Japanese Government to Draft Crisis Management Guidelines for Small Businesses

July 29, 2005
Guidelines will be design to help small businesses deal with terror attacks, natural disasters

TOKYO -- The government will work out guidelines for small businesses by the end of the year so they can better deal with crises such as natural disasters and terrorist attacks, officials said Wednesday.

The Small and Medium Enterprise Agency has been working with experts since late June to draft guidelines for a business continuity plan, modeled after "Ready Business" emergency plans created by the U.S. Department of Homeland Security after the Sept. 11 attacks in 2001, they said.

Crisis management guidelines for large enterprises will be completed in August.

The envisaged plan for small businesses is different from conventional anti-disaster manuals and stipulates priorities in reconstructing businesses.

For small companies, including family-run shops and factories, the plan will entail creating emergency contact lists and selecting substitutes for business leaders, officials said.

Guidelines for large businesses often include preparing backup offices and relocating or diversifying production bases, but such measures are too costly for small enterprises, according to the officials.

A Small and Medium Enterprise Agency official said the proposed rules will indicate what crisis management steps companies with limited funds can implement.

The agency will conduct hearings on small businesses that suffered damage from typhoons and in the major earthquakes in Niigata Prefecture on Oct. 23 in compiling the guidelines.

The agency plans to post the rules on its website next February.