Shake, Rattle, And Roll!
Another posting from the road, having completed bear and salmon encounters, chased the rain out of Seattle (fueled by Starbucks), and decamped for the delights of NoCal. The wake-up call came early today, and I had not even left one at the desk. But, at 3:20 am, I experienced a sensation best described as sharing a waterbed with an elephant. 15 or 20 seconds of rolling motion felt more like half an hour, and what I thought was the aroma of elephant might possibly have been something of my own making.
And, so the 6.1 Napa earthquake of 2014 got my heart to racing and my nether parts in some degree of uproar.
That the wine country tour was off is not important; too many have lost too much to have gawkers and visitors clogging up the works. Active recovery is underway, and resilient people are gathering themselves and moving forward. But, there has been some lingering damage to a fragile physical infrastructure, and normalcy will be put on hold for a while. Which raises the supply chain management issue of risk assessment and mitigation.
The topic is red-hot in our profession just now; here, the subject is immediate, tangible, and real. Many folks, no doubt, thought they might stock up at Wal-Mart if anything were needed. What to do when Wal-Mart is closed, along with chain grocers, chain drug stores, and liquor stores?
My concern is this. We somehow forgot about things like Katrina, and Yossi Sheffi's blueprint for creating resilient enterprises. We perked up when earthquake, tsunami, and nuclear power collapse hit Japan - then promptly forgot. Will we forget today's focus on risk management and preventive measures? Will it take another earthquake - someday, perhaps, even the fabled and feared Big One - to do something more permanent about investing in preserving business continuity?
Confession. I do grow cynical about the fads that come and go. Our profession really needs to lead the movement to develop long-term, sustainable, and continuously improving risk mitigation strategies and tactics that are embedded in our day-to-day operations. It will take people and money to do so, and CFO's need to understand the value involved - and put any dominating cost mentality out of the equation.
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