Top 3 things CIOs should do in a depression-like economy

posted by: Jack Santos

A while back I started a thread to look at how to respond to the depression-based economy.  In the intervening time I have had  many discussions, and seen a lot of material with jump-start economic suggestions (mostly of the vein “now is the time to buy this product/service”).

I’ve also come to the conclusion that this isn’t rocket science, and that the simplest recommendations are often those that ring the truest.

We know, as CIOs, that we set the tone in an organization.  Wear a monogrammed item, suddenly up pops monogrammed clothes on everyone.  Send a strongly competitive, physical message, and watch the testosterone levels go up.

And there is only one thing more difficult than picking who has to be let go and can’t  be part of the team – keeping the spirits of the folks left behind, the survivors, up and positive.

I also know, from experience, that it is times like these that tend to be the growth times, once you look back at them. Not economic growth (necessarily) but personal growth. Times of shared purpose, of camaraderie, of resetting your life’s priorities (work and home) to appreciate what is really important. 

That’s why, of my top 3 things to do in a depression-based economy, my first inclination would be to repeat number 1 for all three slots. Your company expects no less.  But, admittedly – it won’t pay the bills directly, so staying on top of numbers 2 and 3 is just as important

1. Motivate Staff and Stay Positive.
2. Find ways to cut the budget and save the company.
3. Identify efforts that are keepers (make money/add value) and will accelerate the upturn.

It’s pretty damn simple.

A recent book I read studied the culture and language of the Pirahã natives in the Amazonian rain forest (Don’t Sleep, There are Snakes, by Daniel Everett).  The tribe lives in the now, stays focused on what is important (food, relationships), has the stress of everyday survival, yet they suffer from very few of the maladies (cancer, psychological) that civilized folks do.  Everett feels our culture can learn from them.  It may be that their “be in the now” approach is how we deal with a significant economic discontinuity.  That’s why it’s a simple 3 bullets…real, and now.

Comments

[Joseph Karwat]

I'd expand the list to 5 with the addition of two key items. The first, is stay accessible. Start a blog, or actively start contributing to an existing blog. How an exec establishes his/her thought leadership and actively interacts with customers and staff is critical. One can have a positive attitude, but without the means to communicate fresh and positive ideas en mass the executive is simply drowned out by all the negative energy around him/her.

Second, I'd recommend searching for those, complex, medium term, IT projects that have a high return. Given that staff turnover, is low right now and one's good people are probably getting board, it's a good time to get those risky, complex IT projects done. Besides, it will probably help retain your best people while putting your company in a better competitive position for when the economy picks up.

[Jack Santos]

Great add-on's, Joseph. In many companies, I am not sure "bored" is the right term. "nervous", "overworked" (as colleagues get let go, and work gets piled on) might be better. My experience is that drops in sales/revenue don't immediately impact IT personnel workload -- but accumulate until it's a change in budget -- which often results in cutting staff. I don't see a lot of people in IT sitting around on their hands, except when they are waiting for the shoe to drop....

Can't agree more with ways to stay accessible...and have written research on solid blog techniques to do that (the modern replacement to the department newsletter). We should also be thinking about creative ways to recognize and reward...now more than ever.

Jack