Emergency Preparedness for Design Firms · Key Terms Disaster Preparedness is the process of ensuring that an organization: (1) has complied with the preventive measures, (2) is in

Emergency Preparedness for Design Firms

RLI Design Professionals

Design Professionals Learning Event

DPLE 244

September 16, 2015

RLI Design Professionals is a Registered Provider with The American Institute of Architects Continuing Education Systems. Credit earned on completion of this program will be reported to CES Records for AIA members. Certificates of Completion for non-AIA members are available on request.

This program is registered with the AIA/CES for continuing professional education. As such, it does not include content that may be deemed or construed to be an approval or endorsement by the AIA of any material of construction or any method or manner of handling, using, distributing, or dealing in any material or product. Questions related to specific materials, methods, and services will be addressed at the conclusion of this presentation.

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© RLI Design Professionals

Course Description

Wherever you live and work, your business is inevitably exposed to emergency situations. They might include

natural disasters like windstorms, floods, earthquakes, or winter storms. Emergency situations can also involve

man-made disasters like fires, chemical emergencies, or episodes of terrorism on varying scales. Increasingly

technology threats, including cyber incidents, are becoming more catastrophic as cyber criminals become

more savvy. How will you protect your income and assets when disaster strikes?

Course DescriptionYour Firm’s Exposure to Emergency Situations

Natural DisastersHurricanesEarthquakesWildfires

Man-Made DisastersFiresWorkplace ViolenceTerrorism

Technology DisastersCyber BreachesSoftware CorruptionSystem Failures

Course Description

Your Firm’s Response to Emergency Situations

First Line of Preparedness—

Protect People, Property, Operations, Others

Next Step—

Business Continuity

This course will outline a spectrum of

emergency preparedness tips

for design firms.www.ready.gov

Learning Objectives

Participants in this course will learn more about:

• Protecting people;

• Protecting property;

• Protecting operations; and

Protecting others.

Key Terms

Disaster Preparedness is the process of ensuring that an organization:

(1) has complied with the preventive measures,

(2) is in a state of readiness to contain the effects of a forecasted disastrous event to minimize loss of life, injury, and damage to property,

(3) can provide rescue, relief, rehabilitation, and other services in the aftermath of the disaster, and

(4) has the capability and resources to continue to sustain its essential functions without being overwhelmed by the demand placed on them.

Preparedness for the first and immediate response is called emergency preparedness.

Key Terms

According to Techopedia:

…business continuity involves designing and creating policies and procedures that ensure that essential business functions/processes are available during and after a disaster.

Business Continuity can include:– replacement of staff, – service availability issues, – business impact analysis, and– change management.

NOAA’s Climate Prediction Center

Credit: NOAA

Not Happening to You?

2015: Summary of Disasters

• 803 Tornadoes Reported

• Hurricanes, Tropical Storms

• Floods•Florida

•Kentucky

•Louisiana

•Ohio

•Texas

• Wildfires

Not Happening to You?

A Look at Technological Disasters

• Computer Virus

• Software/System Failures

• Cyber Attack

• Hackers

• Theft

Important to You?

The Insurance Information Institute states that “up to 40 percent of small businesses affected by disaster will never reopen.”

According to the National Flood Insurance Program, from 2010 to 2014, the average commercial flood claim amounted to nearly $89,000.

Considerations

Property Valuation

• Improper valuation of commercial property

• Underinsured commercial property

Beyond Property Coverage, there are Operational Issues

to Consider

• 75% of companies without business continuity plans fail within 3 years of a disaster

The Result?

Risk

Reputation

How to Plan for an Emergency

Step 1: Prepare

Analyze

Hazard types and

risks to your

business

Possible physical

damage to property

Shutdown impacts

Cost and revenue

loss estimates

Available physical

and financial resources

Recovery estimates

and alternative

survival


Step 1: Prepare

Establish an Emergency

Response Plan

Document Contingencies and Checklists

Create a Phone Tree

Establish a Meeting Location

Train your Staff Conduct Drills

Maintain Proper Response

Equipment


Evacuate all Employees and Visitors:

Report Emergencies—Fire, Police, Medical: Include Non-emergency Contacts for Local Organizations

Contact Appropriate Regulatory Agencies:

Notify Appropriate Internal Personnel:

Step 2: Respond

•Evacuation Route

•Alarm System

•HAZMATS

•Natural Disasters

•Management

•Property Damage Coordinator


Steps 3 & 4: Recover and Restore

Search and Rescue

Salvage Property

File Reports with Regulatory Agencies

Employ Business Continuity Plan

Business Continuity Plans

Scope

Objectives

Assumptions

Step 1: Set Up the Program


Step 2: Organize

Personnel Facility Equipment

SupplyFinancial

Resources


Step 2: Organize the PeopleRoles, Responsibilities, Lines of Authority,

Delegation, Coordination

Senior Management

Information Technology

Business Continuity

Leader

Internal Firm Management

Project Management

Emergency Response

Team

Recovery Time Objectives for:

• Business Processes

• Information Technology

Recovery Point Objectives for Data Restoration


Step 3: Analyze the Business Impact

Identify—

Detailed procedures,

resource requirements, and logistics:

To execute recovery strategies

For relocation to alternate worksites

For recovery of IT:

Networks Servers

Laptops/Desktops

Wireless Devices

Applications

Data


Step 4: Identify Business Continuity

Strategies and Requirements

Document procedures for manual workarounds


• Incident Detection and Reporting

• Alerting and Notifications

• Activating Business Continuity Plan

• Activating Emergency Operations Center

• Assessing Damages

• Developing and Finalizing a Plan

Define procedures

Step 5: Create Workarounds

Step 6: Manage Incidents

Training for business continuity

planners

Testing schedules, procedures, and forms

• Business recovery strategies

• IT strategies

Exercises


Schedules, triggers, and assignments

for review

Corrective action to address deficiencies

Step 7: Train & Test

Step 8: Maintain & Improve the Program


Step 9: Distribute the Plan

[Your Name Here]

Business Continuity Procedures

And what if you’re

asked to perform

services after an

emergency?

Know the Good Samaritan Laws

Understand your Coverage

Coverage applies:• as long as an employee is rendering services that he/she is

legally qualified to perform on behalf of his or her employer; and• regardless of whether or not a fee is collected.

Another important risk management component:We recommend that all employers have a clear policy on moonlightingand providing volunteer services. In general, the policy can either:

• prohibit moonlighting and volunteer services completely, or • may permit either (or both), but only with the permission of an

employee's manager or a designated member of senior management.

Think About Contracting

• What is the scope of your services?

• Can you get an adequate fee in consideration of the risk?

• Will a Limitation of Liability or Indemnification provision

protect you from:

Resale of the property?

Third party visitors?

Faulty client-furnished

information?

Some Considerations:

Insurance Coverage

Electronic Data

Flood Insurance

Business Income

Extra Expense

Contingent Business Interruption (supply chain)

Privacy Protection

Consult Resources

Federal Emergency Management Agency

www.fema.gov/recovery-resources

www.fema.gov/small-businesses

www.ready.gov/make-a-plan

National Fire Protection Association

www.nfpa.org

http://www.fema.gov/recovery-resources

http://www.fema.gov/small-businesses

http://www.ready.gov/make-a-plan

http://www.nfpa.org/

2015 National Preparedness Month Events

• Week 1: September 1-5th Flood

• Week 2: September 6-12th Wildfire

• Week 3: September 13-19th Hurricane

• Week 4: September 20-26th Power Outage

• Week 5: September 27-30th Lead up to National PrepareAthon Day (September 30th )

www.ready.gov/september

Laurel Tenuto, Client Risk Management Coordinator [email protected]

Marie Bernier, Senior Risk Management [email protected]

This concludes The American Institute of Architects Continuing Education Systems Program

Documents

Emergency Preparedness for Design Firms · Key Terms Disaster Preparedness is the process of ensuring that an organization: (1) has complied with the preventive measures, (2) is in