The Financial Impact of Failed Crisis Management and Failed Crisis Communications

Radisson logoBy Gerard Braud

What is your plan when the crisis of another entity becomes your crisis, forcing upon you a crisis communications challenge? Observe the NFL crisis as it spreads, causing damage to the reputation and revenue of various teams, players and sponsors.

You would think the NFL would have an inside or outside expert to advise them, but apparently the leadership is trying to manage this on their own, with bad results.

The NFL crisis has spread to the Minnesota Vikings, as sponsor Radisson pulls its support. Radisson is the logo sponsor seen behind the coaches and players when they have news conferences. It is the place where Adrian Peterson’s coach and general manager stood to announce that Peterson would play this coming Sunday, even though he was benched after being charged with felony child abuse for reportedly using a switch on his four-year-old son.

Adrian PetersonRadisson’s online statement says they are evaluating the facts while suspending their sponsorship.

Radisson, likely fearing “guilt by association,” is a victim of failed crisis management and crisis communications by the NFL and Roger Goodell regarding Ray Rice. The crisis then went on to touch the Vikings, Peterson and now the hotel chain.

Had Goodell originally handled the Rice crisis properly, the league would not be under such heavy scrutiny for other players with various degrees of accusations of child or domestic abuse. Failure to manage the crisis then communicate the action plan is letting the smoldering crisis spread like a wild fire. Many people are getting burned.

Now the NFL has a bigger crisis than the original crisis. There are the allegations surrounding Rice and Peterson, as well as Ray Hardy of the Carolina Panthers and Ray McDonald of the San Francisco 49ers.

Each player, each franchise, and the sponsors surrounding the teams, all need a crisis management plan and a crisis communications plan that will end each of their respective crises before each suffers damage to reputation and revenue.

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