Tom Feltenstein

We’ve been bombarded with public relations nightmares recently. From the Gulf Oil Spill to Toyota, to the McDonald’s recall of tainted Shrek glasses, we can’t help but wonder what’s going to happen next. A veteran of the McDonald’s team, I’m impressed at the quick action the company took to remedy the problem. McDonalds’s took care of business pretty darn quick by announcing a voluntary recall of $15 million dollars worth of Shrek glasses when, from a regulatory perspective, the glasses weren’t really toxic to kids. But they know the power of perception and they did not want to lose the trust of their customers. To read more about McDonald’s recall, click: The brilliant lessons from McDonald’s recall.

McDonalds issued the recall as a precautionary measure out of concern for its customers’ health and didn’t allow the crisis to take control — unlike British Petroleum’s fiasco in the Gulf. If we’ve learned anything from BP and Toyota, it’s that allowing negative public opinion to stick to a company is the road to certain death. Granted, these are all vastly different incidents, but the underlying message is the same – take quick action, make smart decisions, and accept responsibility.  As business owners our customers’ trust is paramount if we want to keep them. The most important aspect of business is to adhere to the 10 Commandments of Customer Service, the first of which is “honor thy customer.”  How have you managed crises in your business?

By Tom Feltenstein

During the start of my career in marketing, I was fortunate enough to work for several years with Ray Kroc, the legendary owner of McDonald’s who revolutionized the franchise business through neighborhood marketing.  Although Ray imparted enough wisdom to last a lifetime and fill countless volumes of literature, I’ve distilled his most valuable insights into the following 7 Lessons.   Please read them carefully, because if you adopt them as the guiding principles of your own business philosophy, you cannot help but win your competitive battles, no matter how formidable your foes are.

1. It’s all local
2. The heart and soul of your business is marketing inside your own walls
3. Community involvement.  Become an integral part of your community by being generous with your time and efforts to lend a helping hand to those in your neighborhood who are in need.
4. Trust your people.  Allow your employees the freedom to contribute their opinions, insight, and knowledge.  Give them the power to make decisions to benefit your customers.
5. A good idea doesn’t care where it comes from.
6. To make it work from top to bottom, it has to work from bottom to top.
7. Deliver a powerful level of service – beyond what’s expected – and you’ve created a tangible bond with a customer that no mass media program can achieve.