Save the Alaskan Sea Otters: Exxon's text book Crisis Communications case

Once more, just to hammer it in: this blog is not only about Exxon Mobil, but about the company’s public relations tactics, the good, the bad, the ugly, etc. I.E.-Anything to do with the Exxon Mobil PR department down in Irving, Texas.

Many believe, and I will concur, that a major, if not the most major part of PR, is Crisis Communications…quick, everyone panic! Ahhh! Just kidding. And it just so happens that along side the Johnson & Johnson Tylenol case of poisoned, killer medication, Exxon’s March 24, 1989 Exxon Valdez oil spill in the Prince William Sound on the shores of Alaska is the greatest (in my opinion) text book example used in I’m sure every college PR class for Crisis Communications. Please see: http://www.mallenbaker.net/csr/CSRfiles/crisis03.html, http://www.jomiller.com/exxonvaldez/investigative.html, http://www.coopamerica.org/programs/rs/profile.cfm?id=221, and http://www.allbusiness.com/management/1086550-1.html just to name a few…of the very many sites out there reporting (mainly negatively information or perspectives) on the Exxon Valdez spill. I would legit have my physician on speed dial for constant Prozac refills were I a PR person at Exxon. Man, the job is never done!

In the 1980’s, Exxon CEO Lawrence G. Rawl (http://en.wikipedia.org/wiki/Lawrence_G._Rawl) headed one of the five largest companies in the U.S. with sales of $80 billion. Wow! What’s that Exxon? You are hiring? Just kidding again. According to my source, Crisis Communications: A Casebook Approach by Kathleen Fearn-Banks, Rawl was a hardworking, strong leader, who disliked publicity and the media. Whoa, whoa, whoa…did no one check this out before he was hired as CEO? Hmm. He was with the company 37 years before taking the head honcho position.

The CRISIS: Shortly after midnight on a Friday during the time of year when there is an animal migration that brings the largest concentration of migratory fowl in the entire world (sea otters, seals, whales, salmon, herring, halibut) to the Prince William Sound, the Exxon Valdez, a 987-foot oil tanker headed for Long Beach, California from the coast of Alaska ran aground on the rocks of Bligh Reef, tearing open a hole in the hull almost as the long as the ship itself spilling 11 million gallons of crude oil into the American waters over the following hours and days.

Captain Joseph Hazelwood (http://en.wikipedia.org/wiki/Joseph_Hazelwood), a respected pilot who had sailed the same trek more than 100 times, and was known for his drinking, led the tanker to Bligh Reef, one of several well-known hazards in the Prince William Sound. He retired for the night and in his place, Hazelwood left Third Mate Gregory Cousins in charge. Government investigators later deemed Cousins unqualified to handle such a maneuver. Hazelwood was fired later while Cousins continued the road to success becoming a Second Mate.

It has been estimated (not including halibut and salmon) over 2 million animals died as a result of this careless human error, and scientists predict it will take decades for the animal life in the Sound and beyond to fully recover.

Dan Cornet (later to become Exxon’s PR manager), was Exxon’s Alaska coordinator at the time. As soon as he heard the news, he rushed to the scene and notified Public Affairs. The company’s immediate strategy was to clean up the mess it had created. Yes, it was a regrettable instance, but at that time, cleaning up the oil and saving sea life was what was most important.

Exxon’s president of Shipping, Frank Iarossi (http://www.adn.com/evos/evos.html), served as the company’s main representative at the Valdez site and handled direction of the spill response. I bet he was ticked at the lack of response he got from headquarters…CEO Rawl was nowhere to be found.

Exxon faced major opposition (too nice of wording)…fisherman, businesses and residents of the shoreline of Alaska were beyond livid: the company’s first attempt at clean-up did not work. Ready for this “OUCH!”? Iarossi held a press conference without being previously briefed by PR personnel (Edward Bernays is rolling in his grave… http://www.prmuseum.com/bernays/bernays_1915.html). Needless to say, he was slaughtered by the media. And then, Brian Dunphy, another spokesperson for Exxon Shipping, refused to verify the extent of the damage or what was being done about it. Also…surprise, surprise…this statement was not well received.

Exxon Mobil’s Cornet got in touch with vice president of Bradley/McAfee PR, George Mason, APR, and asked him to develop and implement strategies for three areas he expected to blow up in Exxon’s figurative face: the tourism industry in Alaska, the animal rescue centers Exxon had begun to set up on Valdez, and Alaska’s seafood industry. Exxon did have success with the animal rescue and clean-up, and tourism actually improved the following year due to a major promotional campaign. Problem was: the company didn’t tell anyone.

Eventually, the M.I.A. Rawl showed up and issued an emotionless statement via TV telling people what kind of chemicals would be used to further clean up the spill. Oh, and one minor detail: he offered no apologies to the fisherman who had essentially lost their livelihood. Three weeks later, despite still not accepting responsibility, Rawl made the trek to Alaska. How kind of him. Those lucky people of Alaska sure were blessed! (Note: Complete and utter sarcasm)

What would I have done differently had I been the PR person at Exxon in 1989? Where do I begin?
1) Don’t have a CEO of a major corporation that has many plausible crises looming over its head that hates, dislikes, is afraid of, doesn’t know about or cannot work with the media.
2) If you do have THAT CEO, give him a serious wake up call when proposing the oil spill crisis to him. Always remember: when your stakeholders think it’s a crisis, it’s a crisis. I would have had A LOT of people backing me up on this one were I Exxon’s PR person (say about a million Alaskans).
3) Educate that CEO on what is happening.
4) Train that CEO in media relations, prepare him with at least three solid and specific messages, and get him in front of reporters and TV cameras ASAP.
5) Get the legal department and management on the same page so you can get the response rolling (timeliness people!).
6) Accept that media has the right to cover a crisis.
7) Tell the media, both local and national, what exactly is going on with clean-up. Silence perpetuates rumors and reinforces the public’s suspicion. Tell them that “we opened an animal rescue operation, have a campaign going to bring back tourists and have made all attempts at cleaning the spill.” They aren’t flippin’ psychic!
8) Be accessible to the media and make leadership available…Rawl was a no show.
9) Stay calm and focused…ha! “Focus, what’s that?” Exxon asks.
10) Admit to the severity of the problem; take fault for the accident, and responsibility for the clean-up.
11) APOLOGIZED TO THE VICTIMS OF THE SPILL!!! The fisherman, the business owners, the residents, the local governmental bodies, etc. deserve a damn apology and they weren’t given one. Ahh! (Again, Bernays, rolling in his grave, I’m sure.)
12) Tell the public when it is all over.
13) And above all, adhere to the four “R’s” – Regret, reform, restitution and responsibility.

*I must credit Crisis Communications: A Casebook Approach by Kathleen Fearn-Banks for the majority of information in this blog entry.

For the most recent updates on this topic from Exxon Mobil: http://www.exxonmobil.com/Corporate/about_issues_valdez.aspx