Successes, Failures, and Disaster Preparedness

Businesses and Organizations Prioritizing Disaster Management

Businesses and organizations are taking the strategy of employing disaster management experts more seriously as a result of the emergence of more severe, more frequent natural disasters. To better manage the risks in the case of a major disaster, businesses have started to hire disaster management specialists. One such business is Wal-Mart Stores, whose emergency management director has more than 25 years of expertise in disaster planning and management. Walmart has a reputation for being highly quick during emergencies. The business has a center for emergency operations in Bentonville, Arkansas, from which corporate manages all of the stores in coordination with its branch leaders. (Adam, 2015). Some of the divisions have their emergency operation centers that work in partnership with main centers. Also, Walmart has several strategic placed disaster distribution centers with stationed meteorologists ready to interpret weather data at all time.

Disaster Response and Preparedness Plan

In their disaster response and preparedness plan, Wal-Mart has placed additional concerns on averting the threat of natural disaster disrupting major trading hubs and manufacturing centers. The company has identified critical functions which includes operations in the stores that are vital to the continuity of daily functions (Cantoria, 2011). These functions have helped risk assessment professionals identify where the greatest risk lay and helped them develop working business continuity plans to help such critical functions recover quickly in the event of a natural disaster. Wal-Mart has also been able to make business continuity part of its strategic plans by identifying other factors that might occur including potential human-made hazards along with natural hazards (Howard, Blakemore, & Bevis, 2016). This approach has enabled the emergency response center to mobilize resources and infrastructure in the smallest time possible.

Wal-Mart’s Emergency Plans and Hurricane Katrina

Wal-Mart emergency plans shined during Hurricane Katrina disaster. As many businesses worked in developing their disaster management plans to help hurricane victims recover their personal and economic lives, Wal-Mart’s director of business continuity worked around the clock to prepare for the hurricane surprise. The director who holds a master in security management and an undergraduate degree in emergency management was hired by the company to provide emergency support and revitalize sales in areas hit by the hurricane, floods, and tornadoes. Wal-Mart emergency response team prepared for the disaster a day before the storm, the director ordered warehouses to deliver an assortment of emergency supplies such as power generators, bottled water, dry ice and life-saving kits to zones to be affected by the hurricane (Howard, Blakemore, & Bevis, 2016). The director also doubled essential products such as bleach and mops in preparation. Four days after the storm, all but 12 of those stores had reopened. Wal-Mart, in the end, managed to beat FEMA by days in responding to citizens and relief workers.

Effective Decision-Making in Crisis Management

Wal-Mart’s director responded as a team leader by making quick strategic decisions with quick timelines for events and decisions to be made. He started by identifying critical functions for the continuity of the business. He carried out strategic planning by identifying other destructive events that could impact sales in stores. The company also worked with other suppliers and government bodies to distribute relief assistance and resources that will help affected individuals and community recover from the destruction. Governments provide relief by providing large amounts of federal money that help reconstruct critical infrastructure and provide basic needs to affected families (Fischer, Halibozek, & Green, 2008). Businesses should make quick decisions that will see them recover quickly from a disaster. Restoring power comes as a priority as access to energy and lighting is vital for the reconstruction process of businesses (Casey-Lockyer & Myers, 2017). During Hurricane Sandy, the utility company PEPCO responded quickly to restore power by making sure it had sufficient workforce needed for power restoration.

The Importance of Collaborative Decision Making

Unsuccessful decision-making in the event of crisis mainly results from poor response plans. Crisis management failures in the BP oil spill and Japan’s reactors were caused by inadequate responses. The possibility of the earthquake was well addressed by earthquake systems and technologies before the event happened. Crisis management in the event of an earthquake requires government direction. The U.S government left many crisis management responsibilities to individual companies. B.P criticized the national government for failing to play its part in ensuring quick recovery during the Gulf oil spill (Allen & D’Elia, 2015). In Japan, there has been confusion over who is responsible for the nuclear plants. Although the government took the lead in many aspects of the post-tsunami crisis, the government still left many decisions to individual companies before forming a joint task force. There was substantial confusion after the earthquake about who was making decisions. The decision-making process was not set out clearly. Lack of clear comparison of options led to a lack of direction in a major catastrophe which is still a concern to date. Collaborative decision making between the national government and affected companies is critical in meeting quick disaster reconstruction (Cole, Elliott, Okubo, & Strobl, 2017).

Enhancing the Analytical Process for Disaster Management

There is a need for an analytical process with the major adaptations and enhancements to the process. In such enhancements, effective communication systems should be put in place to provide adequate and accurate information that will help in the recovery process (Pitts & So, 2017). Planning should include failure contingency measures that will act as a safety net against failure. The planning process should also incorporate an all-hazards approach as it is hard to calculate how a specific hazard will impact businesses.

Reference

Fischer, R.P., Halibozek, E., & Green, G. (2008) (8th ed.). Introduction to security. pp. 245-284. Retrieved from: http://lamontwatson.com/wp-content/uploads/2013/03/Introduction-to-Security-8th-Edition.pdf

Howard, A., Blakemore, T., & Bevis, M (2016). Real-Time Relief: A Closer Look at Walmart’s Response to Disaster. Plus Company Updates.

Cantoria, C.S. (2011) Great Real-Life Examples of Successful Crisis Management, Bright Hub PM, Retrieved from http://www.brighthubpm.com/risk-management/104704-great-real-life-examples-of-successful-crisis-management/

Cole, M. A., Elliott, R. J., Okubo, T., & Strobl, E. (2017). Pre-disaster planning and post-disaster aid: Examining the impact of the great East Japan Earthquake. International Journal of Disaster Risk Reduction, 291. doi:10.1016/j.ijdrr.2016.12.015

Casey-Lockyer, M., & Myers, S. (2017). Successful integration throughout the disaster cycle of prepare, respond and recover. Journal of Business Continuity & Emergency Planning, 10(3), 249-258.

Allen, P. D., & D’Elia, C. F. (2015). What Lies Beneath: the BP Oil Spill and the Need for New Response Models. Current Psychology, (3), 587. doi:10.1007/s12144-015-9367-1

Adam, G.D., (2015). Walmart and the Walmart Foundation Mark 10th Anniversary of Hurricane Katrina with $25 Million Commitment to Support Disaster Recovery and Resiliency Efforts Worldwide. Business Wire.