Shawnee Love   •  
July 11, 2013

Watching Edward Burkhardt, the Chairman of MMA, the company responsible for the terrible rail disaster in Lac Megantic, is like viewing a case study in bad leadership in the face of a disaster.

I wrote earlier this week about his lack of accountability for the disaster in Blame & Accountability.  I panned him for failing to visit the town and for pointing fingers elsewhere instead of taking responsibility for the disaster.

Since that blog, he has finally made his way to the devastated city and held a press conference in which he offered an apology.  While the words were there, his apology missed the boat in 4 key ways.

1. Not only was the apology along with his visit days too late (which made the people of the town feel he didn’t value them and their losses appropriately), but
2. He tied his delay to the need to coordinate people and make calls to various contractors, the press and insurance agents (indicating he cared more about his legal liability, image and how much it would cost him than the people), and
3. He moved his blame pointing finger to the engineer responsible (forgetting that engineer was a representative of his company who was presumably hired, trained and managed by the company that is ultimately Mr. Burkhardt’s responsibility), and
4. He emphasized how awful he feels about what happened.  However, the people of Lac Megantic and the rest of us sitting at home didn’t care how he felt.  It isn’t about him, it is about the people of Lac Megantic and how they feel.

While nothing Edward Burkhardt could say would bring those people back or fix what happened, we wanted him to demonstrate regret and understanding and genuinely care.  He hasn’t.

As a lesson for a company leader, when something bad happens and your company is any way involved:

1. Respond immediately.  Go to the location.  If you can’t walk through it, fly over it.  Don’t assume you are best needed to work in the background. When disaster strikes, only the leader will do.  No one else can effectively take your place. Any other behavior is deemed as either cowardly or uncaring.
2. Gain an understanding of the extent of the damage.  Comprehend the damage not only in hard costs but in the soft costs as well as it is those soft costs that those affected have the deepest connection to.
3. Show you care personally.  How deeply you regret what happened.  How sorry you are.  You do this not only in words (i.e., an apology) but also in deed.  I.e., It is important to reach out to those affected and listen to their stories.  To hold a hand or offer a hug or even shed a tear.
4. Be sincere.  People don’t need polish, they need honesty.  I know the lawyers in the background are screaming “don’t say anything, it could be held against you”, but it is possible to win the legal battle and lose the war if you lose the trust and business of your customers and the general public.
5. Commit to what resolution you can.  Clearly you can’t bring people back, but you can ensure it never happens again on your watch and you can offer support and care for those affected.
6. Follow through.

While it is hoped that MMA can prevent further rail disasters with improved safety practices and improved people practices, it remains to be seen whether confidence in Mr. Burkhardt’s leadership will ever recover.