Jet Blue – Brilliant

Judging by the soaring mentions of Facebook and Twitter alone Jet Blue has scored big on its Car-megeddon promotion offering four dollar flights between Long Beach and Burbank California this weekend.

Offering just 2 flights in each direction per day this is hardly disruptive to their schedule nor will it successfully transport a significant number of people, but just wait until local stations cover each end of the inaugural flight – just wait till some enterprising network reporter does a ride along.  You can’t add up the amount of free promotion on multiple platforms.  A little creativity at the airline or agency will be paying major dividends in the public’s mind share.  And – just to note their strategic view – by offering this on Wednesday they pretty much guarantee three days of run-up pre-publicity plus the weekend itself.

Why is this grist for a media column?  Because when a company does it right – manages an event – grabs the headline and manages the story – it’s worth a tip-of-the -hat.

What’s wrong with jail for oil executives? It’s not personal. It’s strictly business.

It worked for Al Capone… why not Tony Hayward and so many other oil executives?   Remember the adage that you’re never punished for the crime but you’ll be doomed for the cover-up?  The oil spill is horrific but what’s more damaging has been the response, the obfuscation, the denials, and the apparent path of half-truths.

It seems apparent there will never be enough money to pay for all the losses, the hardships, the heartache.  Besides fines are merely money paid by a corporation and diddled about on a balance sheet.  In an age where we mourn the absence of real responsibility, make the crime personal, not just business.

Al Capone was never convicted for crimes regarding prohibition but for tax evasion.  What’s the crime committed by the oil executives?  Perjury!

Follow the logic.  Or perhaps better phrased, follow the money.  In order to gain government leases, in order to win approval of countless drilling plans, even when testifying before Congress following the disaster on Transocean’s Deep Horizon drilling rig it seems evident the executives from BP systematically misstated the facts (lies, fibs? white lies, convenient truths?) on government forms, contracts, plans and in testimony.

And that, ladies and gentleman of the jury, is perjury.

$20 billion dollars will never be enough as a set aside for damages.  BP is already claiming they have spent 10% of that on containing the spill alone.  What will happen when gulf beaches become oil stained gooey sand dunes, devoid of tourists for years?  Or what will happen to spring-break-centered towns like Panama City when no students return next year?  Or for anyone who bought condos on a once white-sand beach who will never be able to unload those albatrosses?  Imagine the devastation from the first hurricane in the gulf which inhales oil soaked sea and distributes that as rain hundreds of miles inland, not to mention the storm surge, both of which will leave an oily residue hundreds, perhaps a thousand miles from the spill?

There is simply no way to contain the damage nor provide restitution for all these ‘legitimate’ claims.  How do you put a value on some of the losses, or for deaths of wildlife or fish?  As for the examples like a hurricane BP will most likely argue that flood surge and rain is an act of God and nature and surely they cannot be held responsible for that!  As for the more acute, local claims, one must believe they will follow Exxon’s tact of making every nickle and dime a hard-won fight for those who suffered the loss.
Which brings me back to my principal theme.  In order for any real change there ought to be personal and not just business accountability.  This may seem like some sort of Jonathan Swift parable but change is unlikely to stem from political posturing, Congressional displeasure and environmentalist hand wringing.  For any oil or drilling executive who made their false assertions, who knew that there were not enough booms, or that the valve was not up to par, they should be held accountable for simply this: lying.  They seem to have lied or misled or misrepresented inconvenient truths regularly.  Senior and highly trained engineers at BP and other oil giants should have known better – they to either lied or went mute when higher-ups changed or modified their reports.  They kept their jobs but at an ethical price that is now being borne by others who are quite innocent victims.  Similar assertions of defense and denial echoed at war crime tribunals with only a modicum of success.  Surely we would not be able to jail all of the senior vice presidents, the vice presidents, the senior engineers and on down the line, and some offer value as government witnesses, but the point is simple – let’s make those responsible pay for their perjury.  While we’re at it, perhaps offer an amnesty for all the other oil companies might be considered, for perhaps 90 days, as a period when they could review and revise their plans too.

And this new truth-telling or ethical conduct might be applied to the mining industry… or transportation, or food too as there seem to be countless industries that have grown too cozy with government regulators who  believed we’re paid by taxpayers to protect the public at-large.

The point is this – instead of focusing solely on monetary recover, which is important, let’s not settle for the easy solution – the money alone – but use this disaster as a water shed mark in US history when companies are put on notice that too-close-for-ethical-comfort relationships with K Street lobbyists is not an alternative to the more costly truth; and that doing business well requires ethics.  That success is not judged solely on the balance sheet or an ability to recover from a whoops-moment.

We have suffered through the banking crisis, the housing meltdown, the oil spill and yet it feels as if we haven’t learned a lesson called accountability.  Fiscal, moral, ethic accountability and leadership is what is sorely needed.   We have suffered a hat trick of woe.  Have we learned anything more than, “Wow, it sure is expensive” and “How did that happen?”  Are we that naive?  Are we perpetually doomed to be ostriches?  If we don’t want to put the bastards in jail then let’s break out the old family recipe for mixing tar and start gathering the feathers.

The media has treated each of these events in a episodical way.  The public sees them as disasters each  in their own right.  But I think there may be an underlying cause that transcends all three… greed, a lack of ethics and accountability.  Money wont restore that – not even the most Draconian fine.  Accountability is not s synonym for businesses with deep pockets but rather it should be a maxim for the behavior of a company’s leadership, its C-levels and its Board.

Watching the Gulf Oil Disaster in Real Time – Live from the Ocean Floor

Technology never fails to amaze me and the BP disaster offers a unique glimpse from their underwater cameras.

So long, farewell… Buh-bye Tony

BP CEO Tony Hayward is a marked man emerging as America’s latest leading corporate villain.  He’s the new poster boy for what not to say in a crisis.  His apparent self-focus that “he wants his life back” pits his desire for normalcy against the loss of 11 workers in the fire and sinking of the Transocean rig.  One might imagine their families would like those lives back too.

Tony, you’re doomed man. Say goodbye.  It’s all now a matter of time… you’ve been tar and feathered, smeared in oil.  When you now appear on camera the common reaction is to throw darts or change the channel.  In a world where trust and believability, credibility and likability rule… you’re sinking like a rock.

It seems truly amazing that – for some one who teaches crisis management -BP continues to make mistakes, missteps, misstatements 45 days in to the disaster.  The failure to explain what would be deemed “legitimate” claims before Congress in the earliest days of the story is today compounded by an artful, expensive PR campaign that features Hayward and his cabal of advisors doing the ‘best they can’ all the while oil gushes from the pipe.  Isn’t there an inherent contradiction in all this… are they really doing the best job they can?  Difficult admittedly, but not a success by a long shot.

The real lesson remains the experience of Valdez, Alaska.  Twenty one years after Exxon ran their tanker onto Bligh Reef there is still an oily residue just under the rocks along the shoreline of Prince William Sound.  Droplets of oil abound in the water, in pools, coating the underside of rocks that cover that shore.  Billions of dollars spent and tens of thousands of man hours invested in clean up have failed to restore, entirely restore, the waterways and shoreline.  Yes the sound is healthier than some doom and naysayers predicted, but it is not without lasting injury.  It would seem evident that a similar fate awaits the gulf coast and possibly other eastern beaches and the communities that depend upon the water for food, tourism, attraction and livelihood.

So as we watch for the expected outcome — Hayward will walk the plank with a shove from the BP board; the company will lose its financial luster and ultimately file for court protection or receivership to protect its reduced and falling assets.  Thousands of workers will lose jobs and homes; alcoholism will rise… abuse, domestic violence, divorce all soared in Valdez and the surrounding communities too.  Suits and class action filings for worker compensation due to illness stemming from the clean up will clog the courts the way the oil stifles marine life on marshes today.  Perhaps even years from now medical claims, lung and other injuries will continue to haunt local residents and their families, perhaps too even birth defects.  This will be a petri dish for health, injury and litigation for generations.  Within this year I predict BP and it’s eco-friendly logo will be replaced with a new name and consumer  brand, as if that is sufficient to hide the experience from the public’s memory.
Sadly it doesn’t take scientist to see where this mess is headed… admittedly it’s a bona fide crisis.  Hayward may become the fall guy but the corporation and those who are advising it deserve some of the blame for the handling of the story.   Black oil, corporate greed… mistakes and mishandling.  Dishonesty.  Shame.

BP’s approach to the oil spill crisis – corporate sacrifce! Let’s toss our friends into the sea.

There’s an established rule in crisis communications that you round-up your allies and stand together — sink or swim, but both human or corporate  sacrifice is frowned upon as poor sportsmanship.

That rule was cast aside Monday by BP CEO Tony Hayward who threw his Gulf of Mexico drilling vendor Transocean Ltd. directly into the deep water saying, “The drilling rig was a Transocean drilling rig. It was their rig and their equipment that failed, run by their people, their processors.”

Oh Mr. Hayward?  How do you feel about companies or people you really dislike?  In an interview on NBC’s Today Show, Mr. Hayward went on to point out that Transocean owned the giant Deepwater Horizon platform and that BP was merely a lessee.  While accepting the burden of paying for clean up costs one has to wonder what Hayward was thinking?  Why was he sitting on national television dissing what until last week was considered a valued partner to BP’s global operations?

So much for loyalty.  So much for corporate responsibility.  Hayward could be laying the framework for a legal defense to put as much of the blame, the harsh light of public recrimination and ultimately the public memory onto the shoulders of his Swiss partner Transocean.  To this observer it appears a flimsy and transparent attempt to add to the slimy oil slick also known as the ever-expanding blame game.

Kudos to Mr. Hayward – he appeared sincere and forthright.  He was well-trained and prepared.  But his statements left real doubt as to the corporate courage and conviction of BP… and I bet the blame will be shared by many more before the well or this story is capped.