Developing An Organisational Resilience Framework

Aaron Gracey MA MSc PGCE FInstLM

Introduction

• Introduction

• What is OrganisationalResilience

• Research Approach

• The Resilience Model (ORM3)

• Summary

Background• Industry Resilience Specialist

• 25 years in MoD

• Crisis management trainer

• Resilience Consultant to UK CCS

• Industry Programme Change Manager

• Home Office Crisis Management trained

• Rail Industry Strategic Incident Command trained

• Learning Advisor to MoD Intelligence Management programme

What is Organisational Resilience?

What is Organisational Resilience?

• Business Continuity + ?

• Good business planning?

• Common Sense?

• Collaborative working?

• Enterprise Risk Management?

• Glorified Corporate Security

What is Organisational Resilience?• Organisational Resilience is the ability of an organization to anticipate, prepare for, respond and

adapt to incremental change and sudden disruptions in order to survive and prosper – Cranfield Uni

• Organisational resilience is the ability of an organization to anticipate, prepare for, and respond and adapt to everything from minor everyday events to acute shocks and chronic or incremental changes – BS65000: Organisational Resilience

• Organisational resilience is the ability to survive a crisis, and thrive in a world of uncertainty. Resilience is a strategic capability. It isn't just about getting through crises. A truly resilient organisation has two other important capabilities - the foresight and situation awareness to prevent potential crises emerging, and an ability to turn crises into a source of strategic opportunity – Res Orgs

• Organisational resilience refers to a business’s ability to adapt and evolve as the global market is evolving, to respond to short term shocks—be they natural disasters or significant changes in market dynamics—and to shape itself to respond to long term challenges – Australian Gov

What is Organisational Resilience?• Organizational Resilience is the ability of an organization to anticipate, prepare for, respond and

adapt to incremental change and sudden disruptions in order to survive and prosper – Cranfield Uni

• Organizational resilience is the ability of an organization to anticipate, prepare for, and respond and adapt to everything from minor everyday events to acute shocks and chronic or incremental changes – BS65000: Organisational Resilience

• Organisational resilience is the ability to survive a crisis, and thrive in a world of uncertainty. Resilience is a strategic capability. It isn't just about getting through crises. A truly resilient organisation has two other important capabilities - the foresight and situation awareness to prevent potential crises emerging, and an ability to turn crises into a source of strategic opportunity – Res Orgs

• Organisational resilience refers to a business’s ability to adapt and evolve as the global market is evolving, to respond to short term shocks—be they natural disasters or significant changes in market dynamics—and to shape itself to respond to long term challenges – Australian Gov

Proposed Organisational Resilience Definition

Organisational Resilience is:

• A people centric capability based on the strategic co-ordination of organisational resources, adaptive leadership, intelligence, communication and staff development which enables the identification and analysis of strategic threats through shared situational awareness. This enables the preparation, education, contingency planning to enable effective resistance to hazards, multi-level response, recovery and operational sustainability. This is underpinned by a learning culture to drive positive adjustment and adaptation during periods of uncertainty.

Proposed Organisational Resilience Definition

Organisational Resilience is:

• A people centric capability based on the strategic co-ordination of organisational resources, adaptive leadership, intelligence, communication and staff development which enables the identification and analysis of strategic threats through shared situational awareness. This enables the preparation, education, contingency planning to enable effective resistance to hazards, multi-level response, recovery and operational sustainability. This is underpinned by a learning culture to drive positive adjustment and adaptation during periods of uncertainty.

Research ApproachUnderstand

Problem

Review current thoughts and

ideas

Identify and conduct research

in key areas

Test assumptions and findings

Build ORM3 framework

Case Study: UK Capability in Iraq Conflict

• Strategic failure of leadership

• Culture of expectation, without correct preparation

• Poor application of intelligence frameworks

• Lack of clear doctrine, guidance and leadership framework at the political / military strategic leadership.

• Incorrect application of the Comprehensive Approach – poor investment in staff and resources

• Limited resilience of forces on the ground due to strategic issues

Case Study: Jul 2005 Bombings

• 500 trains running at attack

• 200k passengers on the tube

• 2.5k staff on duty

• 52 fatalities

• 700 injured

• All passengers evac in 60 mins

Research Findings• Poor level of understanding of resilience activities within military and industry

• Poor level of strategic leadership within Organisational Resilience domain

• Military saw it “as the day job”; Industry saw it as a financial cost

• Iraq demonstrated strong tactical capability, but limited strategic planning

• Industry “fire-fights” well at tactical level, but poor political strategic leadership

• Poor level of strategic processes integration across industry, leading to crises

• Limited level of crisis management capability within industry

• Poor investment in soft skills in industry

• Risk aware vs Risk Averse cultures causes issues in actions and language

• Organisational Resilience not seen as a “C-Suite” activity

• Silo mentality can damage capability

• Organisational culture can devastate the best developed strategy

• Industry is very reactive, military proactive in approach

Organisational Resilience Model

Organisational Resilience Management Maturity Model (ORM3

CR1

CR2

CR3

Strategic Core

Corporate Culture Maturity

Strategic Corporate Vision

Adaptive Leadership Framework

Organisational Resilience Model

Business Planning

Organisational Resilience Management Maturity Model (ORM3

CR1

CR2

CR3

Strategic Core

Business

Development

Corporate Culture Maturity

Strategic Corporate Vision

Adaptive Leadership Framework

Business

Assurance

Business

Agility

Business

Planning

Business

Governance and

Structure

Organisational Resilience Management Maturity Model (ORM3

Lead

Inform

Prevent

Protect

Respond

Recover

Enhance

BP3 BP4BP1

BP2

BP5

BS3

BS4

BS1

BS2

BS5

AS2

AS1

AS3

BA3

BA4

BA1

BA2

BA5

BD3

BD4 BD1BD2

BD5

CR3

CR1

CR2

AS4

AS5

Using ORM3Industry lead

Organisational lead

Department/ Function level

Localised activity

Adhoc application

No evidence of element

Using ORM3

Strategic element

Business Assurance

Business Agility

Business Structure

Business Planning

Business Development

Industry OrganisationalDept /

FunctionLocalised Adhoc No Evidence

Maturity State Descriptor

Stage 5 (Optimising - Processes / activities are optimised, with

strong leadership and guidance across the organisation.

Departments are implementing best practice and may be

regarded as industry sector leads, exporting guidance and

direction.

Stage 4 (Predictable - Processes / Activities embedded across the

organisation. Processes / activities communicated and well

managed at all levels)

Stage 3 (Established - Processes established and present within

teams. Processes / activities well used and documented at local level. Management team have set policy

and direction.

Stage 2 (Managed -Simple processes at local /

individual level, with isolated learning and

consolidation)

Stage 1 (Basic -Processes in place but

not established)

Stage 0 (Processes not evident)

Operating level Industry Organisation Function Localised Ad-hoc Non-existent

CR

1

Co

rpo

rate

Cu

ltu

re M

atu

rity

This element analyses the level of maturity that the organisation has when it comes to it cultural approach. A high performing organisation would aim to develop an open and culturally diverse approach to the workplace, supporting personnel from numerous faiths and backgrounds. There would be a drive to build an inclusive and just culture, where individuals feel safe to work, free from harassment and blame. A just culture will also a safety focussed approach, with individuals comfortable to raise concerns, issues or events and seek to address and learn from them. As an organisation, there is an embedded values and standards framework, which compliment the industry and government frameworks. There is also a strong presence of Corporate Social Responsibility, building the organisation's reputation as a fair, just and supportive member of the community. Within the organisation there is a culture of learning, with best practice seen as the normal standard to seek to achieve, while the industry looks to the organisation as a benchmark.

Clearly identifiable leadership frameworks, with an inclusive and adaptive culture. Organisation operates within a networked approach, with business elements empowered to function independently. A light touch from the leadership team, with values, standards, policies and direction clearly given and understood. Business functions clearly mapped to ISO or BS frameworks. Also a strong presence of a learning culture. Collaborative multi-agency / department operations are the normal way of business, with the organisation mentoring others and exporting skills / guidance / best practice across the industry sector.

Policies and cultural activities embedded across the organisation, with key activities directed at the promotion of key drivers and motivation behind the drivers. Focus within the organisation is the development of a collaborative approach, embedding engagement, direction and strategic objectives into outcome focussed activities. Successful application of Lean processes and a strong focus on effective management and succession planning across all teams and departments.

Policies in place and in use within elements of the business. Evidence of communication across some areas of the business. Strategic priorities for cultural development identified and agreed by the leadership team. Key goals and strategy in place to enable the development of the required organisational culture. Cultural approach across the organisational is functional, based on achieving key milestones / objectives within defined areas.

Limited level of alignment to government and organisational standards. Few policy documents present. Strategy is not properly aligned to policy documents. Staff leadership programmes not maximised and managerial posts not properly invested in. Limited awareness of multi-agency or collaborative cross-industry operations. Organisational response to culture issues is very reactive.

Organisational policy in place, though not widely known / read within the department. No formal communication evidenced across the organisation, with minimal collaboration at the local team level. No awareness of multi-agency working or benefits of such activity. Cultural is very insular and almost tribal amongst teams, with a reactive nature to disruptive events.

No evidence displayed that the element is being utilised or systems are in place to support the element framework. Poor cultural understanding of diversity, with a lack of goals and policy.

Putting it Together

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