Equifax and Marriott CEOs Testify About Security Breaches

U.S. Senators grilled Equifax and Marriott CEOs about data breaches at the companies in the past two years. Equifax CEO Mark Begor responded to questions following a Senate subcommittee report titled, “How Equifax Neglected Cybersecurity and Suffered a Devastating Data Breach.” The report concludes an investigation of the 2017 breach of 143 million customers’ personal data and accuses the company of not prioritizing security, not following its own patching policies, failing to notify the public in a timely manner, and more.

Begor defended the company and blamed the increasing sophistication of hackers:

“These attacks are no longer just a hacker in the basement attempting to penetrate a company’s security perimeter, but instead are carried out by increasingly sophisticated criminal rings or, even more challenging, well-funded nation-state actors or military arms of nation-states.”

But Senators pointed out that credit company competitors Experian and TransUnion have managed to avoid similar attacks.

The Marriott breach affected 83 million guests of Starwood, which Marriott acquired after the breach took place. Compared to the Equifax situation, Marriott got a pass from senators, such as Tom Carper of Delaware, who said, “The data breach announced by Marriott this past November does not appear to have been caused by the same cultural indifference to cybersecurity the record indicates existed at Equifax. Rather, it looks like Marriott inherited this breach from Starwood.”

Marriott has been consistent in blaming Starwood for the issue, wanting to preserve the brand. In his testimony, CEO Arne Sorenson reinforced the company separation:

“We conducted an assessment on integrating the two systems, although this inquiry was legally and practically limited by the fact that until the merger closed, Starwood remained a direct competitor.”

Here is Sorenson interviewed on CNBC:

Discussion:

  • Watch some of the testimony. How well did each CEO handle the Senators’ questions?

  • Assess Sorenson’s appearance on CNBC. What did he do to try to rebuild the company’s image? What persuasive strategies did he use?

  • Review the subcommittee’s report on the Equifax breach. How is the report organized? How would you describe the writing style and tone? What suggestions would you have for the authors to improve readability?

  • From your perspective, what leadership character dimensions do the CEO illustrate or fail to illustrate?

Measles: Evaluating Evidence

The news about a resurgence of measles raises interesting questions about how we evaluate evidence. About a dozen years ago, a small study alarmed parents and caregivers that the measles vaccine may cause autism. Since then, several large-scale studies have debunked that theory, and the article was retracted.

But the damage was done—and it lingers. A few hold-outs still believe the vaccine may be dangerous, and so they do not have their children vaccinated.

Recently, about 100 measles cases have emerged in the U.S., and once again, the evidence is up for evaluation. How are people convinced? What makes people change their minds?

In his book Factfulness, Hans Rosling offers this advice:

[I]f you are skeptical about the measles vaccination, I ask you to do two things. First, make sure you know what it looks like when a child dies from measles. Most children who catch measles recover, but there is still no cure and even with the best modern medicine, one or two in every thousand will die of it. Second, ask yourself, “What kind of evidence would convince me to change my mind?” If the answer is “no evidence could ever change my mind about vaccination,” then you are putting yourself outside evidence-based rationality, outside the very critical thinking that first brought you to this point. In that case, to be consistent in your skepticism about science, next time you have an operation, please ask your surgeon not to bother washing her hands.

Along these lines, a Medium article, The Falsification Mindset, suggests ways for us to change our opinions. The author encourages us to consider what evidence we would need in order to change our minds. This process is particularly useful because we more typically look for reasons to continue believing what we believe—confirmation bias.

Image source.

Discussion:

  • What examples can you identify of when you have experienced confirmation bias. In retrospect, could you have avoided the bias to make a better decision or to have a more accurate view?

  • What’s your view of the measles vaccination? How did you form this opinion? How has it changed over time?

  • Identify a belief. What evidence would you need to think differently?

  • How is humility relevant to this situation?

Open Letter to Amazon

After Amazon’s failed move to Long Island City, Queens, local executives, lawmakers, and others signed an open letter asking Amazon to reconsider. The letter focuses on the benefits NYC would gain from having Amazon, particularly 25,000 new jobs.

Also appearing as a full-page ad in the New York Times, the letter includes some emotional appeal about New Yorkers’ “charm” and acknowledges difficulties in getting community support for the project. Not until the last paragraph do we see a shift from New York to Amazon and how the company would benefit from building in Long Island City.

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Discussion:

  • What principles of persuasion does the letter illustrate?

  • How could the letter be improved?

  • What leadership dimensions are illustrated? Which may be lacking?

HBO CEO Departs

HBO CEO Richard Plepler is leaving the company. His announcement came shortly after HBO’s chair of the board spoke with the WarnerMedia CEO about possibly taking over HBO and Turner.

Here is Plepler’s email to employees:

My dad always gave the best advice. Whenever there was a difficult decision to make, he counseled that since no one could ever have perfect visibility into the future, the best thing you could do was trust your instincts. It has been a touchstone for me throughout my life, and I have found myself returning to it again recently as I think about what is an inflection point in the life of this wonderful company. Hard as it is to think about leaving the company I love, and the people I love in it, it is the right time for me to do so.

In the past weeks, I’ve thought a lot about the incredible journey of this company in the nearly 28 years that I have been blessed to be here. It’s a journey of great pride and accomplishment because so many of you, and many others before us, have made HBO a cultural and business phenomenon. Thanks to all of you, we are today churning on all cylinders both creatively and as a business. Thanks to all of you, I can move on to the next chapter of my life knowing that the best team in the industry remains here to carry on our continued progress and success. As I have said before, this is the team of teams.

It has been the great joy of my professional life to share this ride with you over these many years. And the great honor of my professional life to be your CEO. I don’t have the words to express my gratitude for the support and talent that made our success together possible. But suffice it to say, my love for this place, and for all of you, is deeply a part of me and will last a lifetime. I look forward over the coming weeks to thanking as many of you as I can for the thousands of contributions big and small that have made “this thing of ours,” to quote Tony Soprano, so special. I have told John, who has been nothing but gracious since we spoke, that I would work closely with him to assure a seamless and organic transition.

We’ve created a great and unique enterprise and I know that you will protect its legacy and do all to enhance its future in the years to come.

Know that I will always be cheering loudly, even when I am outside this building, as HBO continues to thrive.

With respect, admiration, and gratitude,
Richard

Image source.

Discussion:

  • Assess Plepler’s email. Who are his primary and secondary audiences? What are his communication objectives?

  • What principles of business communication does Plepler follow, and how could he improve the email?

  • What, if anything, does he give as the reason for his decision? Should he say more about this? Why or why not?

  • What leadership character dimensions are illustrated by his email?

Instacart Tries to Make Things Right

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Criticized for underpaying shoppers, personal grocery delivery company Instacart is changing its compensation model. Personal shoppers were always paid a minimum for orders, but the company had started including tips in that minimum amount. The company admitted to paying only 80 cents in some cases for someone to pick and deliver a batch of groceries. In a petition, personal shoppers claimed that “customers' tips are essentially being paid to Instacart rather than to the workers ourselves.”

In a blog post, Instacart CEO Apoorva Mehta admits “clearly we haven’t always gotten it right.” He announced policy changes to ensure the following:

  • Tips should always be separate from Instacart’s contribution to shopper compensation

  • All batches will have a higher guaranteed compensation floor for shoppers, paid for by Instacart

  • Instacart will retroactively compensate shoppers when tips were included in minimums

Shopper image source.

Discussion:

  • Read Mehta’s entire blog post. What principles of business communication does he follow? What, if anything, can be improved?

  • In what ways does Mehta demonstrate strong leadership character?

  • How could Instacart have avoided this situation, including the negative effects on personal shoppers and the negative publicity?

Interview with Delta CEO

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In a LinkedIn interview, Delta CEO Ed Bastian discussed the decision to revoke the National Rifle Association (NRA) discount after the Parkland, FL, shootings, one year ago. The discount was for NRA members, and only 13 took advantage. But the real loss was in $40 million in tax benefits, which Georgia Governor Cagle fought to strike after the company’s decision.

Bastian admits that the loss was significant. But he concludes, “Our brand is worth so much more, and our values are not for sale.”

Bastian refers to the NRA’s “divisive rhetoric” and says that he didn’t want “to be seen as advocates” of the organization and its views. He also describes what we might call authentic or purpose-driven leadership:

"If you know who you are, you can make those decisions. And that you can make those decisions and sleep well at night.”

Discussion:

  • What leadership character dimensions are demonstrated by this situation?

  • Do you think Bastian did the right thing for Delta? Why or why not?

  • How well does Bastian address the interviewer’s question? Overall, how do you assess his delivery?

Walking Meetings: "Take a Hike"

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According to a Wall Street Journal article, employees have had enough of “walking meetings,” typically initiated by a manager who wants to get some exercise. Employees cite exhaustion, bug bites, overcrowding, uncomfortable height differences, crashing into things, and losing people along the way.

On the plus side, people say it boosts creativity and energy, as this infographic shows. Some say it reminds them of college, when their professor held class outside in nice weather. (Do people still do that?)

Comparisons to “The West Wing” abound, but it’s not quite the same without the cameras following you.

Walking meeting image source.

Infographic image source.

Discussion:

  • What’s your view of walking meetings? Do the benefits outweigh the costs?

  • Should managers be more sensitive to people who have physical challenges or just prefer to meet inside? How should managers handle these situations?

Don't Ignore Email

A New York Times opinion piece by Adam Grant warns us not to ignore emails because it’s rude. He compares ignoring email to not acknowledging someone who says hello when walking by you in a hallway. He cites a survey that, on average, employees have 199 unread messages in their inbox.

But Grant addresses people who say they’re “too busy” to answer emails, and he makes several exceptions:

You should not feel obliged to respond to strangers asking you to share their content on social media, introduce them to your more famous colleagues, spend hours advising them on something they’ve created or “jump on a call this afternoon.” If someone you barely know emails you a dozen times a month and is always asking you to do something for him, you can ignore those emails guilt-free.

I wrote an article last summer encouraging people to respond to any email, including the type he says we can ignore. I’m not Adam Grant, so I’m sure I don’t get his volume of messages. I see responding to an inappropriate or misguided request as a learning opportunity for the sender. For most of us, a short response doesn’t take too long and, as Grant says, is the civil thing to do.

Cover image source.

Discussion:

  • How do you handle emails such as those Grant describes? How many do you receive?

  • Describe an email you sent that was ignored. In retrospect, was it appropriate to send? Why do you think the receiver didn’t respond?

Interns' Business Communication Skills

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An article in Business and Professional Communication Quarterly answers the question, “[W]hat are the differences in the perceived importance that business students and recent graduates place on various communication skills, and how do their perceptions compare with those of their supervisors?” A U.S. study compared responses from students working during summer internships with responses from their supervisors.

The authors conclude that both groups identify similar communication skills as most and least important. However, their views are inconsistent with what is emphasized in business communication textbooks and courses:

“The evaluation of listening and interpersonal skills as being the most important communication skills is not in line with what is traditionally emphasized in business communication courses.” 

The authors question the amount of time spent on document creation in business communication courses compared to other, more highly valued communication skills. At the same time, supervisors believe their interns’ skills are adequate for the workplace.

Cover image source.

Discussion:

  • Although interns and supervisors rated the importance of skills similarly, the authors question whether, if asked at the beginning of the summer, interns would have answered differently. What’s your view, and why is this question important for our curriculum planning?

  • Do you agree with the results of the study—that our curriculum may focus too much on document creation? The authors particularly site time spent on PowerPoint skills. How could the job or industry be a factor?

Amazon Changes NYC Plans


After months of searching for a new headquarters location and deciding on Long Island City, Amazon has changed course and withdrawn the plan. In a blog post, the company explained the decision:

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After much thought and deliberation, we’ve decided not to move forward with our plans to build a headquarters for Amazon in Long Island City, Queens. For Amazon, the commitment to build a new headquarters requires positive, collaborative relationships with state and local elected officials who will be supportive over the long-term. While polls show that 70% of New Yorkers support our plans and investment, a number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward with the project we and many others envisioned in Long Island City.

We are disappointed to have reached this conclusion—we love New York, its incomparable dynamism, people, and culture—and particularly the community of Long Island City, where we have gotten to know so many optimistic, forward-leaning community leaders, small business owners, and residents. There are currently over 5,000 Amazon employees in Brooklyn, Manhattan, and Staten Island, and we plan to continue growing these teams.

We are deeply grateful to Governor Cuomo, Mayor de Blasio, and their staffs, who so enthusiastically and graciously invited us to build in New York City and supported us during the process. Governor Cuomo and Mayor de Blasio have worked tirelessly on behalf of New Yorkers to encourage local investment and job creation, and we can’t speak positively enough about all their efforts. The steadfast commitment and dedication that these leaders have demonstrated to the communities they represent inspired us from the very beginning and is one of the big reasons our decision was so difficult.

We do not intend to reopen the HQ2 search at this time. We will proceed as planned in Northern Virginia and Nashville, and we will continue to hire and grow across our 17 corporate offices and tech hubs in the U.S. and Canada.

Thank you again to Governor Cuomo, Mayor de Blasio, and the many other community leaders and residents who welcomed our plans and supported us along the way. We hope to have future chances to collaborate as we continue to build our presence in New York over time.

Amazon claims the new office would have created 25,000 jobs, but NYC lawmakers questioned the subsidies the company would have received. Critics also oppose Amazon’s anti-union stance and cite concerns about how the growth would affect Queens. In the end, officials say Amazon was inflexible; one local politician referred to the company as “a petulant child.”

According to a New York Times article, “Amazon’s decision is a major blow for Gov. Andrew M. Cuomo and Mayor Bill de Blasio, who had set aside their differences to lure the giant tech company to New York.”

Long Island city image source.

Discussion:

  • Analyze Amazon’s statement. How well does the company announce the decision, while maintaining relationships?

  • What else, if anything, should the company say at this point?

  • Should Governor Cuomo or Mayor de Blasio make their own announcements? Why or why not?

Jeff Bezos’s Medium Post

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News is swirling about Amazon CEO Jeff Bezos’s long Medium post accusing the National Enquirer of “extortion and blackmail” for pictures of him and a woman other than his wife. Bezos claims that Chairman and CEO David Pecker acts of behalf of President Trump to discredit key people, and he cites an immunity deal between the Enquirer and the justice department for these actions. President Trump has openly criticized Amazon for not paying enough taxes.

A popular story about the piece is how Bezos used the word “complexifier”:

“My ownership of the Washington Post is a complexifier for me. It’s unavoidable that certain powerful people who experience Washington Post news coverage will wrongly conclude I am their enemy.”

A Slate article explores whether it’s a real word, and it is not in standard English. The “investigation” concludes that the word “appears most at home in the canon of self-help business gobbledygook.” As expected, memes, like the one here, are popular.

Bezos’s post is interesting from a business writing and character perspective if nothing more.

Discussion:

  • Analyze Bezos’s post: who are the primary and secondary audiences, and what are his communication objectives? How is it organized? What is the tone?

  • To what extent does Bezos meet his communication objectives?

  • Overall, what’s your view of his approach to address the situation with this post?

  • Which leadership character dimensions does Bezos demonstrate?

More About Failure Resumes

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Two years ago, a Princeton professor’s “CV of Failures” went viral, encouraging all of us to admit our misses and view them as learning experiences. This week, The New York Times popularized the idea in an article, “Do You Keep a Failure Resume?

The author advises a strategy:

“When you fail, write it down. But instead of focusing on how that failure makes you feel, take the time to step back and analyze the practical, operational reasons that you failed. Did you wait until the last minute to work on it? Were you too casual in your preparation? Were you simply out of your depth?”

Of course, what he’s proposing is self-reflection. But the approach is rationale: to think through what happened. Research tells us that a more emotional approach—allowing yourself to actually feel negative emotions from a failure—leads to greater learning and makes it less likely that you’ll make the same mistake in the future.

We may avoid failure because we feel shame. The graphic above shows the difference between failing and “being a failure.” Experiencing failure instead of feeling like a failure helps us be vulnerable instead of feeling what could be debilitating shame.

Quote image source.

Being a Failure image source.

Discussion:

  • How do you typically view failure? Do you try to forget about it? Are you harsh with yourself? Or something else?

  • Do you have a process of regular self-reflection? What could you do on a daily basis to learn from both your successes and your failures?

Updates on the Virginia Govenor

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Whether Virginia Governor Ralph Northam resigns just got more complicated. If Northam steps down because of racist photos in his yearbook, the lieutenant governor would replace him. But Justin Fairfax faces his own challenges: a woman accused him of sexual assault.

Fairfax denies the claims and refers to the incident at the 2004 Democratic National Convention in Boston as consensual sex. To complicate matters further, Fairfax has accused Northam’s supporters of a “smear” campaign:

“Does anybody think it’s any coincidence that on the eve of potentially my being elevated that that’s when this uncorroborated smear comes out?”

Fairfax also questioned whether Mayor Levar Stoney of Richmond may have been involved in the accusation to which Stoney responded, “The insinuation is 100 percent not true, and frankly it’s offensive.”

For its part, Eastern Virginia Medical School is investigating how the racist photos got into the 1984 yearbook.

Justin Fairfax image source.

Election night image source.

Discussion:

  • What’s your view of Fairfax’s response?

  • Should a 2004 sexual assault charge prevent Fairfax from replacing Northam?

  • Should the replacement issue drive whether Northam resigns?

  • What is the medical school’s responsibility in this situation?

Governor's Racist Yearbook Images

Virginia State Governor Ralph Northam is facing calls for his resignation when images from his 1984 medical school yearbook surfaced. After Northam was in the news this week for supporting women’s rights to an abortion, a conservative group posted the images on the website Big League Politics.

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Two people appear in one image: one in blackface and the other wearing a KKK outfit. Northam responded to the controversy with this statement:

“I am deeply sorry for the decision I made to appear as I did in this photo and for the hurt that decision caused then and now. This behavior is not in keeping with who I am today and the values I have fought for throughout my career in the military, in medicine, and in public service. But I want to be clear, I understand how this decision shakes Virginians’ faith in that commitment.”

For some, the apology isn’t enough. Several democrats who recently entered the 2020 presidential race have weighed in: Sen. Elizabeth Warren (Mass.), Sen. Kamala D. Harris (Calif.), Sen. Kirsten Gillibrand (N.Y.), Sen. Cory Booker (N.J.), and Julián Castro (former mayor of San Antonio) all called for Northam’s resignation. He has been in office about 13 months.

UPDATE: Governor Northam now says he did not appear in the photo, and he refuses to resign:

Discussion:

  • What do you think Northam thought when he ran for office? Did he not remember the photo, or did he not think it was a big deal, or was he hoping that people wouldn’t find out? You have to wonder.

  • Should Northam have done or said anything in addition to the apology to garner more support? Would it have made a difference in the public response?

  • How do you interpret Northam changing position?

  • Should Northam resign? Why or why not?

Emails to International Duke Students Sparks Controversy

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Faculty at Duke University Medical Center have been criticized for asking international students to speak only English. The controversy started when an administrator of the biostatistics program sent an email after hearing complaints from faculty members that Chinese students were speaking “VERY LOUDLY” in their native language in “student lounge/study areas.” The faculty expressed concern that students “were not taking the opportunity to improve their English and were being so impolite.”

Also in the email, the administrator said that faculty asked for students’ names so that they might deny them job and project opportunities.

Students took offense and started a petition. In response, the administrator of the program stepped down from her position, and the university posted a letter to students in the program.

Discussion:

  • What’s your view of international students speaking in their native language at an American University?

  • Was the administrator out of line? Why or why not?

  • How do you assess the university’s response to the controversy?

  • What leadership character dimensions are at play?

Law Firm Faces Backlash About Diversity

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When a law firm announced its 2019 partners, they didn’t expect such a strong reaction. A photo shows the 12 members of the new group—all white and only one woman. Paul Weiss is an elite firm in midtown Manhattan and claims that this year is unusual.

The firm has since removed the photo from LinkedIn, where it drew attention. About 170 lawyers across the country wrote an open letter to express their wishes for a more diverse legal community.

Paul Weiss leaders took quick action to address the controversy and held a town hall meeting for employees. Firm leaders also say this group is unusually not diverse. In fact, the firm was recognized by a Microsoft initiative that offers bonuses to diverse law firms. In addition, 23% of the firm’s partners are women compared to about 18% of other law firms’ top leaders. The firm’s website boasts additional awards for diversity, including being ranked #16 in The American Lawyer’s 2018 Diversity Scorecard.

An email to Paul Weiss employees shows the words “diversity” and “associate professional satisfaction” in quotes, and a writer for the website Above the Law warns,

“…maybe there’s still some work to be done in mastering how to talk about these subjects. In general, don’t put anything in quotation marks that you wouldn’t be willing to sarcastically put air quotes around in conversation. That’s my advice.”

Discussion:

  • What’s your view of the photo and the reaction: should the firm have avoided the composite, did people overreact, or something else?

  • How do you assess the firm’s response? What else, if anything, should the firm leaders do to improve its image?

  • What persuasive strategies do the attorneys use in their open letter? Which are most and least effective for the situation?

Skewing Glassdoor Reviews

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A Wall Street Journal report found that companies have unusual spikes in the number of reviews on Glassdoor. The conclusion is that more than 400 companies have periodically encouraged their employees to write positive reviews.

One example from the article is Guaranteed Rate, a residential mortgage company. Reviews were averaging 2.1 until CEO Victor Ciardelli asked employees to weigh in, shifting the average to 4.1 within a couple of months (now 4.2). Employees report receiving an email saying they have a “collective responsibility to provide positive feedback,” and asking them to “Please complete a Glassdoor review with a strong five-star rating for us.” Other companies cited in the article include Slack, Clorox, LinkedIn, and Elon Musk’s Space Exploration Technologies Corp.

Spikes tend to come in October, before Glassdoor’s deadline for ranking companies as the “Best Places to Work.” Glassdoor says it tries to monitor fake reviews, but it does encourage companies to seek current employee reviews, including those from new employees, who tend to have more favorable impressions of the company. Skewing ratings could hurt Glassdoor’s credibility, an issue shared by all review sites.

Discussion:

  • We could argue that including current employees’ views gives a more accurate picture of the company. What do you think?

  • How can companies encourage employee reviews without unfairly shifting the balance?

  • How much do you trust review sites in general? What can Glassdoor and other sites do to ensure credibility?

Gillette Ad Gets Mixed Reviews

Gillette took a risk with its new ad campaign. Spinning its 30-year slogan, “The Best a Man Can Get,” the company introduced, “The Best a Man Can Be.” A new video references sexual harassment, challenges the expression “boys will be boys,” and encourages men to “hold other men accountable.”

Gillette explains the rationale in a press release. In addition, the URL thebestamancanbe.org redirects to https://gillette.com/en-us/the-best-men-can-be, where the company explains the campaign:

Thirty years ago, we launched our The Best A Man Can Get tagline.

Since then, it has been an aspirational statement, reflecting standards that many men strive to achieve.

But turn on the news today and it’s easy to believe that men are not at their best. Many find themselves at a crossroads, caught between the past and a new era of masculinity. While it is clear that changes are needed, where and how we can start to effect that change is less obvious for many. And when the changes needed seem so monumental, it can feel daunting to begin. So, let’s do it together.

It’s time we acknowledge that brands, like ours, play a role in influencing culture. And as a company that encourages men to be their best, we have a responsibility to make sure we are promoting positive, attainable, inclusive and healthy versions of what it means to be a man. With that in mind, we have spent the last few months taking a hard look at our past and coming communication and reflecting on the types of men and behaviors we want to celebrate. We’re inviting all men along this journey with us – to strive to be better, to make us better, and to help each other be better.

From today on, we pledge to actively challenge the stereotypes and expectations of what it means to be a man everywhere you see Gillette. In the ads we run, the images we publish to social media, the words we choose, and so much more.

As part of The Best Men Can Be campaign, Gillette is committing to donate $1 million per year for the next three years to non-profit organizations executing programs in the United States designed to inspire, educate and help men of all ages achieve their personal “best” and become role models for the next generation.

Our tagline needs to continue to inspire us all to be better every day, and to help create a new standard for boys to admire and for men to achieve… Because the boys of today are the men of tomorrow.

We’ve all got work to do. And it starts today.

Not everyone appreciates the new campaign. The YouTube video received 582,000 likes and 1 million dislikes. Some feel that the video unfairly accuses all men of not doing better.

A Gillette spokesperson said the campaign “is much more than a video—it is a commitment to spark and contribute to positive change through our voice as an advertiser and our actions as a brand and a company.” Analysts say the current boycotts probably won’t last long and will have little bottom-line effect on the company.

Discussion:

  • What’s your view of the video? Do you appreciate the message, find it offensive, or something else?

  • What else, if anything, should the company say in response to the controversy?

  • Which leadership character dimensions are illustrated by this story?

Lawsuit Charges Purdue Pharma Family with Instigating Opioid Crisis

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In a 312-page complaint, Massachusetts lawyers detail how members of the Purdue Pharma family contributed to the opioid epidemic. The complaint shows the company’s aggressive marketing strategy, including how it convinced doctors to over-prescribe drugs.

One argument in the documentation shows how representatives were trained to encourage doctors to prescribe medication to what the company called “opioid-naive” patients:

Purdue also promoted its drugs for opioid-naive patients using the receptive term “first line opioid.” “First line” is a medical term for the preferred first step in treating a patient. Opioids are not an appropriate first line therapy. Nevertheless, Purdue’s internal documents and testimony from sales reps shows that Purdue repeatedly promoted OxyContin as “first line” — “the first thing they would take to treat pain.” (Sic: “first-time opioid” should include a hyphen.)

A 2001 email written by Richard Sackler, whose family owns OxyContin, blames victims:

“We have to hammer on abusers in every way possible. They are the culprits and the problem. They are reckless criminals.”

The lawsuit also charges the family with claiming that opioids are addictive to only one percent of the population, although they had no evidence for that claim.

This lawsuit follows others in Washington, Ohio, and Alabama. Last year, the company did stop promoting opioids.

Purdue image source.

Discussion:

  • Read more in the legal complaint. According to the documentation, how did the company wrongfully use persuasive communication?

  • In some of the documentation, we see ads and tactics that any company might use. Which do you find to be typical examples, and which cross an ethical line?

MSU Gets Another New Interim President

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Michigan State University hired a second interim president. First, President Lou Anna Simon resigned after 13 years following criticism that she didn’t do enough to stop Dr. Larry Nassar from abusing girls. John Engler replaced her as interim president in 2018, but he, too, faced criticism for insensitivity to Nassar’s victims.

Most recently, Engler commented after a $425 million fund was approved for 332 current claimants and another $75 million was approved for additional victims. Engler said, “The people who got the $425 million are probably OK." Engler said he was thinking more about the potential additional victims who haven’t been part of the process yet. He made things worse when he said more:

"You’ve got people, they are hanging on and this has been … there are a lot of people who are touched by this, survivors who haven’t been in the spotlight. In some ways they have been able to deal with this better than the ones who’ve been in the spotlight who are still enjoying that moment at times, you know, the awards and recognition. And it’s ending. It’s almost done.”

People took great offense to his implication that the earlier claimants have “enjoyed the spotlight.” So now, MSU has a new interim president, Satish Udpa.

MSU image source.

Udpa image source.

Discussion:

  • Try to see Engler’s point of view. What was he trying to convey with his comments?

  • We might say that Engler’s comments lacked compassion. What else is problematic about his comments?

  • What’s your view? Was forcing Engler’s resignation the right thing to do? Why or why not?