The Good, the bad and the ugly: Some business continuity and resilience case studies

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A series of case studies in business presented to the Ark Group\'s Business Continuity in the public sector, Melbourne, 9 May 2012. The presentation includes tips for enhancing your organisation\'s resilience & managing social & traditional media during a crisis or business disruption.

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The Good, the bad and the ugly: Some business continuity and resilience case studies

  1. 1. The Good, the Bad & the UglySome lessons learnt in crisis, business continuity & resilience Chris Miller B4Crisis, Consultant Business Continuity Manager Helping build business resilience 0416 113 250 b4crisis@grapevine.net.au
  2. 2. Liverpool (NSW) Councilcase study presentationwithdrawn Helping build business resilience 2
  3. 3. Arson aftermath,16 August 2010$20M insurance claim Helping build business resilience 3
  4. 4. Alternative lessons learntcase studies in crisis, BC &resilience Claremont (WA) Council Chambers & Library fire Bankstown 18 Nov 2010 $7.5M+ loss (NSW) City Vital records; alternate sites Council fire 1 July 1997 $30M+ loss DR via France Helping build business resilience 4
  5. 5. A non-routine business disruption,INCIDENT or CRISIS occursor is detected SAVE the people SAVE the building SAVE the business 0 +3 hours +< 6 hours +2-3 days < 7 days 7+ days 30+ days MUST SHOULD COULD DO DO DO
  6. 6. Helping build Hurricane Katrina 29 August 2005business resilience
  7. 7. When your community dependson your business continuity Helping build business resilience 7
  8. 8. Mississippi Power damage report • 2/3s of transmission & distribution systems destroyed or damaged. • 1,000 miles of distribution line replaced. • 281 feeder lines (100 percent) replaced. • 9,000 distribution poles replaced. • 2,300 overhead transformers replaced. • 92 percent of the transmission system out of service. • 1,920 miles of transmission lines out of service. • 300 transmission towers replaced. • 12 substations flooded. • 1/3 of generating capacity disabled. • Plant Watson flooded (18 million gallons of brackish water) & offline for 1 year along with Crisis Centre & Corporate HQ (120,000+ sq feet of office space). • Of their 1253 employees, 196 employees’ homes were flooded, of which 441 were severely damaged - leaving 86 employees homeless. • All 195,000 customers out of electric service.
  9. 9. Mississippi Power,a Southern CompanySHOW VIDEO – 5 years after Katrina
  10. 10. Helping your community &your businessHelping build business resilience 10
  11. 11. Business closuresincluded 6 Supercentres;2 Stores & 1 Sam’s ClubHelping build business resilience 11
  12. 12. Dispatched 2450 truck loadsincluding 100 truck loads of donatedmerchandise$17M cash donations – WalmartCorporate + collected $7M+ indonations from its customers + $9.2Min assistance donated to affected staffIn kind donations - 70 pallet loads ofclothing & 150+ internet readycomputers delivered to shelters 12
  13. 13. Mt Pinatubo, Philippines
  14. 14. Albuquerque, New Mexico,17 March 2000small clean room fire
  15. 15. 1,800 workers shutdowncmi industrial shutdown ‘Cascade’ throughout Australian car assembly plantsHelping build business resilience 17
  16. 16. Unsound BAUor exercising cangenerate a crisisSinking ‘Kursk’ Helping build business resilience
  17. 17. Lt Dmitry Kolesnikov Kursk survivor leader Admiral Lessons in Popov, Exercisecrisis leadership CommanderKursk aftermathHelping build business resilience
  18. 18. Lessons in crisisCaptainFrancesco leadershipSchettino Wrecking Costa Concordia Helping build business resilience 20
  19. 19. Lessons inCaptains FrancescoSchettino &Gregorio de Falco crisis leadership Aftermath Deputy Mayor Mario Pellegrino Costa Concordia wreck Helping build business resilience 21
  20. 20. Crisis communicationsKeeping internal & external stakeholders informed Helping build business resilience 22
  21. 21. 3 June 20083 of 6 pipelines ruptured; 1/3 WA gas supply disrupted Varanus Island, WA
  22. 22. Varanus Island, WA Managing traditional & social media SHOWHelping build business resilience VIDEO
  23. 23. Varanus Island, WA Reputation & LitigationHelping build business resilience 25
  24. 24. Summary• Leadership – crisis v BAU• People – build confidence in planning & exercising• Media management – traditional & social• Know your supply chain/dependencies• Know what to save, who & how?
  25. 25. Effective BAU, business as usualAbility to change & adaptShape environment Source: Cth AGD Research Paper 1 CEO Perspectives on Organisational Resilience http://www.tisn.gov.au/ then Publications & Resilience Helping build business resilience 27
  26. 26. A final tip for crisis & businesscontinuity management &resilience enhancement Culture change & scenarios Helping build business resilience 28

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