FedEx Responds to Viral Video of Tossed PC Monitor
How embarrassing for FedEx! One of its delivery people was caught on a surveillance camera throwing a computer monitor over a fence. The monitor broke, and the homeowner posted the video for all to see.
The company responded quickly by posting a video and blog entry called "Absolutely, Positively Unacceptable."
In the video, Matthew Thornton, an SVP, apologizes:
"On behalf of all of us at FedEx, please accept my apology. I am upset and embarrassed for our customer's poor experience. This goes directly against all FedEx values. It's just not who we are."
As of this writing, FedEx apparently hasn't decided on any disciplinary action for the employee. In the video, Thornton says, "The employee is no longer working with customers." Does that mean he's in central packaging now?
Discussion Starters:
- What is your reaction to the video apology? What messages are most and least effective? What works well and not so well about Thornton's delivery style?
- Read the company's blog post. What's different between the post and the video? Which works better and why?
- Overall, how well do you believe FedEx handled the situation?
The 1% Speak Out: "I am a fat cat. I'm not ashamed"
A recent Bloomberg article describes how wealthy Americans are speaking out in response to attacks from the Occupy Wall Street movement. Top U.S. earners have been criticized for not paying enough taxes and contributing to the increasing income inequality, which, in 2007, was greater than that of China and Iran.
Arguments from the richest 1% include their right to earn and keep their income (particularly given high government spending) and how few low-income Americans pay taxes. One recent persuasive letter to President Obama is from Leon G. Cooperman, a hedge-fund manager. In this video, Peter Schiff, investor, author, and commentator, defends the wealthy in discussion with Occupy Wall Street protestors.
Contrast this perspective with that of billionaire investor Warren Buffett. In August, Buffett wrote an opinion letter in the New York Times called Stop Coddling the Super-Rich.
Most millionaires agree with Warren Buffett and support a tax increase, as reported on wsj.com:
A new survey from Spectrem Group found that 68% of millionaires (those with investments of $1 million or more) support raising taxes on those with $1 million or more in income. Fully 61% of those with net worths of $5 million or more support the tax on million-plus earners.
Assignment Ideas:
- Research different perspectives of this story further: look at the Occupy Wall Street website, read the Bloomberg article, and find letters and videos of executives and others to get a complete picture of both sides of the argument.
- Write an assessment of all persuasive arguments. How does each side use logical arguments, emotional appeal, and credibility to explain their perspective?
- In small groups, choose one line of reasoning and defend your position. How can you support your view with research about the issue?
Victoria's Secret Responds to Child Labor Allegations
A Bloomberg report paints a grim picture of a West African 13-year-old girl who sleeps on a thin, plastic mat; works in 100-degree heat; is beaten; and is fed once a day some days, but not at all on others. Clarissa works for a farm certified as organic and fair trade-and supplies cotton to Victoria's Secret. Video on Bloomberg.
Although only a small amount of cotton for Victoria's Secret comes from this region, the company has issued a response, vowing to investigate the situation. In its statement, the company explains the original goals of the program in the region:
In 2007, we established a pilot program to purchase Fairtrade-certified organic cotton from primarily women farmers in Burkina Faso, a landlocked country in West Africa that struggles with endemic poverty. We were committed to this initiative because of its potential to generate life-changing opportunities for some of the world's poorest women.
In the statement, Victoria's Secret maintains its "goal of improving the lives of women and children in a country where a large portion of the population lives on less than a dollar a day. "
Discussion Starters:
- If you're a Victoria's secret customer, does the news affect your buying decisions? Does the company's response affect your buying decisions?
- Read Victoria's Secret entire response. What do you consider the strongest and weakest arguments presented? How do you assess the company's focus on their goals of helping women and children?
Wall Street Firms Get "Chilly Reception" at Top Schools
Are the Occupy Wall Street protests having an effect on college recruiting? According to a Bloomberg Businessweek article, Goldman Sachs has cancelled some campus visits, including one to Harvard last week. Protesters, such as this group in downtown New York, have been targeting Goldman, asking the investment bank to pay more taxes (among other demands). The Occupy Harvard group was active in November, as shown in this video:
The Bloomberg article paints a picture of "strained friendships" about the issue, with some students protesting recruiting sessions, while others come to learn about job opportunities.
Goldman Sachs has been quiet about the Occupy movement, while Morgan Stanley denies any serious ramifications from the Occupy protestors. A spokesperson for the firm said, "We have not changed our recruitment activities, and we have not seen any impact on attendance." But a Harvard Crimson survey tells a different story:
About 22 percent of Harvard 2011 graduates who planned to enter the workforce were headed into finance and consulting, down from a high of 47 percent in 2007, according to a Harvard Crimson survey published in May. Half the students entering those fields said they would have chosen to work in other professions if salary weren't a concern.
Discussion Starters:
- In what ways could the Occupy movement affect your search for a job in business?
- What do you think of Goldman Sachs' no-response strategy to the Occupy movement? How do you assess Morgan Stanley's response?
"Emergency" Text Message Scares NJ Residents
Imagine receiving this text message that produces a strange sound on your phone and locks your Android. The message was just a test, but this was unclear to thousands in New Jersey who called 911 centers throughout the state. In an apology statement, Verizon spokesman David Samberg explained:
This test message was not clearly identified as a test. We apologize for any inconvenience or concern this message may have caused.
New Jersey's Homeland Security Office issued a tweet and a Facebook message to clarify the situation. Is it just me, or is the tweet just as scary as the emergency text?
Discussion Starters:
- How could this happen? Read more about the situation and determine what could be improved in the message creation and distribution process to avoid a similar situation in the future.
- Revise the NJ Homeland Security Office's tweet and Facebook message. How can you improve these?
"Reply All" Failure Costs Recruiter His Job
Tired of email spam from people looking for jobs, Gary Chaplin, an executive recruiter shot back a hasty reply:
I think I speak for all 4,000 people you have emailed when I say, 'Thanks for your CV' - it's nice to know you are taking this seriously.
If you are not bright enough to learn how to 'bcc'...you are too stupid to get a job, even in banking.
Unfortunately, Chaplin's email went to the 4,000 people who received the original message-a classic "reply all" mistake. Although some programs make it more difficult, hitting "reply all" is a common mistake.
Chaplin's other failure is insulting someone looking for a job. No matter how ineffective the original email request, the guy needs work, not unlike a lot of people in today's economy.
Chaplin lost his £200,000 job and is now, like the original emailer, looking for work before the holidays. He did respond to the incident: "I am mortified by what I did. I meant no offence to this man looking for a job." Really?
Discussion Starters:
- Read the full email exchange, reported by The Sun. What other failings in the original email and in Chaplin's reply do you notice?
- How easy is it for you to hit "reply all" in your email program? What can you do to avoid this?
Rick Perry's Ad Called "Anti-Gay"
Republican presidential candidate Rick Perry is taking heat for his new ad that states "...there's something wrong with this country when gays can serve openly in the military but our kids can't openly celebrate Christmas and pray in school."
Let the controversy begin! The video received (as of this writing) 10, 104 "likes" and 420, 719 "dislikes," and comments are flowing in on Rick Perry's Facebook page.
In response to the outrage over the ad, Rick Perry's campaign told the Boston Herald,
This ad accurately reflects Governor Perry's faith and opposition to the Obama Administration's attacks on faith-based organizations. Such attacks include penalizing religious health care providers, attacking the right of churches and religious organizations to make certain hiring decisions, and refusing to defend the Defense of Marriage Act in federal court.
It is a good strong ad that accurately reflects the Governor's faith and policy positions. We believe it is a message that will resonate with a majority of Republican voters, especially Iowans.
Discussion Starters:
- What's your reaction to Rick Perry's ad? Do you find it offensive, spot-on, or something else?
- What effect, if any, do you think the ad will have on Rick Perry's campaign?
- How effective do you consider the Perry campaign's response?
EPA Report Links Water Contamination to Hydrofracking
The Environmental Protection Agency has published a "bombshell" report identifying hydraulic fracturing as the likely cause of water pollution in central Wyoming. The report adds fuel to the growing controversy about "hydrofracking"-the process of gas drilling that involves injecting large amounts of water, sand, and hundreds of chemicals into shale rock.
The EPA's findings come shortly after a November report that fracking caused two minor earthquakes.
Discussion Starters:
- Review the EPA report. What principles of report writing does the draft follow?
- How is the report organized? Do you find this organization effective? Why or why not?
- How could the report be improved for easier reading?
- Research the fracking issue further. Based on your findings, what is the significance of this report?
Apple's Anti-Leak Social Media Policy Gets Leaked
Although many social media policies are available online, until yesterday, Apple's was not. Last month, an Apple employee was fired ("sacked" to the British) for Facebook posts that the company claimed violated its social media policy. Now, that internal policy has mysteriously been leaked. 
One analysis of Apple's policy compliments the conclusion, which is sound advice for anyone:
In sum, use your best judgment. Remember there may be consequences to what you post or publish online including discipline if you engage in conduct that Apple deems inappropriate or violates any Apple policies. If you're about to post something and you are concerned whether you are following these guidelines or any Apple policy, please discuss it with your Leader or HR before posting.
But the attorney takes issue with what the National Labor Relations Board (NLRB) may call the right to concerted activity:
Respect the privacy of your coworkers. Blogs, wikis, social networks and other tools should not be used for internal communications among fellow employees. It is fine for Apple employees to disagree, but please don't use your external blog or other online social media to air your differences.
Recent cases brought by the NLRB have criticized employers for terminating employees who may be engaging in protected concerted activity (or the right to organize). Read about an NLRB case. Image source.
Discussion Starters:
- Compare Apple's policy to another available online. What differences do you notice, and how do you account for them?
- What was the policy where you worked recently? Did you find that people generally followed the policy or worked around it in some way?
FedEx's New Sustainability Ad
FedEx's new commercial conveys its "Sustainable Solutions" in an animated story of "how a shipping giant can befriend a forest." The spot was Advertising Age's Creativity Pick of the Day.
On its website, FedEx touts its sustainability initiatives in three areas: the environment, our people, and our community. In another funny commercial, FedEx executives suggest printing on the back of used paper, but this doesn't turn out to be such a good idea.
Clearly, FedEx is trying to improve its sustainability image. A 2006 report by Roberts Environmental Center gave the company a C- rating:
On its website, Federal Express provided only minimal environmental and social
data. While their efforts to improve fuel and delivery efficiency are
commendable, their environmental website lacked any performance indicators
that would increase transparency. The corporation's partnership with
Environmental Defense is notable, and the results of this collaboration are
promising. Despite Federal Express' positive reputation for corporate
responsibility, they did not provide the information necessary to score well in
this report. It seems as though Federal Express has the appropriate data, it
need only make it readily available to the public.
Discussion Starters:
- What are the key messages in the new ad? In what ways is the ad successful in conveying FedEx's sustainability initiatives? In what ways could the messages be clearer?
- Review FedEx's "Environment" web page today. In what ways has the company addressed criticism of the Robert's Environmental Center report? In what ways could the company still improve?
Overheard on the Train: "Happy Birthday Smiley Face"
The new iPhone's Siri voice recognition system was the subject of an article in yesterday's New York Times. With the robotic commands and a computerized response, phone interactions with virtual assistants are becoming annoying to people in public places.
Because the technology is so new, policies haven't yet kept pace. Cliff Cole, a spokesperson for Amtrak, for example, told the Times that it currently bans "phone calls," but not talking with your phone. He said, "We may have to adjust the language if it becomes a problem."
People are complaining that users could just as easily type without disturbing others and that the robotic speech often sounds "creepy."
According to James E. Katz, a mobile communication researcher at Rutgers, most people will eventually get used to this new behavior, but "there will be a small minority of traditionalists who yearn for the good old days when people just texted in public."
Discussion Starters:
- Have you overheard people talking to their phones in this way, or have you done this yourself? Do you consider it annoying?
- Imagine that you work as the director of corporate communications for a major company. Write a policy for employees who use their virtual assistant in a cubicle office environment. What is important for people to know, and what rules are reasonable for people to follow?
12 Recent Firings Because of Social Media Posts
As an early Christmas present, Sam Fiorella gives us 12 examples of employees fired because of posts to social media sites. The line-up includes these gems:
- Former Representative Anthony Weiner, who tweeted obscene pictures of himself, thinking he was sending a direct message to one person
- @ChryslerAutos, who tweeted the F-bomb to followers, thinking he was using his personal twitter account. Scott Bartosiewicz explains what happened in this video:
- An NBC staff member who posted a video of Bryant Gumbel looking foolish and asking questions such as "What is the Internet?" (Well, it was 1994.)
Discussion Starters:
- In these and the other situations, do you believe that the employee deserved to be fired? What are the arguments for and against termination in each case?
- Of these situations, which do you think is the most egregious? Why?
- How could some of these situations have been avoided?
American Airlines Communicates Bankruptcy to Employees
AMR Corporation, American Airlines' parent company, has filed for Chapter 11 bankruptcy protection. In a press release, the company assured investors and passengers that "American Airlines and American Eagle are operating normal flight schedules today, and their reservations, customer service, AAdvantage program, Admirals Clubs and all other operations are conducting business as usual." The company also sent an email to AAdvantage club members about their miles.
As part of the change, Gerard Arpey, chairman and chief executive officer of AMR Corporation and American Airlines, announced his retirement. He will be succeeded by Thomas W. Horton, who will continue to also serve as president.
In a memo, Tom Horton tried to reassure employees:
I realize this news might be difficult to absorb; change is never easy. We will do our very best to keep you informed, understanding that there will be many questions we are not able to answer right away. I can certainly tell you that we expect to continue to provide employee wages, healthcare coverage, vacation, and other benefits, without interruption.
A New York Times article (and other sources) indicates that a major impetus for the bankruptcy filing is the airline's high labor costs:
One of AMR's chief goals in bankruptcy will be to lower its labor costs.
The company had been in contract talks with its unions until the negotiations stalled earlier this month when the pilots' union refused to send a proposal to its members for a vote. Because federal bankruptcy rules allow companies to reject contracts, AMR may take a harder negotiating stance with its unions.
"Achieving the competitive cost structure we need remains a key imperative in this process," Mr. Horton said, "and as one part of that, we plan to initiate further negotiations with all of our unions to reduce our labor costs to competitive levels."
Of course, the company memo to employees makes no mention of these difficulties.
Discussion Starters:
- Read the entire memo from Tom Horton. If you were part of American Airlines' management team, how do you think you might react? If you were part of the unionized staff, how might you react?
- What can American Airlines do to keep employees continuously informed? What internal communication strategies and tools will be important for the company to use at this time and going forward?
How Not to Get a Job: Hack Into a Company's System
A Hungarian man wanted a job so badly that he hacked into Marriott's computer system and threatened to release confidential information unless he got hired. To discover the identity of the man, a Secret Service agent posed as a Marriott HR representative, and the company booked a flight for the hacker to come for an interview.
Of course, the interview wasn't what the hacker, Attila Nemeth, expected. On Wednesday, Nemeth pleaded guilty and now faces up to 15 years in prison. Marriott is not unscathed either: the company estimates spending between $400,000 and $1 million in consultants' fees, employees' salaries, and other expenses to solve the crime.
Discussion Starters:
- Review the ethical decision-making guidelines in Chapter 1. In addition to the illegality, what tells you that Nemeth's behavior is unethical?
- Some people will do anything to avoid a behavioral interview. What are some behavioral interview questions that might be appropriate for an IT professional?
Pakistani Ban on 1700 Texted Words in Effect This Week
The Pakistani government has banned almost 1700 words considered obscene and offensive from text messages. Users are expected to ban these words starting this week.
Some find the ban confusing. Words such as drunk, flatulent, Showtime, athlete's foot, and taxi are included in the ban; others are understandable (see an unofficial partial list here - warning: many obscenities here!).
Mohammad Younis, a spokesman for the Pakistan Telecommunication Authority (PTA), told the Guardian that the ban was "the result of numerous meetings and consultations with stakeholders." Apparently, the decision follows complaints about offensive texts from users.
Americans may question whether Pakistans enjoy freedom of speech as we do in the United States. According to the Guardian,
While admitting that Pakistan's constitution guaranteed free speech, the [PTA] regulator told mobile phone companies that such freedom was "not unrestricted" under court rulings. Furthermore, said the telecom watchdog, they had obligations under their licences to prevent "obnoxious communication."
Discussion Starters:
- What is your view of the Pakistani government's decision? Consider your own cultural background and how this may influence your opinion.
- What are the possible effects of the ban on business in Pakistan?
Did You Check Work Email on Thanksgiving?
Good to know that I'm in the unhealthy majority: 58% of men and 51% of women planned to check email during the holidays. According to a survey by Xobni, the gender gap has shrunk from 2010, when 67% of men and 50% of women checked email.
Of the 75% who receive work-related email during the holidays, 19% of us are "thankful or relieved by the distraction," while 41% are "annoyed, frustrated, or resentful."
The survey showed age differences among those who feel "annoyed, frustrated, or resentful." Between 41% and 43% of workers aged 18-44, but only 17% of the 55+ crowd feel this way. The difference could be because of work expectations, position within the company, job insecurity, family status, or a host of other reasons. (via PC World)
Discussion Starters:
- What are your views about checking email on holidays? What are the reasons people may want to check email?
- What organizational systems (e.g., culture, management practices, performance measures) may cause people to check email?
- How could an organization prevent people from checking email on holidays? Is this a good idea?
Layoffs at Nokia
Nokia Siemens is laying off 17,000 employees - 23% of its workforce. In a press release headline, Nokia explains the company's focus:
Nokia Siemens Networks puts mobile broadband and services at the heart of its strategy; initiates restructuring to maintain long-term competitiveness and improve profitability
The press release further explains Nokia's restructuring plans:
Nokia Siemens Networks plans to reduce its global workforce by approximately 17,000 by the end of 2013. These planned reductions are expected to be driven by aligning the company's workforce with its new strategy as well as through a range of productivity and efficiency measures. These planned measures are expected to include elimination of the company's matrix organizational structure, site consolidation, transfer of activities to global delivery centers, consolidation of certain central functions, cost synergies from the integration of Motorola's wireless assets, efficiencies in service operations, and company-wide process simplification.
Discussion Starters and Assignment Ideas:
- What examples of euphemisms, business slang, and jargon do you see in the press release excerpt?
- How many nominalizations do you find in the press release? Rewrite the press release excerpt, changing all of the nominalizations to verbs or adjectives.
- Is the language in the press release appropriate for the audience? Who is the audience?
- Rewrite the press release for employees. How would you change the word choices for an internal audience who is affected by the news? Would you address the speculation that Nokia is getting ready for a sale?
Poor Timing for Qantas Twitter Contest
Australian airline Qantas had good intentions when it promoted a "Qantas Luxury" competition, but the contest was a big failure. Qantas encouraged tweeters to submit creative answers:
Ever wanted to experience Qantas First Class luxury? You could win a First Class gift pack feat, a luxury amenity kit and our famous QF PJs. To enter tell us What is your dream luxury inflight experience? (Be creative!) Answer must include #QantasLuxury.
UC-Davis Chancellor and Faculty Speak Out
The "Occupy" movement has spread to college campuses, with UC-Davis students protesting tuition raises and education cuts. Videos showed campus police pepper-spraying students, which led to an outcry from students and some faculty.
In a short speech to students, Chancellor Linda Katehi apologized to students, saying "I am here to apologize" and "I feel horrible for what happened."
English professors have posted a statement on the department website, calling for Chancellor Katehi to resign and for the UC Police Department to be disbanded. [ View website image.] (The police chief is now on administrative leave.)
Cynthia Carter Ching, an associate professor of learning and mind sciences, wrote a letter to students apologizing "Because we left the wrong people in charge." She explains her view in one part of the letter:
You see, with few exceptions, the people running this campus up in Mrak Hall think of themselves as administrators, not as educators. Because, with few exceptions, these are people who haven't seen the inside of a classroom in years, if not decades, if ever. These are people who don't have you guys. They don't have students to remind them every single day on this campus why they are here, simply by stopping by their offices with a friendly, "Hey, Professor, I just had a question about something…" These are people who don't have you all to keep them humble by (to use a personal example) reminding them that they almost forgot to collect the paper that's due in class today, or pointing out the typos on their final exams.
Discussion Starters:
- Assess the three messages mentioned here: the Chancellor's apology, the English Department's webpage statement, and the professor's letter. What persuasion tactics does each use? Which do you consider the most and least effective?
- What else, if anything, should UC-Davis communicate at this point? What messages are important for the administration to convey?
McDonald's and Target's (Former) Egg Supplier Caught on Video
The Food and Drug Administration gave Sparboe Farms poor reviews at five locations. This news and an undercover video by an animal-rights group inspired McDonald's and Target to drop the egg supplier. The graphic video [watch at your own risk] shows chickens terribly mistreated and living in unsanitary conditions.
In the first two paragraphs, McDonald's statement explains the decision and reassures customers:
McDonald's expects all of our suppliers to meet our stringent requirements for delivering high quality food prepared in a humane and responsible manner. Based upon recent information, we have informed our direct supplier, Cargill, that we are no longer accepting eggs from its supplier, Sparboe. This decision is based on McDonald's and Cargill's concern regarding the management of Sparboe's facilities.
This is not a food safety issue for our menu items. We can assure our customers that eggs in our entire supply chain meet McDonald's high standards for quality and safety.
Target explains its decision in this way:
Target is committed to delivering outstanding quality and uncompromising safety with every owned-brand food product. We expect and rely on our vendors to operate facilities that meet industry standards and regulatory requirements.
Having been made aware of the unacceptable conditions in the company's egg laying facilities, effective immediately, Target will discontinue its business relationship with Sparboe Farms. We are currently in the process of notifying our teams to remove the product from store shelves.
Sparboe Farms developed a website and video by the company president to convey its own position:
Discussion Starters:
Compare Target's and McDonald's full statements. What differences do you notice, and which does a better job?
Analyze Sparboe Farm's response. Review the website, president's video, letter, and other messages. In what ways is each effective and ineffective in rebuilding Sparboe's image?