Business Continuity in a Crisis

Unplanned events can have a devastating effect on businesses and the beginning of the pandemic was definitely no exception.  As consumers stockpiled goods, stores and their supply chains struggled to keep up and keep shelves stocked.  What came out of this situation is the need for senior decision makers to have risk-management and crisis planning strategies in place.

If a business is to survive in a crisis it is important to have:

• A well tested business continuity plan already in place 
• Strong leadership to ensure swift and decisive action in response to a crisis
• Quick and honest communications with employees, shareholders and other stakeholders and where appropriate the media
• Compassion for employees and customers impacted by the crisis
• Being prepared to adopt alternative working, technological or communication systems, including changes to company operations, providing personal protective equipment, continuous sanitizing of workspaces and equipment, training staff in new protocols, and where appropriate facilitating remote working for employees.
• Having access to financial and other resources to help absorb the costs of the crisis, an early and aggressive review of cash flow and the development of a cash management plan

Unfortunately the Covid-19 crisis unfolded without much warning so it was difficult for businesses to make preparations beforehand. It was and is important for businesses to take advantage of all the help available from governments and other organizations.  There the operations of the business should be continuously reviewed and changes made when necessary.  Everyone involved with the business should be kept fully apprised of all changes to business operations.  Managers must be given the resources to be able to act quickly, decisively and effectively and they should know how to access external help and advice.

From an article by CPA Canada