Archive for October, 2015

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Saturday, October 10th, 2015

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Protecting Cultural Heritage from Disasters

Friday, October 9th, 2015
Irreplaceable

Irreplaceable

Today, the United Nations Office for Disaster Risk Reduction (UNISDR) published a video on YouTube showing how the Louvre Museum in Paris is taking careful measures to protect the priceless masterpieces in its possession against the risk of flooding.  I was absolutely fascinated by this video for several reasons, the first being the work Prisere LLC has done for UNISDR. Protecting cultural heritage is an area of focus for the global frameworks for disaster risk reduction for which UNISDR is responsible. Indeed, UNISDR recently recognized the achievements of the Mayor of Venice for his efforts to protect cultural heritage. This is an issue that resonates at a very personal level.

Time and time again, when we meet people who have been impacted by disaster, they never express concern about the losses of their physical possessions, as they are replaceable. But they always express regret over the loss of treasured family photographs to hazards such as fire and flood (which is why I recommend scanning in those photographs and storing digital copies in the cloud). Now imagine that you are charged with the responsibility not of protecting family photographs accumulated over several decades, but unique art works such as the Mona Lisa and the Venus de Milo, preserved over centuries.

The complexity of the task is daunting. The Louvre is enormous, occupying space equivalent to 35 football fields, with approximately 30 miles of corridors and exhibit halls housing just under a half a million works of art. Nearly nine million people visit the Louvre each year, contributing to the tourism industry and the businesses, such as restaurants, that rely on such attractions. However, the Louvre is completely surrounded by water, as it is located on the Seine River. Paris does have a history of flooding, with the most severe flood in recorded history taking place in January 1910. The Seine’s waters rose to record levels and disrupted Paris for three weeks. The video offers great insight into the nature of the risks (including sewers, ventilation grids and emergency exits, all of which are potential flood hotspots) and the strategy to address them.

Mitigating the risk, by holding back the waters, is the first line of defense. But should the waters flood, a professionally trained squad of 500 volunteers will transport key art works to a specially-designed, secure warehouse removed from metropolitan Paris. In addition to the volunteer squad, the Louvre employs more than 50 staff for firefighting and emergency services. Finally, the French government is undertaking a major infrastructure project, at an estimated cost of 15 million Euros, to build pumping stations around the Louvre to divert flood waters away from the site.

Of course, floods are not the only challenge to preserving our cultural heritage. I attended a private art exhibition in New York not too long ago. The insurer underwriting the policy for the artwork (which just happened to be AXA, a global insurance company headquartered in Paris) had hired plain clothes security people to mingle with the guests at the exhibit. In the event of fire, each security person was assigned a specific painting to immediately remove from the building to a secure location. And it wasn’t that long ago when another insurance company, AIG, had to bring in helicopter services to remove valuable artworks housed by private collectors in the vicinity of wildfires in southern California.

Seeing this video also caused me to pause and reflect about the challenges in preserving cultural sites that do not have access to the same level of resources as those committed to protecting the Louvre. I am currently helping out as a volunteer at a church in a coastal area in Rhode Island that has sustained water damage in the past. The church has cultural and historic significance, and of course, a loyal congregation, but cannot readily access financing to remedy past damage or retrofit the church buildings against the risk of future losses. I am helping to identify funding sources to address these needs. This is an area where each small business owner can help in our local communities.

By the way, the photograph I included in this blog is that of the ceiling of the Paris Opera House, hand painted by Marc Chagall. If you double-click on the photograph, it should enlarge to reveal the detail depicting a scene from “The Magic Flute”. I took this photograph during a private behind-the-scenes tour of the Paris Opera, generously offered by my hosts with Thierry Mugler’s team when I was their guest last year. I have been to Paris, and the Louvre, many times, but this trip was extraordinary (and I don’t have any photographs of the interior of the Louvre to share). It is an extraordinary challenge to think about protecting treasures like the Louvre and the Paris Opera House from disaster scenarios that are much more severe than those in force when these institutions were built. Certainly no one was thinking about climate change back then.

 

 

 

 

 

Hurricane Joaquin Offers Lessons on Business Continuity

Thursday, October 8th, 2015

New York TimesThis morning’s edition of the New York Times includes a very informative article on the importance of continuity plans for small businesses, particularly after Hurricane Joaquin moved up the East Coast. I was quoted and my book cited throughout the article, but of course, until the newspaper is published, I do not know of the other sources and information that will be included. So I really enjoyed reading the article and learning from the other sources cited. For me, the key takeaways in the article, which happen to be consistent with the advice given in Prepare for the Worst, Plan for the Best: Disaster Preparedness and Recovery, include:

  • The failure of small businesses to prepare. The 2015 Travelers Business Risk Index found that only 21 per cent of small businesses have continuity plans.
  • The devastating consequences of the failure to prepare. The article cites the experience of the U.S. Federal Emergency Management Agency, which indicates that 40 to 60 per cent of small businesses never recover after experiencing a natural disaster. The article relates the heartbreaking story of the pizzeria impacted by the floods in South Carolina. The business owner did not have a continuity plan in place or flood insurance and plans to apply for FEMA aid. However, and it is probably too soon after the floods for South Carolina businesses to appreciate this, FEMA is not set up to rebuild unprepared small businesses.
  • The need for simplicity in business continuity planning. The article cites an effective plan that is three pages in length, clear and easy to understand.
  • The need for continuous learning and improvement as part of a team effort.  The managing director of a leather business in New Jersey incorporated lessons learned from Hurricane Sandy to improve its level of preparedness for future hazards. He is moving his business to a more secure facility and has retrofitted his data center for better flood protection. His business continuity plan benefited from input from each of the company’s departments; preparing is not the sole responsibility of emergency managers.
  • The unique vulnerability of food service businesses. Restaurants need to verify that they have appropriate insurance coverage for the losses due to food spoilage, which can be substantial.
  • Unique risks specific to local hazards, such as earthquakes. The article cites the measures taken by a California winery to address earthquake risks.
  • The availability of free resources to inform small business preparedness efforts, including Ready.gov (my first business is featured as a case study on this site).
  • Finally, the long-term emotional consequences of living through a major disaster. Don’t underestimate this as a factor limiting your productivity as a small business owner. One small business leader who worked through Hurricane Sandy spoke of his sense of uncertainty and frequent calls to his psychologist.

And I love the quote that appears at the end of the article. The business leader impacted by Hurricane Sandy in New Jersey said, “you can’t prevent bad things from happening, but you can change how you respond.” I just love the New York Times; I read it on my iPad over breakfast every morning. It is part of my routine that sets me up for a productive day, because I always learn something when I read the NYT.

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Wednesday, October 7th, 2015

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Tuesday, October 6th, 2015

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Monday, October 5th, 2015

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Fire Prevention Week Starts Today

Sunday, October 4th, 2015
Fire Prevention Week

Fire Prevention Week

Fire Prevention Week begins today, offering a timely opportunity to update training for your employees and their families on how to reduce the risk of one of the most common disasters. This key message of this year’s Fire Prevention Week is “Hear the beep where you sleep” underscoring the need to install smoke alarms in every bedroom. Smoke alarms save lives; having a working smoke alarm reduces by one-half your chances of dying in a fire. Having a working smoke alarm is especially critical between the hours of 11 p.m. and 7 a.m. when nearly half of home fire deaths occur, as people are asleep. If yours is among the eight million home-based businesses in the U.S., the chances that a fire will damage your home office are reduced by having working smoke alarms in your home, particularly in your bedroom.

I came very close to learning about fire safety the hard way, when I rented a property with an option to purchase it. A pre-purchase home inspection revealed 49 pages of serious violations of housing code, including the absence of working fire and carbon monoxide detectors as required by state law.  What made the findings even more alarming were the many other electrical fire hazards the inspector found and the fact that other units in the building are occupied by senior citizens. I invited city and state inspectors to my home, where I have my home office, and shared with them the home inspection report. They not only confirmed the findings, they made additional observations of their own and took measures to compel the landlord to bring the property up to code. The scary thing was that these fire hazards were completely invisible to me. And as I was working from a home office, I spent most of the 24 hours of the day being (unknowingly) exposed to these risks,

In addition to updating measures to protect your own workplace, home and employees, this week offers an opportunity for supporting your community. Fire Prevention Week takes place the first week of October to commemorate the Great Chicago Fire of 1871 that killed more than 250 people, left 100,000 homeless, destroyed more than 17,400 structures and burned more than 2,000 acres. Many businesses will host events to support the efforts of their local fire departments to raise awareness of fire safety. And if you work in a multi-tenant facility, you might want to meet with your neighboring businesses to discuss fire safety measures or review drills together. The safety of your business is enhanced when your neighboring businesses are also taking measures to reduce fire risks.

 

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Saturday, October 3rd, 2015

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Friday, October 2nd, 2015

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NBC News Advises Viewers to Get Their Insurance “Go Kits” Ready

Thursday, October 1st, 2015
Insurance Files to Go

Insurance Files to Go

Even if Hurricane Joaquin fails to strike with full hurricane force, it will leave much of the East Coast with severe rains and likely flooding, so it pays to prepare. This evening, NBC News included my advice in its report recommending that viewers have their insurance “go kits” ready in advance. I like the metaphor of the “insurance go kit” because just as your physical “go kit” should be stocked with batteries, bottled water and other supplies, your insurance files should be ready to go on a moment’s notice.

That is because what you do in advance of a disaster will determine if your insurance claim is paid in a timely manner or paid at all. You need to set yourself up for success by ensuring you have appropriate coverage for your risks and that you can substantiate your losses, when needed. You need to have a flood insurance policy for thirty days before coverage takes effect, so if you are not appropriately insured, it may be too late for this storm, but start to put a plan in place for the next one.

Meanwhile, there are some basic steps you can take to be ready. If you have not already done so, give your insurance carrier wire instructions to electronically deposit paid insurance claims into your bank account. In the event of a severe storm, it may not be possible, or even safe, for you to retrieve a paper check and deposit it at your bank. Electronic banking services can reduce the risk of your cash flow disruption and are easy to set up. Thanks to Kristin Wong of NBC News for informative and helpful reporting.