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  BOB'S THOUGHTS 
 
Leadership Lessons Carved in Oil
By Bob Mason

On April 20, 2010, the oil drilling platform Deepwater Horizon, working in the Gulf of Mexico off the coast of Louisiana exploded, burned, and sank. As might be expected, a gusher of ill considered commentary quickly began to flow with just as much force, creating a torrent of opinion, blame, and advice. One of the elements in this unending stream is a number of people who have rushed in to explain what lessons leaders can learn from the mishap.

Some of these commentaries are accurate, but far too many come from a personal bias or believes which are unfettered by facts. When those are removed from the discussion, the actual lessons leaders can take away are more limited and tend to be broader in scope. I will say upfront that I'm not an expert in oil, drilling for oil, or deep water operations, nor do I claim much knowledge of sea water, marine life, or the ecology of coastal areas. Therefore, I will refrain from expressing any opinion on the technical aspects of the case. I do; however, know a thing or two about leadership, especially in a crises and I see some lessons leaders can extract from the mishap and actions taken in response. More will probably follow as cause is determined and litigation begun in earnest and the lessons cited here do not imply that any of the corporate players, or governments involved did or did not apply these principles correctly, merely that they are obvious lessons.

1. When you live on the edge, the ground can suddenly give way.

Drilling in deep water is still a fairly new technology and with new technology comes new, and usually increased, risk. The leader's lesson here is that being on the edge may be profitable but it's risky and every effort to mitigate possible problems must be taken. Of course, no matter how many precautions you take, something will go wrong. Murphy is alive and well.

2. What you were before the crises will define how you're seen after the crises.

Oil companies have a bad reputation. That reputation is a combination of bad decisions and poor public relations and piling on by people and groups that don't like oil companies. But, few who have interjected themselves in the public discussion seem to be spending much energy evaluating whether the present mishap is related to previous failings, though they certainly do seem willing to make that leap. The point is, if you are known for bad business practices, or you're unable to correct misconceptions, you'll start out in a bad place when the crises hits.

3. No matter what you do, some will think it's wrong.

Humans like to place blame; usually as early and loudly as possible. Most of the people throwing those barbs haven't a clue what the leader is going through. It's a leader's responsibility to shoulder the inevitable negativity and not lose site of the task at hand. Though BP has received a lot of bad press, it does appear they have kept their eye on the most immediate task; stopping the leak and cleaning up the mess.

4. The leader must resist the urge to rush to judgment.

During my Air Force years I was a trained aircraft mishap investigator. One of the first rules is to begin an investigation with an open mind, even when the cause seems obvious, to ensure the investigator doesn't miss clues that point to a less obvious, but more accurate analysis of the mishap. If during the investigation, the team discovered a factor that could have a safety impact on other aircraft, we would report that. But, the investigation continued until the best possible answer was reached. This is a great analysis for a leader in crises. To find the root cause, a problem must be approached from an open-minded point of view. That's extremely difficult to do when the world is demanding answers, and many are demanding answers that match their preconceived notions. That's why the position is called leader, not lackey.

5. Blaming others is unseemly, and not very helpful.

In a case like the Deepwater Horizon mishap, tremendous liability, measured in the billions of dollars, is at stake. That makes people do things that are unprofessional at best. Shortly after the mishap, congress convened hearings. Senior officials from several companies involved in various parts of the drilling operation gave testimony that essentially claimed "it wasn't us, it was them." Mind you, this was well before any complete investigation and conclusion could be reached. A leader must resist the urge to point fingers before all the facts are in. On the other hand, leaders must avoid putting people in situations where such behavior will result. At such an early point, congressional hearings were unnecessary, unproductive, and detracted the principal players from the most important task at hand.

6. Perceptions can quickly become reality.

Though it appears that BP is working very hard to stop the flow of oil and clean up the mess, that message has been somewhat shrouded in a veil of bad publicity, mostly of their own making. Specifically, Tony Hayward, BP's CEO, was quoted as wanting to get his life back and then was highlighted for taking some time out for a yacht race. While the desire to return to a normal life is normal, it seems a bit insensitive, especially considering the affect on the lives of the families who lost loved ones and the families in the gulf whose way of life has been severely interrupted. Did Hayward's yachting excursion change the intensity of BP's efforts? Probably not, but it sure did add fuel to the fire of distrust.

These are the initial leadership lessons which can be drawn from the Deepwater Horizon mishap. Are there more? Probably, but beware of experts who point to specific causes and claim lessons from them. The jury's still out on specifics.


 

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