Pennsylvania Business Continuity Planning
Stop and consider this - Your business burns to the ground. All business records, telecommunications, emails, contacts, customer information, product designs, sales contracts, machinery, materials, product in all stages of production, computers and programming are gone. Either melted by the heat or floating in water. A shift of 50 people will arrive in an hour to put the final touches on the destroyed product scheduled to leave your loading dock today for your number one customer.
The Question You Need To Ask Yourself Is - "Will My Business Survive Or Go Belly Up?"
From fires to floods, power surges to tornadoes, disaster can strike anytime with little to no advance warning. According to the Insurance Information Institute, as many as 40 percent of businesses forced to suspend operations due to a natural or human-caused disrupting event never reopen their doors.
"As many as 40 percent of businesses forced to suspend operations due to a natural or human-caused disaster never reopen their doors."
Consider the challenges you and your business would face in the wake of a natural disaster like Hurricane Katrina or Superstorm Sandy. We are now years beyond these events and there are still people trying to rebuild. It's overwhelming when you consider the impact these events can have. Here's something you must realize: A relatively minor fire or flood that forces you to shut down operations carries many of the same challenges as a disaster on the scale of Katrina or Sandy.
A Pennsylvania Business Insurance policy would help you rebuild the physical infrastructure, but are you able to deal with lost revenue and mounting expenses while you work to restore operations?
Plan For The Worst
The difference between surviving a business interruption and closing the doors for good will hinge on one factor - preparation.
The best way to keep a business disruption from putting the future of your business on the line is to develop and implement a comprehensive continuity plan.
Developing and Implementing a business continuity planning involves:
- Defining potential risks
- Determining how those risks will affect operations
- Implementing safeguards and procedures designed to mitigate those risks
- Testing those procedures to ensure that they work
- Periodically reviewing the process to make sure that it is up to date
While the goals of business continuity planning are endless depending on your unique situation, the goals for developing a business continuity plan generally focus on and include:
- On-site safety to people at risk from hazards at the facility
- Minimizing interruptions or disruptions of business operations to keep your customers
- Asset protection and preservation whether in physical or electronic form
- Preventing environmental contamination
- Protecting your organization's brand, image and reputation
The planning process should take an "all hazards" approach. The probability that a specific hazard will impact your business is hard to determine - that's why it's important to consider many different threats and hazards and the likelihood they will occur. A business impact analysis can predict the consequences of an interruption and give you a good idea of how your operations would be affected in case you were forced to temporarily close.
Implementing the plan means more than simply exercising the plan during an emergency. It means acting on recommendations made during the hazard analysis, integrating the plan into company operations, training employees and evaluating the plan on an ongoing basis.
It is important to conduct a formal audit of the entire plan at least once a year to help identify any factors that may necessitate changes, such as updated regulations or new hazards.
Let Us Guide You Through The Process
No business owner wants to think about what would happen to the business if disaster strikes, but it's a reality that all business owners must face. Robertson Insurance & Risk Management realizes it can be a daunting task to plan for a major business interruption - but it doesn't have to be.
We can help you kick-start your planning efforts with a suite of industry-leading business continuity tools and resources, including a sample plan that can be tailored to meet the unique needs of your business. We can guide you step by step throughout the planning process, from assessing hazards to implementing safeguards to ensuring your plan stays up to date.