It is that time of the year again, hurricane season, and worse of all it is forecasted to be one of the worst seasons in years. During this time the importance of disaster preparedness cannot be overstated, especially for businesses along the Gulf Coast region. Now is the time to take proactive steps to safeguard your business’ operations, employees, and assets. The devastation caused by recent hurricanes, such as Ida in 2021, serves as a stark reminder of the potential impact of these natural disasters. Hurricane Ida alone caused approximately $75 billion in damages and left countless businesses struggling to recover. If you have yet to act on preparing for a potential disaster, then head these key steps to ensure you are ready to face any hurricane-related challenges.
- Develop a Comprehensive Disaster Plan
A comprehensive disaster plan is the cornerstone of effective preparedness. This plan should outline the specific actions your business will take before, during, and after a hurricane. Key components include:
- Risk Assessment: Identify the potential risks and vulnerabilities specific to your business location and operations. For example, a business located in the New Orleans metro area is at high risk of flooding, while one located in a forested area may risk damage from fallen tree limbs.
- Emergency Contacts: Maintain an updated list of emergency contacts, including employees, suppliers, and local authorities. When the dust settles on a storm, you do not want to be left wondering “Where are my employees, and are they safe?”
- Evacuation Procedures: Establish clear evacuation routes and procedures for employees. Develop a plan based on communications you have with your employees. If they are all evacuating to similar areas, then research best routes to take. This is a great way to show employees you care about their well-being.
- Communication Plan: Develop a strategy for communicating with employees, customers, and stakeholders during a disaster. Service may be an issue, but perhaps utilize communication apps such as WhatsApp to keep in touch with everyone.
According to Ready.gov, businesses with a well-documented disaster plan are more likely to resume operations quickly after a disaster.
- Backup Critical Data and Systems
Data loss can be catastrophic for any business, and hurricanes pose a significant risk to both digital and physical records. To mitigate this risk, ensure that all critical data and systems are backed up regularly. Utilize cloud storage solutions to keep backups off-site and accessible even if your primary location is compromised. Additionally, implement robust cybersecurity measures to protect against data breaches during vulnerable times.
The Federal Emergency Management Agency (FEMA) emphasizes the importance of data backups, noting that businesses can reduce the impact of disasters by maintaining up-to-date and secure backups.
- Secure Physical Assets and Infrastructure
Securing your physical assets and infrastructure is crucial to minimizing damage during a hurricane. Steps to take include:
- Reinforce Buildings: Strengthen windows, doors, and roofs to withstand high winds and flying debris.
- Elevate Equipment: Place critical equipment and documents on elevated surfaces to protect against flooding.
- Inventory Assets: Maintain a detailed inventory of all business assets, including photographs and descriptions, to facilitate insurance claims.
Investing in these preventive measures can significantly reduce the physical damage caused by hurricanes, ultimately saving your business time and money in recovery efforts.
- Ensure Business Continuity
Business continuity planning involves developing strategies to keep your business operational during and after a disaster. This includes identifying essential functions and personnel, as well as alternative locations for business operations. Consider the following:
- Remote Work Capabilities: Equip employees with the tools and resources needed to work remotely if the office is inaccessible.
- Supply Chain Management: Establish relationships with multiple suppliers to ensure continued access to necessary materials and products.
- Financial Reserves: Maintain an emergency fund to cover unexpected expenses and cash flow disruptions.
According to the Insurance Institute for Business & Home Safety (IBHS), having a business continuity plan can significantly increase the chances of a business surviving a major disaster.
- Regularly Review and Update Your Plan
Disaster preparedness is not a one-time task. Regularly review and update your disaster plan to account for new risks, changes in business operations, and lessons learned from previous incidents. Conduct periodic drills and training sessions with employees to ensure everyone understands their roles and responsibilities during a disaster.
FEMA recommends conducting annual reviews of your disaster plan and updating it as needed to reflect current best practices and organizational changes.
Conclusion
Disaster preparedness is an essential component of business resilience, particularly for those located in hurricane-prone areas like the Gulf Coast. By developing a comprehensive disaster plan, backing up critical data, securing physical assets, ensuring business continuity, and regularly updating your plan, you can protect your business from the devastating effects of hurricanes. As we face another potentially severe hurricane season, now is the time to act and ensure your business is ready for whatever challenges lie ahead. The cost of preparedness is far outweighed by the potential losses incurred from being unprepared.
Alex Vial
HR Advisor, HR Services
Alex obtained his Bachelor of Science in Business Administration, with a focus in Human Resource Management from The University of New Orleans. He has worked in a variety of industries, including not-for-profit organizations, Telecommunications/IT, and Solar/Renewables. In his career, he has focused on human resource and legal compliance for companies operating in multiple states, Professional Development and employee trainings, employee engagement, onboarding, offboarding, and conflict resolution. Alex believes the best part of HR is helping companies create pro-employee cultures, increasing retention and reducing recruiting costs. Alex loves tackling new challenges on behalf of his customers at empact and Crescent.
His personal philosophy is “The obstacle in the path becomes the path. Within every obstacle is an opportunity to improve our condition.” – Ryan Holiday
