RSA Conference Exhibitor List 2024 - Exhibitors Data
TEPCO by the Numbers
1. TEPCO by the Numbers Gil Chavez Professor, Globis Univ. IMBA BC Consulting www.consult-bc.com
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Notas del editor
When we look at the TEPCO Fukushima Dai-ichi crisis we can say a lot about how it erred. It’s easy. In fact, much of it is standard boilerplate talking points for crisis communications and media relations consultants – stuff that you can find just by googling “crisis communications”. What I would like to do, is share some thoughts about one aspect of the crisis that I noticed and saw parallels to other crisis, and, perhaps, you will came away this morning with something besides a nice breakfast.
Allow me to explain.
A key step is first putting the numbers into context. If your audience does not understand the numbers or disagrees with their meaning, there’ll be slim chance of explaining how to improve them. In addition, if you do not put the numbers in context, someone else will, and they are under no obligation to do it in a way you would consider fair.
While there is a common language between IR people and their audiences, crisis often put B2B companies into direct communication with consumers about highly technical and often controversial issues.
Let’s look at some numbers the I will talk about today.
Let’s look at how numbers can shape how we view the event. This looks like an unprecedented event, or, at least, an extremely rare one.
In the second context, the event has not only historical precedence, but also seems LIKELY and grossly irresponsible. Even though earthquakes are not predictable, you are looking at a very long window compared to what has happened in the past. And note that the highest tsunami ever recorded did not occur March 11, but in 1896. source: http://www.japanfocus.org/-Gregory-Smits/35313
We are easily overwhelmed by numbers. Even if you could do the math required to answer these questions easily, it is difficult to imagine what those numbers look like – 31,709 years? What does that look like? It’s about 1.5 Ice Ages (You remember, back when Australia, Tasmania and New Guinea were one land mass?) My point is that while numbers are important, we have to put them into a manageable context before anyone is going to be able to understand what the numbers MEAN. And I just did that in the example above. 31,709 years makes no sense to anyone in this room, but now we have a better idea because we all can get an idea of just how long it is – 1.5 Ice Ages
Now recently Olympic Swimming Pool (OSP) has become more commonplace in the news coverage, but that is from the news media efforts, not TEPCO’s. We can imagine what 100 OSPs looks like. We know what an OSP is and can imagine its size. It helps us to gauge the scale of the problem. Many stories that have come out of Fukushima talk about water in tons. Only an engineer talks about water in tons. And just as an aside, a sydharb is a Sydney Harbor – for those wondering – this is something that the residents of Sydney would get, and from the reactions in the room, know that many of your are familiar with the harbour. Source: http://online.wsj.com/article/SB10001424052748703922504576273930625967622.html : http://en.wikipedia.org/wiki/List_of_unusual_units_of_measurement#Olympic-size_swimming_pool
Usually plant workers are exposed to these levels only for short periods of time. So it may be 100 mSv per hour dosage, but the person is exposed for 15 minutes, say….but again we don’t know and TEPCO isn’t saying. And to make this even more complicated, this is what one expert told the BBC and there is still a lot of debate regarding radiation dosage. http://www.bbc.co.uk/news/health-12722435
The apology that is offered is something that should have been put for on March 12. Besides that, there is no effort to explain why and how it is different, though only 15% (so far) of the total radiation. TEPCO doesn’t try to separate itself from Chernobyl by emphasizing the release of radiation vs. plutonium explosion. Probably the government had a lot to say about this release, but still my point is that TEPCO tends to simply put out statements without much effort to place them into any context. Granted you are fairly far down the fail food chain if you are trying to differentiate yourself from an accident that occurred in the decaying Soviet Union, but TEPCO doesn’t even try…and never mind that this is from the company president who checked into a hospital during the first week of the crisis.
TEPCO didn’t do this. This is the NYT. At least there is some context, though it is done with fear first and then explanation second. At least the Times tried to put it in context, though I’d like to know what the probability is for eating two pounds of washed broccoli. Of course, you need a 3rd party – you can’t say it yourself – so find one. And this story ran after many had already run about the dangers of radioactive broccoli. http://www.nytimes.com/interactive/2011/04/02/world/asia/assessing-the-radiation-danger.html?ref=asia
http://www.marinos.com.gr/Crisismgt/Crisis%20Management.pdf the was the dawn of the Internet era, many buying first PCs, don’t understand machine or the numbers, and Intel didn’t really help them.
Jibberjabber, jibberjabber: Remember, people are confused by big numbers. These are vague, technical explanations and even the 1:9B statement means little. Many consumers probably thought they did 9B calculations regularly. http://www.nytimes.com/1994/11/24/business/company-news-flaw-undermines-accuracy-of-pentium-chips.html?scp=5&sq=pentium%20floating%20point%20error&st=nyt&pagewanted=1 http://www.nytimes.com/1994/12/02/business/company-news-computer-stocks-tumble-over-chip-flaw.html?scp=4&sq=pentium+floating+point+error&st=nyt
Being slow to explain and define the problem context, it was blindsided by an anxious business partner/competitor. Finally began trying to put it in understandable terms, but by then customer/competitor IBM had decided that it had enough and wouldn’t stand by Intel on this. Would Intel have faired better with the problem if it had presented this number sooner? By being slow to put the problem into understandable terms, it let itself open to broadsides and blindsides. Sources:The Crisis Manager: Facing Risk and Responsibility, Otto Lerbinger, 1997 http://www.emery.com/1e/pentium.htm
BP did the same thing, underestimate the disaster. It is better to come in high on your estimate and then come back. If you come in low and then scale up, people assume that you were lying or covering up…because well it has happened.
But we know audiences get lost in large numbers. so...Now, there’s more to the spill than that, of course, but does this give you a different view of the disaster? Source: http://www.popularmechanics.com/science/energy/coal-oil-gas/bp-oil-spill-statistics http:// en.wikipedia.org/wiki/Gulf_of_Mexico
source:http://www.newyorker.com/reporting/2011/03/14/110314fa_fact_khatchadourian One year after the crisis began, NYR describes it this way… So in the Tokyo Dome, it would be one can of beer. Now then, if you happen to be sitting near that can of beer when it is shaken and then opened and you are rightly very angry. Or if it is spilled within a key electrical control, but this gives perspective. It was serious to those affected.
A couple of numbers. The first one was positive, but largely unknown….The second one was well known and just overwhelmed the first number. AIDS is like radiation in that it gets people’s attention and they remember it. If most people knew anything about Botswana, it was the second number. source:http://en.wikipedia.org/wiki/Demographics_of_Botswana
This allowed me to talk about the solution that was supported with diamond revenue and contrast Botswana’s leadership in the fight against AIDS is Southern Africa as opposed to some of its slower responding neighbors. Granted, this is not a happy ending -- the number is still high -- but it shows progress. And at the same time, Botswana has stepped up the ranks as a tourism destinations. So in the end, this may not be win, but in disasters and crisis your goal may be to simply stay in the game; keep the score down. Lastly, let me emphasize, that my role was small, microsievert-like, in the overall effort which was led by Festus Mogae, who was then president of Botswana. source http://www.avert.org/aids-botswana.htm
http://www.tepco.co.jp/en/challenge/index-e.html If you go to TEPCO’s site now, there are a lot of links explaining the reactor design, radiation. English, Korean, Chinese, but really this is a bit late. Once the public and the press has hold of the story initially it is very difficult to change that impression. As we see with Intel, the numbers are always there, but aren’t really put forward until the public has already gripped upon the initial story and accepted the numbers in a different context.
Let’s be clear about Fukushima Dai-ichi. It is a disaster. There’s no getting around that. 3 for 3 on meltdowns – now that’s a number -- but some of the numbers it has communicated have a complete lack of context that is now being shaped by opponents.
Let’s be clear about Fukushima Dai-ichi. It is a disaster. There’s no getting around that. 3 for 3 on meltdowns, but some of the numbers it has communicated have a complete lack of context that is now being shaped by opponents, such as Greenpeace.