Post From The President: Resilience in the Face of Novel Coronavirus
Just over a month ago, GRF CEO Bill Nelson posted on business pandemic preparation, touching on staff safety, crisis communications and supply chain resilience.
At the time, the Coronavirus infections were largely contained to China. Since then we’ve seen cases more than triple, with major clusters appearing in South Korea and Italy. Unfortunately, South Korea may have represented a geographic inevitability like so many other affected Asian nations.
In Italy, the authorities have quarantined towns in the Lombardy region, closed schools and ordered small businesses shuttered after cases jumped from a few to over 300 in a matter of days. They’re still searching for “Patient Zero.” Despite the increase in cases, Italy’s neighbors have decided not to block travel.
Almost all 57 cases in the United States were contracted in China or on the Diamond Princess cruise ship, with just two being reported as contracted from person-to-person contact once back the U.S. However, the U.S. Centers for Disease Control and Prevention said on February 25 that an outbreak in the United States is a matter of when, not if.
One added threat with novel coronavirus may be that a carrier can spread the disease without feeling sick or showing symptoms, allowing it to travel in a way SARS did not.
Regardless, the business impact of this virus is set to move from a supply chain problem- i.e. Chinese manufacturing- to a legitimate financial concern. We’ve seen market indexes drop this week. Companies like Tesla and Apple have been forced to close factories and have lost access to certain goods which may limit the shipment of consumer items like iPhones.
Multiple events have been postponed in Asia Pacific, and sponsors have even pulled out of conferences in the United States. Air travel has been affected, and the maker of Johnnie Walker and Guinness says with the closure of bars and a reduction in banqueting in China it may lose hundreds of millions this fiscal year.
As the virus spreads in the E.U., and as it’s feared it will in the U.S., we will see both sickness and more impactfully, fear of sickness exacerbate the economic cost until a working vaccine is produced or the virus is contained.
So what can be done? Businesses should be prepared for the possibility of an outbreak and organize contingencies for when it occurs. Avoid panic and continue business to the extent possible. Consider the following as the situation develops:
If you do not have a pandemic response plan, make one now. Some consideration can be found here and in Bill Nelson’s recent pandemic response post.
Make connections to alternative suppliers for important goods or services.
Empower managers in satellite offices to make operational decisions based on absenteeism or regional risk of infection.
Consider cross-training employees working in critical roles so the organization is prepared for absenteeism.
Make staff aware of travel advisories. For U.S. employees who become sick overseas, an embassy consular officer can advise on healthcare in the visited country.
Make available hand sanitizer and sanitizing wipes.
Routinely clean offices including keyboards, door handles, remotes, refrigerator handles, sink knobs and any other frequently touched object.
Turn non-critical events or meetings into webinars or conference calls.
Encourage sick employees to stay home. Ensure there are not hard or soft restrictions preventing this leave. Likewise, ensure employees can take time to care for sick family members.
If staff can work from home, encourage that.
Again, don’t panic. Just consider how this event could impact your organization and staff. Discuss resilience plans with your team and be ready.
Originally published on LinkedIn.