Tim Grau: The Ansett Easter Bunny lays an egg

April 17 2001

The private sector and some CEOs have a lot to learn from politicians. Ansett Australia's Easter disaster proves the point.

Imagine if the Roads and Traffic Authority had to reduce Sydney's F3 to a single lane on Easter Thursday for the rest of the long weekend.

Would NSW Premier Bob Carr and his Government react as Ansett and its senior executives appear to have responded to the Civil Aviation Safety Authority's actions?

No, Carr would have been front and centre on TV, radio and all over the daily papers demanding and getting action with a five- or 10-point plan.

Sydneysiders only need look at Carr's deft handling of the Sydney Water contamination during his first term or Queensland Premier Peter Beattie's management of the electoral rorts allegations to know they know how to handle a crisis.

In the dock of public opinion and confronted by community anger, Carr and Beattie are examples to any chief executive officer.

The starting point for these publicly elected CEOs is to acknowledge there is a problem, whether real or perceived fair or unfair. They then display leadership qualities by taking charge and implementing swift, decisive action to provide a solution. Good politicians do it instinctively.

Today, the media is more intrusive, analytical and demanding, and the public more informed, cynical and fickle. The public needs, expects and demands more from its leaders, public or private.

Why then have so many businesses and corporate CEOs not learnt from their public sector colleagues when it comes to dealing with this new worl?

CASA's announcement for Ansett was on any scale a crisis for the airline, its staff, its customers and their families.

In the political world, as it should be in the corporate world, knowing and preparing for your worst-case scenario is standard practice. There should be no surprises.

First, take control of the situation, problem and solution, regardless of fault. Whether it's fair to be caught up in the crisis is never a consideration. In a crisis, the public expects action. A good CEO must deliver. Indeed, their determination to do so, must in the public's mind be the essential element for the solution.

Next, obtain and release all relevant information. If that means standing on toes, moving people aside or breaking through long-established cultures and traditions, so be it. The important judgement to be made is whether they are part of the problem or part of the solution.

Communicating the nature and extent of the problem and its solutions is the next and most important task. Keeping all those affected - employees, customers, shareholders and the media - informed is critical to the success of any crisis or issue management. With today's modern technology there is no excuse.

For a start, Ansett's frequent flyers should be getting an e-mail from the CEO today, reassuring them that he is fixing the problem.

Ansett's managers must pull the Easter Bunny out of the hat fast is the company is not going to be a permanent casualty. Taking a few lessons from the CEOs we love to hate - politicians - may be just the trick.

Tim Grau is director of Springboard Australia, a specialist communications and issues management firm.

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