyvalues.Ownuptomistakes.Itisbettertobehonest
thentolieandgetcaught.
Decidewhichstrategicoptiontouse,andhowmuchinformationyouarewillingtogive
out.
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Q&A:
AvoidtheresponseNocomment.Itisoftenassociatedwithtakingblame.
Ifyouaresurprisedbyaquestionandyoudonthavetheanswers,tellreportersthat
youwillinvestigateandgetbacktothemonthetopic.
Yourresponsesshouldbeshortandconcise.Themoreyouramble,themore
opportunitythereistohaveyourwordstakenoutofcontext.
Speakinfullsentences.
Starttheanswerwithpartofthequestion(aslongasthequestionisntloaded).
Forexample
Reporter:
WhydidyoubecomeaCEOforKohls?
Answer:
IbecameaCEObecause
Doingthislimitstheopportunityforthereportertouseyourresponsetoanswera
differentquestion.
Makesureyoutapetheinterviewaswell,sothatyoucandisputeanyeditedversions
andifapplicable,askforacopyoftheirpiecebeforeitisprintedoraired.
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StrategyWorksheet
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Kohl'sCrisisEventResponse
Thediagramsfollowingareageneralguidelineresponseforanycrisisordisasterevent.The
specificresponseactionswillbedependentontheeventitselfandimprovisationswillhaveto
bemade.
1.Kohl'sCorporationsfirstpriorityinalleventsisthesafetyofallpeople.Inactionsregarding
acrisiseventpartiesinvolvedshouldalwaysconsiderthefollowing:safetyofall,reputationand
brandoftheKohl'sCorporationandallofitsaffiliates,financialconcernsofKohl'sinvestors,
andallconsumersofKohl'sproducts.
Ifanyoneisinjuredoratriskofinjury,pleasemakethatyourtoppriority.
Ifreportsarrivebeforeyouhavereceivedwhatinformationisproprietary,pleasetell
themediatocontacttheKohl'spublicrelationsteamforfurtherinformation.Donot
makeanycommentsfortheKohl'scorporationwithoutexplicitpermission.
2.ContacttheKohl'sCrisisManagementTeamimmediately.
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BasicStakeholderAnalysis
Stakeholder
Shareholders
Customers
Suppliers&Business
Partners
Media
Internal
Concerns
ReceivingRevenue
fromtheir
investments
Investinginan
ethicalcorporation
Affordable&Quality
Product
Convenient&
EnjoyableShopping
Experience
EthicalPractices
FinancialGainfrom
Partnership
ChannelPreference
MediaReleases
Newsletters
Meetings
AnnualReports
SocialMedia
Advertising
Facetoface
Meetings
Individual
Communication
(email,phone)
Providing
Individual
informationto
Communication
viewerstruthfullyand (email,phone)
timely
MediaReleases
Interviews
MediaConferences
RemainingInformed Meetings
PracticingEthical
Individual
Behavior
Communication
Financial
(email,phone)
Compensation
BulletinBoard
Securework
Postings
Environment
Lions
Majority
Stockholders
BoardofDirectors
LoyalCustomers
(WalkingBillboards)
Executives
NewsDirectors
PrintEditors
Management
Executives
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StakeholderContactInformation
CorporateHeadquarters:
KohlsDepartmentStores
N56W17000RidgewoodDrive
MenomoneeFalls,WI53051
Phone:(262)7037000
KohlsExecutiveStaff:
KevinMansell,Chairman,President,andChiefExecutiveOfficer
DonBrennan,ChiefMerchandisingOfficer
JohnWorthington,ChiefAdministrativeOfficer
InvestorRelationsContact:
WesMcDonald,SeniorExecutiveVicePresidentandChiefFinancialOfficer
Phone:(262)7031893
MediaRelationsContact:
VickiShamion,SeniorVicePresidentofPublicRelations
Phone:(262)7031464
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LocalContacts:
LocalPolice,Rescue,andFireDepartments:
Emergency:911
MenomoneeFallsPoliceDepartment(Nonemergency):(262)5328700
MenomoneeFallsFireDepartment(Nonemergency):(262)5328823
WaukeshaCountySheriff(Nonemergency):(262)5487117
LocalMediaContacts:
MilwaukeeJournalSentinel:
P.O.Box371
Milwaukee,WI53201
Phone:(414)2242000
TMJ4:
Phone:(414)9675444
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NationalContacts:
AssociatedPressContact:
AssociatedPressHeadquarters
450W.33rdSt.
NewYork,NY10001
Phone:(212)6211500
EmailMediaReleasesto:info@ap.org
OSHA(OccupationSafety&HealthAdministration)
U.S.DepartmentofLabor
OccupationalSafety&HealthAdministration
200ConstitutionAvenue
Washington,D.C.20210
EmergencyTollFreeLine:18003216742
U.S.DepartmentofCommerce:
U.S.DepartmentofCommerce
1401ConstitutionAve.,
Washington,D.C.20230
Phone:(202)4022000
UnitedStatesGreenBuildingCouncil:
Phone:18007951747
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PostCrisisSurvey
NameofSurveyor(optional):______________________________________________________
DateofCrisis:________________Time:____________Location:______________________
Describethecrisis:
______________________________________________________________________________
______________________________________________________________________________
HowdidthecrisisimpactKohlsCorporation?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Whatroledidyouhaveinthecrisis?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
WhatsourceinformedKohlsCorporationofthecrisis?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Wasthecrisismanagedethicallyandeffectively?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
WhatfeedbackwouldyouhavefortheCrisisManagementTeamregardingthiscrisis?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
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PostCrisisEvaluationForm
CMTMember:_____________________________Date:_______________Time:__________
LocationofCrisis:______________________CrisisCategory:__________________________
Oneascaleof0to10,howwellwastheCrisisManagementPlanfollowed?CircleOne:
NotatallSomewhatCompletely
012345678910
Howdidyoulearnofthecrisis?
______________________________________________________________________________
______________________________________________________________________________
WhatpartsoftheCrisisManagementPlanwereused?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
WhatwasmosteffectiveabouttheCrisisManagementPlan?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
WhatareasprovidedthemostdifficultywhenusingtheCrisisManagementPlan?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
WhatareyoursuggestionstobetterimprovetheCrisisManagementPlan?
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
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BusinessContinuityPlan
ThepurposeofthisdocumentistoprovideKohlsanditsaffiliateswiththegroundworkfora
timelyresponsetoanyupcomingcrisis.Thisisageneralstructureddocumentandall
communicationandstrategicmovesshouldbeadjustedtofiteachcrisisindividually.
TheCrisisManagementTeamshouldbefirstpartiesnotified.Theteamwilltheninformthe
correctpersonnelincluding;primarystakeholders,bothinsideandoutsideofKohls
Corporation.Thiswouldincludeemergencypersonnel,seniorofficersofKohls,investors,and
otherstakeholdersofKohlsanditsaffiliates.
AsKohlsCorporationisanationalorganization,wehavecrisismanagementcontactsineachof
the49statesthatourstoresoperate.Thisassuresthatpropercommunicationchannelsare
establishedinatimelymannerinresponsetoanycrisisorunexpecteddisaster.TheCrisis
ManagementTeamreportstotheKohlsCorporationheadquartersinMenomoneeFalls,Wisc.
TheCrisisManagementTeamisconfidentintheirabilityofeffectivelyrespondtoacrisisin
ordertomaintainKohlsmissionstatementandcompanyvalues,alongwithbusinessand
communicationgoals.
Thisbusinesscontinuityplanisaworkingdocumentofproceduresandistobereviewedand
updatedeverytwomonthstoensureeffectiveness.Reviewswillbeconductedevery15thdayof
alternatingmonthsstartingJanuary15thofeveryyear.Theinformationreviewedwillinclude
thefollowing:currentstakeholdersandtheircontactinformation,crisispoliciesandpractices.
Oncetheplanhasbeenrevised,aCrisisManagementTeammember'ssignatureisrequiredto
certifytheupdatedplan.Theupdatedplanwillbekeptinitsentiretyatthecrisismanagement
headquartersandanyofisprovisionarymeetingplaces.
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Pleaseattachalladdendumsafterthispage.
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Ginger&Co.Members:CaitlinGorham,
EdwardImmel,RaquelLamal,Amy
Manske,JenaRichter&ChloeScheller
PostcrisisReview
TableofContents
ExecutiveSummary
Introduction
CrisisActivityLog
Research
SummaryofCrisisAssessment
AudienceAnalysis
CEOGoneWildCrisis
FinancialCrisis
Kohl'sLiberationArmyCrisis
ContinuousImprovement
RejectedIdeas
Conclusion
Appendices
100Facts
Survey
SurveyResults
RiskGrid
AudienceAnalyses
BasicStakeholderAnalyses
TimelineofEventsCEOCrisis
StrategicResponseChart
VennDiagramCEOCrisis
MediaReleaseCEOCrisis
TimelineofEventsFinancialCrisis
VennDiagramFinancialCrisis
MediaReleaseFinancialCrisis
MediaConferenceBlurbs
TimelineofEventsKLAAttacks(PreViolence)
TimelineofEventsKLAAttacks(Violence)
Incircle/outcirclewordchoices
MediaReleaseKLACrisis
VennDiagramKLACrisis
IncidentReportForms
MediaKit
AnticipatedQuestions
PowerPointPresentation
GroupMeetingAgendas
ClassFeedback
Sources
2
3
5
8
11
14
16
19
22
33
36
37
38
43
44
46
47
49
50
51
52
53
54
55
56
57
59
60
61
62
63
64
90
94
96
102
105
107
ExecutiveSummary
Thefollowingdocumenthastwomaincomponents:1)anexplanationofthetimelineofevents
thatoccurredfromApril19toApril24,2012and2)howKohlsCrisisManagementTeam
effectivelyrespondedtotheseevents.
Inordertounderstandeffectiveresponsemethods,KohlsCorporationdevelopedaCrisis
ManagementPlanasaguidelineprevioustotheeventsthatoccurredduringthistimeframe.
ThisCrisisManagementPlanwasbasedonconductedresearch,crisisassessmentsanda
primaryaudienceanalysis,whichwillbeprovidedindetailinthefollowingpages.
KohlsCorporationfacedseveralcrisesoverafivedayperiodthatneededtobeaddressed
quicklyandappropriately.Inordertodothisthesecriseswerecategorizedintothreeseparate
incidents:1)GirlsGoneWildCrisis,2)FinancialCrisisand3)KohlsLiberationArmy(KLA)Crisis.
TheKLAcrisiswasthemostimpactfulonKohlsreputationandneededimmediateattention
thereforebecomingKohlsprimarycrisistoaddress.
KohlsCorporationsbusinessandcommunicationgoalswererefinedforeachindividual
incidentwhilecontinuingtoreflectcompanyvalues.Thesegoalsinfluencedboththestrategic
decisionsandactionresponses(tactics)usedinordertohaveKohlsCorporationcomeouton
topaftertheincidentsoccurred.
Handlingcrisesisalearningprocessandimprovementsarenecessaryinordertopreventand
manageconflictsbetterinthefuture.TheContinuousImprovementssectionofthispaper
discussesthechangestoboththeCrisisManagementPlanandthestrategiesandaction
responses(tactics)usediftheseincidentsweretoeveroccuragain.
Introduction
Withmorethan1000storesin49ofthe50states,KohlsCorporationisoneofthelargest
discountdepartmentstorefranchisesintheUnitedStates.ThetargetaudienceforKohls
Corporationismiddleincomeshoppersbuyingforfamiliesandhomes.Kohlsmaintainsits
discountpricesthroughalowcoststructure,limitedstaffing,andprogressivemanagement
informationsystems,aswellastheeconomicalapplicationofcentralizedbuying,distribution
andadvertising.ThisKohlsConcepthasbeensuccessfulinsmallandlargemarkets,strip
shoppingcenters,regionalmallsandinfreestandingvenues.
ThemajorityofKohlsstoresoperateintheMidwestandWest,butKohlscontinuestoexpand
intootherregions.Duetothiswidespreadcustomerbaseandeffectivebusinessprocess,Kohls
hasbecomeaFortune500company.
Inthelate1920s,KohlsstoresoriginatedasgrocerystoresfoundedbyMaxKohlinthe
Milwaukee,WI.Inthemid1960s,Kohlsdecidedtochangetheirstyleandstartedtosell
clothesandappareltoanichethatfellbetweenhighenddepartmentstoresanddiscount
markets.ThisnewpositioningeffortallowedKohlstoskyrocketintothemajorretailerand
presenceitistoday.
TheKohlsCorporationmissionis:tobetheleadingfamilyfocused,valueoriented,specialty
ThefollowingdocumentsprovideadetailedexplanationofKohlsCrisisManagementTeams
strategicoptionsandactionresponses(tactics)amongotherthingsinreactiontoastringof
threecriseswhichhadoccurredbetweenthedatesofApril19,2012throughApril22,2012.
Eachcrisishasitsownbusinessgoalandcommunicationgoaltobeupheldthroughoutthecrisis
andpostcrisisreturntobusinesscontinuity.TheactionsoftheCrisisManagementTeamwere
takeninefforttobestmaintaincongruencywithKohlsCorporationsmissionstatementandto
sustainapositiveimageofourcorporationinthepresentandinthefuturetoallstakeholders.
CrisisActivityLog
Reported
Date
Parties
Notified/Location
Description
04/19
09:20AM
CMTinMAC107
Manilaenvelopewithblackplasticknifeandfullcanof
Monsterinside
ReceivedbyRaquelvia
email
AreporthassurfacedonPerezHiltons(realname)blog
thatthecurrentDisneys,Kohls,andPioneersCEOswere
partofGirlsGoneWildvideoyearsago.Thereportsays
thatthenewDVDwillbereleasedinthenearfuturetitled
HasYourCEOGoneWild?
Chloeviaemail
TheCEOsGoneWildvideowasreleasedandgoneviral.
TheYouTubeclipofKohlsCEOGirlsGoneWildcliphas
morethan1millionhitsinamatterofdays.Whilenoone
canconfirmtheidentityoftheCEO,ithasaremarkable
likenesstothecurrentCEO.
04/19
01:05PM
04/19
09:30PM
04/20
12:03PM
Caitlinviaemail
04/20
12:54PM
Jena,viaemail
4/2010:45
PM
4/21
9:57AM
4/21
1:23PM
4/21
1:23PM
4/21
3:07PM
Ed,viaemail
Amy,viaemail
Chloe,viaemail
Chloe,viaemail
Caitlin,viaemail
PeoplearenowtweetingabouttheGirlsGoneWildincident.
Andthiseventhasmadeitselfinthenightlyentertainment
worldbyhittingDavidLettermanstop10.
RumorsarenowcomingoutthatKohlsmaybegoingunder
andbeingboughtoutbyacompetitor.
TheresbeenanarticleintheNewYorkTimesclaimingthat
JCPenneysnewpricingstrategyhasbeenhurtingKohls
saleseversinceitwentintoeffect.
AgroupcalledtheKohlsLiberationArmydressedin
JCPenneysclothingandhats(JC)ispicketingoutside
severalKohlsintheMidwest.ThesignssayLiberate
YourselffromKohlsOppression.
TheKohlsLiberationArmy(KLA)hassetupawebsitewhere
disgruntledemployeesandcustomerscanposttheir
grievancesaboutKohl's.
TheKLAwebsitehasbeenoverwhelmedwithhitsand
temporarilyshutsdown.
TheKLAwebsiteisbackupandrunning.
4/21
3:07PM
4/21
4:41PM
4/21
11:25PM
4/21
11:25PM
4/22
10:24AM
4/22
10:24AM
4/22
11:02AM
4/22
11:59AM
04/22
01:01PM
Caitlin,viaemail
LocalChicagonewsstationshavestartedcoveringthe
picketingattheKohlsstores.
Jena,viaemail
ReportersinGreenBayhavetriedtointerviewthe
protestersbutallanyonewillsayoncameraisKohlsmust
stoptheoppressionofworkersandcustomers.Gotoour
websiteatKohlsliberationarmy.com(Notetogroup:Thisis
notarealsitebutassumeitis.)
Amy,viaemail
TheKLAmanifestosuddenlyappearsontheirwebsite
detailingtheirgrievancesandencouragingeveryconsumer
tostopbuyingtheirproducts.Themanifestoincludesthe
followingdemands:1)Stoplyingtoconsumers,2)Haltthe
useofslavelaborinCambodia,3)FreetheKohlsworker
slaves,4)Ceasefundingantiunioncauses,,5)Endthegreed
Amy,viaemail
TheKLAcontinuesprotestattheWestsideGreenBaystore
forthe2ndday.
Ed,viaemail
Withcamerasrollingaroundthenation,KLAprotesters
(wearingclothingfromPenneys)entertheKohlsstore
(protestsignsleftoutdoors).
Ed,viaemail
TheKLAmembersmillaroundstoresforaboutanhour.
Raquel,viaemail
Atprecisely3p.m.CSTalltheprotestersstripofftheirfirst
layerofclothingtorevealatshirtsaying,KohlsLiberation
Army(KLA.org).Camerasarerollingwithlaughterallaround.
Theprotestleaderreadsashortastatementinthestore
saying:TheKLAdemandsthatKohlsmeetourdemands
andpassesoutwrittencopiesofthedemandsfromthe
websitetoreporters
Amy,viaemail
Chloe,viaemail
Kohlsstoremanagersatvarioustimesstartaskingthe
protesterstoleave.Mostdo.Somedontandthepoliceare
calledtoescorttheprotestersoutofthestore.
AnargumentbetweentheGreenBaystoremanagerand
protesterensues.AllofthisiscaughtonTVcameras.The
situationescalates.
ThenationalFoxNewscarriestheargumentintheGreenBay
storelive.TheNewYorkofficesofFoxareinundatedwith
pressreleases,emails,andtweetsfromKLAmembers
detailingtheirgrievances.Somegetreportedduringthelive
dramaintheGreenBaystore.
6
04/22
02:07PM
04/22
02:07PM
04/22
04:09PM
04/22
04:09PM
Jena,viaemail
Jena,viaemail
Ed,viaemail
Raquel,viaemail
ThingscontinuetoescalateintheGreenBaystoreandmore
policearerushedtothescene.Theprotestersreenter
thestoretoprotecttheirleader.
Shoutingisheardaroundthestoreasemployeesconfrontthe
protesters(wearingKLAtops).Ashotisheard.People
scurryoutofthestoreorhidebehindracksofclothes.
LocalGreenBaymediahasreportedthatWestsideKohls
hasmovedtolockdownmode.
TheGreenBayStoreManager(TimMeyerisky)hasagunto
theheadoftheKLAprotester.Hesays,Everyonegetoutof
mystoreorIllkillhim.Noonemoves.Hefiresanothershot
intotheairandinadvertentlywoundingahiddenKLA
protestor.Peoplewarilymoveoutofthestoreincludingthe
police.TheentireincidentwascaughtonliveTVandhasgone
national.
TheGreenBaypolicenowdeemthisahostagesituation.In
fact,TimMeyerisky,hasdiscoveredthreeotherKLA
protestersandhastakenthemhostageaswell.Thestoreis
completelyemptyexceptforthehostagesandthemanager.
04/22
05:02PM
Caitlin,viaemail
Variousnationalnewsagencieshaverequestedinterviews
withKohlsspokespeople.
04/22
10:02PM
All,viaphonecall
Shotswereheard.AmaleKLAmemberstaggersoutanddies
inthearmsofapoliceofficer.ThisisallcaughtonliveTV.
All,inperson
Thehostagesituationisover.Thehostagetakerisnowin
custody.Therewerenomorecasualties.
04/24
8:30
Research
Tobeginourresearchwecompiledalistof100factsaboutKohlsCorporation,whichyoucan
findinappendixA.Otherresearchweconductedwasasurveyandgatheringinsightonvarious
companies,televisionshowsorpeoplethatwereceivedcluesabout.Belowyouwillfindsome
ofthisresearch.
Survey
OncewehadamindsetaboutwhatKohlsstandsfor,wewantedtotakeadeeperdiveinto
whatKohlscustomersthinkofthecompany.Todothiswesetupanonlinesurveyandsentit
outtopeople,73peopleendedupcompletingthesurvey.Forafulllistofquestionsandsurvey
resultsseeAppendixB&C.
GirlsGoneWild
GirlsGoneWildisanamateurpornographicfranchisecreatedbyJoeFrancisandfirstdebuted
in1997.MantraFilmsistheproductioncompanythatendorsesthefilms.Filmscenteron
young,attractivefemalesexposingthemselvesandengaginginsexualactivities.Annualsales
fortheover100videosareapproximately$40million.Toprotectthemselves,thecompany
requireswomentogiveverbalconsentwhilethecameraisrunningorsignaconsentform.The
companywassuedforfailingtomaintainrecordsfortheageofitsparticipantsin2006andhas
beensuedmultipletimesfordamagesfromparticipants.
PerezHilton
PerezHilton.comistheleadingcelebritygossipblogaveraging300millionhitsamonth.Forbes
MagazinenamedPerezHiltonthenumberonewebcelebritythreeyearsinarow(20072009).
Perezconsidershimselfagossipgangsterandthequeenofallmedia.Thesourcesheuses
mostoftenarehisfriendsandalthoughheadmitstobeingwrongaboutpostseveryonceina
whilehesayshehasneverfabricatedanystoryandisalwaysconfidentinhisposts.
DavidLettermenShow
TheDavidLettermenShowhasbeenonairsince1993.ItisaCBShourlong,weeknightcomedy
andtalkshowbasedinNewYorkCity.TheshowhaswonninePrimetimeEmmyawardsand
wasnominatedasFavoriteLateNightTVHostbythePeople'sChoiceAwardsin2012.His
nightly"Top10"isafanfavoriteandalsowhatheisbestknownfor.The"Top10"ispostedin
thenewspaperthenextday.
NewJCPenneys
Recently,JCPenneyshasgainedanewCEO,RonJohnson.Hebroughtwithhiminnovative
knowledgeandanewstrategytoreinventthecompany.Thisnewstrategyincludesdropping
promotionsandimplementingamoresimplepricingstrategyincludingrenamingclearance
priceditemsto"bestprice".Thecompanyhasalsomadenewdesignersandproductsapartof
theJCPenneysfamily,includingMarthaStewart.With$50millionofRonJohnsonsownmoney
investedintothisrevitalization,expectationsarehigh.
CEOSuccession
WhenchangingCEO'sinacompanyoneofthemostimportantfactorstoconsiderisinforming
theimportantstakeholdersincluding:theboard,theoutgoingCEO,membersofthetop
managementteam,shareholdersandtheincomingCEO.SeventypercentofincomingCEOsare
selectedfrominternally.CEOsuccessioncaneithercreatesubstantialmarketvalueor
completelydestroyit.
Fortune500CompanyStandards
ThelistofFortune500companieshasbeenpublishedbyFortuneMagazinesince1963.Only
companiesthathavestocktradedonthestockexchangeareeligibleforthelist.These500
companiesareAmericasmostpowerfulandprofitablegeneratingbillionsofdollarsin
revenue.Thingsotherthanrevenuealsofactorintothelist,suchasemployeetreatment,
attitudeandtheironlinepresence.
10
SummaryofCrisisAssessment
Thefirststepinanycrisisassessmentisscanning.Whilescanningyoumustmonitorevery
outletthatacrisiscoulddevelop.DuringourtimeofworkingwithKohlswewatchedmany
outletsforanyuprisingcrisesthatwouldsurface.Wecarefullywatchedsocialmedia,including
FacebookandTwitter.Theimportanceofkeepingupwiththeconversationonthesemediums
iscrucialbecauseacrisiscouldarisefromthesmallestpostorpoke.Itisalsoimportant
becausenewsspreadsquicklythroughtheseoutletsandasacompanyKohlsneedstobeapart
oftheconversationfromthestart.
Anothermediumwemonitoredwasstock,salesandfinancialreports.Wecloselywatched
thesereportstomakesurethattherewerenooutlyingdownfallsthatcouldleadtoacrisis.By
readingthecurrentKohlsfactbookprovidedonwww.kohlcorporation.com,wehadtheability
tounderstandthenormalfinancialsituationsKohlsencountersalongwithothertopicsand
concerns.
AtoolthatwasvaluabletokeepupwiththeconstantmovementoftheinternetwasGoogle
Alerts.Usingthisallowedustogetupdatesonthemostcurrentanduptodatebuzzaboutthe
KohlsCorporation.
Whenlookingatallthepossiblecrisesthatcouldoccurwecreatedariskgridtoplotallpossible
categoriesofcrisesduringourprecrisisphase.LocatedinourCrisisManagementPlan,the
possiblecrisisriskgridhas40plots,withcategoriesofreputation,event,financial,industry,and
personnel.
AlsolocatedinourCrisisManagementPlan,isariskgridofourtop10possiblecrises.Inorder
tofindourtoptencrisesweanalyzedeachofthe40bythelikelinessmultipliedbyseverity.
11
ThischartislocatedinAppendixD.Uponfinishingthischartweeasilyfoundourtop10most
likelyandseverecrisesandplottedtheminariskgridtovisuallyseewhatquadrantstheywere
in.Fromthisanalysiswefoundourtoptencrisestopicswereasfollows:productrecall,cyber
attacks,customersatisfaction,stakeholderrelations,stock,naturaldisasters,weaponsinstore
(withintenttouse),badmarketing,informationfraud,andethics.
ProductrecallisanobservablebutnotcontrollablesituationwhichiswhyitisinquadrantIV.
Whendealingwithaproductrecallyouneedtomakesurethatyougivepeopleallthe
informationtheyneedtounderstandandknowwhattodowiththeproducttheyhaveandthe
concernswithit.Tomakeitcontrollableacorporationshouldprepareforproductrecallsby
knowinghowtoeffectivelyhandlethem.
CyberattacksareveryobservableeventsbutnotusuallycontrollablesoitisinquadrantIVas
well.Withcyberattacksitvariesonhowyoushoulddealwiththem.Basedonwhatchannel
theattackisonyoushouldrespondtotheattacksonthatsamechanneltocontrolthemtothe
bestofyourability.
Customersatisfactionisasituationthatiscontrollableandismostofthetimeobservable.
Whileyoucantrainforcustomerserviceandhaverulesregardingit,itmaynotalwaysfollow
thebook.Issuescanariseandwhentheydotheycanbedamagingifnotcaredforproperly.
Whilethiscouldbehurtfultothecompanythisisanoccurrencethatdoesnttakeatollon
peopleasmuchasotherswhichiswhyitisinquadrantI.
Stakeholderrelationsareanothersituationthatdependscasebycaseonhowitislabeledand
howintensethesituationis.Mostofthetimeitwillbeobservableandcontrollableand
12
becauseofthatitisplacedinquadrantI.Whilestakeholderrelationsarecrucialtoacompanys
success,itisalsoasituationthatiseasilymanageable.
StockisatopicthatwasplacedinquadrantIIIbecauseitisnotcontrollablenorisitobservable.
Whenstocksmovepeopleareonedge,especiallyiftherearefinanciallyinvolved.
NaturaldisasterswereplacedinquadrantIVbecausetheyareveryobservablebutnever
controllable.Eachnaturaldisasterisdifferentanddealingwiththisasacompanyisstressful
butdoesnttakeatollonyourreputationunlessmanagedinappropriately.
ThecrisisinvolvingweaponsinstorewiththeintenttousewasplacedinquadrantIV.The
reasoningforthisisbecauseitisacrisisthatisveryobservablebutnotcontrollablemostofthe
time.Eachcaseforthiscrisiswouldbehandledalittlebitdifferently.
Badmarketingisacrisisthatiscontrollablebutnotalwaysobservablewhichiswhyitisin
quadrantII.Asabusiness,youcontrolwhatisbeingmarketedasyourmessage,butyoucannot
seerightawayhowitisbeinginterpreted.
InformationfraudwasplacedinquadrantIIIbecauseitissomethingthatnotobservablebutis
controllable.Whendealingwiththiscrisisyouarefightingthetrustbattlebecausepeople
cannotphysicallyseeanythingaboutit.
Ethicswasaverybroadcrisisforustoplace.WeplaceditinquadrantIIbecausemostofthe
timeanethicscrisiswascontrollablebutnotobservable.Wethoughtitcouldflexinandoutof
thequadrantdependingonthespecificcrisisbutthiswasthecasemostofthetime.
Wedecidedtoplacethesepotentialcrisesinthisorderbasedonourequationimpact
multipliedbyseverityequalsrisklevel.Wechosetoanalyzetheseinthiswaybecauseitisthe
bestwaytodefinerisk.
13
AudienceAnalysis
Indeterminingwhichaudiencesweneededtospecificallytargetduringacrisis,wefirstneeded
toknowwhoallofouraudienceswere.Therefore,wedevelopedanaudienceanalysischart
detailingthelionswithinthoseaudiences,theeffectthoseaudiencesmayhaveonthe
company,thechannel(s)weshouldusetocontacteachaudience,thebeliefsofeachaudience
andwhatwethinktheyalreadyknow,resistantpointswithineachgroupandfinallytheoverall
goalseachaudiencehas.(ForanoverallaudienceanalysisseeAAchartinappendixE.)
Infurtherresearchwelookedintofivespecificaudiences.Wechosethesebasedonwhatwe
feltwerethemostinfluentialaudiencestothecompany.Firstwelookedattheshareholdersof
thecompany.Wedecidedtheywereimportantbecausetheyownpartofthecompanyand
helptoupholdKohlsgoodname.Ourconcernsforthestakeholdersduringthiscrisisincluded
receivingrevenueoffoftheirinvestmentsandmakingsuretheystillfelttheywereinvestingin
anethicalcorporation.
NextwewereconcernedaboutthecustomersbecausetheyhelptokeepKohlsstoresin
operation.Ourconcernswiththisaudiencewerecontinuingtocarryaffordableandquality
productsandcontinuetomaketheshoppingexperienceatKohlsconvenientandenjoyable.
ThirdlywewereconcernedwithKohlssuppliersandbusinesspartners.Thiswasapointof
concernforusbecausewewantedthemtoknowtheywereinvestedinanethicalcorporation
whilestillmaintainingthatfinancialgainwiththecompany.
Next,wewereconcernedaboutourrelationshipwiththemediabecausetheyaresuchan
importantpartofthewayKohlscommunicatestothepublic.Mediarepresentgatekeepers;
thereforeweratedthemhighonourlistofaudiencestobeconcernedwith.Finallywewere
14
alsoconcernedwithourowninternalaudience.KohlsCorporationwantstokeepitsemployees
informedaswellasmakingthemfeelthattheyareworkinginasafeandfriendlyenvironment.
(ForamoreindepthprimaryaudienceanalysesseeBasicStakeholderAnalysischartAppendix
F.)
15
CEOGoneWildCrisis
SummaryofEvents
WefirstbecameawareofthiscrisisviaPerezHiltonbloggingthatKohlsCEOalongwithother
largecorporationsCEOswerefeaturedinaGirlsGoneWildvideoonApril19,2012.Laterthat
evening,thevideoonYouTubereceivedover1millionhitsandTwitterexplodedwiththetopic.
Thefollowingday,duetothepopularity,thevideoisfeaturedonDavidLettermansTop10.
RefertoAppendixGforacompletetimelineofevents.
Business&CommunicationGoal
Afterbecomingawareofthisincident,weformulatedbusinessandcommunicationgoalsto
consideraswedevelopedourstrategyandactionresponses.Themainbusinessgoalwasto
maintaintheintegrityofKohlsCorporationandtoreiteratethatKohlsisafamilyorientated
brand.Inordertodothis,wecreatedacommunicationgoalforthepublic,especiallythe
stockholderstoseethatleadershiproleshavebeenestablished.
StrategicOptions
InordertoreducereputationaldamageoftheKohlsCorporationwedecidedtofocusmainly
onthewhobyisolatingtheperpetratoranddistancingCaitlinfromtheKohlsbrandassoonas
possible,sinceheractionswerenotinaccordancetotheKohlsmissionstatement.Wealso
focusedonthewhatbypublicizingourcorrectiveactionsthatsetacorporationstandard.
16
ThiscrisiswouldbeconsideredamisdeedwhereKohlsCorporationtookfullresponsibility.
KohlsCorporationwasaccommodative,providingafullresponsibility.(SeeappendixH)Onthe
messagestrategycontinuum,ourchoiceforresponsewouldbeconsideredidentify&reply.
Wedeterminedourmajoraudiencesforthiscrisiswerestockholders,thegeneralpublic,Kohls
employeesandmedia.Toevaluatewhattheaudienceswantedtoknowandwhatwewere
willingtosharewiththem,wecreatedaVenndiagram(SeeAppendixI).
WhilerespondingtoanyquestionsinvolvingtheCEOscandalwewantedtostrategicallyavoid
usingCaitlinsname.Instead,wewouldrefertoherasourformerCEO.
ActionResponses
AfterbecomingawareoftheCEOGoneWildVideo,ourfirsttacticalresponsewastofindoutif
theCEOdidinfactparticipateinGirlsGoneWildinthepast.Oncewefoundtheallegationto
betrue,shewasaskedtoresignandaccepted.Immediatelyafterherresignationwasfinalized
anannouncementwasmadetothetopmanagementandshareholders.
InordertoseparatethenewlyresignedCEOfromKohlsCorporation,shetweetedanapology
viaherpersonaltwitteraccount.Toreiteratehowsorryshewasshealsoapologizedthrougha
videouploadedtoYouTube,thesamechannelthatmademanypeopleawareofthescandal.
ThisvideodidnotincludetheKohlslogointhebackgroundtostrategicallydistancetheCEO
fromKohls.
Afterthevideoandtweetwerereleased,wemadeamediarelease(seeAppendixJ)and
statementavailableontheKohlswebsiteanddirectedanyreporterstothewebsiteforthat
17
information.However,oncethevideowasfeaturedonDavidLettermanstop10werealized
theeventwasmuchlargerthanweanticipatedandamediareleasewasemailedtoallmajor
newstationsannouncingthenewJenaasthenewCEO.
18
FinancialCrisis
SummaryofEvents
Ourfirstalertofthisfinancial/rumorcrisiswasaspeculationarticlethatappearedintheNew
YorkTimesonApril20,2012claimingthatJCPenneysnewpricingstrategyhasbeennegatively
impactingKohlssalessincegoingintoeffect.Thisarticlewasquicklyfollowedbyrumors
circulatinginternallyandexternallythatKohlsmaybeboughtoutbycompetitorsorbegoing
under.RefertoAppendixKforcompletetimeline.
Business&CommunicationGoals
Whileconsideringourstrategicoptionsandactionresponsesforthefinancial/rumorcrisis,
KohlsCorporationkepttheirbusinessandcommunicationgoalsinmindduringtheprocessof
alldecisionmaking.Ourbusinessgoalforthiscrisiswastomaintainstockvaluedespiterumors
circulating.Inordertodothis,weenactedacommunicationgoalforstockholderstobe
reassuredofKohlsfinancialsoundness.
StrategicOptions
Thiscrisiswouldconsistofweakcrisisresponsibility,asitwasbasedaroundrumors.Therefore
ourteamsnecessaryresponsewasoneofdefenseanddenial.(SeeAppendixH)Inorderto
presentthenecessaryinformationandmaintainstockvaluebyreassuringKohlsstockholders,
theCrisisManagementteamisolatedthespecificstrategicoptionoffocusingonthewhatof
theissuebydenyingtheallegations.TheallegationsmadeintheNewYorkTimesina
speculationarticlewerenotbasedonfact.Thisarticlecausedrumorstocirculate.
19
Inourresponseactionsasacorporationandcrisismanagementteam,wewanttostrategically
targettwoaudiences:shareholdersandmedia.Shareholdersaregoingtobemostconcerned
aboutthefinancialstandingofourcorporationandmediaisagatewaytosharingthe
informationwithaplethoraofaudiences.Otheraudiencesincludeinternalaudiences
(employees)andbusinesspartners(suppliers,etc).Toanalyzewhatstakeholderswouldwantto
know,incongruencywithwhatwewouldwantthemtoknowwecraftedaVenndiagram(See
AppendixL).TheKohlsCrisisManagementTeamstrategicallychosetoidentifyandreplyinthis
crisis.KohlsCrisisManagementTeamidentifiedtheallegationscirculatingaboutKohls
Corporationsfinancialstate,andthenaddressedtheseallegationsandconcernswitha
strategicreply.
Whenrespondingtoclaims,wealsowantedtopurposefullyavoidanyconnectiontothe
competitormentionedinthearticle,JCPenneys.Toaccomplishthis,ouractionresponses
avoidedanymentionofthecorporationbynameorasacompetitor.Instead,wechosetouse
thephrasecomparablestore.
ActionResponse
TobestdenytheallegationsofKohlsgoingunderorbeingboughtoutcreatedinthiscrisis,our
CrisisManagementTeamusedspecificsalesdata.ThisspecificdatareleasedincludedMarchs
salereports,reportsofphysicalexpansioninthemonthofMarch,andyeartodatesalesof
bothKohlsandacomparablestore.Thisinformationwasreleasedviaamediarelease(see
AppendixM)andwasalsoemailedtoshareholders.
20
TheCrisisManagementTeamwasalsoequippedwithmediaconferenceblurbs(seeAppendix
N)onthistopicandotherstoreferenceatthemediaconferencethatfollowedthiscrisis
addressingtheKLAattacks.Theseblurbswerestandasaquickreferenceguideofdataifmedia
weretobringupthiscrisis.
21
KohlsLiberationArmyCrisis
SummaryofEvents
Note:ThetimingofeventsisnotdependentonthetimesinwhichKohlsCorporationreceived
clues.Inordertomakesenseofthesituationandtoreactinatimelymanner,thetimeframeof
eventshasbeenindependentlydeveloped,unlessstatedotherwise.
TheKohlsLiberationArmyIncidentwassplitintotwoseparatetimelines:1)PreViolenceand
2)Violence.Theseparatetimelinesmarktheturnofeventswhenapeacefulhappeningbecame
ahostagesituation.
KLACrisisPreViolenceTimelineofEvents
OnApril21,2012agroupcalledtheKohlsLiberationArmy(KLA)beginspicketingoutside
severalMidwestKohlsstoreswithsignsthatstateLiberateyourselffromKohlsOppression.
KohlscontactstheirCrisisManagementTeamtoalertthem.TheKLAsetsupseveralwebsites,
KLA.organdKohlsliberationarmy.com,wheredisgruntledemployeesandcustomersposttheir
grievancesaboutKohls.KohlsCrisisManagementTeamcontactstheirlegalteamregarding
takingdownthewebsite.TheKLAwebsitesshutsdownforanhourduetothenumberofvisits
thewebsitereceives.Soonafter,localChicagonewsstationsbegintocoverthepicketingat
theKohlsstores.ThesereportersattempttointerviewtheKLAprotestorsbuttheonly
statementstheyreceiveare:Kohlsmuststoptheoppressionofworkersandcustomers.Goto
ourwebsiteatKohlsliberationarmy.com.
22
TheKLApostsamanifestoontheirwebsiteswithfivedemands:1)Stoplyingtoconsumers,2)
HalttheuseofslavelaborinCambodia,3)FreetheKohlsworkerslaves,4)Ceasefundinganti
unioncausesand5)Endthegreed.
TheprotestsatwestsideGreenBaystorecontinuesforasecondday,camerasfromallover
thenationarecoveringtheKLAprotestorswhowearclothesfromJCPenneys.Theprotestors
enterthestoreandmillaroundforanhour.Atprecisely3p.m.CSTprotestorsinsidethestore
stripofftheirfirstlayerofclothinginordertorevealtshirtsstatingKohlsLiberationArmy
(KLA.org).Theleaderoftheprotestorsreadsastatementsaying,TheKLAdemandsthat
Kohlsmeetsourdemands.Theprotestorsthenpassoutwrittendocumentswiththe
manifestotoreporters.Atthispoint,theKLAhaveillegallyenteredthestoreandpassedout
writtendocumentswithouttheconsentofemployeesanddisturbingthenormaloperationsof
thebusiness.Kohlsstoremanagersaskprotestorstoleave.Mostofthemdo,butseveral
protestorsdidnotcooperateandthepolicearethencalledtoaddressthesituation.
Anargumentbetweenastoremanagerandanuncooperativeprotesterensues.Thisargument
iscarriedliveonFoxNews.FoxNewsofficesarefloodedwithtweetsandemailsfromtheKLA
withtheirKohlsgrievances.Someofthesegrievancesarereportedliveonair.(SeeAppendixO
forcompletetimeline.)
KLAViolenceTimelineofEvents
Protestorsreenterthestoreinordertoprotecttheirleaderduringtheargument.Ashotis
heardandthewestsideGreenBayKohlsisannouncedasunderlockdown.TheCrisis
23
ManagementTeambeginstoplanforamediaconference.Thestoremanager,TimMeyerisky,
holdsaguntotheheadofaKLAprotestorandshouts,EveryonegetoutofmystoreorIllkill
him.Everyoneclearsthestoreincludingpoliceofficers;allthatremainarefourhostages,
includingonewhowasinadvertentlywounded,andTimMeyerisky,thehostagetaker.The
actionhasnowgonenational.TheGreenBayPolicenowdeemthisasahostagesituation.
ManynationalnewsagenciesrequestinterviewswithKohlsCorporationspokespeople.
ShotswereheardandamaleKLAmemberstaggersoutofthestore,dyinginthearmsofa
policeofficeronnationallivebroadcasting.(SeeAppendixPforacompletetimeline.)
BusinessandCommunicationGoals
KohlsCorporationprovidedtwomainbusinessgoalsduringthisincident.Thefirst,toshow
thatthesafetyofallpartiesinvolvedisKohlstoppriorityandsecond,toexpressconcernfor
familiesandfriendsofthevictimandthosestillinvolvedinthehostagesituation.
KohlsCorporationsbusinessgoalsarereflectedintheircommunicationgoalsofbeinghonest
incommunicationstothepublicandmaintainingopenfeedbackchannels.Bydoingthis,Kohls
canrestorestakeholderstrustinthecompanywhichisavitalcomponenttothereputation
andsuccessofacompany.
CoreMessage
Ahighqualitycoremessageisanaidtohandlinganycrisis.Ahighqualitycoremessageis
memorableandactionable.KohlsCorporationcoremessageincludesthreefocalwords:safety,
concernandrefinement.KohlsCorporationaccentuatestheircommitmenttothesafetyof
24
theircustomersandemployees,expressesconcerntofamiliesinvolvedinthetragedyand
reiteratesthattheywillrefinetheiremployeehiringmethodsandsafetyprocedurestoavoid
theeventfromevertakingplaceagain.Thiscoremessagewaschosenbecauseitisunpack
able,meaningthatitiseasilyunderstandable.Eachfocalpointislinkedtotheothermakingit
bothenduringandcomprehensive.Equallyimportantistherepetitionandredundancyofthe
coremessage.Byrepeatingthecoremessage,KohlsCorporationcanillustrateconfidencein
theirdecisions.
ShapingMemories
KohlsCrisisManagementTeamworkeddirectlywiththeGreenBayPoliceDepartmentinthis
crisisasameanstohavethebestoutcomeofthiscrisis.ThisbenefitedKohlsCorporationby
showingthepublicthatKohlsCorporationnotonlycooperateswithlawenforcementbutalso
workswiththemasateam.Thisdisplaysasenseofsafetybyboththephysicalpresenceofa
publicinformationofficerandthesettingofthemediaconferenceinthepolicedepartment
headquarters.Wordassociationthatapoliceofficeroftenfallsunderissafetyorhero.
Thesewordsareincrediblyvaluableintheeventofaviolentcrisissuchasahostagesituation.It
isimportantthatKohlsmanagestodomorethanstatethatsafetyisimportantbuttoshow
thatitis.Byworkingalongsidepoliceofficers,thevalueofsafetycanbereflectedinKohls
Corporationsactions.
TheaudiencereachforthiseventwasverywideduetotheKLAincidentbecomingnationallive
news.Fromthis,itcanbeinferred,thatthemajorityofthepubliceyewillshapeamemory
fromthisevent.ItisimportantthatKohlsCorporationhandledthecrisiseffectivelyby
25
maintainingcompanyvaluesandaddressingstakeholderconcernsappropriately.Bydoingso,
KohlsCorporationmayexpectpositivemediaheadlines.KohlsCorporationhopestosee
headlinessuchasKohl'sMakesSafetyaTopPriority,Kohl'sExpressesConcernforFamilies
InvolvedinTragedy,andKohl'sCrisisResponsesProvideNewGuidelinesforFortune500
Companies.
StrategicOptions
KohlsCorporationsstrategiesaretheorganizationsoverallplantoachievebusinessand
communicationgoals.Strategieshaveseveralchoicesincludingstrategicoptions,information
disclosure,wordchoiceandtheamountofresponsibilitythatanorganizationtakesforacrisis.
KohlsCorporationdecidedtofocusonawhatstrategicoptionbyshowingconcernforthe
tragicloss.Thisistheprimarystrategicoptionbecauseitalignswithcompanyvalues.Kohls
Corporationalsofocusedonawhostrategicoptionbyisolatingtheperpetratorinorderto
distancethecompanyfromtheperpetratortherebylimitingassociationbetweenthe
perpetratorandthecompany.KohlsCorporationalsochoseawhatstrategicoptionby
focusingonthefuturesoastokeephighexpectationsforallstakeholdersincluding
stockholders,employeesandcustomers.Moreover,KohlsCorporationselectedawhat
strategicoptionbyavoidtheuseoftheKLAorganizationsname.Doingsoreducesthe
associationoftheorganizationwithKohls.Thisisimportantbecausetheorganizationuses
Kohlsinthetitleoftheirname.
KohlsCorporationchosetousetheidentifyandreplystrategybyidentifyingkeyconcernsand
addressingthem.ItplacesstakeholderconcernsasatoppriorityforKohlsCorporation.By
26
usingtheidentifyandreplyapproach,KohlsCorporationcanlegitimizeanddelegitimize
stakeholderconcernsincludingsafety,stockvalueandethicalpractices.
Usingwordsstrategicallyisacriticaltoolwhencommunicatingwiththemedia.Wordsarenot
createdequally.Wordconnotationandinterpretationcandifferevendowntheverysynonym
ofasentence.Byprovidingwordsthathavelessnegativeconnotationsassociatedwiththem,
themessagethatthepublicreceivesismorelikelytocarryapositiveorhopefuloutlook.All
wordschosentobeutilized/avoidedbyourcrisismanagementteamcanbefoundinAppendix
Q.
Duringthemediaconference,KohlsCorporationchosetoavoidwordssuchasactive
shooter,whichinstillsfear,andreplaceditwiththewordshostagetaker.Referringtothe
hostagetakerasamanagerreducestheaudiencereachandassociationthatthehostagetaker
isinaleadershippositionatKohlscorporation.
TheKohlsLiberationArmy(KLA)wasreferredtoatthemediaconferenceasanorganized
groupinordertoreducetheassociationbetweentheKLAandKohls,particularlybecause
KohlsCorporationisinthetitleoftheorganizationsname.
Emphasizingthattheeventisarareanduniquecircumstanceisimportantsothatcustomers
willfeelsafetoshopwithKohlsCorporation.Itisvitaltoavoidthewordssuchascrazyor
snappedwhenreferringtothehostagetaker.Itisimportanttokeepinmindthatthehostage
takerhastherighttoafairtrialandisinnocentuntilprovenguilty.Jumpingtoconclusionsor
pointingfingerswillreflectpoorlyonKohlsCorporation.Instead,itisnecessarytodistancethe
27
perpetratorfromtheorganizationinordertoprotectthecompanysreputation.Usingthe
wordscrazyorsnappedalsosuggeststhatthiscouldhappenagainatanytimebecauseitis
relatedtoemotion.Whileitispossiblethatthiscouldoccuragain,itisincrediblyunlikely.
Highlightingtherarityofthesituationandrephrasingquestionsfromreporterswillprotect
KohlsCorporationsreputationandinturnsalesandoverallsuccess.
Ineverycrisis,anorganizationhasseveralstrategicresponsestotheycanchoose(See
AppendixH).Theresponsesrangefromtakefullresponsibilityofacrisistodenyingorattacking
apersonorgroupthathasexaggeratedanorganizationinvolvementinaparticularissue.Inthe
KLAcrisis,KohlsCorporationchosetotakestrongresponsibilityofthecrisisbecausethecrisis
occurredduetoanemployeesmisdeed.Whilelimitingthehostagetakersassociationwith
KohlsCorporationisideal,someassociationisboundtooccur.KohlsCorporationwillnottake
responsibilityofthecrisisitselfbutinstead,oftheconnectionbetweentheemployeeand
KohlsCorporation.
KohlsCorporationdecidedtotakecorrectiveactionsoastomendthedamageandtoprevent
thecrisisfromreoccurringinthefuture.KohlsCorporationdoesthisbyworkingdirectlywith
theGreenBayPoliceDepartmentandreiteratingthereevaluationofhiringprocessesand
safetyprocedures,makingitcleartothepublicthatsafetyisKohlsnumberoneconcern.
Measuringthereputationofanorganizationpriortoanycrisisoccurringwillhelpdetermine
howwellanorganizationwillrecoverfromacrisisandhowtheyshouldrespond.Playingtothe
goodwillofthepublicisinstrumentalwhenrespondingtocrisis.Ifacompanyisviewed
favorably,thentheyhaveamuchhigherlikelihoodofrecovery.Howacompanyreactstoa
28
crisismustbedonestrategicallyinordertoprotectthereputationofanorganization.
Customersarethelifelineofanorganizationduringcrises.Showingthatcustomersafetyisa
topprioritywillencouragethepublictostepforwardinthecompanysdefenseifever
necessary.
ActionResponse
ThepolicewerecontactedbytheCrisisManagementTeamupontheentranceoftheKLA
protestorsintothewestsideGreenBay,WIlocation.AfterbecomingawareoftheKLAsfirst
website,ourtacticalresponsewastocontactourlegaldepartmentinordertounderstandthe
legalimplicationsbetter.Potentialoutcomeswouldincludeabilitytodemandthesitebe
removedduetoinfringementand/orrequesttothewebmastertoremoveit.Thesamesteps
weretakenafterrecognitionofasecondKLAsponsoredsitebecamepublicizedandbroughtto
ourattention.
Inordertofurthercombatthenegativeeffectsofthissite,whichwasreceivingnegative
comments,weplannedtoreinforceandheavilypromotetheKohlsCorporationsponsored
feedbackchannelsavailabletoourcustomerstovoicetheirgrievances.Thesechannelsalready
inexistencetocollectresponsesincludeTwitter,Facebook,customerservicehotlines,email,
andtheKohlswebsite.TorespondtothenegativeemployeefeedbackcollectedontheKLA
sponsoredsites,Kohlswillenactemployeeintranetonwhichtoexpressconcerns.These
platformsifusedcanallowbettermentofthecorporationandreducenegativefeedbackin
uncontrollableenvironments.
29
Wereleasedabasicstatementtothemediaat3:30PMafterviolenceoccurredinthestore.
Releasingastatementatthistimeallowedthemediatoairthestatementduringthe6p.m.
news.ThisstrategicallyallowedKohlstoprovideinputforthesituationandthereforethe
mediawouldnotcompletelyrelyingonothersources,suchastheKLAprotesters.The
statementreadasfollows:
WestsideGreenBayKohlsstorewasevacuatedat3:15p.m.todaybypolicewhenagunshot
washeardduringanunannouncedinstoreprotest.Thestorehasnowgoneintolockdown
mode.Kohlshasaresponsibilitytothesafetyofthoseinsideourbuildingsandwecareabout
thewellbeingofallpartiesinvolvedinthisincident.Pleasestandbyforadditionalinformation
regardingamediaconference.
Afterissuingastatementtothemedia,KohlsCrisisManagementteambeganplanningamedia
conferencetoaddresstheongoinghostagesituation.Thisplanningincludedthesendingofa
mediarelease(seeAppendixR).Thismediareleaseincludedabrieftimelineoftheeventsthat
hadoccurredatthewestsideGreenBaystoreandindicatedtheadditionalconcernsofthe
mediawouldbeaddressedatthemediaconferencetothebestofknowledgeoftheCrisis
ManagementTeamandaslongastheanswerswouldnotcompromisethesafetyofthosestill
inthestore.
Toprepareforourmediaconference,inadditiontoconsideringresponsestotheprevious
crisesandthehostagesituationunderway,ourCrisisManagementTeamprepared
counterargumentstothemanifestopostedtotheKLAswebsite.Wechosetonotdirectly
addressthismanifestoatthemediaconference(orinanothermanner)unlessitwasexplicitly
30
broughtup.WechosethisstrategybecausewefelttheKLAsdemandswerenotbasedinfact.
Wepreparedblurbs(seeAppendixN)torefertoifthesefalsepointsweretobebroughtup
duringthemediaconferencehighlightinginformationincludingKohlsSocialResponsibility
PolicyandotherinformationonKohlsgooddeeds.
ThemediaconferencetookplaceattheGreenBayPoliceDepartmenttostrategicallyand
visuallyrepresentapartnershipwiththeGreenBayPoliceDepartmenttoportrayanimageof
safetyandtrusttoourstakeholders.Mediainattendancereceivedacopyofamediakitthat
included:CrisismanagementTeamContactinformation,informationonthecorporation,and
mediarules(SeeAppendixU).
ThemediaconferencewasopenedandfacilitatedbyAmyManske,KohlsVicePresidentof
PublicandCommunityRelations,amemberofKohlsCrisisManagementTeam.Amybeganthe
pressconferencewithanoutlineofthemediaconferenceandthenintroducedOfficerJon
Eckelberg,thePublicInformationOfficerwiththeGreenBayPoliceDepartmentandEdImmel,
KohlsCorporationsChiefSecurityOfficer.Thesetwogentlementogetherexplainedthe
timelineofeventofthatdayandthenexplainedthemeasuresbeingtakentoensuresafety.
AmythentransitionedthefocusoftheconferencetoKohlsCorporationsnewCEO,Jena
Richterwhothankedstakeholders,expressedutmostconcern,andexplainedthecorporations
stepsforwardfromthetragicevent.Toconcludethemediaconference,Amyfieldedquestions
toappropriateCrisisManagementTeammembers.
Thegoalofthemediaconferencewastoaddressthequestionsofthemediawhileexpressing
thecoremessagesofKohlsCorporationduringthiscrisis.Toevaluatethesecomponents,the
31
CrisisManagementteamanalyzedbothsidesneedswithaVenndiagram(seeappendixS).The
coremessagesthattheCrisisManagementTeamwishedtoexpressincluded:Concern,Safety,
andRefinement.ToshapememoriesofKohlsstakeholders,KohlsCrisisManagementteam
intentionallyemphasizedthosewordsandconceptsandalsocraftedadocumentofwordsto
avoidandwordstoutilizewithinthemediaconference(representedbyappendixQ).These
wordswerechosentoaccuratelydepictthesituation,whileavoidingnegativeconnotations.
KohlsCrisisManagementTeamcreatedalistofheadlinestoideallycomefromthisprocessto
keepfocusontheircoremessage.
ManyofKohlsvaluedemployeeswereaffectedbythisrareandunfortunateevent.Inorderto
providesupportforthesecherishedmembersofourorganization,wewillbeofferingoptional
counselingforemployeesatthewestsideGreenBay,Wisconsinstoreinordermoveforward
fromthistragiceventinapositivemanner.
Movingforward,KohlsCorporationwantstotakefurthermeasurestobestensurethattragic
occurrencessuchasthisdonotoccuragain.Ourcorporationwillbereevaluatingand
revampinghiringprocessesaswellastheCrisisManagementTeamsCrisisManagementPlan,
includingtrainingofemployees.KohlsCorporationstrivesforcontinuousimprovement.
32
ContinuousImprovement
InCircle/OutCircle
Duringacrisissituation,itisimportanttoconsidertheconnotationsofwords.Incraftinga
strategicmessagetoyouraudiencetherearewordsthatyouwantyouraudiencetoassociate
withyourcorporationandwordsthatyouwanttodistanceyourselffrom.Thisletsyouchoose
whatimages,ideas,andwordsyouraudiencewillassociatewithcertainelementsofyour
message.Inhindsight,weshouldhavevisuallypresentedthestrategybehindourwordchoice.
OurchoicescanbeviewedinappendixQ.
FocusontheWho:TraumatizedEmployees
Duringourcrisiswehadmanyemployeesthatwereinthestoreduringthepicketingandwhen
shotswerefired.Whileweincorporatedinouractionplantoprovidegriefcounselingto
affectedemployees,wefailedtomakethemacoreaudienceformakingKohl'sasafeand
familyorientatedplacetoshopagain.
AddressingourAudience:TraumatizedEmployees
Inaddressingthementalstateofouremployeeswewouldutilizeagrieftherapistandhave
mandatorymeetingsforemployeestodiscusstheirexperience.Therewouldbeallowanceof
followupmeetingsaslongastheemployeeneeded.
Thestorewouldnotbereopenedimmediately,astogiveaffectedemployeessometimeoffto
regaintheircomposureandusetheofferedgriefcounseling.Wewouldalsooffersome
33
compensatorypayduringthisdowntimetothosedirectlyaffectedbytheincident.Thiswould
ensurethattheycanrest,lowertheirstresslevelsanduponreturningtoworkbeproductive.
ThesafetyoftheKohl'semployeesisourtopconcern;wewouldaddressanysecurityissuesat
eachoftheKohl'slocations.Wewouldimplementamandatorysafetytrainingprogramto
showouremployeesthattheirsafetyisourtopconcern,butalsohowtoproperlyhandle
stressfulsituationsthatmayarise.
SeparationoftheKLAAttackandtheHostageSituation
OriginallywehadconsideredtheeventsofApril19,2012April22,2012tobeconsidered
threecrises,butafterfurtherconsiderationitisbelievedthatbybreakingtheeventsintofour
crises,wecouldbettercontrolthesituations.ThiswouldinvolveseparationoftheKLAattacks
viapicketers,websites,etc.andthehostagesituation.
CrisisOrder:MostImportanttoleastimportant
OurCrisisManagementTeamhadbuiltaninternalhierarchyoftheimportanceofeachofour
crises.Toclarifyandimproveourmessageweconstructedanumberedlistofourcrisesinorder
ofimportance.Thiswillhelpouraudiencesunderstandouractionprocessandtheimportance
thatweplaceoneacheventthatoccurred.
#1KLAKohl'sLiberationArmy
aEmployeeandPublicSafety(PhysicalandMental)
bConcernforfamiliesandthoseinjuredintheevent
34
cKohl'sCorporationBrandandReputation
dRefinementandcontinuousimprovementofpoliciesinstilled
#2FinancialRumors
aAddressStockholdersandStakeholderstoensurefinancialstability
bEnsurepublicthatwearefinanciallystrong
#3CEOethicalissue
aQuickinternalreplacement(Businesscontingency,reduceslossofstockprice)
bShowstockholdersandstakeholdersthatwehaveacompetentreplacement
bShowpublicthatwearefamilyfocusedandanethicalcompany
RelabelingofCoremessage:FuturetoRefinement
InaddressingthefutureofKohl'sCorporationanditsabilitytoreboundfromanycrisis,itis
importanttoinstillourcoremessagetoouraudiences.Wespecificallychosecertainwords
thatwereunpackabletoeacheventandwereactionorientated.Originallywechosetheword
futureasagenericconceptualoverviewofourthirdcomponentofourcoremessage.We
changedthiswordtorefinement.Thiswordchoiceinstillsthatwearenotchangingourcore
messageandvaluesbutduetoeventswearerefiningourstrategiesandtacticsindealingwith
them.
35
RejectedIdeas
InfiguringouthowtohandleeachofthesecluestheCrisisManagementTeamcreatedalistof
rejectedideasbasedonouranalysisoftheCrisisManagementPlan.Theserejectedideaswere
notutilizedforvariousreasonsincludingethicalreasonsandaneedtoseparateKohlsfrom
misdeeds,etc.
NamingorPicturingtheVictimortheShooter
HavingtheMediaConferenceatKohlsWestnearthescenewiththeactiveshooternear
by
HavingtheMediaConferencesomewhereelsewhereadifferentbrandispromotedi.e.a
hotel
HavingjusttheCrisisManagementTeamsattheMediaConference
HavingarealPublicSafetyofficercomeintoourmockMediaConference
Includingeverythingonatimelineofeventsandreleasingitwhilethehostagesarestill
beingheld
MentioningaKLAmemberastheonewhohadbeenfatallyshot
HavingformerCEOapologizewithKohlslogobehindher
HavingtheoriginalCEOpartakeinthemediaconferenceaftertheCEOsGoneWild
incident
36
Conclusion
TheactionstakenduringthesecrisesbytheKohlsCorporationandtheirCrisisManagement
TeamreflectthevaluesofKohlsCorporationanditsmissionstatement.Theprocessutilized
wastomaintainthemostpositiveimagetostakeholdersduringthecrisesandtomaintain
businessandcommunicationgoalsforproperbusinesscontinuity.Eachcrisiswasresearched
andanalyzedindepthandwhennecessary,acoremessageandidealshapedmemorieswere
formulatedtostrategicallyleadalldecisionmaking.Fromthisprocess,wereceivedvaluable
andfeedbackandinsighttoappropriatelymanagefuturecrises.
37
AppendixA:100Facts
1. BusinessIndustry:Retail
2. Slogan:Kohlsexpectgreatthings.
3. Currentworthofstock:
KSS(CommonStock)
ExchangeNYSE(USDollar)
Price$49.05
Change(%)0.83(1.72%)
Volume2,097,936
Dataasof03/08/124:00p.m.ET
4. Kohlsrecentlyopenedeightnewstores,creatingapproximately1,000jobsin
MenomineeFalls,WI.
5. Kohlsdonated$100,000totheAmericanRedCrossfortornadoreliefeffortsinthe
MidwestandSoutheast.
6. Kohlscorporatestatementis:Wenotonlyofferthebestmerchandiseatthebest
prices,butwerealwaysworkingtomakeyourshoppingexperienceenjoyable.
7. KohlshasaFacebook,TwitterandYouTubeaccount.
8. Theyofferastoresurveyandstorefeedback/commentboxforcustomersalongwithan
emailaddressandphonenumbertocall.
9. Kohlsappearsasnumber142inthe2011Fortune500Companylisting.
10. ThefirstKohlsopeneditsdoorsin1962inBrookfield,WI.
11. ThecompanywasfoundedbyMaxwellKohl.
12. Thefirststorewasasmallgrocerybusinessandeventuallyexpandedtoaretail
departmentstore.
13. Kohlsoperatesstoresinthreesettings:theStandAlone,theBigBoxMall,andthe
LifestyleCenter.
14. KohlsMissionStatement:Tobetheleadingfamilyfocused,valueoriented,specialty
departmentstoreofferingqualityexclusiveandnationalbrandmerchandisetothe
customerinanenvironmentthatisconvenient,friendlyandexciting.
15. KohlsTargetMarket:Atwoincomefamilywithkidsathome.Theydonthavealotof
time,andtheyarelookingforavalue.CEOLawrenceMontgomery
16. 2006MarketingMix:
a. 32.6%Womens
b. 18.6%Mens
c. 18.4%Home
d. 13.4%Childrens
e. 9.2%Accessories
38
17. SWOTAnalysis(foundonline):
a. Strengths
i. BalancedBrandMix
ii. RobustDistributionNetwork
iii. StrongProfitability
b. Weaknesses
i. WeakPresenceinKeyMarkets
ii. LowComparableStoreSalesGrowth
c. Opportunities
i. StoreExpansion
ii. GrowthinPrivateLabelProducts
d. Threats
i. IndustryConsolidation
ii. IncreasingRentalRates
iii. WeakeningConsumerSpending
18. Majorbrandssoldinthestoreinclude:LaurenConrad,SimplyVera,ELLE,HangTen,
Rosetti,Hanes,Croft&Barrow,Sonoma,Chaps,Hawk,So,FisherPrice,APT9,Conair
andDyson.
19. March2012promotionsinclude:
a. Spend$50,get$10inKohlsCash
b. FreeStandardshippingafter$75purchase
c. Takeanextra3015%offanypurchasewhenusingKohlscreditcard.
20. KohlsCaresScholarshipProgramrewardsstudentswith$10,000each.
21. Everyyear,Kohlsrecognizesandrewardsyoungvolunteers(ages618)acrossthe
countryfortheiramazingcontributionstotheircommunities.
22. Thisyear,Kohlswillawardmorethan2,200kidswithover$440,000inscholarshipsand
prizes.
23. In1978,BATUS,Inc.,U.S.divisionofBATIndustries,(BritishAmericanTobacco)PLC
purchasesan80percentstakeinKohlsFoodandDepartmentstores.Theytookover
andtheKohlfamilywithdrewfromoperations.
24. In1988,theyhad39storesinWisconsin,IllinoisandIndiana.
25. Mid1980sBATUSgotridofretailforthemostpart.
26. 1986KohlswasacquiredfromBATUSbyamanagementledgroupofinvestors.
27. Kohlsbecameapubliccompanyin1992alongwithincreasingsalestoonemillion
28. OnMarch17,2012therewasshootingataKohlsinArizona.
29. Twitterisusedtoofferextradiscountsandisconversational.
30. JLOlaunchedherbrandandtherehasbeenbuzzabouthercommercialforit.
39
31. TheirFacebookservesasapostandresponsepage.Theyrarelypostastatusupdatebut
ratherwaitforpeopletopostandthenrespondquickly.
32. Theyhavenotupdatedtotimelinelikemostcompetitorswhichshowsthatsocialmedia
doesnttaketoppriority.
33. Thecompanywasnameda2011Energystaroftheyear.
34. Theyhaveareusableshoppingbag.
35. Kohlshasraisedover$180milliontosupportkidshealthandeducationinitiatives.
36. Theysellmerchandisetoraisemoneyforthiscause.
37. Kohlshelpsfundresearch,raiseawareness,andeducatewomenaboutbreastcancer.
38. Theyhaveassociatevolunteereventsforyouthservingnonprofit,breastcancer
awarenesseventsandenvironmentalinitiatives;thisiscalledAssociatesinAction.
39. Theylog1,200,000volunteerhoursat64,000volunteereventswith385,000associate
volunteers.
40. TheKohlsCorporationisanAmericandepartmentstorechainheadquarteredin
MenomoneeFalls,Wisconsin,asuburbofMilwaukee.
41. Thecompanycurrentlyoperates1,089storesin49states.
42. TheyhaveaYesWeCanpolicytosatisfycustomers.
43. TheytreattheiremployeesincrediblywellofferingthingslikecouponsandaYouDidIt
boardwhereemployeescanrightthankyounotestootheremployeesfordoingagood
joborhelpingout.
44. Kohlshasadedicatedfollowingofcustomers.
45. IfemployeesopenaKohlschargeaccountwhileataregister,theygetabonusontheir
nextpaycheck.
46. Kohlsisoneofthetopretailersforcustomersatisfaction.
47. Thecompanywasranked#2bytheUniversityofMichigansAmericanCustomer
SatisfactionIndex(ACSI).
48. Oneofthetopretailersforcustomerservice,theywererankednumbersevenbythe
NationalRetailFederation.
49. ForbesmagazinerankedKohlsnumber61ontheirlistofmostreputableU.S.
Companies.
50. FORTUNEmagazinerankedthemnumberfourontheirlistofWorldsMostAdmired
Companies(GeneralMerchandisersCategory).
51. Newsweekmagazinerankedthemnumberthreeforthe100greenestcompaniesin
America.
52. Kohlshasahasslefreereturnpolicy.
53. Kohlsusesmobilealerts
54. KohlsdistributioncenterislocatedinOttawa,IL>
40
55. Theyhavestoresin49of50states.
56. HawaiiistheonlyUSstatewithoutKohls.
57. Kohlsannualturnoveris$15,544,200,000.
58. Thecompanypaidtheirfirstquarterlydividendof$0.25pershareonMarch30,2011.
59. TheyexpecttopaydividendsonthelastWednesdayofMarch,June,September,and
Decembertotheirshareholders.
60. In2001,Kohls.comwaslaunched.
61. In2011,KohlshadasuccessfulsloganofTheMoreSheKnows,TheMoreSheKohls.
62. Kohlsstrategicinitiativesareallaboutinventorymanagement,havingtheright
inventory,intherightstore,attherighttime.
63. ThisinventorymanagementresultsinTripAssurance,instillingconfidencethatour
customerwillfindwhatshewantswhenshewantsit.
64. InAugust2010,instorekioskswereputselectKohlsstoreswhichallowcustomersto
purchaseitemsthatarenotavailableandhavethemdeliveredtotheirhomewithno
shippingcosts.
65. Bythe2012holidayseasonitisexpectedallstoreswillhavetheseinstorekiosks.
66. Theybelieveanimportantpartoftheshoppingexperienceishavinggreatandupto
datestores.
67. In2011,100storeswereremodeled.
68. ThestatewiththemostKohlsisCalifornia,whichhas128.
69. 78%ofallwastegeneratedisrecycledbyKohls.
70. Kohlshasmembershipswith:EPAEnergyStar,UnitedStatesGreenBuildingCouncil,
EPAGreenPowerPartnership,BusinessforSocialResponsibility,EPAWasteWise,
WisconsinPartnersforCleanAir,andEPASmartWayTransportShipper.
71. Thereare676ENERGYSTARlabeledstores.
72. BetweenNovember2010andOctober2011,werepurchased57millionsharesofour
commonstock.
73. Ittakes20to32weeksfromthestartofthedevelopmenttothetimeproductis
deliveredinstores.
74. Kohlsbreaksdowntheirconsumerlifestylesinto3categories:Classic,ModernClassic
andContemporary.
75. TheyplacetheselifestylesintoaNineBoxMerchandisingGridtoprovideclear
guidelinesforlifestyleandpricing,provideclarityandconsistencywhendefiningwhere
abranchwilllive,effectivelymanageagrowingportfolioofbusinesses,andidentify
opportunitiesfornewbusinesses.
76. Kohlsofferstheirowncreditcardandabenefitincludesreceivingextradiscounts12
timesayear.
41
77. YoucanbecomeaKohlsMostValuedCustomerbyspending$600onyourchargecard
everyyear.
78. KohlsMostValuedCustomersalsopickapersonalsaledaysixtimesayear,alongwith
otherspecialdiscounts18timesayearandtheMVCPremierNewsletterfulloffashion
tipsandlifestyleinformation.
79. Onlineordersareshippingwithin48businesshoursandrequireasignatureupon
delivery.
80. KohlsbecameapubliccompanyonMay19,1992at$14.00pershare.
81. AsofJanuary29,2011therewere136,000employees.
82. Kohlsannualsalesexceed$18billion.
83. TheannualshareholdersmeetingisheldinMay.
84. Kohlshas11distributioncentersinninestates.
85. ThedistributioncentersarelocatedinWisconsin,Virginia,Ohio,Montana,Texas,New
York,California,Illinois,andGeorgia.
86. EveryWednesdayisseniorcitizendiscountday,theycansave15%.
87. Onlineshipmentsareinsuredbythecarriersthatdeliverthemupto$100,afterthat
Kohlsinsurestheshipment.
88. KohlsCEOisKevinManel.
89. KohlscompetitorsincludeTargetandJCPenney.
90. Kohlsmatchescompetitorspricesifyoubringacopywiththecurrentcompetitorsad.
91. Kohlsoffersagreatinternshipprogramforcollegestudentsineverybusinessarea.
92. Kohlhasthesecorevalues:resultorientated,buildsteamsandpartnerships,prepared
andfocused,takesaninformedapproach,developsselfandothers,andactswith
integrity.
93. Kohlsreallytakescareoftheiremployees,theyevenoffersupportthroughtheir
AdoptionAssistancePrograms,onsitedrycleaningandonsitefitnessclasses.
94. ToworkasanhourlyemployeeatKohls,youmustbeatleast17yearsoldandbeable
topassadrugscreen.
95. Youcanapplyonline,instoreorontheKohlsHiringHotline.
96. KohlshasthreecallcenterslocatedinMenomoneeFalls,WI,Corsicana,TXandSan
Antonio,TX.
97. In2009,MUDDbrandmerchandisebecameavailableexclusivelyinKohlsdepartment
stores.
98. TheregionwiththemoststoresistheMidwest.
99. MoststoresarelocatedwithinaStripCenter.
100.
KohlsisthelargestsolarpowerhostinNorthAmericawith100activatedsolar
arraysonstorerooftops.
42
AppendixB:Survey
1. WhatthreewordsorphrasesdoyouthinkofwhenyouhearKohls?
_______________________________________________________________________
2. Whatismostimportanttoyouwhenchooseadepartmentstore?
______________________________________________________________________________
3. Oneascaleof1to10(1beingnegative,5beingneutral,10beingpositive),where
wouldyouplaceyourviewofKohls?
1
10
43
AppendixC:SurveyResults
WhatthreewordsorphrasesdoyouthinkofwhenyouhearKohls?
Whatismostimportanttoyouwhenchooseadepartmentstore?
44
Oneascaleof1to10(1beingnegative,5beingneutral,10beingpositive),wherewouldyou
placeyourviewofKohls?
10
9
8
7
6
5
4
3
2
1
0
10
15
20
25
45
AppendixD:RiskGrid
NonObservable
Stock
Co
nt
rol
la
bl
Rumor

Stakeholder
Relations
Weapon
Hostage
Situation
Activists
Violence
CEO
Scandal
U
nc
on
tr
oll
b
Cyber
Attacks
Observable
46
AppendixE:AudienceAnalyses
47
AppendixE:AudienceAnalyses,Continued
48
AppendixF:BasicStakeholderAnalyses
Stakeholder
Shareholders
Customers
Suppliers&Business
Partners
Media
Internal
Concerns
ReceivingRevenue
fromtheir
investments
Investinginan
ethicalcorporation
Affordable&Quality
Product
Convenient&
EnjoyableShopping
Experience
EthicalPractices
FinancialGainfrom
Partnership
ChannelPreference
MediaReleases
Newsletters
Meetings
AnnualReports
SocialMedia
Advertising
Facetoface
Meetings
Individual
Communication
(email,phone)
Providing
Individual
informationto
Communication
viewerstruthfullyand (email,phone)
timely
MediaReleases
Interviews
MediaConferences
RemainingInformed Meetings
PracticingEthical
Individual
Behavior
Communication
Financial
(email,phone)
Compensation
BulletinBoard
Securework
Postings
Environment
Lions
Majority
Stockholders
BoardofDirectors
LoyalCustomers
(WalkingBillboards)
Executives
NewsDirectors
PrintEditors
Management
Executives
49
AppendixG:TimelinesofEventsCEOCrisis
04/191:05PM
04/2012:03PM
PerezHiltonblogleaksaboutKohl's
CEOGirl'sGoneWildVideo
Twitterexplodeswithtweetsabout
CEO
04/191:30PM
CMTContacted
04/2011:30AM
CEOtweetsapologyvia
personalaccount
4/199:30PM
04/2011:00AM
VideoofGirlsGoneWildvideogoes
viralandreceivesover1millionhits.
CEOapologizesthrough
videouploadedtoYouTube
04/202PM
MediaReleaseand
statementbecomes
availableonKohl'sWebsite
04/2010:30PM
DavidLettermanshowfeaturesCEO
videoonTop10
04/2109:00AM
MediaRelease
04/2010:00AM
04/208:00AM
CEOCaitlinisaskedto
resign
CEOacceptsandsteps
down.Announcementis
madetoTopManagement
&Shareholders
50
AppendixH:StrategicResponseChart
51
AppendixI:VennDiagramCEOCrisis
52
AppendixJ:MediaReleaseCEOCrisis
53
AppendixK:TimelinesofEventsFinancialCrisis
04/20
04/20
ArticleinNewYorkTimesclaiming
thatJCPenney'snewpricing
strategyhasbeenhurtingKohl's
salessinceineffect.
Emailsenttostockholders
withlatestreportsand
addressingconcerns
04/20
04/20
Mediareleasesstating
Fortune500andlatest
financialstatements
RumorsheardthatKohl'smaybe
goingunderandbeingboughtby
competitors
54
AppendixL:VennDiagramFinancialCrisis
55
AppendixM:MediaReleaseFinancialCrisis
56
AppendixN:MediaConferenceBlurbs
KohlsCompanyOverview:
morethan1,000storesin49states
morethan130,000employees
Fortune500company
foundedin1920s
changedstyletocurrentnichemarketin1960s
Mission:Tobetheleadingfamilyfocused,valueoriented,specialtydepartmentstore
offeringqualityexclusiveandnationalbrandmerchandisetothecustomerinan
environmentthatisconvenient,friendlyandexciting
KohlsSocialResponsibilityPolicy:
upholdsuppliers,businesspartners,andvendorstostrictsocialresponsibilitypolicies
thesepoliciesincludestrictcompliancewithlocallaborlawsandourexpectations
regardingwages,childlabor,forcedlabor,workersrightstofreeassociation,healthand
safetyissues,andmore
monitoringoffacilitiesiscompletedbyindependentandprofessionalthirdparty
morethan26,000visitsperformedin5,000facilitiesin75countriesworldwide
Kohl'sisaFoundingCirclememberoftheSustainableApparelCoalitiongroupof
leadingapparelandfootwearbrands,retailers,manufacturers,nongovernment
organizations(NGO's),academicexpertsandtheU.S.EnvironmentalProtectionAgency
Thecoalitionisworkingonacollaborativeapproachtoreducethesocialand
environmentalimpactsofapparelandfootwearproductssourcedandsoldworldwide
Kohl'sparticipatesintheBetterFactoriesCambodia(BFC)andBetterWorkVietnam
(BWV)programsInternationalLabourOrganizationprogramsfocusedonstrengthening
laborstandardsinexportgarmentindustriesinspecifiedcountries
UzbekistanCottonKohl'sdoesnotknowinglycarryproductsthatusecottonoriginating
fromanycountrythatcondonestheuseofchildlaborand/orforcedlabor
ourdiamondsareinaccordancewithCleanDiamondsTradeActandtheKimberly
ProcessCertificationwedonotuseconflictdiamonds
MarchSales:
KohlsMarchSales:Up5.3percent
KohlsYeartodatesales:3.6percent
Comparablestoreyeartodatesales:1.8
MarchGrowth:9newstores
Nowoperate1,134storesin49states
57
increaseof37storesfromlastyear
KohlsCares:
KohlsCaresforKidssupportschildrenshealthandeducation
KohlsEnvironmentalStewardship:
effortstoleaveasmallerfootprint
usesolarpanelsinstorestoreduceenergyuse
Morethan700storeslabeledEnergyStar
morethan200storesLEEDcertified(meetcriteriaoutlinedbyU.S.GreenBuilding
Council(USGBC))
58
AppendixO:TimelineofEventsKLAAttacks(PreViolence)
4/219:57am
4/214:41pm
Reporterstrytointerviewprotesters
whoonlydirectthemtotheir
website.
4/2111:25pm
KLApostsmanifestoonwebsite(5
demands)
4/2110:00am
CMTContacted
4/213:07pm
LocalChicagonewstationshave
startedcoveringthepicketingatthe
Kohl'sstores
4/2111:25pm
KLAcontinuetoprotestforthe2nd
day
4/223:15pm
FoxNewsofficesareinundatedwith
tweetsandemailsfromKLA
membersdetailstheirgrievances
withKohl's.Somegetreportedlive
onair.
4/211:23pm
KLAsetsupawebsitewhere
disgruntledemployeesand
customersposttheirgrievances
aboutKohl's
4/213:07pm
Lawyersconsultedabout
legalissuesregardingthe
KLAwebsite
4/2210:24am
KLAprotestersenterKohl'sstore
wearingJCPclothing,actioncaught
oncamerafromaroundthenation
4/223:10pm
NationalFoxNewscarrythe
argumentlive.
4/212:00pm
Contactedlegalteam
abouttakingdown
website.
4/213:07pm
Makepoliceawareof
protesters
4/2210:24am
KLAmemberswalkaroundthestore
foraboutanhour
4/223:10pm
Anargumentbetweenastore
managerandprotesteriscaughton
TVcameras.
4/212:15pm
KLAwebsiteshutsdownbecauseof
numberofvisits
4/213:07pm
KLAwebsiteisbackupandrunning
4/223:00pm
Protestersstripoffclothingtoreveal
shirtswiththewebsiteonthem
4/223:05pm
Managersaskedprotesterstoleave,
somedidnot.Thepolicewerecalled.
AgroupcalledKohl'sLibrationArmy
ispicketingoutside.
59
AppendixP:TimelineofEventsKLAAttacks(Violence)
4/223:15pm
Protestorsreenterthestoreto
protecttheirleader
4/223:40pm
Nationalnewsagencieshave
requestedinterviewswithKohl's
spokespeople
4/223:50pm
Emailstatementto
media
4/223:20pm
Ashotwasheardandthe
WestsideKohl'sgoesonlockdown
4/223:38pm
Storeisemptybesidesthe
managerandhostages
4/224:15pm
Shotswereheard
4/223:30pm
CMTplansformedia
conference
4/223:38pm
GreenBaypolicedeemsthisa
hostagesituation
4/224:16pm
Amalestaggeredoutanddiesin
thearmsofapoliceofficer,all
caughtonliveTV
4/223:35pm
Thestoremanagerholdsagunto
theheadofaprotesterandtells
everyouttogetout
4/223:37pm
Thestoremanagerfiresashot
intotheair,woundingaKLA
protester
4/224:30pm
EmergencyMedia
Releasewithintentof
MediaConferenceat
6:00pm
4/226:00pm
MediaConference
60
61
AppendixR:MediaReleaseKLACrisis
62
AppendixS:VennDiagramKLACrisis
63
AppendixT:IncidentReportForms
Incident Report Form (#1)
Crises Management Team Member(s):__________Raquel Lamal_________________
Date:___4/19/12_____ Time:___1:05 p.m._ Media Contact/ Informant:_Nicole Miley_____
Channel Used:_______email_______ Date of Incident:___4/19/12______
Time of Incident:___n/a______ Location of Incident:____blog report (internet)____________
Notes:_____A report has surfaced on Perez Hiltons (real name) blog that the current Disneys,
Kohls, and Pioneers CEOs were part of Girls Gone Wild video years ago. The report says
that the new DVD will be released in the near future titled Has Your CEO Gone Wild?_____
Stakeholder(s) of Concern: Contact Information:
_____All shareholders notified.______________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X______ Date: ___4/19/12______ Time: _Late afternoon_______ No: _________
Action Response:
_CMT_contacted________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Recovery actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
64

Crises Management Team Member(s):__________Chloe Scheller_________________
Date:__4/19/12______ Time:___9:30 p.m._ Media Contact/ Informant: _Nicole Miley_____
Channel Used:_____email_________________ Date of Incident:_4/19/12______
Time of Incident:_________ Location of Incident:______YouTube_________________
Notes:_ The CEOs Gone Wild video was released and gone viral. The YouTube clip of
Kohls CEO Girls Gone Wild clip has more than 1 million hits in a matter of days. While no
one can confirm the identity of the CEO, it has a remarkable likeness to the current CEO.

Follow up with all stakeholders____________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ____X_____ Date: ___4/20/12______ Time: __Morning______ No: _________
Action Response: __CMT discusses appropriate measures.______________________________

______________________________________________________________________________
______________________________________________________________________________
Recovery actions:
___Keep stake holders in the loop and updates when more information becomes
available.______________________________________________________________________
______________________________________________________________________________
_________________________________________________________
Impact of actions:
Keep trust of stakeholders.________________________________________________________
______________________________________________________________________________
65

Crises Management Team Member(s):_______Caitlin Gorham_________________
Date:__4/20/12______ Time:___12:03 p.m.___ Media Contact/ Informant: Nicole Miley_
Channel Used:_email__________ Date of Incident:__4/20/12_______
Time of Incident:___10:30 p.m._ Location of Incident:_CBS and Twitter___________
Notes:__People are now tweeting about the Girls Gone Wild incident. *And this event has
made itself in the nightly entertainment world by hitting David Lettermans top 10.___ _____
__ALL_______________________________ ____________________________________
_Media Relations, Executive staff________ ___Vicki Shamion, 262-703-1464______
__Investor Relations___________________ ___Wes McDonald, 262-703-1464_________
Contacted?
Yes: ___X______ Date: ___4/20/12______ Time: _10:30 p.m.____ No: _________
Action Response: __CMT working hard on response.

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
__Conversation started regarding the CEOs resignation. (CEO resignation video on YouTube)
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________
Impact of actions: _Reputation impacted, but semi-maintained.
______________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
66

Crises Management Team Member(s):____Jena Richter_________________
Date:_4/20/12 Time:___12:54 p.m. _____ Media Contact/ Informant: __Nicole Miley______
Channel Used:__email_____________ Date of Incident:_____4/20/12 (started)____
Time of Incident:___--______ Location of Incident:__________--____________________
Notes:_____Rumors are now coming out that Kohls may be going under and being bought out
by a competitor._______________________________________________________________

_Internal (employees)______ ____________________________________
__Shareholders___________ Investor Relations- (262) 703 - 1893_____________________
______________________________________ ____________________________________
Contacted?
Yes: __X______ Date: __4/20____ Time: _1:20 p.m._____ No: _________
Action Response: _CMT contacted.

______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________
Recovery actions:
_n/a__________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
___
Impact of actions:
__n/a_________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
67

Crises Management Team Member(s):__________Ed Immel _________________
Date:_4/20/12_______ Time:_4:45 p.m.__ Media Contact/ Informant:_Nicole Miley___
Channel Used:____email__________ Date of Incident:_4/20/12______
Time of Incident:______--___ Location of Incident:___NY Times newspaper______________
Notes:_____Theres been an article in the New York Times claiming that JC Pennys new
pricing strategy has been hurting Kohls sales ever since it went into effect.
_public/media relations_________________ ____________________________________
_Financial/Investor relations____________ ____________________________________
_All stakeholders__________________ ____________________________________
Contacted?
Yes: ____X____ Date: _4/20/11_____ Time: _Evening_______ No: _________
Action Response: ___Contacted CMT.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
_Inform people invested in Kohls so they understand these false assessments.
______________________________________________________________________________
______________________________________________________________________________
_______________________________________________________________________
Impact of actions: _Save financial status of Kohls Corporation.
______________________________________________________________________________
______________________________________________________________________________
_________________________________________________________________________
68

Crises Management Team Member(s):_Amy Manske ____________
Date:_4/21/12___ Time:__9:57 a.m. Media Contact/ Informant:_Nicole Miley_______
Channel Used:____email _______________ Date of Incident:_4/21/12____
Notes:_____A group called the Kohls Liberation Army dressed in J.C. Penny clothing and
hats (JC) is picketing outside several Kohls in the Midwest. The signs say Liberate Yourself
from Kohls Oppression.
_Internal (CMT) and Media Relations_____ _Vicki Shamion (262) 703-1464_________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ____X____ Date: __4/21/12_____ Time: __10:00 a.m.____ No: _________
Action Response: ____CMT contacted.

______________________________________________________________________________
______________________________________________________________________________
________________________________________________________________
Recovery actions:
_CMT will follow up. Media Relations on call and award if situation furthers.
______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________
Impact of actions:
________n/a___________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
69

Crises Management Team Member(s):_____Chloe Scheller
Date:__4/21/12 Time:_1:23 p.m.___ Media Contact/ Informant:__Nicole Miley______
Channel Used:_____email____________ Date of Incident:4/21/12___
Time of Incident:__1:23 p.m.____ Location of Incident:__Internet __________
Notes:_____The Kohls Liberation Army (KLA) has set up a website where disgruntled
employees and customers can post their grievances about Kohl's.
__Media Relations______________________ ____________________________________
__Internal - Executives___________________ _______________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X_____ Date: __4/21/12____ Time: __late afternoon______ No: _________
Action Response: __CMT contacted.

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
_Find legal rights involved and monitor situation.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________
Impact of actions:
___n/a________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
70

Crises Management Team Member(s):__________Chloe Scheller_________________
Date:_4/21/12_______ Time:___1:23 p.m._ Media Contact/ Informant:Nicole Miley ___
Channel Used:___email_________________ Date of Incident:__4/21/12_______
Time of Incident:____afternoon_____ Location of Incident:___Internet_____________
Notes:_____The KLA website has been overwhelmed with hits and temporarily shuts down.
_____Internal_____________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X______ Date: ___4/21/12______ Time: afternoon____ No: _________
Action Response: ___Continue monitoring.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
____n/a_______________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
___n/a________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
71
Crises Management Team Member(s):__________Caitlin Gorham _________________

Date:_4/21/12_______ Time:____ Media Contact/ Informant:Nicole Miley ___
Channel Used:___email_________________ Date of Incident:__4/21/12_______
Time of Incident:____afternoon_____ Location of Incident:___Internet_____________
Notes:_____ The KLA website is back up and running.
_____Internal_____________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X______ Date: ___4/21/12______ Time: afternoon____ No: _________
Action Response: ___Continue monitoring.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
__Take legal matters if possible.
______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
Impact of actions:
_________n/a__________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
72

Crises Management Team Member(s):__________Caitlin Gorham_________________
Date:__4/21/12____ Time:___3:07 p.m. Media Contact/ Informant:__Nicole Miley______
Channel Used:____email___________ Date of Incident:__4/21/12_____
Time of Incident:_________ Location of Incident:__Many channels__________________
Notes:___Local Chicago news stations have started covering the picketing at the Kohls stores.
______________________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: _________ Date: _________ Time: ________ No: _________
Action Response:
______________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
Recovery actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
73

Crises Management Team Member(s):____Jena Richter______________________
Date:4/21/12____ Time: 4:41 p.m.________ Media Contact/ Informant: Nicole Miley ______
Channel Used:____email__________ Date of Incident:_4/21/12____
Time of Incident:______4:41 p.m._ Location of Incident: Green Bay ____________
Notes:
Reporters in Green Bay have tried to interview the protesters but all anyone will say on camera is
Kohls must stop the oppression of workers and customers. Go to our website at
Kohlsliberationarmy.com
__All local Stakeholders________________ ____________________________________
_Media relations_____________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X____ Date: __5:00 p.m.______ Time: ________ No: _________
Action Response: _____CMT take control of situation research group and understand motive.
______________________________________________________________________________
______________________________________________________________________________
________________________________________________________________________
Recovery actions:
_____n/a______________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________________
Impact of actions:
____n/a_______________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
74

Crises Management Team Member(s):__Amy Manske_________________________
Date: 4/21/12 ____ Time:_11:25 p.m._____ Media Contact/ Informant:___Nicole Miley____
Channel Used:_____email_________ Date of Incident: 4/21/12_____
Time of Incident:_11:25 p.m._____ Location of Incident:__Internet____________
Notes:_____The KLA manifesto suddenly appears on their website detailing their grievances
and encouraging every consumer to stop buying their products. The manifesto includes the
following demands: 1) Stop lying to consumers, 2) Halt the use of slave labor in Cambodia, 3)
Free the Kohls worker slaves, 4) Cease funding anti-union causes, 5) End the greed
___ALL_Internal_________________ ____________________________________
__________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X______ Date: _4/21/12________ Time: __11:30 p.m.___ No: _________
Action Response: __Contacted CMT they continue updating internal audiences and
researching the group. Refer to crisis management plan.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
___Maintain control.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Impact of actions:
__N/A________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
75

Crises Management Team Member(s):__________Amy Manske _________________
Date:__4/21/12______ Time:11:25 p.m.______ Media Contact/ Informant:__Nicole Miley
Channel Used:email_______________ Date of Incident:__4/22/12_______
Time of Incident:__--_______ Location of Incident: Green Bay____________________
Notes:_____The KLA continues protest at the Westside Green Bay store for the 2nd day.
__All stakeholders who were notified before. ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ____X_____ Date: _4/22/12____ Time: _Early morning_______ No: _________
Action Response: __CMT continues to monitor.

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
76

Crises Management Team Member(s):_________Ed Immel_________________
Date:__4/22/12__ Time: 10:24 a.m.____ Media Contact/ Informant: Nicole Miley
Channel Used:_email_________ Date of Incident:_4/22/12_____
Time of Incident: 10:24 a.m._____ Location of Incident: Green Bay_____________
Notes:_With cameras rolling around the nation, KLA protesters (wearing clothing from Pennys)
enter the Kohls store (protest signs left outdoors)
_Security - CIO____ ____________________________________
_Stakeholders, local store managers_______________________
Contacted?
Yes: ____X____ Date: __4/22/12_____ Time: __10:25 a.m.____ No: _________
Action Response: ___CMT contacted. Managers wait for more information.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
_______To maintain control.
______________________________________________________________________________
______________________________________________________________________________
_______________________________________________________________________
Impact of actions:
_____n/a______________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
77

Crises Management Team Member(s):__________Ed Immel_________________
Date:__4/22/12__ Time:10:24 a.m._____ Media Contact/ Informant: Nicole Miley______
Channel Used:____email________ Date of Incident:4/22/12_____
Time of Incident:_10:24 a.m.____ Location of Incident:__Green Bay__________
Notes:___ The KLA members mill around stores for about an hour.
____Those listed in Incident Form #14______ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X_____ Date: __4/22/12_____ Time: _11:30 a.m.____ No: _________
Action Response:
__n/a_________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Recovery actions:
_n/a__________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
_n/a__________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
78
Incident Report Form(#16)

Crises Management Team Member(s):___Raquel Lamal______________________
Date:4/22/12____ Time:__11:02 a.m._ Media Contact/ Informant:__Nicole Miley __
Channel Used:_email_______________ Date of Incident:_4/22/12____
Time of Incident:__3:00 p.m.___ Location of Incident:___Green Bay__________
Notes:__At precisely 3 p.m. CST all the protesters strip off their first layer of clothing to reveal a
t-shirt saying, Kohls Liberation Army (KLA.org). Cameras are rolling with laughter all around.
The protest leader reads a short a statement in the store saying: The KLA demands that Kohls
meet our demands and passes out written copies of the demands from the website to reporters
_All stakeholders that have been receiving updates on the current situation.
_____________________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ____X____ Date: _4/22/12_____ Time: _3:15 p.m._______ No: _________
Action Response:
_n/a__________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Recovery actions:
_n/a__________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Impact of actions:
___n/a________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
79

Crises Management Team Member(s):_______Amy Manske____________________
Date:__4/22/12_____ Time:_11:59a.m. Media Contact/ Informant:___Nicole Miley_
Channel Used:____email____ Date of Incident:__4/22/12_______
Time of Incident:__11:59 a.m._______ Location of Incident:____Green Bay_____________
Notes:___Kohls store managers at various times start asking the protesters to leave. Most do.
Some dont and the police are called to escort the protesters out of the store.__
______All previously mentioned stakeholders from Incident Report Form #18______________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X_____ Date: __4/22/12_____ Time: _12:05 p.m._____ No: _________
Action Response: _CMT contacted controlling situation and updating as events are occurring.
______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
Recovery actions:
___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Impact of actions: _In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
80

Crises Management Team Member(s):__________Amy Manske _________________
Date:__4/22/12____ Time:____11:59 a.m._ Media Contact/ Informant:__Nicole Miley______
Channel Used:_email____________ Date of Incident:4/22/12_______
Time of Incident:_11:59 a.m.__ Location of Incident:_Green Bay _______________
Notes:____An argument between the Green Bay store manager and protester ensues. All of this
is caught on TV cameras. The situation escalates.
__All previously mentioned stakeholders in incident report form #17 related.
____________________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: __X_____ Date: 4/22/12______ Time: _12:10 p.m._____ No: _________
Action Response: _On-going

______________________________________________________________________________
______________________________________________________________________________
_____________________________________________________________________
Recovery actions:
__In-progress.
______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
Impact of actions: __In-progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
81
Crises Management Team Member(s):__________Chloe Scheller _________________

Date:_4/22/12___ Time:_1:01p.m._____ Media Contact/ Informant:_Nicole Miley_______
Channel Used:_email ____________ Date of Incident:_4/22/12_____
Notes:___The national Fox News carries the argument in the Green Bay store live. The New
York offices of Fox are inundated with press releases, emails, and tweets from KLA members
detailing their grievances. Some get reported during the live drama in the Green Bay store.
___All stakeholder mentioned in Incident Report Form #18 related.__________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X_____ Date: _4/22/12____ Time: _afternoon_______ No: _________
Action Response: _On-going

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
_In progress.
______________________________________________________________________________
______________________________________________________________________________
________________________________________________________________________
Impact of actions: _In progress.
______________________________________________________________________________
______________________________________________________________________________
________________________________________________________________________
82

Crises Management Team Member(s):__________Jena Ritcher _________________
Date:4/22/12___ Time:_2:07 p.m._________ Media Contact/ Informant:_Nicole Miley
Channel Used:__email _________ Date of Incident:_4/22/12____
Time of Incident:_2:07 p.m.____ Location of Incident:__Green Bay__________
Notes:__Things continue to escalate in the Green Bay store and more police are rushed to the
scene. The protesters re-enter the store to protect their leader. Shouting is heard around the store
as employees confront the protesters (wearing KLA tops). A shot is heard. People scurry out of
the store or hide behind racks of clothes.
_____All the mentioned stakeholders mentioned in Incident Report Form #19 related.
_________________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ____X____ Date: _4/22/12_____ Time: Afternoon No: _________
Action Response: __On-going

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
__In progress.
______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
Impact of actions: ___In-progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
83

Crises Management Team Member(s):__________Jena Richter_____
Date:4/22/12__ Time:_2:07 p.m.____ Media Contact/ Informant: Nicole Miley _________
Channel Used:_____email_________ Date of Incident:4/22/12___
Time of Incident:_2:07 p.m._____ Location of Incident:__Green Bay ______________
Notes:Local Green Bay media has reported that Westside Kohls has moved to lockdown mode.
___All previously mentioned stakeholders (see IRF #22) related.
___________________________________ ____________________________________
______________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: ___X_____ Date: _4/22/12_____ Time: 2:15 p.m._____ No: _________
Action Response: On-Going CMT controlling situation.

______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Recovery actions:
___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Impact of actions: __In progress.
______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
84

Crises Management Team Member(s):__________Ed Immel__________
Date:_4/22/12_ Time:_4:09 p.m._______ Media Contact/ Informant:__Nicole Miley __
Channel Used:_email_____________ Date of Incident:4/22/12____
Time of Incident:_4/22/12 _____ Location of Incident:__Green Bay _______________
Notes:____The Green Bay Store Manager (Tim Meyerisky) has a gun to the head of the KLA
protester. He says, Everyone get out of my store or Ill kill him. No one moves. He fires
another shot into the air and inadvertently wounding a hidden KLA protestor. People warily
move out of the store including the police. The entire incident was caught on live TV and has
gone national.
_Same as IRF #21 related. _________________________
____________________________________ ____________________________________
______________________________________ ____________________________________
Contacted?
Yes: __X_____ Date: 4/22/12_____ Time: _4:15 p.m.____ No: _________
Action Response: _CMT is controlling on-going.

______________________________________________________________________________
______________________________________________________________________________
____________________________________________________________________________
Recovery actions:
___In progress.
______________________________________________________________________________
______________________________________________________________________________
________________________________________________________________________
Impact of actions: __In progress.
______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
85
Crises Management Team Member(s):__________Raquel Lamal_________________

Date:_4/22/12_ Time:_4:09 p.m. ______ Media Contact/ Informant:_Nicole Miley_______
Channel Used:_email_________ Date of Incident:__4/22/12_______
Time of Incident:_4:09 p.m._____ Location of Incident:_Green Bay_______________
Notes:_____The Green Bay police now deem this a hostage situation. In fact, Tim Meyerisky,
has discovered three other KLA protesters and has taken them hostage as well. The store is
completely empty except for the hostages and the manager.
__See previous IRF #22 related same stockholders
apply.___________________________________________________________________
______________________________________ ____________________________________
Contacted?
Yes: __X______ Date:4/22/12____ Time: 4:15 p.m.___ No: _________
Action Response: ___CMT controlling On-going.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Impact of actions: ___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
86

Crises Management Team Member(s): Caitlin Gorham
Date: 04/22/2012 Time: 5:02 PM Media Contact/ Informant: Nicole Miley
Channel Used: email
Date of Incident:04/22/2012
Time of Incident: 5:02 p.m.___ Location of Incident: headquarters

Notes: Various national news agencies have requested interviews with Kohl's spokespeople.
PR Team
__________________________________________________
CEO__________________________________________________________
CMT__________________________________________________________
Contacted?
Yes: __X_____ Date: _________ Time: ________ No: _________
Action Response:
Informed Media of press conference
Recovery actions:
Bought time to get congruent core messages
Impact of actions:
Holding press conference
87

Crises Management Team Member(s):__________Jena Richter__(all)_____________
Date:_4/22/12_ Time:_10:02 p.m. ______ Media Contact/ Informant:_Professor Clampitt
Channel Used:_phone_________ Date of Incident:__4/22/12_______

Time of Incident:_4/22/12__ Location of Incident:_Green Bay_______________
Notes:_____Shots were heard. A male KLA member staggers out and dies in the arms of a
police officer.This is all caught on live TV.
__See previous IRF #24 related same stockholders
apply.___________________________________________________________________
______________________________________ ____________________________________
Contacted?
Yes: __X______ Date:4/22/12____ Time: ASAP___ No: _________
Action Response: ___CMT controlling On-going.

______________________________________________________________________________
______________________________________________________________________________
__________________________________________________________________________
Recovery actions:
___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
Impact of actions: ___In progress.
______________________________________________________________________________
______________________________________________________________________________
___________________________________________________________________________
88
Incident Report Form #26

Crises Management Team Member(s): All group members present
Date: 04/24/2012 Time:8:30 AM
Channel Used: Face-to-face
Media Contact/ Informant: Dr. So What

Date of Incident: 04/24/2012
Time of Incident:8:30 AM Location of Incident: MAC 107

Notes: The CMT was notified that the hostage taker was in custody, no other injuries took place,
and in Dr. So What's exact words "It is done."_________________________________________
All CMT members___________________________________________________
Media ______________________________________________________________
Stakeholders - everyone_________________________________________________________
Contacted?
Yes: X Date: _4/24/12_____ Time: _ASAP/during media conference No: _________
Action Response:
We were updated about the change of events right before the press conference, we updated the
media and all stakeholders at that time.
Recovery actions:
CMT will perform post-crisis requirements. Continue to update all audiences and maintain
reputation to the best of our ability.
Impact of actions: _By the way our message was delivered and handled us effectively handled
the crisis while maintaining our reputation and core values as a company.___________________
______________________________________________________________________________
89
AppendixU:MediaKit
KohlsEnvironmentalStewardship
KohlsiscommittedtotheenvironmentthroughourKohlsGreenScene.Kohlstakes
theenvironmentveryseriouslyandhasmadeitaconstantefforttokeepstoresasgreenas
possible.Managingenergyuseandclimateemissionsarekeytosustainingtheenvironment
andKohlsistakingbigstepstoensureweleaveasmallerfootprint.
Kohlsisa100%GreenPowerpartner,whichmeansKohlsusessolarpanelstohelp
reduceenergyusewithinstores.Morethan700ofKohlsstoresnationwidehavebeenlabeled
energystarstores.
Kohlsalsoishelpingthegreenscenethroughrecycling.Kohlsrecyclesanythingfrom
hangerstolightbulbs,carpettoconstructionmaterialsandmuchmore.Allmaterialsrecycled
byKohlsamountstomorethan130,000tonsayear.ThematerialscollectedthroughKohls
EnvironmentalRecyclingProgramarereused,recycledorreengineeredintonewproducts,
includingthingssuchasalternativefuelsources,industrialfloorcleanersandartisanpaints.
Witheachnewstorelocation,KohlsCorporationstrivestobemoreenvironmentally
friendly.Kohlsachievesthislongtermsustainabilitythroughimprovedbuildingdesignand
LeadershipinEnergyandEnvironmentalDesign(LEED).TobeLEEDcertifiedabuildingmust
meetasetofcriteriaproducedbytheU.S.GreenBuildingCouncil(USGBC),whichguidesbest
practicesforthedesign,constructionandoperationofhighperformancegreenbuildings.With
morethan200storesLEEDcertified,Kohlsisconsistentlylookingfornewwaytogogreen.
FormoreinformationregardingKohlsEnvironmentalStewardshippleasegoto:
http://www.kohlsgreenscene.com/
KohlsFactSheet
1)KohlsCorporationoperatesfamilyoriented,specialtydepartmentstoresthatfeature
moderatelypricedapparel,shoes,accessories,softhomeproductsandhousewares.
2)KohlsisaFortune500Company,ranked142onthelistfor2011.
3)KohlsheadquartersisbasedinMenomineeFalls,WI.
4)KohlsDepartmentStoresarenationwidewithKohlsstoresoperatingin49ofthe50
states.
5)TheKohlsMissionstatementisasfollows:
Tobetheleadingfamilyfocused,valueoriented,specialtydepartmentstoreoffering
qualityexclusiveandnationalbrandmerchandisetothecustomerinanenvironment
thatisconvenient,friendlyandexciting.
6)Kohlsdepartmentstoreswereoriginallystartedasgroceryretailersin1962,withthe
firststorebeingopenedinBrookfield,WI.
90
7)KohlsCorporationwasownedbytheKohlFamily,primarilyAllenandHerbertKohl.In
1979HerbertKohlbecameaUSSenatorandanowneroftheMilwaukeeBucksaswell.
8)KohlsisinvolvedinanumberoflocalcharitieswithinthecommunityandhasaKohls
CaresSystemwhereproceedsearnedallgotothecharitybeingsupported.
9)Kohlssupportsawidevarietyofyouthservingandcommunityorganizationsandcauses.
FromtheUnitedWaytolocalparks,childrenshospitalstobreastcancerawareness
programs,KohlsAssociatesarelendingahandanddemonstratingourcommitmentto
helpingthecommunitiesweserve.
10)ThesloganforKohlsstoresisExpectgreatthings.
11)KohlsisenvironmentallyfriendlythroughthereKohlsGreenSceneinitiative.From
largescaleprojectssuchasconstructingenvironmentallyfriendlybuildingstoeveryday
practiceslikerecyclinghangers,Kohlsistakingbigstepstoensureweleaveasmaller
footprint.
12)Kohlshasmorethan700EnergyStarLabeledstoresallacrosstheU.S.
KohlsCompanyProfile
KohlsCorporationisoneofthelargestdiscountdepartmentstorefranchisesinthe
UnitedStates,withmorethan1000storesin49ofthe50states.ThetargetaudienceforKohls
Corporationismiddleincomeshoppersbuyingforfamiliesandhomes.Kohlsmaintainsits
discountpricesthroughalowcoststructure,limitedstaffing,andprogressivemanagement
informationsystems,aswellastheeconomicalapplicationofcentralizedbuying,distribution
andadvertising.ThisKohlsConcepthasbeensuccessfulinsmallandlargemarkets,strip
shoppingcenters,regionalmallsandinfreestandingvenues.
ThemajorityofKohlsstoresoperateintheMidwestandtheWest,butKohlscontinues
toexpandintootherregions.Duetothiswidespreadconsumerbaseandeffectivebusiness
process,KohlshasbecomeaFortune500company.
TheoriginalKohlsstoresstartedoffasgrocerystoresfoundedbyMaxKohlinthelate
1920sinMilwaukeeWI.Inthemid1960sKohlsdecidedtochangetheirstyleandstartedto
sellclothesandappareltoanichethatfellbetweenhighenddepartmentstoresanddiscount
markets.ThisnewpositioningefforthelpedKohlsskyrocketintothemajorretaileritistoday.
TheKohlsmissionistobetheleadingfamilyfocused,valueoriented,specialty
91
KohlsCaresCharities
KohlsCorporationsisastrongforcewithinthecommunitiestheyserve.TheKohls
CaresprogramisaoneofthemanywaysthatKohlsstrivestobeinvolvedwiththecommunity.
OneofthemostwellknowncharitiesisKohlsCaresForKidswhichiscommittedto
supportingchildrenshealthandeducationinitiativesnationwide.
TheKohlsATeamisthegroupofdedicatedKohlsassociateswhovolunteertheirtime
tothesecharities.Kohlsvolunteerssupportawidevarietyofyouthfocusedorganizationssuch
aschildrenshospitalsandlocalschools.SomeofthethingsthattheATeamdoesthroughits
volunteereffortsinclude,givingawaybackpacksfilledwithschoolsuppliestochildren,hosting
adayoffunforthepatientsatalocalchildrenshospital,volunteeringatacampfor
homelesschildrenandfittingchildrenwithfreebikehelmetsforsafetyreasons.
NationwideKohlsstoreshaveparticipatedinmanyATeameventsandcontinueto
encouragetheirassociatestovolunteeratmanylocalyouthorientednonprofits.Kohlsthen
matchesthevolunteereffortswith$500grantstotheorganization.
KohlsContactInformation
InvestorRelations
ChloeSchellerPresidentofInvestorRelations
Phone:(608)7729969
Email:Schecl31@uwgb.edu
CrisisMediaRelations
AmyManskeVicePresidentofPublicandCommunityRelations
Phone:(920)5854198
Email:Mansal23@uwgb.edu
CrisisVictimContact
RaquelLamalVictimControlManager
Phone:(920)6043167
Email:Lamarm05@uwgb.edu
92
KohlsCrisisMediaRules
1) Mediamaynotcrosspolicelinesforthesafetyofthemselvesandthoseinvolvedinthecrisis
andtopreventtheanyevidencefrombeingaltered.
2) Mediamustassumethatthehostagetakerhasaccesstonewscoverageandmusttherefore
remainsensitiveabouttheirinfluenceontheoutcome.Theuseoflivefootagemustbe
exercisedcautiously.
3) Mediamuststayinthedesignatedbroadcastareathathasbeenagreeduponbythepolice.
4) Mediamaynotdescribepositionsofsnipersorotherpositionsofthepolicewithinthecrime
scene.
5) Mediaisprohibitedtogiveinformationtotheperpetratorandcommunicatingwiththesuspect
orvictimwithoutcoordinatingwiththepolice.
6) Mediamustnotifythepoliceimmediatelyiftheyarecontactedbythehostagetaker.
Communicationbetweenthehostagetakermaynotbepublishedunlessgiventhepermission
andadviceofthepolicenegotiator.
7) Coverageshallnotrestrainorhaltlawenforcementeffortstoresolvethesituation.
8) Theidentitytoasuspect,priortoarrest,maynotbereleased.
9) Theidentityofanyinjuredordeceasedpersonpriortothenotificationofthepersonsdirect
familymembers.
10) Mediamaynotbecomepersonallyinvolvedinthehostagesituation.
11) Exerciseempathyandunderstandingwheninterviewinghostages,familiesandfriendsduring
andafteracrisis.
12) InterviewingemployeeswillnotbeallowedunlessgiventheconsentofKohlsCorporations
communityandrelationsmanager.
93
AppendixV:AnticipatedQuestions
IsittruethatKohlsisgoingunderandbeingboughtoutbyacompetitor?
Kohlsisaveryrespectedandhonorablecompany.Oursaleshaveshownthatwearea
successfulcompanyandwillcontinuetodowhatwedobestandthatisgivecustomersa
greatvalue.Wehaveprovenourselvesbybeingafortune500companyandplantocontinue
oursuccess.
HasthenewpricingstrategyofJCPennyshadanegativeeffectonKohls?
oursuccess.
HaveyouappearedinaGirlsGoneWildvideotoo?
No.(Refertorumoransweratbottom.)
Whydidyouhireaskankyhoe?
OURFORMERCEOwasveryqualifiedforherposition.Sheledustobecomethecompanywe
aretoday.Heractionswereunprofessional.JenaRitcherisourCURRENTCEOandknowsthe
KohlsCorporationverywell.Jenawilldoafantasticjob.
HowwereyouunawareofCaitlinsactions?
OURFORMERCEOwasveryqualifiedforherposition.Sheledustobecomethecompanywe
aretoday.Heractionswereunprofessional.JenaRitcherisourCURRENTCEOandknowsthe
KohlsCorporationverywell.Jenawilldoafantasticjob.
Whyhaveyououtsourcedjobstooverseas?Ifyouwereapatrioticcompany,wouldn'tyou
keepjobsintheUS?
JENATAKEQUESTIONSregarding
Whydoesyourcorporationthinkitisokaytouseinhumaneslavelabourandsupport
sweatshops?Inresponse,useforcedlabourJena
94
WhoisthereplacementfortheCEO?
JenaRichteristhecurrentCEO.ShehasbeenapartoftheExecutiveboardforquitesome
timesandunderstandstheinsandoutofthebusinessworld.
Doallofyourmanagerscarryguns?
Itisnotprotocalforouremployeestocarryguns.Itisnotsomethingthatwepromoteor
allow.Thisincidentisaveryisolatedandraresituation.Thesafetyofallcustomersisourfirst
andforemostconcernalways.
Inthefuture,howwillyoupreventthisfromhappeningagain?
Weplantoreevaluateourtrainingoncrisismanagement.Whileyoucannotplanfor
somethingliketohappenweshouldneed
WhateffectwilltheseeventshaveonthesalesofKohls?
oursuccess.
OtherresponseTORUMORQUESTIONS:
Kohlsisanindustryleaderandaverysuccessfulcompany.Itisobviousthatwewouldbe
targetforrumorsbecauseofthis.Kohlsisaveryrespectedandhonorablecompany.Our
saleshaveshownthatweareasuccessfulcompanyandwillcontinuetodowhatwedobest
andthatisgivecustomersagreatvalue.Wehaveprovenourselvesbybeingafortune500
companyandplantocontinueoursuccess.
95
AppendixW:PowerPointPresentation
96
97
98
99
100
101
AppendixX:GroupMeetingAgendas
Monday,March2210:30am12:30pm
23DaysUntilCrisisPlanDue
28DaysUntilPresentation
23DaysUntilPaperDue
ActionPlan:
1. Determineaudiences
2. Gothrough100facts
Thursday,March295:00pm6:00pm
26DaysUntilPaperDue
ActionPlan:
1. FinalizeAudiences
2. BusinessandCommunicationGoals
3. AssignpartsoftheCrisisCommunicationPlan.
a. Introduction
i. PurposeofCrisisPlan
ii. OverviewofKohls
b. RehearsalDates
c. CMTMembers
d. CMTContactSheet
e. CrisisAssessment
f. IncidentReportForm
g. ProprietaryInfoList
h. PressKit
i. StrategyWorksheet
j. StakeholderContactSheet
k. CrisisControlCenterInfo
l. PostCrisisEvaluationForm
102
NextTime:
Top10Criseseachpersonthinkof5fornextmeeting
Monday,April210:30am12:30pm
30DaysUntilPaperDue
ActionPlan:
1.
2.
3.
4.
ShareTop5Crises
CategorizeCrisesintothe5groups
StartLikelihoodandSeverityChart
DetermineTop10Crises
NextTime:
HaveIndividualPartsfortheCrisisPlanFinished
Thursday,April55pm6pm
33DaysUntilFinalExam
ActionPlan:
1. BeginDiscussingWaystoHandleTop10Crises
2. DiscussIndividualPartsfortheCrisisPlan
a. OverviewofKohlsChloe
b. RehearsalDatesEd
c. CMTContactSheetCaitlin
d. ProprietaryInfoListJena&Amy
e. PressKitRaquel&Chloe
f. CrisisControlCenterInfo&LayoutCaitlin
g. PostCrisisEvaluationForm&SurveyChloe&Raquel
h. AcknowledgementsCaitlin
i. BusinessContinuityPlanEd
103
NextTime:
Awareness,Acceptance&ActionObjectives
Strategy&FlowChart
22DaysUntilPaperDue
ActionPlan:
1. TakePhotos
2. Awareness,Acceptance&ActionObjectives
3. StartFlowChart
NextTime:
Haveallinformationputinonedocumentandemailedouttoeveryone,wewillgo
throughitstepbystepandfindthingsthatneedtobeeditedandadded.
Thursday,April125:00pm6:00pm
19DaysUntilPaperDue
ActionPlan:
1. Edit/AddtoCrisisPlan
15DaysUntilPaperDue
ActionPlan
1. FinishEditingandPrintCrisisPlan
104
AppendixY:ClassFeedback
Thisclassfeedbackwastakenfromcasestudyevaluationformstheclassisgivenduring
presentations.Averagescoresandcommentsarelistedbelow.
ProfessionalStyleOverall(outof30):28
ApplicationofPrinciplesOverall(outof30):28.1
AnalyticalSoundnessOverall(outof30):28
OverallProject(outof10):9.1
FinalScore(outof100):93.2
Comments:
Edseemednervous,butithappens
Jenaspokeverywell
Amydidagreatjobansweringquestions
Thequadrantwaseasytounderstandandfollow
Greatgoalsforeachcrisis
Alldressedverywell
Pressconferencewashardtofollow
Couldhavedonebetterreferringbacktothecoremessage
Likedtheyoutubevideobutwhywouldsomeonewhogotfiredapologize?
Yourpoliceofficerisntevenintheclass,couldntoneofyourgroupmemberstakethat
role?
Lotsofumsandoverallhardtofollow
Fairlygoodjobansweringquestionsbutseemedunpreparedforthem
Riskgridwashardtofollow
Couldhavebeenalittlemorespecificandknowledgeablewhenansweringquestions
fromPhil(dontwastehistimeormine)
Theproblemwashardtofollow
SomeofthePowerPointwashardtoread
Keptanswersshortanddidntramble
Goodjob!
Goodjobwithallthecrises
Becarefulofums
Everythingwasveryprofessional,nicejob
Jenaisanexcellentspeaker
CouldtellthelightsbotheredEd
Overallveryprofessionalappearance
105
Gooduseofstrategychart
Likestheoutsidepersonbeingthepoliceofficer
JenadidawonderfuljobasthenewlyelectedCEO
Likethecoremessageitfitperfect
NicetwistonCaitlinsteppingdownasCEOwiththereasonwhy
Verynicelydone
Makesuretostepuptothemicrophonewhenansweringquestionsduringpress
conference
Thoughtitwasweidtohavesomeonespeakwhoisnotintheclass
Spokeclearingbutlotsofums
Seemedscaredduringthepressconference
Likestheclueschart
Likedthevideo
Ihonestlydidntcareforthepressconference,butthepresentationwasreallygood
Thecopwasanicetouch
Gooduseofvideo
Spokewithgreatconfidence
Providedgreatinsightfromthecrisis
Amazingjob,youdidawesomeandwerereallywellprepared
Lovedthelayoutandtheresponsestoquestions
Usedalotofclassprinciples
Straightforwardstrategyandworkedwellwithinthesituations
Rebuttalsweregreat
Musthavebeenhardgoingonthefirstdaybutyoudidntshowit
106
AppendixZ:Sources
"CelebrityGossipJuicyCelebrityRumorsHollywoodGossipBlogfromPerezHilton."Celebrity
GossipJuicyCelebrityRumorsHollywoodGossipBlogfromPerezHilton.Web.30Apr.
2012.<http://perezhilton.com>.
Community.Kohl'sCorporation.Web.
<http://www.kohlscorporation.com/CommunityRelations/Community01A.htm>.
CustomerServiceStoreReview.Kohl'sCorporation.Web.30Apr.2012.
<http://www.kohlscorporation.com/customer_service/email/default.asp?a=email
choosepath>.
Dalal,Mihir."UrbanOutfittersCEOResigns,StockFalls15Percent."Reuters.ThomsonReuters,
10Jan.2012.Web.30Apr.2012.<http://www.reuters.com/article/2012/01/11/us
urbanoutfittersidUSTRE8092BZ20120111>.
DavidLetterman.IMDBInternetMovieDatabase.Web.
<http://www.imdb.com/title/tt0106053/>.
DetailsPage.Kohl'sCorporation.Web.
<https://cs.kohls.com/app/answers/detail/a_id/893/session/L3RpbWUvMTMzMTY2NTc
3NS9zaWQvSzlUc3NfU2s%3D>.
"FinalRule:AdditionalForm8KDisclosureRequirementsandAccelerationofFilingDate."Final
Rule:AdditionalForm8KDisclosureRequirementsandAccelerationofFilingDate;Rel.
No.338400;S72202.Web.30Apr.2012.<http://www.sec.gov/rules/final/33
8400.htm>.
107
"Fortune500Companies WhatDoesItTake?"Fortune500Companies WhatDoesIt

Take?Web.30Apr.2012.<http://www.dirjournal.com/businessjournal/fortune500
companieswhatdoesittake/>.
"Fromthe'LectricLawLibrary'sStacksGuideToCrisisNegotiations."GuidetoCrisis
Negotiations.Web.30Apr.2012.<http://www.lectlaw.com/files/cjs10.htm>.
"GoogleAlertsMonitortheWebforInterestingNewContent."Google.Web.30Apr.2012.
<http://www.google.com/alerts>.
InvestorRelations.Kohl'sCorporation.Web.
<http://www.kohlscorporation.com/InvestorRelations/Investor01.htmhttp://www.kohls
corporation.com/InvestorRelations/Investor01.htm>.
"InvestorRelations."Web.30Apr.2012.
<http://www.kohlscorporation.com/InvestorRelations/Investor01.htm>.
JCPenny's.FortuneMagazine.Web.<http://management.fortune.cnn.com/2012/01/25/ron
johnsonsrxforjcpenney/>.
"Kohl'sWall|Facebook."Web.30Apr.2012.<http://www.facebook.com/kohls?sk=wall>.
Kohls.AboutRetailStores.Web.<http://www.aboutretailstores.com/kolhs.htm>.
"Kohl's."AboutUs.Web.30Apr.2012.
<http://www.kohlscorporation.com/AboutKohls/AboutKohls01.htm>.
"Kohl'sCares ATeamVolunteers."Kohl'sCares ATeamVolunteers.Web.30Apr.2012.
<http://www.kohlscorporation.com/CommunityRelations/Community04.htm>.
"Kohl'sCaresSupportingWomen'sHealth."Web.30Apr.2012.
<http://www.kohlscorporation.com/CommunityRelations/Community0.htm>.
108
"Kohl's."CompanyStatements&Slogans.Web.30Apr.2012.<http://www.company
statementsslogans.info/listofcompaniesk/kohls.htm>.
Kohl'sCorporation.Web.<http://www
935.ibm.com/services/au/gts/pdf/disasterrecoverycrisisplanningsolution.pdf>.
Kohl'sCorporation.Web.<http://www.ntaonline.com/includes/media/docs/crisismgmplan
020703.pdf>.
Kohl'sDepartmentStores.MarketWatch.Web.<http://www.marketwatch.com/story/kohls
departmentstoresdonates100000totheamericanredcrossfortornadorelief
effortsinthemidwestandsoutheast20120308>.
"Kohl'sGreenScene."Kohl'sGreenScene.Web.30Apr.2012.
<http://www.kohlsgreenscene.com/>.
"Kohl's."Kohl'sDepartmentStores.Web.30Apr.2012.
<http://www.kohls.com/kohlsStore/ourbrands/ourwebsites.jsp>.
"Kohl'sRemodelStrategy."Web.30Apr.2012.
<http://www.slideshare.net/karinamunoz/kohlsremodelstrategy>.
"Kohls.comLegalNotices."Kohl'sDepartmentStores.Web.30Apr.2012.
<http://www.kohls.com/upgrade/webstore/security_legal.jsp>.
"Kohlscorporation.comSecurity&PrivacyLegalNoticesTerms&ConditionsofSite
Use(UpdatedasofDecember8,2011)."Kohls.comLegalNotices.Web.30Apr.2012.
<http://www.kohlscorporation.com/customer_service/SecurityPrivacy/SecurityPrivacyP
olicy.html>.
109
MarketWatch.Web.<http://www.marketwatch.com/story/kohlsdepartmentstores
recognizedbyepawith2012energystarawardforsustainedexcellence20120315>.
"MyAdvice(WhichIShouldHaveTaken)."KayePublicity.Web.30Apr.2012.
<http://kayepublicity.com/myadvicewhichishouldhavetaken/>.
"OurBrands."Kohl's.Web.30Apr.2012.
<http://www.kohls.com/kohlsStore/ourbrands/brands.jsp>.
"PeriscopeIQKNOWNOW."KohlsSurvey.Web.30Apr.2012.
<http://kohlssurvey.periscopeiq.com/>.
PublicationsReport.Heidrick.Web.
<http://www.heidrick.com/PublicationsReports/PublicationsReports/ExcellenceCEOSuc
cession.pdf>.
SecuritiesAlert.SmithLaw.Web.
<http://www.smithlaw.com/publications/SecAlert0607041.pdf>.
SecuritiesAlert.SmithLaw.Web.
<http://www.smithlaw.com/publications/SecAlert0607041.pdf>.
"S.W.A.T."GreenBayPoliceDepartment.Web.30Apr.2012.
<http://www.gbpolice.org/?page_id=86>.
TacticalOperations.FBI.Web.<http://www.fbi.gov/aboutus/cirg/tacticaloperations>.
UWGBEVSCOHost.Web.
<http://web.ebscohost.com.ezproxy.uwgb.edu:2048/ehost/detail?vid=3&hid=125&sid=
d0ce7c1a270c4cc58768
110
b627692989ba%40sessionmgr104&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=ap
h&AN=40628879>.
"WhenCEOsGoWild."TheAge.Web.30Apr.2012.<http://www.theage.com.au/executive
style/management/whenceosgowild201202291u2mq.html>.
111

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Likelihood Severity Impact

Top Ten Crises:

Time of Incident:_________ Location of Incident:______________________________

CRISIS MANAGEMENT PLAN

Incident Report Form (#2)

Stakeholder(s) of Concern: Contact Information:

Action Response: __CMT discusses appropriate measures.______________________________

Incident Report Form (#3)

Action Response: __CMT working hard on response.

Incident Report Form (#4)

Stakeholder(s) of Concern: Contact Information:

Action Response: _CMT contacted.

Incident Report Form (#5)

Action Response: ___Contacted CMT.

Incident Report Form (#6)

Action Response: ____CMT contacted.

Incident Report Form (#7)

Action Response: __CMT contacted.

Incident Report Form (#8)

Action Response: ___Continue monitoring.

Incident Report Form (#9)

Crises Management Team Member(s):__________Caitlin Gorham _________________

Action Response: ___Continue monitoring.

Incident Report Form (#10)

Incident Report Form (#11)

Incident Report Form (#12)

Incident Report Form (#13)

Action Response: __CMT continues to monitor.

Incident Report Form (#14)

Action Response: ___CMT contacted. Managers wait for more information.

Incident Report Form (#15)

Incident Report Form(#16)

Incident Report Form (#17)

Incident Report Form (#18)

Action Response: _On-going

Incident Report Form (#19)

Crises Management Team Member(s):__________Chloe Scheller _________________

Action Response: _On-going

Incident Report Form (#20)

Action Response: __On-going

Incident Report Form (#21)

Action Response: On-Going CMT controlling situation.

Incident Report Form (#22)

Action Response: _CMT is controlling on-going.

Incident Report Form (#23)

Crises Management Team Member(s):__________Raquel Lamal_________________

Action Response: ___CMT controlling On-going.

Incident Report Form (#24)

Time of Incident: 5:02 p.m.___ Location of Incident: headquarters

Incident Report Form (#25)

Channel Used:_phone_________ Date of Incident:__4/22/12_______

Action Response: ___CMT controlling On-going.

Incident Report Form #26

Media Contact/ Informant: Dr. So What

Time of Incident:8:30 AM Location of Incident: MAC 107

Yes: X Date: _4/24/12_____ Time: _ASAP/during media conference No: _________

"Fortune500Companies WhatDoesItTake?"Fortune500Companies WhatDoesIt

Vous aimerez peut-être aussi

Time of Incident:_ Location of Incident:______________________

Action Response: CMT discusses appropriate measures.____________________________

Crises Management Team Member(s):Caitlin Gorham _______

Crises Management Team Member(s):Chloe Scheller _______

Crises Management Team Member(s):Raquel Lamal_______

Channel Used:_phone_ Date of Incident:4/22/12_