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Mapping Activity to Understand Risk Russ Briggs SADIA International.

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Mapping Activity to Understand Risk Russ Briggs SADIA International
Transcript

Mapping Activity toUnderstand Risk

Russ Briggs

SADIA International

SADIA’s Approach to Risk Mgmt

• Cultural (how an organization processes information and how that impacts risk)

• Strategic (how an organization thinks about risk, and the management of risk)

• Tactical (the steps an organization takes to reduce and/or mitigate risk)

What does SADIA’s process entail?

• Start with an objective (risk you want to measure)

• Identify the overriding insight (e.g. leveraging across the enterprise to create synergies and protect enterprise value)

• Position the product/service in the market

• Identify the overriding theme

• Empower staff to carry out the activity

We start with an Objective

• Reduce Uncertainty

• Preserve Value

• Increase Revenue

• Avoid Cost

• Improve Service

We develop an Overriding Insight

• For example, Four Seasons founder Izzy Sharp discovered customers on the road longed for the comforts of their home and office

• Let’s look at how Four Seasons was able to take advantage of that insight to become a global leader in luxury accommodation

Four Seasons Activity Map

Overriding Insight: Customers on the road long for the comforts of home and office

Four Seasons Activity Map

• Product will be positioned in the marketplace as a medium-sized hotel in an intimate setting

• Supported by location-based guest database

Overriding Insight: Customers on the road long for the comforts of home and office

Four Seasons Activity Map

Medium-sized,Intimate Hotels

Overriding Insight: Customers on the road long for the comforts of home and office

Four Seasons Activity Map

Medium-sized,Intimate Hotels

Overriding Insight: Customers on the road long for the comforts of home and office

Location-basedGuest Database

There was a problem!

• There were not enough rooms in a medium-sized property to cover the cost of luxurious amenities and still be profitable

• Sharp realized he would have to set a new standard in customer service in order to charge premium rates

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Location-basedGuest Database

How to deliver a unique customer service experience?

• Make sure your entire staff is totally focused on the customer experience

• Establish a superior staff service capability– Extensive recruiting process– Global in-house staff training– Low personnel turnover due to in-house

promotion as key incentive

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

Location-basedGuest Database

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

ExtensiveRecruitingProcess

Location-basedGuest Database

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

GlobalIn-house Staff

Training

ExtensiveRecruitingProcess

Location-basedGuest Database

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

Low PersonnelTurnover

GlobalIn-house Staff

Training

ExtensiveRecruitingProcess

Location-basedGuest Database

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

Low PersonnelTurnover

In-house Promotionas Key Incentive

GlobalIn-house Staff

Training

ExtensiveRecruitingProcess

Location-basedGuest Database

How to reinforce that message?

• By binding the staff to the product through the principle of the Golden Rule: to deal with others – customers, partners, co-workers, everyone – as we would want them to deal with us

• By making customer service everyone’s priority – How? Eliminate the customer service dept

i.e. customer service is everybody’s business

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

Positioning Four Seasons in the Marketplace

• Globally recognized luxury brand– Global sales and booking network– Web site for easy access to location data– Global procurement department

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

GlobalProcurementDepartment

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

What we do and what we don’t!

• We manage hotel properties – we do not invest

• We offer a total hotel management program– Consulting to evaluate new locations– Design and architecture support– Expansion into resorts and time-sharing

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

GlobalProcurementDepartment

Focus onHotel Management

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

GlobalProcurementDepartment

Focus onHotel Management

Consulting to Evaluate New

Locations

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

GlobalProcurementDepartment

Focus onHotel Management

Design &Architecture SupportFor New Locations

Consulting to Evaluate New

Locations

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

No CustomerService

Department

Four Seasons Activity MapOverriding Insight: Customers on the road long for the comforts of home and office

Medium-sized,Intimate Hotels

UniqueCustomer Service

Experience

Superior StaffService Attitude

“Golden Rule”Individual

Guest Service

ConsistentGlobal Branding

Global Sales &Booking Network

Web Site forEasy Access to Location Data

GlobalProcurementDepartment

Focus onHotel Management

Design &Architecture SupportFor New Locations

Consulting to Evaluate New

Locations

Expansion into Resorts & Time-sharing

Location-basedGuest Database

Low PersonnelTurnover

In-house Promotionas Key Incentive

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

Four Seasons Activity Map

UniqueCustomer Service

Experience

Focus onHotel Management

ConsistentGlobal Branding

Superior StaffService Attitude

Medium-sized,Intimate Hotels

Web Site forEasy Access to Location Data

Consulting to Evaluate New

Locations

Design &Architecture SupportFor New Locations

Expansion into Resorts & Time-sharing

“Golden Rule”Individual

Guest Service

No CustomerService

Department

GlobalProcurementDepartment

Global Sales &Booking Network

Location-basedGuest Database

Low PersonnelTurnover

ExtensiveRecruitingProcess

GlobalIn-house Staff

Training

In-house Promotionas Key Incentive

Consulting to Evaluate New

Locations

Overriding Insight: Customers on the road long for the comforts of home and office

To summarize

• Start with an objective (risk you want to measure)

• Identify the overriding insight (e.g. leveraging across the enterprise to create synergies and protect enterprise value)

• Position the product/service in the market

• Identify the overriding theme

• Empower staff to carry out the activity

Generic Activity Map

ProductPositioning

Overriding RM Insight: RU, PV, IR, AC, ISOverarching Value Proposition:

Generic Activity Map

ProductPositioning

Overriding RM Insight: RU, PV, IR, AC, ISOverarching Value Proposition:

OverarchingValue Proposition

Generic Activity Map

ProductPositioning

TechnicalSupport

Overriding RM Insight: RU, PV, IR, AC, ISOverarching Value Proposition:

OverarchingValue Proposition

People-relatedEngine

Low TurnoverOf Personnel

MotivatingFactor

ContinuousTraining (WIP)

ExtensiveRecruitingProcess

EnablingPrinciple

Generic Activity Map

OverarchingValue Proposition

What we do &what we don’t do

MarketPositioning

People-relatedEngine

ProductPositioning

Website

Design &Architecture

Support

ExpandingBusiness

Focus

EnablingPrinciple

Risk MgmtEveryone’s

Responsibility

Major SupportActivity

HarmonizedDatabases

Technicalsupport

Low TurnoverOf Personnel

ExtensiveRecruitingProcess

ContinuousTraining (WIP)

MotivatingFactorOpportunities

For Development

Overriding RM Insight: RU, PV, IR, AC, ISOverarching Value Proposition:

So that’s the end of the deck

• We then go into a short workshop to demonstrate the value of activity mapping by dealing with a specific client issue

• e.g. how do I know my staff are doing all they can to protect my company from risk?


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