To Tell The Truth?

Imagine you are the head of communications at Toyota and this assignment gets dropped into your lap.  What do you do with a situation where a person may have allegedly faked a runaway incident in order to receive a new car?

As a PR pro, do you “out” the person and tell the world that he did this as a stunt to get a free car?

Do you just give the person a “free” car and wipe this situation out of the books?

Does the principle “the customer is always right” apply in this situation?

Do you go to great lengths to expose any wrong-doing, when you have so many other civil lawsuits going against your company?

Would you be irresponsible for not telling the truth in this case, no matter the judgment on the driver?

Toyota is in a pickle. This is a case study no one could have ever dreamed up-but it may have allegedly happened to them, per last week’s runaway Prius incident in San Diego.

Here’s the latest on the story from the Wall Street Journal on Monday.

   DOW JONES NEWSWIRES

Toyota Motor Corp. (TM, 7203.TO) said there are “strong indications” that a dramatic incident on a California highway involving a Prius last week was inconsistent with the findings of the auto maker’s preliminary analysis.

The Japanese auto maker said its engineers completed an investigation of the 2008 Prius driven by James Sikes that was subject to an emergency call a week ago, when the driver reported the vehicle was traveling at a high rate of speed and couldn’t be stopped.

For its part, Toyota said the accelerator pedal in Sikes’ car was tested and found to be working normally. It said the front brakes showed “severe wear and damage from overheating,” with the rear and parking brakes in good condition.

The company also said its engineers believe that the assertion the vehicle couldn’t be stopped with the brakes is “fundamentally inconsistent with basic vehicle design.” An investigation is ongoing.

So the real question becomes, if James Sikes did fabricate the runaway stunt do you accuse him of it?  Is it best to tell the truth in this case.

What a Potential Mess

I believe that Toyota is actually handling this situation well.  Anyone who has been following this incident is aware of Sikes financial status. The guy is heavily in debt and his actions are not consistent with the other runway cars.  I like how Toyota has not come out and accused him of anything and how they are choosing their words carefully to explain the matter…they said that there are “strong indications” that the situation is inconsistent (with the real consistent problem the Japanese auto maker is having – parenthesis are my words and not Toyota’s).

For all the mistakes that Toyota has been making in cheapening the quality of their cars, this “fake runaway” incident is something that needs to be exposed so copy-cat incidents do not flare up.  Toyota is just as responsible handling this case as they are the others.

There have been no accusations made in the Sikes case and everything is alleged.  So allegedly speaking, my heart stops at the thought of others who might attempt a foolish stunt to get a free car.  If Toyota did not expose the potential truth in this situation, they could have a epidemic of sorts on their hands.

Desperation causes people to behave in ways that they never would have dreamed of.  Financial debt breaks the souls and hearts of men-so if one person gets a free car, I hope others don’t try and mimic a runaway car that really isn’t.  But, again nothing has been proven in this case and the Officer who pulled him over said he looked visibly shaken.  So who knows?

But some good did come out of this incident. We all learned through news reports what to do if we have a runaway situation on our hands.  To be truthfully honest here, I don’t think I would have thought of putting my car in neutral if it was me. But now I do know thanks to the news reports telling us how to handle the problem.  I own a 2007 Prius and I have loved my car, but for the first time after this incident I felt afraid driving my car for fear that this same situation would happen, my accelerator would get stuck.

This Toyota situation is like peeling an onion. There’s layers upon layers upon layers that keep getting discovered as to why there was a shift in their quality control.  There is so much that Toyota needs to own up to regarding those who have lost life and limb due to the construction of the car, and on top of all that, for Toyota to have to face alleged “fake” incidents is just as egregious and unnecessary.

If you are not sure how to turn off your car if it speeds out of control, here’s a great video showing you how from ABC NEWS.

As a PR pro, how would you handle such an situation. I’d love for you to share your thoughts.

Until then,

Be safe,

Cindy

Does Toyota ever need crisis communications– for this once-stellar company is hemorrhaging everywhere.   Every time a new edition of an online report comes out there seems to be some new allegation or fine being imposed on this global Japanese car manufacturer.  They are in a heap of trouble.

As I mentioned yesterday, no one has answered whether or not the cars in question are safe to drive. Transportation Secretary Ray LaHood, in a congressional hearing, appeared to warn owners not to drive recalled vehicles, but he later said he misspoke. He just really wants Toyota car owners to get their cars fixed as fast as they can.

And speaking of fast, I’m sure Toyota’s corp comm team’s heads are spinning. For as they put their finger in one dike, another hole breaks through their steel veneers.  I’ve been reading that they may be facing hefty fines for not addressing this issue fast enough-the first reports came in ’07.  And now it appears that other models have problems- their crown jewel the Prius may have faulty brakes.  And then to top it all off, Toyota’s stock fell 6 percent today.  Believe me, there’s no one happy at Toyota, except maybe the Dealerships, which will be making tons of money fixing these issues.

When bad things keep happening and happening, the best thing any company should do is address each problem individually and as soon as possible.  Whatever money is left in the coffer, I’d invest in outside PR agencies to handle specific segments.  I’d give one firm – customer relations and the proper protocol in communicating to car owners. I’d give another investment relations to handle the stock issue.  I’d hire a marketing team to address new marketing materials, slogans and advertisements.  I’d be hiring video production companies to produce commercials that showed the company has rectified the problems. I’d hire another agency to handle the messaging to each dealership for all the dealerships need to be on the same page. And lastly, I’d hire a global PR firm to handle questions about car safety coming from the other countries.

As you can see this is a multi-pronged public relations problem.  What it really is – is a big mess.  Toyota employees must be reeling.  I know people who work for that company and I have always admired how Toyota has taken care of its employees.  Did you know that they have a gym on site and they encourage their workers to stay in shape!  How great is that.

I have a theory in all this…sometimes when you get so successful…you take things for granted and are not as keen on your game.  Well, if this is what happened to Toyota, then their eyes certainly are wide open now.

Despite all…as a Toyota customer…I’d buy another one of their cars any day. It really is a great product that they need to fix now.

Yoo hoo…Toyota…if you are looking to fill out your corporate communications team, I’m available! And I know a handful of others who would be terrific too!