Lessons learned from the earthquake.

To some it was a holiday, to others it was a normal business day, but to most people who live and work in Southern California, January 17 was a day that would change their lives for a long time to come.

In recent history Los Angeles has been a community that has been made to face and survive many unforeseen disasters. The Los Angeles Chapter of the Association of Contingency Planners, a professional organization dedicated to the advancement of the field of Disaster Recovery and Contingency Planning, was ready to meet the challenge of this, the latest disaster.

Loss of power, water, damaged transportation routes, and building failures disrupted thousands of businesses throughout the region. The enormity of the disaster caused an immediate shortage of qualified structural engineers and caused a virtual "grid-lock" of all Building and Safety Department phone lines. In many of the cities older building's blueprints were lost or otherwise unavailable. Companies struggled with high rates of absenteeism in the week following the quake and it was not uncommon to have 50% or more absent. What this translates to for the business community of Los Angeles is a loss of revenue. Unfortunately, insurance will not cover all the losses. Many businesses forego earthquake insurance due to its high cost. Additionally, business interruption coverage is rarely obtained. The positive facet of the current situation is that many businesses are realizing that to possess an active and current Disaster Recovery/Contingency Plan is imperative to the survival and revenue maintenance of any company.

Members of the Association of Contingency Planners from such companies as First Interstate Bank, Prudential Insurance, and Disaster Kleenup share their experiences:

Robin Burns, Prudential Insurance-"Although the damage to both buildings in Prudential's Woodland Hills, CA facility was extensive, associates are picking up the pieces and getting back to work. Insurance claims were taken in tents set up outside the facility, and lunch time group counseling sessions were held to help associates cope with the trauma." Purchasing, Finance, and Human Resources. It was necessary to relocate 600 staff members from the Simi Valley facility to the Operations Center in Los Angeles. Since we had exercised our plan in August 1993 for this group, they knew exactly what to do. Many people worked long hours to prepare for the full compliment of staff by Monday, January 24. The staff was phased in with 20 people on Tuesday January 18, 200 people Wednesday thru Friday and the entire staff by Monday. We are happy to report the plan went smoothly and we experienced very little business interruption." Bill Bonds, Disaster Kleenup-"Due to the loss of electricity in Ventura County until mid afternoon, it became necessary to use our back-up generators to conduct business. Disrupted telephone service was also an issue as we tried to communicate with our outlying contact personnel. Our cellular telephone service was an invaluable part of the plan and worked quite efficiently despite the heavy usage on the cellular system. Additionally, we had made previous contact with personnel agencies and they were very responsive in providing us with extra help during the crisis. The experience was a great "live" test for our plan and we'll be even more responsive the next time duty calls."

The ability to resume business in the event of this sort of disaster is critical to Southern California Businesses. The analysis and planning that goes into the development of a Disaster Recovery Plan such as the ones used by the individuals above is considerable. The plan must take into consideration all the critical functions contributing to the bottom line of the organization. Back-up files, off-site storage facilities, blueprints, and employee response teams are just a few of the tasks you can do to stop a natural disaster from turning your business into a permanent one.

While Southern California seems to have been dealt it's fair share of disasters, statistics show that history will probably repeat itself. Next time hopefully all Southern Californians will have their personal and professional Contingency Plans in order. Remember the three lessons every Contingency Planner, from novice to the professional, lives by: never take anything for granted, expect the unexpected, and just when you think it won't happen you you-IT WILL. Vatche Kouyoumdgian is Vice President and Katie Gagnier is the Chairperson of Marketing and Public Relations Committee of the Association of Contingency Planners, Los Angeles Chapter.