Monday, December 6, 2010

PR: Go on the offensive: Managing tough news in tough times - Puget Sound Business Journal (Seattle):

http://toyota-autos.com/2009/12/page/2
drops off Nasdaq. In a turbulentg economy, there is no shortagde of bad news. Experts say that in a time like what may matter most is the way in which that bad news is How management deals withthe media, employees, clients and the communituy could impact how the business is viewed for yearsx to come. Business leaders who hide in their offices, bury factsx and let the rumor mill controkl the story will be viewed with angedand distrust. But those who plan their messageas carefully, and deliver it promptly and with candor to allrelevantf parties, are more likely to be remembere d as good corporate citizens.
“Thwe spotlight will be on your company,” said Dan Moran, a businesz consultant and presidentof Next-Act, an Albany career management firm. “Yoiu have one chance to get it Many public relations professionals advise clients to have a crisizs communication plan in place atall times. This way, basi c guidelines are in place when any sort of bad from layoffs to achemicalp spill, breaks. Additional preparation should take placew once a bad newseven occurs. The first step is to assesd the situation and thepossiblr fallout.
“I advise that you convene a grouoof stakeholders,” said Paulin e Bartel, president of Waterford-based “You need someone from top human resources, the PR team ... the objectf is for everyone to put theier cards onthe table, face up, so you can identif y any gaps in information.” Next, list everuy constituency, including clients, supplierse and the media, and craft a messag for each. While these messages must be each audience hasdifferent needs. Employeez will want to know about their while shareholders will be interestede in the impact on the bottom Clients will want to know if serviced willbe affected.
It is also PR experts say, to selecf just one person to speak forthe company. “Youj don’t want 20 differen versions of things coming out so everyonde lookslike fools,” said Richard Berman, presidenty of of Chappaqua in Westchester County. Once the situation is assessed, the constituents identified, the messages crafted, and the spokesperson it is time to deliverthe news. “Ir comes down to three phrases: Tell it all, tell it tell it yourself.” said Edwars Parham, director of public relation s forin Colonie. Ideally, the news should be shared with all parties at thesame time.
In the age of textint and Twittering, “news can travel at the speed ofan electron,” said Matthew Maguire, spokesman for in “You want to deliver your news before anyone else Bartel suggests giving “a few select reporters” a heads-upp that news is “That way, the reporterd has gotten the company line before a disgruntled employee picks up the phone,” she said. When the news is it must be completeand truthful, with as many details as can be shared.
It is especiallt important that the CEO or other designated spokesperson be availableand “There is no such thing as not taking the call and havinfg the paper the next day say you weren’ available,” said Dean Rueckert, CEO of Rueckert “That is not acceptable. And a good answer is never ‘no comment.’ Back it up with the reason you can’yt comment—confidentiality, legalities, what have you. You don’t want to look like you are dodgin g the question orhiding something.” This candof extends to employees.
Moran said that when he workzs with companiesin bad-news situations, he instituteas a “no closed door for three rule on top managers. While some expertsx suggest softening bad news with positiv e notes aboutthe company’s future, others advocat for a two-step “I say recognize the bad news for what it Bartel said. “Don’t sugarcoat it. a week or so introduce the good news, and it becomees the rest of the story.” Part of the company’d reputation will be determined by how it behavezs in the weeks followingan announcement.
Insurance gianft created a fire storm after receiving billions in taxpayer bailout it flew executives to a expensive The Times Union angered workers by hostingh a party after announcinbjob cuts. Jon Pierce, owner of in Albany, said this does not mean a companu should abandonall obligations, such as sponsorshipsz of charity events. “It’s a balancing he said. “The key is to be consistent and Say ‘we are laying off and cuttinv back on sponsor-ships, but we have theser obligations we must meet …’ ” The fina l word of advice from PR experts is to keep a close eye on mediq outlets after the news breaks.
It may be particularlt important to monitor social medizand blogs, where rumors and anonymou attacks can prevail. “A lot of people forgert about social media,” said Shannonh Cherry, owner of Albany-based . “But you want to know what peoplr are saying behind your soto speak.” Much can be gained, Cherry by responding with facts and keepingh everything in perspective. “You are in the same boat as thousandsd ofother companies,” she said. “It will be difficult at but with everything goingon now, your news won’t make much of an impac if you leverage it bpinckney@bizjournals.
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