Posts Tagged ‘crisis’

A study in crisis: Blazin’ Blazek

Tuesday, February 25th, 2014

iStock_000011508802_SmallUPDATED 26 Feb:  If you’re a PR/Comms pro in NE Ohio, you know about @NEOHcommjobs, run ably by one Kelly Blazek.  She recently was honored by IABC Cleveland as its 2013 Communicator of the Year.  You also probably know by now that Ms. Blazek flamed the bejesus out of a young PR person who reached out via LinkedIn, responding with an email best described as more than tart.

KB abides strongly by the LinkedIn credo that you should LinkIn only with those you know well. Thus, a passing acquaintanceship on social media, or mutual “friends” is highly unlikely to meet with a favorable resolution.  Back a few years, I reached out via LI and got a nice note back outlining her policy in that regard, along with the hope that one day we might indeed work together.

I’ve got no truck with that.

Well, as this post outlines, Blazek went off on said young one and impugned the professionalism of all like her in the process.  The process to even join the Yahoo! group that gets you an email summary of NE Ohio jobs in our field requires a brief email to include some background and why you want to join.  Apparently, failure to follow directions to Blazek’s satisfaction is strike one, with a LI invite worth two strikes, two additional outs, and a “blazing” email — which then the offended party shared with several close friends…wait for it…on social media.

Hm.

@NEOHCommJobs is shut down, as is Blazek’s LI.  Bruce Hennes says there are Villains, Victims and Vindicators in any crisis scenario. Right now, it’s all Victims and Vindicators — all that’s missing is the Red Queen shouting, “off with her head!”

Go read the post (it includes images of the offending missive), or watch WKYC-TV and tell me —  Should IABC Cleveland go through with the honor?  And, excuse me, Ms. B., but where is your voice in this?

What should IABC Cleveland do? What should Kelly Blazek do?

UPDATE — In a story on Cleveland.com by @janetcho, Ms. Blazek apologizes. It’s fairly textbook, and it doesn’t seem to be a “non-apology apology” that you hear from sport figures and politicians.  I do wonder (as do others who’ve commented on Facebook) about its true sincerity. If it’s true that this was, as one person told me, “standard operating procedure” and “the most open secret” then you have to assume that only the social media scrutiny brought about the rejection, no?  If we apply an ethics lens to this, however frustrating it might be to receive off-topic notes from people who aren’t in the target market, and who perhaps are a bit presumptuous in asking for help without first attempting to create a relationship, you don’t have license to be rude, in my opinion.  I try to be understanding and kind, well, all the time. Sometimes I don’t succeed, and when I’ve been a snarky dude I own up and apologize. Because I’ve got a rep as a nice guy, people know I’m sincere. I’ve declined LI and FB invites from people I know only tangentially, but lately I tend to be more open just because I know how hard it is to get connected with the right people.

But seriously — given the fact that people can take offense rather easily (not speaking of this current situation, as I do not know the principals well), is it right to share your outrage publically?  Does KB deserve to be blackballed, banned, placed in stocks in Public Square? What do you think?

 

 

 

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I miss blogging

Wednesday, May 8th, 2013

OK, I’m kind of lying. I don’t miss the blogging I did four years ago. You know, the blogging I did because I didn’t have a job or clients and needed to do something productive.

I talk to people “in transition” frequently. I try to say “yes” as much as possible, because I remember what it’s like. Communication AMMO still has just one employee, and it only now seems like it’s going to allow me to earn a living for a while. But it’s a darn site better than the waiting many of our colleagues have gone through for the past few years.

Blogging is a little bit of an ego trip, so obviously, I’m not doing it right. The frequency of posting is way down, and so to is the number of people reading my fevered musings. I’m not feeling very fascinating these days. I’m putting most of my energy into work for clients, work for classes taught and work for volunteer opportunities.

I DO feel like I still have something to say. So, don’t be too surprised if I’m a little more visible than in recent months in this space.

In the meantime, if you are in position to hire people, don’t turn your back on folks who’ve been out of the game for a while. If you can use an extra hand, reach out to a colleague working on launching their own gig. Be generous as you can be, even if only with your time, your support, and your coffee.

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Crisis demands understanding, says expert Hennes

Thursday, February 21st, 2013

IABC Cleveland is no stranger to Bruce Hennes. He’s the 2011 communicator of the year and his firm, Hennes/Paynter, is the local champion of effective crisis management through communication. At the 21 Feb. lunch, a small but lively crowd ate up his pithy prescriptions for communicating in very bad times.

I’ve seen Bruce speak many times, first at a luncheon for the Legal Marketing Association, then at an IABC lunch in 2011, and now today, and he always impresses me. As a speaker, he’s an unassuming guy, not given to theatrics, but his content is peerless and his delivery always excellent. Many speakers could learn from him how to hold an audience’s attention through sheer strength of story.

Hennes uses catchy terms — the 3 Tells, 3 V’s, F’up, Fess-up, Fix-up  —  and demonstrates through example what he means. The first of these is the command that supercedes all others — you have to tell the truth, tell it first and tell it all. The 3 V’s are the frame that the media places around stories. Everyone involved is one of these: Victim, Villain, or Vindicator. Care to guess where business (especially executives), education administrators and other “powerful” people find themselves?  The goal for most organizations in the midst of a crisis is to move from villain to vindicator, he says. When you, ahem, Mess up, you need to fess up and describe what you’re doing to make sure it never happens again.

The media brings its own filter to the proceedings, and they’re on the lookout for you to reinforce the role they want you to play. That’s why “no comment” or its usual cousins are so bad — what does “no comment” mean to you? Guilty!  Hennes insists that the media’s job isn’t to inform or educate, it’s to tell stories — the triumph of the Little Guy over the Establishment being a fairly common one — Victim, Villain, Vindicator.

The good thing is that when we know that, we can take action.  Hennes tells a story about an embezzlement scandal at a governmental organization. Hennes/Paynter brought the executive director straight to a reporter and gave them the story in exquisite detail, without violating privacy dicta, and when the very big story broke, its headline put the organization in very positive light, instead of the reverse. The reporter told Hennes later, that if the organization had not brought the story in, the paper would have socked it to the organization big time.

Entertaining, educational and excellent all the way around.

Note: I’m still having no luck uploading photos for the blog since it changed URLs. Help? 

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PR is NOT the Guardian of Corporate Reputation

Friday, November 16th, 2012

A guest post by James G.Savage — A few weeks ago Sean posted eloquently on the value of a firms’ reputation. Akin to the accounting concept of goodwill, there is general agreement that reputation and, hence, reputational risk is, in fact, tangible and material. In light of the wreckage of the past few years, stakeholders increasingly assume companies are on top of reputational issues, but in fact most companies still do not have any sort of proactive reputation management strategy, with no holistic approach to building reputation and mitigating risk.

Functionally, who owns corporate reputation? In the risk management world there is a fierce debate going on right now over that very point. Most corporate communicators reading this blog would probably assume PR is front and centre here, as communications is at the intersection of brand, business, stakeholders and reputation.

And they’d be dead wrong.

Reputation management remains at a very nascent stage. Like the parable of the blind men and the elephant, various internal ‘experts’ within the enterprise approach corporate reputation from their specific fields of expertise. Within companies, the C-suite assumes reputation is top-of-mind for all employees, while specific functions – enterprise risk management/GRC (governance, risk and compliance), marketing, communications, operations, product development, corporate sustainability, even IT – equally assume they “own” guardianship of the firm’s reputation. These various parties work diligently in splendid isolation from one another, often falling victim to the critical myths I outlined in an earlier white paper.

The author of KPMG’s authoritative Reputational Risk Survey, Dr. Thomas Kaiser, put it this way in a recent interview with Britain’s Risk Universe magazine:

The role of PR departments is essential for ‘clean-up’ operations following a reputational risk event, but they should not be key in its active management. Reputational risk is not a PR exercise – the underlying problems of any event need to be solved rather than actively managed after the event.

To me, that quotation epitomizes the singular failure of corporate communications to get beyond the tactical and be seen as central for business strategy and corporate reputation. Kaiser adds that “people (in the enterprise) need to define their role in reputation management.

So I’ll put it out there for this blog’s readers. Has PR missed the boat? Are we down there in the weeds thinking reputation management is merely a matter of getting rid of that nasty Facebook post or Twitter meme without taking the lead in communicating to the C-suite why the attacks on reputation are occurring? Have communicators been sidetracked by CSR into being the Pious Works department?

If PR doesn’t lead, then whom?

Jim Savage is principal of Reputation Leadership Group (www.reputationleadershipgroup.com) (RLG), of which Sean is a member of the board of advisors. They have been collaborating and co-conspiring happily for many years.

 

 

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Notebook: Reputation questions to chew on

Monday, September 10th, 2012

With trust in business — particularly big business — holding steady, but near all-time lows, and a political climate bent on slavish promotion of business and business people on one side, and equally slavish denunciation of business and business people on the other, where does that leave the public relations function of reputation management?

What are the components of reputation, and how do you measure them? What role do business executives play in supporting or undermining reputation? How do social media reflect popular opinion — or not? Do transactional relationships help or hinder reputation? Do simple errors constitute a crisis of reputation? Why or why not?

How should businesses (and other organizations) respond to reputation issues? What role does organizational behavior play? What about employee behavior, customer service, problem resolution?

I’m pondering these things, and realizing that they’ll take some research and exploration.  Stay tuned for some expert witnesses in this space in the days and weeks to come.

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Blame the banks again

Tuesday, May 22nd, 2012

Darn those Evil Bankers!

The latest imbroglio in the financial sector is JP Morgan Chase’s disclosure of a multi-billion dollar trading loss. Since the announcement, JPM’s stock is off more than 8 percent, has been downgraded by Fitch (one ratings agency) and is now exhibit A in the Obama administration’s drive for tougher bank regulations. Oh, how I miss working in banking!

When things get crazy, people want someone to blame — Heads on Pikes, as one National City colleague put it. The  narrative is that greedy bankers caused the recession with their complicated hedges, derivatives toxic mortgages, et.al. Aside from that being a gross oversimplification (got to spread the blame much more broadly), it’s not illegal for a business to lose money.  JPM is a financial company that has different types of businesses.

It’s a bank – Chase — in the consumer and commercial banking businesses. It takes deposits and makes loans. It makes money on the difference between what it pays for money (near zero for deposits, but a little more in other sources) and what it takes in (interest and fees).  When people think of banks, this is what they think of. By law, the only path of investments for excess funds is U.S. Treasury bills, bonds and notes, and making loans. There are a lot of different types of loans out there, such as commercial paper, repurchase agreements, interbank lending, etc., but for our purposes, that does it.

The JPMorgan unit offers services for corporations not covered (very much) by Chase. Most notably, it’s various varieties of selling and buying stock and helping companies and other entities manage their cash. This is the part that gets people all twiddle-pated. The work is similar to taking deposits and making loans, but not really the same.

In the course of doing this work for companies, investment banks like JPM can make income by trading on their own – no client required. At its best, it raises cash that can help the company’s balance sheet and income statement. At its worst, it costs them money.  The fear is that too many losses on the “equity” business side will destabilize the traditional bank side.

But back when these businesses were required by law to be separate, in relative terms borrowing was more expensive and rarer, and many businesses lacked the capital to grow. It’s like we are now in a nostalgia mode for the days of the 1970’s. Speaking as one who remembers soaring unemployment, skyrocketing interest rates and surging inflation all at once, that nostalgia is pretty darn silly. Oh, and banks were open 10-3, there were few or no ATMs and no online anything.

Now we take all of that for granted.  It’s not cheap to provide all of that, and then you get told you can’t charge what you want for it.  An opinion piece in the New York Times carped that JPM had lost $2 billion of “our” money.  Not so. It didn’t lose depositor money, or even client money. It didn’t even lose investor money, unless the investor sold in the couple of days following the disclosure. It also didn’t lose government money — it repaid its TARP loan (that it was forced by the government to take) in 2009.

For JPM, they insist they have plenty of cash and profits despite the $2 billion trading loss. CEO Jamie Dimon has been plugging away on the talk show circuit, chanting mea culpas in the “by the book” crisis mode, and has even “accepted the resignations of” three execs with accountability for the loss, but it hasn’t stopped the criticism.

Where the administration, the FDIC and others are correct, however, is in saying that banks that are “too big to fail” are a systemic risk to the economy. Scale is wonderful until it gets so wide that no one knows what everyone else is doing. Even Jamie Dimon would agree that stepping in so huge a cow pie emboldens those who want the biggest banks to be smaller and more tightly regulated. That’s why the broader financial sector got hammered in the market in the few days following the disclosure.

What could Dimon due differently? Nothing. There are times when business is a poop sandwich and everyone has to take a bite. JPM is still with little argument the best financial in the business. Dick Bove, an analyst, said as much this morning when he rated it a buy.

In the meanwhile, the FBI says it’s investigating JPM, the FDIC has sued it for $15 billion, and the media fans the flames of hatred.  In short, the mob gathers again, demanding blood.

What a business.

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Ethics starts with “me”

Wednesday, March 21st, 2012

If the public relations industry isn’t evil, it is frequently unethical, caught in a Hobson’s choice between making a living and living a moral and ethically sound life.  Have you opted to do something that doesn’t feel right because your boss, or your client wants it?

The anonymity of the Internet makes it easy: create a phony profile on Yahoo! Finance and go to it. Stir the pot on your company’s message boards, pick fights, misdirect.  Comment on Twitter under a false name and hide the fact the company’s paying you to foster Twitter dialogue.

How about priming the comment stream about your company’s product?

It’s all too easy to say, “Well, if our agency doesn’t do this, the client will just find someone else who will.” Or, “I’ll get fired if I don’t do it.”

We often seem to think that ethical problems are someone else’s concern. But it all starts with “me,” not with “you or them.”

At what price will you sell your ethical soul?

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Verdict on American Airlines’ Bankruptcy Comms – Good So Far

Tuesday, November 29th, 2011

Courtesy AA.comDuring my putative lunch today (29 Nov) the erstwhile Roula Amire of Ragan.com asked if I’d write a quick post on the bankruptcy communications coming out of AMR Corp., the parent company of American Airlines.  At first I said no, too busy, but as my home office was still captive to contractors, I quickly reconsidered and wrote something (thank you, Panera wi-fi!).

Bop over to read my piece. I’ll tell you this much — given the requirements of lawyers and the, I don’t know, 12 different constituencies they needed to satisfy, I think they did a good job.  I like the Facebook video from AMR’s CEO, and the customer service Twitter stream pointing people to FAQs.

This is another case of “Dirt-sandwich-and-everybody-has-to-take-a-bite.” There’s not much we can do but smile and chew.

 

 

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Herman Cain as Crisis Lesson

Wednesday, November 9th, 2011

Others have already written on this topic, so I’ll offer just a few things to consider when discussing Republican Presidential candidate Herman Cain.  Foremost is the distinction between legal advice and public relations advice: they’re not the same thing.

There are four women who’ve claimed that Cain offered unwanted and unwelcome sexual advances during the 1990’s, when Cain led the National Restaurant Association. All four were employees of the NRA, though one was no longer an employee when she claimed the harassment occurred. Two filed complaints and received cash settlements. To others did not file complaints. Legally, payment of settlements is not proof of guilt. PR-wise, most people would say they are.

Legal-beagles are no doubt telling Cain to deny these incidents occurred. No one can prove otherwise, legally.  Sexual harassment seldom occurs with witnesses present. Ask President Clinton about his experience with these matters. His alleged behavior while governor of Arkansas was orders of magnitude more egregious — state troopers acting as spotters? Dropping trou to Paula Jones? And then there’s Monica Lewinsky — hmm, leader of the free world and white house intern?

Under the law, sexual harassment has two potential proof points — hostile work environment or quid pro quo. Pattern of harassment that creates the hostile environment or swapping sex for employment. Under the law, being a boor isn’t a crime.

So for an attorney, there’s no evidence of sexual harassment. For a PR counsel, that simply doesn’t matter. Who here believes that these four women made all this up, especially the two who filed complaints and received cash?  One publicity-seeking money-hound is one thing. Four is another.

Meanwhile, Cain denies, and the story is hot every day. What if Cain’s news conference had featured this statement:

My fellow Americans, as much as it pains me to say it, there was a time in my life when I behaved less than admirably regarding my relationships with women, and the allegations you have seen and read lately stem from that dark period some 15 years ago. By the grace of God and the support of my family, I was able to recognize that though my actions did not fit the legal definition of sexual harassment, they were still inappropriate and wrong. I deeply regret my actions and have sought support and guidance from my family and my faith to become a better man, a better Christian.

We could wordsmith this to death, of course, but where does the media go after hearing this? Cain could have taken questions, and to each that asked for details, reply that there’s no point in rehashing the incidents, and that he is very sorry for the pain he caused to the recipients of his unwanted attentions.

Of course, the whole thing flares up again if there are additional allegations from after the NRA, particularly Godfather’s Pizza, where he was CEO. The other thing to keep in mind is that the case against President Clinton was more substantive on par — more people, the Troopergate material, and a continuing pattern.

Chances are, Cain won’t get the nomination anyway — but I don’t think it’s the end of his campaign.

 

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Planes, Trains, Cabs, Buses. Waiting.

Thursday, January 27th, 2011

This is what 15 inches of snow in less than 24 hours looks like.

With the winter that the northeast US has suffered, I shouldn’t have been surprised that this week’s snowfall put a serious crimp in my little one-night jaunt to the City That Never Sleeps for an IPR Measurement Commission meeting.  Thank heavens for Jeremy and Alice, who welcomed me into their home for an extra night solo, and even fed me granola this morning.

Wednesday dawned to a wicked wind and big snowflakes. By 11 a.m., my 4:10 Continental Airlines flight home was canceled, rebooked to 7:30 p.m. But this snowstorm was a two-part invention in pain, and the second movement hit (sleet and freezing rain) just as the evening commute was starting. Colleagues on United and others got the axe, and I decided I’d rather spend another evening on Jeremy and Alice’s guest bed than run the risk of being marooned for the night in the comfort and luxury of LaGuardia Airport.

So, I rebooked for 10 a.m. Thursday, well after the snowmaggedon was due to end and with plenty of time to negotiate Manhattan’s buses, streets and subways.

Au Contraire, mon frere. We got about 15 inches in Central Park.

At 7 a.m., my 10 was canceled, Continental wasn’t answering its phones, the Web site offered no alternatives and I was sweating bullets. I Tweeted to @Continental pleading for help (followed them) and a  little later, they DM’d me asking for confirm and deets. In the meantime, I hied myself off to Penn Station, where Continental maintains a ticket office, by subway.  The office was closed, probably because the 15 inch snowfall on the island was about the same as the other boroughs and immediate vicinity. I boarded a New York Airport bus van (a private company) at Penn Station, went to Grand Central, got on a larger bus, waited for 40 minutes or so, then made a fairly easy jaunt to the airport.

At LaGuardia, the Continental staff solved my problem, crowbarring me into a seat on a 6 p.m. flight. Of course, it was barely 1 p.m. at the time, meaning I faced a long afternoon. Fortunately, the President’s Club has good wi-fi. I’m writing this from a cozy carrel.

So how did Continental do?  What could they do? As talented an airline as they are (thank you for maintaining a hub in Cleveland!), they can’t change the laws of physics and conjure up airplanes on the spot. They have to come from other places, and with basically a full day flights to re-jigger, they did what they could. It helped, I’m sure, to present myself here at the airport and talk to a real person (who was very nice and helpful.)

I wish that when they cancelled my Thursday morning flight, they’d rebooked me immediately, as they did on Wednesday afternoon. I wish they could have had enough telephone operators on hand that I could have learned my fate earlier in the day. But all in all, Continental confirmed why they are my airline of choice. I got treated with respect, the Twitter operator tried to help me out, and in the end, I’m on the way home.

I hope the new United does as well.

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