Sometimes – but not often – an organization in the midst of a crisis is saved by a knight on a white stallion. That must be how it feels at Oral Roberts University in Tulsa. Its president, Richard Roberts, son of founder Oral Roberts, resigned in late November. He said God told him to. Roberts has been accused of all sorts of misuse of donors’ money after an ORU student repairing Roberts’ sister-in-law’s laptop gave a copy of a document he discovered to a professor. Among the allegations:
• A longtime maintenance employee was fired so that an underage male friend of Roberts’ wife, Lindsay, could have his position.
• Lindsay Roberts frequently had cell-phone bills of more than $800 per month, with hundreds of text messages sent between 1 and 3 a.m. to “underage males who had been provided phones at university expense.”
• The university jet was used to take one daughter and several friends on a senior trip to Orlando and the Bahamas. The $29,411 trip was billed to the ministry as an “evangelistic function of the president.”
• Lindsay spent more than $39,000 at one Chico’s clothing store alone in less than a year, and had other accounts in Texas and California. She also repeatedly said, “As long as I wear it once on TV, we can charge it off.”
• Lindsay Roberts was given a white Lexus SUV and a red Mercedes convertible by ministry donors.
• University and ministry employees were regularly summoned to the Roberts’ home to do the daughters’ homework.
• The university and ministry maintain a stable of horses for exclusive use by the Roberts’ children.
• The Roberts’ home has been remodeled 11 times in the past 14 years.
(Too bad God didn’t tell Roberts not to use the university’s money for personal gain.)
That seems like plenty to shake the faith of students and donors, doesn’t it? But along comes Mart Green, founder of a chain of stores that sells office supplies and Christian educational items. He said he will donate $70 million to Oral Roberts University. This is a man who didn’t attend ORU and doesn’t even know the Roberts family.
Oral Roberts founded the university 20 years ago after he said God appeared to him and told him to raise $8 million to open the school or he would be “called home.” I wonder why God doesn’t talk to more presidents and CEOs before they mess up and get caught misusing money and having affairs. We can count on God for many things. But you better not count on Him to keep you or your business out of trouble. Planning and diligence are the ingredients you need to prevent and minimize a crisis. God seems to speak exclusively to the Roberts family. And there aren’t many Mart Greens out there to ride in and save the day. So you better make sure your words and deeds don't damage the ability of your organization to make or raise money.
Thursday, November 29, 2007
Another Red Cross Blood Letting Damages Reputation
Is there another well-known non-profit that gets itself into more crises than the Red Cross? I don’t know of any. That is a wonderful organization that performs many great services. So why can’t it keep itself out of trouble? The latest problem is the resignation of its president and CEO less than six months after he was hired away from the IRS. Mark Everson had an affair with a subordinate employee. The board “concluded that the situation reflected poor judgment on Mr. Everson’s part and diminished his ability to lead the organization in the future.” See http://www.redcross.org/pressrelease/0,1077,0_314_7312,00.html.
This latest embarrassment for the Red Cross comes after:
• Criticism of performance and use of donations following Hurricane Katrina. Millions in donations following Katrina and 9/11 remain unspent.
• A revolving door at the top. Dr. Bernadine Healy was hired after Elizabeth Dole left in 1999. Healy was there less than two years. More than a year later, the board hired Marsha Evans, who resigned in 2005 after a power struggle with the board. Everson took the job on May 29, 2007. It’s time to get in line again if you have aspirations of piloting this sinking ship.
• The Red Cross has been fined millions of dollars for the way it handles blood collection and for poor record keeping and screening. It has been under a consent decree with the FDA since 1993.
• The Red Cross suffered an operational deficit for the past fiscal year. Donations have been down.
• The Red Cross suffers from bureaucracy. The board of governors is chartered by Congress and must get approval before making major changes, such as the composition of the board.
Trent Stamp, president of Charity Navigator, said the Everson firing was a major setback. “This will affect fundraising, organizational morale, and public trust in this organization, which is already dangerously low.”
The Red Cross clearly has a great deal of work to do to restore its image and regain the confidence of its donors. To those of you who direct non-profit organizations: Deal with smoldering “situations” before they become smoldering crises. When the problem persists to the “damage control” phase, respond swiftly and openly. When you sense your board and staff leadership are about to lock horns, seek ways to mediate the disagreements before they go public.
This latest embarrassment for the Red Cross comes after:
• Criticism of performance and use of donations following Hurricane Katrina. Millions in donations following Katrina and 9/11 remain unspent.
• A revolving door at the top. Dr. Bernadine Healy was hired after Elizabeth Dole left in 1999. Healy was there less than two years. More than a year later, the board hired Marsha Evans, who resigned in 2005 after a power struggle with the board. Everson took the job on May 29, 2007. It’s time to get in line again if you have aspirations of piloting this sinking ship.
• The Red Cross has been fined millions of dollars for the way it handles blood collection and for poor record keeping and screening. It has been under a consent decree with the FDA since 1993.
• The Red Cross suffered an operational deficit for the past fiscal year. Donations have been down.
• The Red Cross suffers from bureaucracy. The board of governors is chartered by Congress and must get approval before making major changes, such as the composition of the board.
Trent Stamp, president of Charity Navigator, said the Everson firing was a major setback. “This will affect fundraising, organizational morale, and public trust in this organization, which is already dangerously low.”
The Red Cross clearly has a great deal of work to do to restore its image and regain the confidence of its donors. To those of you who direct non-profit organizations: Deal with smoldering “situations” before they become smoldering crises. When the problem persists to the “damage control” phase, respond swiftly and openly. When you sense your board and staff leadership are about to lock horns, seek ways to mediate the disagreements before they go public.
Tuesday, November 6, 2007
Bully For Our Schools!
Too many of our schools choose to turn their backs on a smoldering crisis that has morphed into a sudden crisis across the country. Continuing to ignore the problem could lead to costly civil suits and will definitely result in hundreds of thousands of kids who will never reach their full potentials.
Not long ago, I had lunch with some Louisville people who have assembled an anti-bullying program they hope to launch into schools. They’ve studied the problem from multiple angles with a research/academics perspective and have an option they believe can change the culture in a school from one of bullying to one of tolerance and safety. I was there to talk with them about the overall implications of various smoldering crises in schools.
In Tampa, parents of a then-12-year-old boy who attended a private school sued the school because a bully broke their son’s arm in two places. Danny Heidenberg was in seventh grade, as was the bully, who reportedly taunted others, called them names, and physically assaulted them. In late 2003, Danny’s parents complained to the school about at least two incidences of bullying. The attacks continued. In January 2004, Danny’s class was outside, some playing football. The teacher called the students in and then entered the building. Without adult supervision outside, the bully threw a football at Danny, tackled him and then jumped on him, breaking his arm. Danny still suffers nerve damage in his fingers, limiting his once-promising tennis skills. He can’t even type. In October, a jury awarded a $4 million judgment against the school because it failed to keep Danny safe. (See http://www.sptimes.com/2007/10/23/Hillsborough/Bullying_costs_school.shtml)
Check out these headlines:
Parent Sues School Over Bullying Claim (Midwest City, Oklahoma)
L.I. Student's Family Files Racial Bullying Suit (Central Islip, New York)
New Jersey Supreme Court Rules That Schools Must Protect Students from Bias-Based Bullying
Girls Take School to Court, Saying It Ignored Bullying (Casey County, Kentucky)
Parents Settle Suit for Alleged Bullying by their Children (Rosewood, California)
Gay Teen Sues School Over Harassment, Beating (Grove, Oklahoma)
I won’t even get into the details of those school shootings we all can recite in which the kids opening fire were bullied and couldn’t take it any more. And I’ll save for another day discussion on cyber bullying that adds one more arrow to the bully’s quiver.
Schools have both a legal and moral obligation to ensure the children in their care are safe – from fires, from falls, from intruders, and, yes, from bullies. Some teachers and administrators deal with bullying by telling the victim, “You need to toughen up,” or “Just ignore it and he/she will stop,” or “That’s just how kids are,” or “There isn’t anything I can do about it.” That’s a crisis waiting to happen.
What can schools do? I found a number of bullying programs online. The system developed by the Louisville folks I mentioned earlier has been proven effective. And while you’re at it, Mr. School Superintendent, it would be a good idea to take a look at your overall crisis plan. Is it out of date? Can’t find it? Never had one? That’s where the Institute for Crisis Management would be pleased to help you. We have developed plans for all sorts and sizes of organizations. Our plans prepare clients for a variety of crises that could strike at any time.
Not long ago, I had lunch with some Louisville people who have assembled an anti-bullying program they hope to launch into schools. They’ve studied the problem from multiple angles with a research/academics perspective and have an option they believe can change the culture in a school from one of bullying to one of tolerance and safety. I was there to talk with them about the overall implications of various smoldering crises in schools.
In Tampa, parents of a then-12-year-old boy who attended a private school sued the school because a bully broke their son’s arm in two places. Danny Heidenberg was in seventh grade, as was the bully, who reportedly taunted others, called them names, and physically assaulted them. In late 2003, Danny’s parents complained to the school about at least two incidences of bullying. The attacks continued. In January 2004, Danny’s class was outside, some playing football. The teacher called the students in and then entered the building. Without adult supervision outside, the bully threw a football at Danny, tackled him and then jumped on him, breaking his arm. Danny still suffers nerve damage in his fingers, limiting his once-promising tennis skills. He can’t even type. In October, a jury awarded a $4 million judgment against the school because it failed to keep Danny safe. (See http://www.sptimes.com/2007/10/23/Hillsborough/Bullying_costs_school.shtml)
Check out these headlines:
Parent Sues School Over Bullying Claim (Midwest City, Oklahoma)
L.I. Student's Family Files Racial Bullying Suit (Central Islip, New York)
New Jersey Supreme Court Rules That Schools Must Protect Students from Bias-Based Bullying
Girls Take School to Court, Saying It Ignored Bullying (Casey County, Kentucky)
Parents Settle Suit for Alleged Bullying by their Children (Rosewood, California)
Gay Teen Sues School Over Harassment, Beating (Grove, Oklahoma)
I won’t even get into the details of those school shootings we all can recite in which the kids opening fire were bullied and couldn’t take it any more. And I’ll save for another day discussion on cyber bullying that adds one more arrow to the bully’s quiver.
Schools have both a legal and moral obligation to ensure the children in their care are safe – from fires, from falls, from intruders, and, yes, from bullies. Some teachers and administrators deal with bullying by telling the victim, “You need to toughen up,” or “Just ignore it and he/she will stop,” or “That’s just how kids are,” or “There isn’t anything I can do about it.” That’s a crisis waiting to happen.
What can schools do? I found a number of bullying programs online. The system developed by the Louisville folks I mentioned earlier has been proven effective. And while you’re at it, Mr. School Superintendent, it would be a good idea to take a look at your overall crisis plan. Is it out of date? Can’t find it? Never had one? That’s where the Institute for Crisis Management would be pleased to help you. We have developed plans for all sorts and sizes of organizations. Our plans prepare clients for a variety of crises that could strike at any time.
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