DISASTER RECOVERY 
JOURNAL

P. O. Box 510110
St. Louis, MO 63151
(314) 894-0276 
Fax: (314) 894-7474
Internet www.drj.com 
E-mail drj@drj.com

PUBLISHER
Richard L. Arnold, CBCP
richard@drj.com

EDITOR-IN-CHIEF
Jon Seals
jon@drj.com

SENIOR EDITOR
Janette Ballman
janette@drj.com

COPY EDITORS
Richard Sandhofer
richards@drj.com
Pamela Clifton
pamelaclifton@hotmail.com

ADVERTISING 
Robert Arnold
bob@drj.com

_____________

Corporate

President/CEO
Richard L. Arnold, CBCP
richard@drj.com

Vice President 
Robert Arnold
bob@drj.com

CONFERENCE COORDINATOR
Patti Fitzgerald, CBCP
patti@drj.com

CONFERENCE REGISTRAR
Merce Knese
mercedes@drj.com

CIRCULATION
Laura Baugh
laurab@drj.com

EXECUTIVE COUNCIL
Jeff Dato, MBCP, KPMG
John Jackson, J Albright Advisors
Edward Devlin, E.S. Devlin & Associates
James Hammill, CBCP, JMH Consulting
Pat McAnally, SunGard Availability
Brian Turley, Strohl Systems
Belinda Wilson, Hewlett-Packard


INTERNATIONAL
CONTACTS
England: Thom Hetherington
Business Continuity 
Phone: 0161-237-1007
thomh@tempus.demon.co.uk

Australia: Anthony J. Harvey
Journal of Business Continuity
Phone: 0011-613-953-0055-8
fax: 0011-613-953-0528
sector@notability.com.au

Japan: Shinji Hosotsubo
Quake Japan Co., Ltd.
Phone: 03-3215-2880
fax: 03-3215-2881

Click Here for a Printable Version

Everyone Needs a Place to Sleep

By GEORGE E. HANSEN III

In light of the unprecedented destruction along the Gulf Coast from hurricanes Katrina and Rita, serious consideration has been given to the issue of emergency lodging during a disaster. Last year’s hurricanes not only destroyed homes and businesses, they resulted in the evacuation of an entire city and the 11th hour need to immediately house hundreds of thousands of people – some for months at a time – left homeless in multiple states. Upon onset of the first storm, Hurricane Katrina, it became painfully evident that no clear plan existed that could effectively handle the full lodging needs of so many people under duress.

Fortunately, the American Red Cross and the Federal Emergency Management Agency were able to develop a program with their corporate partners that literally brought the masses in off the streets overnight. Through the American Red Cross’ Special Transient Accommodations program, and the Federal Emergency Management Agency’s Short-Term Lodging program, more than 700,000 hurricane evacuees have been housed in 19,000 hotels across the United States in what has undoubtedly been the largest emergency lodging program ever administered. The program, which began last August, continues even as we approach Spring 2006.

Should another large-scale disaster fall upon American soil a successful business model now exists for the government to provide temporary housing through the nation’s hotel system. While this program was massive in scale and affected many more people than would typically be employed by any one company, many of the principles of this unprecedented lodging program are adaptable to a business or organization that might find itself in need of emergency lodging services.
The critical elements for business leaders to consider in developing their own emergency lodging plan would include:

• Staffing: Depending upon the size of your staff and the number of people to supervise, one person or department should be assigned the responsibility of establishing and administering a detailed plan to mobilize the forces and manage the emergency lodging program. Because many key decisions about lodging requirements will have been made prior to the emergency, this person can immediately execute the plan by notifying all of the proper channels (management, employees, hotels, etc.) that the program is in effect, and serving as a key contact as questions or challenges arise. Additionally, the same person or department should be responsible for communicating to the employees, knowing where each employee is staying and how to relay instructions or messages in the most efficient manner.
• Consideration of your hotel needs: By taking into account how many employees you will need to house, what job functions the employees might still have to perform while in the hotel, whether employees need to be grouped together or can operate independently, and what type of facilities the hotel might offer (large meeting rooms, small conference rooms, on-site food service, etc.), you can determine which properties will serve your company best during a disaster.
  I know of one company that has even planned ahead for the emergency lodging needs of its employees’ families and pets, in the event that the displacement of the employee during a corporate disaster requires his or her family to travel with the employee. As seen in this example, it is helpful to imagine all possible scenarios for emergency lodging and how your company might address those needs.
  Consider, as well, whether you need economy, mid-scale or full service hotels. And in which locations - locally or out-of-town or both? Identifying and forming relationships with the appropriate properties ahead of time can eliminate a great deal of research in the future in the event of a disaster – and create a turnkey emergency lodging plan that performs flawlessly.
• Cash management: Funding the short-term lodging needs of your employees will require an immediate cash flow that a company must be prepared for. Know what your chosen hotel properties will charge per room night (pre-negotiate a rate and a contract, if possible), and budget ahead of time for these expenses. Also, consider what other hotel expenses you may incur such as telephone and Internet access, food service, parking and more. Make sure your company and the hotel have worked out in advance how these expenses will be billed and paid. For example, will employees carry company credit cards? Will they use their own credit card (assuming they have one) and then be reimbursed by the company? Or, will the hotel directly bill the company? These are all things that should be considered ahead of time. Also, make sure you have a plan to obtain corporate funds during a disaster, even if you don’t have access to the proper financial documents at that time.
• Have a clear path of communication to the hotel(s): Any hotel chosen to be a part of an emergency lodging program should be aware that it is on your company’s list, and should be apprised of what your business needs will be during an emergency. One large company I know of even practices a bi-annual emergency lodging “drill” where a group of its employees is temporarily relocated to a hotel to insure all emergency lodging procedures are in place, from check-in to hotel room quality to billing.
• Know when to seek outside help: If the disaster – or the scope of your needs – exceeds your internal management capabilities, look for outside support. Consider using an expert emergency management individual or company that can help you identify your company’s challenges and take the appropriate steps to insure a workable lodging plan is in place.
  While you don’t always know when a disaster will hit your business, you can have the confidence you’ve taken adequate steps to prepare for the unknown once you’ve developed a solid emergency preparedness plan that includes temporary lodging for your employees. With thought and preparation, you can answer ahead of time the questions that are important to insuring that your employees have a safe, convenient and efficient place to work or live during a corporate disaster, and that your business is able to continue operation as effectively as possible.
  

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