At the request of the Center for the Coordination of Natural Disasters Prevention in Central America
(CEPREDENAC), the Center for Disaster Management and Humanitarian Assistance
(CDMHA) coordinated a Business-Industry Disaster Loss Reduction (BIDLR) meeting on March 24, 2000 at Tulane University. The objectives were to discuss timely issues pertaining to lessons learned in disaster management and mitigation in the private sector community in the Americas as well as to discuss a working document for a business-industry action plan.
In this meeting CEPREDENAC gave a regional perspective on the importance of coordinating efforts between major employers, governments, nongovernmental organizations and disaster organizations in times prior to, during and after disasters. CEPREDENAC is the regional disaster coordination organization for Central American governments and currently has six member countries: Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama. Both Belize and the Dominican Republic are in the process of incorporation.
CEPREDENAC and its members are very aware of the important role of the business community in disaster management, including mitigation. CEPREDENAC is considering the incorporation of a Regional Private Sector strategy within the Regional Plan for Disaster Reduction approved by the Central American Presidents. The draft business-industry action plan is an important step in this development and CEPREDENAC and CDMHA are coordinating efforts in this direction. In order to better develop inter-institutional collaboration CEPREDENAC and CDMHA are working on the development of a memorandum of understanding
(MOU) soon to be signed. CEPREDENAC and CDMHA are also collaborating in several ways:
- Conducting a survey to gain knowledge on the participation of the private sector during and after Hurricane Mitch (currently being piloted in Nicaragua).
- Developing a business-industry disaster action plan with their members.
- Developing, along with governmental institutions, an action plan to offer the private sector various alternatives to improve their efforts in preventing and mitigating future disasters for their own interest and national benefit.
Based on recent interviews with Central American business executives, Oliver Davidson discussed his recent trip to Central America, and his work with consultant Dagoberto Rivera. Davidson presented preliminary results from a survey on business-industry preparation/response/etc in Nicaragua. Although all of the surveys have not yet been completed, the preliminary assessments based on the work thus far show that business-industry in Nicaragua is committed to cooperate in disaster loss reduction activities. The concern for the welfare of employees was evident. Some of the initial recommendations from business-industry leaders were to have First Aid classes, CPR and disaster education training. Among other conclusions based on the preliminary assessment of the Nicaragua data, were agreements to investigate the possibility of creating a business disaster planning seminar. The American Chamber of Commerce
(AMCHAM) in Nicaragua requested that CDMHA design such a seminar for business-industry leaders. This seminar would include how to make a disaster plan and how to assign roles for employees and how to coordinate with the government. The AMCHAM organized a disaster task force as a result of Hurricane Mitch and one objective of this task force is to work with CDMHA on organizing training and preparing AMCHAM members for disaster preparation and mitigation activities. AMCHAM and members would be linked to other Latin American Chambers of Commerce and the Pan American Development Foundations
(PADF) disaster activities.
CDMHA will assist AMCHAM in Nicaragua in building local capacity and coordination, using regional disaster specialists to design and conduct a business disaster seminar. Risk managers, government disaster officials and international technical experts will participate in designing preparation, mitigation and recovery plans.
The information thus far indicates that industry could have contributed more to the post-Mitch relief efforts, but neither the government nor industry were prepared to handle the input and therefore the losses were compounded. Eventually business-industry could create a nation-wide disaster committee comprised of business/government/NGO leaders.
One common complaint of the business leaders was the inappropriateness of some post-disaster donations and how this slows down delivery of urgently needed items. As a result of this confusion there was a reluctance to donate more resources, like building materials, although they were still needed.
Emerging from the group were the following recommendations: The Pan American Health Organization
(PAHO) is fully supporting the Pan American Development Foundations
(PADF) regional disaster initiatives. PAHO is also working in private sector collaboration, which includes working with the nongovernmental organization (NGO) community. One PAHO representative mentioned that it was important to bring public sector and private sector together on some of these issues. PAHO has over 40 people in the region, which makes it abundant in available, and qualified, human resources. PAHO's Sistema de Manejo de Suministros Humanitarios (SUMA) or Humanitarian Supply Management System is the management information system on donated supplies and it could benefit from private sector expertise in logistics and supply. This is an example of how the private sector could 'return' to the public sector in the area of disaster prevention/relief/mitigation. The most commonly agreed upon theme is prevention and to this end the discussion focused on the cultural shift toward prevention strategies. Businesses recognize the cost of disasters in the US and, therefore, it would be useful to document the cost elsewhere to motivate companies to prevent, mitigate and prepare for disasters. In this arena much can be learned from the Federal Emergency Management Agency
(FEMA) in the United States.
One example of FEMA's success is "Project Impact" which emphasizes that prevention is possible at all levels, especially in industries which are responsible for borrowing/lending/building since they have a vested interest in shifting focus to mitigation and prevention.
The Organization of American States (OAS) representative observed that Mitigation and Loss reduction strategies should aim at specific sectors since sectors are the "owners" of the vulnerability. This is the motivation necessary to encourage sectors to protect themselves. Sector-sector collaboration is most beneficial and efficient way to approach planning and training.
Due to the natural disasters in Central America (i.e. Mitch) and the recent disaster in Venezuela, there is a growing awareness among AMCHAM's in Latin America that there is a need to do more to prepare for disasters
(Ecuador-volcanoes/ Venezuela-floods/ Central America and the Caribbean-hurricanes, etc).
PADF is working with the Association of American Chambers of Commerce in Latin America
(AACCLA) to improve disaster preparedness and response capability. A comprehensive survey of all companies would be a good place to start. AMCHAM's in the region have expressed interest in an ongoing series of seminars on disaster preparedness at the plant or company level. Also there is a recognized need to develop Chamber specific disaster preparedness plans. Therefore one of the goals of this endeavor should be to try and help AACCLA units in planning and developing improved disaster response mechanisms. Training and seminars, simulations and models would be integral to this process to provide a more strategic and coherent focus on disaster prevention, preparedness and response.
One final note has to do with the public and spontaneously donated disaster supplies. According to the field research this donation problem is emerging as one of the largest logistical/managerial problems during times of disaster, which is why the suggestion was made to marshal support, via the media, to educate the public and thus mitigate this kind of 'preventable' hassle during times of disaster. While some donors contribute the right kinds of goods, allocating resources to 'donor education' is worthwhile, as it would stimulate additional resources and appropriate donations.
