We don't know when emergencies might happen. We have no control when unforeseen events come knocking on our door. But what we can do is to at least prepare ourselves for these unwanted situations.
Contingency plans, or Plan B, or backup plans, are taken in case our initial plans or preferred action steps fail. It is a course of action designed to help an organization respond effectively to a significant future event or situation that may or may not happen.
When your date refuses to go with you to a restaurant of your choice, you should have a contingency plan. When the guard on duty cannot report to work due to sickness, the head of security must have a contingency plan. When a trusted supplier all of a sudden fails to deliver, there should be a backup.
From companies to relationships to personal decisions, developing contingency plans are important for the following reasons:
For better preparation
Contingency planning prepares you for the worst in case of any possible unpredictable events. This way, you are sparing yourself from possible loss and risky situations through efficient and preemptive planning.
Not so many years ago, my computer's CPU malfunctioned and all my files were gone. Since I do the financial reports and the files for minutes of the meetings, a significant amount of information was lost. If only I was able to back up my files then. To prevent that from happening, I now back up my files in the cloud.
For better flexibility
When you have contingency plans in place, you can face difficulties head-on. You are prepared and more flexible to any foreseeable challenges that may arise. For example, due to the pandemic's effect on the economy, you can already set up action steps to help you cope with the economic challenges that may or may not come. Whatever happens, you will be able to work flexibly because you have already anticipated and prepared for the worst. You are not limited to only one course of action.
For a quicker reaction
When you have a contingency plan in place, you are more likely to respond quickly to unplanned events. Since you have already thought of it, when the need arises, you only have to execute your plans. Organizations adept with this can overcome the problem with not much damage to their operations. Moreover, a quick reaction to unforeseen events is also a sign of dependable and efficient leadership.
For preventing panic
When an unexpected catastrophe happens, people tend to panic. But it is not the danger that causes people to panic. They panic because they know that there are no solutions in place and nothing can be more disastrous than that. But when there are efficient backup plans, they know they can easily get back on track.
It is possible to maintain order and prevent panic and chaos from turning everything into disarray. Effective contingency planning can help in doing that.
For minimizing last-minute decisions
Practical advice: no one should make decisions when are angry or stressed, for such decisions can be the worst ones of your life. It can be applied to businesses, organizations, and even in family contexts. Details make up a plan and these details have to be evaluated properly. But, if anything unplanned occurs, it can be tough to evaluate or come up with a detailed solution on the spot. So it is better to evaluate all factors beforehand through thorough research and observation and craft a contingency plan out of it.
For minimizing losses
Contingency plans help mitigate the losses incurred due to unexpected events. Just like what I've mentioned regarding my backup files, when you know how to work around your situation, even in the face of emergencies such as natural disaster, a power outage or even moving of office space, you can endure and get back on track. Usually, this is where some survive while some collapse. Efficient contingency planning is the key.
It is better to be proactive and have a plan in place, even if you might not be able to use them in the future. It only means that you are serious about what you are doing now and you are prepared for whatever life throws at you.
What are your thoughts about having contingency plans? Share your comments below.
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Hi, I am Marts! I am a writer, and aside from my stint here in read.cash, I also have my own blog - martsvalenzuela.com. I appreciate it if you pay me a visit! I plan on growing my readership as I learn to improve my craft and journey towards my passion to write and publish books that add value to people.
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great write up!