IPS


BUSINESS ISSUES


DISASTER RECOVERY PLANNING

There are a lot of them about. And they are easily caught. Viruses that is. You may think you are invulnerable and have excellent data security measures in place - but what if the unthinkable occurs? If your systems were attacked - have you thought about what would happen to your business if you lost all of your customer records? Or lost your electronic accounting records so were unable to determine which of your customers had paid and which invoices were outstanding? With such a heavy dependence on technology in today's business climate, system downtime and lost data can have potentially disastrous consequences regardless of the size of your organisation.

While interruption and recovery of your business due to things like physical loss/damage/theft can be covered through Property and Business Interruption insurance policies, reducing the effects of the loss of data and communications requires early and careful planning. Without access to these elements your ability to carry out even basic customer service is restricted, and this may resulting in growing customer dissatisfaction, while will affect your business a long time after you have restored your systems.

Regardless of whether your business disruption is computer related or not, you should have a well thought out plan to deal with unforeseen circumstances, this is known as a business continuity or disaster recovery plan. The ultimate objective is to allow your business to respond quickly to a problem, and minimalise the impact of disruption to service.

Some important points to consider when putting together a Disaster Recovery Plan
  • Map out your core business activities: Identify areas where there are dependencies and consider alternative ways in which operations may be carried out in the event of disruption. E.g. are there long lead times for re-ordering stock? What equipment are you reliant on and how long would it take to source replacements?
  • Identify roles and responsibilities: Identify the key people within your organisation and their roles in the event of a disruption. E.g. who will contact other members of staff and customers in the event of a fire? Or who is responsible for maintaining the 'back up' of computer files off the premises?
  • List key internal and external contacts: This should include customers, suppliers as well as staff. Ideally you should keep a copy of this in a secure off-site location in the event of access being denied to your premises as a result of fire etc, or in the case of lost data.
  • Think of ways in which disruption may occur: Brainstorm possible scenarios and how you might respond or the measures you would put in place to minimise impact and maintain operations.
  • Back up all critical computer files or programs: Make copies of important files and regularly update these copies e.g. customer databases and accounting records. Keep an extra copy in a secure off-site location in the event you are unable to gain access to your normal business premises.
  • Identify an alternative temporary location: If you are prevented access to your normal premises for any prolonged period of time you should have alternative arrangements from where you could continue business activity if need be. For example, many organisations that rely heavily on telephony contact and customer response units typically enter into contractual arrangements with external organisations.
  • Learn from your experiences: Note the frequency, impact and how you managed to overcome the disruption, ensure that any procedures are revised and updated as a result of the experience gained. It is also valuable to keep a record of any expenses, as this will be required for validating an insurance claim.
  • Take out adequate business insurance.
An "it won't happen to me" attitude isn't worth much when you are facing a crisis. A well-prepared continuity plan will provide comfort and allow unexpected disruption to become manageable. Even with comprehensive insurance cover in place, there is still no substitute for a well thought through, tried and tested business continuity/Disaster Recovery plan. Remember Insurance is not the only answer to your risk management needs. With a combination of planning, professional support and financial resources to help cushion the impact, your business should be well prepared to deal with any unforeseen events.

THE RISING AGE OF THE WORKFORCE

Discriminating against older workers is short-sighted because it is unsustainable, reports Journalist Bill Bennet. There's also a good chance many of the company's that are happily dumping skilled employees who are now in their 40s will need to hire those same people back later. The reason for this is simple. These days there are not enough young people to fill all the jobs and the problem will get worse.

It hasn't dawned on most employers just how serious the demographics of employment will be. In most rich countries around the world the population is aging. For example In the United States the median age, that is the age at which half the population is older and half is younger, has increased from 32.8 in 1990 to 36 in 2004. Things are worse in most of Europe, for example in the United Kingdom the next century is expected to see a markedly older age distribution with the median age rising from 36.9 years in 1998 to 41.8 years by 2021, eventually stabilising at 44 years in about forty years' time. Europe's youngest population is in the republic of Ireland, yet even there the median age is around 30 years. In Australia the ABS reports that the median age has increased by 5.8 years in the last 20 years, from 29.6 years in June 1981 to 35.4 years in June 2001. That figure is still rising and will hit 45 in the middle of this century. New Zealand shows a similar aging pattern; in 1999 the median age had climbed to 34 years.

You don't need to be a demographer to work out that if the median age of a country's population is rising, the median age of its workforce must also be rising. And how. From a report on the Aging Workforce carried out by the Labor Market Information Division of the California Employment and Development Department:

“Comprising nearly half of the current labor force, baby boomers continue their historic impact on America’s labor force. In 1962 (before baby boomers entered the workforce), the median age of the workforce was 40.5 years of age.4 By 1978 with the entry of most of the baby boom in the workforce, the median age dropped to 34.8, reflecting the presence of the relatively youthful baby boomers. By 2008 the median age of the American worker will be 40.7 as baby boomers move ever closer to their retirement years. This movement towards retirement age of such a large portion of the labor force should give employers pause as they plan for the future. Baby boomers make up a large portion of the experienced, skilled, and leadership positions in their respective places of employment. A large-scale sustained retirement could leave employers scrambling for qualified replacements. Making matters worse, the workers in the age group following the boomers (baby bust) are a smaller pool from which to draw.”

Some specific employment areas are considerably older than the average. For example, in a study from 2000, looking at the nursing population, it was concluded:

Between 1983 and 1998 the average age of working RNs increased by 4.5 years to 41.9, and within 10 years, 40 percent of working RNs will be 50 years or older.

And from the Population Reference Bureau: Over the past two decades, the median age of primary and secondary school teachers increased from 36 to 43.

The different knowledge industries in different geographic areas vary greatly but on the whole most knowledge industries tend to have workforces with a median age higher than the economy wide level. That's because knowledge jobs require more training and higher education so people enter the workforce later.

Of course there are pockets of knowledge workers in third world nations where the average age of the workforce is younger. However this doesn't make much difference to the big picture. For a start, poorer countries are starting to show signs of having an aging population. Moreover, for the most part the richer countries have more information intensive economies. Therefore we can deduce that in countries where knowledge workers make up a sizable proportion of economic activity, the pool of younger workers is getting smaller while the pool of skilled and experienced workers is getting older.

This all adds up to a situation where the pool of available knowledge workers in the age groups deemed desirable by the more short-sighted and discriminatory employers is shrinking at an ever faster rate. Sooner or later these employers will simply not be able to fill their payrolls with people under 40.

Right now this demographic time bomb is ticking. The bottom line is that there is still a considerable skills shortage across the broader range of knowledge industries and with each year that passes the median age of the knowledge workforce is climbing. Smart employers with an eye on the longer term have already figured out that dumping older workers is a mug's game. Sooner or later the dim-witted ones will figure this out too.



MANAGING DISPUTES AND RESOLVING CONFLICT IN THE WORKPLACE

What do we mean by conflict in the workplace?

Conflict happens when personalities clash, when team members perceive interference from one another, when employees feel unable to progress due to another’s actions. A conflict tends be an ongoing situation, unlike a dispute, which is a one-off incident. When the dispute goes unresolved, it can cause a conflict situation. The situation, if left unresolved, can escalate quickly and create a potentially dangerous situation.

From Dispute to Discomfort, from Conflict to Crisis
Initially a dispute between one or more employees, without resolution, can cause an uncomfortable working environment, characterised by gossip and rumour, an awkward atmosphere and non-cooperation between team members. This in turn can lead to further dispute in the form of arguments and complaints. At this point others may become involved and take sides. Incidents escalate and tension rises. This is now a conflict situation. The passing of blame becomes a formal complaint; employees are increasingly non-productive as all their energy is directed towards the conflict.
Without management intervention the conflict can readily approach crisis point. There may be strong clashes, highly emotional outbursts, shock resignations, verbal abuse, even threats of physical violence. At this point the only option is to try and manage the situation, return to some form of normality, and then ponder…how was this situation allowed to get so out of hand?

How do we prevent a crisis situation from happening in the first place?

Dispute Resolution
Managers must get involved as early as possible and attempt to diffuse and resolve the dispute to the satisfaction of both parties. Initially managers need to bring both parties together and discuss the situation. A possible dispute resolution process could be:

Step 1: Bring both parties together

It is essential that both parties perceive this to be in a neutral place.

Step 2: Lay down ground rules

Explain that they must not interrupt each other; each party will get a chance to state their opinion.
Encourage parties to speak in the first person - this removes blame by getting an individual to focus on their reaction rather than the others action towards them. E.g. instead of “John really makes me mad when he leaves early”, “I feel angry when I see John leave early”.

Step 3: Identify the problem/issues

Give each party a chance to outline the incident/issues they have from their point of view.
List the issues that must be resolved. If it was a one off incident, what was the underlying cause?
Prioritise the list according to urgency.

Step 4: Understanding Both Sides

Using the list get each person to explain how he or she feels about each issue/or the incident
Get both sides talking and listening to each other – encouraging both sides to put forward their points of view, but emphasise the discussion of their feelings in regard to the matter.
Encourage both sides to understand each other’s point of view.
In the case of irresolvable issues, get both parties to agree to disagree.

Step 5: Move forward

Find a resolution for each issue – how does behavior need to be modified by either or both parties in the future to prevent a recurrence of dispute?
Get both parties to acknowledge the problem/issues, and agree to move forward.
Give both parties a written transcript of the meeting, and ask them to sign a commitment to future awareness of the problem/issues.

Step 6: Review

Review the situation 3 months later. Are the issues resolved?
If not do you need a further mediation meeting? Would counselling be appropriate?

Conflict Resolution
If possible direct negotiation between conflicting parties with a manager as mediator is the best, most direct way to handle the situation. However once progressed to a conflict stage involving high emotions and the complete breakdown of communication between one or more parties it may be necessary to bring in a higher level manager as arbitrator.

Using a similar stepped process as outlined for dispute resolution, the arbitrator can conduct conflict resolution meetings with individual parties and negotiate between the two sides. Both sides must agree to abide by the managers objective ruling decision/recommendations, and it is wise to have a further appeals process in place for employees who remain dissatisfied with the outcome.

When emotions are involved it can be difficult to communicate with parties in this kind of resolution discussion. These are some points to consider about handling difficult behavior in such a situation:

How to handle high emotions

Be calm and supportive
Allow the person time to compose themselves, if necessary give them a cool down period in a safe environment
Does the person prefer to speak in private?
Bring in a counsellor if necessary.

How to handle anger

Be patient
Prevent the anger from being focused on the other party
Stay calm and in control – your calmness will help diffuse their anger
Request respect and cooperation
End the meeting if necessary, or pause it and get the angry person to go somewhere ‘safe’ to cool off

How to handle the silent treatment

Encourage discussion by using open-ended questions
Allow them to be silent for a while if necessary, be patient
Rephrase difficult questions
Does the person prefer to speak in private? If needs be, use an external arbitrator or bring in a counsellor

How to handle the gossips

Keep questions closed
Remind the person that you only need to know facts and their own feelings
Get them to acknowledge whether they are describing assumed versus evidenced behavior
Keep an open mind and get corroboration if needed

How to handle the non-stop talkers
Keep questions closed
Control the flow, interrupt kindly but firmly
Ask them to sum up feelings using keywords
Get them to list issues in bullet point
Set a time for them to talk more about the issue at a later date, or set up a session with a counsellor

How to handle interruptions

Use non-verbal statements such as facial expression
Request cooperation and respect
Remind the person interrupting that they will get their chance to speak
If they constantly interrupt, consider communicating with each party separately

How to handle abuse or threatening behavior
Immediately request the behavior stops and explain why it is unacceptable
Pause or end the meeting
Remove the person/s to a safe environment and allow them to cool down
Have the person removed from site if necessary, using security officers or equivalent.

When a situation has progressed to crisis stage

In this scenario, the only option is to manage the crisis situation as best as you can in the circumstances. The aim of crisis management is to return the work environment to some semblance of normality, calm tempers and prevent violent or unacceptable acts of behavior from occurring.

Typical Crisis Management Strategy

Intervene
Ensure all are aware that management is now dealing with this situation. The primary aim is to restore order and a safe working environment.

Take control of the situation
Separate conflicting parties
Remove any person engaged in unacceptable behavior
Use external support if there is the threat of real violence or danger
Calmly reassure remaining employees on the scene

Discussion and Resolution
After a decent cooling off period, follow the steps of dispute/conflict resolution if possible. If necessary use external support, counsellors or internal HR specialists.

Debrief and review
Acknowledge situation has occurred and resolved to all parties involved, either directly or indirectly, within your organisation.
Set a review agenda and follow up.

Prevention is better than cure!

Whilst it is nearly impossible to prevent all disputes in the workplace, there are some strategies that can be considered in order to minimise conflict in the workplace and the resulting impact on production and performance. For example:
  • Review dispute/conflict resolution policies and update or create.
  • Staff ‘conflict resolution’ training including role playing exercises
  • Use 360° team performance appraisal to assess team coherence.
  • Encourage open discussion and forums to raise issues of potential conflict.
  • Team building days or activities can help form bonds and break down barriers.
Personalities will always clash, bad tempers flare up, and disputes arise over the tiniest thing. However with strong management policies and clear resolution processes in place, conflict can be avoided and crises canned.



EMAIL AND THE WEB - YOUR LEGAL LIABILITY

There are a number of areas in which the improper use of company email and WWW access can result in legal liability for your company. Net IQ offer some insight into possible issues and give ideas for protecting your company from the nightmare of a legal battle.

Sexual/Racial Harassment
Organizational email is a business tool. Anything sent from a corporate email address is effectively written on electronic company letterhead. As a result, any views, quotes, or discussions made via company email can be representative of the company and legally binding.

The casual use of profanity in business email (as in any other documented communication) has obvious implications for a business's reputation. Such emails have had more concrete repercussions as well. There have been several lawsuits involving sexual harassment in the workplace, based on lewd comments sent by email. In many cases the organization has been held responsible for not controlling their email content so as to avoid offensive exposure to employees.

  • In 1995, the Chevron Corporation paid $2.2 million to four female employees to settle a lawsuit in which the women claimed they were sexually harassed with e-mail jokes.
  • In October 1999, Edward D. Jones & Co, USA, took action against 60 employees after a member of staff complained about an email with offensive content. The brokerage fired 19 workers and disciplined 41 others.
  • In 1999 a financial company was sued by a female employee who discovered a printout of a pornographic email on a department printer.
Organizations are always at risk that employees representing them may make inappropriate comments, thus giving a false image of the company. Defamation, racist comments, political views, offensive material, profanity - all of these facets of employee indiscretion can have serious legal and reputation implications for the entire business.
Inappropriate Web use also has potential legal liability implications. Offensive images displayed on a screen may count as harassment, and such images are easy to find on the Web.

Viruses, Spam and Mail Relaying
Many companies have suffered the humiliation and damage to company reputation of being 'shut down' by denial of service attacks, being used as a spam relay, and infecting other companies with email viruses. Malicious email campaigns have caused millions of dollars in damage and lost productivity. As more prominent organizations put solutions in place to avoid down time and liability, hackers are turning to smaller businesses where the pickings are easier. This is not just a big business issue, but one that opens up all types of businesses to liability in preventing security breaches.

Confidential Information and Privacy The loss of confidential data can severely effect the reputation and image of businesses which have been entrusted with sensitive information. Such businesses include hospitals with patient records, accountancy firms with financial information, engineering services with design plans, and others. Information must be readily available for business purposes, yet many businesses can be held legally accountable for losing this information or for sending it over the Internet in an open, unencrypted format.

Legal Disclaimers, Usage Policies and Enforcement Software The mere presence of an Internet Usage Policy and enforcement software has been enough to cover some businesses against legal liability. Conversely the lack of a policy has sometimes proved expensive. Consider the following cases:
  • January 2000: Nissan Motor Company. Two employees at Nissan who were fired for sending sexually explicit e-mail messages subsequently sued for unfair dismissal, claiming violation of privacy. However, Nissan won the lawsuit because it had an e-mail policy in place that prohibited the use of company owned computer systems for non-company business.
  • January 1999: Distribution firm BG paid out a $161,000 libel settlement to rival Transco, after a BG senior manager sent a defamatory e-mail to Transco staff wrongly suggesting that Exoteric Gas Solutions (created by BG) had misused confidential information from Transco.
  • Norwich Union Insurance were forced into an out of court settlement of £450,000 for alleged defamation by e-mail against a competitor, Western Provident Association.
Appending legal disclaimers can reduce legal liability with respect to employee comments made through company email. You can purchase Internet Filtering software, which will allow you the control of messages containing profanity and other offensive words in email and attachments, based on an organization's acceptable usage policy. Offending messages can be copied, deleted, blocked, or quarantined. You can also limit employee Web browsing to sites and file types which meet company policy. To prevent the unauthorized distribution of confidential documents and databases, outbound email checking can ensuring that sensitive information is not accidentally or intentionally released. For further information on the different types of available filtering and email scanning software, visit Marshal Content Security Solutions. Protect yourself against threats to network and information security, workplace liability issues, unnecessary bandwidth consumption and worker non-productivity associated with uncontrolled use of the Internet.