ON THE ROCKS

CASE STUDY #313

A National Hospitality Management Group Responds to Sexual Assault Allegations

CLIENT’S CHALLENGE 

Headquartered in the Southwest, this hospitality management company oversees a portfolio of high-profile restaurants, bars and nightclubs in central and southwestern U.S. states. Within several weeks, the company was presented with independent lawsuits filed by two women alleging that, in one of the company’s facilities, their drinks had been spiked and they had been raped. The cases alleged negligence, charging the management group with not doing enough to ensure the safety of all patrons.

Strategia was engaged when the charges were first filed. “We are very concerned about our customers,” one of the group’s senior executives said. “As this matter proceeds through the justice system, we want to be very sure that any questions raised by our clientele – through the media and other channels – get answered right away.” The company also asked that Strategia conduct a comprehensive assessment of its communications, internally and externally, across all its establishments, to ensure that its various teams at both the company and local site level were sharing information appropriately before, during and after crises.

THE STRATEGIA SOLUTION 

As the local police department conducted its investigation, Strategia’s representatives reached out to many local media outlets. "We have a very serious situation,” the firm’s spokesperson said, “and a company that's doing the best it can." As the company’s attorneys tackled the legal issues, Strategia conducted an end-to-end assessment of its communications to its many constituencies – from its customers, staff and shareholders to the media and even regulators in its local markets. Strategia’s final report included findings and recommendations to improve overall organizational efficiency.

 

IMPACTS + OUTCOMES 

The client’s leadership team accepted the report’s key findings in full. Immediately after reviewing Strategia’s report, it engaged the firm in a long-term contract to help execute every one of its recommendations over a 12-month period.