From a Reuters report: “What makes the mistakes even worse, is that BP should have been well placed to mount a world-class crisis PR effort.

“The firm had almost unlimited resources. Its chairman was a media-savvy former telecoms CEO. And its head of public relations, Andrew Gowers, was a former editor of the Financial Times, and one-time Reuters reporter, with recent experience of crisis management: Gowers headed Lehman Brothers PR team during its collapse, although the rapidity and breadth of the banking meltdown was such that no amount of PR could have saved the bank.

“Yet the oil giant had a key shortcoming.

“BP’s British CEO had never held a position in the United States, its Swedish chairman had limited U.S. experience, and Gowers’ only stint working in the United States was his few months with Lehman.

“Hayward exacerbated his lack of U.S. savvy by choosing another Briton, Alan Parker, head of the UK’s largest financial PR agency, Brunswick, as his external PR adviser. It wasn’t until late May before the company appointed a heavy-hitting U.S. PR representative — Dick Cheney’s former spokeswoman, Anne Kolton.

“The lack of local knowledge hurt BP in those first few weeks. U.S. executives say that it is difficult for European executives, especially those who haven’t spent a long time working in the United States, to understand the combatative political landscape there.
“In Europe, the attitude would be much more, ‘the company is the only one who can solve the problem, so what do we need to do to help the company to get it sorted?'” said Patrick Dunleavy, a professor of political science at the London School of Economics.
“The company didn’t adequately gauge how much backlash there would be and how quickly it would be … that was a really bad piece of risk management,” he added.”

Advertisements