Question

Companies may want to consider budgeting for contributions to employee loss expenses (such as funerals) as well as for counseling services for employees and loved ones as part of ____.
a. crisis management budgeting
b. incident response budgeting
c. risk assessment budgeting
d. recovery criticality budgeting

Answer 1

As a part of crisis management budgeting the companies contribute to employee loss expenses (such as funerals) as well as for counseling services for employees and loved ones.

Option a

Explanation:

The process through which the company manages an unexpected or disruptive event or happening that may threaten a harm or shortcoming to the employees or stakeholders or the organization.

This is considered to be the most vital process in the public relations. There are three major elements that are common to create a crisis namely,

(a) threat

(b) short decision time

(c) element of surprise

Every organization would priorly plan a budget for a year that would help in compensating the loss that occur during the start of that financial year.

This crisis management budgeting would be a support or a backup for the company if it is about to face a problem or slowdown.