When a client logs a ticket complaining about a feature not working, then by all means, pull out your problem-solving tools and get to work on delivering a fix.
But what if your client calls screaming that your software won’t allow them to transmit data to a regulatory agency? The failure could cost them half a million dollars if it’s not addressed in the next two hours, they say, vowing to hold you responsible.
That’s a crisis.
It’s not only the potential financial damage to your client that makes it a crisis but also the reputational damage to your client and your firm.
In these scenarios, which are not uncommon in FinTech, you do not have the time to find the ideal solution. You do not have the time or freedom to reframe the problem. Instead, you must find a practical solution that avoids the worst-case scenario in the given timeframe.
When the trigger for a crisis hits, assemble the crisis team. Don’t have one? Read on.
Ideally, you will have designated crisis leaders. These are a very select bunch who should possess the following characteristics;
They enjoy this work. For those of us with the gene, we love the compressed timeframe and high stakes. Leading a crisis team feels exhilarating. We’re gifted a clear goal. The stakes rile up our love of adventure, and the responsibility pushes us to achieve our best. If you can’t find someone who enjoys this sort of work, at the very least, do not put someone into this role if you feel they might collapse under the pressure.
They possess superior organizational skills. When tapped to lead, they know what to do and in what order. They will learn quickly how many streams are needed to work on different facets of the problem and have a framework in mind for managing it.
They demonstrate a laser-focused drive on the outcome. They don’t care where the best ideas come from as long as they come. They have no patience for petty squabbles. They channel all activity towards achieving the desired outcome.
They show self-awareness and are always willing to recognize when they’re out of their depth or need subject matter experts to assist them.
They know when to get out of the way and when to be a pain in the ass. They let people do their jobs without micromanaging unless it becomes apparent they’re either unwilling or unable to do so.
They’re never afraid to manage up. The crisis lead needs to be comfortable enough to answer a call from the CEO and tell them they’re getting in the way or that their bright idea is too impractical to put into action.
Once you have designated a lead, they will institute a framework. Here’s one you should find helpful. It’s generic enough to model for most organizations.
Declare a crisis: Your organization should have pre-defined criteria that trigger a crisis. You do not want to waste valuable time deciding if a crisis exists.
Assemble the team: Once you assign the lead, they will bring in the necessary subject matter experts. The organization should know that a lead has been assigned and now has authority over resources. And if called upon, they must lend assistance. Depending on the scope and potential impact of the crisis, the lead may assign someone to handle comms to major stakeholders, or they may handle it themselves.
Define and simplify: Identify the problem, the deadline to resolve it, the suspected cause, and the impact if not resolved by the deadline. Clean it up and format it as a concise problem statement that is simple enough for stakeholders to understand, even if they are not subject matter experts.
Identify the ideal outcome within the given circumstances: You lack the time for a proper analysis, fix, and test of a solution. What you must do in these situations is avoid the worst-case scenario. In the example from earlier, it may mean finding an alternate way of delivering the information (manual upload, manual input, carrier pigeon, etc…). One of the charges of the crisis lead is to protect the reputation of the firm and the client too, so options like begging the regulatory agency for an extended grace period should be approached with caution.
Draw upon history: Hopefully, your organization will keep a detailed log of your major issues and resolutions. This becomes a valuable resource during a crisis, as a solution (full or partial) may have already been attempted.
Disperse the team into streams. Assign a comms person on each team to provide an update every fifteen minutes on the dot until it’s time to reassemble.
Brainstorm solutions and decide: The separate streams will determine their ideal solution. Later, when the team re-assembles, the lead will guide the team to choosing the best solution given the available options. Read the problem statement aloud, along with the proposed solution. There should be agreement that the solution is workable and at least temporarily resolves the problem.
Inform stakeholders: This step represents a critical stage in the crisis. The lead should present the team’s recommendation as the next step unless anyone seriously objects. They should never ask for permission. They should be confident in their solution. “John, Amanda, Gary, Chris - we’ve analyzed the problem and found a solution to get the data transmitted before the deadline without financial penalty or reputational damage. Here’s how we’re going to do it. We’re going to start immediately. Once the crisis passes, we’ll address the root cause. Agreed?”
Compare that to something like this: “Here’s the best option we came up with. It doesn’t address the root cause. I need to stress that, but we think it should work, hopefully. Can I get everyone’s sign-off in writing before we proceed?”
Okay, I’m exaggerating the weak language for effect, but you get the point.
Execute and validate: Put the changes into action and validate they worked as intended. Validation should include any third-party confirmation as well.
Stakeholder debrief: The lead should communicate the success to the major stakeholders, identify any next steps required as part of the makeshift solution, and commit the firm to a full root cause analysis by a target date.
Closing: Disband the crisis team and assign the root cause analysis to the appropriate owner. Send a final communication regarding the next steps and their assignments.
There you have it—the characteristics to look for when assigning an ideal candidate to lead a crisis and a framework for managing it.