True Confessions

There are a few things going on these days which sort of got connected in my mind this morning. As you read this you’ll probably go “duh, it took him way too long as usual” but I’ve been trying not to jump to conclusions so I may seem a little slow. The three things are the gulf oil spill, the Goldman hearings, and the coal mine tragedy and while they’re very different things, I think at their cores is exactly the same behavior.
Let’s take them in chronological order. The issue Congress brought forth in their hearings with Goldman Sachs is that in a nutshell the firm was highly responsible in protecting the firm’s interests and irresponsible in offering the same protection to its customers. I’m sure you’ve heard all the details and they probably make your head hurt but in the words of the AP story about the latest lawsuits:

Goldman’s filing notes that the litigation by shareholders makes claims against the firm and its executives of “breach of fiduciary duty, corporate waste, abuse of control, mismanagement and unjust enrichment,” and also challenges the accuracy and completeness of its past disclosures. The shareholders are seeking damages, restitution and corporate government reforms by the firm.

Putting the company ahead of the customers and then trying to explain it away with no admission they screwed up. That’s one. Next up: Massey Energy, which had a coal mine explode on them at the Upper Big Branch mine. Even if the records are exaggerated, there were clearly some issues with safety and that’s only explained by putting the company’s interests ahead of the miners’. The CEO has been hiding for the most part and has yet to display true compassion for the suffering of the families and community. That’s two.
Finally, There’s BP. Despite telling everyone on the Gulf Coast that major accidents could not happen, one has. Yesterday, BP’s CEO, who to his credit has been visible and properly remorseful said:

“BP is responsible for this leak. BP will be paying the bill,” said BP chief executive Mr Hayward, who also claimed drilling firm Transocean was responsible for equipment failure that caused the spill. Transocean said it would “await all the facts before drawing conclusions” (emphasis added).

I get the liability issues but BP has spent an awful lot of money in marketing over the last few years explaining how it is “beyond petroleum” and environmentally friendly. It’s not running from the tragedy – there is a special section and lengthy coverage on the corporate web site. It accepts responsibility  – makes its confessions, if you will – and does so publicly. Why damage that by trying to pass the blame, even while accepting clean-up responsibility – to someone else? Even so, compare BP’s public response  with the first two cases. Which example do you think works the best?