Crisis Management in the Democratic Party: A Case Study that is Still Being Written
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Crisis Management in the Democratic Party: A Case Study that is Still Being Written

Today's second topic is Stakeholders vs. Shareholders – Is This a False Premise Choice?

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Before reading, I ask readers to look beyond their political affiliations and consider the crisis response lessons we can all learn by studying what is happening in the Democratic Party.? I will admit to being a politics nerd.? I watch conventions.? Most are bland.? I remember the chaos of 1968.? I remember the 1972 Democratic misstep when they had to replace their VP candidate.? I took a special interest in 1976 because, when I was a college freshman, I was a precinct chairman for President Ford.

The Democratic party is in the midst of a crisis management response.? Many saw the risk that was laid bare in the June 27 Biden-Trump debate.? In barely a month, the party had done the unprecedented and changed candidates less than 100 days before the election.? Bruce Mehlman explores A Campaign Reimagined in the August 18 edition of Six Chart Sunday. ?(I will admit that I am a bit of a politics nerd and always watch the conventions.)

The campaign has shifted its approach to voter outreach. ?Harris is redefining how the party portrays Trump. ?The central message has moved from "Save Democracy" to "Save The Middle Class." They are pivoting from "Steady, Reliable, Experienced" to "Fresh, New, Change." In addition to reaching out to traditional audiences, the DNC is aggressively courting Republicans who feel marginalized, with Trump leading the party.

The early results are favorable. ?Poll numbers show Harris within easy striking distance in several key battleground states, and fundraising has exploded. ?This week's Democratic Convention has put enthusiasm center stage, but the speakers are reminding supporters that the election is far from over.

The DNC's production was outstanding. ?They tapped into newfound enthusiasm and turned the convention into a party.? They even found a way to make the roll call fun.

There was a dark side. ?Several people posted negative comments about Ella Emhoff and Gus Waltz's shows of affection and pride. ?Many of the posts about Waltz were later taken down with apologies because people did not know he had a learning disability. ?This qualification implies that the bullying would have been okay otherwise. ?There is a long tradition of keeping candidates' young children out of the spotlight.? Hopefully, this is not a permanent change.

This story is still being written. ?The Republican response will be interesting to watch.

Boeing is in the midst of its own crisis.? The 737-MAX crashes were a crisis some saw coming.? During the subsequent investigation, it was clear that some Boeing employees raised concerns that were downplayed.? Boeing is still struggling with the fallout.? In 2025, the firm will name its third CEO in five years.?

Boeing's issues go far beyond the 737-MAX. ?The Starliner space capsule is stuck at the ISS due to technical problems, and two other planes, the 787 and 777X, are also being scrutinized.? One unfortunate result is that Boeing is becoming a punchline.


Las Vegas Review-Journal via Politico

The issues at Boeing remind me of what happened at Alcoa when Paul O'Neill took over as CEO of Alcoa.? He surprised many when he focused on improving workplace safety in his first meeting.? Many questioned his belief that safety would drive improved corporate performance.? The success of this thinking was examined in The Power of Habit by Charles Duhigg.

After a year, Starbucks is replacing its CEO in an attempt to prevent manageable problems from becoming a crisis.

The stories for Boeing and Starbucks are also far from over.? However, in the early days of the response, the DNC appears to be making effective decisions.

Related Articles

Kamala Harris Reignites Voting Enthusiasm Among Democrats | Statista

A Tale of Two Role Calls | MSNBC

Navigating a New Gilded Age: Bruce Mehlman | Mehlman Consulting vka YouTube

Nielsen ratings are in: DNC demolishes RNC in nightly viewers | AlterNet

The DNC Is Officially the Influencer Convention | Wired

Yes, party conventions matter | ABC News

Gus Walz broke the internet with his tearful love for his dad.? Then the bullying began. |USA Today

Boeing Official Says He's Not Surprised Company's Starliner Spacecraft Got Astronauts Stuck in Space | The Byte

BOEING CEO HISTORY | History Oasis)

Boeing CEO to step down in broad management shake-up as 737 Max crisis weighs on aerospace giant | CNBC

Boeing has new problems with 2 different planes | Quartz

Two way too early opinions about what will happen at Starbucks.? Inc. magazine says the change is great.? Fast Company says it is the death of what made Starbucks cool.

The New CEO of Starbucks Promises a Rare Leadership Style That Should Make Its Employees and Customers Very Happy | Inc.

Starbucks once wanted to be your hangout.? Its new fast-food CEO means the death of that dream | Fast Company

Stakeholders vs. Shareholders – Is This a False Premise Choice?

Five years ago, the Business Roundtable published its?Statement on the Purpose of a Corporation. ?The statement argues that companies should act in the long-term interests of "all of our stakeholders"—including shareholders, customers, employees, suppliers, and the communities where they operate.? In a recent article, the group has reaffirmed its commitment to this idea.

Nobel Prize winner Milton Friedman was the first to argue that a company's only responsibility was to increase shareholder value and that companies have no social responsibilities to the public or society.

I find this thinking to be self-defeating. ?If companies do not consider the wants and needs of customers, employees, partners, and their communities, they ultimately compromise the long-term future of their business.

I would not be surprised if the focus on quarterly and annual results and stock price laid the foundation for Boeing's troubles.

I wrote about this in December 2022.

The Role of the Modern CEO | The Leaders Journey?? LinkedIn

The Role of the Modern CEO | The Leaders Journey? Medium

In my opinion, shareholders vs. stakeholders is a false choice because without stakeholders there would be no shareholders.

Related Articles

Five Years On: Corporate Purpose and Profit | Business Roundtable

Friedman doctrine | Wikipedia

What I'm Up To

We visited friends in Santa Fe, New Mexico, and had a great time. ?We played golf on three excellent courses: Black Mesa, Sandia, and Twin Warriors. ?We also drove to Chama Canyon, where the high desert scenery is in full glory.? Deep in the canyon, we found the Monastery of Christ in the Desert.? Founded in 1964, it is the most remote monastery in the Western Hemisphere.? It is home to about 40 monks from around the world.


If you have noticed, the number of posts I am making has dropped off.? This is because I had cataract surgery.? The surgery went well.? I cannot get new glasses for several more weeks.? Until then, reading and screen work is very tiring.? The eye strain limits the time I can spend reading the many newsletters I subscribe to, which is where I get content to share.

Chips and Salsa: Snack-sized news and posts

People will dismiss a good message if some elements conflict with preconceived notions.

Ever heard of 'The Tiffany Problem'?? Why people think historically accurate things are wrong. | Upworthy

Some lives have seen things that I cannot imagine.? I cannot imagine what it would have been like to be in Hiroshima on August 6, 1945.

Hiroshima survivor, longtime Texas Ballet Theater wardrobe supervisor retires at 88 | Fort Worth Report

It is essential to have a consistent point of view based on a strong and personal moral code.? It is possible to be true to your beliefs and pragmatic at the same time.? Alexander Hamilton knew progress toward the ideal requires compromise because nothing travels along a straight line.

The Return of Hamiltonian Statecraft | Foreign Affairs

I have railed about the impending menace of drone pollution.? Drones make a lot of noise.? Check out this story from NBC News about the Amazon trials in College Station, Texas.

Amazon's drone delivery service pilot program faces new scrutiny in College Station, Texas | NBC News

Crypto trading is something I have difficulty wrapping my head around.? Stories like this one only increase my confusion.

80% Bitcoin holders remain in the red as BTC hovers at $60K – Why? | AMB Crypto

This is an interesting way for building owners to cut costs and make their properties more valuable.

Zigzag patterns on walls could help cool overheated buildings | The Guardian

The Far Side offers a unique view of sports.? I like the ‘100 Mosey' and 'Ice Crusades.'

10 Funniest The Far Side Comics About Sports |? CBR

Is it any wonder why Warner Brothers Discovery is struggling?

Warner Bros. Cancels Another Finished Movie From Fan-Favorite Creator | Giant Freakin Robot

I believe that the resume has become a second-level recruiting tool.? It has become an executive summary of your online profile on LinkedIn and other platforms.? Before you ever come in for an interview, your profiles are studied.

How résumés have shifted over the past 5 years | Fast Company

Quotes

"You have power over your mind — not outside events. ?Realize this, and you will find strength."

- Marcus Aurelius

"You can drown beneath the bridges you burn."

- Tommy Castro

"Every hero becomes a bore at last."

- Ralph Waldo Emerson

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You can order The Leader With A Thousand Faces on the Recommended Reading Page of my website.

My goal is to make this newsletter as interesting and valuable as possible. ?Please share your thoughts and suggestions for improvement. ?If there are specific topics in leadership you would like me to focus on in future issues, please send them my way.

Travel Buddy (Susie)

Sharing great travel destinations/ guides/ suggestions around the world. Posting every day. Access digital videos that you can share with your family, clients and friends. ????

3 个月

Sounds like a captivating read that tackles significant current issues. ??

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Jim Cockrell

Let us grow your business Sales and Market Expansion Expert. Helping Companies Grow. Industry Trends and Opportunities. Peer Advisor Facilitator & Coach, Management Consultant,

3 个月

Mark, I could not agree more. Irrespective of your politics the Democratic pivot has been amazing and probably would not have been as dynamic if they had selected Harris in the normal way.

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