Posted: December 18, 2009

The recent nor'easter flooded parts of Hampton Roads, knocked out power and stranded a barge bound for New Jersey in Sandbridge. In each case, businesses were affected, and they in turn affected other businesses through the region and even nationwide.

Like flu pandemics, natural disasters can't be avoided, but they can be generally planned for. And while it may seem tedious to prepare a disaster plan, your business will reap the rewards if and when the worst happens.

The first step of formulating a disaster preparedness plan is: Know yourself.

Know your risk. In Hampton Roads, we don't get earthquakes, but we do get hurricanes, flash floods, strong winds and the occasional tornado. Fire is one of the most prevalent dangers to businesses, and it can occur at any time. And don't forget the possibility of a disaster caused by humans, such as a biological or chemical attack. Your location will affect your risk somewhat, especially if you're close to sea level or near a major military or government site.

Know your company. Identify the people, processes and products that are essential to your business's operations. If you don't have an organizational chart or guide to your company's processes, this might be the impetus you need to create them. Also, examine how your company functions to see if there are vulnerabilities, and be sure your insurance is sufficient.

Know your leadership. When things go wrong, employees will look to someone for guidance. Designate an emergency task leader, an officer of the company with the knowledge and authority to make good decisions in a crisis and have those decisions followed. Also, have a clear management chain of succession in case individual leaders are stranded or missing.

Know your supply chain. As the barge La Princesa demonstrated, a disaster doesn't have to occur in your area to affect your operations. Be aware of the disaster conditions your suppliers and purchasers might be facing, and try to develop relationships across a variety of locations to reduce your risk.

Your disaster management plan will be very specific to your company, based on your risk, processes, people and relationships. The Federal Emergency Management Administration has a thorough guide to creating a disaster preparedness plan at www.ready.gov/business.

Creating your plan will require a great deal of time and effort. But once you've created it, you're still not done. A plan that sits in a file folder or on a server is of no use at all. You need to communicate the plan to everyone in your company.

Be sure to put the plan in writing, ideally in a step-by-step format that everyone can understand. Keep the plan in a central location, and place posters reminding employees of the plan's existence and location throughout your offices.

Give the plan some flexibility. Invite employee feedback on the final draft, not only for the sake of good input but to motivate employees to read the plan. Use job titles in the plan instead of names to reduce the impact of turnover. And if your designated emergency task leader leaves the company, be sure to find a replacement and communicate that replacement to everyone.

Because disasters tend to strike when we're not in the office, have all the company officers keep a copy of the plan at their homes, on paper as well as in digital format. Part of the emergency task leader's job will be to monitor potential disaster s and contact other officers.

If your company has fewer than 35 employees, create a phone tree. For larger companies, consider having a call-in voicemail recording to keep employees up to date. Remember to reactivate the phone tree or change the voicemail message as new decisions are made.

Disasters are an unfortunate part of life, but with some advance planning and communication, your business can survive them.

Catherine Cantieri's business, Sorted, helps other businesses get organized. Visit the Sorted blog at www.get-sorted.net.