At the end of this module you will be able to:

01 understand what an emergency manual is

02 know the structure of an emergency manual

03 create your own emergency manual

04 use an emergency manual

A business continuity plan describes procedures and instructions that a company must follow in case of unplanned events or disasters, be it fire, flood or cyberattacks causing sudden or temporary succession problems.

30-45%

of organizations do not reopen after being affected by a disaster.

Creating an emergency manual will give your company the best chance of surviving an event like this and you will be ready to act quickly and effectively. Many entrepreneurs have known for a long time how important it can be to take precautions against failure. Nevertheless, the willingness to deal intensively with this topic is often only low. The reason for this is obvious:

 The starting point for all considerations is unpleasant mind games that affect yourself.

Far too often these thoughts are pushed aside. Who likes to expect the worst?

It is precisely for this reason that companies do not have adequate contingency planning.

But misfortune happens - of course - unprepared and out of the blue. Accidents or illnesses can affect anyone but are usually unpredictable. Who can and should take care of this company in such a stroke of fate? Who will take over the most important tasks temporarily or permanently? There is a risk that all wheels will come to a standstill without appropriate preparation. In doing so, the company can be secured to be successful with the right strategy and some practical steps.

To protect the company from unnecessary damage, there should be an emergency plan.

The emergency manual should be a suggestion, orientation and tool at the same time, and it should put the most important rules into practice.

 Use the following checklist to check how you deal with business risks:

Concrete immediate measures and tips are in three subject blocks divided into:
1.) Crisis prevention - How can I prepare for an emergency? The first section gives a focused overview of what you can do to help one, be prepared for an emergency and keep the risk to the company as low as possible.
2.) Crisis management - what needs to be done urgently? The second section explains what to do when an emergency has already arisen and what steps are required to limit the damage.
3.) Overcoming the crisis - what's next?

The emergency has certainly rocked the company. What did you learn and what can you use for the future of the company?

As a rule, crises and emergencies can hardly be managed. Many people find the situation painful, especially in the context of the current emergency. Dealing with the topic without being in an acute emergency situation helps to minimize the risks to your business. As a responsible entrepreneur, you have to answer the question of how much your day-to-day business depends on you and how long can the company exist without you. And what is possible for day-to-day business, does that also apply to strategic decisions or the company's innovative strength?

Decades of management of the company has resulted in a symbiosis between the boss and the company. Nobody knows how things are going as well as the boss. Such a company is extremely bad at the unforeseen events, such as an illness, but also actually plannable events, such as a corporate succession. With an emergency plan, you ensure that your company can continue to run if management or major shareholders are absent from the company for several weeks or permanently. Emergency planning includes systematic risk management and a detailed emergency manual in which you can find important documents and information about the company in a central location and update them annually. A good opportunity to test the emergency manual for possible errors and sources of crisis is a long vacation for the boss.

In the emergency case, that you are unable to act for a shorter period of time or permanently, suitable persons of trust should be named to continue the business. You can decide who will take over the management until you are "on board" again or a successor has been trained. These confidential counselors should be given the necessary powers. This can be done by granting a limited power of attorney or by granting a general power of attorney. In the case of a limited liability company, it is necessary to appoint a person of trust who exercises shareholder rights in the general meeting. In order for the person to be able to act, they must have the necessary proxy. Since a number of legal provisions apply when granting power of attorney, you should also seek advice from a lawyer. If a power of attorney is not (currently) available or power of attorney is granted, general power of attorney or business power of attorney is required to be specified in the emergency manual or another safe place.

Of course, this also pays off for the private level, because as long as an heir (including the spouse) cannot present a certificate of inheritance or a will, he is also not entitled to act. In the case of a company with limited liability, the heirs cannot appoint themselves as managing directors.

Provision in the private sector:
Precautions must also be taken in the private sector. The family's ability to act is ensured. This applies not only to a death, but also to serious illnesses or accidents that lead to permanent incapacity for work. Advance directives and powers of attorney are used here to provide useful assistance. Make sure that these dispositions and powers of attorney are not just in a will. If the information is only given there, it will only be known when the will is opened. In many cases this can be too late. It is recommended that you seek advice from a lawyer or notary.
• You can decide who will take over the management until you are "on board" again or a successor has been trained.
• Since a number of legal provisions apply when granting power of attorney, you should also seek advice from a lawyer.
• If a power of attorney is not (currently) available or power of attorney is granted, general power of attorney or business power of attorney is required to be specified in the emergency manual or another safe place.
• Precautions must also be taken in the private sector. The family's ability to act is ensured.

The corona crisis has led to economic changes all over the world. For many companies, this means a decline in consumption, delivery problems and short-time work. Certainly there are some winners in the crisis, but it is mostly the companies that see difficult times to come due to the Corona years. In addition to tourism, gastronomy and cultural institutions, the losers also include export-dependent industries as well as automotive suppliers and retailers. Typical medium-sized family businesses often die before they have to make existential decisions and often have to change their entire business model.

Can this great crisis also be an opportunity? Since the framework conditions have changed for many, it is now also necessary to rethink business models, visions and strategies. Yet the point of view is that.

A pandemic has seldom been included among the “normal” business risks. Even more ordinary crisis situations are often pushed away in day-to-day business. However, the current situation can also shake you awake, entrepreneurial tasks can finally be tackled, which are usually easily neglected in day-to-day business and are left behind.

In view of this situation, the issue of emergency planning is becoming more explosive. They have to be implemented when everything in a company does not go according to plan. Unfortunately, it has often been painfully shown in the past that the management is thinking too late about a possible accident or - currently - a serious corona disease. It becomes very precarious when the entrepreneur dies. Entire production lines may come to a standstill, be delayed, or important payments may be prevented because no one decides anymore. And where does the lifebuoy come from before the company goes down in a storm?

From a human point of view, it is understandable not to want to think about these emergency situations. From an entrepreneurial point of view, this is irresponsible, especially if the company has been built with a lot of passion, and especially with a view to the workforce.

This compact and practice-oriented overview is intended to facilitate the indispensable preparation for a corporate emergency. The current pandemic situation is only the reason, because an emergency can affect anyone in any situation. In this respect, the recommendations have general validity.
• The corona crisis has led to economic changes all over the world. For many companies, this means a decline in consumption, delivery problems and short-time work.
• A pandemic has seldom been included among the “normal” business risks.
• The current pandemic situation is only one of many possible reasons of emergency, because emergency can affect anyone in any situation.

On 13 December 1920, the company Haribo was entered in the Bonn commercial register by the company founder Johann "Hans" Riegel. The company name is an acronym and is derived from the first two letters of his first and last name and the first two letters of the location (Hans Riegel Bonn). According to company information, the starting capital was a sack of sugar, a copper kettle, a marble slab, a stool, a brick hearth and a roller. Two years after the company was founded, Hans Riegel invented the forerunner of the Gold Bear, then called the "Tanzbär" (“dancing bear”). However, this was not only bigger than today's gummy bears, but also softer, as gum arabic was used in its production instead of the gelatine that is common today.

After Johann Riegel's untimely death in March 1945, the company was initially run by his wife. After his sons Hans and Paul returned from war captivity in 1946, they took over the management. Hans Riegel junior represented the company externally, while Paul Riegel was in charge of research and product development and hardly ever appeared in public.

In October 2003, Hans Riegel junior announced that one of his nephews, Hans-Jürgen Riegel (* 1956), was to be his successor. He ran the business in France until 2005, when he fell out with his uncle and left the company. Co-owner Paul Riegel died unexpectedly in the night of 3 August 2009.

After the break in the good relationship with his nephew, Hans Riegel decided to leave the question of succession open. This led to a conflict of the Haribo family lines, as his sons continued a complaint to the Chamber of Industry and Commerce initiated in summer 2008 by Paul Riegel to clarify the legally complex issues. After its suspension in the meantime, an amicable overall solution was finally worked out and presented in 2010.

Subsequently, Haribo-Holding GmbH & Co. KG was newly founded. Paul Riegel Familienholding and Hans Riegel Holding, which was newly founded for this purpose, each hold half of the shares.

Hans-Guido (* ~1966), Paul Riegel's son from his first marriage, became managing director for production and technology like his father alongside his uncle Hans, who continued to look after marketing and sales. Hans-Arndt (* ~1968), son from the second marriage, took over the chairmanship of a new four-member supervisory board. Andreas Nickenig (* ~1968), a long-time employee who was considered Hans Riegel's "foster son" and at the same time got on well with Paul's sons of the same age, was also given a strong role in managing the foreign business.

Due to succession problems in the past, the Hans Riegel Foundation was then founded in 1987, headed by Reinhard Schneider, Hans Riegel's authorised signatory and long-time employee. Thus, after the sudden death of Hans Riegel on 15 October 2013, the continuation of the company could be secured and the success of the company ensured.

To do your own Manual. Take your time.

The emergency manual should be a suggestion, orientation and tool at the same time, and it should put the most important rules into practice.

You can download the template here.

Remember (now you know):

01 Understand what an emergency manual is

02 The structure of an emergency manual

03 Create your own emergency manual

04 Use an emergency manual

 Keep going!