Phase Two: The Road to Recovery Plan
The second part of any effective Disaster Plan is a Recovery Plan. A Recovery Plan details the steps it will take to put your business back on its feet as quickly as possible.
Following a loss, companies must deal with all the issues of the loss while simultaneously dealing with issues of re-building, work and revenue recovery.
Starting over means legal issues, planning for cash flow needs, temporary facilities, retaining key employees, satisfying creditors and demolition of damaged facilities. Next there’s rebuilding when replacing equipment, rebuilding inventory, securing building permits and hiring contractors all come in to play.
Work Recovery means getting work levels back to pre-loss levels, rehiring employees if needed, and rebuilding work-in-progress.
Revenue Recovery can obviously take longer as it is about recapturing the market and restoring sales to the level they would have been if no loss had occurred.
Having a roadmap for recovery gives you a tremendous advantage and allows you to get executional quickly and hit the ground running.
Where to Begin
Obviously, the first step in disaster planning is avoiding the potential of being “under insured” in the event of a serious loss. The second and more critical step is map- ping out an approach that will ultimately give the control and confidence that you’ve “planned for the unplanned.” This is probably the single most consistent area where we feel our clients need to plan and prepare more. While it may seem uncomfortable to contemplate the “unthinkable,” planning for the perpetuation of your business in the event of a serious loss is a critical management consideration.
At Air Sur, we work with our clients to develop comprehensive risk management plans, and strongly encourage a detailed disaster plan. In response to the growing complexity of our client’s organizations and their risk management needs, our Professional Client Care® program delivers cutting edge solutions that provide you with maximum organization and accessibility to EVERY part of your corporate insurance program.