Bermuda's business community needs to have a standard set of policies and guidelines in place before disasters strike, a banker said yesterday.

And with the rapid changes in computer technology and engineering which have increased the already competitive corporate environment, responses to hurricanes, floods and power outages need to be properly organised.

Mr. Glenn Frazer, senior project manager in the Bank of Bermuda's retail division, told members of the Hamilton Rotary Club that it was important for any business to be able to maintain a nucleus operation during a disaster.

That nucleus would comprise only those personnel who have the skills, training and ability to work competently in a crisis.

Mr. Frazer said approaches to disaster planning should involve "the commitment, support and approval'' of senior management who need to identify the possible threats, assign tasks and determine the objectives.

Moreover, he said, such planning needs to be tested to ensure employees know what to do in the event of a disaster.

Recent stormy weather with winds lashing the Island at speeds of more than 50 knots, he said, underscored the need for disaster planning because it caused disruption in homes and businesses, and cancelled flights.

"The question to ask yourselves is what disruptions occurred as a result of this threat?...Could they have been lessened or even avoided if there was a plan in place to address these problems?'' Furthermore, Mr. Frazer mused about how many companies would have been prepared had last weekend's storm turned out to be a major hurricane.

"How many employers would have been able to contact their employees,'' he queried. "Would they have a plan in place to cope? "A few years ago Hurricane Emily brought the Island almost to a standstill for a few days.

"...How many businesses had a plan for such a threat? Was that plan implemented? If so were all those who were part of the plan trained to contribute effectively to the situation.?'' Mr. Frazer said relying solely on insurance was a losing strategy since it could never properly cover the enormous social and monetary costs of a serious disaster.

Although insurance could support the costs associated with physical damage, it cannot, he said, avoid or protect against the potential negative effects of the companies' disruption on customers, suppliers, distributors and employees.

"Anyone who views insurance alone as disaster planning, may reopen their business for a period only to shortly thereafter display an out of business sign.'' Mr. Frazer warned against the prevailing perception in business circles that disaster relief planning is important only for those who have large computer and data centres.

"A corporate-wide strategy is essential,'' he explained. "It must include not only computer data recovery but all core business functions...planning, cooperation and practice is imperative. Everyone must know their role in a disaster.'' BE PREPARED -- Mr. Glenn Frazer warns Bermudian businessman about the need for disaster planning and preparation.