“The tragic events of today cannot be remedied with words. Our hearts go out to the victims and their families. You may be certain that although no one can predict tragedy, we have invested heavily to prevent or mitigate its consequences.”
Many an unlucky CEO has had to utter a speech similar to this in the wake of disaster. Questions whirl in the minds of shareholders, stakeholders, the public, and sometimes regulators: Could this result have been avoided? Did the company do everything it could? Can corporate leaders be trusted to invest in remedying any contributing factors and cleaning up the mess?