Crunch time is the consequence of a bad planning. To make a development schedule is a difficult task, that's why is important to have experienced persons in charge of this. The most common error is to be too ambitious, a good plan should be realistic and fit with the resources.
Why avoid crunch? The final quality of the game depends mainly on the employees. If their morale is not high, are stressed or their minds are not refreshed the result in the game will be more bugs and less fun.
If, after all, the crunch time is inevitable, is important to make sure that the team has all it needs. Respect and support are welcome in these difficult days, all the team should help, and the bosses should be the first ones to work. At the end of the crunch, the team waits for a reward for the effort, days off or pay the extra hours are the basic ones.