Date Published: 
08/15/2011

Upon the breaking scandal of the News of the World, Rupert Murdoch gathered ‎some leading experts to help him successfully navigate the unfolding crisis and ‎the big mess. Alex Bigg and James Lundie from Edelman, the world's biggest PR ‎firm, and Steven Rubenstein from Rubenstein Public Relations, a fixture in New ‎York communications, are among the team members. The team was led by Joel ‎Klein, who once headed the U.S. Justice Department's antitrust unit, and ‎Matthew Anderson, who runs News Corp's strategic affairs. All big names to ‎fight the big fire.‎


From this group of advisers came the suggestion late last week that Murdoch sit ‎down with and apologize to the parents of murdered schoolgirl Milly Dowler, ‎whose phone was hacked by his now-shuttered Sunday tabloid, News of the ‎World. The very same group also prepared him for the hearing at the British ‎parliament.‎
Now after the paper is down, will it be enough for a quick recovery and cleaning ‎the mess?‎

 

Risk Management Perspective: 

Crisis management is, with little doubt, very important. So why do many ‎executives do so little so late, when the crisis is in full bloom.  Murdoch ‎assembled a first class team to help him dealing with the crisis, but it was just a ‎week before his hearing in front of British lawmakers. ‎


We can often prepare ourselves for the next crisis even before it erupts. Careful ‎planning and attention can sometimes even help us to defray the crisis even as ‎it is starting. Had Murdoch and News Corp started preparing several years ago ‎for this ever-so-evident looming risk, the story might be different today.

Industry Group: 
Large Enterprises
Industry: 
Entertainment
Country: 
United Kingdom
Risk Class: 
Strategic
Risk Type: 
Reputation
Risk Type: 
Political
Risk Type: 
Ethical Tone
Risk Type: 
Board Risk Processes

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