presentation by nicolas mueller at 5th workshop on strategic crisis management - oecd

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Swiss Federal Chancellery FCh Federal Crisis Management Training Early Detection of Potential Crises Nicolas G. Mueller Head, Federal Crisis Early Detection & Crisis Management Support Swiss Federal Chancellery, Presidential Service 5 th OECD – FCh WS on Strategic Crisis Management Geneva, May 12 th , 2016

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Swiss Federal Chancellery FCh Federal Crisis Management Training

Early Detection of Potential Crises

Nicolas G. Mueller

Head, Federal Crisis Early Detection & Crisis Management Support

Swiss Federal Chancellery, Presidential Service

5th OECD – FCh WS on Strategic Crisis Management Geneva, May 12th, 2016

2 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

Agenda

1. Methodology (Nicolas Mueller)

2. Crisis Identification (John Tesh)

3. Crisis Analysis / Crisis Exercise (4-5 groups)

(John Tesh, Morten, Nicolas, John Roche)

3 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

What is on the Radar?

4 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

David Snowden‘s Cynefin Framework

„Chaos“

„Complicated“ „Complex“

„Simple“

Break Rules! Stick to Rules!

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Challenges: Understanding vs Politics

Decision by Computation

Decision by Politics

Decision by Inspiration / Heuristics

Decision by Judgement

High Low

High

Low

Agreement over Objectives/Values (Politics)

Certainty about C

auses and Effects (Experts)

Risk-based Management

Discourse-based Management

Resilience + Discourse

Resilience-based Management

Literature:

Freckleton, S. et al: Libra Study, Federal Department for Defense, Protection of the Population and Sports, Berne, 1986

Klinke & Renn: Precautionary principle and discursive strategies: classifying and managing risks. In Journal of Risk Research, vol. 4, p. 159-173, London, 2001

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Eruptive / suddenly occurring Crisis Intensity of C

risis

Time TARGET state

Tolerance limit

Tolerance range, crisis in own area of responsibility

Crisis outside own area of responsibility, in public domain

Emergency

Outbreak

Turning point

Suddenly occurring crisis (emergency) Almost no time for early warning and reaction e.g.: Accident, theft, terrorist attack, earthquake

7 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

Fluctuating occurrence of a Crisis Intensity of C

risis

Time TARGET state

Tolerance limit

Tolerance range, crisis in own area of responsibility

Crisis outside own area of responsibility, in public domain

Outbreak

Turning point

Fluctuating crisis occurrence Experience with this kind of crisis, but crises vary each time e.g.: Development of economy or exchange rates, budget cuts, terrorism, epidemics, flooding, accidents in the chemical industry

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Creeping / incremental Development Intensity of C

risis

Time TARGET state

Tolerance limit

Tolerance range, crisis in own area of responsibility

Crisis outside own area of responsibility, in public domain

Cumulative Effect

Outbreak

Turning point

Creeping development Much time for early warning and detection, but difficult to recognize e.g.: Employee satisfaction, budget overspending, loss of service innovation, ageing IT infrastructure, Global Climate Change

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P. Lagadec’s Rapid Reflection Force

1. What is the crisis all about? Political, ethical aspects? «Crisis behind the crisis»?

2. Actors, networks, stakeholders, hidden agendas

3. Key uncertainties? Cascading Effects? How could the crisis develop (scenarios?)

4. Strategic options (short / medium / long term); Which mistakes should be prevented?

5. Key messages (internal, external, special stakeholders)

Patrick Lagadec et al: Implementing rapid reflection forces, Crisis Response, Vol. 3 Issue 2, 2007 / www.patricklagadec.net Updated togehter with Arjen Boin, Eric Stern, Bengt Sundelius in 2014 in the framework of the OECD HLRF

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Crisis cell vs. Rapid Reflection Force

Rapid Reflection Force: • Group of 5 – 10 people • Integration of diverse perspectives and backgrounds • Creativity, Out-of-the-Box thinking, no taboos

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Pandora Cell – Danish Emergency Mgmt Agency 2014

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Pandora Cell – Frequent Assumption

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Pandora Cell – What if…?

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Agenda

1. Methodology

2. Crisis Identification

3. Crisis Analysis / Crisis Exercise (4-5 groups)

15 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

What is on the Radar?

Europe CIS

4 3

2

1

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Impact in the PESTE domains Crisis Politics Economy Society Technolo

gy Environment

17 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

Degree of Complexity of the Crisis

„Chaos“

„Complicated“ „Complex“

„Simple“

4 2

3

1

18 Swiss Federal Chancellery Nicolas G. Mueller, Head Federal Crisis Management Training

Challenges: Understanding vs Politics

High Low

High

Low

Agreement over Objectives / Values (Politics)

Certainty about C

auses and Effects (Experts)

2

3

1

4

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Crisis Timeline – which Type?

Crisis Type 1 Type 2 Type 3 Type 1

Type 3

Type 2

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Agenda

1. Methodology

2. Crisis Identification

3. Crisis Analysis / Crisis Exercise (4-5 groups)

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Analysis of a potential crisis

1. What is the crisis all about? Political, ethical aspects? «Crisis behind the crisis»?

2. Actors, networks, stakeholders, hidden agendas

3. Key uncertainties? Cascading Effects? How could the crisis develop (scenarios?)

4. Strategic options (short / medium / long term); Which mistakes should be prevented?

5. Key messages (internal, external, special stakeholders)

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Pandora Cell – What if…?

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Presentation of Results

10’ per group

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Discussion

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Reserve Slides: What is done in Switzerland?

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New Tasks in Federal Crisis Management (Government and Administration Organisation Act – 28.09.2012)

Advises and supports the Federal Council concerning the timely detection and the management of crises.

New Presidential Service (ca. 10 Staff) - Diplomatic Advisor - Communication Support (Speeches) - Crisis Early Detection - Crisis Management Advice and Support

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Part of Presidential Service

Crisis Early Detection & Sense Making for Cabinet

Goal: Analysis of Global Trends with a strat. Crisis Potential for Switzerland

Cabinet

Federal Crisis Early Detection & Crisis Mgmt Support

Sour

ces

Industry / Insurance

Ministries / Offices

Univ. / Think Tanks Federal Intel Services

Advisory Group (key Partners /

Sources)

- Quarterly Situation Reports - Show Need for Action - Crisis Alerts (via President) - Advice & Support in a Crisis

Crisis Prevention Crisis Management

Semantic Web Tech: (Expert Blogs / Fori), “Wisdom of Crowds”

News Monitoring

Ministries / Offices

Prevention / Mitigation

Private Intel Services

Intl. Organizations

Expert Community Input for Scenarios

and Reports Specific requests

for Information Reports

and Alerts

Federal Risk Mgmt

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Federal Crisis Management Support / Advisory Services available in a Crisis to the Swiss President or to any Federal Crisis Cell mandated by the Cabinet:

3. Scientific Advisory Group for Emergencies (‘SAGE’)

Advice concerning technical and scientific aspects of the crisis

1. Crisis Counsellor / critical observer (‘King’s fool’)

Input: ‘Out-of-the-box’ thinking, Asking questions, Lessons from other crises, CM methodology, network of experts and partners

2. ’Rapid Reflection Force’ „Sense making“ for complex crises, focus on complexity, cascading effects