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Leadership in Crisis: Toxic Donations at MIT (B)
Business Ethics and Corporate Social Responsibility, Knowledge and Communication, Leadership and People Management
English , Spanish
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Reference: DPO-755-E
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Number of pages: 11
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Publication Date: Jan 28, 2022
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Source: IESE (España)
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Type of Document: Case
Description
In 2019, media revealed that the MIT Media Lab was accepting donations from a wealthy individual who had been convicted of sexual misbehavior in the past, and more recently as a serial predator. Internal and external stakeholders reacted with contempt and anger. Media Lab first reaction was insufficient, and its director had to resign. The problem then passed to the president of MIT. Part B covers the initiatives for recovery and renewal.
Learning Objective
This episode is a very good example of a crisis whose roots are in the corporate culture. The class discussion will examine what strategy to follow when finding an internal problem top management is not aware of, and how to transform a big problem into a good opportunity for cultural renewal.