BP’s embattled Hayward ‘let down’ by chairman

BP may have made significant progress in its attempts to contain the devastating oil spill in the Gulf of Mexico over the weekend, but it will do nothing to lift the reputation of CEO Tony Hayward, currently America's favourite corporate hate figure.

The company says it is currently siphoning off 10,000 barrels per day from the breached Macondo oil well after fitting a funnel over a broken pipe. But Hayward can expect many more comment articles like the one in the Washington Post asking: "How is it possible that BP chief executive Tony Hayward hasn't been fired?"

However, there are signs the worm may be turning – at least in Britain. Flying in the face of the majority view that he cannot possibly survive as CEO, some are now questioning why it is that Hayward (above right) has been left facing the rather hypocritical opprobrium of the oil-addicted US while his chairman, Carl-Henric Svanberg (above left), is nowhere to be seen.

Svanberg, the ice hockey-playing former CEO of mobile phone company Ericsson, is supposed to be a Swedish Richard Branson – with all of the media savvy that implies. But, despite being paid £750,000 a year for working just two to three days a week, the 58-year-old has been virtually anonymous since April 20 when the Deepwater Horizon oil rig exploded, triggering the current oil spill.

In an article titled, 'How far do we have to drill to find BP's chairman?' the Independent on Sunday's business editor Margareta Pagano points out that Svanberg has made only one public statement since the oil spill began. She asks why he isn't taking control of the situation and appearing 24/7 in the media.

"It's not clear whether Svanberg is out of his depth or just has not cottoned on to the enormity of what's happening," she writes. "Either way, the ice-hockey-playing engineer needs to move pretty smartly to get his act together."

But the problem of absent chairmen may not be limited to BP. Alex Brummer, writing in the Daily Mail last month, suggested it may be a modern corporate malaise. "What happened to the robust, full-on, outspoken company chairman?" he asked.

"One of the key jobs of the chairman - especially the modern breed earning 'fat cat' salaries - is to be the public face of the company and protect the chief executive in difficult times."

Brummer points out that British Airways CEO Willie Walsh has had to handle the ongoing cabin crew strikes alone while his chairman, Martin Broughton, "has decided to dabble in football with a spell as Liverpool's chairman".

If they are not prepared to get their hands dirty, perhaps these dilettante chairmen can assume a new role – as easily expendable fall-guys for CEOs who would actually be missed if they were forced to depart. Last night the Independent was reporting that BP directors are calling for Svanberg to resign for mishandling the oil spill.

"Mr Svanberg should be there with the CEO showing the world that BP is doing everything it can to clean up the mess, offering to pay the necessary compensation and be the public face of BP. He has left him [Hayward] out to dry," said one director, who was not named.

"It's not Hayward, but Svanberg who should go," said another, who was adamant that BP staff were fully behind their CEO. ·