Rabu, 29 Maret 2006

Conflict Management Process

Strategic conflict management is the function where the public relations professional must develop communication strategies and processes to influence the course of conflicts to the benefit of the organization and when possible, to the benefit of the organization's any constituents.Theh PR practitioner can use the following four step process to do so.

Proactive phase - includes activities and thought processes that can prevent a conflict from arising or from getting out of hand.

* Environmental scanning - constant reading, listening and watching of current affairs with an eyes to the organization's interests
* Issues tracking - more focused and systematic through processes such as the daily clipping of news stores
* Issues management -occurs when the organization makes behavioral changes or creates strategic plans in ways that address the emerging issue
* crisis plan -first step in preparing for the worst-an issue or an event that has escalated to crisis proportions

Strategic phase - an issue that has become an emerging conflict is identified as needed concerted action by the public relations professional

· Risk communication - dangers or threats to people or organizations are conveyed to forestall personal injury, health problems, and environmental damage. Continues so long as the risk exists or until the risk escalates into a crisis
· Conflict-positioning - enable the organization to position itself favorably in anticipation of actions such as litigation, boycott, adverse legislation, elections or similar events that will play out in the "court of public opinion"
· Crisis management -a plan is developed when an issue resists risk communication efforts and becomes a conflict of crisis proportions

Reactive phase -once the issue or imminent conflict reach a critical level of impact on the organization, the public relations professional must react to events in the external communication environment as they unfold

* Crisis communications -includes the implementation of the crisis management plan as well as 24/7 efforts to meet the needs of publics such as disaster victims, employees, government officials and media
* Conflict resolution -used when conflict has emerged but is not careening out of control. Techniques are used to bring a heated conflict to a favorable resolution using negotiation or arbitration efforts to resolve conflict
* Litigation public relations - employs communication strategies and publicity efforts in supports of legal actions or trials

Recovery phase - in the aftermath of a crisis or a high profile, heated conflict with a public, the organization should employ strategies either to bolster or repair its reputation in the eyes of key publics

* Reputation management - includes systematic research to learn the state of the organization's reputation and then taking steps to improve it
Wilcox, Dennis. Public Relations: Strategies and Tactics. Boston, MA: Pearson Education INC. 2006

PT ADYATMIKA SAKTI NUSANTARA
no.1 Communication Strategic Consultant

Controversial drug supported by Ketchum PR


Four years ago, almost no one had heard of Herceptin. Today, the drug is a household name, and British women with early-stage breast cancer are going to court for the right to get it. Despite the fact that Herceptin is not actually licensed for use in early-stage cancer, and clinical tests have yet to prove it will ever save lives, it is in high demand. Ketchum PR firm helped promote the drug for Roche Pharmaceuticals through support for patient groups such as CancerBACUP, which gets a significant chunk of its funding from Roche and other drug companies.

Ketchum describes the benefits of the product on inewswire.com. "Herceptin is a humanized antibody, designed to target and block the function of HER2, a protein produced by a specific gene with cancer-causing potential. Herceptin has demonstrated improved survival in the advanced setting, where its addition to chemotherapy allows patients to live up to one-third longer than chemotherapy alone. Herceptin received approval in the European Union in 2000 for use in patients with metastatic breast cancer, whose tumors overexpress the HER2 protein, as first-line therapy in combination with paclitaxel where anthracyclines are unsuitable, and as a single agent in second- and third-line therapy. In 2004, it also received approval for use in combination with docetaxel as a first-line therapy in HER2-positive patients who have not received chemotherapy for their metastatic disease. Herceptin is marketed in the United States by Genentech, in Japan by Chugai and internationally by Roche. Since 1998, Herceptin has been used to treat over 230,000 HER2-positive breast cancer patients worldwide."

"It is not just the patient groups that drug companies hope to get support from," PR executive Sarah Bosely writes. "They also want 'opinion leaders' - people with credibility who can be quoted in the papers and on TV. ... But patient groups are the most rewarding target and there is an obvious risk that they could be influenced by companies with turnovers as large as the GDP of small nations. (PRWatch.com)

Ketchum's web-site had this to say about it's relationship with the controversial drug company.

"Roche UK has appointed Ketchum to provide UK public relations support for its portfolio of oncology products, including Herceptin (trastuzumab) for breast cancer, MabThera (rituximab) for non-Hodgkin's lymphoma and Xeloda (capecitabine) indicated for colorectal cancer and under investigation for other forms of cancer.
Ketchum's appointment follows a competitive proposal process conducted during January and February 2001.
"We're thrilled to be working in the UK on such an exciting group of products," said David Gallagher, Managing Director/Healthcare. "We're pleased to be expanding our relationship with a great company dedicated to providing innovative cancer treatments for patients worldwide and in the UK."

PT ADYATMIKA SAKTI NUSANTARA
no.1 Communication Strategic Consultant

Minggu, 26 Maret 2006

Firestone: An Example Of The Stories And Visuals Tied To A Crisis

While writing the last entry for the Ford/Firestone crisis, I stumbled upon this webpage showing an example of one of the accidents caused by a Firestone tire blowout. I was compelled to enter the story and pictures into my blog so you can see stories and visuals that exist relating to the crisis.

It has been about six years since the crisis and pictures and stories about the crisis are still easily obtainable. It is important to understand that people are involved with crisis situations. The following story is about a man who suffered injuries when his tire blew out. The picture above is his explorer after the accident.


I was hoping you would post what happened to me and my explorer. I hate to see what is happening also.
-(victim's name)

I was coming home after visiting my fiance on Father's day 2000. I had been driving for 2 and half hours in 90 degree heat. I was traveling about 75 mph and I was cornering around a ramp and was slowing down from 55mph to 45 mph when i went off the ramp slightly. I tried to correct my position on the road but was suddenly unable to do so.

My 1996 Eddie Bauer Explorer with 16" Firestone wilderness tires on it rolled 8 times and flipped 1 1/2 times in the air as it went carreening off the interstate. I suffered severe back injuries from the accident caused by the defective seatbelts which are also on this model of the Explorer. If my pregnant fiance or my future daughter were riding with me they would have most certainly been killed as evident by the photos.

I had to sell my house and have my credit destroyed by the coverup and seemingly illegal actions of Ford and the Firestone corporation. It took a few months to realize why the vehicle went out of control. Both the front and rear tires on the left side were ripped off from the rim. I used to buy Firestone all the time and have been a lifelong owner of Ford vehicles, guess not anymore.
Please anyone who has the same situation be careful.


Think about this man's story when deciding how to handle a public relations crisis.

http://www.firestone-tire-recall.com/pages/accident_reports/11_2_ford_Explorer.html


PT ADYATMIKA SAKTI NUSANTARA
no.1 Communication Strategic Consultant
History Lesson Part III: Firestone

There have been several examples of public relations crises that were handled properly and did not have an overall negative effect on the company in question. At the same time, there are even more instances where companies have failed to properly manage crisis situations. The Ford/ Firestone case is an example of such a situation.

In 2000, several instances were reported in which Ford owners with Firestone tires were experiencing tire blowouts ultimately causing around 150 deaths and over 500 serious injuries. Most of the accidents involved Ford Explorers, which had a tendency to flip when their tires blew out. Not all tires were defective. Only the 15’’ ATX, ATXII, and Wilderness AT model had proven to be defective. However, Firestone suffered significant damage to its brand name as a result of the defects.

The defects were the source of the crisis, but Firestone essentially poured salt on its open wounds by managing the crisis poorly. Ford and Firestone both denied responsibility for the accidents. Ford claimed that the accidents were caused by the defective tires while Firestone claimed Ford was at fault for installing the tires improperly. Both companies essentially put the public and media in the middle of their battle. It was clear to the public that there was a problem in terms of the communications between the two companies. Additionally, Ford and Firestone implied their lack of concern for their customers when they ignored the countless deaths and injuries of their customers in order to protect their bottom line. The two companies destroyed the trust of the public by their childish bickering.

Ford and Firestone should have apologized to the public up front about the injuries and deaths sustained from the accidents claiming that an investigation would be launched in order to find the real source of the problem. Both companies should have worked together as a team to fix the problem. Ford and Firestone put their bottom line ahead of the trust and safety of their customers causing the customers to become alienated from the companies they once trusted.

While Ford and Firestone made it through the crisis, they did not do so without sustaining significant monetary and brand damage. Cooperation, concern for the publics involved, and open communication are three keys to successful crisis management. Ford and Firestone failed on all three counts.

http://www.firestone-tire-recall.com/pages/overview.html

Rabu, 22 Maret 2006

RESPONDING TO A CRISIS - PR STRATEGIES TIPS

Options when Responding to a Crisis

According to the textbook titled Public Relations: Strategies and Tactics, there are various ways organizations can respond to a crisis situation. W. Timothy Coombs argues that an organization’s response to a crisis can vary from defensive to accommodative.

The response continuum, starts on the defensive side and ends on the accommodative side.

First, organizations can attack the accuser. This response involves attacking the accusing individuals by claiming that their facts are faulty and illogical. The organization aims to take away the credibility of the attacker. Often times a lawsuit is threatened.

Second, organizations can respond using denial. This response is quite simple. Essentially, the organization claims that no crisis exists.

The third response is justification. Using this response, organizations claim that no serious damage was caused or that the victims were at fault. Firestone used this response when people died using their tires. They claimed that the victims were at fault because the tires had been used improperly.

Next, organizations have the option to use ingratiation. This response involves taking steps to appease the publics involved with the situation. Examples include giving coupons to angry customers or donating money to another organization (Wilcox).

Organizations can use corrective action to right their wrongs. This response shows that the company realizes they were wrong and are taking an active role in fixing the problem as well as making sure the problem never occurs again.

The last response on the continuum is a full apology. This means exactly what one would think. The organization takes responsibility for the crisis and asks for forgiveness. Often times, money or some other type of compensation is involved.

All responses have been used by organizations at one point or another. Additionally, all responses have resulted in both successful and unsuccessful outcomes. Each crisis situation is unique and in no way can be solved by a single response.

In order to get the appropriate results, it is important for a trained crisis communications professional to analyze the situation immediately and prescribe the appropriate response.

Wilcox, Dennis. (2006). Public Relations: Strategies and Tactics. Boston, MA. 8th Edition. Pg. 261.

PT ADYATMIKA SAKTI NUSANTARA
no.1 Communication Strategic Consultant

Minggu, 19 Maret 2006

True or False - 2005 was the year of lies | PR STRATEGY IN HISTORY

It's an event that's anticipated all year long. An honor that will make the winners infamous. These awards are as exciting as the Oscars, Grammy's or Emmy's. Each year the Center for Media and Democracy gives out their coveted Falsies Awards for those public relations campaigns that have outperformed and out-spun all other flack campaigns.

The year of 2005 seemed to be the year of fake news. Over the past twelve months, the ideal of accurate, reliable, accountable news media faced nearly constant attack. Artificial news ranging from Pentagon-planted stories in Iraqi newspapers to corporate- and government-funded VNR's aired by U.S. newsrooms.
Then there were the public relations campaigns that sought to redefine reality itself. The oil and nuclear industries are big award winners. As are rights abusing governments and labor abusing companies. Junk food companies made the list as did genetically modified foods.

The coveted Gold Falsies Award of 2005 goes to the video news release industry with a supporting role from the newsrooms that aired them. In March, the New York Times reported, "At least 20 federal agencies, including the Defense Department and the Census Bureau, have made and distributed hundreds of television news segments in the past four years. Many were subsequently broadcast on local stations across the country without any acknowledgment of the government's role."

The Silver Falsies Award goes to the mainstream media and the Bush administration, for "Not Counting the Dead." Its no surprise at this point that many media outlets self-censored their reporting on Iraq, often out of fear of offending their audience. The U.S. media downplayed, in an October 2004 medical study that estimated nearly 100,000 Iraqi civilians had died since the U.S. invasion. In response to a question at a December talk, President Bush broke his silence on civilian casualties and admitted that "30,000 Iraqis, more or less, have died as a result of the initial incursion and the ongoing violence.

The Bronze Falsies Award goes to the U.S. military and their public relations contractors, for "Spinning Wars and PsyOps." In January, the Pentagon increased media training for forces going to Iraq, making briefings by public-affairs specialists mandatory for Army troops. Soldiers were also given wallet-sized "talking point" cards, one of which said, "We are not an occupying force" Also, in June, the Pentagon awarded up to $300 million over five years to SYColeman, Inc., Lincoln Group and Science Applications International Corporation, to "inject more creativity into efforts to improve foreign public opinion about the United States, particularly the military," reported the Washington Post.

PRWatch.com

PT ADYATMIKA SAKTI NUSANTARAno.1 Communication Strategic Consultant

Sabtu, 18 Maret 2006

DIET PEPSI PR CASE

History Lesson Part II: Diet Pepsi


In 1993, Pepsi-Cola found itself in a crisis situation when a man in Tacoma, Washington claimed he had found a syringe inside a can of Diet Pepsi. Soon after the story hit the news, claims surfaced all over the country. People claimed to find objects from bullets to crack cocaine vials. Pepsi-Cola knew that the foreign objects had been inserted by people outside the company who had tampered with the product.

Pepsi-Cola decided to use a defensive strategy, claiming its innocence in the matter. Proving the company’s innocence would be pivotal in protecting further damage to Pepsi-Cola’s brand name. Pepsi employed a variety of strategies to deal with the problem.

First, Pepsi attacked the accuser claiming that the objects had been inserted after having been opened and that many people do this in order to earn money from a settlement. The company openly declared that it would “pursue legal action against anyone making false claims”.

Second, Pepsi used a denial strategy saying that there was no crisis. Pepsi President Craig Weatherup made appearances on television and gave interviews to radio stations and newspapers saying that Pepsi’s bottling line was secure. Pepsi even brought video cameras into their bottling factories to show the bottling process and the impossibility of inserting a foreign object into a can of Pepsi before it is sealed.

The Pepsi crisis turned out to be a hoax. Individuals who had purposely inserted foreign objects into cans were brought to court. Pepsi was able to rebound from the hoax using an effective crisis public relations campaign which combined various strategies.

Pepsi-Cola handled the situation exquisitely. The company communicated with the public across virtually all media. Investigations took place in order verify the integrity of Pepsi-Cola’s bottling plants. When it became clear that there was no possible way that there could have been foreign objects inserted before being sealed, the crisis had ended.

In this case, there was no substance to the crisis. This can occur when false claims are made, such as the ones made in this situation. While there might not even be an actual crisis, the perception of a crisis can stir enough negative sentiment from the public to significantly damage the company’s image. The Pepsi case study shows that the perception of a crisis is as important to manage as an actual crisis.

In order to show that a perceived crisis does not actually exist, it is important to communicate with the public and show them that no crisis actually exists. Honesty and open communication facilitates the management of a public relations crisis. Additionally, communication must occur during the early stages of the crisis and communication must occur often. A crisis, whether real or perceived, requires the implementation of a crisis public relations plan.

Wilcox, Dennis. (2006). Public Relations: Strategies and Tactics. Boston, MA. 8th Edition. Pg. 262-263.

PT ADYATMIKA SAKTI NUSANTARAno.1 Communication Strategic Consultant

Jumat, 17 Maret 2006

Hurricane Katrina

Hurricane Katrina and the events following the hurricane have created crisis situations for the United States government and more specifically George W. Bush. When Hurricane Katrina hit the U.S. coast it destroyed the gulf region leaving thousands dead. Thousand more were left homeless. It took the U.S. government over five days to rescue many of the survivors.

The government did not prepare adequately for the hurricane and did not respond quickly enough after the storm had passed. The government received negative comments from the media and the public about its lackadaisical rescue response. Officials began pointing fingers and blaming others for the lack of preparedness.

Initially, Michael Brown took the majority of the heat. He supposedly knew about the coming hurricane and did not plan appropriately for it. However, recently, a tape surfaced of a video-conference where Michael Brown told the White House “This is, to put it mildly, the big one”.

This new evidence shows that the White House had been notified in advance of the severity of the hurricane and the damage that would be sustained. The government seemingly ignored Michael Brown’s cry for help.

The White House is taking the hot seat as the media and public take aim. The White House withheld information when they were first questioned about the Hurricane Katrina response, or lack thereof. They have not communicated openly with the public hoping to skirt the real issue. Unfortunately for the government, information has surfaced which contradicts their version of the story. The government has been hiding information and the public knows this. President Bush has lost a great deal of support by trying to ruse the American public.

Feldman, Linda. (2006, March 3) Why Bush Team Is In A Rough Patch. The Christian Science Monitor. Boston, MA. Pg. 03.

Kamis, 16 Maret 2006

The Fake News Cycle | PUBLIC RELATIONS CASE

The public relations industry has been fighting an uphill battle for the past few years concerning the ethical use of video news releases. Video news releases are typically 90 seconds in length and utilized by large organizations seeking enhanced recognition for their names, products, services and causes are the primary clients. Organizations prepare VNR's and send them to news stations in hope that the VNR will receive coverage and gain publicity for the organization. The problem arises when stations use the VNRs without saying who created them and portraying them as actual news. Over 90% of VNRs aren't correctly identified.

Typically a VNR includes tools for "customization" that allow and encourage news stations to pass the story off as their very own product. This is considered unethical but has become common practice for journalists. PR Watch sites the 5 following steps as the process by which a VNR comes from the drawing board to the six o'clock news.
1) Conception - client has a message they want to get out to the public. They hire media consultants to find the best way to turn their product, service or agenda into a newsworthy item.
2) Creation - the client employs a VNR production company to shoot a fully-polished 1-2 minute "news" feature. Although the VNR typically comes with scripted narration, the "reporter" never appears on screen
3) Delivery - the VNR is distributed to hundreds of newsrooms by satellite, hard copy, or network news feeds. Producers in top markets are often pitched individually by the publicists who created the VNR
4) Assimilation - At each TV station, a producer decides if the VNR is interesting, relevant, and journalistic, enough to be included in their broadcast. If so, they'll typically customize the VNR by adding or removing soundbites, inserting station-branded text overlays, and replacing the narration with the familiar voice of their own reporter
5) Showtime - The VNR is seamlessly blended into the newscast without attributing the original source of the story. Countless viewers are duped into believing they're watching an investigative news report when in reality they're getting a subtle dose of corporate or government propaganda.

PT ADYATMIKA SAKTI NUSANTARAno.1 Communication Strategic Consultant

Rabu, 15 Maret 2006

PETA vs. Ringling Brothers

Years of legal maneuvering culminated last week in the kickoff of a sensational trial pitting the People for the Ethical Treatment of Animals against the man who heads the parent company of Ringling Bros. and Barnum & Bailey Circus.

According to Ringling's latest ad campaign, All our newborns come with a lifetime guarantee. The Ringling ad goes on to claim that its captive-breeding program is helping endangered Asian elephants. However, PETA has evidence that the ads are false. Government documents show that Ringling's elephants suffer abuse and die prematurely, that the circus has been cited for more than 100 deficiencies in animal care, and that most of its elephants were captured in the wild. PETA is asking the Federal Trade Commission to pull the bogus ads.

A former Ringling employee has even come forward to describe her experience with animal cruelty. Professional dancer Jodey Eliseo toured with Ringling Bros. for two years. When she saw coverage of the trial of Ringling CEO Kenneth Feld, she wanted to share her horrific recollections of the abuse of elephants by Ringling handlers. Eliseo told PETA how she saw an elephant forced to perform with a huge infected boil that covered half her leg. She also noted that Ringling handlers beat an elephant for stumbling during a performance. Eliseo added that teenage elephant Sophie was covered with bullhook wounds from constant beatings and a baby elephant was severely beaten as punishment for running wild and smashing through a wall at a civic center (Circuses.com).

PETA launchedched a major campaign painting Ringling Brothers as unethical. They have come out with statements which say, "Parents should not bring their children to a Ringling Bros. circus because kids pick up on things we don't think they see. They see the animals getting whipped. They see the ringmaster hitting them. It teaches a very dangerous lesson, that it's OK to abuse animals; OK to exploit them for entertainment" (AR.net). This type of negative publicity will surely cause a decline in attendance and a growthdistrustrsut for Ringling Brothers.

In response to these kinds of statements, Ringling Bros. spokesman Darin Johnson tells newspapers that PETA's web site attacking the circus is filled with misinformation. For example, Johnson says video footage there distorts the events surrounding the birth of an elephant at the circus. Johnson also says that the online video at PETA's site purports to showing elephants being whipped by Ringling Bros. employees, but that the video is in fact not of Ringling Bros. elephants or employees. Johnson is quoted as saying, "They took footage from every zoo and animal park in the world and spliced it together" (AR.net).

This battle, which has just gone to court in Fairfax, Virginia is being named "Elephantgate".

PT ADYATMIKA SAKTI NUSANTARAno.1 Communication Strategic Consultant

Working to spin negative publicity after Katrina

After such PR crisises as hotel price gouging, slow response by the President and racial discrimination following Hurrican Katrina, work is being done to try and change the public's image of the largest natural diasaster in history. The Louisiana Recovery Authority (LRA) Support Foundation has hired Ketchum Public Affairs, and its subsidiary The Washington Group, to help communicate the "progress of recovery efforts in New Orleans, demonstrate accountability for funds already allocated and make clear the need for additional federal resources" (PR Week).

Established by Louisiana Governor Kathleen Babineaux Blanco, and authorized by the Louisiana State Legislature, the LRA is responsible for overseeing all recovery activities in the state of Louisiana following hurricanes Katrina and Rita and the collapse of the New Orleans levee system – the greatest natural disaster in U.S. history (Kethcum.com). Ketchum will advise the LRA on all communications activities to execute a national public relations and public affairs campaign on behalf of the state of Louisiana. The Washington Group will develop and implement a government relations strategy in Washington. All funding for this initiative will come from private sources. No federal, state or local government funds will be spent on this program (Ketchum.com).

How the Government uses PR to gain support for the war

In a country where media and politics have gone hand in hand for centuries, it is no surprise that the government and business influenced the way media is produced and distributed. While the government promoted communication networks, the press, education, and innovation in the past three centuries, government has also had negative effects on how media is created. Journalist I.F. Stone went as far to say "all governments lie". I believe that governmental influences contribute to the deceptive and misleading nature of media today.

For instance, in covering the story of Jessica Lynch, an American soldier in Iraq, American news programs lied when reporting that Lynch was captured by Iraqi troops, sustained bullet and stab wounds, and had been taken to an Iraqi hospital where Iraqi doctors abused her, psychically and mentally. When Jessica Lynch told her story, it was revealed that Lynch had no wounds, was treated with kindness by Iraqi doctors for broken bones and other injuries, and that several attempts were made to return Lynch to U.S. troops (NYT, 5/11/03, NP). The story the news media reported was false and meant to portray American soldiers as heroes and Iraqi soldiers and doctors as inhumane. This story elevated patriotism in the United States as well as increased contempt Iraq. The story helped to rally support for the United Stateƃ‚’s efforts in Iraq. This type of media propaganda, which could also be viewed as public relations, proves that the government lies in order to promote government actions and policies.

More recently, declaring it "within our authorities and responsibilities," the top U.S. general in Iraq, George Casey, announced that the Lincoln Group program that places stories written by United States troops in Iraqi newspapers will continue. The Lincoln group, whose program was recently accepted by the Pentagon, "is working to boost economic development in Pakistan" (PR Daily). Lincoln aims to increase "investments in the country's textile, energy, technology and telecom" industries. Lincoln has showed interest in helping the U.S. Army Reserve communicate its "vision of the future." The contract includes "speech writing, research, development of a comprehensive communications plan, and support for national outreach programs (PR Daily).

How Blogs can become PR nightmares


A blog is an interactive site where the owner can update information by creating new posts. Blogs are easy and inexpensive to set-up. Blogs often focus on a particular subject, such as food, politics, or local news. Some blogs function as a users personal diary or journal. A typical blog combines images, text, and links to other blogs, web pages, and other media related to its topic. Since its appearance in 1995, blogging has emerged as a popular means of communication, affecting public opinion and mass media around the world (Wikipedia.com)

All of this seems great, but the interactive nature of blogs not only allows for the spread of information, they also serve as a means for consumers to vent about products and build hostility toward organizations. Blogs have become a new way for customers to log complaints but with a national or even international scope. Blogs are dangerous in terms of public relations because they allow users to post responses to an owner's site which allows controversies to gather steam and gain a following from hostile consumers. Because blogs are often based on opinion, the real danger comes when other users build upon that opinion and create a chain reaction of complaints and dissatisfaction. One blogger can affect the opinions of thousands.

In response to negative blogging, organizations need to stay abreast of what their customers needs and wants are as well as consumers are saying about their product, service or organization. Following the steps of crisis public relations management, it is better to own up to any mistakes and work to correct them. Organizations should also try to counter negative publicity on blogs by posting positive stories about their product or industry. Organizations should also use blogs as an opportunity to foster two-way communication with customers and use the web to interact with customers to stay current with their needs and wants.

Wal-Mart "began working with bloggers in late 2005. Heading the program is Marshall Manson, of the PR firm Edelman. Manson contacted bloggers who wrote postings that either endorsed the retailer or challenged its critics.

Selasa, 14 Maret 2006


A History Lesson: Part I

Remember when your mother used to give you Tylenol curing virtually any ill from a headache to the common cold? Well, the spectacular drug still exists today for two reasons. First, Tylenol is a great product. Second, Tylenol and its parent company Johnson & Johnson have successfully managed two separate public relations crises.

In 1982, seven people died in the Chicago area from consuming poisoned Tylenol. Johnson & Johnson, Tylenol's parent company, reacted quickly maintaining open and honest communication with the public throughout the investigation into the alleged poisoned pills. Johnson & Johnson immediately pulled Tylenol off the shelves in the area and looked into what could have gone wrong. At the same time, Johnson & Johnson immediately created television advertisements and aired them within days to assist in communication with the public. While Johnson & Johnson maintained its innocence, their actions spoke to their character. After the incident occurred, Tylenol sales dropped by a third. However, within months, the product's sales had reached the level they were at before the crisis took place.

Again, in 1986, a woman in Yonkers died from consuming a Tylenol capsule laced with cyanide. Johnson & Johnson reacted as it did in the previous incident. The company pulled all Tylenol capsules from the shelves and initiated an investigation claiming, once again, that they were innocent. Five months after the poisioning Tylenol is selling 96% of what it sold before the incident. Effective management of the public relations crises allowed Tylenol to survive the two poisioning incidents.

Johnson & Johnson did exactly what they should have done to manage the crisis situations. They employed the fundamental requirements of a successful crisis public relations campaign. The way a crisis is managed will determine the future of the company.

Tylenol communicated openly and often with the public. Additionally, communication was not simply through the press. Tylenol went above and beyond spending advertising money to create advertisements that would communicate the company's message to the public. Communicating often and openly with the public is one of the foundations of a great crisis public relations camapaign.

Tylenol's actions created support for the company. There's the old saying "actions speak louder than words". Tylenol acted quickly, pulling the capsules from the shelves immediately after learning about the incidents. There action showed the public that Tylenol was willing to lose millions in potential sales in order to ensure the safety of its customers. The public had a favorable image of the company and felt safe returning to the product after the incident because the public knew that Johnson & Johnson put the safety of their customers ahead of everything else.

The Tylenol case study continues to be used as a model for successful crisis public relations. On two separate occasions, people died from consuming poisoned capsules. However, the customers returned. Effective crisis public relations allowed Tylenol to weather the storms.


Stevenson, Richard. (1986; July 5). Johnson & Johnson's Recovery. New York Times. New York, NY. Pg. 1.33.

Selasa, 07 Maret 2006


Security From Our Enemy?

Well, eh........jeez. I suppose it can't be helped. Our president has created another public relations crisis. Bush made a deal with the United Arab Emerites in which the United Arab Emerites were granted the contract of manning several of America's ports. This deal strikes the nerves of many, or most, Americans who are concerned that having non-Americans protecting the ports will create holes in our border, through which terrorists can strike.

At the same time, President Bush declared that he would "veto any congressional action against the port deal". More shocking than handing the protection of our shores over to foreigners is the fact that Bush is openly disregarding the democracy of our nation. His statement shows that he thinks he can make decisions for our country without consulting the country (Nixon, anyone?).

President Bush needs to stop flexing his arms and let the country have a say. Bush will gain popularity if he asks the public for their opinions instead of basing national decisions on his own opinion.

http://www.enidnews.com/opinion/local_story_066005110.html?keyword=topstory

Cheney Can't Escape

A couple of weeks ago, Cheney shot his friend while hunting. He managed the situation poorly and he is suffering the consequences. His error is still the center of media attention.

Last week on The Late Show, Bruce Willis, a guest, dressed as Cheney's victim. He wore hunting clothes and had a fake gunshot wound. In the program immdeiately following, the host discussed Cheney's accident during his monologue. More recently, Cheney was the subject of one of Jon Stewart's jokes during the Oscars.

The purpose of citing this list is simply to provide evidence that crisis public relations makes or breaks a person's reputation. Maybe Cheney's reputation was already sub-par, but the way he dealt with the hunting accident didn't help. He mishandled the situation and, in doing so, he ignited a fire that has yet to die out.

If Cheney had communicated openly and honestly with the public initially, the attention given to him by the media would have subsided shortly after. However, Cheney avoided communicating with the public at first, causing rumors and stories to spread far and wide. Unfortunately for Cheney, the memory of his mistake may last forever, in the form of a law, Cheney's Law.

The Late Show
The Late Late Show
The Oscars

Kamis, 02 Maret 2006

Enron: The Aftermath


Prior to its bankruptcy in late 2001, Enron employed around 21,000 people and was one of the world's leading electricity, natural gas, and communications companies, with claimed revenues of $101 billion in 2000. Fortune Magazine named Enron "America's Most Innovative Company" for six consecutive years. It became most famous at the end of 2001 when it was revealed that it was sustained mostly by institutionalized, systematic, and well-planned accounting fruad. After what is now known as one of the biggest scandals not to metion crisis PR sitautions of all time, Enron is working to re-estalbish themselves in the aftermath of the scandal.



According to Enron's website, "Enron is in the midst of restructuring various businesses for distribution as ongoing companies to its creditors and liquidating its remaining operations. " This statement while encouraging will be hard to maintain because when there's a public relations crisis the magnitude of Enron's it is almost impossible to regain customer confidence.