...Rawl, chairman and chief executive of the Exxon Corpoation was in his kitchen sipping coffee when the phone rang and received the news regarding the spilling of crude oil into the frigid waters of Prince William Sound, just outside the harbor of Valdez, Alaska. What was about to happen was the worst environmental disaster in the history of the United States. These were the documented facts that media had portrayed across the United States and to the world: Exxon Valdez, a 978-foot tanker piloted by a captain whom later revealed to be drank, ran aground on a reef 25 miles southwest of the port of Valdez. The results caused a spill of 250,000 barrels, the largest spill ever in North America. The devastating results affects, 1,300 square miles of water, damaging some 600 miles of coastline and murdering as many as 4,000 Alaskan sea otters. The disaster also enshrined the name of Exxon in the all-time Public Relations Hall of Shame. (Seitel, 2000). According to the book, Exxon’s dilemma broke down into five categories. First was the hesitation of Mr. Rawl if he is going directly and personally to Alaska. In an interview Mr. Rawl has said, “We had concluded that there was simply too much for me to coordinate from New York. It wouldn’t have made any difference if I showed up and made a speech in the town forum. I wasn’t going to spend the summer there; I had other things to do”. Secondly, Exxon failed to establish media control. Exxon, wanted to take charge of the news flow and...
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...Background Information JHONSON AND JHONSON: TYLENOL The image and reputation of a company is so important in order to gain the trust of the consumers. Crisis need not strike a company purely as a result of its own negligence or misadventure. Often, a situation is created which cannot be blamed on the company - but the company finds out pretty quickly that it takes a huge amount of blame if it fumbles the ball in its response. On September 30, 1892, Jhonson and Jhonson announced that three persons had died as a result of taking Tylenol capsules that had been laced with cyanide. Within the next two days, four additional deaths from the same cause were reported. All seven deaths occurred in the Chicago Area, but J & J recalled thirty-one million bottles of Tylenol from store shelves throughout the nation. The publicity surrounding this was unprecedented in American business history; in the print media alone, more than 125,000 stories appeared. Many business analysts said that no product could survive this, and they pronounced Tylenol dead as a product line. From the outset of crisis, J & J recognized the immediate and long-term stakes involved. Its strategy was based on maintaining high visibility and avoiding any appearance that the corporation was trying to duck responsibility. The incident involved four specific “publics” – the management at Johnson & Johnson, its employees, the consumers and the stores which were selling Tylenol. By communicating with the management...
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...Public Relations A Bagful of Knowledge Response Script Characters: Celdran : President Sunga : Applicant Navarro : Man, Reporter, employee 3 Lim : Woman, Reporter, employee 2 Gamboa : Organizer, Reporter, employee 1 Lao : Spokesperson/Technicals Proposed running time : 7mins. Set design : reality (office), re-enactment 1, re-enactment 2, re-enactment 3 Costume : business attire Things needed: Sounds Music Laptop Speaker Bangko Kimkim sign (2) Posters for the concert Presentation Flow * The president is not satisfied with what his bank have achieved, he will think of something deeply/ visualize/ dream / reflect. * Then, he will search on the internet about Public Relations. * The President will call the secretary to hire someone to “do the PR” for the bank. * The Secretary will post a wanted signage. * Experienced PR person saw the signage and he will be interested about it. * He will be applying for the job. (Note: two other applicants in line) the secretary will call his name. * Interview Session President : Good morning! Applicant : Good morning Mr. Celdran, I am applying for the position of Public Relations person. President : oh I see, can you tell me more about yourself? And just call me Mr. Miguel Applicant : I am a graduate from De La Salle University- Dasmariñas taking an extensive course in Public Relations. I join the first national PR conversity here in the Philippines...
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...Exxon Valdez and Tylenol Case Study DE LA SALLE UNIVERSITY - DASMARIÑAS Communication Arts Department Lawrence G. Rawl, chairman and chief executive of the Exxon Corpoation was in his kitchen sipping coffee when the phone rang and received the news regarding the spilling of crude oil into the frigid waters of Prince William Sound, just outside the harbor of Valdez, Alaska. What was about to happen was the worst environmental disaster in the history of the United States. These were the documented facts that media had portrayed across the United States and to the world: Exxon Valdez, a 978-foot tanker piloted by a captain whom later revealed to be drank, ran aground on a reef 25 miles southwest of the port of Valdez. The results caused a spill of 250,000 barrels, the largest spill ever in North America. The devastating results affects, 1,300 square miles of water, damaging some 600 miles of coastline and murdering as many as 4,000 Alaskan sea otters. The disaster also enshrined the name of Exxon in the all-time Public Relations Hall of Shame. (Seitel, 2000). According to the book, Exxon’s dilemma broke down into five categories. First was the hesitation of Mr. Rawl if he is going directly and personally to Alaska. In an interview Mr. Rawl has said, “We had concluded that there was simply too much for me to coordinate from New York. It wouldn’t have made any difference if I showed up and made a speech in the town forum. I wasn’t going to spend the summer there;...
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...are in a great crisis. Crisis need not strike a company purely as a result of its own negligence or misadventure. Often, a situation is created which cannot be blamed on the company - but the company finds out pretty quickly that it takes a huge amount of blame if it fumbles the ball in its response. One perfect example of this is that of Johnson & Johnson, and their response to the Tylenol poisoning back in the year 1982 when the company’s Tylenol medication commanded 35 per cent of the US over-the-counter analgesic market. Unfortunately, one individual succeeded at lacing the medication with cyanide. This caused the death of seven people which resulted into a nationwide panic about how widespread the said contamination may be. In the end of that certain incident, everyone knew that Tylenol was associated with the scare and J&J’s market value fell by one billion dollars as a result. History repeated for Johnson & Johnson. The incident reenacted itself in 1986, but the company has learned its lesson and is not willing to suffer the same consequences. It acted rapidly and recalled every Tylenol products from every market – not just those which are in the affected state. Not only that, the company also stated that the product would not be re-established on the market until something had been done to provide better product protection. Thus, Johnson & Johnson developed the “tamperproof” packaging that would make it difficult for a similar incident to occur in the future. Another...
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...I - Background Study EXXON VALDEZ CASE Companies would always be prone to crises and problems beyond their control. What makes a company stand; amidst all problems they are dealing with is how they deal with it. One of the greatest controversies during the 1980’s was the Exxon Valdez oil spill that happened on a reef in Alaska’s Prince William Sound. The Exxon Valdez ship had identified icebergs and decided to take a different route to get around them. Unfortunately the oil tanker crashed into shallow water, this area is actually called the Bligh Reef, but because of the hit the tanker had about 10 million gallons of crude oil into the reef.This catastrophe got the media’s attention, and Exxon’s response to the environmental damage they had caused was very unprofessional. The company completely refused to communicate openly and effectively. The CEO of the company, Lawrence Rawl even refused to be seen for almost a week. Efforts to contain the spill were slow and Exxon's response was even slower. Because of the lack of appearance from high profile personnel from Exxon and the lack of action from their company, it left the impression that the Exxon Corporation did not take this accident seriously. Exxon Valdez case became one of the classical case examples of a “not to do in handling with a crisis”. By the time, they started to do some action; their reputation is already tainted with negative comments from...
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...residents near the waters of Prince William Sound awoke to the catastrophe brought by the tanker Exxon Valdez spilling more than 10 million gallons of crude oil. This incident caught the attention of the public and received many and different criticisms. Eight of eleven cargo tanks were ruptured during the incident. ARLIS or Alaska Resources Library and Information Services with the help of Exxon Valdez Oil Spill Trustee Council released a collection of materials on Exxon Valdez Oil Spill. It included the following information: * The crude oil spread approximately 1, 300 miles. 200 miles were heavily oiled. The impact was obvious while the remaining 1, 100 miles were lightly or very lightly oiled. * Aerial observations were used to determine the size of the oil spill to give immediate response and clean-up activities. It includes the estimation of the thickness and volume of oil on the water. * Exxon spent more than $2.5 billion on clean-up expenses. * Caption Joseph Hazelwood was the captain of the ship, a senior officer. He was convicted of a misdemeanour charge of negligent discharge of oil, fined $50, 00 and sentenced to 1, 000 hours of community service. * Exxon was fined $150 million, it was the largest fine imposed for an environmental crime. The court forgave $125 million in acknowledging Exxon’s cooperation in cleaning up the spill. During the clean-up, Exxon hired thousands of workers through several companies. There were more than 11, 000 workers, 1...
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...[pic] DE LA SALLE UNIVERSITY – DASMARIÑAS Communication Arts Department REACTION PAPER: JOHNSON & JOHNSON AND EXXON VALDEZ Submitted by: MARK ABELARD ARIAS BAUTISTA Submitted to: Prof. ROEL S. RAMIREZ, APR July 12, 2012 1/9 I. Background Information/ Additional Perspectives Johnson & Johnson: Tylenol Tylenol known as a kind of pain reliever also known as Acetaminophen and it may be used even without physician’s prescription. This pain reliever became controversial when an issue involving seven death people, cyanide, and Johnson & Johnson broke out on September 1982. In print, more than 125, 000 stories appeared describing the said issue. Johnson & Johnson is well-known industry in terms of health, medical devices, biological studies and pharmaceutical field. Way back on1960’s , Tylenol ended the almost a score dominance of P&G’s Crest toothpaste after being recognized as biggest-selling item in drug, food, and mass merchandising outlets. Focusing with the 1982 Johnson & Johnson’s Tylenol issue, many business analysts predicted that the said issue would be detrimental for Johnson & Johnson’s perception from the public. In print media alone, 125,000 stories published regarding the Tylenol issue. Due to that eventuality, Johnson & Johnson decided to recoil the product within just six months to reclaim 30 % of the market. In spite of being sensational, suspects 2/9 had not...
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...I. Background Information/ Additional Perspectives A. Exxon Valdez Oil Spill March 24, 1989 marked the date of the largest oil tanker spill in the history of United States as the tanker Exxon Valdez spilled 11 million gallons of oil into Alaska’s Prince William Sound. This incident put Exxon into a crisis as it made the Alaskan region into a worldwide symbol of environmental chaos. The enormity of the ecological ruin and the phenomenal task of cleanup caught the attention of the many nations. Many workers and volunteers flooded the area for its restoration which required extensive labor and $2.1 billion of Exxon funding. The crisis is blamed to the following reasons: the faults were Exxon’s inadequate equipments on the ship and the insufficient number of trained members. Another thing is that a crew was unable to maneuver the ship properly due to exhaustion with work aboard. It was also traced that Captain Joseph Hazelwood was under the influence of alcohol which was the reason why he cannot give proper instructions to the staff. Hazelwood's activities in town and on the ship are the main focuses of the investigation. This also became the basis of widespread media sensation. Indeed, Exxon’s reputation suffered severely. Some Public Relation Practitioners said that Exxon seriously worsened the damage to the public due to its slow and insufficient responses. Exxon also failed to establish itself as a company concerned about the problems it had caused....
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...In 1989, Exxon Corporation caused one of the worst environmental disasters. The oil tanker Exxon Valdez spilled 250,000 barrels, an amount equal to more than 10 million, into the waters of Alaska’s Prince William Sound after striking Bligh Reef at approximately 12:04 a.m. on March 24. The spill eventually covered 11,000 square miles of ocean and coated 1,300 miles of coastline. Shortly after the incident, different media piled in to begin extensive coverage often pointing out Exxon’s corporate irresponsibility. Company’s efforts to contain the spill were not good enough and slow but Exxon’s response was even slower. In addressing the problem, it tool company officials 10 hours after the accident to deploy booms that will contain the spill. Company executives refused to comment on the accident for almost a week and refusing to acknowledge the extent of the problem. In addition, statements made to the press by high-ranking executives were often inconsistent and contained contradictory information making the press question the credibility and truthfulness of Exxon. After the Exxon Valdez ran aground, the company conducted all its communication from the small town of Valdez, Alaska. This area proved inadequate, having only limited communication capabilities. Exxon seemed unwilling to disseminate its information using any other method or location. But the biggest criticism the company received was the fact that CEO Lawrence Rawl waited nearly six days to make a public statement...
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...DE LA SALLE UNIVERSITY – DASMARIÑAS Communication and Journalism Department CASE STUDY ANALYSIS: EXXON VALDEZ OIL SPILL Submitted by: Chaira Mae C. Aguilar Submitted to: Prof. ROEL S. RAMIREZ, APR January 11, 2016 I. SUMMARY and SYNTHESIZE In March 1989, the oil tanker Exxon Valdez underwent an accident in Prince William Sound in Alaska. This accident resulted in a massive oil spill, where more than 10 million gallons of crude oil leaked into the sea. Exxon’s problems were worse by its lack of preparation and bravery in dealing with the situation. Lawrence Rawl, CEO, stayed out of the public view for almost a week after the incident happened. After a meeting, he faced the demonstrators and stakeholders. He took all the responsibility and promised an investigation. Facts According to Office of Response and Restoration, with this banishment institutionalized in U.S. law, Exxon Shipping Company shifted the operational area to the Mediterranean and Middle East and renamed it. In 1993, Exxon spun off its shipping arm to a subsidiary, Sea River Maritime, Inc., and Exxon Mediterranean became the Sea River (S/R( Mediterranean. In 2002, the ship was re-assigned to Asian routes and then temporarily mothballed in an undisclosed location. According to The Whole Truth, Exxon, along with the rest of the oil industry knew that navigating a large supertanker through the icy and treacherous waters of Prince William Sound was extremely complicated. Armed with this knowledge...
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...TermPaperWarehouse.com - Free Term Papers, Essays and Research Documents The Research Paper Factory Join Search Browse Saved Papers Ads by videosaverAd Options Home Page » Business and Management Case Study In: Business and Management Case Study Case Study MTV Arabia Challenges and Strategies Case Study MTV Arabia Challenges and Strategies MTV network or music television is a worldwide brand which produce music channels and different programs, Located in America in New York States. Lunched on August, 1981 the channel was about playing music videos along with music news, interview and promotion 24 hours a day and 7 days a week. MTV's demographic targets were young adults and teenagers. MTV network start to expand their work by adding new programs such as reality programs, animated programs, rebroadcast programs……ext. And also they expand their network outside America by lunching multiple native languages of MTV channels to countries around the world by providing programs with localized contents, for example MTV has channels in Europe, Asia, Africa, Australia and Middle east or MTV Arabia, which is a shared project between Arabian television network located in United Arab Emirates which is a part of Arab Media Group the largest media group in UAE and MTV network. The channel was launched on November 17.2007. The channel plans to be a stage for young Arab adults, revealing their...
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...Relevant facts Company specialized in cable and small-bore pipelaying technology Started as a technical division to a major utility Competitive edge gained by its “mole” excavating tools 21 emplyess and over €4,000,000 Electrical and gas bills provide the core of business Questions 1. Analyze the problem presented by the client. Can Alan's problems be re-presented as opportunities? Alan’s problems can be presented as opportunites due to the lack o interest in his work team. He could do something to motivate the team (extra pay, bonus or bigger salaries) so the team can start working on the new action plan Questions 2. Formalise four objetives to protect Make a meeting with all the emplyees, have a motivational talk and see others opinions about the new plan. Explain how the business can grow with new technologies and explain that the company is not going to grow unless the employees chip in their part too. Start researching for information that could lead to new contracts Formalize all new incoming plans. Questions Consider what problems might emerge in reconciling the clients objectives with your own as a consulting team. There could be several problems with the clients objective, the first and foremost that we can think of is a situation where a client asks Exconom to do a job that our employers are not trained to complete, making the consulting team look unprepared. Major problems to solve Bad attitude around the work team The...
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...Faculty of Economics Seminar paper on the subject: English 4 Crisis management June, 2012 Crisis management is the process by which an organization deals with a major event that threatens to harm the organization, its stakeholders, or the general public. The study of crisis management originated with the large scale industrial and environmental disasters in the 1980. Three elements are common to most definitions of crisis: (a) a threat to the organization, (b) the element of surprise, and (c) a short decision time. Venette argues that "crisis is a process of transformation where the old system can no longer be maintained." Therefore the fourth defining quality is the need for change. If change is not needed, the event could more accurately be described as a failure or incident. In contrast to risk management, which involves assessing potential threats and finding the best ways to avoid those threats, crisis management involves dealing with threats before, during, and after they have occurred. That is, crisis management is proactive, not merely reactive. It is a discipline within the broader context of management consisting of skills and techniques required to identify, assess, understand, and cope with a serious situation, especially from the moment it first occurs to the point that recovery procedures start. Introduction Crisis management consists of: * Methods used to respond...
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...213-255_Trevino_08p4.qxd 6/21/06 5:18 PM Page 213 PA R T IV ETHICS AND THE ORGANIZATION 213 213-255_Trevino_08p4.qxd 6/21/06 5:18 PM Page 214 CHAPTER 8 ETHICAL PROBLEMS OF ORGANIZATIONS INTRODUCTION In the third quarter of 2002, the Brookings Institution, a Washington, D.C., think tank, estimated that the corporate scandals that began with the Enron debacle in late 2000 would cost the U.S. economy $35 billion. That is the equivalent of a $10 increase per barrel of oil.1 It is, in a word, staggering. And we may not have seen the end of it. Long before Enron’s collapse, a number of business ethicists and business professionals watched with concern as Wall Street analysts demanded increasingly strong corporate financial performance to support rising corporate stock prices. At the same time, the gargantuan compensation packages (including stock options) of the top executives running these companies became inextricably linked to their companies’ stock prices. In 1990, average CEO pay at major corporations was 107 times the pay of the average worker. By 2004, CEO pay had risen to 431 times the pay of the average employee. (If the pay of average workers in the United States had risen as fast as CEO pay, the lowest paid workers would be earning $23.03 an hour, not $5.15 an hour.)2 It was an “accident” waiting to happen, although everyone was making so much money in the market that no one wanted to admit that something could be fundamentally...
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