Six More Things About the Boeing 737 MAX Crisis

“The crisis drags on” is about the last thing an organization wants to hear. But that is what’s happening at one of the world’s most venerable companies. Unfortunately, the manner in which Boeing is communicating – or not – has become its own news story.

The all-too-familiar drip, drip, drip of bad news is a classic “Don’t” in crisis circles. New and shocking revelations in the past few days have added to the tragic mess, which started last October with the crash of Lion Air 610. Boeing’s decision to base a critical flight system on a single sensor and a report that defective parts were installed in hundreds of planes are keeping the still unfolding story front-and-center in the minds of investors, the FAA and sister agencies around the world, current and future aircraft customers, and the flying public.

Apologies go hand-in-hand with crises and, while there have been hundreds of articles, reports and analyses on the 737 MAX crashes, I have a few additional observations to share on how Boeing is saying sorry using my 6 A’s model:

Acknowledging something has happened. It was impossible to deny the loss of 346 lives in two crashes. But in the days following the tragedies, Boeing claimed the 737Max was safe and the MCAS (the Maneuvering Characteristics Augmentation System, which caused the planes to lose control), was "certified." This creates an astounding dissonance: While the fleet is stilled grounded, they're continuing to work furiously on an MCAS software fix. It took weeks for Boeing to say, “We own it.” Score: 5/10

Authentic expression of regret. Initial statements and testimony placed some blame on pilot training. Then CEO Denis Muilenburg said weeks later, "We at Boeing are sorry for the lives lost in the recent 737 MAX accidents. These tragedies continue to weigh heavily on our hearts and minds, and we extend our sympathies to the loved ones of the passengers and crew on board Lion Air Flight 610 and Ethiopian Airlines Flight 302." My friend Helio Fred Garcia, president of Logos Consulting Group, said: "Trust didn't fall because two of its plane crashes. Trust fell because they were seen to be indifferent." Score: 5/10

Appropriate tone and language. As pointed out above, this is the tale of two phases, two apologies. Following the accidents, the tone-deafness was jarring. The later statement and corporate video seemed to make up some ground but it was sprinkled with jargon like “MCAS” and “erroneous angle of attack information.” And Mr. Muilenburg fell into the “me” trap when he said, “I cannot remember a more heart wrenching time in my career.” Score: 6/10

Acceptable venue. One gets the sense that Boeing is being dragged into its apologies and has failed to rapidly, proactively face its publics. While public statements and videos are becoming normalized, they fail to come face-to-face with those affected. It reinforces a wall of separation and does not allow interaction or engagement. Score: 6/10

Acting in the right timeframe. The video apology came 26 days after the second crash – Ethiopian Airlines. Enough said. Score: 6/10

Announcing next steps. Boeing said initially that they were “humbled” and “learning.” It was honest but not terribly reassuring or instructional. Saying they will “deliver airplanes to airline customers and to the flying public that are safe to fly” is like Starbucks saying they’ll serve coffee that’s safe to drink. Boeing finally came around and said they "will ensure accidents like that of Lion Air Flight 610 and Ethiopian Airlines Flight 302 never happen again… top engineers and technical experts [are] working tirelessly" and that they will give pilots "training and additional educational materials." Score: 6/10

The 6 A’s rubric weights the elements differently. So, my overall score – and you may certainly have a different evaluation – works out to 55/100. An “F.”

Apologies – good ones, bad ones – have real consequences. Boeing’s behaviors have broken trusts, damaged its reputation, slowed sales, harmed valuation, and created fear. But I know they'll make it back. They’re fundamentally, historically a good company making good products and time will muffle the damage. But it’s been an unnecessary, destructive, lengthy episode. I hope something instructive can come from all the loss.

Four Steps to Save $69 Million

For some industry watchers, it was only a matter of time. Former Fox star Megyn Kelly crashed at NBC. Media analyst Bill Carter said network executives might have been blinded by "glamor glare. That's the effect that sometimes emanates from a glowing-hot-on-air talent. It can lead to temporary loss of vision." It's been reported that Kelly's position in NBC's blindspot may cost up to $69 million.

After CNN posted “Megyn Kelly was never a fit for NBC” in a headline, I began to think about how one should counsel management. How do you cut down the “glare” and improve the ability to peer into blindspots?

It’s clear that one can’t hope and wish for good intentions to pay off. There’s work involved. “We need to use both the gut and analytical approaches to decisions, particularly for high-stakes stuff. And we need to do analysis well,” said Ken Shotts, professor of Political Economy at the Stanford Graduate School of Business speaking on matters unrelated to Kelly. Neil Malhotra, another professor of Political Economy at Stanford added, “Very high-functioning people don’t often understand that they use their intellect to rationalize their gut.” 

So, pulling from my mostly successful track record in building teams, here are four filters for evaluating job candidates:

1.   Find a Cultural Fit. Team members need to share values, and a common commitment to the mission and vision of the organization. It does not mean hiring clones. Diversity of background and diversity of thought adds important perspective and helps sharpen ideas.

2.   Ensure Brand Consistency. While every team member is an ambassador, high profile individuals have a larger impact on the organization’s brand. Carter reported that network’s top news executive, Andrew Lack, “seemed seduced by the idea of stretching the appeal of NBC News.” There’s a big difference, of course, between stretching your connection – or modifying the organization’s identity – and breaking it. Obviously, Kelly’s scandalous racial comments crossed an undeniable line.

3.   Understand the Difference Between Aptitude and Intelligence. Kelly is smart – no question. Carter, who said she was “icily appealing on Fox News as a solo act,” was a flop when pushed “to emulate Oprah Winfrey by playing warm and wise.” I’m sure we can all point to capable people who floundered in the wrong environment.

4.   Avoid Groupthink. Groupthink is not just thinking in groups. Dr. Irving L. Janis, as a research psychologist at Yale in 1971, said it’s “a mode of thinking that people engage in when they are deeply involved in a cohesive in-group, when the members’ striving for unanimity overrides their motivation to realistically appraise alternative courses of action.” Bottom line: Avoid yes-people and allow alternate, even unconventional, views to be aired.

The consequences of overlooking these steps can be devastating. And I don’t only mean the $69 million “oops” in the Kelly case. There could be anything from grousing and low productivity to reputational damage and loss of business.

It’s true that people make or break an organization. Rushing a decision to fill the box is a mistake. It’s essential to take the time to plan, assess, and question when building a cohesive, ethical, high performance team.

Between posts, I invite you to follow me @pauloestreicher.

Camelot Wisdom: 10 Leadership Lessons from King Arthur’s Court

I am sharing 10 bits of “Camelot Wisdom” to commemorate the publication anniversary of Camelot, Inc.: Leadership and Management Insights from King Arthur and the Round Table. Not all of the actions and words from Camelot were examples we should follow, of course; there were many instances of what not to say or do. But this collection of 10 quotes from the legends (of the 150 in the book) holds strong relevance for us today. As Winston Churchill said, “The further backward you look, the further forward you can see.”

“He favours the young knights, and tries to help them win the spurs.”¹ Help others realize their potential. Coaching, teaching and mentoring must not be an optional activity for leaders.

“Learn why the world wags and what wags it.”² Having empathy - understanding and feeling what others feel - delivers competitive advantage. People want to advocate, work or vote for those who take an interest in them, and feel their pains and successes.

“But when men be hot in the deeds of arms oft they will hurt their friends as well as their foes.”³ Without maintaining calm and perspective in times of crisis, a lack of clear, considered thinking leads to poor decision-making and unintended consequences.

“I didn’t want to be conscious of it. I hoped that if only I was not quite conscious of everything, it would come straight in the end.”⁴ We must confront the hard, awkward issues. Denying reality may sometimes be required to maintain sanity but move past the anticipation and anxiety to address problems and opportunities.

“The destiny of Man is to unite, not to divide. If you keep dividing you end up as a collection of monkeys throwing nuts at each other out of separate trees.”⁵ It can’t always be all-or-nothing; we should celebrate incremental advances. Communicate and engage with others to find common ground and compromise.

“I don’t think things ought to be done because you are able to do them. I think they should be done because you ought to do them.”⁶ There is importance in declaring your Mission, Vision, and Values; define and articulate objectives, direction, and principles. We can do well AND do good.

“Merlin made the Round Table in tokening of the world…”⁷ Round was more than a shape; the Table became a brand. It was a symbol of excellence. It enhanced communication and collaboration, and hosted a diversity of old and new – those with institutional knowledge and fresh ideas. Value was placed on the "roundedness" of people and teams.

“…many speak behind a man more than they will say to his face.”⁸ Behavior matters. Gossip leads to rumors, which lead to a breakdown in trust and organizational culture. Ensure the flow of good, timely information. Set an example and have the character and ethics to correct others.

“…you couldn’t get unless you gave. And you had to give without wanting to get.”⁹ One must not think of helping, contributing or doing good as a zero-sum game. We need a mindset, a culture of helping others to succeed – it strengthens everyone.

“Only fools want to be great.”¹⁰ Greatness is not an objective; it’s an outcome of planning, doing, giving and achieving. Leaders know the audiences/stakeholders they serve are the judges. They further those agendas above their own, and must have the vision to unify purpose and people.

There’s much more in the book, of course, but it’s clear that the trials and tribulations of Arthur and his court have much to teach the people, corporations, institutions and governments of today.

This article also appears in Medium. I invite you to follow me on Twitter @pauloestreicher.

1.     T.H. White, The Once and Future King, (1939-1958); Ace Edition (1987), p. 554.

2.     Ibid., p. 183.

3.     Ibid., p. 416

4.     Ibid., 579.

5.     Ibid., p. 231.

6.     Ibid., p. 246.

7.     T. Malory, Le Morte D’Arthur, (1469); Modern Library Edition (1999), p. 691.

8.     White, The Once and Future King, p. 347

9.     Ibid., p. 464.

10. Ibid., p. 180.

Stop “F”ing Up Your Apology

I’m betting more has been written about apologies in the last three months than in the last three years. An overdue societal reckoning of pervasive sexual misconduct has helped to fuel this revved up release of regret.

With so many examples, one would expect that apology statements have grown more refined and delivered in more meaningful ways. Unfortunately, we all know little has changed and I’m not even addressing the many outright denials of wrongdoing that demand apologies.

One of the classic non-apology apologies is back in the news, with new talk about the authenticity of the infamous 2005 Access Hollywood tape leaked before last year’s presidential election. One of the remarks candidate Trump made was: “I apologize if anyone was offended.”

We’ve seen other forms of this statement over the years: If I offended you… If I hurt you… If I said something insulting…

It’s the “f” in “if” that is “f”ing up these apologies. People need to have the courage – to be accountable – and change the “If” to “I”.

And let’s not get cute with the language. We need to be declarative.

Glenn Thrush of The New York Times said, “I apologize to any woman who felt uncomfortable in my presence, and for any situation where I behaved inappropriately. Declarative, yes, but it’s still a non-apology. “Any woman”? “Any situation”?

Apologies need to adhere to the 6 As:

1.     Acknowledging something has happened. If there’s no acceptance of responsibility, there’s no foundation on which to build a future relationship.

2.     Having an Authentic expression of regret. Remorse must be heartfelt and real – something to which the audience can feel and connect. 

3.     Using Appropriate tone and language. The mood, tenor and words must fit both the person apologizing and the audience for which the apology is intended.

4.     Choosing an Acceptable venue. Location determines who and how many will receive the message, and will help set the tone of the apology.

5.     Acting in the right timeframe. A delay or hesitation could result in mounting suspicion and a missed opportunity to correct the situation. 

6.     Announcing next steps. Demonstrating how the offense won’t be repeated can be vital in rebuilding trust and reputation.

We’re seeing many other ways people are undermining their apologies, beyond what Harry Shearer has called the "ifpology." I have recounted many of these in other writings and lectures but here are two popular dodges that are popular now:

The “I Don’t Remember” Apology.

Geraldo Rivera: “Although I recall the time @BetteMidler has alluded to much differently than she, that does not change the fact that she has a right to speak out & demand an apology from me, for in the very least, publically embarrassing her all those years ago.”

Russell Simmons: “While her memory of that evening is very different than mine, it is now clear to me that her feelings of fear and intimidation are real."

Al Franken first told reporters: "I certainly don't remember the rehearsal for the skit in the same way, but I send my sincerest apologies to Leeann.” However, a later statement attempted to clarify the message: "The first thing I want to do is apologize… There's more I want to say, but the first and most important thing—and if it's the only thing you care to hear, that's fine—is: I'm sorry.”

The “Yes, But...” Apology.

Charlie Rose: “I have behaved insensitively at times, and I accept responsibility for that, though I do not believe that all of these allegations are accurate.”

Matt Lauer: "Some of what is being said about me is untrue or mischaracterized, but there is enough truth in these stories to make me feel embarrassed and ashamed.”

Mark Halperin: “Some of the allegations that have been made about me are untrue. But I realize this is a small point in the scheme of things.”

Benjamin Franklin said, “Never ruin an apology with an excuse.” It’s still great advice.

This article also appears in Medium. I invite you to follow me on Twitter @pauloestreicher.

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