Samantha Ford ADARNA CONSULTING

The management of large-scale sporting and conference events presents evolving subsets of risk. As events become bigger, managing these risks becomes more complex. The interdependencies between stakeholders mean that an issue affecting one can have an impact onothers or, indeed, the success or reputation of the larger event. The 2011 Rugby World Cup in New Zealand provides a number of examples of this. Overall, it was an incredibly successful event, but it was not without some noteworthy issues that threatened the reputations of organisers, sponsors, hosts, teams and the game itself.

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Over the past few years across the country we have seen extreme temperatures, bushfires, torrential rain, flash flooding and catastrophic flooding and cyclones.  Business owners have a few challenges on their hands including, how to ensure their continuity and successful recovery from these events.

Unfortunately, 43% of businesses that suffer significant disaster typically take 2 months or longer to recover from a disaster dramatically affecting productivity and profits.  Businesses across the country are still clearing up.  In some cases it will be weeks and months before they are able to restore full productivity.

On top of clean-up and continuity concerns there are also legislative and regulatory requirements that still need to be adhered to and reported on.   Post disaster it is not always physical damage that determines business survival.  It is whether companies are able to deliver on their commitments to key stakeholders.  A good business continuity plan documents contingencies for how the business will continue to meet those commitments.

An effective (and tested) business continuity and crisis plan can reduce losses by up to 90% in the event of an incident or disaster.  Businesses are able to achieve at least partial critical operation with little (if any) down time.  Does your business have a business continuity plan?  Did it work or were there a few glitches?

Following a disaster is the most opportune time to review your existing plans, even if your business wasn’t directly affected.  By undertaking a review it provides business with the opportunity to capture lessons and incorporate crucial changes into plans to ensure preparedness for any event.  This will enable the business to respond even more efficiently, recover quickly and minimise losses should another event occur.

If you don’t have formal crisis and business continuity plans in place, now is the time to seek some advice from the experts so that you are prepared should an interruption or disaster affect your business.

Free Workshops and Webinars in 2012

In 2012, Enterprise Connect has provided funding to Adarna Consulting Pty Ltd to conduct the Protect Your Business series of events to help businesses improve their resilience.  These events are FREE and include the “Build a Business Continuity Plan in a Day” workshops in Brisbane, Sydney, Newcastle and Wollongong during February 2012.  For further information and dates on these events go to our Upcoming Events page.

If you have any questions about disaster assistance available to business, or would like us to help you to review and develop your plans, contact us on 02 9568 6661.

Samantha Ford

Adarna Consulting

www.adarnaconsulting.com.au

Free Workshops for SMEs

A total of six (6) facilitated workshops enabling participants to “build a business continuity plan in a day” will be delivered in February 2012 in Sydney, Newcastle, Wollongong and Brisbane.  This will be followed by three (3) live presentation-style webinars addressing risk management, recovery and best practice crisis management.

Events which adversely impact Australian businesses and our economy take many forms from catastrophic natural disasters caused by floods, fires, cyclones and droughts to more personal localised events such as the sudden loss of your premises, a key supplier, customer or employee to the potential of a pandemic or act of terrorism.

The decisions you make following an event will determine whether and/or how quickly your business will recover. Having a current business continuity plan in place will assist you to make the right decisions.

• Know your risks
• Do what you can to prevent business impacts
• Respond to unexpected incidents effectively
• Recover and return to business as usual

For workshop schedule and registration forms click here.

Enterprise Connect is a $50 million a year Australian Government initiative that provides support to eligible Australian small and medium sized businesses. Core services include a Business Review for eligible businesses at no charge to firms and grant assistance to implement recommendations flowing from the Business Review. For more information visit www.enterpriseconnect.gov.au or call the Hotline on 131 791.

• Plan for the future and develop strategies for managing difficult times
• Stay on top of cash flow
• Choose your product mix carefully manage your inventory efficiently
• Take care of your existing clientele and take every opportunity to improve your customer service
• Identify and follow where your market is at and ADAPT accordingly
• Manage your risks diligently
• Improve your knowledge of events
• Maintain your motivation

In the past week or so investigations have commenced in other countries concerning conduct of the media, Rebekah Brooks has been arrested and the Metropolitan Police Commissioner has resigned amidst allegations that some members of his command were corrupt.

Uncle Rupert – what a mess!

Was it the right decision to cut the newspaper off in it’s entirety?  I wouldn’t have thought so however we don’t have the full story yet, it could be an indication for what is to come.  Only time will tell and it’s sure to become one of those text book case studies for reputation and crisis management in the years to come.

As at April 7, 2011 the death toll stands at 171.  The earthquake has had devastating effects on the community, business and the economy with economic impacts estimated at $15billion. In its latest monthly economic indicators, issued over the weekend, NZ Treasury estimates that national GDP growth will be about 1.5 percent lower in 2011, solely as a result of the earthquake.

The current death toll stands at 3373 with over 10,000 missing.  This is expected to rise dramatically.  There are approximately 500,000 people displaced in evacuation shelters and around 850,000 people are without electricity in near freezing weather.  More than 76,000 buildings have been damaged.

Phone numbers to consult about missing persons: (Japanese language)
Iwate: 0120-801-471
Miyagi: 022-221-2000
Fukushima: 0120-510-186 / 090-8424-4207 / 090-8424-4208

Recovery is a complex, dynamic and protracted process so what can we expect to see in the coming months?

When disaster strikes a community we often see a wonderful human response where people come together and bond as a result of common unity in the face of adversity.  As the disaster abates a process of social debonding can occur. This is where an event profoundly disrupts pre-eixisting physical emotional and social continuity.  It affects all that was constant and taken for granted and is not understood.  As life resumes a level of “new normality” the interaction seen in the intial response is lessened.  A slightly different community is created and relationships have changed.  This debonding increases vulnerability and can lead to feelings of isolation, resentment and hostility, anger, stress, helplessness and depression.  it can be momentary or protracted, depending on the impact duration.

Impacts are primarily related to an individuals experience of the event, some people will require formal assistance or counselling and others will manage in their own way.  Friends and families should be aware that there is potential for both short and long term effects on people affected by disaster.

Below are some of the signs that a person is experiencing trauma:

• Stress and chronic arousal
• Physical health deteriorates
• Exhaustion and emotional liability
• Anxiety
• Depression
• Substance abuse
• Indecisiveness
• Degraded social relationships

As well as emotional aspects of recovery it is important not to forget that both physical and economic recovery is crucial to rebuild communities affected by disaster.

We have seen a massive response to clean up at the local level.  Homes and businesses are being cleaned out and roads are being cleared.  The repair and rebuilding of homes, businesses and damaged infrastructure will take time and services that we often take for granted will at times be affected.

There is likely to be rental shortages and people will remain displaced for some time.  It is possible that we will see initial job losses particularly, in the area of small business.  Some businesses will be unable to re-open.  Other businesses will be affected because they can not afford to donate their services or people are donating the goods that they sell.  This can contribute to reduced sales, increased vulnerability and delayed economic recovery.

The Queensland Government has created a web page with information on Disaster Recovery and Assistance for affected communities .  Here you can find links to pages providing assistance in a range of areas including both health and financial assistance.

Businesses need a plan to recover and rebuild to ensure their future resilience.  If you are a business recovering from the devastating floods in QLD, NSW or Victoria and you would like more information please contact us to discuss your needs furtherFlood recovery is a complex, dynamic and protracted process so what can we expect to see in the coming months?