“Telling your boss bad news and surviving

1. “Telling your boss bad news and surviving Presented to San Dimas Chapter SCQAA-IE March 13, 2008

2. Philip E. Quigley, CFPIM, PMP Senior Portfolio Manager, CSC Presented by

3. What this workshop is • It’s a workshop • It’s a little lecture-then you do case studies • You will present your ideas on what to do • There are no perfect or correct solutions

4. Bad news • Telling the boss good news is fun and rewarding • Telling your boss bad news can be “Career Limiting” • Unfortunately “bad” things happen on projects and must be dealt with

5. Telling your boss bad news takes special skills to survive • A lot depends on your boss, your relationship and the organization • You have to have a plan • You have to have a network of relationships

6. Telling your boss bad news takes special skills to survive-your boss • You need to assess your boss • How does he/she take bad news? • What is their relationship with their bosses, executive management? • How does executive management take bad news?

7. Telling your boss bad news takes special skills to survive-your organization • You need to assess your organization • How does it take bad news? • Are messengers of bad news shot? • Are mistakes accepted as part of the business or as a criminal offense deserving the career death sentence?

8. Assignment #1 • Each person in your group assess their organization in their acceptance of bad news, mistakes and failures • Share that within your group • Prepare a summary and present to class

9. Case Study #1 • Major IT project-putting in SAP • You are running behind in collecting and approving requirements • Users aren’t attending the meetings • What do you do?

10. Case Study #1-Cont’d • You report to steering committee-VP of Finance, Marketing, Engineering and Production • CFO is the executive sponsor • Users who aren’t attending the meeting are the finance people • CFO is known as a “screamer”

11. Case Study #1 Continued Steering committee meeting is scheduled for this week CEO has decided to attend-wants to know what is going on What are you going to recommend? What are you going to do?

12. Case Study #1-Instructions • Each table is a study group • Have 15 minutes • What are you going to say in the meeting? • Analysis of situation • Recommendations • How do you handle CEO and CFO? • What allies do you need to have? • What prep work, people to see and talk to, do you do before the meeting? • Pick someone from the group to present

13. Case Study # 2 • New product has been launched with aggressive schedule and demanding sales plan • Aggressive cost cutting moves-especially with suppliers- were demanded by CEO, CFO • Problems are now being encountered • One supplier, chosen for cost, can’t produce • Quality issues are being encountered from another supplier • Design was “thrifted” to reduce cost

14. Case Study # 2-continued You are the Project manager-report to VP of Manufacturing Your VP of Manufacturing has scheduled a meeting with CEO, CFO and other executives Wants an explanation of what is going wrong-there is “Concern” at the executive level Your VP has a strained relation with the CEO, CFO

15. Case Study #2-Continued • Each table is a study group • Come up with a plan for the meeting • What are you going to say? • How are you going to say it? • What allies can you get? • You have 15 minutes • Pick one person to speak for your table

16. Some thoughts, ideas-may work-may not work • Understand what has and is happening • The facts only, but dig • Get options to correct things • Get at least two • Be prepared to recommend one • No finger pointing-just the facts • Get allies • Where ever possible get finance to work with you

17. Some thoughts, ideas • Do prep work • Meet with different people before any meetings • Brief them, get their support on analysis and actions to be taken • Don’t go into an executive meeting with key people being “cold” on what is going on • Never surprise executives with bad news in a meeting

18. Case Study #3- • You are PM of a large, 100 plus team • You are implementing new CRM package for a major auto company • This system has been touted by CEO and board as the solution to sagging US sales-will let the company re-connect with customers • You have been brought in because project is behind schedule, over budget and users are mad because they don’t like the system and believe it won’t work

19. Case Study #3- Cont’d • Previous PM was fired • CEO wants a steering committee meeting and he wants to know what you are going to do-you have had a week • By the way- • Consensus from team is that this package isn’t very good • But system was bought by the CFO because he came from the consulting company that recommended it • CFO is considered “fair hair boy” by CEO and Wall Street

20. Case Study #3-Continued • Each table is a study group • Come up with a plan for the meeting • What are you going to say? • How are you going to say it? • What allies can you get? • You have 15 minutes • Pick one person to speak for your table

21. Final Thoughts • All Projects will have problems • Schedule starts going wrong the first day, first task • Difference between “successful” projects and “failed” projects is that problems are identified early and resolved before they have impact • The difference is the PM and the environment they establish

22. Final Thoughts-cont’d • As the PM your must tell, show and lead the team in how it deals with problems • Look for them, be proactive • Identify them • Communicate the problem • Identify alternative solutions, pick one and move on it • No shooting the messenger • It’s OK to have a problem-issue is to deal with them

23. Final Thoughts-cont’d • The team must know that mistakes are accepted and are to be learned from. • But there are rules to mistakes • Admit them • Clean up the mess • Learn from them • Keep moving-only people who don’t make mistakes are people doing nothing • Can’t have a project team not doing things because they are scared of making a mistake • Big issue is scared to make a decision-will ruin a project team

24. Final Thoughts-cont’d • Must manage “expectations” of your bosses • Tell them things will go wrong-that is the nature of projects • Your approach is to quickly identify them and resolve them • You will tell them the good and the bad every week • You will do it in writing

25. Final Thoughts-cont’d • The approach is professional • Understand you will run into the “politicians”, people with agenda’s, the power players • They will use any mistake, problem, bad news to advance themselves • Only defense • Know who they are • Build alliances to minimize their impact • This is another seminar.

26. Final Thoughts-cont’d • Hope this helps • Remember you will have to give bad news • Plan for it • Be prepared to take a beating • Good luck

27. Final Thoughts-cont’d • You need to monitor your organization on a weekly basis • Who has power? Gained some-lost some? • What is your relationship with them? Good? Bad? • What is your boss or bosses in the power game • Winner or loser? • Must constantly monitor-things can change

28. Final Thoughts-cont’d • Stuff to read • Harvard Business Review-”How to Manage your Boss” • “Dress for Success-Men and Women” • “How to win friends and influence people”-Dale Carneige • Take a sales class at UCSB etc. Should be one or two day course on professional selling

29. Are There Any Questions? Thank You