Unorthodox Solutions Pay Off!

When in the midst of a PR crisis, it would seem natural to become nervous, irritable, and anxious.  Take this case for example:  you and your place of employment have been personally attacked in a way that has the potential to harm your reputation.  What do you do?  Getting angry, seeking revenge, and demanding a public apology seems to be the obvious solution. However, your reaction to the situation can determine the effectiveness of the outcome.

Dennis Miller, former assistant PR director at Elmira College (EC), posted on The Higher Ed Marketing Blog about an incident that occurred to him, and his unorthodox response which turned out to be a highly effective solution!  During a snowstorm, Big Ange, well-loved radio DJ, slammed Miller and his boss, Martha Horton, for not informing the station of the status on EC's closing.  He went on to say, "Martha Horton, Dennis Miller, they're the worst PR people in the world!  The worst!"  Clearly, damage was done and repairs needed to be made.  Although the president of the college wanted to sue for slander, Miller had quite a different idea.  

Miller invited Big Ange on a tour of the EC campus, which he complied to.  He met and conversed with not only several employees, but also the school's president.  Knowing that Big Ange was a lover of food, Miller arranged to have him taken to the dining hall where he was served a six-foot sub.  Miller took pictures and wrote an article the next day for the daily paper, increasing Ange's local stardom status.  

That morning, Big Ange raved about Elmira College, providing EC with plenty of unpaid endorsements, consequently reversing any negative publicity that was caused from the previous day.  The free publicity EC received went above and beyond what any lawsuit would have brought them.  This goes to show you, that when you are in a PR pickle with your reputation on the line, sometimes all you need to give is a little bit of love.  Reaction can be everything, and being able to keep your cool and think rationally can ultimately help in the end.

Blogs as Effective PR Tools

All these weeks I've been blogging about crisis PR, I never stopped to think how blogs can actually be a crucial aspect of a crisis communications plan!  While browsing the blogosphere, I came across Chris Turner's Corporate Communications Blog.  Chris is a media relations manager and writes very interesting and informative posts.  Through his post Blogs in a Crisis (parts 1 and 2), I realized that blogs are an extremely important tool that have the potential to help organizations in crisis respond quickly to those who need the information.  

My focus of Turner's post was the Tornado that swept through Jackson, Tennessee, absolutely destroying the campus of Union University in early February.  With this example, he shows how blogs and social networks have become vital in getting through a crisis successfully.  After the tornado hit, the university's web site was down.  Friend of Turner and News Director of the University, Tim Ellsworth, knew that word needed to get out fast to parents and other concerned citizens.  While writing a news release, he discovered that just minutes after the destruction, Turner's friend, Steve McCoy, had already posted regarding the incident.  Making a smart move, Turner decided to comment on McCoy's post using the information from the news release he was writing.  This turned out to be an effective way to inform the public and to reach those who were seeking this information.   Within minutes, parents, alums, friends, etc. began turning to this blog for the latest information.  Less than a day after the big blow, Chris notes how there were more than 200 bloggers posting comments, information, pictures and videos regarding the tornado.  In fact, this turned out to be a great way to connect the students to their parents.  

The use of blogs in this situation was an effective maneuver for spreading the word in this time of crisis.  President of Union University, Dr. David Dockery was praised for making himself accessible and visible.  Fortunately for him, I believe that due to the blogs, much of the pressure was taken off of Dockery.  Had parents not been able to receive any sort of information, there certainly would have been growing concerns and frustrations, which could have caused Dockery's leadership to be questioned.  For about a month, Tim Ellsworth updated his blog regarding the recovery effort in order to continuously get new news and information out there to those who needed it.  All in all, this tactic, to me, was brilliant.  It just makes sense to turn to immediate and interactive social networks such as blogs to receive and share vital information during a crisis.  

The Big Blog Company suggests that the blogs role during a crisis includes:

1.  to disseminate the facts, staying ahead of the news cycle

2.  to project a company's message

3.  to combat error and squash rumors

Blogging as crisis management is suggested to be done by one person in the company who then reports to the CEO in order to verify facts.  The point of using a blog as a tool is to record company's management of a crisis, to correct errors, and to report facts.  By providing accurate information regarding the company, and NOT opinion, this can be an effective PR tactic.  Also, as Turner suggests, part of a crisis communications plan should be assigning a person to monitor blogs in order to respond appropriately to others who are writing about you or your company. 

Starbucks Needs to Take Action!

The largest U.S. coffee-shop chain, Starbucks, is in trouble with its employees and the law. Bloomberg Television reports that Judge Patricia Y. Cowett of San Diego Superior court ruled that Starbucks must pay penalties in the amount of $105 million for illegally using servers' tips to pay superiors.  Employers taking tips from the baristas is prohibited under California law.   Now, 100,000 Starbucks servers from 1,400 California locations will be repayed as restitution.  It was determined that a shocking $87 million was improperly distributed by the company to its supervisors.  

So what does this mean for the public relations of Starbucks? Since the ruling was just announced, any negative effects on the company are yet to be determined.  In fact, Starbucks actually rose 3 cents in the Nasdaq Stock Market yesterday.  My concern for this chain is not only the public relations, but especially its employee relations.  This negative attention could possibly start a domino effect and spin out of control.  This could spark even more filed legal complaints if this issue is happening elsewhere in the country.  If workers feel unappreciated and undermined by their employers, it is likely they will either quit or simply not care about their job responsibilities.  Unhappy employees undoubtedly leads  to unhappy customers, which is in no way good for this company.  Additionally, disgrunteled employees never hesitate to vent about their concerns, which in this day and age is extremely easy to spread word about. With the Internet, blogs, chat rooms, etc., spreading complaints and gossip about a company catches on like wild fire and often times receives extremely negative public attention and even worse, press.  This is why I purpose Starbucks take action NOW before it's too late.

When asked about the California ruling, Starbucks spokeswoman Lara Wyss would not return calls for comments.  In my opinion, this is very dangerous.  Although there is no huge PR crisis right now, Starbucks management should be looking to the days ahead.  I first think it is crucial to issue an apology to their employees, or at least make a public statement regarding the situation.  Also, I would suggest that Starbucks initiate an employee incentive or employee recognition program.  I believe this would be the best way to retain their current workers as well as continuing to attract new ones.  Aside from following the law, Starbucks must focus on keeping their employees happy so that this situation doesn't spin out of control, and cause a serious public relations mess.  

Gibbon's Bad Moves

It is considered old news that a Las Vegas clinic was found to be using unsafe medical practices, putting the health and safety of Nevadans at risk.  Now, being nearly 3 weeks since this crisis unfolded, the heat is on yet another governor.  Governor Jim Gibbons of Nevada just announced Monday that immediate, aggressive action is needed to restore public trust in the health care system.  However, rather than journalists focusing on the Endoscopy Center of Southern Nevada, where several Hepatitis C cases broke out, attention is on Gibbons and his failure to act fast enough.

Not only is he being accused of not taking the hepatitis C outbreak seriously and delegating his responsibilities, but his leadership is being questioned.  This has led to a series of denials by Gibbons, which is not seeming to help this ordeal he's in.  So how is he handling his current situation?  When I was trying to determine my thoughts on the issue, it helped to get a feel for what he has done and said since the outbreak became public.  Here is a general timeline, according to the Las Vegas Review-Journal, so you can decide for yourselves if Gov. Gibbon's actions, words, and timing has been appropriate:

February 27 - Crisis becomes public:  Notices sent to 40,000 patients to test for hepatitis and HIV

March 06 - Gibbon's first official response to the health alert in the form of a news release. He called on the Department of Health and Human Services to address the "public health emergency" by using any and all resources, including the Disaster Relief Fund.  "With the health of so many Nevadans seemingly at risk, as governor, I feel it is imperative that we act swiftly and decisively to help restore public trust and to ensure that unsafe medical practices are halted immediately."

March 08 - Senator Joe Heck (also a physician) publicly accuses Gibbons for failing to take more action.  "Nevadans deserve much better than this, and they are looking to their elected leaders and the medical community for a swift, thorough and decisive response to this crisis in order to regain their trust and confidence."

March 10 - A news conference is held by Gibbons to answer media questions.  He stated that he believed criminal action should be taken against the clinic workers who purposefully endangered the public.  However, when asked on his thoughts of clinics receiving more oversight, he compared the situation to speeders.  "We could inspect surgical centers annually and then pretty soon, have we done overkill?"

March 15 - Gibbons explains to the Reno Gazette-Journal that the unnecessary "media buffoonery" is to blame for scaring the public.  He stated that six hepatitis cases was actually a small number.  This causes shock amongst the public.

March 16 - The governor declares that he is asking three members of the medical board, including the executive director and the head of the Bureau of Licensure and Certification to step down.  He publicly apologized for his "buffoonery" statement.

March 17 - Gibbons announces that an advisor to Dr. Dipak Desai, the clinic's owner, is resigning.  He calls for strong action to be taken immediately.  "We cannot wait.  We cannot linger until all the information is in while we are under this crisis of confidence in our public health care system.  He have to take action."

This brings us to the current day and the current situation.  In my opinion, which is the general consensus for the LV community, the call for action three weeks after the outbreak is just too little too late.  Especially after several appalling comments, I would have to agree with questioning his leadership.  Even with all the criticism, Gibbons defends himself.  "I don't think we waited long.  Additional information was coming in daily.  When I received additional information after Saturday, it became very clear that we needed to take action, and that's what we're doing today."

This won't save the governor though, and unfortunately for him, this is not a good public relations pickle to be in.  Not shockingly, political scientist Eric Herzik, explained that with the governor's longtime press secretary leaving last month, his public relations team is in transition with a new one scheduled to start next week.  Hmmm....well this could explain his lack of appropriate action and comments.  It's crazy to think how much politicians rely so much on public relations to get them through, and out of a crisis.

Eric Dezenhall, CEO of the international crisis-management firm Dezenhall Resources, states, "People are looking for a pathway out of the wilderness.  Ideally, you'd be able to say, 'problem solved.' But in the absence of that, people want to know what your plan is for getting through the uncertain future, and that you're taking a personal interest in seeing in through."  

At this point, it doesn't seem that Gibbons has proven he can lead his people out of the wilderness.  It makes me wonder where this crisis-management advice when the governor needed it?

Spitzer Resigns

I woke up this morning to find that Governor Spitzer not only made the front page of my Democrat and Chronicle, but also a whopping three page spread on the inside.  Seeing as this is breaking NY news, I decided to follow-up with my last article, adding the new information that has been provided...

It is official that Governor Spitzer is resigning.  It was made public today he has complied with the 67% of New Yorkers that believe he should remove himself from office.  Democrats and Republicans alike agree that this is the right decision, as this will allow the process of budget making to begin.  Although this news is a huge shock that is receiving much public attention, it is time for our state to move forward, and for his family to begin healing.  

After some investigation, it has been revealed that "client 9's" meeting with Kristen was just

 one of many.  In fact, he has racked up an $80,000 tab for his arrangements with the high-class hookers.  Although Spitzer is not being prosecuted with anything yet, do to his alleged patronizing with prostitutes, he is open to a range of criminal charges.  Some believe that one reason he delayed resigning is because he was making a deal with prosecutors.  It will be interesting to see how this will play out.  

Once a well respected attorney general, known for ruthlessly going after those involved with corruption, money-laundering, and coincidentally prostitution rings, he is now viewed as just another typical, dirty, hypocritical politician.  He has betrayed his family, and the residents of New York State, and will now pay the price.  

In his place, Lieutenant Governor David Paterson has stepped in to take over Spitzer's

responsibilities.  He is the first African-American governor of New York, and interestingly enough, also the first legally blind person to hold office.  Some Republicans in the Senate do have their concerns about the new governor, as he seems to be far more liberal than his predecessor.  In my opinion however, we should be more concerned with his morals than his political views.  

So in terms of public relations, how will Spitzer deal with this?  I think that he must make a public apology specifically stating his wrongdoings (as much as he can legally say).  I do believe resigning was a good move, because as of right now he must focus on his family.  Additionally, this shows that Spitzer truly does care about the well-being of New York.  After his public appearance, I think it would be best if he stepped out of the public eye, and out of politics for a while.  He needs to regain the trust of his family before he worries about the residents of New York.  

Spitzer's Big Mess

In breaking news today, the most recent political scandal is upon us.  Eliot Spitzer, governor of NY, has allegedly been linked to a prostitution ring.  The accusations began this morning when Spitzer was reportedly identified as "Client 9" in a federal prostitution case.  The Emperors Club VIP is a high-dollar prostitution ring that Fox News explains the feds have been investigating, making four arrests in connection already.  A prostitute wearing a wiretap recorded conversations with Spitzer arranging a meeting.  According to the affadavit, he paid $4,300 cash for a hooker named 'Kristen.'  Although the information in the court papers are purely alleged at this point, Spitzer has turned to nation's large Manhattan law firm of Paul, Weiss, Rifkind Wharton & Garrison.  

Once the news broke, Spitzer called for an immediate press conference.  Although there has been huge buzz of resignation, Spitzer did not mention stepping down.  In fact, he did not even mention prostitution.  With his wife by his side, Spitzer made an apology to his family and to the public for not living up to his own expectations and then refused to take any questions.    

Does the political madness ever end?!  Being a resident of NY, this is especially relevant and meaningful to me.  Obviously this is shocking and disappointing news, yet on some level how can I be surprised?  The fact that politicians, especially ones with wives and children, think they can get away with is crazy.  Now that this scandal broke, however, it doesn't matter if it's true or if it isn't.  At this point, what matters is how he handles the situation.  

Holding an emergency press conference to address the public was a good move (you can watch Spitzer's statement by going to Foxnews.com).  I believe that the fact that his wife was by his side is good public relations because it shows his family is behind him through this.  The public apology was extremely important, but he did not open up as to what he was apologizing for.  At some point he will need to come out with the whole truth.  Obviously much work is to be done, PR wise, in order to gain back the trust of his family and the population of New York State.  In my opinion, unfortunetly for Spitzer, resignation seems unavoidable. 

Toothpaste Scare

A few months ago, it was discovered that toxic toothpaste made in China was being sold in the U.S..  The New York Times explained that the chinese-made toothpaste contained the poison diethylene glycol, used in some antifreeze.  Although no one was harmed, the U.S. was not the first country to realize it's dangerous contents within the nations border.  Australia, the Dominican Republic, Costa Rica, Honduras, and Nicaragua found tainted toothpaste as well.  

The Chinese toothpaste was generally sold in bargain retail outlets under the brand names Cooldent Fluoride, Cooldent ICE, Dr. Cool, Clean Rite, and most notably, ShiR Fresh Mint Fluoride Paste.  Upon discovery, the tubes have been confiscated and destroyed by the F.D.A.  The poisoned brands were made by chinese companies Goldcredit International Trading and the Suzhou City Jinmao Daily Chemicals Company.  

Now, months after this shocking news hit, NewsWeek reports that criminal charges are being filed against Los Angeles importers for distributing this toxic Chinese product.  Allegedly, Vernon Sales Inc. and Selective Imports Corp. imported and distributed more than 70,000 tubes of this tainted Chinese Toothpaste!  Even though upon discovery, the poisoned product was voluntarily pulled from the shelves and the company's inventory, President Kamyab Toofer and VP Pejman Mossay from Vernon Sales, and President Frahad Nazarian and VP Yones Ghermezi face up to one year in jail and a $1,000 fine due to selling and delivering an adulterated drug.  

This is devestating news for the reputation of not only the Chinese companies that produced the good, but also the Los Angeles companies that distributed it.  They will be in for a major crisis public relations make-over.  Not only has the public lost trust in these specific companies, but even perhaps in Chinese made products overall.  If nations all over the world has had problems with the dangerous content of Chinese made goods, who's to say we should want to consume more of their questionable products.  This could take a hit on many goods, because so many jobs and products have been outsourced to places such as China.   

To stretch it even further, this could be bad for the entire U.S. toothpaste industry.  Clearly it can't be that hard to poison a tube by adding dangerous chemicals, and this definitely gives consumers something to think about before making their next purchase.  F.D.A. officials ensure, however, that the Chinese exports of toothpaste to the U.S. make up only $3.3 million out of the $2 billion-dollar market here.  Obviously this is not a large portion of our industry, but it is enough to make people concerned.

This incident makes me think back to the classic Tylenol Scare.    When cyanide was laced inside Tylenol caplets, it turned into a PR disaster for the company Johnson & Johnson.  After occuring several times, a public apology was immediately given, the entirety of Tylenol's products were pulled from shelves, and the brand was relaunched with new triple-safety-sealed, tamper-resistant package.  Even after years of this ongoing saga, Johnson & Johnson managed to recapture 95% of its original market share.  This is perhaps one of the most important case studies in PR history.  Although in the toothpaste case, there have been no reported deaths, the toothpaste industry could still learn from this in order to take extra precautions in ensuring consumers the safety of their product.    

    

Hillary's PR Woes

Public Relations does not just work to mend the images and reputations of troubled celebrities and corporations, but in light of the presidential campaign, lets not forget the politicians!  On the Democratic side, Hillary Clinton clearly seems to be fighting a losing battle against beloved Obama.  Seeing as her dullness and lame jokes can't compare to the charisma of Obama, you might think this is where her PR groupies come in.

However, as PR Week exclaims, her PR team has not been helping to turn the attitudes of the public around.  In fact, their strategy, lately, has revolved around failed tactics that just makes her appear worse to the public eye!  Poor Hillary....  

Recently a photo was leaked to the Drudge Report of Obama wearing a turban (claimed to 

 be traditional African clothing).  This is seen as an attempt by Hillary and her team to spark some sort of anti-muslim/anti-Obama wave amongst the nation.  While you might think Obama would need to pull out some crisis PR moves to handle this, it's actually Hillary that needs the extra help.  Instead of the photo becoming top news, the spotlight is on the suspected attempt by the Clinton campaign to destroy his image.  If this was, in fact, a ploy by the Clinton campaigners, it backfired incredibly.  Obama even managed to get out of the ordeal with not a scra

tch on his image.  Clearly, this is not entirely Hillary's fault.  Although personality plays into it a lot, you would think a team of professional PR people could think of a more effective ploy for the Democratic runner.

Politics drives me crazy, and even though I am not following the campaign trails as I should be, I did see the leaked Obama photo.  If this was in fact the doing of Hillary and her people,  that is just plain sad.  Actually, this is exactly the reason I hate politics.  Improving your own image doesn't mean tearing someone else's down.  Obviously this was not the way for Clinton to win over the public, and I won't be surprised if her campaign suffers even more for it.  Public Relations is based on ethics which is based on honesty and fairness.  Politics clearly lacks the ethics, but the PR people should be working to encourage it.  Instead, it seems as though the PR aspect of the campaign is being turned dirty along with the politics.  This is disappointing, although perhaps it is a good thing that the public sees right through it...

Shockingly, even amongst all the finger pointing and name-calling, Hillary managed to win the Texas Democratic primary.  Although Obama was on a roll, her victories in Ohio and Texas give her no reason to back out of the race.  So it seems that her and her team have more time to develop crowd pleasing PR strategies (that hopefully won't backfire this time).