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Expect the Unexpected If there is one important lesson that we have all learned from Hurricane Katrina what would it be? As the head of a business continuity services company who promotes excellence in emergency preparedness, this remains a burning question with one compelling answer. The lesson learned, and a costly mistake is the lack of Planning and Readiness. Katrina is one of the biggest natural disasters in US history and the experts knew how the levy would react to a hurricane of this magnitude. Sadly, their predictions were correct. Is it that the good folks in the State of Louisiana didn’t heed the warning? Is it that they thought that they would get by with luck or by the grace of God? Where were the Disaster Plans and Emergency Operations Plans that Homeland Security funded with millions of dollars? They encourage communities to plan for their own safety and well-being. Plan so that in the event of a major disruption they will stay whole, keep their economy running, and keep their people safe. The American Farm Bureau Federation estimates that there could be a $500 million export loss for U.S. producers through the Gulf ports. There are growing concerns that the combination of higher energy prices, transportation disruptions, and lower economic activity in the Gulf region itself, could be enough to plunge the economy into an actual recession. One estimate puts the economic cost of Katrina at more than $100 billion. The Wall Street Journal estimates the cost of caring for victims of Hurricane Katrina and rebuilding the areas it destroyed could cost the federal government up to $200 billion, much higher than previous estimates. Also, the Congressional Budget Office estimates that Hurricane Katrina could cost the U.S. over 400,000 jobs and shave up to 1 percent off the nation's economic growth in the second half of the year. If you think that the events that are now unfolding in New Orleans from the aftermath of Hurricane Katrina cannot happen in sedate New England, then think again. Recent emergency events have happened here in Rhode Island not nearly the magnitude of a category 4 or 5 and have caused tremendous destruction. Will we be ready as a State, as a business, as a community, if a natural or man-made disaster were to hit our region? We have all read about the short-comings that have plagued our State, and the federal government has said that preparedness planning is key. So are we assessing our vulnerabilities, creating contingency plans, and practicing these plans? Or do we think we will be the lucky ones unscathed by disaster and have the attitude that it just can’t happen here? Businesses need to take responsibility for their own welfare and continuity. We cannot be at the mercy of bureaucratic agencies fighting turf wars while our businesses suffer. Both business and citizens alike must take measures to protect their people, property and welfare in the event of either a natural or made-man disaster. Businesses can take protective measures by assessing the risk of what could happen in a worst case scenario and then develop an emergency action plan to address their most pressing needs in the event of an emergency that may short circuit the basic human needs. The most important lesson to be learned from the events of Hurricane Katrina is that our government is unable to provide the level of Protection that we have come to expect. The private sector must take it upon themselves to insure their continued viability in the market place in the aftermath of a disaster and realize that our government with all its vast resources can only do so much. It affects our quality of life, the impact of our economic survival, and the ability to continue life as we know it today. Recently, I had the opportunity to listen to many of our United States Senators in Washington DC talk about this catastrophic event. Senator Susan Collins (R-Maine), Chair of the Senate Committee for Homeland Security stated that as we begin to determine where FEMA and Homeland Security went wrong, business must immediately take a look at their own vulnerabilities and begin to prepare for disruption. She defined the three R’s of emergency preparedness as Readiness, Response and Recovery. Take heed in this definition, as you will hear much more in weeks and months ahead. The Rhode Island business community must begin to assess, plan and train their employees to assure that this type of failure will not happen to you. It is clear that the plans used during this emergency did not meet the minimum objectives. Had validation testing and training been a top priority of the end users of the respective plans, it would have been clear to them that change was necessary to increase effectiveness. At times like this we need to evaluate our own emergency preparedness. Business must provide leadership that is effective and defined while delegating clear and concise emergency preparedness and acquire rapid marshalling of resources. This is not done at the time of a crisis. It takes place when there is time to think and reconsider the various options. Testing and training requires commitment of resources to refine, evaluate, and increase effectiveness of your plan and leadership is key. Stakeholders, stockholders, Board of Directors and small business leaders alike must commit resources before an emergency strikes our area. Businesses must realize that it is critical to develop an effective and well designed plan that is executed by well trained emergency professionals or suffer the tragic loss of life and viability that poor planning and performance brings! Lori C. Adamo, President
Code Red Business Continuity Services, located in Cranston, RI, helps businesses prepare for disasters with risk analysis, plans, and training. 401-785-4911 |
