Boing goes Boom
Boeing fraud, 5 magic questions, and CNN gets what it deserves
When I was in college, I had a fraternity brother who studied engineering and took a job at Boeing following graduation. We were all impressed, because we knew how smart and dedicated the kid was, and felt like a paragon like Boeing was the natural home for his career advancement. If there was a gold standard of corporate citizenship in the world, it was Boeing.
My how the times have changed. Last month the CEO of Boeing, David Calhoun, was roasted by Congress for the abysmal safety track record of its new flagship product the 737. Before delivering his opening remarks, Calhoun stood up and held a picture of the 346 lives claimed by crashed 737s and said “I apologize for the grief that we have caused,” he said.
In a stark reflection of its current predicament, Boeing has now pleaded guilty to a felony charge of conspiring to defraud the federal government, tied to the tragic 737 MAX crashes of 2018 and 2019 that claimed those lives. This guilty plea allows Boeing to sidestep a potentially damning trial, but it does little to reassure those who doubt the true efficacy of such accountability measures, particularly given the company's critical role in national defense.
Recall that in 2021, Boeing escaped prosecution for a similar charge by entering into a settlement with the Department of Justice. They agreed to implement new safety and compliance programs, only to be accused by the DOJ in May of failing to uphold these commitments and further misleading federal regulators. The current plea deal, disclosed late Sunday, imposes a $243 million fine and mandates a $455 million investment in safety and compliance, along with the appointment of a third-party monitor. In the style of a made-for-TV movie, the whistleblower who brought the violations to light was murdered under more-than-mysterious circumstances.
The broader implications for Boeing are substantial. Felony convictions can jeopardize defense contractors' eligibility for future government contracts, a significant threat considering nearly 40% of Boeing's revenue last year came from such contracts. However, the deeply intertwined relationship between Boeing and the federal government suggests that an outright ban is improbable. Experts argue that the government's reliance on Boeing's unique capabilities will likely shield the company from the full brunt of potential repercussions.
This plea deal still requires the approval of a federal judge, with the families of crash victims expected to urge rejection and push for a trial. Moreover, the deal offers no immunity to Boeing's employees and executives, nor does it protect against future charges related to recent near-disasters. Boeing's path to redemption, both legally and reputationally, remains fraught with uncertainty and the guy at the helm is not the guy to fix it.
"The less talent they have, the more pride, vanity and arrogance they have. All these fools, however, find other fools who applaud them."
— Erasmus
Ryan Levesque was a Brown University neurologist who wanted to get rich. He formulated a system of questions that every human wants answered and developed what he called “The ASK Method” to systemize them into a usable framework for solution oriented sales conversations. His premise is that each question should uncover deep insights about customers’ needs, preferences, and pain points. These questions are designed to help businesses understand their audience better and tailor their offerings accordingly.
Here are the five questions:
What’s the number one thing you need? / What's your single biggest challenge?This question aims to identify the primary pain point or obstacle that the customer is facing. Understanding this helps in crafting solutions that directly address the most pressing issues for the audience.
What’s the number one thing you want? / What’s your most urgent goal?
This question seeks to understand what the customer is trying to achieve in the short term. Knowing their immediate goals allows businesses to offer timely and relevant solutions that align with the customer’s current priorities.
What’s your biggest fear or frustration in your business?
This question digs into the emotional aspects of the customer’s challenges. Understanding their fears and frustrations can help businesses address these concerns more effectively in their marketing and product offerings.
What’s your ideal solution?
By asking this, businesses can gauge what the customer envisions as the perfect solution to their problem. This helps in aligning product or service development with the customer's expectations.
What do you want to learn more about?
This final question is about understanding the customer’s interests and informational needs. It helps in creating content and resources that can educate and engage the audience further, fostering a deeper connection.
Can you imagine a sales interaction that starts out with this process instead of launching into some detailed explanation of product features and pricing before you’ve even decided what your
“Unsolicited advice is criticism. Always.”
— Karolyn Sharp
[Read that again]
It couldn’t happen to a nicer network. CNN, grappling with declining TV viewership and revenue, is embarking on a significant strategic pivot under the guidance of CEO Mark Thompson. The company announced a reduction of approximately 100 jobs, representing nearly 3% of its workforce, as part of a broader initiative to revitalize its digital presence.
Thompson's plan, communicated in a memo to staff, includes the introduction of a video-centric subscription product via CNN.com and the introduction of paywalled lifestyle content. This move follows the ill-fated launch and subsequent shutdown of CNN+ two years ago and the more recent debut of CNN Max, a live news streaming platform available through Warner Bros.' Max.
This is stunning to me. CNN has an in-built political bias; all organizations do. Instead of advertising it, like MSNBC and Fox News do, CNN doesn’t recognize it has one. It believes that everyone really thinks like it does, and that it represents a centrist form of common thought currency. It’s a tremendous testament to how long a founder’s DNA (Ted Turner, a left of center personality who believed that everyone believed like he did, and that they needed him to remind them of it), can remain in a culture. Now, when the time for introspection, identity clarity and future planning is needed more than ever, CNN decides that it isn’t the message that needs to change but the medium. And why?
CNN's prime-time viewership has steadily declined over the years, falling behind competitors. Last year, the network's profit dipped below $1 billion for the first time in years, compounded by a nearly 40% drop in advertising revenue in early 2023 compared to the previous year. These challenges are reflective of a broader shift in news consumption, with the majority of Americans now obtaining at least some of their news through digital platforms.
As CNN navigates this transitional phase, it aims to align more closely with contemporary news consumption habits, seeking to bolster its digital footprint and appeal to an evolving audience. But until it unashamedly stands up and says “This is who we are; This is what we believe”; it will continue to wither and die.