Earthquake

4 Actions that Businesses should Take to Avoid Losses in Disasters like Flood, Earthquake & Tsunami

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The world is unpredictable these days, where an earthquake tremor was reported in Penang yesterday. As many people were alerted to the stress call of a disaster, we thought it would be a needed feature to share 3 top important actions that entrepreneurs and businesses should take to save their business operations, documentations and companies during a natural disaster such as flood, earthquake and tsunami. Prevention is better than cure, and we are sharing to help. 

The World is Becoming Unpredictable with Unforeseen Natural Disasters

We always like to believe catastrophic events that occur around the region were non-threatening events to our industry. But with 2/3 of Bangkok submerged under water for more than a month such understanding is merely a misconception; we can expect the same to happen in Klang Valley as well (they don’t call it a “Muddy Valley” for no obvious reason if you think about Kuala Lumpur as such….).
As most major industrial estates in Thailand were hit by flooding resulting in more than a month-long halt in production, it is imminent Malaysian companies would be affected by the dwindling supplies as most were dependant on Thailand for their major components; especially where motor-vehicles and computers assemblers in Malaysia are concerned. Major vehicles manufacturers in Malaysia are likely affected as the dip in the supply of important vehicle components would mean a total halt in production. Unless these Malaysian companies are able to source for alternative supplies soon, their business would be affected, which means a business interruption claim would be triggered.

Action 1: Are you using Cloud Computing for Your Business Data Backup?

The question in every entrepreneurs or businesses’ minds would be, how can i save vital documentation, business data backup and processes modules and still manage my operations in a safe designated area should a disaster strikes the country?
As Cloud computing is changing the way businesses, enterprises and entrepreneurs are doing business, it has become vital to invest into reliable cloud computing solutions which are offered by different providers in the market. It will be assuring for businesses to know that, in the midst of a natural disaster that they would be able to store their data safely somewhere else and resume operations during the recovery period. From manufacturing plants, to retailers to local businesses, many are switching to the cloud computing solution, and especially during a potential disaster that may hinder the business operations of that designated area for a while.
These are some useful links of Cloud Computing service providers and reviews that you can see for your business;
Action 2: Buying the Right Disaster Insurance for Your Business
The Nikkei reported that the Japanese non-life insurance industry would made a loss estimate of 1 trillion yen (approx. 12.5 billion USD) for the total insured loss from the series of earthquake and tsunami. The impact seems to be so huge, and the market is a bit concerned aboutthe solvency of the Japanese insurers and re-insurers in abroad. Indeed, the stock price of major Japanese non-life insurers, fell sharply right after the earthquake occurred.
It is timely now for businesses and entrepreneurs to factor in the investment to purchase relevant insurance plans that would protect their businesses from natural disasters. Even in Malaysia, there are insurance providers who provide consultations on the best disaster-relief and protection packages that would insure your business from incurring greater losses due to natural disasters. You can simply refer to your existing insurance provider to see what packages they have. If you could hedge such an unpredictable risk, why not?
Action 3: Finding a Suitable Remote Office 
Offices and physical spaces still play a huge role in ensuring that business operations are safe and can be carried out safely during a natural disaster. Hence, it is advisable to invest in getting a Remote Office which can serve as a backup centre for your business operations and working staffs during a disaster.
From our analysis online, comparing businesses in disaster prone countries, usually entrepreneurs and businesses would invest in a remote office;
  • That are located on stable High grounds
  • With Internet access with Cloud Networking data-centres and infrastructures like VoIP
For a great FAQ guide, please refer here.
Action 4: General Survival Tips for Businesses to Avoid Losses during a Natural Disaster
Some general tips that every business and entrepreneur should be aware of during natural disasters would include;
  • Check with your local and state government to learn how to deal with natural disaster in your area. Ask them about any designated locations which are deemed safe as shelters for yourself, your employees and the people around you.
  • In risk management, natural disasters are at the top of the list in many insurance companies. Check out the best packages that would suit your business needs. Think about your employees welfare too in purchasing an insurance for all your employees.
  • Help organize your workforce for natural disaster preparedness. Doing Emergency Drills, preparing your employees mentally during a disaster outbreak are all vitally important.

For more guides, please visit here.

We believe at a time of uncertainty, we would like to offer these suggestions to all businesses and entrepreneurs out there, especially with the incidents of Tsunami, Earthquakes and Floods being frequent natural disasters in the Asian region these days. We offer our prayers and best hopes for those affected by these disasters and pray for a speedy and strong recovery. However, for those of us who are luckier this time, its best that we prepare ourselves to face such a change in our environments today.

 

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