Corporate Crisis Communication Spring 2014 Georgetown University Faculty

Corporate Crisis Communication Spring 2014 Georgetown University Faculty Judith Muhlberg & Bruce Harrison Class #10 March 20, 2014 Georgetown University Corporate Crisis Communication 2/13/2014 1

Corporate Crises in the News General Motors Toyota BP Georgetown University Corporate Crisis Communication 2/13/2014 2

GM: CEO as Spokesperson Content ◦ 1. Information ◦ 2. Apology ◦ 3. Resolve Style/Tone ◦ 1. Employee communication, first ◦ 2. EQ ◦ 3. Confidence Contexts ◦ 1. Woman, mom ◦ 2. There when it happened ◦ 3. Toyota case Georgetown University Corporate Crisis Communication 2/13/2014 3

Georgetown University Corporate Crisis Communication 1/9/2014 4

Toyota: Into the sunlight Content/Tone 1. Information 2. No apology 3. Compliant Context 1. Regulatory response (DOJ) 2. GM situation Georgetown University Corporate Crisis Communication 2/13/2014 5

Georgetown University Corporate Crisis Communication 1/9/2014 6

BP: Out of the penalty box Content/Tone 1. Engaged in Gulf lease bidding 2. Confident/chastened 3. Determined to play by rules Contexts 1. US sourcing NG & oil 2. International situation 3. BP record, Gulf Georgetown University Corporate Crisis Communication 2/13/2014 7

Georgetown University Corporate Crisis Communication 1/9/2014 8

Case Studies: Damage Control Applied April 3: Your Opportunity to Brief on Classic Case Studies with Eric Dezenhall – ‘Damage Control’ Author Bonus-Points Assignment Georgetown University Corporate Crisis Communication 2/13/2014 9

Georgetown University Corporate Crisis Communication 2/13/2014 10

Team 1 Team 2 Team 3 Team 4 Team 5 Bonus-Points Exercise Chapter 11: Chapter 13: Chapter 15: Chapter 16: Wendy’s Chili Exxon Valdez Pepsi Syringes TYCO Browning-Ferris Industries Each team presents 30 -minute review. Author Eric Dezenhall will give you his feedback. Every team member receives 2 bonus points toward her final grade in this course. Georgetown University Corporate Crisis Communication 2/13/2014 11

Briefing Format A common process Georgetown University Corporate Crisis Communication 2/13/2014 12

You will analyze communication factors in case studies with these guides: (adapted from Dezenhall) 1. 2. 3. 4. 5. 6. 7. 8. Who is the ‘victim’ and who is the ‘villain’? Is the company taking the initiative? Is it on offense? Is the company trying to change the focus? Change the debate? Rally its base? What is the company’s main message? Or defense? Is the company wrapping its argument in a principle? Security, Safety, Privacy, Choice, Justice, Economy…? Has the company apologized? If so, did that help? What will be the outcome? Will there be life after the crisis? Will the torpedoed ship survive? Communication recommendations? What do you suggest for the company in the post-climax period? Georgetown University Corporate Crisis Communication 2/13/2014 13

Your Case Victims: Villain(s): Event or Condition: Georgetown University Corporate Crisis Communication 2/13/2014 14

Disruption from the Event: Threats to sustainability, reputation and stakeholder support: Georgetown University Corporate Crisis Communication 2/13/2014 15

Impact on the Company – Short and Long-term: Georgetown University Corporate Crisis Communication 2/13/2014 16

Additional Questions to Answer Was the company taking the initiative? Was it on Was the company trying to change the focus? What was the company’s main message? Or Did the company wrap its argument in a principle? offense? Change the debate? Rally its base? defense? Security, Safety, Privacy, Choice, Justice, Economy…? Did the company apologize? If so, did it help? What was the outcome? Was there life after the crisis? Did the torpedoed ship survive? Georgetown University Corporate Crisis Communication 2/13/2014 17

Additional Questions to Answer If you were CCO this company when the crisis occurred, what would you have done differently? If this crisis happened today, what factors would have impacted your CCO response in 2014? What are the lessons learned? Georgetown University Corporate Crisis Communication 2/13/2014 18

Workplace Violence Deadly Shooting at a Manufacturing Plant By a Former Employee Georgetown University Corporate Crisis Communication 2/13/2014 19

‘Two Crises’ Assignment Paper Due April 10 Choose: Two crises from ‘Damage Control’ text, or class discussions or guest lecturers. Analyze: Cause, risk, stakeholders; BAO targets, communication strategies, climax or turning point, reputation outcome, recovery. Reference to our ANATOMY OF CRISIS. Write, Chart: Prepare a brief 3 -page paper and a chart (table or other graphic) that makes your comparison and analysis easy to grasp. Georgetown University Corporate Crisis Communication 1/10/13 20

PIP#3 is due March 27 Georgetown University Corporate Crisis Communication 2/13/2014 21