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Snap Out of It! (Part 3)The past two issues have explored the personal and workforce aspects of resilience, that “bounce-back” quality that is in such
demand in our turbulent times. In this article, we’ll take a look at the bigger picture, what I call organizational resilience. Organizational resilience can be defined as the ability to weather major discontinuities in the system and adapt to new types or levels of risk in the operating environment. Since the attacks of September 11, 2001, we have all become painfully aware of how much the global environment has changed, and subsequent events
have driven home how interdependent our world has become. Not only governments, but businesses and organizations of all kinds, large and small, are now part of the networked world. We’re familiar with the tremendous advantages – organizational, economic and social – that networks have brought us, but beyond a vague sense of insecurity, not many companies have delved deeply into the unprecedented vulnerabilities that networks create.
Traditionally, businesses have thought in terms of protecting hard assets – buildings, people, inventory, cash – both physically and by insuring them against risk of damage or destruction. In a networked world, that approach is insufficient. There are new risks to operations and earnings posed by complex interdependencies among all sectors, public and private. Local problems or disruptions now ripple across geographic and sector or
organizational boundaries with unpredictable speed and severity. A port closing in a far-flung location or the misdeeds of a single currency trader can now disrupt supply chains across an entire industry or bring down a centuries-old financial institution. At the same time, heightened expectations for senior executives and corporate boards to protect stakeholders against large-loss risk have tightened the responsibilities of management to
anticipate and guard against disruptions and discontinuities. A recent survey of Fortune 1000 financial executives found that fewer than one-quarter of the respondents believe their current risk management efforts sufficiently address key areas of contingency planning. Governments, and in particular the military, have moved from traditional risk management techniques to a “defense in depth” model which relies on a layered approach to security.
Forward-looking businesses are beginning to think the same way. For an organization to become resilient in this new global context, its leaders must integrate risk management into the most fundamental aspects of strategic planning and performance. A recent article in the journal Strategy & Business reports on how some businesses are approaching this challenge. The authors suggest several key questions for leaders to ask to diagnose the
resilience of their organizations, among them: - Is the complexity of the organization transparent?
- Are interdependencies understood and interdependency risks identified?
- What programs are in place to ensure the viability of key business drivers and are these programs fully aligned with corporate strategy?
- How good is our situational awareness – do we have enough business intelligence and does it get to the right people in enough time to act on it?
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Who is accountable for resilience, and how do we make decisions and measure progress?
They advocate, among other ideas, a crisis simulation approach, citing a recent exercise jointly conducted by the consulting firm Booz Allen Hamilton and the Conference Board that yielded great insights into industry vulnerabilities and mitigation strategies. The value of this “war-gaming” methodology is that it exposes assumptions and uncovers solutions that are not always apparent
to the players, and it forces them to think differently about risk. Other methodologies for strategic planning in uncertain times, especially a powerful and proven approach called “scenario planning”, can also generate new possibilities for leaders who want to build flexibility and adaptability in their organizations. Out of these new perspectives can come new strategies for organizational resilience in today’s challenging new world. Are you interested in incorporating resilience planning into your organization's next strategic planning retreat? Visit our website and call or email us for more information. |
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Forty-seven percent of senior executives interviewed for a recent survey of Fortune 1000 companies are dissatisfied with or ambivalent about the performance of their human resources departments. The most common reason for the dissatisfaction is response time.The rest—53%—are satisfied or extremely satisfied. On the other hand, another study found that about 90% of high-level execs at large companies evaluate their human
resources functions on criteria that many people feel aren't tied to business results—such as employee turnover, morale/satisfaction and human resources expenses. Less than 50% of companies use workforce-management measurements such as revenue per employee or return on human capital. Ninety-five percent of executives and managers keep lists of things to do, even knowing they won't accomplish everything on them. Most executives and managers have anywhere from six to 20
items on their to-do at any given time, based on recent survey data. The largest percentage of managers gets to between half and 70% during the day. However, less than one percent of them accomplish everything on their list daily - even getting through three-fourths of the items is accomplished by only 17%. (Feel better?) In the 1960s, supermarket shoppers had 7,000 products to choose from. Today, they can buy any of 40,000 baked goods, dairy
products, or packaged and prepared foods, according to the Institute of Food Technologists. 
Internet2 Internet2, or I2, as it's known, is a global network driven by more than 200 universities, with participation by a few advanced technology companies. Its aim is to develop advanced network
applications and technologies to create the next generation of the Internet. It even has its own website: http://www.internet2.edu/ 
 Whale Rider, a current movie from New Zealand. What I like about it: The movie is a beautifully-filmed exploration of the loss of traditional Maori culture, and at the same time a spell-binding story of a young girl’s courage and
persistence in living into her own destiny as a leader of her people in the preservation of the ancient ways of knowing.
Beth Bloomfield
Executive Coach, Strategy Consultant
Principal, Bloomfield Associates
The Art of Possibility: Transforming Professional and Personal Life, by Rosamund Stone Zander and Benjamin Zander. What I like about it: The renowned conductor and his psychotherapist wife have written an engaging, practical and thoughtful read. Their message: when we bring compassion, grace, and humor to our work, we tap into our creativity and native gifts, and thereby, we enhance our contribution. By acknowledging all that we are ... body, mind, and spirit ... we
and the people we influence are better off for it.
Clarice Scriber
Executive Coach and CEO
Clarity Consulting, Inc.
Share what you’re into — books, articles, movies, music, websites — with others on the list! Send us the title and author or other pertinent information, along with a sentence or two on what you like about it, and if we use it in A Different Optic we’ll not only quote you, we’ll provide a link to you or your website. |
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"If we are all in agreement on the decision . . . then I propose we postpone further discussion of this matter until our next meeting to give ourselves time to develop disagreement and perhaps gain some understanding of what the decision is all about."
— Alfred P. Sloan, Jr. (1875 - 1966), US auto executive |
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The Georgetown University Leadership Coaching Certificate Program is growing in reputation and popularity, and this fall there will be two concurrent runnings of the program. Beth Bloomfield, a member of the faculty, will be coaching members of a student Learning Team in one running, and sharing teaching responsibilities in
the other running for the module on “Coaches’ Toolkit” with Lloyd Raines. It’s August and everyone’s on vacation. If you or someone you know is planning a fall executive leadership retreat, why not consider adding this lively and topical workshop to the agenda: How to Stay Alive When You’re Being Eaten Alive. It’s fast-paced and full of practical tips on managing yourself, your time,
and your energy as a new season begins. Email or call Beth Bloomfield at 410-626-6008 for more information. | | |
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