Showing posts with label Nut Rage. Show all posts
Showing posts with label Nut Rage. Show all posts

Monday, December 29, 2014

The intertwining of family malfeasance into corporate Chaebol dynasties has been further revealed in ongoing investigations into the Nut Rage case. Prior posts are here (lessons learned) and here (the stink of bad management).
YonHap News reports that an internal Ministry of Land, Infrastructure and Transport (MOLIT) audit into their own investigation of the Nut Rage case has revealed improper conduct and has led to the reprimand of eight ministry officials.  (YonHap News)
Ministry of Land, Infrastructure and Transport
The transportation ministry said Monday that it will reprimand eight ministry officials involved in the recent investigation into the "nut rage" case for their unfair manner favorable to the former vice president of Korean Air Lines Co. 
The ministry investigation had concluded Cho Hyun-ah, the former vice president of Korean Air, did in fact cause a scene, but that an order to turn the plane around to its boarding gate to drop off the head purser had come from the captain of the flight. 
Based on such a conclusion, the ministry had filed a complaint against Cho with the prosecution on suspicions of causing a disturbance aboard a flight, which carries a maximum penalty of a fine of 5 million won (US$4,555), presumably a petty amount for the daughter of Korean Air chairman Cho Yang-ho.
The prosecutor's office apparently had enough information from from its own investigation to charge Cho Hyun-ah with larger crimes:
Two accounts of aviation safety regulation violations, including coercion and interference in the execution of duty that led to a change in flight plan, crimes punishable by a prison term of up to 10 years.
I am surprised at the pace of the recognition and response to the improper behavior of the MOLIT officials. Nut Rage only occurred on December 8.

This evidence of the overbearing power of the Chaebols into Korean regulation and public safety government offices can only feed fuel to the anti-nepotism movement in Korea.


Sunday, December 14, 2014

"Nut Rage" Lessons Learned

I peripherally was aware of some incident in Korea leading to some executive's resignation.
Today I read that

Sales of macadamias soar in Korea after nut rage


A headline like that peaks my interest. The story is that the daughter of the of the CEO, who is also an executive whose role included head of in cabin services, caused a delay in a flight she was on because she was served incorrectly by a flight attendant.
Cho Hyun-ah, the daughter of Korean Air's chairman, forced a flight attendant off a Dec. 5 flight after she was served bagged macadamia nuts, not on a plate. (Reuters via Omaha,com)

This reminds me of when a manufacturing team responds to a quality incident with "the employee did not follow procedures".  Or they respond with a worse response, "the employee did not follow procedures and was disciplined", as though that makes me feel better.

The correct response when a process is not followed is to figure out why the process was not followed and take measures to ensure those root causes are addressed.  In the case of the "nut rage" incident I could not find details about why the nuts were improperly served. Had the pantry been restocked with clean plates?  Had Ms Cho arrived at her seat too close to lift off? What were the circumstances?

Here is how the whole thing went down.  If I saw this in a movie I would say it was over the top and unbelievable, but this actually happened.  Really?
Cho Hyun-ah, who has since resigned as head of cabin service at Korean Air, was angered when a flight attendant in first class offered her macadamia nuts in a bag, not on a plate. She ordered him off the plane and forced the flight to return to the gate at John F. Kennedy airport in New York City.
"People who haven't experienced will not understand that feeling of being insulted and shamed," senior flight attendant Park Chang-jin told South Korea's KBS television network on Friday.
After being confronted about the nuts, he said he and his colleague kneeled down before Cho.
He said Cho poked the back of his hand with a corner of the flight manual book several times.View galleryCho Hyun-ah, who was head of cabin service at Korean …Cho Hyun-ah, who was head of cabin service at Korean Air and the oldest child of Korean Air chairman …
According to Park, Cho yelled at the crew to "call right now and stop the plane. I will stop this plane from leaving." Park said that in such a situation, he could not dare to refuse the "owner's daughter."

Kang Kyung-hee (from the Chosun Ilbohad a good perspective on this incident:
   There may or may not be good reasons to depart from in-flight service practice. But at issue is not how macadamia nuts should be served but what kind of service the airline provides and where its priorities lie.
   Cho Hyun-ah was indeed in charge of Korean Air's in-flight service, so the issue fell within her remit, but it is clear she had no idea what matters or not. She owes her notoriety to her fixation on trivial details without any grasp of the big picture.
   Now many people will remember Korean Air as the carrier that delayed a flight over a bag of nuts. The carrier spends W50-60 billion (US$1=W1,103) a year to promote its corporate image, but it took nothing more than a salted snack to undo that massive expense.
   Management guru Jim Collins, in his book "Good to Great: Why Some Companies Make the Leap … And Others Don't," makes a useful distinction between corporate leaders for whom rules are important and those who run around enforcing them at every turn. The former put rules to good use, while the latter turn them into serious impediments.
   Korean Air then made matters worse with a desperate attempt to defend the heiress' actions by claiming her behavior aboard the flight was legitimate. That only threw into sharper focus the nepotism and servility that are rampant throughout such organizations.