Running on Fumes

I needed a while to process the response I got from Hilton Hotels Corporation, as well as the feedback and more info I got from some of the milbloggers and others before wandering into what I believe will be "interesting" (as in the old Chinese curse) territory.

While I did not talk directly to Marc Grossman, I did indeed speak with Matt Hart, President and COO of Hilton Hotels Corporation. I have to tell you, there was nothing insincere, nothing glib about Mr. Hart. In fact, I felt a little bit sorry for the man. He sounded tired and completely overwhelmed. While the GM of the Capitol Hilton may be a PR-challenged, Mr. Hart himself expressed that this is Hilton's worst PR nightmare.

As for Mr. Grossman's letter, he's a Sr. VP of Corporate Communications. Of course his letter is going to sound polished. That's his job.

I believe Kelleher's response to these questions:

· Was anyone with corporate communications/public relations involved in this decision prior to it getting publicity? No.

· Who from corporate communications/public relations and legal were involved in reviewing and/or vetting the answers to these questions? These answers none. I appreciate the opportunity to discuss them as best I can with you. Communications from corporate can be addressed to Lisa Cole, Dir of Communications.

· Was this a local business decision, i.e. made by you or within the management of the Capital Hilton; or, was this decision made on a corporate level? If the latter, where in the corporate hierarchy was this decision made? It was a local lease decision.

It appears that Corporate has been handed a paper sack containing a hive full of angry bees by a rogue General Manager. If you are up to your ass in emails and bad publicity, the last thing you do is go out and answer questions, in print, without clearing every single word with Corporate Communications... and you'd be even smarter to fly it all past the General Counsel. Clearly Kelleher is an idiot... and harmful to the corporation.

As for the folks up at the board level... well... when you're being told you are a really, really, really terrible person, instinct is to defend yourself, not to reach out directly to the people calling you those bad names. Some people are better at resisting the impulse to strike back than others. I'm tipping my cap to Mr. Hart, for the courtesy of calling me directly. The letter from Grossman was good, but Mr. Hart's phone call was exactly what HHC should be doing a hell of a lot more of.
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Many years ago I worked for a family law attorney, and if I learned one thing from that experience, it's that when there's a divorce, there's always at least a little fault on both sides. I watched people waste huge amounts time, emotion and money on placing blame, rather than working together to come to an quick and equitable settlement that leaves everyone with some dignity intact.

To the folks at Hilton -- at this point it's not about whether or not there are issues with the owners of Fran O'Brien's. It's not about "winning." It's not about being "right." It's about public perception of HHC, and I'd hazzard a guess that right now HHC has a lower approval rating than Osama bin Ladin. That's not good. You can still be heroes. Go read some of those blog posts linked above. Forget, "We have no choice by the discontinue the relationship with Fran O'Brien's." From a public perception point of view, you have no choice but to reopen negotiations." It'll buy you more in goodwill in the long run than you'll ever get back in cash by kicking them out.

To the angry hordes -- Kelleher's canned and snotty answers are not the same answers I got from Mr. Hart.
Instead of saying that HHC isn't being responsive, send him a letter (9336 Civic Center Drive, Beverly Hills, CA 90210), a fax (310-205-7686) or an email (matthew_hart@hilton.com). Do it with an open hand, rather than a clenched fist. You just might get a personal phone call in return. And you're more likely get the results you're looking for that way, too.
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One more thing -- When I spoke with Mr. Hart, I told him I was going to post about our conversation. He told me that wasn't necessary. Yes, I believe it was necessary.
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