Airline CEOs Defend Seat Size

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American and Delta Airlines CEOs sit in small plane seats to explain the rationale and defend shrinking seat sizes. Doug Parker and Ed Bastian, both 6' 3" tall, agreed to talk to a WSJ writer, while United CEO Oscar Munoz declined.

Both CEOs say they fly coach for short trips. Bastian started a policy that Delta directors must fly coach when traveling less than three hours. Of course, as the article points out, suffering three hours in a small seat isn't quite the same as 24.

The executives say that flight amenities, such as WiFi, make up for any discomfort from smaller seats. American's Parker says that customers don't complain and that the airline hasn't "done anything that makes the main cabin product less desirable than it was before." The airlines are also focused on providing larger seats for higher fares.

Another WSJ article explains what airlines consider when making seats comfortable.

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Discussion:

  • How does this story illustrate character dimensions such as compassion, vulnerability, and humility?
  • Did the CEOs do the right thing by agreeing to participate in the article? What are the risks and benefits?
  • Why would United CEO Oscar Munoz decline? Was this the right decision for him and the airline?
  • What persuasion tactics do the CEOs use to convince us that flying coach is not so bad?
  • Do you agree with the CEOs' assessments about small seats? What has been your experience?

Papa John's Founder Resigns

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Papa John's founder and chairman John Schnatter resigned after using the "N-word" on a conference call. This may have been the last straw for the executive, who sparked controversy about NFL players "taking a knee" during the national anthem. Schnatter blamed league players and leadership for declining viewership he linked to declining pizza sales. Muddying the issue, Schnatter won unwanted support from some neo-Nazis.

This incident involved Laundry Service, a marketing firm that was helping Schnatter navigate future PR crises. During a role play, Schnatter said, “Colonel Sanders called blacks n-----s." His point was that the KFC chairman didn't face any backlash. A Forbes article details more of the conversation:

"Schnatter also reflected on his early life in Indiana, where, he said, people used to drag African-Americans from trucks until they died. He apparently intended for the remarks to convey his antipathy to racism, but multiple individuals on the call found them to be offensive, a source familiar with the matter said. After learning about the incident, Laundry Service owner Casey Wasserman moved to terminate the company’s contract with Papa John’s."

In a statement, Schnatter apologized: 

"News reports attributing the use of inappropriate and hurtful language to me during a media training session regarding race are true. Regardless of the context, I apologize. Simply stated, racism has no place in our society."

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Discussion:

  • A Netflix executive resigned after a similar situation. What differences do you see in these two situations, and do they matter in  terms of the resulting resignations?
  • Papa John's next challenge is how to distance itself from Schnatter, whose face is on the pizza boxes. Should the image be removed? Why or why not?

Fewer Meetings at GE and the CEO's Reaction to the Dow

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A Wall Street Journal article describes an interview with GE CEO John Flannery. GE was recently dropped from the Dow Jones Industrial Average (also called the "DJIA" or "the Dow"), an index of 30 companies on the New York Stock Exchange that, taken together, serve as a indication of the U.S. economy. Asked about the move, Flannery downplayed the impact on GE:

WSJ: How about the more recent news of being removed from the Dow Jones Industrial Average? Does it mean GE has changed or is it the Dow that has changed?

Mr. Flannery: Yeah, there’s a lot of debate about that. Listen, you know being a member of the Dow is a big part of the company’s history, and I sent a note out to our teams just as that came out.

It is part of our history. It’s not going to be what defines us today or in the future. We’re going to define ourselves in the future. The teams and how we perform and how we deal with customers, how we invest in the things we do right now. That’s what writes the story for GE. The people inside the company are the people who define GE, not the people outside the company. So I’d say if anything, I certainly took it as a motivation.

During another part of the interview, Flannery discussed the company's goal of reducing meetings: "Little or no meetings wherever possible." The goal is part of a broader strategy for decentralization, moving the "center of gravity" to diverse business units.

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Discussion:

  • How do you assess Flannery's response to the question about the Dow? It's a delicate situation.
  • What, if any, leadership character dimensions did he demonstrate in responding to the question? 
  • What is the value of decentralization? What is the value of having fewer meetings? Also consider the downsides: what could be lost when fewer meetings are held?

Netflix Comms Officer Out After Using Racial Epithet

Jonathan Friedland, Netflix's chief communications officer, was fired after using the "N-word" at least twice at work. CEO Reed Hastings sent an email to employees explaining the situation:

“Several people afterwards told him how inappropriate and hurtful his use of the N-word was..."  “We hoped this was an awful anomaly never to be repeated.” “The second incident confirmed a deep lack of understanding, and convinced me to let Jonathan go now." "[I should]...have done more to use it as a learning moment for everyone at Netflix about how painful and ugly that word is, and that it should not be used.” “Depending on where you live or grew up in the world, understanding and sensitivities around the history and use of the N-word can vary.” “For nonblack people, the word should not be spoken as there is almost no context in which it is appropriate or constructive (even when singing a song or reading a script). There is not a way to neutralize the emotion and history behind the word in any context.”

The first incident was during a PR meeting on the topic of sensitive words. It's unclear when and how the word was used the second time.

For his part, Friedland apologized on Twitter.

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Discussion:

  • What's your view of the situation and Friedland's use of the word? Consider that we don't have all of the context.
  • Given what little we know, should Friedland have been fired?
  • How does this situation potentially demonstrate a lack of humility?

Cold Email Examples

The CEO of Mapistry, a start-up software company for storm water compliance, posted and analyzed her past emails to VCs, venture capitalists who could invest in her company. Allie Janoch disputes the claim that you need an introduction to a VC; she has had some success in sending cold emails.

Her first email, Janochs admits, says little about her company and undermines the message with self-deprecation.

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She didn't get a response. Her second email, when her company had more traction, includes a specific subject, focuses on problem solving, uses bullets for important data points, and is personal.

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Discussion:

  • What do you consider the strength's of Janoch's second email?
  • What improvements could she make?
  • How does each email demonstrate humility? The first, as Janoch says, is self-deprecating. What's the potential problem with this approach? How does the second email demonstrate humility as well as confidence? How well does Janoch balance the two?

McDonald's Ramadan Commercial

An American colleague working in Singapore sent me this McDonald's commercial about Ramadan, the Muslim holy month of fasting. The YouTube caption reads, "Sharing food creates a bond like no other. This Ramadan, McDonald's brings you even more reasons to share."

We see an industrious McDonald's employee, delivering food as he gets weaker because of fasting. At the end, a customer offers him food when it's time to break the fast.

The response has been positive, with one user commenting that he would like to see ads like this in the United States. A McDonald's representative expressed her views of the response:

"We're truly humbled and encouraged by the positive response received from our latest video."

"We wanted to celebrate Singapore's community spirit of human kindness, sharing and togetherness during this Ramadan month, and what better way than to do it through the lens of our McDelivery riders - who connect our brand with our customers, door to door."

"It's our small way of appreciating those working tirelessly behind the scenes to deliver meals and enabling the bonding and sharing moments during this occasion."

Discussion:

  • Why do you think the video is getting such a strong positive response?
  • Would such a commercial be successful in the U.S.? Why or why not? Consider cultural differences between Singapore and the U.S.
  • The McDonald's representative says they are "humbled." What does she mean by this, and how does it relate to definitions of humility?

University of Oregon Apologizes for Statement About Student Death

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University of Oregon leadership missed the mark in its statement about a student's death during a lake trip. Although the university offered sympathy in the original notice, the statement included language that seemed to blame the student:

It is important to point out that this tragedy is connected to an unauthorized tradition among many college students. Students from many institutions have a history of demonstrating poor life choices during visits to Lake Shasta. These activities are contrary to the values of the University and Fraternity and Sorority Organization.

When criticized for the tone and insensitivity, leaders published a new statement, which excludes this paragraph, and posted their regret on Twitter.

University officials may have wanted to use the student's death as a lesson or a warning to others. On the face of it, this strategy wasn't all bad. After all, Shasta Lake is a known partying site and has been in the news for tents and other debris left by college students. One Twitter user commented, "I think the first statement was more appropriate. Although this young man's death is tragic, bad choices have bad consequences."

Discussion:

  • What's your view? Was it wrong for the university to include that statement? Why or why not?
  •  If not in this statement, what should the university leaders have done differently if they did want to focus on future safety?

MSU's Denial as a Cultural Issue

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A Chronicle of Higher Ed article blames Michigan State University's ambitions and culture for their leaders' lack of response to years of sexual abuse on campus. More than 12 people knew of complaints against physician Larry Nassar, but the abuse continued for years.

Lou Anna K. Simon's leadership is questioned in the article. Although clearly a committed leader to the university, Simon is criticized for focusing so much on "two decades of status-climbing" that a culture of denying any wrongdoing evolved. One of the trustees summed up the issue in a letter and emphasized "We must embrace our obligation to apologize and offer justice."

Apologizing may be a sore subject for the trustees because Simon avoided it in the case of Larry Nassar's victims, according to the Chronicle article:

She talked about how “it is virtually impossible to stop a determined sexual predator and pedophile, that they will go to incomprehensible lengths to keep what they do in the shadows.” She often used “regret,” “sympathize,” and “acknowledge” in her written statements, but not “apologize.” She emphasized that sexual assault is a societal problem, not a Michigan State one. She highlighted all of the steps the university had taken to prevent sexual misconduct.

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Discussion:

  • Analyze the trustee's letter. What principles of business writing are followed? What are the strengths of the letter, and what could be improved?
  • The trustee encourages MSU leadership to listen. What does he mean by this, and how would listening help the situation?
  • What is the value of apologizing and admitting failure? What are the potential downsides, particularly for a university trying to improve its stature?
  • This story illustrates several failings of leadership character. Which can you identify, and which do you think are most relevant here?

Supreme Court Justice's Writing Style

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Supreme Court Justice Neil Gorsuch is getting so much attention for his writing that #GorsuchStyle is trending. Lauded before he joined the court, Gorsuch's writing is now criticized as a sidetrack "history lesson," "garbled," and "exhausting to read." Critics cite examples and wonder why a justice is spending time on alliteration:

“Disruptive dinnertime calls, downright deceit and more besides drew Congress’s eye to the debt collection industry.”

Another hallmark of his new style is making a pithy comment and then explaining its meaning as in this example:

"Chesterton reminds us not to clear away a fence just because we cannot see its point. Even if a fence doesn’t seem to have a reason, sometimes all that means is we need to look more carefully for the reason it was built in the first place."

A Yale student analyzed Gorsuch's court decisions. Compared to others' writing, he used more contractions (3.9 per 1,000 words compared to 0.8) and started sentences with words such as “and,” “but” and “so” more often (4.9 times out of every 1,000 words compared to 1.5). Analysts seem to agree that his style is getting less formal, but he also likes to draw attention to himself.

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Discussion:

  • What is the value of alliteration and other rhetorical devices? When are they best used, and when are they best avoided?
  • Gorsuch's seeming desire to call attention to himself contradicts business writing and leadership character principles. Which ones?
  • Why might Gorsuch's style change over time?
  • What distinguishes your writing style? Can you identify a sentence structure, phrase, or structure that you use oftenand maybe too often?
  • Slate writer Mark Joseph Stern analyzed another passage and identified several examples of "fat." Try to improve conciseness in this paragraph. How many extraneous words can you omit?

The Court today clears away a fence that once marked a basic boundary between federal and state power. Maybe it wasn’t the most vital fence and maybe we’ve just simply forgotten why this particular fence was built in the first place. But maybe, too, we’ve forgotten because we’ve wandered so far from the idea of a federal government of limited and enumerated powers that we’ve begun to lose sight of what it looked like in the first place.

More About the Starbucks Bias Situation

After the arrest of two black men in a Philadelphia store, Starbucks announced that 8,000 stores will close on May 29 for racial-bias training. But are some skeptical about the impact that one day of training will have, and the company seems to be imitating Chipotle's decision to close stores for food safety training. On the other hand, the company could have blamed the employee who called the police, a crisis communication strategy we have seem in many other situations. 

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An article in the New York Times describes racial bias research in hospitality customer service and may tell us more about the incident in Philadelphia. In one study, researchers sent emails to hotels using different names that reflected gender and race, asking for restaurant recommendations. Responses indicated racial bias, as the authors describe: "Hotel employees were significantly more likely to respond to inquiries from people who had typically white names than from those who had typically black and Asian names."

In addition, researchers analyzed "politeness," for example, whether employees wrote "best" or "sincerely" before signing their name. They were more likely to use such words when responding to guests with names that sounded white, and the authors describe another finding for this group: 

They were three times as likely to provide extra information — even when the initial inquiry was just about restaurants — to white than to black or Asian people.

In addition to training, the authors suggest periodic customer service audits and consistent scripts and policies.

In a turn, Philadelphia Police Commissioner Richard Ross has apologized to the two men who were arrested. In his original video, Ross defended the officers actions and said, based on a sergeant's experience at Starbucks, "they are at least consistent in their policy." But in the news conference, Ross says, "shame on me" and "I have to do better." 

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Discussion: 

  • What's your view of the research about customer service at hotels? What does the research potentially say about the situation at Starbucks?
  • Have you experienced bias in a customer service setting? What was the situation, and how did you handle it? 
  • How well does Ross handle the apology in the news conference? How does his identity factor into his response? How does he demonstrate authenticity, vulnerability, and other leadership character dimensions?

"Nut Rage": The Sequel

You may remember the so-called "nut rage" incident at Korean Airlines in 2015, when a company executive became enraged about how macadamia nuts were served on a flight. Cho Hyun-ah, a daughter of the company chairman, threw a document at the head flight attendant, forced him to kneel and apologize, and ordered the plane back to the gate so the flight attendant could be removed. Cho didn't know that the rules had changed: nuts were served in the bag instead of on a plate, as she expected, because of nut allergies. In February of this year, a Washington Post article details how the flight attendant has suffered since the incident. 

At the same, people were incensed by what they considered entitlement of the chaebol families, who run Korea's powerful conglomerates. Some believe they act as if they are "above the law," and this situation was symbolic of that criticism. 

This week, Cho's younger sister, Hyun-min, is criticized for losing her temper during a marketing department meeting. Some say she threw water at an employee's face, but the airline reports that she threw it on the floor.

Either way, unlike her sister, Hyun-min immediately apologized via text message to the employee and on her personal Facebook page: “I apologize with my head down for my foolish and reckless behavior."

Discussion:

  • How else should the company respond to this incident? What should executives have learned from the 2015 situation? 
  • How could you relate this incident to communication and character issues such as civility in the workplace, conflict management, and humility? 

Zuckerberg Testifies Before Congress

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In many hours of testimony, Facebook CEO Mark Zuckerberg did his best to address lawmakers' questions about data privacy and, surprisingly, how Facebook works. Senators and Members of Congress asked questions about texting, about how the company makes money without a subscription model (Zuckerberg: "We sell ads."), whether Facebook owns users' data, whether Facebook sells data, how many "data categories" Facebook collects, and so on. This video compilation does not reflect well on our lawmakers.

Zuckerberg himself seemed surprised by some of the questions and wasn't fully prepared to answer them. A reporter captures a photo of Zuckerberg's notes, which are what we would expect, but it's fun (in a voyeuristic way) to see them.

On the second day of testimony, questions improved, and many focused on Facebook's treatment of conservative political views. These were fair questions, and Zuckerberg admitted they had made mistakes in screening some content as inappropriate. But several representatives seemed to ask similar questions about this and about the consent agreement with the FCC, as if the question hadn't been asked just moments earlier.

In a New York Times Daily Podcast, reporters discussed Zuckerberg's continued references to starting Facebook in his dorm room. They believed the strategy was a good one for demonstrating his humanity (emotional appeal) but was potentially damaging for his credibility because it reminded lawmakers that he is only 33 years old. A seat chair, which internet trolls called a "booster seat," didn't help.

Wall Street responded well to Zuckerberg's testimony, with the stock price rising both days.

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Discussion:

  • What's your view of Zuckerberg's testimony? Watch as much as you can tolerate.
  • Should lawmakers have a better understanding of Facebook? What is their level of responsibility?
  • Identify a few specific questions and Zuckerberg's answers. What leadership character dimensions does he demonstrate, and how could he have improved?
  • Watching the testimony, how would you assess his authenticity? Do you know more about him as a person? Should we?

 

 

An Interview with Sheryl Sandberg

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During an interview with Judy Woodruff on PBS NewsHour, Facebook COO Sheryl Sandberg admitted mistakes and discussed plans for improving users' privacy. Sandberg didn't shy away from tough questions about Facebook's role in protecting users' information and admitted that the site had an important role during the 2016 presidential election, at least to get people to register to vote.

On whether Cambridge Analytica still has data, Sandberg admitted, "We were given assurances by them years ago that they deleted the data. We should’ve followed up. That’s on us. We are trying to do a forensic audit to find out what they have." She also said the company had "under-invested" in ways to protect users' information.

Viewers may notice that Sandberg repeatedly says versions of "That's a very good question." This could be a tactic to delay responding, or it could be that Woodruff asks good questions! Sandberg would be the first to acknowledge that many of the questions are ones the company leaders are asking themselves at this point. As pioneers, Facebook executives are reconsidering how people use the site and for what purpose.

Discussion:

  • Assess Sandberg's presentation skills. How well does she deliver her ideas and address questions?
  • What principles of persuasion does Sandberg demonstrate in the interview?
  • What else, if anything, could Sandberg have said during this interview to rebuild trust in the company?

Defense for Rudeness: "I'm French"

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A waiter in at Milestones Bar + Grill in Vancouver, British Columbia, was fired for being rude. Guillaume Rey doesn't argue the point, but he has filed a lawsuit claiming his termination is discriminatory.

As part of the suit against the parent company, Rey said the decision was "discrimination against my culture," which “tends to be more direct and expressive." On the other hand, Rey signed documentation with the restaurant that states, “intentionally speaking to a Guest or Associate in a rude or unfriendly manner" may be cause for termination.

The restaurant tried to get the case dismissed but failed. A judge explains the ruling:

Given that there is at least some evidence supporting an inference that Mr. Rey’s ancestry was a factor in the termination, and given how little other information I have about what happened, I cannot find that the Restaurant has met its burden on this application. 

Discussion:

  • Read the court's findings. What were the restaurant's arguments? What are Rey's arguments?
  • Do you agree with the judge's decision at this point? Why or why not?
  • How does this situation demonstrate humility or a lack of humility?

 

 

 

Turnaround for Martin Shkreli

We see a different Martin Shkreli from the one criticized for smirking during a congressional hearing on Capitol Hill in 2016. Shkreli ran Turing Pharmaceuticals when the company was accused of raising drug prices 5,000% in 2015. At the time, he was only 28 years old and was called "the most hated man in America."

Last week, Shkreli was sentenced to seven years in prison for fraud committed while he was a hedge fund manager and while running another drug company, Retrophin.

Shkreli pleaded for leniency. According to a CNBC report, he "broke down in tears." Another  article summarizes his statements in court:  

"The one person to blame for me being here today is me," a choked-up Shkreli told a judge before she imposed the prison term in Brooklyn, New York, federal court.

"Not the government. There is no conspiracy to take down Martin Shkreli."

"I took down Martin Shkreli with my disgraceful and shameful actions."

"This is my fault. I am no victim here," Shkreli said, before breaking down into tears as he promised not to let his lawyer Benjamin Brafman down in his efforts to contribute to society.

"Do not feel bad for me," Shkreli told a packed courtroom that included supporters and family members, many of whom had written letters asking Judge Kiyo Matsumoto to spare him from a harsh sentence.

And he had a message for the investors he duped: "I am terribly sorry I lost your trust. ... You deserve far better."

"I was never motivated by money," Shkreli said. "I wanted to grow my stature and my reputation."

"I am here because of my gross, stupid and negligent mistakes I made."

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Discussion:

  • Let's assume Shkreli's statements are sincere. How could you explain Shkreli's smirking in 2015 at such as serious hearing and his behavior more recently?
  • Do you believe Shkreli's statements are sincere? Why or why not?

 

Is Blankfein Leaving Goldman?

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It's big news on Wall Street: the 12-year CEO of Goldman Sachs is leaving the company. But Lloyd Blankfein and other Goldman executives say they were surprised to read the Wall  Street Journal report. 

CNBC's Jim  Cramer said the news made sense because Goldman has two co-presidents who are vying for the position: "Blankfein is deeply committed to letting a newer generation" lead.

Blankfein tackled some tough times at the investment bank. The firm managed well through the Great Recession despite criticism for misleading customers, for which Goldman paid $550 million to the SEC as a settlement. In 2009, Blankfein faced criticism when he, perhaps jokingly, told a reporter Goldman was "just doing God's work." He was positioning the firm as having a "social purpose." Finally, in 2012, a Goldman executive wrote a scathing report about the company in a New York Times opinion piece, "Why I Am Leaving Goldman Sachs."

For now, we don't know how true the WSJ report is. 

Discussion: 

  • The Wall Street Journal report is very clear, although it doesn't identify sources, but that is typical. How do news reports like this happen? Who is responsible if it is a mistake? 
  • How well did Blankfein handle the situation? What, if anything, should Goldman communicate as a company at this point?

United Backs Off of Bonus Plan

United announced moving to a lottery system for employee bonuses, but backlash caused management to rethink the plan. President Scott Kirby had distributed a memo describing the new process:

"As we look to continue improving, we took a step back and decided to replace the quarterly operational bonus and perfect attendance programs with an exciting new rewards program called 'core4 Score Rewards.' " 

The new program would include cash and other prizes and one quarterly prize of $100,000, which would be given to a random, eligible employee. Following the criticism, a spokesperson tried to clarify:

"We announced a new internal program based on United meeting certain operational and dependability metrics as a way of offering meaningful rewards to our employees. We believe that this new program will build excitement and a sense of accomplishment as we continue to set all-time operational records that result in an experience that our customers value."

Employee comments were harsh:

"Why should I be happy watching another employee get rewarded for my hard work? How would you feel if Oscar (United CEO Oscar Munoz) played roulette with your incentive package and it went to another vice president through a lottery drawing."

"This is truly disappointing. The current program 'costs' the company approximately $150 per 75,000 employees per quarter, totaling over $11 million. This new 'improved' program that we are supposed to be so excited about will cost the company $3.5 million per quarter. This saves the company about $8 million per quarter. Does Willis Tower really think the average front-line employee is stupid?"  

In a second memo three days later, Kirby announced a pause on the program, saying they would "consider the right way to move ahead" and "will be reaching out to work groups across the company, and the changes we make will better reflect your feedback."

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Discussion:

  • What went wrong? Was it the bonus/lottery plan, the way it was announced, both, or something else?
  • One employee commented, "Wow. I thought our morale was already as low as it could go, but I guess that was naive thinking on my part. I'm finally starting to understand that there will always be room for management to make me feel even less appreciated than I already do. How many times must they be taught, that if the employees aren't happy, no one is happy." What should the company leaders do now?
  • The memos and employee comments were on an internal United system. What are the ethics of forwarding internal communications to the media?

President Trump Vs. Alec Baldwin

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Alec Baldwin is a frequent imitator of President Trump on Saturday Night Live, and the President doesn't like it. In a Twitter feud for the world to see, the two are trading insults.

The President's response followed Alec Baldwin's interview with The Hollywood Reporter

How much longer with you play Trump on Saturday Night Live?

Every time I do it now, it's like agony. Agony. I can't. If things don't go in the right direction for the midterms. … I could go out on the street, stand on any corner and tap 10 people on the shoulder. And all 10 of them, in all likelihood, would be more qualified — ethically, morally, intellectually and spiritually — than Trump. I'll vote for Mitt Romney. I don't care. Anybody over this guy. It doesn't matter. We have to get rid of him. And that's another project I'm working on. I was the keynote speaker at the Democratic Dinner in Iowa, and I'm gonna go do a couple more of those this year. My wife and I agreed that we're gonna give it everything we have. And then if, God forbid, he wins again in 2020, I'm wondering can I host a game show in Spain.

Not to be outdone, Baldwin responded in a few tweets, including this one:

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Discussion:

  • Should either or both of these men refrain from this type of argument on Twitter? Why or why not?
  • We could say the President lacks humility, including the ability to laugh at himself. Do you agree with this statement, or do you believe Baldwin is out of line, or something else?

Travis Kalanick Gets a New Role

Travis Kalanick's dramatic fall from Uber has a potential happy ending. Kalanick has joined the board of health company startup Kareo, run by Dan Rodrigues. Kalanick was an angel investor in Kareo, and he and Rodrigues founded a music company in the late 1990s.

Rodrigues announced the appointment in an email to Kareo employees:

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I’m very excited to have Travis join our board. He is one of the most successful entrepreneurs of our generation. He has not only scaled a high-growth company, but transformed an entire industry. Travis and I have a long-standing relationship that goes back more than 20 years. We were classmates at UCLA and co-founders at Scour, a peer-to- peer search engine company in the late 90’s. Travis made an early-stage investment in Kareo in 2009. He has been an enthusiastic believer in our vision since our inception and he is excited to work with us more directly to bring innovation to healthcare and help us reach our goals for market leadership.

This is Kalanick's first venture after being ousted from Uber and is encouraging for leaders who have experienced failure. He has been quiet on Twitter since January but tweeted the good news and highlighted his relationship with Rodrigues.

 

Discussion:

  • What other examples do you know of fallen leaders getting a second chance? Will we see this for Harvey Weinstein?
  • Assess the email to Kareo employees. What does the CEO want to accomplish? How well does the message meet these objectives?
  • How much do you think the friendship between Kalanick and Rodrigues factors into his board assignment? Why would Rodrigues emphasize their relationship in his email?

KFC Shuts Stores and Blames DHL

About 900 KFC UK restaurants closed because they didn't have chicken. A problem with DHL as their new transportation partner caused the problem, which upset customers so much they called the local police and Parliament.

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The company has been sending steady messages and is trying to find humor in the situation. A spokesperson said, "We know that this might have inconvenienced some of you over the last few days, and disappointed you when you wanted your fried chicken fix — we're really sorry about that. Shout out to our restaurant teams who are working flat out to get us back up and running again.” A notice on the company website reads, "Thanks for bearing with us," and lists other locations nearby.

In addition, KFC posted a message on Twitter:

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Another post read, "KFC runs out of chicken. You couldn't make it up, but we'll make it up to you. Join the Colonel's Club and get a finger lickin' reward when your restaurant opens." 

Discussion:

  • How well do you think KFC is communicating about the situation?
  • DHL made a big announcement in October of 2017: "KFC revolutionizes foodservice supply chain with DHL." But a press release about the current situation is nowhere to be found. Should the company be more vocal? 
  • Is it appropriate for KFC to blame DHL? In what ways does this both demonstrate and lack accountability?