Metrowest Funders Group Discussion
                        July 27, 2010
           Mike Lawrence, EVP & CRO
             ...
Two Missions Today



 1.
 1 Answer the question: Is it okay to communicate
    good deeds in a crisis?

 2. Identify keys...
Guiding Principles


                                  1. Build a goodwill bank before a crisis
                          ...
Case Studies
Goldman Sachs’ Bad Timing


                                     “We participated in
                                     ...
Press Not Supportive




   Confidential and Proprietary   6
Consumers Get Angry




   Confidential and Proprietary   7
Discussion: Was it okay for
                          y
Goldman Sachs to communicate
       during the crisis?
Toyota Communicates Commitments During Crisis

 September 29, 2009:
 Toyota issues a warning about
   potential brake peda...
Toyota’s New Campaign & Continued Commitments

                                   “We see ways to enrich the community. At...
“Good Deed” Communication Yields Positive Results

  Toyota is communicating about its good deeds the same,
              ...
Discussion: Is it okay for Toyota
to communicate during the crisis?
Reebok Builds a Goodwill Bank


                                  1986-88: Reebok               1996: Labor and
          ...
Reebok’s Goodwill Bank Minimizes Negative
Media Coverage

             1996 Media Coverage Denoting
                “Labor...
Reebok Communicates its Good Work Before,
During and After


                           Media Coverage Denoting
          ...
Meanwhile…Same Articles, Different Tone for Nike




“Can’t Just Do It Anymore”
                                       -Th...
Discussion: Did the industry’s
                             y
crisis strengthen Reebok’s brand
         in the long term?
Walmart Improves Reputation Amid Crises


From this…                        …To this




   Confidential and Proprietary  ...
In Reaction, Walmart Works to Restore Image

              Ad Campaign Counters Accusations;
                 Healthcare, ...
How Walmart Turned Its Image Around




   Confidential and Proprietary       20
Walmart Focuses on Sustainability




   Confidential and Proprietary     21
Walmart’s Reputation Rebound




   Confidential and Proprietary   Covalence EthicalQuote, 2008   22
Discussion: Why did Walmart’s
               y
reputation rebound so quickly?
Guiding Principles


                                  1. Build a goodwill bank before a crisis
                          ...
Tips & Best Practices
How to Be Ready for a Crisis

1. Risk Assessment
    – Media and online audit
    – Leadership interviews
    – Process an...
Communicating to Employees in a Crisis



 WHAT to Communicate               HOW to Communicate
 • Top-of-mind concerns   ...
Mike Lawrence                  Alison DaSilva

   Chief Reputation Officer & EVP   Executive Vice President
     MLawrence...
Upcoming SlideShare
Loading in …5
×

Communicating Good News Amidst A Crisis

1,407 views

Published on

When it\'s OK and not OK to communicate about good news/good deeds amidst a corporate crisis

0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
1,407
On SlideShare
0
From Embeds
0
Number of Embeds
7
Actions
Shares
0
Downloads
0
Comments
0
Likes
2
Embeds 0
No embeds

No notes for slide

Communicating Good News Amidst A Crisis

  1. 1. Metrowest Funders Group Discussion July 27, 2010 Mike Lawrence, EVP & CRO e a e ce, C O Alison DaSilva, EVP
  2. 2. Two Missions Today 1. 1 Answer the question: Is it okay to communicate good deeds in a crisis? 2. Identify keys to crisis preparedness and employee communication Confidential and Proprietary 2
  3. 3. Guiding Principles 1. Build a goodwill bank before a crisis takes place p 2. Continue to feed your goodwill bank during times of crisis 3. 3 Also communicate about the crisis; be humble, accept responsibility 4. Be sure your good-deed communications do not reinforce perceptions from the crisis Confidential and Proprietary 3
  4. 4. Case Studies
  5. 5. Goldman Sachs’ Bad Timing “We participated in things that were Nov. 17, 2009 Made Apology clearly wrong and we have reasons to regret and apologize for” -Lloyd Blankfein Chief Executive, Goldman Sachs A few hours later… Nov. 17, 2009 Announced Program ou ced og a Confidential and Proprietary 5
  6. 6. Press Not Supportive Confidential and Proprietary 6
  7. 7. Consumers Get Angry Confidential and Proprietary 7
  8. 8. Discussion: Was it okay for y Goldman Sachs to communicate during the crisis?
  9. 9. Toyota Communicates Commitments During Crisis September 29, 2009: Toyota issues a warning about potential brake pedal risks October 5, 2009: Toyota launches ad campaign focusing on commitments to community, environment and economy November 25, 2009: More than 5 million cars recalled Confidential and Proprietary 9
  10. 10. Toyota’s New Campaign & Continued Commitments “We see ways to enrich the community. At Toyota, building great partnerships is as important to us as building great cars. It’s why we value being part of the places where we work and live We employ live. locally, partner with area vendors and suppliers and collaborate with local organizations to better the community. Can a car company work in harmony with a community? Why not? To us, it’s all part of y y p the big picture.” Confidential and Proprietary 10
  11. 11. “Good Deed” Communication Yields Positive Results Toyota is communicating about its good deeds the same, if not more, following recalls: • 2009: 26 releases about community/philanthropy • 2010 (first 6 mo.): 15 releases about community/philanthropy Net N t sentiment for the brand in 2009: ti tf th b di Confidential and Proprietary http://mashable.com/2010/02/22/toyota-brand/ 11
  12. 12. Discussion: Is it okay for Toyota to communicate during the crisis?
  13. 13. Reebok Builds a Goodwill Bank 1986-88: Reebok 1996: Labor and establishes Human sweatshop crisis Rights Foundation explodes and Awards 1996-1997: Reebok communicates human rights work throughout crisis, while Nike is barraged with criticism 1997-1998: Nike 1997 1998 Nik continually mentioned in Reebok media coverage as the “do g not” to Reebok’s “do” Confidential and Proprietary 13
  14. 14. Reebok’s Goodwill Bank Minimizes Negative Media Coverage 1996 Media Coverage Denoting “Labor or Sweatshops : Labor Sweatshops”: VS. 918 articles 2,348 articles (mostly positive/neutral, (mostly negative, mentioning Human Rights mentioning labor Awards) violations) Confidential and Proprietary 14
  15. 15. Reebok Communicates its Good Work Before, During and After Media Coverage Denoting Citizenship Efforts: June 1996-June 1997: 142 articles June 1997-June 1998: 106 articles “By Wednesday, Nike had placed a full-page ad in The New York Times regarding the Young report, Bloomberg business wire had released nine g g g p g headlines on Nike, and Garry Trudeau had churned out yet another derogatory Doonesbury strip about Nike's labor practices […] But Reebok […] is able to go about its business more quietly.” -The Boston Globe June 28, 1997 Confidential and Proprietary 15
  16. 16. Meanwhile…Same Articles, Different Tone for Nike “Can’t Just Do It Anymore” -The Boston Globe June 28, 1997 “Sweating Over Sweatshops, Nike Fights Bad Press on Asian Factories” -The Washington Post September 30, 1997 Confidential and Proprietary 16
  17. 17. Discussion: Did the industry’s y crisis strengthen Reebok’s brand in the long term?
  18. 18. Walmart Improves Reputation Amid Crises From this… …To this Confidential and Proprietary 18
  19. 19. In Reaction, Walmart Works to Restore Image Ad Campaign Counters Accusations; Healthcare, Wages and Jobs… “Thousands of new Thousands American jobs” “New Wal-Mart TV Ads Promote Company Transformation; Spots Highlight Values, Health Care, Savings Care Savings, and Philanthropy” Philanthropy – Walmart Press Release, August 29, 2006 Confidential and Proprietary 19
  20. 20. How Walmart Turned Its Image Around Confidential and Proprietary 20
  21. 21. Walmart Focuses on Sustainability Confidential and Proprietary 21
  22. 22. Walmart’s Reputation Rebound Confidential and Proprietary Covalence EthicalQuote, 2008 22
  23. 23. Discussion: Why did Walmart’s y reputation rebound so quickly?
  24. 24. Guiding Principles 1. Build a goodwill bank before a crisis takes place p 2. Continue to feed your goodwill bank during times of crisis 3. 3 Also communicate about the crisis; be humble, accept responsibility 4. Be sure your good-deed communications do not reinforce perceptions from the crisis Confidential and Proprietary 24
  25. 25. Tips & Best Practices
  26. 26. How to Be Ready for a Crisis 1. Risk Assessment – Media and online audit – Leadership interviews – Process and procedural review 2. Crisis Plan Development – Crisis management team and process – Activation protocol – Template materials and tools (statements, fact sheets, “Dark Site”) – Crisis management guidelines for field employees 3. Media/Crisis Training – Spokesperson interview training with on-camera interviews and critique – Staff/field training on crisis plan and reporting process – C i i simulation exercises Crisis i l ti i 4. Ongoing Risk Identification & Crisis Management Support – Media and online monitoring – Quarterly cross functional risk review meetings cross-functional – Risk mitigation and crisis plan updates, etc. Confidential and Proprietary 26
  27. 27. Communicating to Employees in a Crisis WHAT to Communicate HOW to Communicate • Top-of-mind concerns • Be as transparent as possible • Resources for further • Identify appropriate written information & answers and non-written • E Employees not t serve as l t to communications vehicles company spokespeople for • Understand the unique media communications needs, such • When/where appropriate appropriate, as translated documents empower employees with • Create mechanism to gather communications tools important questions & • Reassure your appreciation feedback for their continued • Communicate regularly & dedication, loyalty, hard provide timely updates work, customer service, etc. Confidential and Proprietary 27
  28. 28. Mike Lawrence Alison DaSilva Chief Reputation Officer & EVP Executive Vice President MLawrence@coneinc.com ADaSilva@coneinc.com 617-939-8328 617-939-8360 Twitter: @Mike Lawrence @Mike_Lawrence Twitter: @Alison_DaSilva @Alison DaSilva www.coneinc.com www coneinc com www.coneinc.com/whatdoyoustandfor Twitter: @ConeLLC Confidential and Proprietary 28

×