Transcript Slide 1

Avian Flu Pandemic
Preparedness Plan
Customer and Supplier
Communications
Customer and Supplier
Communications Objective
To communicate basic information on Sonoco’s
Avian Flu Pandemic Preparedness Plan and
encourage our customers and suppliers to develop
plans to assure continuation of business in view of
a possible Avian Flu Pandemic threat.
About Flu (Definitions)
Human Flu
• Periodic outbreak caused by flu viruses spreading
among people
Bird Flu
• Caused by bird flu viruses
• Sickens and kills wild birds, chickens, ducks and
turkeys
• Current bird flu virus: H5N1
Flu Pandemic
• An epidemic that occurs worldwide and affects
large number of people
• Caused by
 New types of flu viruses
 Flu viruses that have never circulated among people
 Flu viruses that have not circulated among people for
a long time but acquired ability to spread easily
among humans
About Flu (Impacts on humans)
Human Flu
• Generally not serious
• Takes about 7-10 days to recover
• Young children, old people and sick take longer to get well
Bird Flu
• About 50% of people infected died
Flu Pandemic
• 25% of worlds population may fall ill, but majority will have only
mild illness
• Up to 150 million people could die
• 1968 Hong Kong Flu: 1 million died
• 1918 Spanish Flu: 20 million died
• Could result in worldwide economic recession
About Flu (How it spreads)
Human Flu
• Spreads from person to person through saliva droplets by
coughing or sneezing
• Touching contaminated surfaces
Bird Flu
• Does not spread easily among humans (only 250 confirmed
cases/146 deaths)
• Humans can catch disease through close contact with infected
birds
• No known cases of human-to-human infection
Flu Pandemic
• Spreads easily like seasonal flu
• Humans have little immunity as viruses are new
World Health Organization’s Six
Pandemic Phases
Avian Flu Affected Regions
Reports in countries where Sonoco operates
• Confirmed Bird Cases: (16) China, France, Germany,
Greece, Indonesia, Italy, Japan, Malaysia, Poland, Russia,
Spain, Sweden, Switzerland, Thailand, Turkey and U.K.
• Confirmed Human Cases: (4) China, Indonesia, Thailand
and Turkey
No H5N1
Wild Birds
Domestic Poultry
Human Cases
Sonoco’s Avian Flu Pandemic
Preparedness
Step 1: Established a Cross-Functional Pandemic Planning Team
– Working with International SOS, global corporate health advisor
Step 2: Educate Team Members on Pandemic issues and
implications
Step 3: Develop Corporate Pandemic Plan
– Linking corporate policies to actions, based on phases and
affected regions
Step 4: Table top exercise to determine gaps in developed plan
Step 5: Customize Corporate Plan to address local issues/cultures
Step 6: Implement Plan
– Orient and train key management
– Educate and orient employees
Step 7: Test Plan (drills) to ensure effectiveness of plans
Objective of Sonoco’s Avian Flu
Pandemic Preparedness Plan
• Keep employees safe
• Maintain business continuity
• Effectively communicate with
management/employees, customers and suppliers
Sonoco’s Pandemic Policy and
Rationale Document
Section 1 – Pandemic Planning Structure
Section 2 – Communications
Section 3 – Business Continuity
Section 4 – Optimizing Employee Health
Section 5 – Reduction of Infection Risk
Section 6 – Management of Infected/Potentially Infected
Employees
Section 7 – Management of Expatriates
Section 8 – Management of Traveling Employees
Section 9 – Antiviral Medications
Business Continuity Plan in Affected
Regions
Issues to be addressed:
• Dealing with reductions in staff
• Closure of work places by health care authorities
• Reduction of flights/air cargo capabilities
• Travel restrictions
• Border closures
• Supply chain impacts
Communications
Sonoco’s Avian Flu Pandemic Web site:
www.sonoco.com/avianflu/
More information on Avian Flu is available from:
WHO: http://www.who.int/csr/disease/avian_influenza/en/
CDC: http://www.cdc.gov/flu/avian/index.htm
US Government: http://www.pandemicflu.gov/
Areas of Significant Importance
• Keeping Employees Safe
• Business Continuity
• Effective Communications
– Management/Employees
– Customers/Suppliers
– Other External Audiences
Cumulative Number of Confirmed Human
Cases of Avian Influenza A/(H5N1) Reported to
WHO
16 October 2006
2003
Country
cases
2004
deaths
cases
2005
deaths
cases
2006
deaths
cases
Total
deaths
cases
deaths
Azerbaija
n
0
0
0
0
0
0
8
5
8
5
Cambodi
a
0
0
0
0
4
4
2
2
6
6
China
1
1
0
0
8
5
12
8
21
14
Djibouti
0
0
0
0
0
0
1
0
1
0
Egypt
0
0
0
0
0
0
15
6
15
6
Indonesia
0
0
0
0
19
12
53
43
72
55
Iraq
0
0
0
0
0
0
3
2
3
2
Thailand
0
0
17
12
5
2
3
3
25
17
Turkey
0
0
0
0
0
0
12
4
12
4
Viet Nam
3
3
29
20
61
19
0
0
93
42
Total number of cases includes number of deaths.
Total
4 laboratory-confirmed
4
WHO reports only
cases. 46
32
97
42
109
73
256
151
Pandemic Preparedness
2006 AMR Research Study
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68 percent of companies with more than $1 billion in revenues are not
prepared for a pandemic, such as an avian flu outbreak.
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Majority of companies have not implemented a risk management/business
continuity strategy.
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Supply Risk Planning (22%) – Prepared to re-source supplies and goods
from other areas. Understanding and optimizing the nodes in the supply
chain in case large geographies are more affected than others.
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Home Bound (38%) – Companies with the technology in place to support
customers and employees that need to work from the safety of their own
home.
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Self-Service (29%) – Companies able to allow employees and customers
to transact business remotely and will limit exposure.
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Training (22%) – Workers trained in multiple jobs to ensure business
continuity.
Summary of Work with
International SOS
Step 1: Establish a Pandemic Planning Team
– High level / Cross functional / Has authority
Step 2: Educate Team Members – Pandemic issues and Implications
Step 3: Develop a Corporate Pandemic Plan
– Link corporate policies to actions, based on phases and
affected regions
Step 4: Table top exercise to determine gaps in the plan
Step 5: Customize Corporate Plan to address local cultures/issues
Step 6: Implement Plan – orient and train key management
– Educate and orient staff
Step 7: Test Plan (drills) to ensure that the plan works
Step 8: Monitor situation, and modify plan as required
Communications Strategy
• Keeping management informed
• Keeping employees educated/informed
• Communicating to customers/suppliers
• Communicating to other external
audiences
Communications Tactics
• Management information
– E-mail alerts
– Management Committee meetings/calls/plan training
– Management pandemic portal (Sharepoint or Web
site)
• Employee Connection pandemic portal
– news@sonoco, e-mail alerts (work or home)
• Employee educational materials (language
translated)
– Sonoco Globe (December 2006 edition)
– Wellness communications (StayWell, Family Safety &
Health, other flu prevention materials)
• Employee hotline
• Customer/vendor information exchanges
Unique Features of Pandemic
Influenza Exercises
• Rapid decision-making with limited information
• Staged decision-making
• Long term event
• Global event
• Impacts all sector of society
• Exploring relationships with the public health
system
• Anticipated public panic
Business Continuity Preparedness
Prevention
Recovery
Train, Test,
Evaluate,
Revise
Response
Planning
Format:
Issues to Consider
• Physical lay out of the exercise
• Organizational structure
– Facilitator
– Controllers
– Simulators
– Scribe/recorder
– Evaluators
• Agenda
Format: Lay Out
• All players at one table (15 to 25 is
optimal; 50 is the maximum).
• Key players at one table with
supporting players behind them.
• Players at multiple tables (e.g., by
business unit or incident command
structure).
Format: Lay Out (cont.)
• Players in different rooms (e.g.,
simulate a crisis management center
in one room with other players
elsewhere).
• Observers usually sit around the
perimeter of the room and are
clearly delineated from the players.
Logistics
Planning
Incident Command
Operations
Finances
BU
BU
BU
BU
BU
Senior Management
BU
BU
*BU: Business Unit
BU
BU
RT
RT
RT
RT
RT
Crisis Management
Team
RT
RT
Screen
*RT: Response Team
Risk Management
Operations
Information
Technology
Finance
Human Resources
Public Relations
Format: Organization (cont.)
• Facilitator
– Presents the scenario.
– Keeps the discussions on topic.
– Makes sure that key issues are
addressed.
– Prioritizes issues.
• Controllers
– Assist facilitator.
– Keep the exercise on track.
Format: Organization (cont.)
• Simulators
– Represent other organizations
who may interact with players.
– Add events/injects to the scenario.
– May be used as “patients” or
“victims.”
• Scribe/recorder
– Documents key ideas/action items.
Format: Organization (cont.)
• Evaluators
– Observe the exercise.
– May be members of the Design
Team.
– Record observations (may use
an evaluation form).
Format: Agenda
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Registration
Opening remarks
Background information
Introduction to the exercise
– Ground rules
– Assumptions
Modules with discussion time
“Hot wash”/debrief
Complete evaluations
Adjourn
Modules
• Modules “tell the story” of the
scenario.
• Each exercise usually has several
modules.
• Use “real-time” and use a virtual
clock.
• Create a “live” environment.
• May want to use “roadblocks” or
unplanned events in the modules.
Table of Modules
• Each module can focus on:
─An issue, set of objectives, or an
event.
─A time period.
• Develop a table as an outline.
– Provides a mechanism to plan out
the exercise.
– Takes into consideration the time to
allot to each module.
– Organizes key issues.
Examples of Data Injects
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News reports
Data summaries
Maps
Photos
Diagrams
Event summaries
Case reports
Videos
Phone calls
Recommendations
Data Injects
Use injects to:
• Provide critical information
necessary for decision-making.
• Provide actionable information.
• Add color to the scripts.
• “Fill out” the scenario.
• Add a sense of realism to the
story.
Planning
Below are examples of major actions and issues that businesses
should consider during the Planning Phase:
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Essential: Define essential functions, goods, and services under
conditions of dramatically worsening conditions and reduced options for
the business, community, and nation.
Workers: All employees are susceptible, businesses must ensure the 60
percent who are well can sustain essential functions, goods and services.
Duration: A 6-8 week pandemic wave increases stresses on systems and
people requiring focused planning on situational awareness and support.
Dispersion and Support: Rapid geographic dispersion precludes
transferring support to or from impacted areas.
Families: Keeping essential workers on the job will be substantially
dependent on whether their families are protected and supported.
Adaptive Use: A business’ functions may have to be adapted to enhance
focus on essential goods and services.
Preparedness
Below are examples of major actions and issues that businesses should
monitor during the Preparedness Phase:
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Share Plans: Business must share their plans with all key players in the
community to ensure interlocking plans and actions.
Networks of Preparedness: Businesses must develop mutual support
alliances within the community and region as well as with their business
partners and competitors.
Large and Small: Sustaining the local and national essential services
demands both large and small businesses preparedness.
2nd/3rd Order Effects: The strength of a pandemic plan will be defined by
the weakest link in its supply chain, especially among the 2nd and 3rd order
suppliers, distributors, and manufacturers.
Outsourcing: Extensive outsourcing requires businesses to ensure their
many support contractors are equally prepared to respond to a pandemic.
People and Stockpiles: Prioritize all essential people, material and
equipment support.
Response
Below are examples of major actions and issues that businesses
should manage during the Response Phase:
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Disease Containment Strategies: Isolation, quarantine, social
distancing, “snow days,” closing places of assembly and restricted
movement will substantially compound impacts on businesses.
Cross-sector Interdependencies: Planning, communicating, and
supporting cross-sector partners will be key in a pandemic.
Cascading Effects: The collective impacts on numerous small/large
business may cascade into a regional/national emergencies.
Risk Communications: Consistent, honest risk communications between
a business and its workers, their families, essential business partners, and
the community will prove decisive.
Cooperation and Collaboration: Government and businesses cannot go
it alone during a pandemic; they must communicate and collaborate at all
times to ensure mutual support .
Recovery
Below are examples of major actions and issues that businesses
should address during the Recovery Phase:
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Multiple Waves: A pandemic will not end with the first wave, thus
businesses must balance their available resources to expedite recovery
while preparing for the next pandemic wave.
Worker/Family Losses: Overcoming the effects from worker and family
illness as well as from lost wages due to providing home health care,
“snow days” and worker furloughs will be a significant challenge.
Workforce Reconstitution and Competition: Competition for available
skilled workers and support services will be intense.
Government/Community Support: Substantial external support
(government and community) may be required for businesses to prepare
for the next pandemic wave while recovering from the first wave.
Inter-Business Support: For a business to recover and thrive, its
essential business partner support network must also recover and thrive.
International Recovery: International recovery may lag behind U.S.
recovery. International raw material availability, manufacturing, supply
chain support, and purchases of U.S. goods may be delayed.
One reason – operating model complexity
(including the supply chain) has outpaced
risk management practicesNetworked
Distributed
Operating Model
Complexity
Centralized
Present
State
Resilience Gap
Time
Risk
Management
Sophistication
Functional
Single Point
of Failure
Present
State
Coordinated
Managing Risk Across
the Enterprise
Adaptive
Creating Resilience
Across the Enterprise
These changes can have chilling impacts
on businesses
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73% of businesses that have a prolonged disruption of
or more close or suffer long term impact1
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43% of businesses suffering a disaster never recover sufficiently to
resume business1
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Of those that do reopen, only 29% are still operating
later1
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Only 32% of 247 top financial executives said their companies were
able to make major changes to their supply chain if needed2,
and 38% said their corporations were sitting on “too much
unmanaged supplier risk”2
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Large companies will face a crisis every 4 to 5 years2 ... but every
company or agency could potentially face the pandemic crisis
Source:
1 Crisis
2
10 days
two years
Management International
CFO Research Services