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Superstorm Sandy: A Tragic Reminder about the Necessity for Solid Business Continuity Planning

With Sandy, we’ve witnessed one of the most destructive storms ever to strike the U.S. The storm was slow moving, traveled an easily forecast direct course, and because of that–offered ample opportunity to secure homes and businesses. Civil authorities were also able to provide pre-storm notice to those in Sandy’s path, in order to evacuate. The combined efforts of civil authorities, magnified through intense media coverage, resulted in relatively little loss of life for a storm of such magnitude.

The foreseen disaster can be planned for but, unfortunately, most disasters are not slow moving and predictable. In fact, most come with no forewarning making the need for solid business continuity planning an absolute necessity.

The Importance of Stakeholder Support

Business continuity planning requires serious introspection into all areas of how your business works—in every critical area. The process is simple but not easy. And the idea that business continuity is a function that can be assigned to a staff member, or even outsourced to a third party, is a fallacy. A truly effective plan must include input from all stakeholders. Critical stakeholder input ensures that every eventuality, every risk, and every critical system will be identified and planned for.

How to Develop an Effective Business Continuity Plan

In developing your business continuity plan, examine the following areas for risks and redundancy:

• Executive Leadership – Identify executive leadership and assign specific responsibility and “authority to act” to designated executives.
• Human Capital – Develop lists of business critical positions and employees, and document all methods of contact.
• Internal Communications – Develop alternate methods of reaching employees including bulk text messaging, internal web sites, dial in message boards, call chains, etc.
• External Communications – Develop alternate means of communicating with suppliers, customers and critical contractors.
• Information Systems – Identify your critical information systems and plan for catastrophic failure: multiple server storage, geographically diverse secure storage locations, offsite data retention, etc.
• Power Systems – How is power supplied to your operations? Develop alternate sources of power: back up power generation, offsite production, etc.
• Manufacturing Systems – Identify all critical manufacturing equipment and develop redundant or alternate methods of manufacturing.
• Critical Equipment – Identify business critical equipment such as pick radios in warehouse operations or medical devices and equipment in hospitals, and then develop alternate or redundant systems.
• Physical Location – Identify alternate methods of housing your business: shared facilities with other companies, leased property, supplier provided resources, etc.
• Transportation – Identify all critical transportation both upstream and downstream the supply chain. Develop redundant capacity in all areas.
• Financial Systems – Develop access to capital on short notice: lines of credit, etc.
• Regulatory Reporting – Develop and maintain methods of compliance with critical regulations and maintain redundant methods of regulatory compliance reporting.
• Timetables – Develop reasonable timetables for implementation of your plans. Assign responsibility for adherence to schedules. Time management and elimination of slippage is critical during a crisis.

The very survival of your business can depend on an effective business continuity plan. A good plan requires a multi-disciplinary approach involving your key stakeholders.

Let us help.

Contact Rampart Group today and we will work across your organization, incorporating Sourcing, Supply Chain Operations, Sales, EHS, QRA, Corporate Communications, Transportation, Facilities, Human Resources and others to ensure your business continuity plan is robust and effective across the spectrum of risks to your operations. 

Kathy Leodler Chief Executive Officer Email:[email protected] Phone: (360) 981-2703 PI License #3555

Paul Leodler Executive Vice President Email:[email protected] Phone: (360) 981-3397 PI License #4180

We at Rampart Group are committed to your security. Call 1-800 421-0614 or contact us today with your security or investigative needs.