disaster proof your business in easy pm steps

12/15/2013

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Disaster-proofyour business

for SMEs, Startups & Freelancers

Speaker

Jeremy Jay V. LimCSSBB, PMP, BPM, IATA

Objectives of the Keynote Talk

Discuss what disaster-proofing is about

Illustrate disaster-proofing for your business with

simple easy steps using project management basics

Share tips and best practices of disaster-proofing

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–Anonymous

“Natural Disasters are becoming the New Norm!”

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Why does it matter?

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4

Business Owner defending

his store from looters

www.philstar.com, 2013

www.philstar.com, 2013

Business Loss due to Disaster

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http://www.philstar.com/

http://www.philstar.com/

12/15/2013

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Natural Disasters in the Philippines

2000-2012

Source: Emergency Events Database (EM-DAT) of US Foreign Disaster Assistance and CRED International Disaster Database

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Disaster-proofing is about anticipating harmful,

calamitous events which may likely happen.

A disaster that may happen is called a

"Disaster Risk"

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What is Disaster-Proofing?

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What intensifies a Disaster Risk?

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"Building Resilience - Integrating Climate & Disaster Risk into Development", World Bank Group, 2013

Lack of Planning

Lack of preparedness

CONTROLLABLE

CONTROLLABLE

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Some Terminologies

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Ability to recover from a disasterVulnerability

• Disaster-proofing lessens vulnerability

• Ex. Disaster Risk Reduction planning and Business Recovery planning

Chance of being affected by a disasterExposure

• Preparedness lessens exposure

• Ex. Weather monitoring

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How do you

Disaster-proofyour Business?

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PRE DURING POST

Manage disaster risk according to stages

Disaster-proofing is proactive

Goal

PREPAREDNESSGoal

RISK REDUCTIONGoal

RECOVERYSuccess Criteria

100% Ready to Respond

Drills conducted

Evacuation Plan in place

Worst Case Scenario plan

Success Criteria

Minimize Impact

Minimize Damage

All Plans executed

Success Criteria

Full Recovery to Normal

Recovery Time achieved

Business Continuity

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INITATING PLANNING EXECUTION CONTROLLING CLOSING

Use Project Management Process

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Project Management Process(for Small Businesses)

• Should I do it or not?• What can I get out of it?

Initiating

• What needs to be done?Planning

• Have I done everything needed?Execution

• Is everything according to my plan?Controlling

• Have I met my objectives?• Did I get what I want?

Closing

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PRE

INITIATING PLANNING

DURING

EXECUTING RISK

REDUCTION

POST

EXECUTING RECOVERY

CLOSING

Disaster-Proofing Processfor your Business

Where the goal is to be able to run your

business continuously immediately after a

disaster with minimal loss or damage

CONTROLLING

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Disaster-proofing Process(for your Business)

• Should I do disaster-proofing for my business?Initiating

• What needs to be done to be disaster-proof?Planning

• Have I done everything that was planned?Execution

• Did everything go according to plan?Controlling

• Have I fully recovered from the disaster?Closing

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Initiating Disaster-Proofing

General Steps

Think of a Compelling Reason (Business Case) for Disaster-

Proofing your Business

Jot down your initial thoughts (charter) for Disaster Proofing


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Charter

What is at risk?

Who and What will be affected?

How much will it cost me not to do Disaster-proofing?

Who can I ask for help in Disaster-proofing my

business? Who should I involve?

When should I have everything ready to be Disaster-

proof?

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Template for Initiating Disaster-Proofing

Try it!

Checklist Your thoughts

What is at risk?

Who and What will be affected?

My business data, my employees,

machinery, computer hardware

How much will it cost me not to do

Disaster-proofing?

I could lose the whole business worth

Php300k

Who can I ask for help in

Disaster-proofing my business?

Barangay officials, insurance provider, data

cloud service provider, data recovery expert

Who should I involve? Family, employees, barangay officials

When should I be ready? Before rainy season starts, XX 2014

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Planning Step

Create plans for scope (coverage), budget,

resources, communication, and purchases

Create action plans for disaster risk reduction and

business recovery

Rehearse and test the effectiveness of your plans


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Planning Disaster-Proofing

If a disaster occurs, what are the things I need to do to reduce damage

to my business, livelihood and family?

After the disaster, what should I do to get everything back to normal?

What are the things I need to be prepared for a disaster – for my

business, livelihood and family?

What do I need to keep my business running immediately after the

disaster and to protect my business during the disaster?

How much do I need to set aside as budget for disaster-proofing?

How do I get in touch with others so they know if we’re ok and when

we are back to normal?

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Disaster Risk

Reduction Techniques

to reduce disaster impact

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Avoid, Mitigate

Transfer, Accept

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Disaster Risk Reduction Techniques

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“Head first PMP”, Jennifer Greene PMP and Andrew Stellman PMP, O’Reilly Media, 2007

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Disaster Risk Reduction Techniques

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Examples of Risk Reduction

Any additional ideas?

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TECHNIQUE EXAMPLE

AVOID

Moving to another location to avoid the effects of incoming disaster

Backing up data in the cloud

Taking the removable hard disk drive with you during evacuation

MITIGATE

Moving skeletal force to evacuation site during disaster

Flood control in the gate

Switching to backup system during disaster

TRANSFERAvailing insurance for Acts of God

Using a program to automatically backup and restore your data

ACCEPT Do nothing, perhaps just save one’s self and start all over again

Business Recovery

Techniques

to get back to normal ASAP

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Skeletal force

Mirror, Backup system

Call tree

Contingency fund

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Executing Disaster-Proofing

Do the action plans as according to the Disaster

Timeline (phases)

Ensure that the action plans are done on time based

on some situation signals

Disaster risk reduction requires timely action.

Business recovery requires actions to be on time.


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Controlling Step

Use checklist to review if the planned action steps

were done effectively.


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Closing Step

What went wrong and what went right?

Assess the success of disaster-proofing.

Look at the success of disaster-proofing ingredients:

preparedness, risk reduction, business recovery

Have I achieved my goals of minimal damage and

quick business recovery or business continuity?


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Disaster-proofing Process(for your Business)






Wrap up28

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Common Mistakes

Assuming it will never happen or affect you

Acts of God can never be predicted and managed

Assume Customers will understand anyway

No need to document anything

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Summary

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“Disaster-proofing is about risk management.”

“Disaster-proofing starts with the mindset.”

“Project Management shows the disaster-

proofing steps from beginning to end.”

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Don’t be a helpless victim of a disaster.

Start by disaster-proofing your business

and your livelihood

NOW!

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References:

"Annual Disaster Statistical Review - 2012" by Sapir, Hoyois and Below, CRED

Emergency Events Database (EM-DAT) of US Foreign Disaster Assistance and CRED International Disaster Database

"Natural Disasters At a Glance-2013", (Philippine Senate Economic Planning Office (SEPO)

"Building Resilience - Integrating Climate & Disaster Risk into Development", World Bank Group, 2013

"Project Management Book of Knowledge (PMBOK) 5th Ed." , Project Management Institute, 2013

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"Project Management for Disaster Recovery”, Project Management Institute, 2005

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