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Friday, October 20, 2006

Edelman, PR Ethics and Social Media - the Next Steps

At Edelman we continue to monitor all of the great feedback you gave us this week on PR ethics on social media. More importantly, we're acting on it.

Our CEO Richard Edelman today outlined what's already in the works. The me2revolution team I work for will be involved with teaching Edelman University classes on ethics in social media, reviewing programs before they are implemented and more.

As we continue down this path, we're eager to hear your views. What types of actions would you suggest we take?

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I'm torn about all of this. On one hand, I can't see a way around you having't to take steps of the nature Richard outlined...because to do nothing would be disaster. On the other, I fear that any artificial measures you put in place are doomed to fail (at least partially).

Isn't this (not just the Edelman/Wal-Mart thing, but all the ethics in social media talk) just about integrity, honesty and openness? A medium that makes it easier to be disingenuous is obviously dangerous. But people inclined to act that way will always find a way, no matter how many meetings, classes and hotlines are contrived.

Nice late Friday afternoon announcement, to many of us PR and Ethics is an oxymoron.

You should promote whoever had the idea for the Edelman-scripted Wal-Mart
blog. If it weren't for them we wouldn't have this important ethical issue to discuss.

Mr. Rubel,

quite simple: Tell us the whole truth. Those three Edelman employees of forwalmart.com and paidcritics.com aren´t experienced professionals, they´re newbies. There are virtually no traces of them at Google. Kate Marshall of paidcritics graduated from James Madison University in 2004:

http://smad.jmu.edu/alumni.php

"Date Posted: July 25, 2006
Name: Kate Marshall
Year Graduated: 2004
Location: Alexandria, VA 22314 USA
Email Address: kate.marshall@edelman.com
Employer: Edelman
Message: I'm onto job #2, this time working as an account exec at Edelman Public Relations Worldwide in DC. I work on the Wal-Mart account and am usually responsible for researching, creating backgrounders, fact sheets, and talking points, and pitching the media. The job is awesome (never a dull moment) and the environment and people at Edelman are great too. Drop me a line if you're in DC and/or are interested in working here. Good luck, smaddies!


What Edelman wants to tell the blogosphere is that some twentysomethings, none of them with blogging experience according to Technorati, were allowed by the third largest worldwide PR firms to run the two fake blogs for an important PR campagne of the worlds largest retailer, trying to fight the behemot of trade union campagnes and political uproar all over the USA.

I´m sorry, I´m just a journalist, but Edelman had 35 PR consultants working on that project. I do believe that Kate Marhall, Miranda Grill and Brian McNeill do exist, and I do believe that there are obviously accounts with their names at those blogs.

What I don´t believe and I guess noone accustomed to PR buzz will believe is that those three pals are responsible for anything that is written or said on those two blogs. There are others who decide what is said and done. According to a source inside Edelman there are a bunch of Edeman consultants behind Brian, Miranda and Kate.

I don´t know wether they are simply the pawn sacrifice. But they are definitely the curtain to hide a certain man. The guy who said: "That´s the way we gonna do it. We´ll hide Edelman´s engagement from the public". Richard Edelman took the responsibility, we now know the names of those at the front end. But the truth is what is inbetween those pals offered to the public and Richard Edelman. It took Richard Edelman four days to get the facts. I don´t think it´s a wise decision to hide those facts for another four days. Because, if yu don´t tell, someone will find out. In the meantime everyone will be talking about the man behind the curtain. We all see the shoes. I thought they were red, with the sign "rathergate" on them.

My source said Mike Krempasky isn´t the man behind the courtain. Well, who else?

Edelman is blogging because it represents a new stream for the agency to keep its armies of consultants busy and sell services to clients. Big surprise, huh?

Apparently, even combi driving retirees can't be trusted these days! Its unfortunate that Edelman has allowed this to happen. Ultimately, it represents bad counsel to the client, since it's the client's reputation which has been done (more) harm in this case.

The client's reputation? Well, in my neck of the wood the particular client's reputation is rather bad. Edelman's PR dog-and-pony show with the fake websites and paid-for travel blog simply fits into the overall picture of the client's reputation. It didn't do it any additional harm.

Oh, I am actually curious who are all the people listed at http://www.forwalmart.com/leadership/ How much does it cost to invent or buy such a steering committee, create their bios and be their puppet master? And can I have my own puppets, too?

Steve--PRSA Code of Ethics. Full disclosure principle. Applies to social media as well. Nuff said.

But wait, there's more. Last provision in the Code is Enhance the Profession. That means what you do at Edelman cast a bad light on the entire PR profession, as witnessed above.

And simple pragmatism would encourage honesty in blogs. Blogs are about interpersonal dialogue. You lose trust, and you lose.

"Et tu, Brute?"

Those indicted teaching ethics. Beyond shameless, it's almost pathologic.

What actions should you take?

http://www.strumpette.com/archives/206-Call-Goes-Out-for-Edelman-and-Rubel-to-Resign.html

hi Steve -

(reposting this here because Richard Edelman's blog comments are now being held for moderation... ?)

in light of the recent disclosures about the 2 other fake Walmart blogs, i think it would be helpful to understand:
1) what the exact chain of command was upstream from the 3 Edelman employees who were writing on the blogs in question
2) who was responsible for the decision in the first place to author fake blogs on behalf of Walmart, and
3) at what point did each person in the chain of command in #1 become aware of the decision in #2?

with these pieces of information, it would become a lot more clear to folks who are watching what the level of Edelman's involvement and culpability was in this whole saga.

from the most optimistic point of view, if it was just those 3 low-level employees making the call, and no further upstream knowledge, then it's a rather simple item to acknowledge and defend Edelman's poition. lack of oversight perhaps, but no major endemic problem at Edelman other than making sure the rank & file follow ethics set at the top level.

on the other hand, from the most pessimistic point of view, it could easily be suggested that other more senior Edelman account execs were either responsible and/or knowledgeable, and thereby complicit in this situation. again, depending on how high up the food chain that occurred -- or didn't -- it would answer a lot of questions about how Edelman handles its business ethics & related censure.

while it's commendable that richard has personally take responsibility here, there is still a lack of transparency as to what happened, and at what level the ethical breach occurred.

the next step in building trust would be to follow through on the rest of the disclosure / transparency issue, and then subsequently to take some disciplinary action with the responsible parties.

in short: taking responsibility without accountability isn't really being responsible.

regards & best of luck,

- dave mcclure

Silence, silence, silence. So that's what you call the open and transparent Edelman communication style.

Who are

Charles W. Baird, Ph.D.
Pat Boone
Rep. Jennifer Carroll
Tom Chung
Carroll Cocchia
Lupita Colmenero
Bishop Ira Combs
Maria de Lourdes Sobrino
Barbara Kasoff
Chris Lewis
Courtney Lynch
Betty Miller
Martha Montoya
Catherine Smith
Colonel (Ret) James O. Ashenhurst
Richard Atkinson
Raymond Baran
Mark Dieckhoner
Troy Gabriel
William R. Mason
Kevin McDermott
Ray and Betty McDermott
Juan Jose Perez
Michael Ranttila
SGM (Ret) Wendell P. Thompson
Carl Wick
Liz Woinset
Letizia Zola
Charles W. Baird, Ph.D.
Jonathan Bass
Bruce L. Bialosky
Pat Boone
John Hope Bryant
LeRoy Chase
Tom Chung
Darrel Cortez
Joe Fracassi
Ms. Araceli Gonzalez
Ed Gonzalez
Kris Hunt
Barbara Kasoff
John Kehoe
Yolanda Machado
Martha Montoya
Don Ogan
David Padilla
Lillian Tynes Perry
John Powell
Jim Prunty
Maria de Lourdes Sobrino
Peter Tiger
Guillermo Villanueva
Dan Vincent
Rabbi E.B. Freedman
Rabbi Elimelech Goldberg
Joel E. Jacob
Gerry Mason
Robert Sachs
Bryce Sandler
Elease Smith
David Thomas
Greg Wilson
Russ Corona
Ken Crumb
Terry Cooper
Dee Espinoza
Marvin Feldman
Tony Hake
Ted Hackworth
Mel Hilgenberg
Eva Martinez
Jerry Natividad
Daniel Pratt
Jude Sandvall
Alisa Alonso
Pastor Larry Arnold
Larry Ceminsky
Bill Chappell
Rep. Jill Chambers
Matt Moseley
Al Thurman
Robert Turner
Dr. Robert Tutterow
Sen. Sam Zamarripa

and are they all real people? Did Edelman recrute them, or did Edelman invent them?

Or, even worse, do these people know their names are used for WFFWM Wal-Mart PR?

When Edelman recruted them, did they know they were working for a Wal-Mart PR show, and not for a grass root organisation?

How did Edelman recute them? How much did Wal-Mart or Edelman pay them? What other benefitts did they get? What's the current going rate for a senator, bishop, rabbi or a retired colonel?

Why did no one of these write in their own WFFWM blog?

Who is their guidance officer at Edelman? Who is writing their scripts at Edelman?

Perhaps we need a PR version of these badges?

http://www.blogkits.com/bloghonor

You guys will work through it, but right now you gotta take your lumps.

"What types of actions would you suggest we take?"

Instead of Richard Edelman "acknowledging" an "error", how about an apology that expresses regret?

I think Edelman should have mentioned that this fake blogs are official and very engaged with wallmart.

Thank you for sharing this story with me !

What Edelman has done is simple: they have proven they are opportunistic and dishonest. They are experts in social media? They are the thought leaders? Who can you trust over there? Once you lie, you're a liar.

"What types of actions would you suggest we take?"

tell the entire TRUTH, finally! is that so difficult?! oh, i forgot, this is PR, the domain of lies.

quite pathetic that you guys now want to teach classes on ethics in social media. you better outsource that to someone who still knows how to spell t-r-u-t-h!

Does this surprise anyone? You are naive to think this is the first time this firm, or any PR firm hasn't manipulated the system to produce a positive image for their client. This scenario simply teaches us all the power of social media. Edelman probably believed they were the best at harnessing and leveraging social media to produce an outcome for their client, but instead they reinforced what anyone that has worked more than 3 years already knows, that the big firms are no smarter than the 2-man shops. The big firms just cost more.
Steve,
Cut your losses and go out on your own. You will be a winner in the end. But what do I know, I don't work in a big NYC, or SF firm. (sarcasm)

Tim and Dave, outstanding suggestions. Thank you.

Steve, I am not going anywhere. What I have learned this week (among other things) is that there are two ways to look at this situation. I can sulk in the face of adversity or even, as you suggest, leave Edelman. Or, I can see it as an opportunity for our company to rise to the challenge. I have netted out squarely in the latter and I am ready to do my part.

I predict you will fail.

You are trying so hard to evade answering the real questions, you will be remembered as what you are. A hired PR gun.

Here's an idea we learned from Synectics: Bring a diverse group of people into the problem-solving process. Don't just have a bunch of PR people sitting around the table. Collect a range of perspectives. That's one way to minimize the risk of groupthink. Good luck with the effort.

I went back to my post at Rocketboom Re:8/30/06 interview with Steve Rubel. In this post I warned Rocketboom that they were being played for fools (which is what floggers do) Imagine my amazement when I found my post had been deleted! Fold up shop now or suffer a long slow demise. We are all looking forward to your new blog, when you are living in a WalMart parking lot for real.

This whole ordeal is a shame, but I smell a scapegoat. A quick Google search shows that Kate Marshall graduated in 2004, Miranda Grill in 2005, and that both are account execs. You're trying to tell me that Edelman, a large and established PR firm, would let two junior staffers with a combined 3 years of post-college experience write posts on the world's largest retail company on their own? This entire thing was planned much higher up than Miranda Grill and Kate Marshall and executed by direction.

Steve R:
"I can see it as an opportunity for our company to rise to the challenge. I have netted out squarely in the latter and I am ready to do my part."

When might that be and what form will it take? Do tell.

Mr. Rubel,
I'm an Ithaca College student and I have been blogging on crisis public relations for an audience research class. I was immediately intrigued by Edelman's blogging blunder and public response, and have been blogging on it myself in my blog, oopspr.blogspot.com.

You ask in this post for comments and suggestions, and I believe I have a viable one: use your group me2revolution to be the first to conduct a comprehensive study and provide an answer to the question of ethics regarding agency run blogs for clients. To see more on what I mean, see my latest post: http://oopspr.blogspot.com/2006/10/in-interest-of-full-disclosure.html

I think you are on the road to righting a series of wrongs.

That said, I'd recommend that outside consultants come in and teach the business/social media ethics to all staff. And I mean management as well. I know it's expensive to get those high billing rates all in one room and that VP's and SVP's with 10-20 years experience don't think they need it. Wrong. Everyone can use a refresher.

From an outside perspective right now, it doesn't look like there's much ethical talent inside the organization to teach those courses.

Sorry for this late addition but Steve, I gotta tell ya, the day you joined Edelman is the day you signed your professional neutrality away. I also joined a global PR firm after years plying my trade at an independent and do I miss those days of being able to speak my mind! And what is me2revolution if nothing more than a marketing tool to make Edelman look like a leader in the field of new media? Is it really any different than Publicis' Denuo which you didn't hesitate to slam a few months back? Even those of us in this profession have to laugh at the hypocrisy of trying to sound like thought leaders in an environment which has already become cut-throat. But I digress. I don't know what Edelman can do but I know what YOU can do -- stick to the blogging code of ethics you should know all too well by now or admit that what you're doing is marketing for Edelman clients, pure and simple. Either lead the movement or step aside and let some independent hack take the reigns. Don't take this personally, but anyone who's been in this business for more than a day knows that you're between a rock and a hard place, there is no "win-win" here... Sorry for not being able to sign my name but as an employee of an Edelman competitor, I do not want to get my firm involved in this debate.

Steve:

I could probably get past the incredibly slow response, although if Edelman ever took that long to respond to a crisis for one of their clients, they'd deserve to lose them (oh wait... this IS a crisis for one of your clients).

Anyway, here's what I just don't get -- why are these sites still up?!? A small disclosure in the profile of "Miranda"? Too little too late. So long as the sites in question continue to exist, everything else Edelman says they're doing will ring hollow.

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