Alex Rodriguez Apologizes. Again.
After a season leave from baseball, Alex Rodriguez will rejoin the Yankees. Rodriguez was suspended for a record 162 games for using performance-enhancing drugs. On its website, the Yankees refers to his "involvement with Biogenesis and performance-enhancing drugs."
In a handwritten letter, Rodriguez apologizes to the league, his team, the Steinbrenner family, the Players Association, and his fans. The first paragraph of his letter is below, and the rest is here.
During a news conference in 2009, Rodriguez blames his youth.
The news comes at almost the same time cyclist Lance Armstrong is ordered to pay $10 million, the largest settlement for using performance-enhancing drugs. I'm not holding my breath for an apology.
Discussion Starters:
- Assess the apology letter. Why did Rodriguez choose to hand write the letter? How is it organized? Is it sufficient?
- Watch the news conference from 2009. What communication strategies does Rodriguez use?
Brian Williams Gets Suspended
NBC News president Deborah Turness announced the decision: Brian Williams will be suspended for six months. The suspension comes after a week of controversy about how Williams changed stories over time.
A New York Times article describes the decision-making process at NBC. Several people were consulted, including the highly respected Tom Brokaw, who was news anchor and managing editor before Williams took the position. The article is a window into corporate politics and decision making.
In an email to staff, Turness announced the suspension:
From: Deborah Turness (NBCUniversal)
Sent: Tuesday, February 10, 2015 7:47 PM
To: @NBC Uni NBC News All
Subject: Brian Williams
All,
We have decided today to suspend Brian Williams as Managing Editor and Anchor of NBC Nightly News for six months. The suspension will be without pay and is effective immediately. We let Brian know of our decision earlier today. Lester Holt will continue to substitute Anchor the NBC Nightly News.
Our review, which is being led by Richard Esposito working closely with NBCUniversal General Counsel Kim Harris, is ongoing, but I think it is important to take you through our thought process in coming to this decision.
While on Nightly News on Friday, January 30, 2015, Brian misrepresented events which occurred while he was covering the Iraq War in 2003. It then became clear that on other occasions Brian had done the same while telling that story in other venues. This was wrong and completely inappropriate for someone in Brian's position.
In addition, we have concerns about comments that occurred outside NBC News while Brian was talking about his experiences in the field.
As Managing Editor and Anchor of Nightly News, Brian has a responsibility to be truthful and to uphold the high standards of the news division at all times.
Steve Burke, Pat Fili and I came to this decision together. We felt it would have been wrong to disregard the good work Brian has done and the special relationship he has forged with our viewers over 22 years. Millions of Americans have turned to him every day, and he has been an important and well-respected part of our organization.
As I'm sure you understand, this was a very hard decision. Certainly there will be those who disagree. But we believe this suspension is the appropriate and proportionate action.
This has been a difficult time. But NBC News is bigger than this moment. You work so hard and dedicate yourselves each and every day to the important work of bringing trusted, credible news to our audience. Because of you, your loyalty, your dedication, NBC News is an organization we can – and should - all be proud of. We will get through this together.
Steve Burke asked me to share the following message.
"This has been a painful period for all concerned and we appreciate your patience while we gathered the available facts. By his actions, Brian has jeopardized the trust millions of Americans place in NBC News. His actions are inexcusable and this suspension is severe and appropriate. Brian's life's work is delivering the news. I know Brian loves his country, NBC News and his colleagues. He deserves a second chance and we are rooting for him. Brian has shared his deep remorse with me and he is committed to winning back everyone's trust."
Deborah
Discussion Starters:
- Assess Turness' email. What is being said and what isn't? How is the email organized? What works well, and what doesn't?
- Consider the quotation from Steve Burke, CEO and president of NBCUniversal. Does this belong?
- Did Turness and the others make the right decision? Why or why not?
Uber's False-Cause Fallacy
A Fast Company report gives us a great example of a false-cause fallacy: "Uber Cures Leprosy."
The video pokes fun at Uber's claim that the service reduced the number of drunk driving incidents. Last year, Uber and MADD (Mothers Against Drunk Driving) announced a partnership that includes donations to the organization. However, a news release by MADD, although complimentary of Uber's service, doesn't imply causation:
"The report released today builds upon a study conducted by Uber in May 2014, which estimated that the entrance of Uber in Seattle coincided with a more than 10% reduction in the number of arrests for DUI. "
On the other hand, Uber's promotional materials do:
"A new report conducted in partnership with Mothers Against Drunk Driving (MADD) reveals that when empowered with more transportation options like Uber, people are making better choices that save lives."
Discussion Starters:
- Is this just a difference in semantics or something more?
- Is the Fast Company video too critical of Uber?
- What fallacy does the Fast Company reporter use in comparing Uber's claim to curing leprosy?
How to Make Your Tweets More Persuasive
Researchers at Cornell University have discovered language that makes tweets more likely to be retweeted. A computer analyzed messages, searching for keywords and combinations of words.
In their article, published in the June 2014 Proceedings of the Association for Computer Linguistics, the authors pose a basic communication question: "How does one make a message 'successful'?" The authors generated this list of recommendations for people wanting more bang for their tweets:
- Ask people to share. Words like "please," "pls," "plz" and, of course, "retweet" were common in successful messages.
- Be informative (often measured by length).
- Use the language of the community, and be consistent with the language you usually use yourself, with which your followers are familiar. The researchers are also testing on Reddit, where users form distinct communities.
- Imitate the style of newspaper headlines. (In their tests, the researchers used the New York Times as a model.)
- Use words that appear often in other retweeted messages.
- Use words that express positive or negative sentiment.
- Refer to other people, not just yourself. Use third person pronouns.
- Use generalizations. Statements that can be applied to a variety of situations are the most often repeated.
- Make it easy to read. The researchers applied a formula used to measure the grade level of a text.
Discussion Starters:
- Does any of this advice surprise you?
- Do you find some recommendations more helpful than others?
- What difficulty could you see in implementing these ideas in tweets?
Brian Williams Takes a Hiatus
After days of controversy and speculation, Brian Williams has decided to take a leave from news reporting. Williams, the anchor and managing editor of "NBC Nightly News," has been criticized for inconsistencies in his reporting over time, raising questions about his credibility.
Williams' reporting of the Iraq War and Hurricane Katrina are being investigated. He apologized this week for saying that, in 2003, he was on a helicopter that was hit by a grenade. His reporting at the time differed and changed during the past 12 years. During Hurricane Katrina, Williams claimed to have seen bodies floating in the French Quarter, but this is now disputed as well his claim to have contracted dysentery.
In a brief statement posted on the NBC News site, Williams acknowledged the distraction:
A Personal Note from Brian Williams
In the midst of a career spent covering and consuming news, it has become painfully apparent to me that I am presently too much a part of the news, due to my actions.
As Managing Editor of NBC Nightly News, I have decided to take myself off of my daily broadcast for the next several days, and Lester Holt has kindly agreed to sit in for me to allow us to adequately deal with this issue. Upon my return, I will continue my career-long effort to be worthy of the trust of those who place their trust in us.
According to The New York Times, the leave may give the NBC executives more time to decide Williams' status with the network.
Discussion Starters:
- What do you make of Williams' reporting on these situations? Keep in mind that memory does change over time.
- Did Williams do the right thing by taking a leave from the news? What are the advantages and disadvantages? Consider the potential consequences of staying and leaving.
Twitter CEO Admits Failures in Addressing Cyberbullying
In two internal discussion posts, Twitter CEO Dick Costolo addressed criticism that the company isn't doing enough to stop cyberbulling.
An employee raised the issue by citing Lindy West, a victim of harassment on Twitter:
"I'm aware that Twitter is well within its rights to let its platform be used as a vehicle for sexist and racist harassment. But, as a private company – just like a comedian mulling over a rape joke, or a troll looking for a target for his anger – it could choose not to. As a collective of human beings, it could choose to be better."
In both posts, Costolo's message is clear: "I take full responsibility."
Discussion Starters:
- What do you see as Twitter's responsibility, and what are the limits?
- What could the company do to prevent or address cyberbullying?
Discussion Starters:
RadioShack Files for Bankruptcy
In sad, but un
surprising news, RadioShack filed for Chapter 11 bankruptcy. The company has been struggling for some time and closed 1,110 stores last year.
Now, 2,400 of its 4,000 stores will be sold to General Wireless, an affiliate of its biggest shareholder, Standard General. Under the agreement, Sprint will operate most of those stores. In a news release, RadioShack describes the plan.
A Wall Street Journal article blames the company for poor decisions. Titled "Strategic Confusion Put RadioShack at Mercy of Lenders," the article says the company "failed to keep up with the changing retail and digital landscape." The company's fate, according to the WSJ, could be worse: Circuit City and Borders were liquidated.
RadioShack is on its seventh CEO in the past nine years-probably not a fun position.
Discussion Starters:
- The Yahoo Finance article reports, "A spokesman for Standard General did not respond to a request for comment." Should the company have prepared a statement?
- Analyze the news release. What works well, and what could be improved?
Metro-North Accident Kills Six
Another Metro-North train accident caused several deaths-this time a collision with an SUV on the tracks in Valhalla, NY. It's unclear why Ellen Brody's car stopped in the train's path, and the driver behind her didn't understand why she didn't back up.
As with other Metro-North incidents, the organization provides service updates, but little human connection. The Metro-North news page only references a collision and provides transportation options. The Twitter feed also posts only service updates.
The MTA CEO did issue this statement: "The entire MTA family's thoughts are with the relatives and loved ones of the victims of last night's tragedy. We are tremendously saddened by this tragic accident, and our thoughts and prayers go out to all of them."
But the MTA press releases are cold statements of the facts:
Discussion Starters:
- Should the MTA do anything differently at this point? To be fair, this accident seems out of the organization's control, unlike the derailment in 2013.
- Compare the New York MTA's response to DC's statement when a woman died of smoke inhalation. What's different? Should the MTA write a similar apology?
Lululemon Founder Resigns
After a series of controversial PR moves, Lululemon Founder and CEO Chip Wilson has resigned from the board of directors. BizCom has two posts about the company over the past couple of years:
The problems seemed to start when customers complained about the sheer fabric used in the company's pricey yoga pants. The New York Times explains the situation:
Some women who tried to return the pants at Lululemon stores said they were told to put them on and bend over so staff members could determine just how see-through they were. After a monthslong public-relations disaster, Wilson, who was chairman of the company, went on Bloomberg TV that November to share what he thought was a reasonable explanation. "Some women's bodies don't work for the pants," he said. "It's really about the rubbing through the thighs, how much pressure is there over a period of time."
In a video in 2013, Wilson tried to apologize, but it didn't go very well. The Times writer describes Wilson: "More than once, the way Wilson spoke reminded me of the airhead fashion model Ben Stiller plays in "Zoolander."
Here's an excerpt from the company's news release about Wilson:
Mr. Wilson concluded: "I have achieved the goals I set when I came back, and after careful thought, I believe that now is the right time to step away from the board. I leave behind a new and talented management team and new board construct. By stepping away from lululemon I will now have more opportunity to work with my wife and son as they grow their new business, Kit & Ace. I am so excited for Kit & Ace because it is where street clothing is going. Shannon and JJ have caught the next wave." Founded in 2014, Kit & Ace produces Technical Luxury™ products by using Technical Cashmere™ blends.
Discussion Starters:
- Read the NY Times article about Chip Wilson. What impressions do you get of the man and the situation?
- Read the entire news release. Analyze the tone, organization, and word choice. How is the company representing the situation?
Nationwide Ads
In a series of commercials, some of which played during the Super Bowl, Nationwide is encouraging parents to keep their kids safe. In each video, children are telling us that they can't do what they had hoped to do because they died.
Frank Eliason, a father who lost his child of four years old during a liver transplant, wrote a post describing how the ad affected him:
Let me introduce you to Gia. She was born in 2000. She never learned to ride a bike. Or got cooties. She never learned to fly. Or travel the world with her best friend. She will never get married. She didn't grow up, because she died during a liver transplant surgery as a result of liver cancer. She passed away on July 26, 2004.
Imagine Gia was your daughter. It is easy for me, because she is my daughter. Now we are over 10 years later, and I still think of her everyday. Now imagine escaping this troubled world for a few hours to enjoy the Super Bowl. It is an escape that only comes once a year. I enjoy watching the game with my girls, and try to forget the troubles the world brings. Then this commercial comes on:
How would you feel if you lost a child for any reason? Can you imagine the discussion it creates with your other children who are 7 & 8 about the sibling they never met? Simply put this brought nothing but pain to parents who lost a child, no matter the cause of death.
I know Nationwide has issued a statement stating that they were hoping to start a dialogue regarding safety in the home. That may be a noble goal, but this is not the way to start a dialogue of any kind. It is obvious to me that no one involved within the company or their advertising agency has ever suffered such a horrible loss. I certainly hope they never do.
Insurance is supposed to be about making you whole, but there is no insurance in the world that can ever make the loss of a child whole. In my view this commercial was much more than a downer, as the Washington Post stated. To me it was personal.
In an unrelated Nationwide video, actress Mindy Kaling thinks she's invisible. This one's funny.
Discussion Starters:
- Do you find Nationwide's commercials offensive or insensitive?
- Assess the company's press release. Did it convey Nationwide's goals while recognizing intense reactions?
McDonald's Latest Emotional Appeal
In yet another attempt to win customers and stave off declining revenue, McDonald's created a clever ad for Game Day. The company's Super Bowl ad is called Pay with Lovin'. If you're one of the lucky few to be selected through February 14, you'll get a free item by, for example, calling your mother to tell her you love her, dancing, or hugging someone.
A McDonald's spokesperson said, "We want to thank our customers for making our day and hopefully they will make someone else's as well-that's what Lovin' is all about. From selfies, hugs to high fives-we have a bunch of fun ways to express your Lovin'."
Also this week, McDonald's CEO has "retired."
Discussion Starters:
- What do you think of the ad and the marketing strategy?
- What other ideas do you have for McDonald's? How else can the company lure customers to the restaurants with emotional appeal?
Taco Bell Pays Conan O'Brien to Poke Fun
Why would a company hire Conan O'Brien to call a brick "the first experimental taco"? The late-night TV host is known for his "spontaneous," "awkward" humor, and his pitch for Taco Bell is no different.
In a nearly 10-minute video watched on YouTube by 1.4 million people, O'Brien brings the head of his IT department to Taco Bell headquarters for a full tour. They learn some history, watch people taste-testing food, and try new products. After eating a casa lupa, which O'Brien says sounds like a "case of lupus," he fakes a seizure.
The video is on Conan's site but at the end reads: "Paid Consideration Provided by Taco Bell Corp."
Discussion Starters:
- How effective is this Taco Bell promotion? What works well?
- Do you find it deceiving, or should people know that it's essentially a paid advertisement?
Adidas CEO Defends His Job
Facing criticism about the future of Adidas, CEO Herbert Hainer won't step down. In an article in a German newspaper, Hainer admitted to losing sales to Nike and said "Suddenly, everything that was right for 12 years, was wrong."
Hainer has been CEO since 2001, and a succession plan is in progress, but some investors want to see a change sooner than 2017, when his contract ends. Pressure started back in September, when the company saw declining sales in soccer and Reebok products and after the stock had dropped 38% for the year.
Hainer admits mistakes in investing in the soccer market but says, "If I no longer had the ambition and the energy, and the firm belief that I can bring the company further forward, then I would stop immediately."
Discussion Starters:
- What's your view of Hainer's decision to speak with the German newspaper? What other options does he have for conveying his point of view?
- How do you think the Board feels about Hainer's position and his comments to the newspaper?
- Do you find Hainer's comments convincing?
TurboTax Apologizes for Change
TurboTax changed its software and didn't communicate the decision as well as it could have. People rely on the program to do their own taxes rather than hiring an accountant. But the company omitted some forms, and users didn't realize until they starting working in the system.
General Manager Sasan Goodarzi is front and center-including this photo- in the apology that was distributed by email to TurboTax registered users.
Download full TurboTax apology.
Discussion Starters:
- What principles of business writing does Goodarzi use in his statement? Particularly consider the organization: how is the statement structured, and how does he organize each paragraph?
- How effective is his apology? What might users appreciate, and what could further anger them?
DC MTA Apologizes for a Death
Unlike the NY-area MTA when a train derailment killed four people, the Washington, DC, MTA is doing the right thing: apologizing for a death. Smoke filled a subway car, and officials later described communication with emergency personnel as "ineffective or sporadic."
One woman died, and about 80 riders were hospitalized. Some riders say they were trapped for more than 30 minutes before being rescued. Passengers tried to revive the 61-year-old Carol Inman Glover but were unsuccessful.
A report by the Fire and Medical Emergency Services department details the incident, including transcripts of 911 calls.
The MTA's apology is interesting in light of pending lawsuits, a common reason for organizations to avoid such displays of humanity.
Discussion Starters:
- Analyze the statement: the choice of a full-page ad in the Washington Post, the word choice, etc.
- What principles of report writing from Chapter 10 does the department use in the report? What could improve the report?
- Read the emails and 911 communications in the report. Any surprises?
McDonald's "Signs" Campaign
McDonald's is trying another tact for improving business. The latest marketing campaign, "Signs," shows the company standing by the community in times of tragedy.
McDonald's is certainly taking different approaches from simply promoting the taste of its food. The previous campaign focused on how food is made-an attempt at transparency, which worked for some but not everyone. The same could be said of this one.
Steve McKee, president of an ad agency in Albuquerque, complimented the approach: "I thought the ad was awesome. It's clear that all the billboards were real. It was demonstrating that McDonald's is Americana." Some say the ads distinguish McDonald's from Wendy's, Chipotle, and Burger King, which couldn't make such claims.
But others say the company is capitalizing on tragedy. And of course, any campaign is an opportunity for ridicule.
Discussion Starters:
- Describe the ad strategy. What objectives is McDonald's trying to achieve?
- What's your view of the campaign: tasteless, clever, or something else?
Honda Responds to $70 Million Fine
Honda has been fined a record $70 million for not reporting 1,729 injuries and deaths to The National Highway Traffic Safety Administration (NHTSA). The amount is twice what GM was fined when it failed to report 40 deaths because of ignition issues.
In a press statement, Honda blamed data entry and other errors for the reporting failure and promised to take "corrective measures":
Honda Resolves NHTSA Inquiry Regarding Early Warning Reporting
TORRANCE, Calif., Jan. 8, 2015 – American Honda Motor Co., Inc. ("Honda") has entered into an agreement with the National Highway Traffic Safety Administration (NHTSA) to resolve the government's inquiry into Honda's early warning reporting as required by the Transportation Recall Enhancement, Accountability and Documentation (TREAD) Act. As part of the Consent Order, Honda will pay a $70 million civil penalty and continue to implement a series of corrective measures among other requirements.
"We have resolved this matter and will move forward to build on the important actions Honda has already taken to address our past shortcomings in early warning reporting," said Rick Schostek, executive vice president, Honda North America, Inc. "We continue to fully cooperate with NHTSA to achieve greater transparency and to further enhance our reporting practices."
In order to ensure full compliance with its early warning reporting obligations, Honda has already begun taking steps to correct the errors responsible for the violations. The company is in the process of initiating new training regimens, changing internal reporting policy, making staffing and organizational changes, and enhancing oversight of its early warning reporting process.
The settlement agreement follows Honda's November 24, 2014 response to a Special Order issued by NHTSA in early November. That order was prompted by Honda's disclosure t NHTSA of preliminary findings from a third-party audit Honda commissioned in September 2014 in response to inadequately addressed discrepancies in the company's early warning reporting. In responding to the Special Order, as previously disclosed, Honda identified under-reporting of written claims or notices of injuries or deaths over the past decade due to errors related to data entry, computer coding, regulatory interpretation, and other errors in warranty and property damage claims reporting.
Discussion Starters:
- Assess Honda's statement. What works well to explain the company's position, and what could be improved?
- Do you buy Honda's explanation of the reporting failures?
Marriott's Response to Wi-Fi Criticism
Marriott has been criticized for blocking guests' personal Wi-Fi connections, and the company petitioned to the Federal Communications Commission (FCC) for permission to use jammers. The request is still pending, but the FCC recently fined a Nashville Marriott for preventing guests' access to their own hotspots.
Critics say that Marriott wants to continue charging fees for Internet access while guests should be able to bring their own access. Conference guests, particularly, sometimes prefer their own hotspot to ensure a faster connection when multiple users are on simultaneously. But in a statement on its website, Marriott explains the company's position as a security issue rather than a way to control access:
12/30/2014
Marriott's Response to FCC Petition Filing
We understand there have been concerns regarding our position on the FCC petition filing, perhaps due to a lack of clarity about the issue. To set the record straight it has never been nor will it ever be Marriott's policy to limit our guests' ability to access the Internet by all available means, including through the use of personal Mi-Fi and/or Wi-Fi devices. As a matter of fact, we invite and encourage our guests to use these Internet connectivity devices in our hotels. To be clear, this matter does not involve in any way Wi-Fi access in hotel guestrooms or lobby spaces.
The question at hand is what measures a network operator can take to detect and contain rogue and imposter Wi-Fi hotspots used in our meeting and conference spaces that pose a security threat to meeting or conference attendees or cause interference to the conference guest wireless network.
In light of the increased use of wireless technology to launch cyber-attacks and purposefully disrupt hotel networks, Marriott along with the American Hotel & Lodging Association on behalf of the entire hotel industry is seeking clarity from the FCC regarding what lawful measures a network operator can take to prevent such attacks from occurring. We feel this is extremely important as we are increasingly being asked what measures we take to protect our conference and meeting guests and the conference groups that are using Wi-Fi technology in our hotels.
The FCC is accepting comments about the situation.
Discussion Starters:
- Marriott's statement has lots of qualifiers, such as, "To set the record straight," "As a matter of fact," and "To be clear." What do you make of these phrases?
- Should Marriott say more about the situation? The company denied comment for a Huffington Post article.
Ogilvy Apologizes for Distasteful Ad
Ad agency Ogilvy & Mather has apologized for an offensive ad produced for Kurl-on, an Indian mattress company. What could go wrong when portraying a 14-year-old Taliban shooting victim in a cartoon?
The company wanted to show that heroic figures "bounce back," but the ad doesn't quite work. The New York Times describes Malala Yousafzai, featured in the promotion:
"At the age of 11, Malala Yousafzai took on the Taliban by giving voice to her dreams. As turbaned fighters swept through her town in northwestern Pakistan in 2009, the tiny schoolgirl spoke out about her passion for education - she wanted to become a doctor, she said - and became a symbol of defiance against Taliban subjugation."
Two other ads in the series aren't much better. Steve Jobs is shown pushed out a door, and Gandhi is thrown from a moving train.
Before this one hit paid media outlets, online news organizations flagged the image. Although Kurl-on hasn't responded to inquiries, Ogilvy issued this statement:
"We deeply regret this incident and want to apologize to Malala Yousafzai and her family. We are investigating how our standards were compromised in this case and will take whatever corrective action is necessary."
Discussion Starters:
- How do Kurl-on and Ogilvy share responsibility for the ad? How did this happen?
- The ad was created in Ogilvy's Indian office and produced in a Chilean studio. How, if at all, do these facts affect your thinking about the ad?
AirAsia CEO Apologizes for Lost Flight
In a news conference, CEO Tony Fernandes apologizes to the families of victims of the lost AirAsia flight. Fernandes responds to questions about the cause and compensation generally, but promises not to "run away from our obligations or hide behind any conventions. We will be there for the staff. . . [correction] for the families, even after all of this is over."
The Washington Post describes Fernandes as "a flamboyant Malaysian-born, British-educated former Warner Music executive, [who] had dreamed of operating his own budget airline since he was in school." He describes the lost flight as a "scar with me for the rest of my life."
The airline is suffering further embarrassment because of an in-flight magazine ad that bragged about the pilots' superior training: "well prepared to ensure [their] plane will never get lost." The article was published soon after the disappearance of Malaysia Airlines flight MH370.
Discussion Starters:
- Assess the news conference. How well did Fernandes handle the questions?
- At some point, he says that having families where they are trying to evacuate will "complicate" the process. What's your view of this statement?