When management can’t agree, the Board often must step in and make the decision. That is, after all, why the Board is the ultimate boss and has the final word.
Even when management does agree on a plan, the Board must sign off on major decisions. And those decisions aren’t taken lightly.
Long gone are the days when Boards were passive rubber stamps. Board members today are keenly aware of their individual liability, and they keep a tight grip on the reins.
In today’s hyper-sensitized environment, finding the right path is tricky.
Someone (or some group) will always be unhappy. The question of what to do isn’t simply a matter of management. It’s a matter of controlling the optics — how an issue is perceived and how the decision is communicated.
Your best intentions can be quickly undermined. By insensitive messaging. By a misinterpretation of your intent. By an ill-chosen word or sense of uncertainty. By a perception you’re disengaged or uncaring when empathy is required.
Take the case of Disney and sexual harassment allegations involving the long-running, popular, and highly profitable “Good Morning America” news show on its ABC network. The head of the ABC News division (a woman) insisted an outside investigation was imperative. Her boss, Disney’s head of all entertainment content (a man), said it’s unnecessary. Where that dispute will end is uncertain.
For more tips like these, check out A Board Member’s Guide to Crisis PR: Protecting You & Your Organization’s Reputation.
Issues that come before Boards aren’t limited to sexual harassment, though those are frequent.
There also are sticky contract disputes, complaints of improper educational ambiance or inadequate healthcare, controversies over diversity and equity, and the list goes on and on.
Each issue comes with a selection of avenues that could be taken. Each has its own challenges, is burdened with its own sensitivities, and often has its own embedded audiences. The Board and its advisory team of outside professionals must weigh the risks of each option.
Sometimes there’s a clear winner. Other times, none are desirable and you’re left choosing what New York Times bestselling author Elizabeth Gilbert would call a “shit sandwich.” No matter which way you go, it will be distasteful and you face lousy side effects.
There is no “one-size-fits-all” solution. Figuring out what will work — or at least be less bad — is more art than science.
Gillott Communications is a Los Angeles-based public relations firm that specializes in high-stakes Crisis & Reputation Management with more than 50 years of expertise in strategic communications, corporate public relations, and working with the media.
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