Ask Marcia - Leadership Q&A - Week of April 29, 2020

Week of April 29, 2020 / From her column in the Silicon Valley Business Journal

Q. It looks like we will be allowed to re-open our company with several hundred employees in the next few weeks. How do we do it wisely? I’d like your thoughts.

A. We are all in a new age of discovery with no playbook or roadmap, but we do have a compass. We need to go in a direction, learn, adapt, and pivot—keep moving, slowly. We’re creating a new future (not a “new normal”—what a crazy buzzword), and we need to do that together, seek good counsel, and then question, “Does it make sense?”  No one has all the answers. With the guidance of the health officials first (their plan), make a plan for your organization. Here are a few questions that can guide your decision-making for your organization which may be different than the company down the street. How do you prepare your company physically for employees returning to work? Many may have left abruptly. What disinfecting do you need to do to prepare for their arrival, and what’s going to be the daily maintenance plan to ensure their safety? What’s going to be the protocol; will it be taking temperatures daily? How can you re-design the workspace so people are socially distant? Do people need to work in staggered shifts or days? How will people interact, meet and work? Safety is number one. Then ask everyone, how can we be productive and support each other and serve our customers?  The more creative your teams are as you work together to deal with issues, the more successful you can be.

Q. What is the Board of Director’s role as this pandemic unfolds and looks to be a disruption in our lives for months to come?

A.  There are a variety of Boards from large corporate boards to small non-profit boards.  Some are solely focused on their fiduciary and policy-making responsibilities. Others are hands-on Board members who are intimately involved in committees and working closely with staff members. In a crisis situation, a Board of Directors plays a crucial role.  As events with the crisis changes day to day, the Board’s role is to pivot and adapt its leadership, communication, and collaboration. The Board has to reflect on its own strategic thinking and leadership. As one voice, they need to give guidance to the CEO and the organization’s leadership team. 

In a crisis, the Board needs to understand and ensure that the CEO and leadership team have a realistic grasp of the issue facing them, that they are addressing it and are not in denial or receiving bad data. The Board needs to ensure that if the organization has to drastically pivot and adapt to be safe and healthy or to serve clients, or to stay solvent, it is capable of rapid decision-making. The Board needs to understand that leadership is anticipating various scenarios about the impact of the crisis on the business and steps are being taken to mitigate the risks and preserve the organization. The Board has to ensure that any necessary coaching, mentoring, or team development needs are met.

The Board needs to make the best fiduciary and policy decisions for sustaining and ensuring the survival of the enterprise and its ability to achieve or modify its aim. The Board communicates with leadership to provide necessary guidance or support of the staff for adjustments to the strategies and projects.

With a further vision in a crisis (it may be a month or a year), the Board needs to vigorously do its own work. It may need to continually review its policies and procedures and create new policies and protocols as the crisis unfolds. It may need to develop deeper policies about employee and customer safety. 

It may be a time to consider new investments, acquisitions, or sales. The Board examines the organization’s budget, its cash position and stability.  If the organization is in need of cash immediately or soon, where will it come from?  What are the alternatives? What’s the valuation that can impact equity incentives? If cash is low, how will the organization retain its employees? What are the options? What are the values of the organization and how do they impact the decisions the organization will make and the legacy they want through this time?

Board leadership and direction is essential. Collaborating with the organization’s leadership to serve its employees, and its customers or members is the higher order of business. In a crisis, leaders must have the capability to pivot and create a new future for the organization.

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Send your questions to Marcia Daszko at md@mdaszko.com.  Call her to discuss your challenges and during this COVID19 crisis.  Keynote speaker and trusted advisor to guiding executive teams through crises and transformations for 25+ years, she is the author of the book “Pivot Disrupt Transform” and co-author of “Turning Ideas Into Impact: Insights from 16 Silicon Valley Consultants.” Invite her to speak (virtually now) and see her resources for you at www.mdaszko.com