According to the British Standards Institution, 87 percent of businesses believe that risk management protects revenue and enhances value for money; 93 percent agreed that it improves accountability, decision making, transparency and visibility.
Is your business at risk?
The Pitt review, published in June 2008, clearly identified flooding as an increasing threat to business as well as to the general population.
Businesses suffered utilities failure, denial of access, severed transport links and increased levels of absence:
“13 people lost their lives, approximately 48,000 households and nearly 7,300 businesses were flooded and billions of pounds of damage was caused.”
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Businesses flooded in 2007
Hull and East Riding
650
South Yorkshire
1,800
Gloucestershire‡
1,000
ThamesValley‡
80
Wocestershire
747
National total
7,300
Source: the Pitt Review, June 2008
The effects on businesses
flooded premises
damage to stock
damage to equipment
loss of power
loss of communications
increased absence of staff
leading to:
missed orders and enquiries
delays caused by paperwork lost in the flooding
problems making insurance claims
problems tracing orders
problems filling in tax returns
Building firms were inundated as the recovery process began.
A year later 10% of the 180,000 insurance claims had received no payment, of the rest some had received only an interim payment, and the great majority will not have insurance cover for their full losses.
