Centrica says businesses need an energy resilience strategy, suggesting energy security and continuity should not be taken for granted.
The energy firm’s Business Solutions division has produced a research-based report that outlines the poor state of energy resilience today and practical guidance for businesses to implement a more energy resilient future.
The importance of energy continuity
We live in an era of increased business risk and, whilst news headlines focus on threats to business such as cyber-crime, there is a more pervasive and immediate issue in the form of security and continuity of every business’s energy supply. Energy is vitally important to every business, but it is only when an energy-related failure occurs that the operational vulnerabilities of a business become exposed and the need for a secure energy source becomes essential.
Perception vs. reality
There is a disparity between the threat posed by energy-related failures and the degree to which businesses are preparing for them.
Centrica Business Solutions has conducted research across multiple sectors to get a true picture of the challenges posed by lack of energy continuity, and what steps businesses are taking to address them. And though many acknowledge the reality of the threats to their energy supply, most think it will either never happen to them, or someone else will take care of the problem.
The report provides insight into the poor state of energy resilience today and practical guidance for businesses to implement a more energy resilient future.
Stakes are high
The impact of a power failure on any business is potentially huge. And it doesn’t have to be long for its effects to be long lasting. One out of every ten businesses surveyed said that an outage of only one hour would be catastrophic to their operation.
And power failures affect all areas of business. Operational downtime is a major issue that can also lead to lost inventory and equipment damage. And that all affects the bottom line. Some businesses even state that outages have damaged their overall brand and relationships with customers.
Then there is the human cost. 11% of businesses say employees have been endangered as a result of energy-related failures. That figure is simply unacceptable.
Unfortunately, the frequency of failures is only set to increase:
81% of businesses experienced at least one energy-related failure in the last 12 months and 52% think it likely that they will experience an energy-related failure within the next year – in fact 5% say it’s a near certainty.
There are more frequent and increasingly destructive natural disasters due to climate change. Local and national electrical systems – even individual buildings – are an increasingly frequent target for cybercriminals. And the age-old problem of human error remains an unavoidable cause of power outages.
So how can we address the problem?
It’s clear that businesses need an energy resilience strategy in place to protect themselves. Centrica Business Solutions’s research shows that there is a direct correlation between businesses that have a mature energy resilience strategy and positive business outcomes.
To take the next vital step in protecting the energy supply to your business, Centrica recommends downloading the report here.