Disaster plans essential to business survival!

Like a good Boy or Girl Scout, it pays to be prepared. Being prepared to deal with a crisis can make or break a business. That's why it is important to formulate a disaster plan.

A disaster plan identifies the most likely crisis scenarios for a company or business, and outlines appropriate responses.

For example, a typical crisis may be weather-related. The degree of response will depend on how your business is affected. The impact can range from the loss of electricity to the destruction of a key operational facility or the death of employees. All potential levels of damage must be identified, and methods of ensuring continued business operations explored.

Another potential crisis is workplace violence. Suppose the estranged husband of an employee shows up in your lobby, waving a gun, demanding to speak to his wife. A disaster plan would identify the appropriate responses, including methods of retaking control in the reception area, preventing the gunman from entering offices and injuring employees, addressing potential hostage situations, evacuating or relocating staff, continuing or suspending operations, and dealing with the media.

Disaster plans should be created by brainstorming with members of key operating divisions, including human resources, information technology, communications and marketing, customer service and employee relations.

During this process, a crisis response team is formed. The team will be responsible for implementing the disaster plan should a crisis occur.

The plan should address the following issues:

. The role of the response team during a crisis. What will be the responsibility of each crisis team member during the crisis and subsequently, damage assessment? What will be the role of officers and executives? Do certain crises warrant a reduced level of team or executive involvement?

. Communication. How will team members be notified of the crisis and called into action? Who will serve as the company spokesperson? What communications vehicles will be used with staff, customers, the media, vendors and other key business contacts? In what order of priority will each group be contacted? (Note that the selection of spokesperson is extremely important. The spokesperson must remain calm and focused throughout the crisis. Not every CEO has the ability to respond appropriately and effectively, so choose wisely.)

. Facilities. If offices or facilities are damaged during a crisis, can workers be relocated? Can workers access office equipment, such as computers and copiers? If computers or computer data are damaged or inaccessible, what alternatives are available? Are backup records stored off site to ensure the protection and availability of key customer and financial records? Will staff, customers and others continue to have access to communications technology, such as phones and faxes?

. Business operations. What level of operations can or will be maintained during a crisis and its aftermath? Can normal operations continue, or will only essential activities be maintained?

Once potential crises have been identified and responses developed, it is important to categorize each crisis by level of impact. Some crises may require a more intensive and extensive response than others.

These protocols should be put in writing, and distributed to every employee. In addition to the procedures set forth in the disaster plan, the following rules apply:

. Make the crisis a priority. Usually, the crisis will not go away. The sooner it is resolved, the better--for the company, employees, customers, investors and others.

. Respond quickly. Speed is of the essence in a crisis. Twenty-four hours can dramatically change the outcome. Put systems in place that will ensure prompt notification and response. Some companies establish a “must call” phone number for notification of a crisis. (Some companies distribute key chains or bookmarks with the tagline, “In a crisis, call Ext. XXX.) The person picking up those calls should be trained in evaluating and initiating a corporate response. Most often they are a member of the crisis response team.

. Focus on the facts. Do not engage in speculation. Focus only what you know.

. Communicate! A crisis is not the time to bury your head in the sand. You must speak to all of your publics: employees, customers, vendors, investors and the media. Even when you don’t have all of the facts, it is important to communicate. (Don’t be afraid to admit to a lack of information.) You must respond to concerns, provide reassurance and report on new developments.

. Place the interests of your employees, customers, and investors above your own. When a business is threatened, these groups will want to know how they will be affected.

. Talk to the media. If you refuse, they will speculate and probably, make the situation appear worse than it is. The media controls public perception, and many times, perception is more important than reality.

. Take a long-term view. Resolving the crisis in important. But the actions you take while seeking a resolution could have an impact beyond the crisis. For example, it may be necessary to pay employees while a new facility is being located. Otherwise, those employees may not be available when you are ready to resume operations. To ensure the continued viability of your business, react strategically, with an eye on the future.