Tuesday, January 17, 2012

Carnival response looking like its own catastrophe

Crises are invariably complex - managing the immediate impact, searching for the cause, cooperating with authorities, keeping the rest of the business operating smoothly.  However, in many ways, crisis communications is straight forward:  communicate, communicate, communicate!

Use and manage the communication channels
So what’s happening with Carnival? Three days after the tragic Costa Concordia accident, go to the Carnival website for info. Their statement  about the tragedy is buried under FAQ.  Does Carnival really think this is not on everyone’s mind? The impression given is that Carnival is hiding, uncaring, or doesn't see this as a big deal... 

Suggestion: prominently post Carnival’s commitment to safety in a letter from the CEO and describe what Carnvial is doing for those affected by this incident.

Carnival's website Forum - not a mention. Its blog - the same.  Under Community - the headline is "Welcome to Funville."  
 Checking out "Carnival Latest News" to find: Carnival Kicks Off Facebook Contest Tied to New Thrill...

Suggestion: review advertising and web pages for offensive or incongruent juxtapostion with the incident.  This doesn't mean the business pulls all their promotions; rather, show sensitivity.

By now, I'm thinking Carnival must be centralizing its communications somewhere else:

Twitter – Carnival has posted a lonely tweet about cruise safety. Another tweet has a link to their Statement; too bad the link doesn’t work.  If you search the obvious #CostaConcordia there is no sign of  Carnival - another misstep. 

Suggestion: place staff ‘round the clock on Twitter and other social media sites, to answer questions, communicate company safety values and messages of concern, and to answer questions. Carnival is in the service industry: be of service.  Also, be visible in  the communication space by participating in discussions such as #CostaConcordia discussions; set the tone.  Monitor these spaces for misinformation to be corrected quickly and how company messages are being received.

Facebook – a lot of comment activity on Carnival's page, but again little from Carnival.  A statement responding to questions about cruising safety links to what appears to be a third party industry site. 

Suggestion: third party sources can be valuable, but for something as basic and essential as safetly, it would be best to speak directly to the company's commitment and actions.

Blaming is risky business
The company was quick to point the finger of blame at the ship's captain. (Reminds me of BP blaming employees in another terrible tragedy - the Texas City refinery incident. BP later retracted, but not before damage was done to its relationship with employees, unions and its credibility with all stakeholders; especially when the investigation found that employees had tried to warn the company about unsafe practices.  The investigation ultimately blamed BP management).  Another lesson: the public doesn't necessarily differentiate between a company and its employees when it comes to responsibility... does Carnival remember Exxon Valdez*?  If the captain is to blame, that still makes the company responsible in critical ways.

Suggestion: be extremely cautious about jumping to conclusions
I’ve seen situations where CEOs have a tendency to pull back in a crisis. That's a human first response. And it's an incredibly busy time with  internal meetings and discussions, lot of stress,   Board members and regulators hovering and wanting information. However, this is precisely the time CEOs must demonstrate leadership and ensure the company is actively and overtly communicating and engaging with customers, tourism industry...  sharing key messages with employees, partners and alliances.  In a crisis, stepping out and communicating is the CEOs #1 job - no excuses accepted.

I hope this information and outreach black hole is not at the direction of lawyers attempting to limit liability by putting a hold on communications.  It's that old maxim about being tried in the "court of public opinion."  Share price ... reputation... the perception of guilt if the company doesn't speak out and demonstrate leadership -- there's much to be lost before Carnival ever gets to a court room.

How Carnival manages this crisis will play out for years to come.  It may  impact the company as much as the tragedy itself. 
*From Wikipedia -  National Transportation Safety Board finding: Exxon Shipping Company fail[ure] to supervise the master and provide a rested and sufficient crew for Exxon Valdez.