MrBeast needs to overhaul his company culture to bounce back, experts say (2024)

The Times said some contestants were hospitalized because of injuries sustained during production, though it's not clear how severe these injuries were.

A spokesperson for Donaldson told The Times that the shoot "was unfortunately complicated by the CrowdStrike incident, extreme weather and other unexpected logistical and communications issues."

They added that a formal review was underway "to ensure that we learn from this experience."

Donaldson, 26, has also faced backlash on a personal level. In July, the creator cut ties with an employee and friend who was accused of sending inappropriate messages to a minor.

At around the same time, Donaldson released a statement apologizing for using racist and hom*ophobic language earlier in his career after some of the comments he made resurfaced online.

The Associated Press reported on Friday that MrBeast's company had sent a confidential memo to staff saying that "allegations of inappropriate behavior" would be investigated.

Per AP, the memo shared plans to hire a HR officer in addition to the implementation of company-wide sensitivity training as part of a full assessment of the company's internal culture.

"As your leader, I take responsibility, and I am committed to continue to improve and evolve my leadership style," Donaldson wrote, according to AP. "I recognize that I also need to create a culture that makes all our employees feel safe and allows them to do their best work."

Beast's reputation is on the line

Tim Mart, founder of Know You More, a coaching and leadership platform, told Business Insider that the memo itself "might not be enough to completely resolve the issue."

"He has to prove that he not only understands the mistakes he has made but also has dedicated his own time and resources to fix them," Mart said, adding that Donaldson should personally participate in the sensitivity training rather than making it a requirement only for employees.

"It cannot be a Band-Aid or simply a reputation management and marketing tool," he said.

What Donaldson needs is a complete overhaul of his company culture.

The YouTube megastar has previously avoided traditional job titles, preferring to call his employees "friends of friends."

He wanted to promote a fun and modern workplace "separate from the rest of the entertainment industry," one former staffer told Time.

Experts previously told BI that leaning away from traditional work structures, such as disregarding job titles, may give the illusion of an employer providing a better culture, but in reality, these frameworks persist because they're important. Donaldson may have to rethink his strategy.

Evan Nierman, founder of the PR firm Red Banyan, told BI that Donaldson made a "necessary and positive move to address the controversy" and said this should be followed by an "ongoing conversation with his community."

"This would not only help to repair any damage from the past, but also position him as an imperfect but open and self-aware leader who takes his enormous responsibility seriously and truly is an example to be held up for praise," Nierman said.

Lucas Botzen, CEO of the workplace platform Rivermate, agrees with Nierman. He said that structural changes would not be enough to mend Donaldson's image. He added that open communication should be a focus.

Botzen suggested that Donaldson introduce a platform "through which employees would share experiences and post suggestions anonymously, hence ensuring that the company culture is developed in an inclusive and representative way."

At the time of writing, MrBeast has 308 million subscribers on YouTube, making him the most popular creator on the site. Hemade a name for himselfby participating in viral challenges, giving away money and cars, and more recently, fundingeye-sight surgeries.

In his recent Time profile, Donaldson said he didn't consider himself rich, despite making up to $700 million a year, because he reinvested everything he earns.

"If I was on MrBeast's advisory board, I would urge him to go back to his roots and foundational value of spreading kindness and double down on 'giving back,' especially to some of the affected communities," Katya Varbanova, marketing expert and owner of Viral Marketing Stars, told BI.

"It's 2024, and culturally, social media is looking for influencers and brands to take 100% responsibility, do their best to make amends, and put their money where their mouth is," she added.

"Every move Mr Beast makes has the power and opportunity to inspire—and this is a golden opportunity to do so," Nierman said.

Representatives for MrBeast did not immediately respond to a request for comment from BI.