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The Kick Seen ‘round the World: A Case Study in Crisis Management and Corporate Governance

Jeremy J. O’Connor, Kelly A. Phipps, Tracy R. Blasdel
November 1, 2016
SKU:
BUS-004775
Region: 
North America
Topic: 
Ethics & Social Justice, Strategy & General Management
Length: 
9 pages
Keywords: 
crisis communication, board of directors, representative role of corporate executives, crisis, Communication
Copyrighted by: 
Journal of Case Studies
Student Price: 
$4.00 (€3.75)
Average rating: 
0

Surveillance video released to the public shows the CEO of Centerplate Inc., Des Hague, kicking a dog in the elevator of an upscale Vancouver Hotel. The video resulted in a flurry of media attention on the successful CEO and his company. Consequently, Centerplate’s Board was faced with a public situation involving its CEO that could have had significant impact on not only the company’s current position, but also its future. One response could be to reprimand Mr. Hague and offer support to rehabilitate him in his role as CEO. Another option could be firing Mr. Hague for his actions. Forcing resignation was yet another option. The board needs to carefully consider what, if any, action they can and should take in response to Mr. Hague’s conduct. How should Centerplate’s Board of Directors respond to Mr. Hague’s actions?

Learning Outcomes: 
  1. Analyze the role boards of directors play in hiring, supervising, and firing corporate officers.
  2. Explain the symbolic role played by corporate executives and analyze whether their personal behavior can or should reflect negatively on the corporation.
  3. Analyze the importance of crisis communications planning.
  4. Evaluate the efficacy of this corporation’s response following this crisis.