Entitled Leaders Are an Extinction-Level Event for Businesses
If you have spent any time in business, you have worked with individuals with an overinflated sense of entitlement. They are the salespeople who drink too much and abuse their expense account because their ability to keep the business growing insulates them from consequences. Sometimes they manifest as the child of an executive who believes they will inherit the industry, like a feudal lord. If left unaddressed, they will destroy the company's culture and profits to satisfy their own selfish needs. While we were enjoying the Thanksgiving holiday, another example dominated the business headlines, and I want to take time to discuss it.
The Campbell's company is going through a rough patch. The company rebranded itself in November 2024 to reflect that it is a food company that does more than sell soup. It is facing an investigation by the U.S. Environmental Protection Agency for dumping wastewater into rivers in Ohio. They are also confronting the 'K' shaped economy, where people below the median income level are struggling with price increases, while those in the upper income brackets are spending at a normal pace.
It is a difficult time to be working at the company, and I am sure the pressure impacts everyone from the board to the executive leadership, office staff, and people working in the manufacturing facilities. The discovery that a Vice President had disparaged South-Asian colleagues and their product right before the holiday further escalated the already complicated situation. Because the company fired the employee in retaliation, the news reached the public and a courtroom. Now, Martin Bally, the offending executive, is facing serious financial jeopardy and has lost his job.
Bally is recorded in depositions saying, "We make sh*t for fucking poor people," and noted that South-Asian employees from India, "… couldn't think for their f*cking selves."
The most significant offense is the contempt he had for the quality of his own company's product.
"It's not healthy now that I know whatwhat the fuck's in it, bioengineered meat. I don't wanna eat a piece of chicken that came from a 3D printer."
It astounds me that people like Bally get into leadership positions. I am also not surprised the company attempted to protect him to avoid legal and reputational consequences. Unlike plenty of people who suffer from the actions of people like Bally, the victim decided to fight back and record his abusive boss. I do not think a jury will have any problem awarding a significant judgment against Campbell's for wrongful termination and workplace retaliation. When someone feels entitled like this, it creates a cancer in the office where the rules apply to others but not to oneself. It metastasizes into contempt for the organization and customers alike.
So far, the damage done is reputational, and I hope Mr. Bally never receives a leadership role again. The stock price is remaining steady, and people need to eat, so Campbell's is continuing to sell to rich and poor alike. Credible action on accusations of harassment and hostile working conditions is the essential lesson organizations must take from this incident.
The old days of business, when the company was the center of gravity with customers orbiting around it, are gone. Today, the customer is the center of the business universe, and business leaders who ignore that, like Mr. Bally, risk ruining their organization. One less entitled person like Bally means a better environment for everyone else. I cannot think of a better way to start the holiday season.
Until next time.
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