The unthinkable happens: the business that you have put all your passion, hard work, and money into is destroyed, and there was nothing you could do to prevent it. Or was there?
This was the harsh reality for many business owners as Hurricane Sandy ravaged the East Coast in 2012 leaving a trail of destruction in its wake. As one of the costliest hurricanes in U.S. history, Sandy caused billions of dollars of damage to the power systems, communications, transportation, water/sewage systems, and to businesses in the affected areas. According to Dun & Bradstreet, a world leader in providing business data, 1.5 million businesses from 1,000 different industries located in New Jersey, New York, and Connecticut were affected by Hurricane Sandy. Worse yet, based on a review done by Dun & Bradstreet, hundreds of thousands of businesses were already struggling financially before this natural disaster hit.
Business disrupting risks come not only from hurricanes, but tornadoes, fires, floods, human error, data breaches, and other endless sources. This unpredictable risk leads one to ask how else to mitigate this risk outside of buying insurance. One option that business owners often overlook is having a comprehensive disaster recovery plan as part of their business strategy. A disaster recovery plan (DRP) is defined as, “planning and implementation of procedures and facilities for use when essential systems are not available for a period long enough to have a significant impact on the business” (Dictionary.reference.com). What do you do when you have no power to operate, no phones to communicate, and no transportation to travel? How do you keep your business going when you have no access to tools you use service your clients and produce your products? These are just a couple of the many questions every business owner should ask themselves while preparing a DRP.
Some business owners may be reluctant, for a variety of reasons, to invest time and resources in developing a recovery plan that they may never have to implement. But doing so just might make the difference between your business sinking or staying afloat.
To learn more about The ALS Group or developing a disaster recovery plan, click here to request more information.
