DISASTERS can strike at any time, and small and medium-sized enterprises (SMEs) that do not plan for calamities risk losing their businesses.

The warning comes from IBM Singapore's general manager, Mr Nicholas Tan, who added that it simply makes good business sense to plan for the worst.

He suggests avoiding some common mistakes:

Procrastinating

Many bosses are too caught up managing daily operations to realise the importance of disaster recovery and security planning.

A recent IBM survey found that nearly 70 per cent of mid- sized companies said disaster recovery capabilities were essential, but less than 25 per cent were confident that they had prepared enough.

Today's technology ensures that businesses can start small and build up a base of disaster recovery solutions.

Not having the correct structure

SMEs risk losing revenue if they lack the necessary structures.

For example, having backup data stored in a location far away from where you do business will ensure that information will still be available even in a power outage.

Weak coordination

The people using the systems are as important as the machinery. When disaster strikes, staff need to know the contingency plan, so prior communication is vital.

Planning only for natural disasters

While earthquakes can be extremely destructive, malicious man-made disasters and productivity killers, such as computer viruses, spam or data theft, can also be detrimental to revenue and profits. Something as simple as installing a spam filter can save your employees precious time.

Doing it all by yourself You have to only if you want to.

Websites such as EnterpriseOne (www.business.gov.sg) provide information on how companies can do a basic risk assessment and devise policies to hedge against disaster.

The website is a useful resource for both new entrants and seasoned enterprises.

This article was first published in The Straits Times on May 28, 2008

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