Mapping Activity to
Understand Risk
Russ Briggs
SADIA International
SADIA’s Approach to Risk Mgmt
• Cultural (how an organization processes
information and how that impacts risk)
• Strategic (how an organization thinks
about risk, and the management of risk)
• Tactical (the steps an organization takes to
reduce and/or mitigate risk)
What does SADIA’s process entail?
• Start with an objective (risk you want to
measure)
• Identify the overriding insight (e.g.
leveraging across the enterprise to create
synergies and protect enterprise value)
• Position the product/service in the market
• Identify the overriding theme
• Empower staff to carry out the activity
We start with an Objective
• Reduce Uncertainty
• Preserve Value
• Increase Revenue
• Avoid Cost
• Improve Service
We develop an Overriding Insight
• For example, Four Seasons founder Izzy
Sharp discovered customers on the road
longed for the comforts of their home and
office
• Let’s look at how Four Seasons was able
to take advantage of that insight to
become a global leader in luxury
accommodation
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
• Product will be positioned in the
marketplace as a medium-sized hotel in
an intimate setting
• Supported by location-based guest
database
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Medium-sized,
Intimate Hotels
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
There was a problem!
• There were not enough rooms in a
medium-sized property to cover the cost of
luxurious amenities and still be profitable
• Sharp realized he would have to set a new
standard in customer service in order to
charge premium rates
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Unique
Customer Service
Experience
How to deliver a unique customer
service experience?
• Make sure your entire staff is totally
focused on the customer experience
• Establish a superior staff service capability
– Extensive recruiting process
– Global in-house staff training
– Low personnel turnover due to in-house
promotion as key incentive
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Unique
Customer Service
Experience
Superior Staff
Service Attitude
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Unique
Customer Service
Experience
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Unique
Customer Service
Experience
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Unique
Customer Service
Experience
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Unique
Customer Service
Experience
In-house Promotion
as Key Incentive
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
How to reinforce that message?
• By binding the staff to the product through the
principle of the Golden Rule: to deal with others
– customers, partners, co-workers, everyone –
as we would want them to deal with us
• By making customer service everyone’s priority
– How? Eliminate the customer service dept
i.e. customer service is everybody’s business
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Positioning Four Seasons in the
Marketplace
• Globally recognized luxury brand
– Global sales and booking network
– Web site for easy access to location data
– Global procurement department
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Medium-sized,
Intimate Hotels
Consistent
Global Branding
Low Personnel
Turnover
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Medium-sized,
Intimate Hotels
Consistent
Global Branding
Low Personnel
Turnover
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
What we do and what we don’t!
• We manage hotel properties – we do not
invest
• We offer a total hotel management
program
– Consulting to evaluate new locations
– Design and architecture support
– Expansion into resorts and time-sharing
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Focus on
Hotel Management
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Consulting to
Evaluate New
Locations
Focus on
Hotel Management
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Consulting to
Evaluate New
Locations
Focus on
Hotel Management
Design &
Architecture Support
For New Locations
No Customer
Service
Department
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Consulting to
Evaluate New
Locations
Focus on
Hotel Management
Design &
Architecture Support
For New Locations
No Customer
Service
Department
Expansion into
Resorts & Time-sharing
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
Four Seasons Activity Map
Overriding Insight: Customers on the road long for the comforts of home and office
Location-based
Guest Database
Global Sales &
Booking Network
Consistent
Global Branding
Web Site for
Easy Access to
Location Data
Medium-sized,
Intimate Hotels
Low Personnel
Turnover
Global
Procurement
Department
Unique
Customer Service
Experience
“Golden Rule”
Individual
Guest Service
In-house Promotion
as Key Incentive
Consulting to
Evaluate New
Locations
Focus on
Hotel Management
Design &
Architecture Support
For New Locations
No Customer
Service
Department
Expansion into
Resorts & Time-sharing
Superior Staff
Service Attitude
Extensive
Recruiting
Process
Global
In-house Staff
Training
To summarize
• Start with an objective (risk you want to
measure)
• Identify the overriding insight (e.g.
leveraging across the enterprise to create
synergies and protect enterprise value)
• Position the product/service in the market
• Identify the overriding theme
• Empower staff to carry out the activity
Generic Activity Map
Overriding RM Insight: RU, PV, IR, AC, IS
Overarching Value Proposition:
Product
Positioning
Generic Activity Map
Overriding RM Insight: RU, PV, IR, AC, IS
Overarching Value Proposition:
Product
Positioning
Overarching
Value Proposition
Generic Activity Map
Overriding RM Insight: RU, PV, IR, AC, IS
Overarching Value Proposition:
Technical
Support
Product
Positioning
Low Turnover
Of Personnel
Overarching
Value Proposition
Enabling
Principle
Motivating
Factor
People-related
Engine
Extensive
Recruiting
Process
Continuous
Training (WIP)
Generic Activity Map
Overriding RM Insight: RU, PV, IR, AC, IS
Overarching Value Proposition:
Technical
support
Harmonized
Databases
Website
Market
Positioning
Product
Positioning
Low Turnover
Of Personnel
Major Support
Activity
Overarching
Value Proposition
Enabling
Principle
Motivating
Factor
Opportunities
For Development
What we do &
what we don’t do
Design &
Architecture
Support
Risk Mgmt
Everyone’s
Responsibility
Expanding
Business
Focus
People-related
Engine
Extensive
Recruiting
Process
Continuous
Training (WIP)
So that’s the end of the deck
• We then go into a short workshop to
demonstrate the value of activity mapping
by dealing with a specific client issue
• e.g. how do I know my staff are doing all
they can to protect my company from risk?