Why it’s Essential to Have a Business Continuity Plan in Place
What is a business continuity plan and why should you develop one for your business?
Thanks to Florida’s penchant for rough weather, residents are quite aware that being prepared for an emergency is of utmost importance. Oddly enough, many companies don’t have a business continuity plan in place. This means that in the event of an emergency, they’re not equipped to continue as business as usual, costing them both profits and reputation. Today, we’re going to explain why a business continuity plan is essential.
Business as (Mostly) Usual
At its core, the reason for having a business continuity plan is to maintain at least a semblance of normality despite a crucial emergency. Whether this allows you to continue with business as usual or mostly usual will depend on the severity of the emergency, how your business operates, and other factors. The important thing is continuing as much as possible to help alleviate any loss to the company.
Workers Will Need Guidance
One of your primary jobs as a business owner is to nurture the confidence of your workers, so it’s important to realize that any type of emergency can be a harrowing experience. Even if they feel safe and secure from the emergency itself, they need to know how their job will continue. By putting a plan in place, you give them the confidence that if an emergency occurs, they’ll know how to react and that you’re right there with them. It will also allow them to have confidence that they will still have a job in the case of an emergency. One less thing to worry about goes a long way, depending on the situation.
Insurance Won’t Cover You
Many companies believe that having commercial insurance will cover everything involved in an emergency situation. While proper coverage is an extremely important part of your business continuity plan, it may not protect you from peripheral damages such as loss of customers, reduced market share, and related setbacks. Your insurance carrier will be able to go over your policy and continuity plan to ensure that you’re fully covered.
Return Operations to Normal
The most important thing following an emergency is to make sure that everyone is safe and sound. The second most important thing is ensuring that normal operations can continue as soon as possible. Without a proper plan in place, there are far too many “what ifs.” You simply can’t take a wait and see kind of attitude when it comes to getting your business back up and running normally again.
Your Business Could Fall Apart Without a Sound Plan
The truth is that a single emergency, even one that isn’t too big or dire, has been known to take down successful businesses. Not having a business continuity plan in place could mean that your company is thrown into disarray and won’t be able to recover. Sadly, this has no doubt happened multiple times in 2020 due to the pandemic and is likely to continue for the same reason throughout some or much of this year.
Your Competitors Don’t have a Plan in Place
Yes, you read that right. Another reason why you should get a business continuity plan is because much of your competition isn’t doing it. This means that if an emergency occurs, they will have a much more difficult time recovering. While they attempt to pick up the pieces, you’ll be able to forge ahead and get back to normal more quickly.
Disaster Recovery Isn’t the Same
Whereas disaster recovery is a reactive plan that deals with personnel and operational procedures after an emergency, this is actually a part of business continuity planning. Business continuity is the proactive part of the overall plan where you make decisions that will mitigate risks associated with a disruption and covers the steps you will take before, during, and after the event to avoid financial loss.
Contact Coleman Insurance for a Business Continuity Plan
If you want to ensure that your business continues to thrive or at least survive following an emergency, then a business continuity plan is essential. As the premiere Clearwater insurance agency, Coleman Insurance can help you develop an effective business continuity plan to keep you safe. We also excel in all types of homeowner’s insurance, commercial insurance, and other insurance needs. Call our office at (727) 441-9911 to discuss your insurance needs and to schedule a free consultation.
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