FedEx Express has joined the American Red Cross in helping small businesses prepare for thepossibility of getting caught up in natural disasters.
Red Cross and FedEx conducted a survey of US small companies to gauge their preparedness fora natural disaster such as Hurricane Katrina, which devastated New Orleans, the Mississippi coastand Alabama in 2005. At least 1,836 people lost their lives in the hurricane and subsequent floods.
While 94% of small business owners believed there is a potential for a disaster to seriouslydisrupt their business within the next two years, only 43 % felt prepared for a one-week disruptionof their business and only 22% were prepared for a one-month disruption, the survey found.
“Disaster preparedness and contingency planning are core competencies at FedEx,” said DavidBroncze, FedEx Express CEO.
“In addition to helping small businesses grow by providing unrivalled access to the globalmarketplace, we are delighted to leverage our planning expertise in collaboration with the AmericanRed Cross to benefit small businesses in their disaster preparedness efforts.”
While small businesses had taken some steps to prepare their business and their employees inadvance of a disaster, they lagged behind on several important indicators, according to the poll of241 small companies.
A majority of the companies had developed employee phone lists for notifications andcommunication during a disaster, the survey found. Many had ensured the safety of importantbusiness files or records and purchased insurance for business disruption or damage.
But the companies were much less likely to have completed other important steps.
Only 41% had taken preparedness steps based on the type of disasters “common to the businesslocation”, for instance, and only 55% had communicated with employees about their roles before andduring a disaster.
“Having responded to more than 75,000 disasters nationwide last year, we’ve seen firsthandhow businesses with trained employees, protected resources and plans for operational continuity candecrease the physical and financial impact of a disaster, and lessen the burden on firstresponders,” said Darlene Sparks Washington, American Red Cross director of preparedness.
“All businesses should have a disaster plan, but for small businesses, being prepared canmake a difference in being able to stay in business after a disaster,” she said.
