As twisters hit the Midwest and a typhoon hit the Philippines, innocent people and companies were hurt, losing material possessions and in some cases, lives. Peeking in on the incessant television coverage, I am struck by how many victims say “I didn’t think it would happen to me.” None of us do. Who wants that cloud hanging over us day in and day out?
But almost 75% of large companies interviewed earlier this year said they HAD BEEN IMPACTED BY A SUPPLY CHAIN DISRUPTION SO SIGNIFICANT IT REQUIRED TOP LEVEL MANAGEMENT INVOLVEMENT. I hate all caps as much as the next guy, but I want to get your attention.
IT CAN HAPPEN TO YOU!
Your suppliers, power source, roads, operations, servers and other key resources CAN be interrupted no matter how well you plan. The questions, as with most things, is how you respond.
Have you tested your IT off-site backup and recovery systems to ensure you can be back up and operating electronically within an hour? Have you verified your backup plans for every key supplier becoming incapacitated on short notice? Can your access to credit immediately provide what is required to get you going again? Can you reach all employees, suppliers and customers to let them know what is happening and how to react?
If you have verified backup plans, there’s no need for a doomsday cloud hanging overhead. At least you are prepared for the worst. But if you don’t have verified plans, your should know it can happen to you. After all, it’s happened to 75% of large companies, and you’re likely no luckier than they.
Download the findings of the AQPC survey referenced here: http://blogs.hbr.org/2013/07/research-why-companies-get-blindsided/