Ripped from the Headlines: Shilling for Drilling

2013-04-01 Ripped from the Headlines-ShillingforDrilling_edited-1While we like the headline, the real story rises above the surface of the hydraulic fracturing “fracking” controversy and the takeaways have everything to do with corporate integrity, reputation, social responsibility, the public trust and full disclosure.

To recap, a New York newspaper featured an article by former Pennsylvania Governor Ed Rendell, which touted the benefits of fracking. When initially published, neither Rendell nor the publication disclosed Rendell’s compensation, role and ties to the fracking industry. Following an investigative report by ProPublica, an independent nonprofit newsroom, the paper has since added the following footnote to the online version of the commentary:

Rendell is the former governor of Pennsylvania. EDITOR’S ADDENDUM: Rendell is a paid consultant to Element Partners, a private equity firm with stake in a number of energy companies, including hydrofracking/natural gas interests. This information was not disclosed at the time his op-ed was submitted to the News. 

According to ProPublica, Rendell has been a “vocal supporter” of fracking, which is indeed troubling, given his proclivity not to disclose the ties that bind and compensate. Many now view his credibility as a public servant and thought leader severely minimized and his nondisclosure as a paid fracking consultant a sure-fire backfire for related companies once thought to benefit from his public profile.

Also troubling are the companies that risk their reputations, damage their integrity and take the public’s trust for granted. Are they not aware of the new normal? Do they think the Digital Age is not in play? All it takes is a tweet, post, share, content and a crowd. Mainstream and social media are being used in creative and sophisticated ways to draw attention to issues and to mobilize opinion. Make no mistake, a company’s commitment to social responsibility, transparency, accountability, consistency, professionalism, ethics, culture and operations is no longer relegated to an annual report, it is front and center in real-time engagement.

What can large and small businesses and organizations learn from Rendell’s fracking debacle?  Here are a few takeaways to guide the development of an effective media relations and reputation management program:

  • Do you know your audience, stakeholders, brand advocates?
  • Is your corporate brand aligned with your product brand?  Remember, the apple never falls far from the tree.
  • Have you identified and targeted your media audience: journalists, bloggers?
  • Are your brand ambassadors vetted and media trained?
  • Are you conveying your key messages over a cross-section of platforms and outlets (remember quality, not quantity) in an honest, genuine and transparent manner?
  • Are you prepared to lift the veil and engage openly?
  • Do you have a process to monitor, join and respond to conversations about your reputation and brand?
  • Are your words and deeds commensurate with your policies and actions?
  • Are you thinking globally? Take heed, in the new normal, nothing is local anymore.

Rendell’s action, or lack thereof, certainly cast an unintentional veil over the volatile public issue of natural gas drilling. Whether or not you stand on the side of economic and energy benefits or the side of environmental and health detriments, the public has a right to know the truths, untruths and influence of paid content and spokespersons. We encourage you to learn more about this debate and judge for yourselves. Let us know what you think.

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