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Four Degrees of Proximity: Key Factors that Influence Private Sector Preparedness and Continuity Planning

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This study examined four factors that influence the adoption of business continuity planning and emergency preparedness measures within the private sector. The study conducted an online survey of 145 businesses, industries and non-profit organizations to assess the adoption of 12 specific preparedness measures. From this data, the study developed a cognitive model of private sector commitment to continuity planning and emergency preparedness based on: * Exposure: the physical proximity or exposure of a private sector entity to hazards or threats that affect the organization and its environment.* Experience: whether--and if so, how recently--a private sector entity had experience with a disaster or emergency that affected the organization.* Capability: whether the private sector entity has at hand the capability to manage a threat to its viability assessed as a function of the entity's size.* Collaboration: whether or not the private sector entity participates in a collaborative organization for regional emergency planning and preparedness. The results confirm earlier research that two key factors affect decisions of private sector entities to adopt continuity planning measures: previous experience in a disaster and the size of the organization. The research further revealed that participation in an organization dedicated to collaborative planning and mutual support correlates to the effect of past experience in a disaster or an increase in capability equal to the difference between a small and a medium-size business. The data further identified a consistent hierarchy among the 12 preparedness measures, indicating a strong prevalence among private sector businesses and non-profits for certain types of preparedness measures over others. Lastly, the research identified strong concern among business owners regarding hazards and threats that originate from natural disasters or that threaten physical or intellectual property. There was relatively little concern exhibited for the threat posed by terrorism. The study provides information relevant to government policies and programs aimed at increasing continuity planning within the private sector, and specifically identifies the value of public-private partnerships for encouraging participation in efforts that protect business interests while building community resilience against hazards and disasters.

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