Managing Crises in Matrixed, Projectized, and Flatter Organizations

Transcription

1 Managing Crises in Matrixed, Projectized, and Flatter Organizations Stephanie Douglas, Senior Managing Director Angela Osborne, PCI, Regional Director ASIS Annual Seminar and Exhibits 2017 Wednesday, September 27, :00 AM Experience guides us. Solutions define us. Copyright , Guidepost Solutions LLC. 1

2 Agenda Provide an Overall Review of Traditional Approaches to Crisis Management Explore Organizational Structures and Trends in Organizational Dynamics Discuss the Five Elements of Crisis Preparedness Share Overall Lessons Learned for Working with Non-traditional Structures Questions & Answers 2

3 Structural Considerations Clear Intuitive Effective Aligned with Internal Culture & Practices Reflect Best Practices Resilient Crisis management structure must empower the right people and teams at the right levels to make, implement, and communicate decisions. Deciding what entity can declare a crisis Setting powers of different entities in a crisis Codifying how Crisis Management is escalated through an organization, and how different teams will work together Codifying the composition of individual Crisis Management Team 3

4 Overall Review of Traditional Approaches to Crisis Management Copyright , Guidepost Solutions LLC. 4

5 Overarching Crisis Management Purpose Prevent Incidents Prevent Crises Prevent known risks, threats, and issues from becoming incidents and crises If/when incidents do occur, prevent them from becoming crises Minimize Impact Ultimate Goal If crises occur, prevent them from descending into worst case scenarios to minimize the impact on the organization Secure the future of the organization despite crises 5

6 Pressure/Scrutiny Crisis Management Life Cycle Incident Issue Trigger Crisis Preparedness Crisis Management Predict Prevent Test Assess Manage Recover 6

7 Traditional Crisis Management Organizational Structure 7

8 Strategic Expectations Strategic Educate the organization on specific risks Understand current and potential impacts of a crisis Evaluate threats to entity s current strategic direction Provide overall policy direction Explore potential opportunities Define strategies for mitigation and recovery 8

9 Operational Expectations Operational Coordinate response to external crisis Access resources from other parts of entity Provide access to financial assistance and overall legal direction Ensure offices mitigate their major risks Coordinate communications, assisting as required Coordinate transition to normal operations with affected office 9

10 Traditional Crisis Management Organizational Structure Executive Leadership Team Crisis Leader Crisis Manager HR/ Benefits Security/ Facilities Legal Finance Comms IT 10

11 Organizational Structures and Trends in Organizational Dynamics Copyright , Guidepost Solutions LLC. 11

12 Organizational Structures Functional Most common form, also known as hierarchical Departments grouped by areas of specialization for functions Can create a Siloed Environment Reporting lines are clear and dependent on management layers Projectized Enterprise organized by projects Project Manager controls projects and employees assigned to projects Report to Project Manager Upon completion of a project, employees are assigned to another project Matrix Mixture of Functional and Projectized Report to two managers: Functional Manager Project Manager Both departmental work and project work Level of authority: Weak Matrix Strong Matrix Balanced Matrix 12

13 Functional (Hierarchy) Advantages Clear reporting structure Reliable for maintaining status quo Resilient management structure Already embedded in most organizations Challenges Bureaucratic Often too many layers Communication stagnation Limits collaboration Slow moving Lack of employee experience Limiting Layers Stagnation 13

14 Projectized Organizations Advantages Adaptive & flexible Learn from experiences Clear Line of authority More effective communications in project teams Fast learning curve CEO Challenges Must be dynamic Overabundance of Project Manager power With multiple projects, can have poor communication among teams Sense of insecurity of members Project Manager Project Manager Project Manager Project Manager Analyst Staff Analyst Staff Staff Analyst Analyst Staff Project Manager has full power and authority over resources for project (budget, personnel, work assignments) 14

15 Matrix Organizations Advantages Project and functional objectives highly visible Efficient use of resources Effective information dissemination Retention of experts and specialists High morale & clearer career progression Challenges Complexity Two chains of command Intended to be balanced, but rare Conflicting guidance Slower reaction Product Project Managerial Interface Client Geography 15

16 Flat Organizations Trends No bosses Compensation decisions are peer-based Negotiate responsibilities with peers Self-Management No Titles/No promotions Everyone can spend money Responsible for acquiring the tools to do work 16

17 Why the Trend to Flat Organizations? Cumbersome Costly Bad Judgement Impractical Decisions Slow Parochial Recruitment Needs Tyranny Lack of Personal Ownership 17

18 Flat Organizations Characteristics No job titles, seniority, managers, or executives Self-managed organizations Entrepreneurial (join teams, form team, identify funding for team, recruit for team) Focused on small to medium-sized organizations Advantages Entrepreneurial Highly creative Can be highly collaborative Challenges Accountability and reliability issues Tends to develop cliques Communication blocks Can be impractical for larger organizations 18

19 Who s Practicing Self-Management? W.L. Gore (founded 1950s) Whole Foods Morning Star 19

20 Flat Vocabulary Teal Organization Holacracy Podularity Agile Circle Holacracy Role Lead Link CLOU Designed to enable whole individuals to self-organize/manage Governance in complex constitution, authority, and decisionmaking distributed among fluid circles Basic Unit ( Pod ) treated as microcosm of whole organization Cross-functional, self-managed teams solve complex problems rapidly for changing customer needs Multidisciplinary project team formed organically to work on major goal Set of responsibilities (created, revised, or destroyed) for certain outcome of process Role responsible for assigning other roles and allocating resources Colleague letter of understanding crafted by each employee in consult with relevant colleagues outlining performance metrics 20

21 Discuss the Five Elements of Crisis Preparedness Copyright , Guidepost Solutions LLC. 21

22 Crisis Preparedness Leaders Structure People Procedures Building Relationships & Goodwill To take senior role in crisis To ensure organization can enter crisis operations By training and exercising crisis roles To serve as useful guidance, tools, and templates to help people fulfill roles and work To safeguard invaluable assets far in advance of crisis 22

23 Crisis Preparation: Leaders Building Relationships & Goodwill Leaders Procedures Structure People A. Griffin,

24 Leaders Authority Ownership Leadership Strategic Vision Executive 24

25 Who is Involved in Crisis Management? Global Crisis Team (Executive Leadership Team) Crisis Management Advisory Team Manager Communications Finance HR/Global Benefits Leader Security/Health/Safety Legal IT Subject Matter Experts Role in sharing existing expertise as it pertains to the crisis Crisis Management Support Team Facilitator Board Writer Log Keeper Coordinator ICT Support Administrator 25

26 Key Functions for Crisis Management Benefits/ HR Comms Legal Leadership IT Security/ Facilities Finance 26

27 Crisis Preparation: Structure Building Relationships & Goodwill Leaders Procedures Structure People A. Griffin,

28 Responsibilities Gather information relative to the event Identify and brief relevant stakeholders Evaluate current/potential impacts of event Determine initial actions and recommendations Provide brief to executive level components Manage communications to affected stakeholders Identify other potentially interested parties Coordinate with external components (i.e. law enforcement, regulators ) Manage legal/financial obligations 28

29 Structure How does the team assemble? How does the team determine if a crisis has occurred? Activating the Team Designating the Crisis Communicating with Stakeholders Making Major Decisions How does the organization interact with stakeholders? How does the organization make decision in the crisis? 29

30 Crisis Preparation: People Building Relationships & Goodwill Leaders Procedures Structure People A. Griffin,

31 People Communicating across Tiers/Business Units Trainings & Presentations Sharing Information Making Information Accessible Recruiting for Succession Planning People are the asset that can make or break emergency planning and recovery Emergency planning should be a open process in which all participants can contribute and learn from each other. Dr. Michael Fagel, Security in

32 Crisis Preparation: Procedures Building Relationships & Goodwill Leaders Procedures Structure People A. Griffin,

33 Crisis Management Challenges Speed of Response Calling the Crisis Managing the Media External Coordination Internal Coordination Stakeholder Outreach Long-term Thinking 33

34 Crisis Preparation: Building Relationships & Goodwill Building Relationships & Goodwill Leaders Procedures Structure People A. Griffin,

35 Response Activation Focus Briefing Gather & Collect Known Information Contextual (outside company influence) Legal Clients Economic Establish Contextual Environment Contractors Suppliers Political Facilities Assets Social Staff Partners Lenders Operational (Company control and influence) Environment Bankers Technical Transactional (Company can influence) 35

36 Notifications Media Trends News is social News comes from multiple platforms Hyperlocal news is on the rise Local/State/ Province Authorities Media Client Opinion Leaders Partners Regulators Families Visitors Employees 36

37 Overall Lessons Learned for Working with Non-traditional Structures Copyright , Guidepost Solutions LLC. 37

38 Strategies Non-traditional Structures Flexibility Depth Engaging More People Succession Planning Greater outreach Awareness 38

39 Summary Goals of Crisis Management are the same Organizations must understand their risks and vulnerabilities Crisis Management programs must be modeled on organizational culture The plan must meet the specific needs of the organization Understanding roles and responsibilities is more important than assigning strict positions Communication should be proactive and transparent Crisis Management Team members must train and exercise together Identifying and considering stakeholders in response efforts is important across organizations. Crisis Management recovery is about striving for continuous improvement. 39

40 CONTACT INFORMATION Stephanie Douglas Senior Managing Director Angela J. Osborne, PCI Regional Director 40