Malaysia Airlines' Communications About MH17

After harsh criticism of Malaysia Airlines' communications when MH370 disappeared, the airline may be under a microscope for how it handles the recent tragedy, MH17 shot down over eastern Ukraine. The company's home page has this simple message:  

Malaysia 1

 

Following a link to "Latest Updates on Flight MH17" brings this media statement:

Friday, July 18, 08:20 PM GMT +0800 Media Statement 4 : MH17 Incident

Media Statement 4: MH17 Incident

1.    Flight plan

MH17's flight plan was approved by Eurocontrol, who are solely responsible for determining civil aircraft flight paths over European airspace. Eurocontrol is the air navigation service provider for Europe and is governed under ICAO rules.

The route over Ukrainian airspace where the incident occurred is commonly used for Europe to Asia flights. A flight from a different carrier was on the same route at the time of the MH17 incident, as were a number of other flights from other carriers in the days and weeks before. Eurocontrol maintains records of all flights across European airspace, including those across Ukraine.

In April, the International Civil Aviation Organization identified an area over the Crimean peninsula as risky. At no point did MH17 fly into, or request to fly into, this area. At all times, MH17 was in airspace approved by the ICAO.

2.    Altitude

MH17 filed a flight plan requesting to fly at 35,000ft throughout Ukrainian airspace. This is close to the ‘optimum' altitude.

However, an aircraft's altitude in flight is determined by air traffic control on the ground. Upon entering Ukrainian airspace, MH17 was instructed by Ukrainian air traffic control to fly at 33,000ft.

3.    Nationalities

Following this afternoon's press conference, Malaysia Airlines can confirm that a further 16 passengers' nationalities have been verified. The latest breakdown of nationalities of those on board the flight is as follows:

·         189 Netherlands

·         44 Malaysia

·         27 Australia

·         12 Indonensia

·         9 UK

·         4 Belgium

·         4 Germany

·         3 Philippines

·         1 Canada

·         1 New Zealand

Four passengers' nationalities remain to be verified.

4.    New flight route

Following this incident, Malaysia Airlines now avoids Ukrainian airspace entirely, flying further south over Turkey.  

-end-

Friday, July 18, 06:40 PM GMT +0800 Cargo Manifest and Airway Bill for MH17 

Discussion Starters:

  • Who are the audiences for Malaysia Airlines' communications?
  • What's your view of the simple posting on the airlines' homepage?
  • The statement, above, certainly gives the facts, but should it include some emotional appeal as well? What is appropriate at this point?
  • What other communications do you think we'll see from the airline? What do you think the public expects to see?
  • What are the similarities and differences in MH370 and this situation? How should this background influence how the airline executives should handle their communications? 
  • What can the airline executives learn from their experience with MH370? 

Claim Against KFC Was a Hoax

Kelly Mullins wrote a sad story on Facebook about how her granddaughter, Victoria, was shunned at a Jackson, Mississippi KFC. The little girl was attacked by three pit bulls, which left her with scarring and a bandage on her face. The grandmother claimed that Victoria was asked to leave the KFC while eating: "We have to ask you to leave because her face is disrupting our customers."

Victoria

As you can imagine, the response on Facebook and other social media sites was enormous, and news outlets were all over the story. KFC gave the family $30,000 for medical bills and issued this statement:

"KFC launched an investigation as soon as we were made aware of this report. We take this very seriously, as we have zero tolerance for any kind of hurtful or disrespectful actions toward our guests. Our investigation is ongoing, but we have been in touch with the family and are committed to doing something appropriate for this beautiful little girl and her family. We will also work with the franchisee to take appropriate action at the restaurant once the specifics of the incident are determined."

But the story didn't stack up. The family said they ordered mashed potatoes and iced tea, but there were no such orders that day, and the restaurant video showed no record of Victoria and her grandmother entering the building.

Discussion Starters:

  • Let's put the grandparenting question aside because I don't want to judge(!). What about the responsibility of reporters? Huffington Post, CNN, and others reported the story with only the grandmother's evidence.
  • Should KFC ask for the $30,000 back? Should the company press criminal charges?
  • The family raised an additional $135,000 for the girl as a result of this publicity. Should they be forced to return the donations?

JetBlue Apologizes to Mother

Jennifer-Devereaux-6-13-14Three-year-olds aren't very good at "holding it." That's what JetBlue found out after refusing to allow a young girl to use the restroom, even though the plane was delayed on the turmac. After about a half-hour, the girl urinated in her seat.

When the mother, Jennifer Devereaux, was trying to clean the seat, the flight attendant told her curtly to sit down. Eventually, the pilot turned around the plan and said they were going back to the gate because of a "non-compliant" passenger.

A JetBlue representative called Devereaux to apologize. She told CNN, "She said, 'I am a mom, too. I understand what you [are/were] going through, and I am so sorry this happened to you.'"

The airline also offered Devereaux a $500 voucher for a future fight and $5,000 to a charity of her choice. But she said, "I didn't care about a voucher. That kind of stuff doesn't matter to me. But I did want an apology for my family because we really felt we were mistreated and felt awful."

JetBlue replied to at least one comment on Twitter:

JetBlue tweet

However, some question whether the FAA regulations speak directly about bathroom use.

On the other side, we have comments criticizing the mother for bringing a three-year-old on a plane without pull-ups.

Image source.

Discussion Starters:

  •  The simple apology seemed to work for Devereaux, even more than the voucher and, particularly, THE charity donation, which she didn't mention at all. Did JetBlue waste its money? Should the company have offered something else?
  • What, if any, responsibility did Devereaux have in this situation?

GM Terminates 15 People

GM is cleaning house, hoping to rid itself of criticism about delaying recalls, which caused 13 deaths. CEO Mary Barra announced the decision after an internal investigation revealed that several executives knew about an ignition switch problem for years and avoided a fix that would have cost 57 cents.

In a message to employees, captured on video, Barra says she is guided by two principles: "doing the right thing for those who were harmed" and taking responsibility "to make sure this never happens again." She also blames the actions of "a few people," a strategic move to separate the company from a few bad apples who have since left.

Fifteen people were terminated and another five were disciplined, some for misconduct and others for not taking enough action. One email showed that several people were aware of the problem, which persisted for another nine years. A GM parts manufacturer wrote, Chevy "Cobalt is blowing up in their face in regards to turning the car off."

Discussion Starters:

  • How do you assess GM's decision to terminate 15 people and discipline another five? Is this enough?
  • What other persuasive strategies is Barra using in her presentation to employees? What key messages do you take from the video?

Walmart Apologizes for Truck's Role in Crash

Tracy-morgan-1Actor Tracy Morgan is in critical condition after a limo accident involving a Walmart truck. Morgan is most famous for his TV roles in 30 Rock and Saturday Night Live.

The crash caused one death (Morgan's mentor, James "Jimmy Mack" McNair) and two other critical injuries. The Walmart driver is facing criminal charges and is accused of driving after not sleeping for 24 hours. In a statement, Walmart President Bill Simon extended the company's concern:

  Tracy Morgan Walmart
Image source.

Discussion Starters:

  • It's still unclear what role the Walmart driver played in the crash. Is Walmart's apology premature?
  • Assess the statement. Is it appropriate coming from the CEO? What changes, if any, would you suggest the company make?

NRA's Statement Asks Gun Activists to Consider Consequences of Their Behavior

NRA logoIn a statement that surprised some, the National Rifle Association asked gun owners "to consider the effect their behavior has on others, whether fellow gun owners or not." The statement, "Good Citizens and Good Neighbors: The Gun Owners' Role," implies that some gun advocates have gone too far:

"In summary, NRA certainly does not support bans on personalized guns or on carrying firearms in public, including in restaurants.  We think people are intelligent enough to resolve these issues in a reasonable way for themselves. But when people act without thinking, or without consideration for others – especially when it comes to firearms – they set the stage for further restrictions on our rights. Firearm owners face enough challenges these days; we don't need to be victims of friendly fire."

The NRA statement gave two examples of when "poor judgement" may run counter to NRA goals. The first is supporting "smart" guns that can be fired only by an authorized user, a technology the NRA says has "darker implications."

The second example is openly carrying long guns in public places, particularly in Texas. Although the statement applauds the state's "robust gun culture" and acknowledges that carrying is legal, the NRA criticizes the "attention-hungry few"-"a small number have recently crossed the line from enthusiasm to downright foolishness."

In a Facebook response, Open Carry Texas explained its position:

"Open Carry Texas members have always sought permission to enter an establishment prior to going in with our firearms. This has been part of our philosophy since day one and it has worked, with hundreds of businesses across the state 100% in support of what we do and how we do it."

Read the full Open Carry Texas statement.

Read the full NRA statement.

Discussion Starters:

  • Assess persuasive strategies used in the NRA statement. How does the NRA use logical argument, emotional appeal, and credibility to make its case?
  • What are the strongest and weakest arguments in the statement?
  • Is the apostrophe in the NRA statement title correct: "Good Citizens and Good Neighbors: The Gun Owners' Role"?

Snapchat's FTC Settlement and Admission

Snapchat-flashy-featuresSnapchat has entered into an agreement with the Federal Trade Commission, which accused the app of violating its own privacy policies, but critics say that agreement will have little impact. The FTC found Snapchat guilty of claiming that "snaps" would disappear when they are actually quite easy to store forever and of transmitting users' locations when its policy claims that user information is not tracked.

Although the settlement does put restrictions on Snapchat, ZDNet, for example, questions the effectiveness:

"With this settlement agreement, the FTC is sending a message - just not one that makes us feel any better about Snapchat, and all the other Snapchats out there.

"And that message is: Party on with your bad self, Snapchat.

"It's not like anyone's going to stop you."

On its blog, Snapchat interpreted the agreement: 

Our Agreement with the FTC

When we started building Snapchat, we were focused on developing a unique, fast, and fun way to communicate with photos. We learned a lot during those early days. One of the ways we learned was by making mistakes, acknowledging them, and fixing them.

While we were focused on building, some things didn't get the attention they could have. One of those was being more precise with how we communicated with the Snapchat community. This morning we entered into a consent decree with the FTC that addresses concerns raised by the commission. Even before today's consent decree was announced, we had resolved most of those concerns over the past year by improving the wording of our privacy policy, app description, and in-app just-in-time notifications. And we continue to invest heavily in security and countermeasures to prevent abuse.

We are devoted to promoting user privacy and giving Snapchatters control over how and with whom they communicate. That's something we've always taken seriously, and always will.

Image source.

Discussion Starters:

  • What's your experience with Snapchat? Does this news change your opinion of the company, or will you stop using the service?
  • Assess Snapchat's response. On Twitter, @PatrickVitalone called it a "non-apology." What do you think?

Chipotle Bags and Cups Go Literary

I.3.morrison-chipotle-cupChipotle Founder and CEO Steve Ells liked a customer's idea to change its white, boring cups and bags to something more interesting. Frustrated at Chipotle without reading materials (or a smartphone?), Jonathan Safran Foer pitched the idea for getting writers to submit text. In a Vanity Fair article, Foer described his email to Ells:

"I said, ‘I bet a s***load of people go into your restaurants every day, and I bet some of them have very similar experiences, and even if they didn't have that negative experience, they could have a positive experience if they had access to some kind of interesting text,'" Foer recalled. "And unlike McDonald's, it's not like they're selling their surfaces to the highest bidder. They had nothing on their bags. So I said, ‘Wouldn't it be cool to just put some interesting stuff on it? Get really high-quality writers of different kinds, creating texts of different kinds that you just give to your customers as a service.'"

The project, called Cultivating Thought, has already garnered quite the list of celebrity authors, including Foer, who bills himself as curator. Foer authored Everything Is Illuminated, Extremely Loud and Incredibly Close, and Eating Animals.

Cultivating Thought

Discussion Starters:

  • What do you think of the idea? As you can imagine, not everyone loves it.
  • Why would Steve Ells be interested in this project? What does Chipotle-and possibly Ells personally-have to gain?

Commencement Speakers Nixed Because of Protests

Several universities have changed plans for commencement speakers, succumbing to student and faculty protests. In some cases, the speaker withdrew. Here are the latest and relevant communications:

  • Former Chancellor at the University of California, Berkeley, Robert J. Birgeneau, has withdrawn as this year's speaker for Haverford College. A letter from students and a few faculty speaks of Haverford's "Quaker Values," including pacifism. It compliments Birgeneau's work on LGBT issues but criticizes his involvement in an event at Berkeley: "You supported UC Berkeley police in the use of extreme force against non-violent protestors..." Birgeneau did not appreciate the letter and the group's demands and responded with a missive of his own.

Haverford-Student-Response-1

  • Rutgers found a similar fate after announcing that Condoleeza Rice would speak at its commencement. Rice resigned, announcing the decision on her Facebook page.

Rice 2

  • Christine Lagarde, president of the International Monetary Fund (IMF), withdrew her plans to speak at Smith College. Kathleen McCartney, president of the college, wrote a sharply worded letter about the protests, including these excerpts:

"Those who objected will be satisfied that their activism has had a desired effect. But at what cost to Smith College? This is a question I hope we will ponder as a community in the months ahead."

 . . . .

"I want to underscore this fact: An invitation to speak at a commencement is not an endorsement of all views or policies of an individual or the institution she or he leads. Such a test would preclude virtually anyone in public office or position of influence. Moreover, such a test would seem anathema to our core values of free thought and diversity of opinion. I remain committed to leading a college where differing views can be heard and debated with respect."

Discussion Starters:

  • Read all of the communications associated with these decisions. What themes emerge in tone, organization, word choice, and so on?
  • Which of these communications is the best example, and what makes it the best?
  • Condeelza Rice's Facebook page has a serious punctuation error. Did you notice it?

Pom Wonderful Steals the Show

Pom Wonderful did a great job responding to criticism from HBO talk show host John Oliver. According to an Adweek article, Oliver had "dismissed Pom Wonderful as snake oil and suggested putting stickers on Pom's juice bottles saying it contains dogs." This was after showing a clip from a TV show, on which Pom was promised to reduce the possibility of prostate cancer.

Pom responded by sending Oliver a refrigerator, a case of the juice, and a clever letter, which he read on air.

Discussion Starters:

  • What's your view of Pom's response? In what ways was it effective, or not?
  • The Adweek article referred to Pom's "strangely stilted letter ('We like to think we're able to take a joke. It was very funny. We laughed hard')." Do you agree with this assessment?

Target CEO Resigns

Gregg Steinhafel, who was Target's chairman and chief executive since 2008, has resigned. According to a New York Times article, the data breach earlier this year and overexpansion in Canada, which has led to low margins and inventory problems, contributed to the decision. The Times describes one analyst's view that Steinhafel was partly to blame for the security break that affected millions of customers because of system vulnerabilities caused, in part, by underinvestment in technology.

A message posted on the company's website directs visitors to a full statement from the board:
Target Board message

May 5, 2014

Today we are announcing that, after extensive discussions, the board and Gregg Steinhafel have decided that now is the right time for new leadership at Target.  Effective immediately, Gregg will step down  from his positions as chairman of the Target board of directors, president and CEO.  John Mulligan, Target's chief financial officer, has been appointed as interim president and chief executive officer. Roxanne S. Austin, a current member of Target's board of directors, has been appointed as interim non-executive chair of the board. Both will serve in their roles until permanent replacements are named. We have asked Gregg Steinhafel to serve in an advisory capacity during this transition and he has graciously agreed.

The board is deeply grateful to Gregg for his significant contributions and outstanding service throughout his notable 35-year career with the company. We believe his passion for the team and relentless focus on the guest have established Target as a leader in the retail industry.  Gregg has created a culture that fosters innovation and supports the development of new ideas. Under his leadership, the company has not only enhanced its ability to execute, but has broadened its strategic horizons. He also led the company through unprecedented challenges, navigating the financial recession, reacting to challenges with Target's expansion into Canada, and successfully defending the company through a high-profile proxy battle.

Most recently, Gregg led the response to Target's 2013 data breach. He held himself personally accountable and pledged that Target would emerge a better company. We are grateful to him for his tireless leadership and will always consider him a member of the Target family.

The board will continue to be actively engaged with the leadership team to drive Target's future success and will manage the transition.  In addition to the appointments of the exceptional leaders noted above, we have also retained Korn Ferry to advise the board on a comprehensive CEO search.

The board is confident in the future of this company and views this transition as an opportunity to drive Target's business forward and accelerate the company's transformation efforts.

The announcement comes on Target's new CIO's first day on the job.

Discussion Starters: 

  • Assess the board's statement: what works well and what could be improved about the content, organization, tone, and so on?
  • Why do you think the board waited so long? Target learned of the breach in mid-December 2013. What factors might have played into the decision?

Taco Bell: "Those Other Ingredients"

After criticism of its meat in 2011, Taco Bell came out fighting with a video message from CEO Greg Creed (who kindly gave permission for the video to be included with Chapter 7 of the textbook). Now, Taco Bell further explains its ingredients in response to the false-advertising lawsuit claiming that the company uses "taco meat filling" rather than "seasoned beef."

Taco Bell has said that its meat is "88% Premium Beef and 12% Signature Recipe," which includes seasonings, spices, water and other ingredients. This week, the company revealed the 12% in a graphic posted on its website

  Taco-bell-other-ingredients

Although these ingredients don't sound very appetizing, a Popular Science article tells us not to worry: "...the ingredients in them are not scary poison that the average person will never understand. Most are fine in small amounts or when consumed in infrequent treats."

Discussion Starters:

  • Go to the Taco Bell's graphic and click on each box. How effective are the explanations of these other ingredients?
  • Why do you think the company took two years to reveal the rest of its recipe?

AOL Tells Customers to Change Their Password

AOLblack

The latest hacking victim is AOL, which urged users to change their password even though the risk sounds small. 

AOL
Dear AOL User,

At AOL, we care deeply about the safety and security of your online experience. We are writing to notify you that AOL is investigating a security incident that involved unauthorized access to AOL's network and systems. Recently, our systems alerted us to an increased incidence of email users receiving spam emails from "spoofed" AOL email addresses. AOL's security team immediately began investigating the cause of the spoofed emails. Spoofing is a tactic used by spammers to make it appear that the message is from you in order to trick the recipient into opening it. These emails do not originate from the AOL Mail system – the addresses are just edited to make them appear that way. AOL is working with other email providers like Gmail, Yahoo! Mail and Outlook·com to stamp out spoofing across the industry, and we have implemented measures that will significantly limit its future occurrence.

Although our investigation is still underway, we have determined that there was unauthorized access to AOL users' email addresses, postal addresses, contact information (as stored in the AOL Mail "Address Book"), encrypted account passwords, and encrypted answers to security questions that we ask when a user resets his or her password. We believe spammers have used this contact information to send spoofed emails that appeared to come from roughly 2% of our email accounts.

Importantly, at this point, we have no indication that the encryption on the passwords or the answers to security questions was broken. Likewise, there is no indication that this incident resulted in disclosure of users' financial information, including debit and credit cards, which is also fully encrypted.

Nevertheless, as a precautionary measure, we strongly encourage you to reset your password used for any AOL service and, when you do so, you should take the time to change your account security question and answer. You may reset your password and account security question at account.aol.com.

In addition, there are steps you can take to protect yourself from cyber risks. They include:

  • If you receive a suspicious email, do not respond or click on any links or attachments in the email.
  • When in doubt about the authenticity of an email you have received, contact the sender to confirm that he or she actually sent it.
  • Never provide personal or financial information in an email to someone you do not know. AOL will never ask you for your password or any other sensitive personal information over email.
  • If you believe you are a victim of spoofing, consider letting your friends know that your emails may have been spoofed and to avoid clicking the links in suspicious emails.

We place a premium on the security of our systems and our users' information. We are implementing additional measures to address this incident, and we are working with law enforcement to pursue the matter.

If you have any further questions, additional information and an extensive Q&A can be found at faq.aol.com. We apologize for any inconvenience, and we are addressing the situation as quickly and forcefully as we can.

Bud Rosenthal
Bud Rosenthal, AOL Membership Group CEO

Privacy Policy | Customer Support
©2014 AOL, Inc. All Rights Reserved.

According to PC Magazine, AOL also updated its email policy. An announcement on its blog says the company is working with other email providers to reject spoofed emails:

"AOL Mail is immediately changing its policy to help mail providers reject email messages that are sent using forged AOL Mail addresses. By initiating this change, AOL Mail, along with other major email providers will reject these spoofed email messages, rather than deliver them to the recipient's inboxes."

Discussion Starters:

  • Analyze AOL's audience: who is the typical user (other than my 86-year-old father)? 
  • How well does AOL describe the technical problem to this audience? What else about the email is tailored to this audience? 
  • What, if anything, could be improved about the email?
  • What's your assessment of AOL's blog post about working with other email providers?

NBA and Sponsors Respond to Clippers Owner's Offensive Comments

An audio recording of LA Clippers owner Don Sterling shocked the league with comments that NBA Commissioner Adam Silver called "truly offensive and disturbing." The nine-minute recording, released by TMZ, included these statements made to Sterling's girlfriend, who happens to be black and Mexican:

  • "It bothers me a lot that you want to broadcast that you're associating with black people. Do you have to?" (3:30)
  • "You can sleep with [black people]. You can bring them in, you can do whatever you want.  The little I ask you is not to promote it on that ... and not to bring them to my games." (5:15)
  • "I'm just saying, in your lousy ******* Instagrams, you don't have to have yourself with, walking with black people." (7:45)
  • "...Don't put him [Magic] on an Instagram for the world to have to see so they have to call me.  And don't bring him to my games." (9:13)

Commissioner Silver made a short statement and then answered questions during a news conference:

Head Coach and Senior Vice President of Basketball Operations Doc Rivers made this statement, posted on the NBA website:

"I would like to reiterate how disappointed I am in the comments attributed to [Donald Sterling] and I can't even begin to tell you how upset I am and our players are. Today, I had a meeting with the members of our organization. When you are around all these people, you realize they are just as upset and embarrassed by the situation and it does not reflect who they really are. That was what I got from all of them. They are now a part of this and they are upset at this. But, they are all going to hang in there and so are we - I can tell you that as a group and as a team. From our fans' standpoint, I want to say that they have been amazing, I can tell you that. We need unbelievable support right now from other people and I'm hoping we get that. My hope is that whatever the fans do, it is as one. I think that is what we all should do.

"We want to make the right decisions here. We're doing our very best to try and do that. We know that fans are in a dilemma as well. We want them to cheer for their players and their team. It will always be their players and their team. From the fans that I have heard from, that's how they feel. ‘This is my team. These are my players that I'm cheering for and that's not going to change.' I hope STAPLES Center is packed and people are cheering for the players. The players are now in the middle of this, and they have to deal with it.

"We are all trying to figure out everything as it goes and just do our best and we hope that it is the right answer. I'm still going to do my best and do what I think is best for the team and for everybody in this case. It is very difficult because there are so many emotions in this. This is a very emotional subject, this is personal.

"My belief is that the longer we keep winning, the more we talk about this. I believe that is good. If we want to make a statement - I believe that is how we have to do it. I think that is the right way to do it, but that doesn't mean we still don't wrestle with it every day and every moment. That is the difficult part.

"We are all doing our best here. Our players are doing their best. There are a lot of people involved in this. From one man's comments, a lot of people have been affected and the conversations that we're all having do need to be had."

As the NBA addresses inquiries, sponsors are pulling out. Mercedes-Benz, CarMax, Virgin America, State Farm, the Chumash Casino Resorts, Red Bull, Kia Motors America, Lumber Liquidators, and Yokohama Tire have all announced an end to or suspension of their advertising agreements.

UPDATE: Adam Silver announces that Sterling will be fined the maximum $2.5 million and banned from the NBA for life.

UPDATES: In another recording of Sterling, he explains his comments this way: "I know what I said was wrong, but I never thought the private conversation would go anywhere out to the public. I didn't want her to bring anyone to the games because I was jealous."

Time Warner Chairman and CEO Dick Parsons was selected as interim CEO until new ownership is decided. Parsons said, "Like most Americans, I have been deeply troubled by the pain the Clippers' team, fans and partners have endured. The Clippers are a resilient organization with a brilliant coach and equally talented and dedicated athletes and staff who have demonstrated great strength of character during a time of adversity."

Discussion Starters:

  • Although the NBA has been responding to questions, the league has made no comment about the declining sponsorships. What, if anything, should be said at this point?
  • What is suspiciously missing from these communications?

Board Terminates RadiumOne CEO After Felony Charges

724px-Chahal_with_U.S._President_Barack_ObamaFormer RadiumOne CEO and Founder Gurbaksh Chahal is disputing his termination. The board of directors may have supported Chahal as he was charged with assaulting his girlfriend and plead guilty to two misdemeanors. But after more reporting and social media activity, apparently, the board made its decision.

RadiumOne, an advertising platform, announced the termination in a short press statement on its website:

"At a board meeting yesterday evening, RadiumOne's board of directors voted to terminate the employment of Gurbaksh Chahal as CEO and Chairman of the company. Bill Lonergan, the company's COO, will take over as CEO of the Company immediately. Bill has an extraordinary professional background and has helped build BlueLithium and RadiumOne into industry leading brands. We are confident he will continue Radium One's impressive trajectory."

In a blog post, "Can You Handle the Truth?" Chahal admits to losing his temper but denies claims that he hit his girlfriend 117 times. He also protests the media attention and social media attacks. Chahal includes an email he says he received from one of his board members two days before he was terminated:

"Been thinking some more. Absolutely don't do anything. Let the haters hate ad move on. This will blow over very quickly and we focus on the IPO.  Don't let them get to you. Don't respond.  I know it sucks but i think this is the right way fwd.  Stay strong amigo. I feel for you."

In the meantime, at least two reporters had called for the board to terminate Chahal: Kara Swisher and CNN Money writer Dan Primack.

Image source.

Discussion Starters:

  • Did the board make the right decision? Why or why not? What does one's personal life have to do with the business? Does his position as CEO and/or founder affect your view?
  • How do you assess the email Chahal posted? If it's real, does it help his case?
  • How, if at all, does the image of Chahal with President Obama affect your opinion of him?

General Mills Changes Its Tune

Following criticism of its new legal restrictions, General Mills has reversed its policy. The change warned customers who interacted with its brands, for example, by downloading a coupon, that they would give up their rights to sue and would be forced into an abritration process instead.

In an email, a company spokesperson conveyed what The New York Times calls a "stunning about-face":

"Because our concerns and intentions were widely misunderstood, causing concerns among our consumers, we've decided to change them back to what they were. As a result, the recently updated legal terms are being removed from our websites, and we are announcing today that we have reverted back to our prior legal terms, which contain no mention of arbitration."

The decision was further announced on the General Mills blog:

General Mills 1

General Mills 2

Here's the company's tweet about the change:

General Mills Tweet

Discussion Starters:

  • Was this the right decision for General Mills? What are the consequences either way?
  • Assess the company's blog post. What works well, and what could be improved?

Captain of Korean Ferry Is Arrested and Apologizes

The captain and two crew members of the South Korean Ferry that capsized with hundreds of people on board were arrested. As of today, about 75 people were rescued, 29 bodies were recovered, and 236 are still missing, mostly high schools students taking a trip.

In this video, the captain and a crew member apologize. Additional questions by the press are below. 

Q: Was there any place to turn? You evacuated the crew but why not to passengers?

Capt: I gave the evacuation order.

Q: Did you?

Capt: Yes, I gave the evacuation order to passengers too.

Q: Why did the announcement ask the passengers to stay in their cabin?

Capt: At that time, none of the rescue ships had arrived at the scene.

Q: Nothing there?

Capt: Yes, at that time.

Q: But you evacuated first?

Capt: No.

Q: Do you accept the charges of the prosecutor's office?

Capt: Yes, I understand there are some parts that are my fault. Anyway, I am sorry I caused the trouble. I apologise to all Koreans and especially I bow my head in apology to the family of the victims.

There are some parts I do not understand. There is no such (mumbles).

Q: Did you give evacuation orders?

Capt: Yes, I did.

Q: But there were many announcements asking passengers to stay in the cabin. Why?

Capt: That's before the rescue boats arrived.

Q: At that time, is it true the ship was tilting seriously?

Capt: The boat was in an area of very strong current, the temperature of the ocean water was cold and I thought if people left the ferry without proper judgement, if they not were wearing a life jacket, and even if they were, they would drift away and face many other difficulties. The rescue boats had not arrived yet, nor were there any civilian fishing ships or other boats around at that time.

Q: When did you notify the coastguard? When was the first sign of a problem?

Capt: I remember it was probably around 9.50am.

Q: 9.50am? Wasn't it 8.50?

Capt: Yes, 8.50.

Q: Did you feel anything strange before that?

Capt: No.

Q: Was there any place you can turn?

Capt: It is not that there was no place to turn the boat. I asked the crew to stay on the route. I briefly went to my bedroom and I was on my way back when it happened.

Q: You went to your bedroom?

Capt: Yes.

Q: There were rumours that you were drunk?

Capt: No.

Q: Are you sure?

Capt: Yes.

A transcript between the ship and a nearby island portrays "confusion and panic," according to an NPR report.

To add more tragedy to this situation, the students' deputy headmaster committed suicide. Reports show he did "everything by the book" but apparently was overcome with grief. He left a note that said, "Surviving alone is too painful while 200 remain unaccounted for. I take full responsibility. I pushed ahead with the school trip," and "I will once again become a teacher in the afterlife for my students whose bodies have not been discovered."

Discussion Starters:

  • The captain and crew are criticized for leaving the boat and for telling people to remain in the ship rather than evacuate. What could explain their actions?
  • From watching the video, what cultural differences can you identify? In other words, how might this situation differ if it happened in the United States?

Communications About California Bus Tragedy

A terrible bus accident left ten people dead, including five high school students on a Preview Plus tour of Humboldt State College. This was a special trip for first-generation and low-income students to see the college where they were accepted and might attend the following year. More than 30 people were injured.

A FedEx truck jumped the median and crashed into the bus, creating a horrible scene of students and their chaperones trying to escape. A FedEx spokesperson has made this statement: "Our thoughts and prayers are with everyone involved in the tragic accident on I-5 in California. We are cooperating fully with authorities as they investigate." Also, FedEx posted this statement on the news pages of its website.

Humboldt posted this message on its website:

Humboldt State University

Here are two excerpts from a news conference.

 

http://www.nytimes.com/2014/04/12/us/orland-california-bus-crash.html?hp&_r=0

See also the LA School District's notice to employees.

Although the California Highway Patrol says the investigation could take months, they do know that some bus passengers weren't using their seatbelts. As a new model bus, it had shoulder belts, but victims were thrown from the vehicle, indicating that their use wasn't enforced.

Discussion Starters:

  • Assess Homboldt's website post. In what ways is it what you would expect, and how, if it all, is it different?
  • Assess FedEx's statement. Given the recency, is the statement appropriate? Should the company say anything else?
  • Assess the comments in both videos for emotional appeal and handling questions. What works well,  and what could be improved?

NSA's New Press Kit

The National Security Agency (NSA) published a shiny, new press kit to try to change its image. Damaged by reports of spying, the NSA's reputation could use some freshening up.

NSA press kit

With self-aggrandizing phrases, such as, "Saving Lives," "Cybersecurity: A Team Sport," "Operating as a Responsible Citizen," and "The Mission that Never Sleeps," the NSA is trying to combat negative perceptions.

The kit also addresses "Myths" about the NSA, such as, "The NSA has agents who can arrest hackers or other cyber bad guys," and "NSA monitors the world's communications systems at all times."

Discussion Starters:

  • Read the entire press kit. What are the NSA's main messages?
  • Assess the text and graphics. How well do they work together? What images are most prevalent in the kit?
  • Which themes or points do you find most and least convincing?

GM's Cobalt Recall Site

For the unfortunate customers who own a Chevy Cobalt, GM has created a dedicated recall website.

  GM recall site

The site includes a series of Q&A and links to a "gallery" of videos between 23 and 48 seconds long. The site als0 includes this graphic and a video that repeats this "3-Point Check Plan." 

GM 3-Point

Discussion Starters:

  • Assess the short videos on the website: what works well, and what could be improved? 
  • The "3-Point Check Plan" tells customers what to do with their key chain, that they should talk to the dealer, and how to reach the company. Do we need a graphic and a video for that? Are GM's communications too simple? Or am I underestimating what customers need?