No-one likes to think about the worst-case scenario, but ignoring it could lead to tragedy and potentially cost you your business. By planning for the worst, you can reduce the damage. With some disasters that are controllable, protective measures may even be able to reduce the risk of it happening in the first place. Here are 7 examples of disasters that every business owner must prepare for.
- Power outages
The most common business disaster: power outages can halt production, crash systems and even prevent payment processing. Prepare by investing in an uninterruptible power supply (UPS) to protect crucial devices against voltage surges, or consider backup generators if downtime is costly. Offices may be able to temporarily use laptops hooked up to hotspots for essential work.
- Fires
A fire can destroy premises, equipment and vital records in minutes. Annual fire risk assessments and electrical checks are recommended to help you fix threats. When a fire breaks out, saving human lives should always be a priority. Determine clear evacuation routes and conduct fire drills to help everyone escape quickly. Back up data on the cloud and insure your property against fire in case one breaks out.
- Cyberattacks
Cybercriminals can steal sensitive data, extort money and damage your reputation overnight. Protect your systems with strong passwords, multifactor authentication and up-to-date security software. Train employees how to spot phishing emails and suspicious links – they’re often the biggest vulnerability. Backing up data on the cloud and having a ransomware recovery plan is highly recommended.
- Medical emergencies
What happens if someone is injured or falls seriously ill on your business property? Preparing for such eventualities by training key staff in first aid and CPR is essential. You should also maintain a well-stocked first aid kit and consider working with leaders in AED management to provide a working defibrillator. Drill medical emergencies in work and consider refresher courses for first aid trained workers.
- Theft
Theft – internal or external – can cost you a lot of money and damage trust. Deter it with basic security measures such as access controls, alarms, cameras and sign-in procedures for visitors. When it comes to fraud risk, consider other measures like additional identity checks. It may also be possible to insure certain equipment against burglary. Make it known that you take theft seriously and will investigate even the smallest case – simple warnings can make opportunistic criminals think twice.
- Key equipment failure
Your business could be reliant on certain equipment to operate. Make sure that this equipment is well maintained and regularly inspected to prevent breakdowns. Plan repairs for non-working hours or quiet periods to reduce disruption. In some cases, it may be useful to have backup equipment.
- Pandemics
Covid-19 showed the world that a pandemic could be a threat. It’s important that your business learns from this event by having policies in place regarding sick leave, isolation and workplace hygiene. Enable remote work if possible or develop contingency plans that don’t require physical social contact (like setting up a trialling a take-out service for your restaurant). Keep your plan flexible to adapt to changing public health guidance.