The latest news about the leaking of sensitive information within the Army got me to thinking……
Have you ever heard the phrase, “loose lips sink ships”? The phrase was actually created as a slogan during World War II by the US Office of War Information. It was part of an ongoing effort to warn people about inadvertently giving useful information to enemy spies.
This is how it looked back then……
Since I worked for a military contractor for many years, I am very familiar with the need to protect the data within your company, project, etc. And it was drilled into us, over and over again, that ANY conversation we had outside of the office could potentially be overheard. And used to the detriment of our customer. So I “grew up” in business being well aware of the need to protect information.
In today’s environment that is even more important. Not only for military contractors but for commercial business as well. You think I’m kidding -- relative to the commercial business? Nope, I’m not. Think about how valuable the information you carry around is. For example, wouldn’t your competitors like to know that you are planning to compete on “x” contract? Or wouldn’t your customers like to know that you are working on a new product -- one that will obsolete the product that they are preparing to spend millions on?
Your competitors (and others) are constantly on the lookout for information that will give them an advantage over your business. Most firms don’t resort to industrial espionage -- mostly because they don’t have to. All they have to do is to hang out in the places that you and your staff frequent. Think about it. How many lunch-time conversations have you had about sensitive business with your colleagues? And did you know who sat at the tables next to you? What information did you and your colleagues inadvertently give away?
Of course, I’m not suggesting that you succumb to paranoia. Only that it is prudent for any executive to remember how valuable the information they carry around in their head truly is.
Cheers!
I suspect that you might have noticed that I have not written anything about the ongoing oil spill in the Gulf. Why? Perhaps because every time I watch the stories about the results of the blowout, I am just heartsick by the damage that it is doing to the Gulf. And, like most normal mortals, I’ve been practicing my finely honed head-in-the-sand routine. I can’t fix it, so I ignore it. Not a good management skill, but one that we all have (and, on occasion, use).
So now that I’ve sufficiently prodded myself, I do have a few things to say about the disaster -- at least in a larger context.
In the past, I’ve talked about disaster preparedness (3-29-10 Tornado! and 3-1-10 Earthquakes and Such), risk tolerance (4-14-10 What's Your Tolerance Level?), and safety (2-26-10 Are Safety and Growth Mutually Exclusive?). But today, I thought that I would approach it from a different perspective.
Someone asked me an interesting question once --- one that I believe applies here. “Are you so busy eliminating risk that you forgot to manage it?” As you might imagine, in the aerospace industry we take the elimination of risk seriously. Each of us in the industry takes it personally when a plane falls out of the sky -- whether or not it was one that we built. We are a risk adverse lot and go to great lengths to eliminate it. So what is the fundamental flaw in this? The original question answers that. Huh?
Well, the sad truth is that, no matter the industry, we can’t eliminate all risk. It would be like wrapping your kid in bubble wrap, all kinds of protective sports pads, a helmet, hockey gloves, racquetball goggles, shin guards, etc. and then sending him/her out to play in a war zone. You didn’t eliminate the risk. You can’t stop the war. But you could manage the risk by keeping your child at home. Okay, not the best analogy for the parents out there, but you get my point.
I am naïve or trusting enough to believe that BP spent so much time trying the eliminate the risk associated with deep water drilling that they forgot to manage it. Why? Because part of managing risk is putting contingency plans in place. Given the response by BP (and the government), I don’t see any evidence of contingency plans. Seems to me that all involved are making recovery plans up on the fly. Now don’t get me wrong, the ability to operate on the fly is also important. But it is a helluva lot easier to do when you at least have some rudimentary backup or “what if” plans in place.
As an executive, you are right to want to eliminate risk. But at some point, you will have to acknowledge that you cannot eliminate all the risk. You have to stop and define the remaining risk and then you absolutely must put plans in place. Call them contingeny plans, what if plans, risk management plans -- call them what you want. Just make sure that you have the ability to manage risk.
Cheers!
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