Posts Tagged ‘BP’

Even BP Knows When Some News Is too Good to Be True

August 23rd, 2010

Any practitioner of crisis communications knows that some of their best work will never be seen or heard.  In the world of PR, disproportionate credit is given for the big media hit or the well-executed television appearance.  It’s harder to quantify the bad news cycle that never was or the controversy that seemingly disappeared over a few days – and often, that’s the harder media tactic to execute.

Take for instance the poster child for bad corporate and PR behavior – BP.  We’re all aware of BP’s string of PR missteps since the Gulf oil spill happened.  Yet despite these blunders, BP actually was way ahead of the curve on the latest (and unfortunate) news from the Gulf.

BP is to be credited for not exploiting what could only be described as a golden egg by the US government, when the National Oceanographic and Atmospheric Administration (NOAA) released a startling report that got everyone’s attention.  NOAA and EPA Administrator Carol Browner claimed that roughly 75% of the spilt oil had “disappeared.”  Browner even took to Good Morning America to crow about “Mother Nature” taking care of the oil and said it was open season for fishermen.

Imagine the heated discussions within BP crisis response headquarters.  There must have been fierce debate over how to exploit this stunning news.  An aggressive PR plan would have been to build the report into full-page ads in major US newspapers as well as the round-the-clock commercials BP is running on its response.

But that did not happen.  In fact, it looks like the sum total of BP’s hyping of that report is three Tweets on its official Twitter feed:

• NOAA Administrator states, there is no evidence of #oil on the Gulf seafloor http://ow.ly/2lHa1 11:00 PM Aug 5th via HootSuite

• 50% of oil released is completely gone from the system. -Lubchenco #oilspill August 4, 2010 1:33:26 PM EDT via web

• Vast majority of the oil has evaporated, burned, skimmed, or dispersed. -Lubchenco 2:28 PM Aug 4th via web

Why is this important?  Because the NOAA report’s findings were so dramatic that they drew immediate scrutiny.  Now, almost three weeks later, scientists not involved with the report claim the exact opposite is true – that about 75-80% of the oil still exists, much of it in massive underwater plumes.  By not exploiting NOAA’s too-good-to-be-true report and staying out of the fray, BP let the feds take the ensuing heat.

This is just one example of how BP’s crisis communications plan is becoming effective.  Evidence?  A recent AP poll showed 33% of Americans approve of BP’s handling of the cleanup (up from 15% a few weeks ago).

Sometimes the best decisions are ones that keep you out of the news cycle and above the fray.

Joe Barton’s Verbal Spill

June 17th, 2010

The common (and certainly sensible) refrain in the BP oil spill saga is the notion that it’s more important to cap the leak first, and then move on to figuring out who’s to blame and how it happened.  We’ve seen the reaction when prominent critics don’t heed this premise.  So the question for today is, what was Congressman Joe Barton thinking?

At today’s Congressional hearing investigating BP, Barton emphatically repeated his view that BP’s $20 billion escrow account was effectively a White House “shakedown” of the embattled corporation.  The predictable push-back came from his political opponents, but perhaps more interesting is the stern response from Barton’s own Republican leaders.  According to the Washington Post, House Republican leadership told Barton that if he did not apologize immediately, he would be removed as Ranking Member to the House Energy & Commerce Committee.

Shortly thereafter, Barton apologized.

From the public relations perspective, it’s easy to see how Barton’s apology came to fruition.  Simply put, if the dominant media narrative for any BP oil spill stakeholder is to push for an end to the crisis, any statement inconsistent with that narrative will stand out, for better or worse.  This is exactly what happened with Kentucky U.S. Senate candidate Rand Paul.  By claiming that criticism of BP is “un-American,” Paul flew wildly off script and became a lightning rod for political attacks.

The point is, regardless of whether BP’s escrow plan is an appropriate step toward proper compensation, savvy politicians and media professionals know there’s a time and a place for such criticism.  As the BP oil spill continues to outdo itself as America’s worst environmental disaster ever, the best PR tactic is to focus on the spill itself, as that’s the fire that still needs to be extinguished.

What to Watch for in Obama’s Speech to the Nation on BP

June 14th, 2010

Tomorrow night President Obama will address the nation regarding the BP oil spill.  Combating criticism that his administration was slow to respond properly, Obama is anticipated to make the case for more aggressive government action toward BP.

Aside from the political consequences pre and post-spill, what are some public relations considerations to keep in mind?

Location, location, location.  This is the first national speech that Obama will deliver from the Oval Office.  The symbolism certainly isn’t lost in the moment, as White House advisors rightly recognize that the nation’s greatest environmental disaster ever ranks up there among the worst crises in American history.  Obama is using the Oval Office imprimatur to convey the strength and seriousness of his response to date, and his plans going forward.

Tell us what’s up.  There are so many moving parts now – BP, possible receivership, fines, Halliburton, Transocean, MMS mismanagement, leak estimates, hurricanes – that it’s easy to get lost past the simple narrative of oil gushing into the Gulf of Mexico.  Obama must explain clearly and concisely what his administration has learned, and in a way that helps Americans make sense of who may be responsible for the oil spill.

Leverage into other issues.  Don’t forget that Obama’s plan, no matter what form it takes, is still essentially politics.  Just as the Bush Administration based a significant political agenda on the aftermath of September 11, expect Obama to lay out future political principles.  Strong bet that the need to lessen national dependence on oil will be top of mind, as will regulation of exploration and other relevant energy and environmental issues.

Deadlines.  To shift the focus away from the number of days into the crisis, Obama will likely give hard deadlines for relevant stakeholders to meet, whether that concerns clean up or regulatory action.  To save his political fortunes, Obama must shift the PR narrative away from mismanagement and toward total control.

And that’s just tomorrow night.  These types of efforts require weeks of follow up to sustain any positive traction, so keep an eye on administration officials as they’re dispatched to keep the message momentum going.

Crisis Corner: If the End is Near for BP, What Does That Mean for Your Company?

June 9th, 2010

When the New York Times runs an article implying the end is near for BP, then you know the end is indeed possibly near.  Interesting that one event like an oil spill can do a global behemoth in, even one like BP with a miserable track record on safety (or lack thereof).

Normally, crisis public relations aim to see a client through to resolution of the problem in front of them.  A smart crisis management plan usually incorporates a grid of escalating threats and their consequences.  For example, a negative op-ed about the client might be considered a low-level threat, and the PR response would be proportionate, such as a rebuttal op-ed.  Or, a product recall may be a high-level threat, with the appropriate response being customer engagement and recall information presented on several online platforms.

But, if like BP your company faces a death knell, how should you plan your public relations response?  The scenario is real, and mega companies do implode – think Enron, Arthur Anderson, WorldCom, Lehman Brothers.  What usually follows is a string of scorched earth litigation and restructuring, much like political sausage making that no one likes to see.

If the end is near for your company, that doesn’t mean you can shirk on stakeholder communication.  Here are some reasons why:

• Everyone loves a comeback, so your crisis PR plan should include steps on making yourself accessible post-fallout.

• Reporters, historians, academia and others will continue to write and report about your company – so make sure that your side of the story gets a word in edge-wise.  Explain the domino effect from your own view, so people don’t put words in your mouth.

• If you are ever able to breathe life into the company again, you will need to generate a positive narrative from where you left off, and this requires keeping communications fluid.  Staying engaged with your stakeholders after the company dissolves will allow a better transition.

• As silly as it sounds, closure is just as important in the business world as it is in our personal lives.  Make sure the last word is yours and yours alone. This is the first and perhaps most important step to moving on in the wake.

As of now, BP is playing defense for its short-term response, and has given some hint as to paying claims in the future.  But if there’s no afterlife for BP, then it should start planning for the real worst case scenario, a total corporate meltdown.