BLOG: You have the right to remain silent...
Wednesday, August 16, 2006
What were they afraid of?
Like a deer in the headlights, Dell faced a crisis and stood frozen. Why?Even though a video of an exploding battery was circulating on TV news and the internet, they delayed action for months. When Dell finally took the inevitable action Tuesday, their stock actually went up on a higher volume than previous weeks! Some stock market pundits surmised the market considered it a relief that the recall was finally issued—everyone had been holding their breath waiting to see if Dell would be run over.
Crisis management 101: The sooner you get off the road and out of those headlights, the more likely you’ll survive.
Comments:
Pam, love your tag-line: The best mind-altering drug is truth! But I guess the 'truth' numbed Dell instead of awakening it. And odd how the stock went up -- stockholders rewarding the company for announcing their error instead of reprimanding them for being a bit late! Trouble creates fortunes.
When I read about Dell's hesitation to recall their computers, I wonder if the executives have ever heard of the Tylenol tampering Crisis. Johnson & Johnson immediately recalled 31 million bottles of Tylenol, a cost of $100 million dollars in order to place customer safety first over financial concerns. J & J were then proactive in creating tamper-proof containers and packaging. The company would replace any bottle that had been purchased and also offered $2.50 coupons to create new sales. Tylenol is still one of the top pain relievers and endures as a company with integrity. Brilliant!
What was Dell thinking?
Connie Brubaker
Integrity Training Solutions
I just love your spriit…you better believe that if I ever get caught with my skirt in my face, you will be the woman I call…Deanna Cochran, RN, Quality of Life Care
Pam,
Maximum disclosure, minimum delay.
Need we say anything else.
This should be a notice to all companies: "Better to address an issue early, than to end up on YouTube.com, The Daily Show or be the butt of Jay Leno's jokes."
I just love your spriit…you better believe that if I ever get caught with my skirt in my face, you will be the woman I call…
Deanna
Maximum Disclosure, minimum delay.
It's always better for a company or agency to address a problem/issue in the beginning stages than to have your faux pox on YouTube.com, The Daily Show or be the punch line on Jay Leno's Tonight Show monolog.
That's public affairs 101. Where the "Dell" was the PR staff?
LINUS
I agree that quick, inspired action is necessary in times of crisis. However, it's also critical to take a moment to determine whether or not an immediate decision is necessary. Sometimes a few days or weeks to allow for inspired action, rather than a knee-jerk response to "get out of the headlights" is appropriate. In the case of Dell, months to respond seems a bit too long...
Pam, while checking out your blog, I was also struck by your "you have the right to remain silent" comment. Your reminder that silence will be interpreted in many ways, including ways you don't want is a powerful incentive to get out of the headlights sooner rather than later!
Dianna