Compensation Strategies

Make Sure Your Company is Prepared for Any Disaster

What could stop your company from operating for a day, month, or year? A flood or fire? Perhaps a key supplier shuts down temporarily or permanently, or maybe a hacker or technical problem crashes your website or you suddenly lose power. Whatever the potential cause might be, every business needs a disaster recovery plan.

Distinctive threats

Get started by brainstorming as many scenarios as possible that could devastate your business. The operative word there is “your.” Every company faces distinctive threats related to its size, location(s), and products or services.

There are some constants to consider, however. Seek alternative suppliers who could fill in for your current ones if necessary. Moreover, identify a strong information technology consulting firm with disaster recovery capabilities and have them a phone call away.

The right voice

Another critical factor during and after a crisis is communication, both internal and external. You and most of your management team will need to concentrate on restoring operations, so appoint one manager or other employee with the necessary skills to keep stakeholders abreast of your recovery progress. These parties include:

  • Staff members & their families
  • Customers
  • Suppliers
  • Banks & other financial stakeholders
  • Local authorities & community leaders (as appropriate)

They should be prepared to spread the word through channels such as your company’s voicemail, email, website, and even traditional and social media.

Fresh eyes

Whatever you do, do not expect to create a disaster recovery plan and then toss it on a shelf. Revisit the plan at least annually, looking for shortcomings.

You also will want to keep your plan fresh in the minds of your employees. Be sure that everyone — including new hires — knows exactly what to do by holding regular meetings on the subject or even conducting an occasional surprise drill. Be prepared to coordinate with fire, police, and government officials who might be able to offer assistance during a catastrophe.

Thoughts & concepts

These are just a few thoughts and concepts to consider when designing, implementing, and updating your company’s disaster recovery plan. Our firm can help you identify both risks and cost-effective ways to safeguard your employees and assets.

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Talk with the pros

Our CPAs and advisors are a great resource if you’re ready to learn even more.