Helping stakeholders involves managing the ongoing crisis at its very core.
Guidehouse has extensive experience helping our state and local government clients navigate financial difficulties, failed projects, and hurricanes and storm-related crises by providing services for program management, recovery planning and strategy, resilience assessment, and execution of recovery operations. In addition to the serious implications for people’s health and the healthcare services, coronavirus (COVID-19) is having a significant impact on state and local government operations. At the time of writing this article, the U.S. has more cases and deaths than any other country in the world. To understand the impact the crisis has already had on the economy, the World Health Organization declared COVID-19 a pandemic on March 11, 2020. At the time, U.S. unemployment claims were close to a half-century low, and 38 COVID deaths had been reported. Since then, the U.S. economy has been rocked, with some estimates predicting 47 million unemployment claims and 200,000 deaths. It is imperative that leaders, including state and local governments, take action to protect people and minimize the economic damage.
A crisis can have multiple consequences. Financial management, stakeholders, and brand reputation can all be damaged. Communications, operations, ongoing projects, and legal issues could be at risk. A mismanaged crisis can lead to employee attrition, failed projects, negative media coverage, and harm to citizens counting on government services. Both internal and external stakeholders are subject to extreme pressure to deliver promised services.