Hospital CEO stayed rooted during tree crisis

02:34 PM CDT on Friday, June 1, 2007

It's a knotty test for any CEO when plans for corporate progress bump into opposition from preservationists. When Dallas' Presbyterian Hospital was preparing for a major campus expansion in 1995, its plans called for the controversial removal of large mature trees that the hospital had long preserved.

As the news spread, protests from community activists created a stir with the media and City Council. The activists insisted that not a single tree be touched. The media embraced the story.

The situation was rapidly approaching a tipping point for the hospital and Doug Hawthorne, the president and chief executive of Texas Health Resources and its family of hospitals, including Presbyterian, Harris Methodist of Fort Worth and Arlington Memorial.

Doug Hawthorne, president and chief executive of Texas Health Resources, faced protests over the removal of trees.

Mr. Hawthorne's first instinct was to disregard the protests and continue with the construction as planned. The hospital felt strongly that it needed a new power plant, and the ideal spot was in an area of large shade trees. Moreover, the hospital was well within its legal rights to do with its land what it thought best. But Mr. Hawthorne thought better of this initial impulse, deciding instead to search for a mutually favorable outcome.

CEOs tend to be judged relative to the degree of difficulty present. Turning a budding crisis into a triumph is what distinguishes strong leaders from their weaker counterparts.

To properly manage a crisis, Mr. Hawthorne recommends holding fast to these essential tenets:

• Promote strong communication channels with your management team. The easiest way to defeat a crisis is to know that it's coming and prepare accordingly. ("The readiness is all," management expert Shakespeare would say.) But if the leader is isolated or closed to advice from subordinates, he or she may not be forewarned about an oncoming storm.
• Once the crisis hits, the leader may feel alone. Don't step away from the team that you trust. Challenges can be faced with greater confidence when the team is unified.
• Try not to panic. Keep a sense of perspective.
• Break down the barriers. Listen - put yourself in the other side's place and deal with their anxieties.
• Constantly strive for a win-win scenario.

Mr. Hawthorne relied on these guiding principles in dealing with the protests.

The first challenge was to develop a clear communications channel. The protesters had no natural leader, so the hospital asked them to choose three spokespeople who could be empowered to speak on the group's behalf. Once the leaders for both sides were in place, several lively meetings followed.

The hospital's managers listened carefully to the protesters' concerns while emphasizing Presbyterian's record of preservation. After all, the trees were also important to the hospital.

Then ingenuity led the way: After consulting with arborists and architects, Mr. Hawthorne agreed to plant five new trees for every one removed and to relocate the power plant slightly to preserve one massive old tree of special concern. The activists embraced Mr. Hawthorne's resourceful proposal.

Mr. Hawthorne and his team took full advantage of many "best practices" crisis management techniques:

Keep control of emotions. Mr. Hawthorne recognized that his original response was impulsive and quickly substituted an organized, more productive process.

Always put yourself in the opposition's shoes. Only by appreciating their point of view can you arrive at a workable solution rather than an ultimatum.

Listen for points of agreement. Both sides discovered that they really wanted the same result - trees. Use points of agreement to reach an acceptable compromise.

Rely on your management team's expertise (and that of consultants, if helpful). Problem-solve by brainstorming, and don't isolate yourself from those you trust.

Use your creativity. Mr. Hawthorne substituted a prize he was willing to part with for one that he couldn't. Rarely is anything great ever achieved without compromise.

Pauline Graivier is president of Dallas-based Verbal Communications Inc. (Texas Health Resources is a client of hers.) Rob Hoffman is a partner with Gardere Wynne Sewell LLP.