Transportation is considered critical infrastructure for communities and their economies. The supply chain - how goods and services are transported along routes and channels - is like the main artery of a community. But when a disaster strikes and compromises transportation infrastructure, how can communities and businesses minimize the impacts?

The world has witnessed far too many disasters—such as extreme weather events, earthquakes, armed conflicts and even a pandemic—and it’s now recognized that a lack of roads, railroads and airports can incapacitate a community and bankrupt businesses. In a 2022 survey conducted by Ernst and Young of 200 supply chain executives, 72 per cent reported that the COVID-19 pandemic has had a negative effect on the supply chain.[1]

Extreme weather events can delay flights and cut off roads

Anything from widespread flooding to extensive winds can interrupt transport systems. Trees blown over by storms can cause disruption and damage to major routes for days—sometimes even weeks or months. High winds and tidal surges can slow marine vessels and impact port operations. Snow and freezing conditions can debilitate airports. A recent example of this was in December 2022, when extreme winter weather across the country resulted in more than 1,000 flights being delayed or cancelled, stranding affected Canadians for days on end in airports across Canada and abroad.[2]

Prior to that, the 2021 atmospheric river in BC caused disruptions to the supply chain when eight main access routes and numerous side roads were cut off to regions across the province.[3] This resulted in dairy and egg shortages[4] as truckers were unable to access farms, either due to highway washouts or floods in the Sumas Prairie where many of the farms are located.

Severe weather events increasing

The Business Continuity Institute, a global membership and certifying organization for business continuity, reports[5] in their Extreme Weather and Climate Change Report 2022 that 66.7% of the organizations surveyed are witnessing an increase in severe weather events, with 15% of these events considered significant. But despite the increase, the report also identified that many organizations are still managing these types of disruptions through standard business continuity practices due to the cost of adopting new or improved strategies.

Impacts of COVID-19 on global supply chain

Many Canadians experienced the effects of the supply chain crisis during the height of the COVID-19 pandemic. The causes were multiple, which included high infection rates amongst port workers[6] to China’s zero-Covid policy, which resulted in workforces being halved to prevent outbreaks amongst workers.[7] As a result, shipping times doubled, container costs rose and a lack of port workers and truck drivers caused delays, in not only unloading containers, but also in distributing products to market.

Labour strikes a risk factor to flow of goodS

Labour action is also a major risk factor to the flow of goods. A strike by 7,400 workers at more than 30 BC ports in the summer of 2023 significantly impacted the supply chain. The Greater Vancouver Board of Trade estimates that $10.7 billion of trade was disrupted during the strike period.[8]

Transportation is critical during an emergency

The significance of transportation in emergency and continuity management is critical. A disturbance to a transportation system will have the highest impact on your business when staff are confined in one place (i.e. business or home) or if the shipping of key supplies is delayed. According to Statistica,[9] the global economic losses from natural disasters in 2021 totaled US$343 billion. Therefore, your reliance on transportation and the impact of prolonged disruption to your business needs to be addressed in your continuity plan.

How to prepare your organization for supply chain disruptions

So, what can you do as an organization to equip and prepare for interruptions like the ones we’ve discussed? When relying on transportation, here are the key areas to include when conducting your business impact analysis, so you can minimize interruption and maintain continuity of your critical business services. 

Consider and include potential impacts of transportation delays and disruptions to your staff in the delivery of essential supplies and for couriering key documents.

Consider how the ability to communicate impacts your clients and customers in situations where transportation infrastructure is impacted. 

Be aware of the level of use and reliance on certain transportation routes, the availability of suitable alternative routes and the importance of specific routes that are essential for carrying out your business operations or services for your community.

Create contingency plans that include the scenario of there being no alternative routes for critical goods and services. In addition, identify alternative routes and means of transportation to ensure your employees can get to work, your supplies can get delivered and your goods for other businesses can get distributed in a timely manner, with minimal interruption.

How to ensure resiliency in the face of transportation disruptions

Your organization’s ability to withstand and recover promptly from the effects of extreme weather, natural disasters, pandemics, or other critical infrastructure disruptions will be tested—it’s just a matter of when. By planning for transportation interruptions, your business can better mitigate and navigate the direct impacts of these disruptions.

Contact us for customized emergency management and business continuity planning

Are you confident your organization’s emergency and continuity program considers the impact transportation can have on your business? Our emergency management and business continuity team bring a diversity of experience and expertise to the task. And we can customize a plan appropriate for your business. Contact us today and let’s get the conversation started.

How the supply chain can be impacted in a disaster