A Good Plan Makes for a Better Business

June 4, 2009

About the author: Joe Schollaert is senior vice president and general manager of the International Management Assistance Corp. Schollaert can be reached at 800.554.IMAC or by e-mail at [email protected].

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In light of the devastating natural disasters, corporate scandals, labor strikes and industrial accidents that have plagued the U.S. in recent years, more businesses are realizing that not every eventuality can be anticipated. They are also realizing that now—more than ever—it is not what happens to adversely affect operations, it is how you respond to it.

As demonstrated by the effects of recent flu outbreaks, economic implosions and devastating natural disasters, it is one thing to have a contingency plan in place; however, it is quite another to make that plan viable and to act on it appropriately.

Businesses across the country are realizing the value of contracting with a company whose business is to help their clients stay in business during trying times.

To cope with any corporate turmoil, look for a consulting firm with a proven track record of assisting a variety of companies through rough spots. Look for a company that has vast resources from which to draw, including a personnel force that includes security officers, negotiations specialists and skilled replacement workers.

Whether you are faced with impending labor negotiations, are reeling from the effects of an industrial accident, dealing with a facility closing or trying to keep operations up and running after some sort of environmental crisis, there are ways to ensure service is only minimally or not at all interrupted. To ensure business continuity:

Have the wisdom to plan. Companies cannot afford to be unprepared for a business setback. With the right plan in place, you can minimize your risk. A good contingency plan will include allowances for the necessary specialized security personnel and logistical support as needed, supplemental labor replacement and solid clean-up strategies.

Create a contingency planning committee to oversee this effort, then have an expert review the plan to ensure proper goals have been established, workable timelines have been set up and the logistics are accurate. The result should be a comprehensive plan ready to be implemented at a moment’s notice.

Develop security measures. Regardless of the reason why your business is in potential turmoil, you are going to need security. The personnel you bring on board should have a background in law enforcement, criminal investigation, military operations or specialized security. Before security forces are dispatched, you should thoroughly review your company’s facilities, operations and existing security practices. In this manner, strengths are identified and vulnerabilities are located. The security team you contract with should be well versed in National Labor Relations Board regulations and should comply with all state requirements, including knowing when and how to use video for documentation and incident reports. The security plan should also include some sort of executive and family protec- tion for high-ranking members of your company, and employ- ees should know their role in ensuring security.

When it comes to the replace- ment workers themselves, act wisely. Hiring temporary workers is a difficult and delicate decision, but it is sometimes a matter of economic survival. Plan ahead and identify the resources you will need, then work with a company that can provide personnel who have the skills you require. The company should supervise those employees on your behalf and tend to any payroll concerns so your company’s managers can concentrate on returning to business as usual.

Keep everyone in the loop. In uncertain times, it is extremely important to com- municate. You need to let your employees, clientele and internal management team know how you are handling things at this very moment, and how you will continue to address any difficul- ties or problems encountered.

Nobody likes being left in the dark; it can make them nervous and cause them to second-guess your intentions and authority. Be up front and honest—all sorts of people will want to know what is going on so be sure to let them know.

All You Need is a Plan

Sometimes a good plan is all you need. A few years ago, when Cleveland-Cliffs, Inc., a producer of iron-ore pellets, was faced with the threat of a labor strike, the contingency plan established was so strong that the company would have been able to continue operations virtually as normal if employees decided to strike. As a result, the union concluded that striking would not have the desired negative effect. Employees instead continued working through the negotiations process.

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About the Author

Joe Schollaert

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